Thursday, 1 October 2015

Alleged Fraud: Reps To Investigate Mambilla Multi-million Power project

Alleged Fraud

The House of Representatives yesterday resolved to investigate an alleged inflation of contract for the Mambilla Multi-Purpose Dam and Hydroelectric Power project in Taraba state.

The resolution followed a motion sponsored by Hon. Austin Chukwukere titled “Alleged Inflation of Contract for the Mambilla Multi-Purpose Dam and Hydroelectric Power Project” at plenary presided over by the Speaker, Rt. Hon. Yakubu Dogara, the lawmaker noted that while the first phase of the project was duly awarded and completed by the companies contracted, the contract for the second phase was allegedly awarded by the former Minister of Power without recourse to due process.

“The alleged contract was awarded at the cost of USD 6 billion, apparently without recourse to competitive bidding, which is the hallmark of diligence, transparency and accountability in the award of such huge contract. Thus giving a feeling that the sum may have been inflated.” he said.

He also added that the power sector reforms so far have not yielded the required capacity for the sustenance of stable power generation, distribution and transmission in the country.

It would be recalled that the sum of USD 6,109,729,609 (Six billion, one hundred and nine million, seven hundred and twenty nine thousand, six hundred and nine dollars) was estimated for the power project out of which the Federal government would provide 15%, while the remaining sum would be provided by the contractor.