The Federal Government has reacted to the controversy surrounding the Memorandum of Understand, MoU, it entered with Messrs MPH Rail Development Limited, a United Kingdom firm.
The MoU which was signed by the
Ministry of Transport on March 13, 2024, was for the building of the Port
Harcourt–Enugu–Calabar–Abuja Standard Gauge Rail Line.
Upon the announcement of the MoU,
some Nigerians took to their social media handles, particularly X, to express
concerns over the UK firm’s capacity to deliver the project, saying the company
is new in the rail construction industry.
The critics also pointed out the
need to revisit an existing project as noted by a former presidential aide,
Tolu Ogunlesi, who stated that there’s already a Warri—Itakpe Standard Gauge
Rail.
Ogunlesi suggested an extension
of the existing route from Warri to Port Harcourt and from Itakpe to Abuja to
get Port Harcourt — Abuja Standard Gauge Rail.
Responding to the controversy,
Minister of Transportation, Sa’idu Ahmed Alkali, in a statement issued on
Sunday by Olujimi Oyetomi, Director, Press and Public Relations of the
Ministry, explained that the initiative was still at its preliminary stage.
Parts of the statement read, “For
clarity, a Memorandum of Understanding or MoU is a non-binding agreement that
states each party’s intentions to take actions, conduct a business transaction
or form a new relationship.
“It is not a legal binding
agreement.
“It provides only a platform for
further agreement, discussion, scrutiny and the provisions of required
guarantees by the parties to reach agreement if the parties are satisfied.
“The MoU in question arose from
an unsolicited proposal presented by the British African Business Alliance,
BABA, an association based in the United Kingdom with interest in businesses in
Africa. It’s proposal was initially submitted to the ministry on 27th August
2019.
“As required, the business,
Outline Business Case was submitted to the Infrastructure Concession and
Regulatory Commission, ICRC, on 8th December 2023. The major attraction of the
proposal is BABA/MPH’s initiative to achieve 100% private sector funding for
the project with no loans or debt to the Nigerian government or any of its
agencies as captured in the Article 3.3 of the MoU.
“The regulatory Commission on 27
December 2023 granted approval and issued a conditional OBC Certification. It
is pertinent to note at this juncture that COVID-19 was a major contributor to
the time lag between the initial proposal and the ICRC OBC Certification”.
Advertise on NigerianEye.com to reach thousands of our daily users
U.k has no technological expertise to handle such projects. He has confied a similar project to the Chinese construction company to build a faster rail line in Britain. Why must Nigeria undermine incompetence in all sectors of his national development. This is unacceptable. Britain can only build old rail system compared to the Chinese that have new technologies in whatever they builds.
ReplyDelete