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Senate Committee on Power, Steel Development and Metallurgy has expressed concern over the sum of N738 million spent by the Transmission Company of Nigeria (TCN) to clear abandoned goods.
The unnamed goods, the committee heard, were abandoned for over 10 years at the port.
TCN Managing Director, Usman Gur Mohammed, disclosed this at the 2018 budget defence with the Senate Committee on Power.
The Enyinnaya Abaribe-led committee was uncomfortable that TCN used N738 million, about 13 percent of its budget, to clear goods.
A member of the committee, Suleiman Hunkuyi, wanted to know whose responsibility it is, between the TCN and contractors, to clear imported goods.
The TCN boss said that contractors are supposed to be given duty waiver.
Mohammed added that if a contractor abandoned the goods at the port, the TCN will have no option than to clear such goods, pointing out that some of the goods have been in the port for 10 years.
The TCN MD said that they spent N738 out of N2 billion provision.
On his part, the committee chairman wondered why government should tax itself so much to the extent of frustrating power projects.
Abaribe said: “Government is part of the Independent Power Projects. Goods for the NIPP projects arrive in the country ports, government insists on heavy payment of duty. Government ends up taxing itself thereby increasing the cost of the projects and its execution. The goods are abandoned for years, some 10 years.
“I think somebody should be asked to explain. The Senate should be told what is going on.”
The Vice Chairman of the committee, Bukkar Mustapha, said that the request of the committee to be furnished with the number of completed projects and the cost of each project had not been complied with by TCN.
The TCN boss said that they received N5.9 billion in the outgoing 2017 fiscal year while still waiting to get over N36 billion.
“We are hopeful that some releases will still be made,” he said.
On 2018 budget, Mohammed said that they were given a limit of N32 billion.
OWEDE AGBAJILEKE, Abuja
