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Renewed Hope : Senate backs Umahi’s initiative on tax credit scheme of the Federal Ministry of Works, with the aim of bridging the gap in financing road infrastructure

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In keeping with his commitment to the tenets of checks and balances and separation of powers emphasized by the Renewed Hope administration of the President of Nigeria,*His Excellency, President Asiwaju Bola Ahmed Tinubu GCFR* the Honourable Minister of Works, *His Excellency Sen Engr Nweze David Umahi CON* led the critical departments of his Ministry to honour the invitation of the Senate Commitee on Finance on an interactive session in respect of the funding of critical roads, NNPCL Funding and Infrastructure Development and Refurbishment Investment Tax Credit Scheme held at the Conference Room of the Senate on 22nd February 2024.

As part of the powers of oversight by the National Assembly, the Senate Commitee on Finance ably chaired by Distinguished Senator Mohammed Sani Musa, CON invited the Federal Ministry of Works to ascertain the level of performance of the funding of the road projects captured under the Tax Credit Scheme, the rationale behind the creation of the Federal Government’s Executive Order No. 007 of 2019 passed by the past administration and the constitutionality of the Executive Order, having regard to section 80 of the 1999 constitution of the Federal Republic of Nigeria as amended. As part of his remarks, the Senate Committee Chairman said, “We need to know the beneficiaries of that tax credit and the essence of the job that they have done today. Having said that, going also by what you said, funds should all come to the Federation account. Appropriation is a different thing. Road is not the only problem we have in this country. We equally have challenges with health and others. So when this money comes into the pool, the federation account, we can now appropriate accordingly”

The subject of discussion, as it where, provoked different points of conversations by the Distinguished Committee members, after which the Hon. Minister of Works was given the floor to address the concerns raised by the committee members. He gave an overview of the structure and the status of the Tax Credit Scheme as well as the philosophy behind the creation of the Executive Order, which, according to the Honourable Minister, was a product of the decision by the National Economic Council under the past administration, designed to fill the funding gap in the road infrastructure development through fronting loading of Tax by the private sector to fund eligible road projects. According to the Hon. Minister, this scheme would incentivise the private sector to participate in the efficient and effective development of roads across their economic corridors and industrial clusters, which provide value for money. The programme, which has so far attracted funding for about 85 highway projects, is receiving funding from Dangote Industries, Nigerian Liquified Natural Gas Ltd (NLNG), Nigeria National Petroleum Petroleum Corporation Ltd (NNPCL),MTN Nigeria Telecommunications Ltd. He also spoke on the Ministry’s efforts in scopping the projects and making sure that design complies with the word’s best standards. He added that aggressive supervision was helping in ensuring quality project delivery across the nation.

The Minister gave an example of Benin- Warri road being done under the Credit Scheme and explained the innovations introduced by the Ministry under him to bring enduring solutions to the road failures. He said. “Then we now have from Benin to Warri. That’s where some of the projects are listed. If you look at the documents we submitted, you will see that we analyzed the project zone by zone. And so we also looked at the nature of the roads from Benin to Wari. It’s also a very terrible situation. So we began to fight with the contractors, and I said there is no amount of asphalt you use on this road that will stand. So what we did was to excavate all the soil up to 1 meter depth, fill back with 500cm lumps, fill back with 400cm sand. And then now go back to fill with stone base, allow it for traffic to be on it. After 30 days, then you put an additional 10cm stone base. That is 55% cement. And then you have to use concrete.

He also said that the Presidential Infrastructure Development Fund ( PIDF) was established for other strategic and critical projects that are capable of carrying Average Daily Trafick of 10,000 vehicles per day, including Abuja- Kaduna-Zaria-Kano highway. According to the Honourable Minister, ” Mr. President has just approved that the critical projects under PIDF be funded. I’m still pushing for the release of money based on Mr. President’s directive, and that is for Abuja-Kaduna,-Zaria-Kano Highway, it is very key and very important to Mr. President. But I have an issue with Julius Berger Nigeria Plc and I’ve just set up a committee to go and jointly review the project because they are asking for N1.5 trillion for that 375-kilometer dualized road. And for me, it is not justifiable.”

The Distinguished Senators were generally happy with the explanations given by the Hon. Minister of Works on the importance of the Tax Credit Scheme and the Presidential Infrastructure Development Fund, the funding performance so far and why it may not come as an appropriation, being that the funds are still the money in the hands of the private sector front loaded for some years in the future.

The Senators spoke in turns starting from the former Chairman Senate on Works, *His Excellency Senator Mohammed A. Aliero*, who spoke in defence of the Tax Credit Scheme: “It (the Tax Credit Scheme) came because of the infrastructure deficit we have in the country, which budgetary provision can not be enough to meet it. If we continue budgeting the way we are budgeting, believe me, it will take us 30 to 40 years before we can complete road rehabilitation and other repairs. The only way we can do it is to look for extra funding. And to the best of my knowledge, the State Governors were fully involved in this tax related scheme. There was a meeting between the President and the Governors. The President told them that we have a very serious infrastructural deficit in the country, and the only way we can attend to it is to use tax credit. And they all agreed, ”

The Chairman of the Senate Committee on Finance, in his concluding remarks, said, “My conclusion is that the committee will look at all that we have just heard from you ( the Hon. Minister) and make our decisions. But based on what we have heard from you, we are convinced that the Tax Credit policy of the Federal Government is a welcome initiative, which is worthwhile and we believe that every exigency has a purpose for which that period needs. And that is what called for the Presidential Order. And what we will appeal to both NNPC, Federal Ministry of Works, and the contractors are to make sure that those projects are completed”

With this wonderful executive- legislature understanding and reciprocity in tackling the economic challenges facing the country, one can be sure that the administration of Mr. President is on the steady part of binging economic prosperity to our country.

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Dangote Denies Fallout with Elumelu, Debunks Financial Support Claims

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The Dangote Group has dismissed as false and malicious claims of a rift between its President, Aliko Dangote, and the Chairman of Heirs Holdings, Tony Elumelu, and also rejected allegations that he (Dangote) solicited support for financing his refinery project.

In a statement issued on Sunday, the group described as “entirely baseless” a publication stating that Dangote had revealed why he distanced himself from Elumelu, stressing that neither the businessman nor the organisation made such remarks.

The statement, signed by the Group Chief Branding and Communications Officer, Anthony Chiejina, said the report misrepresented both personal and corporate positions and added that there was no disagreement between the two prominent business leaders.

“The Dangote Group has become aware of a publication titled ‘Aliko Dangote Speaks Out on Why He Distanced Himself from Tony Elumelu’, which is false, malicious, and baseless. At no time did the President or the Group make such statements or express such sentiments,” the statement read in part.

The company further dismissed claims that the multi-billion-dollar Dangote Petroleum Refinery & Petrochemicals was financed through personal borrowing from friends, describing such assertions as inaccurate and a deliberate misrepresentation of facts.

According to the group, Dangote does not fund projects through informal personal loans, noting that any such claims should be backed by verifiable evidence.

“As a matter of principle, Aliko Dangote neither finances his projects through personal borrowing from friends nor engages in lending arrangements of that nature. Any individual making such claims should provide verifiable evidence to substantiate them,” the statement added.

The group also clarified that there was no strain in the relationship between Dangote and Elumelu, maintaining that both men continue to enjoy a longstanding and cordial relationship despite the claims circulating in the report.

The clarification follows the circulation of a widely shared online post which alleged that Dangote fell out with Elumelu after a failed financial assistance request during the construction of the refinery.

In the post, attributed to Dangote but now disowned by the company, the author claimed that in 2021, when the refinery project was about half-completed, he ran out of funds and approached several business associates for support, including Femi Otedola, Abdulsamad Rabiu, Mike Adenuga, and Elumelu.

The post further alleged that Elumelu promised $20m but later became unreachable, while other associates reportedly raised $500m to support the project, with Otedola said to have contributed $300m.

However, the Dangote Group said such claims were fabricated and should not be attributed to its president, reiterating that the financing narrative presented in the post was false.

Beyond the disputed publication, the company raised concerns over what it described as a growing trend of fabricated statements and the unauthorised use of Dangote’s identity in digitally manipulated content.

It warned that the misuse of his name, likeness, and image in artificial intelligence-generated advertisements and other misleading materials poses reputational risks and could amount to fraud.

“Furthermore, the group notes with concern a rising pattern of fabricated statements and the unauthorised use of Aliko Dangote’s name, likeness, and image in AI-generated advertisements and other misleading content. These actions amount to reputational harm and potential fraud,” the statement said.

The company cautioned individuals, organisations, and platforms involved in creating or disseminating false information to desist immediately, warning that it would not hesitate to pursue legal action where necessary to protect its reputation and that of its leadership.

The Dangote Group reaffirmed its commitment to maintaining high standards of integrity while continuing its industrial and economic contributions across Africa, particularly in advancing self-sufficiency and sustainable development.

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Rising Attacks on Abuja–Kaduna Trains Spark Alarm as NRC Seeks Urgent Community Support

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The Nigerian Railway Corporation (NRC) has raised serious concerns over a growing wave of attacks targeting train operations along the Abuja–Kaduna rail corridor, describing the incidents as dangerous and economically damaging.

In the latest attack, suspected vandals reportedly targeted a moving train around Kilometer 177 on the route, pelting stones at the locomotive and damaging its windscreen. The incident is one of several recorded in recent weeks, highlighting an alarming pattern of hostility along the critical transport corridor.

According to the Corporation, similar acts have occurred in multiple locations, including Gidan Busa and Sarki Gora Village in Kakau District, within Chikun Local Government Area of Kaduna State. In total, more than six attack points have been identified within a two-week span, intensifying operational challenges for railway authorities.

The NRC warned that these repeated attacks pose a direct threat to passengers, railway personnel, and infrastructure. It described the acts as economic sabotage capable of undermining the Federal Government’s heavy investment in rail transport and disrupting a key component of national mobility.

Despite the risks, the Corporation confirmed that train services along the corridor have continued, with heightened safety measures and increased vigilance by railway staff to ensure passenger safety. Management commended security agencies for their ongoing collaboration in protecting railway assets and maintaining order along the routes.

Efforts are currently underway in partnership with security operatives, community leaders, and other stakeholders to strengthen surveillance, identify those responsible, and bring them to justice.

The NRC has also appealed to residents living along railway corridors to play an active role in safeguarding the infrastructure. It urged communities to report suspicious movements and discourage acts of vandalism, warning that continued attacks could disrupt smooth service delivery if not urgently addressed.

Reaffirming its commitment, the Corporation assured Nigerians that it remains focused on providing safe, secure, and efficient rail services nationwide, while intensifying efforts to protect both passengers and critical railway infrastructure.

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Tinubu’s $2.99bn Rail Push Sparks Calls for Nationwide Network Expansion

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By Sotayo Olayinka

The Federal Executive Council (FEC) on Thursday approved a $2.99 billion package of rail infrastructure projects, signalling a renewed commitment by the administration of Bola Ahmed Tinubu to deepen infrastructure development and unlock economic growth.

While this initiative is widely commendable, there is a growing call for the Federal Government to extend similar support to the Nigerian Railway Corporation (NRC). Strengthening the corporation would significantly improve inter-state transportation, ease the pressure on road networks caused by overloaded trucks, and enhance logistics efficiency nationwide.

Nigeria has already recorded progress with the Lagos–Ibadan rail corridor. However, greater impact can be achieved if the government connects Lagos to Abuja, complementing the existing Kaduna–Katsina line. Such integration would go a long way in addressing the country’s persistent transportation challenges. There is also increasing public demand for the expansion of rail services to the northern and eastern regions, which would create a more unified and dependable national transport system.

Many Nigerians still recall the 1960s, when train services operated seamlessly from Lagos to Kaduna and even Sokoto—an era that underscored the immense potential of an efficient rail network.

Expanding the railway system aligns with the administration’s Renewed Hope Agenda and would deliver tangible results in infrastructure development. There is also a widely held view that the current leadership of the NRC, under Managing Director Kayode Opeifa, is making meaningful progress in revitalizing rail services.

Sustained government backing will be critical to consolidating these gains and building a modern, efficient, and nationally connected railway system capable of driving economic growth and easing transportation challenges across Nigeria.

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