The Federal Executive Council (FEC) has approved ₦836 million for the establishment of oxygen production plants for COVID-19 pandemic intervention across the country.
Briefing State House reporters after the weekly FEC meeting on Wednesday, the Minister of Information and Culture, Lai Mohammed, said the approval of the upward review followed a memo presented by the Minister of Health, Dr Osagie Ehanire to the council.
“The Minister of Health also presented a memo seeking for an upward review for the emergency supply, installation and maintenance of the 38 oxygen plants all over the country,” Mohammed said.
“You will remember in June, the Federal Executive Council, actually approved the sum of ₦5.615 billion to four major contractors for the emergency supply, installation and maintenance of 38 oxygen plants in various parts of the country.
“Regrettably, the four companies also came back recently with the same complaints ranging from fluctuation in the foreign exchange and the scarcity of this plant over the world as a result of material all as a result of COVID-19.
“So, he presented a memo for augmentation in the sum of ₦836 million and this was also approved today.”
The minister disclosed that the council also approved the revised estimate of costs and extension of the contract for the consultants supervising the Bagwai Water Dam Irrigation project from an initial sum of ₦98 million to ₦302.8 million.
He added, “The Bagwai Water Dam Irrigation project in Bagwai Local Government Area of Kano State was commenced; the initial contract was awarded in 2005.
“And due to several logistics problems, the project is still on and just recently, the FEC actually approved an augmentation of the entire contract and that means also that the mandate of the consultant supervising the construction would also have to be reviewed. So, now the total cost for the consultancy is ₦302.9 million.”