Budget Defence: Amaechi Justifies Capital Budget of N205bn for 2021




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By Chibuike Nwabuko

Abuja (Sundiata Post) – The Minister Transportation,  Rt. Hon. Chibuike Rotimi Friday justified  the total sum N205,161,882,492 as Capital for the year 2021 before the Assembly.

, making presentation before the Joint Committee the Senate and Representatives on Land and Marine Transport said the proposal was presented to enable the ministry make significant progress on all the ongoing projects.

He said out of the N205, land transport has N204 while Marine transport has a total of N845 with overhead cost of N358 for 2021.

“The total Capital Appropriation of the ministry for 2020 is N70,365,081,808, Land has N69,667,177,564, Marine N697,904,244 out of which N36,018,702,122 representing 51.49 percent has been released to date with Land having N35,928,905,544.77 and Marine with N89,796,577.50 has been utilized as at November 2, 2020.

“In addition,  the sum of N245,494,182.42 was appropriated for overhead expenditure out of which N176,926,909.26 was released, the sum of N157,956,153.18 of the released amount was expended as at October 28, 2020.

“The ministry is proposing a total capital of N205,161,882,492 with Land transport estimates is N204,316,793,527, Marine transport estimates N845,088,965 with overhead of N358,799,999 in the 2021 which is before you for consideration. 

” The aims and objectives of these proposal are to make significant progress on all ongoing projects and to complete and deliver modern railway would provide an efficient  and cost effective alternative transport system for growth and creation of job opportunities for the citizenry.”

According to him, Nigerian Institute of Transport Technology (NITT) and Nigeria Railway Corporation (NRC) are fully funded from the while NIWA, and CRFFN derives their funding from both the budget as well as the Internally Generated Revenues (IGR).

He however,  stated that three of the agencies under the ministry, namely NPA, NIMASA and NSC are fully self-funding and make reasonable remittances to the consolidated revenue .

He said that the major role of the ministry in the marine transport sector is to oversee the monitoring of the implementation of government policies for the sub sector which are largely carried out by the agencies. 

said that the budget proposal has presented amounts required for completion of some of the projects by year 2021 while others may span up to 2022.

He said that the ministry is focused majorly on completing the ongoing Freight Offices at Illela, Jibiya and Idiroko in addition to other Land transport projects in 2021.