Senate Frowns at Zero Capital Budget for Rural Electrification Agency

Respite may be coming for the Rural Electrification Agency (REA) and the Nigerians who fall under its purview as members of the Senate Committee on Power have taken issue with the zero allocation for capital budgets in the 2012 budget.

In response to the Minster of Power, Barth Nnaji’s budget defense presentation where the “anomaly” was discovered, committee members have called for a speedy redress as the REA contributes immensely to the development of the rural areas, according to them.

“This is an agency that touches the lives of our constituents and we do not see the rationale for a zero-capital budget for it,” deputy chair of the committee, Sen. Chris Ngige told the Minister.

This sentiment was echoed by other members, notably Sen. Danjuma Goje and Sen. Akinyilure.

It took the intervention of the Chairman of the Committee, Senator Aduda, to bring the situation under control. Sen. Aduda explained that the REA was resuscitated about three weeks ago while the budget before them was prepared long before then, hence the omission of the agency in this year’s capital budget from the Ministry of Power. He said that his committee would look for ways to “juggle” the budget to enable the Agency receive a lifeline to become effective.

The Committee had earlier indicated that it would support the agency to effectively take off once more. In this wise, the chairman indicated the interest of the committee to see that the agency’s rural electrification projects are no longer funded from the Ministry’s subheads as is currently the practice.

It also enjoined the Ministry of Power to return the Rural Electrification Agency, all ongoing rural electrification projects currently being executed by different distribution companies to the Agency.

While observing that the Ministry included N3.4billion in the budget to pay REA contractors, Sen. Aduda wondered why the money cannot be included as the budget of the agency which is in a position to identify and pay those it had contracted to do the work, rather than remain with the Ministry of Power for disbursement to contractors who have submitted certificates for work done.

The Minister was accompanied to the National Assembly by Minister of State, Arc. Darius Ishaku, Permanent Secretary in the Ministry, Mrs. Ibukun Odusote, and other top officers of the Ministry and its agencies, including newly-appointed Chief Executive of REA, Engr. Kenneth Achugbu.

2 Comments

1. 

   Anonymous

   February 1, 2012 at 10:17 am

   THE PREVIOUS RURAL ELECTRIFICATION WAS A MESS.

   BEFORE YOU FROUN , FIND OUT WHAT HAPPENED TO TH EPAST ONE .

   THE THEN EFCC WAS AFRAID TO TACKLE THE FRAUD .

   JUST STAY QUITE ,IF YOU DONT KNOW WHAT TO SAY
2. 

   Anonymous

   February 1, 2012 at 10:17 am

   THE PREVIOUS RURAL ELECTRIFICATION WAS A MESS.

   BEFORE YOU FROUN , FIND OUT WHAT HAPPENED TO TH EPAST ONE .

   THE THEN EFCC WAS AFRAID TO TACKLE THE FRAUD .

   JUST STAY QUITE ,IF YOU DONT KNOW WHAT TO SAY