Minister Umahi appeals for increased budget allocation

Senator David Umahi, the Minister of Works and former Governor of Ebonyi State, is advocating for a substantial increase in the 2024 budget allocation for his ministry. Umahi, during the defense of the 2024 Budget estimate for the Ministry of Works before the National Assembly Joint Committees on Appropriation, proposed a rise from N657.22 billion to N1.5 trillion.

The primary objective behind this proposed increment is to expedite the completion of at least 10 critical roads and bridges in each of the six geo-political zones of the country. Umahi emphasized the significance of this investment in infrastructure for national development.

Additionally, the minister put forward a request for an Emergency Fund equivalent to approximately 30% of the Budget Provision. This fund is intended to address unforeseen emergencies, particularly those arising during the rainy season, on the country’s road network.

Umahi underscored the importance of an urgent review of certified debts to contractors, suggesting a potential conversion of these debts into Promissory Notes. According to him, this approach would enable a more focused utilization of allocated funds to achieve the Ministry’s set objectives.

Acknowledging challenges posed by inflation, Umahi highlighted the need to review contract Variations of Prices (VoPs) and augmentations, suggesting the conversion of owed amounts into Promissory Notes. He emphasized aligning unit rates with the current realities of the construction industry.

In advocating for private sector participation, Umahi urged the encouragement of more eligible companies to engage in the Road Tax Credit Scheme. This initiative involves companies front-loading their tax liabilities to enhance private sector interventions and address existing challenges in infrastructure development.

The minister’s comprehensive proposals aim to bolster the country’s infrastructure, ensuring effective utilization of budgetary allocations for national progress.