The Federal Executive Council (FEC) Wednesday approved $984.7 million for the procurement of maintenance equipment for the Nigeria Railway Corporation (NRC).
Minister of Transportation, Mr Mu’azu Sambo, said this while briefing State House correspondents at the end of the weekly FEC meeting chaired by President Muhammadu Buhari.
He said the equipment are specifically for the Kano-Maradi rail line connecting Nigeria and neighbouring Niger Republic.
“A memorandum presented by the Ministry was on behalf of the Nigerian Railway Corporation the memorandum sought council’s consideration and approval for the award of contract for the procurement of rolling stock operation and maintenance equipment for Kano-Maradi standard gauge rail line that is currently under construction.
“The contract was awarded to a company that is also the contractor handling the railway project in the sum of $984,722,302.05 inclusive of 7.5 percent VAT with a completion period of four years,” he said.
The minister said the council also approved over N510 million for the supply of customised Fire Service Vehicles for the Nigerian Ports Authority (NPA).
“The Federal Ministry of Transportation also presented a memo to the council on behalf of two of its agencies. The first agency was the Nigerian Ports Authority which sought to provide for the award of contract for the construction and supply of four customized Fire Service search and rescue vans for extrication of accident victims for Rivers Ports, Port Harcourt, Lagos Port Complex, Tin Can Island Port and Marina Headquarters all in Lagos.
“The Council considered the memorandum and approved the award of the contract as recommended and reviewed by the Bureau of Public Procurement in the sum of N510, 934,600 million inclusive of 7.5 percent VAT with a completion period of nine months,” he said.