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FG to spend N1.3bn on fueling generators

Published by Punch on Thu, 22 Dec 2011


Despite current efforts to increase the level of power generation in the country, the Federal Government plans to spend more than N1.31bn in fueling generators in the 2012 budgetary year.Findings by our correspondents showed that the Presidency would spend N99.8m to fuel generators at the State House.This is 84.81 per cent higher than the N54m budgeted by the Presidency for fueling generators in the 2011 budgetary year.The higher amount budgeted by the Presidency for fueling generators in 2012 may be reflective of the Federal Governments plan to remove fuel subsidy and thereby bring about an increase in the pump price of petroleum products.Going by the increase planned by the Presidency on its fueling expenditure, Nigerians may be paying N120 per litre for Petroleum Motor Spirit popularly known as petrol. This is because an 85 per cent increase in the current pump price of N65 gives a price tag of N120.The Ministry of Finance follows the Presidency in the amount planned to be spent on fueling generators.According to the details of the budget proposals obtained by our correspondents in Abuja on Wednesday, the ministry plans to spend N97.6m in fueling generators in the 2012 budgetary year.The defence community is billed to spend N217.84m in fueling its generators. This include the Defence Headquarters which will spend N13m; the Army N33.7m; the Navy 77.92m; the Airforce 17.34m; the Nigerian Defence Academy N9.75m; the Nigerian Defence College N14.53m; the Command and Staff College Jaji N14.53m; and the Defence Intelligence School N5.53m.With N93m planned to be spent on fueling its generators, the Economic and Financial Crimes Commission comes behind only the Presidency and the Ministry of Finance.Other Ministries, Departments and Agencies that plan to spend high on fueling generators in 2012 include the Nigerian Security and Civil Defence Corps, N75.36m; the National Identity Management Commission, N69.6m; the Ministry of Foreign Affairs, N74.2m and the Ministry of Lands and Housing, N45.6m.Others are the Ministry of Works, N44m; the Independent Corrupt Practices Commission, N40.1m; the Revenue Mobilisation Allocation and Fiscal Commission, N37.04m; the Ministry of Trade and Investment, N30.7m; the Federal Civil Service Commission, N29.89m; the Ministry of Health, N27.7m and the Ministry of Information, N26.29m.Below these high spenders are the Ministry of Interior, N24.07m; the Office of the Secretary to the Government of the Federation, N21.2m; the Ministry of Water Resources, N21.05m; the Nigerian Immigration Services, N17.44m; the National Planning Commission, N17.2m; the Ministry of Communications Technology, N16.69m; and the Office of the Head of Service, N15.17m.The allocation of huge amount of money for fueling generators by the MDAs may mean that government agencies have prepared in case power does not improve in 2012 beyond the current level.Calls to the Minister of Power, Prof. Bath Nnaji, to ascertain the preparedness of the government to meet the power needs of the nation in the light of the amounts to be spent on fueling generators could not be picked.A total of N161bn was allocated to the power sector in the 2012 budget proposal.Apart from government agencies, other players in the Nigerian economy including households are known to spend heavy amounts of money in fueling generators as a result of the inefficiency of the power system in the country.
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