- The Nigerian National Petroleum Company (NNPC) is constructing roads across the country
- President Muhammadu Buhari approved N1.9 trillion for the construction of roads across the six geopolitical zones
- A breakdown of the road projects shows that the North Central received the largest chunk while North West got the least allocation
President Muhammadu has given the Nigerian National Petroleum Company the nod to invest about N1.9 trillion in the reconstruction of 44 federal roads under the tax credit initiatives.
The Federal Executive Council disclosed this on Wednesday, January 18, 2023, during a meeting chaired by Vice President Yemi Osinbajo.
NNPC to invest N1.9 trillion in road construction
media assistant to vice president Osinbajo, Laolu Akande said the executive council approved the recommendation to invest in the rehabilitation of selected federal roads across the country under the Federal Government Road Infrastructure Development and Refurbishment Investment Tax Credit Policy phase 2 by the NNPC and its associates.
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Akande said the council approved the proposal by the Ministry of Works and Housing for the rehabilitation of the roads spanning 4,554 kilometres to the tune of N1,9 trillion.
BusinessDay reported that the approval comes 15 months after the petroleum company expressed a desire to invest in the rehabilitation of selected roads to sustain the smooth supply of petroleum products in Nigeria.
Executive order enables tax rebate for companies
Buhari signed Executive order 007 in 2019, thereby creating the Road Infrastructure Development and Refurbishment Investment Tax Scheme, seeking to unlock funding from the private sector for critical road infrastructure in Nigeria.
The Punch reported that the initiative will see the participation of the private sector in road construction and rehabilitation with the participants allowed to recover the funds as a credit against the CIT they are expected to pay.
The initiative will see the NNPC constructing a total of 1,804.6 kilometres of roads at a total cost of N621.24 billion.
Road construction across geopolitical zones
A breakdown of the projects shows that the North Central geopolitical zone received the largest chunk of N244.87 billion for the construction of 791.1 kilometres of road.
- South-South got N172.02 billion spanning 81.9 kilometres of road.
- South West will receive 252.7 kilometres of roads worth N81.87 billion in road construction.
- The NNPC gave the North East allocation of 273.35 kilometres of roads worth N56.12 billion under the scheme
- The South East received one of the least allocations of 122 kilometres of road worth N43.28 billion under the scheme.
- NNPC Allocation to North West stood at N23.05 billion for 283.5 kilometres of road.
Mele Kyari, during an inspection of some road projects constructed by the NNPC, said the company will continue to invest massive amounts in important projects in the country for Nigerians.
List of oil producing Northern states as NNPC again discovers oil in Nasarawa
Legit.ng reported that the Nigerian National Petroleum Company Limited (NNPC) Limited has revealed that it has discovered oil in Nasarawa State.
This was disclosed in a statement issued by the company’s spokesman, Garba-Deen Mohammad on Friday, 13 January 2023, Punch reports.
Melee Kyari, the Group Chief Executive NNPCL was quoted in the statement saying that the company would spud the first oil well in the state in March.