As compensation for out-of-pocket costs incurred during an eight-year period to build federal roads, the federal government has returned N859.7 billion to various state governments.
This information was included in a recent fact sheet released by the Presidency that highlighted the accomplishments of the Buhari administration.
The Minister of Works and Housing, Babatunde Fashola, issued a directive to states to refrain from such interventions because the Federal Government would not cover such costs as a result of claims that state governments increase the cost of repair work done on federal highways.
Lai Mohammed, the minister of information and culture, has declared that going forward, any state that takes over federal government roads will not be compensated. They won’t be eligible for a refund. Even if you choose to pay out of your own pocket, you will still need the federal government’s approval, and the Federal Ministry of Works and Housing will be in charge of overseeing it.
Additionally, on Wednesday during the opening of the Rumuokwuta/Rumuola Flyover, River State Governor Nyesom Wike called for reimbursement of the N80 billion used to build federal highways in the state.
Bola Tinubu, the president-elect, rejected the request and said he owed the man nothing because the state’s governor and residents were already using the built-up roadways.
State governments have continued to receive funds from the federal government despite being told not to interfere with federal roadways falling under their purview.
Five states received a rebate totaling N148 billion for the 2020 rehabilitation of some federal roads.
Five states that built federal roads received a N143 billion reimbursement from the federal government in 2021.
24 states received N477 billion in refunds in 2022 for the building and repair of federal roads.
The Federal Executive Council authorized the payment of N152.6 billion to seven states for road improvements carried out on the federal government’s behalf as early as 2023.
In the meantime, several states have kept up their demands for reimbursement in light of recent disclosures.
Akin Oyebode, the commissioner of finance for the state of Ekiti, reported on Thursday that the state government has invested over N11 billion in the building of a few federal roads in the state.
The Ado-Iyin Road and the Omuo-Isinbode Road were among the routes named by Oyebode as examples. He claimed that the federal government had given the idea that it would no longer reimburse states for the building of federal highways.
But they (FG) are being quite picky about this, the commissioner remarked. Babatunde Fashola, the minister of works and housing, declared that the federal government has ceased all returns to the states and that any state that maintains a federal road does so at its own expense.
