BY LINUS CHIBUIKE
THE Federal Executive Council, on Wednesday, approved the sum of N35 billion for the Nigeria Export Processing Zones Authority, to build power stations in the processing zones located in Calabar, Cross River State; and Kano.
The Minister of Industry, Trade and Investment, Niyi Adebayo, said the contract, which was awarded to Messers Mutual Commitment Nigeria Limited, would be jointly funded by Government and the company that won the award in the ratio: 25 per cent to 75 per cent.
Explaining, Adebayo, who put the contract sum at N35,411,119,159.47, said the contractor would finance 75 per cent of the project, with the sum of N26,558,339,337.10; while NEPZA would finance 25 per cent, representing a sum of N8,852,779,792.37.
He disclosed these while speaking to State House Correspondents after the FEC meeting on Wednesday.
FEC, according to him, approved a payback period of 10 years for the contractor’s part.
He added that the plant would be operated, on completion, by the contractor for five years, during which local capacity to take over its running would be built.
The minister said, “The whole intention of the upgrade of the two zones is to create zones with world class standards. The Ministry of Industry, Trade and Investment is desirous of making Nigeria a manufacturing hub, especially now that we have signed on to the Africa Continental free Trade Area (AFCTA) Agreement.
“So, by putting 24-hour power in the two processing zones, it will make it more attractive to foreign investors to come and set up manufacturing concerns here in Nigeria.”
