The Osun State government has said that it did not receive N48 billion as a refund from the Federal Government, contrary to claims made by a former Commissioner for Home Affairs in the state, Sikiru Ayedun.
Debunking the reports was the Osun State finance Commissioner, Bola Oyebamiji, on Saturday, in a statement.
He said that the total sum of road projects funded by the state amounted to N38 billion and not the purported N48 billion.
Clarifying further, Oyebamiji said that the amount refunded by the Federal Government to the state was N11.9 billion, as the refund would be conducted in three tranches.
The commissioner added that the refunded sum had been channelled into the road construction projects that the state oversaw.
He explained, “The total contract sum of all the federal road projects embarked upon by the Osun State Government, as approved by the Federal Ministry of Works, is N38 billion. It, therefore, stands logic on its head to claim that the sum of N48bn will be paid by the FG for projects whose total contract sum equals N38bn. The last time we checked, the federal government is not a Father Christmas.
“The projects in question, as of November 2018, on the average, was less than 35% completion. Available records show that the Osun State Government awarded the 29km Gbongan – Akoda dualization project in 2013 for N29bn while the 40km Osogbo – Ikirun – Ila Odo Kwara boundary was awarded for N17.5bn in the same year, making both projects amount to N46.5bn as proposed by Osun State Government.
“However, after due diligence and thorough assessment by the FG Public Procurement Agency, the contract sum was reviewed downward thus: Gbongan – Akoda road at N23bn, and Osogbo – Ila Odo road at N15bn respectively to carry the approved award contract sum of N38bn for all the ongoing FG roads under construction. This review was duly communicated to the Osun State Government.
“As at November 2018, the contractor handling Gbongan – Akoda road project had received a total sum of N10.2bn, out of which 3.5km of the 29km stretched road has been completed including the Gbongan Interchange and the project was at 29% completion, while the contractor handling the Osogbo – Ila Odo road collected a total sum of N9.2bn, with 49% completion rate.
“The implication is that the Osun State Government had paid both contractors the sum of N19.4bn as of November 2018. Similarly, the total refund by the FG to the state as of today, in three tranches, stood at N11.9bn based on the project delivered by both contractors.
“It is imperative to state that the FG refund of N11.9bn has been judiciously utilized and plowed back into four (4) inherited road projects embarked upon by the previous administration contrary to the unsubstantiated claims by Mr. Ayedun that the refund is being used to pay full salaries to civil servants in the state.
“As of today, Gbongan – Akoda road project is at 36% completion stage, with 8.6km asphalted on both sides of the road. Also, the Osogbo – Ila-Odo project which was 49% in November 2018 is now at 55% completion. Oba Adesoji Aderemi road which was equally inherited at 65% completion is at 74% now and Ilesa – Iperindo – Ipetu Ijesa road project rose from 40% to 66% completion stage.
“It is also instructive to note that since the advent of Oyetola administration, an additional 60km of the road had been reconstructed and fully completed, with another 10 township roads presently under construction. These are expected to be completed before the end of 2021, including the Iconic Olaiya flyover.”