Babatunde Fashola, Minister of Power, Works and Housing on Tuesday unveiled plans to embark on construction of energy efficient housing model designed by GTZ, a German company.
Fashola who disclosed this during an interactive session with the House Committee on Housing, chaired by Mustafa Dawaki (APC-Kano) explained that 360 mass houses will be constructed in three states through Public Private Partnership (PPP) arrangement in the first phase.
According to him, 17 out of 36 states approached for land for the housing scheme have so far responded, adding that the new housing model will be incorporated into the National Building Code.
He explained that the Ministerial Committee that will look into land title Deeds, water, sewage and transportation as well as Committee on Cost have been set up to fast-track the project delivery.
Fashola who expressed reservation on the adequacy of the N36 billion appropriated for housing sector in the 2016 budget, unveiled plans for the development of “Rent to Own” scheme for those who cannot afford mortgage.
He said: “We look at the N36 billion as the fund with which we will build the concept and if the concept is successful, then we can roll it out more massively because it is not going to solve our housing problems. We can rush out and get some results but we are desirous to have a lasting housing intervention.
“We have consulted widely and from our feedback, we are building according to culture. Our one bedroom is 60 square meters different from the normal one bedroom which is on the average of 20-30 square meters. It is a very big one bedroom. Affordability lies at the heart of what we are doing”.
Fashola disclosed that the partnership with Shelter Afrique, for construction of 5,000 units of houses under the ‘5,000 for 5,000 initiative’ will result into delivery of one bedroom at N1 million and payment spread over time with a mortgage facility.
He pointed out that the take-off of the housing project is however limited by procurement act which compels government to make 15% advance payment to contractors, to enable local and poor contractors to participate.
While responding to the allegation on the delay, Fashola said: “the Ministry should be commended and not condemned because the budget is inadequate.
“As a result of that, we are focusing on sustainable housing plan that works rather than rushing the budget, affordability and slum prevention is key to this design.
“Other countries that had housing program decades ago did not even have 100 percent home owners but they have a near uniformity of designs. By the time we go full circle, we won’t be talking of N35 billion but hundreds of billions.
“Why it took so long for the design to be ready, infrastructures: roads, sewage disposal, water and others have to be planned into the housing and that’s what the Ministry is doing.”
Speaking earlier, Dawaki who decried the delay in the take-off of the housing project, six months after the passage of the 2016 budget, asked “what has the Ministry been doing since November last year when the budget was presented till now that appropriate designs are not ready, you have not even advertised for it?
“Are you not competent or what, because you ought to have competed the design by February so that once the budget was passed you commence. Design should not take more than 15 days because your experts in the Ministry have been doing it for years.
“By the time you start this project, you will have just about three months left in the year, even if the budget is extended to March 2017, that will be just six months,” he said.
KEHINDE AKINTOLA
