Major road being constructed in Nigeria gets financial boost

A major road that is being constructed in Nigeria has received a major boost after Energy firm LNG Limited  committed to provide 50% of the US$301.97m of the total amount required for the construction of the road

The Bonny-Bodo Road that is being overseen in conjunction with the Niger Delta Development Commission (NDDC), has been one of the long-standing government projects in the Niger Delta.

The road is of economic significance to thousands of Nigerians, mainly from the Niger Delta region living on Bonny Island. Residents living in the Niger Delta region in Ogoni, Okrika, Eleme and Andoni in Rivers State will as well benefit the road project.

The NLNG has been exempted from paying 3% levy to the NDDC in accordance to the NLNG Act of 2004. The company has however, clarified the matter that the subject issue is still a legal action initiated by the NDDC in 2005.

According to Babs Omotowa, NLNG Managing Director/Chief Executive Officer, the company case has gone to the High Courts through the Appeal Court to the Supreme Court in October 2011, with all rulings in favor of NLNG.

Financial contributions by the NLNG to the country and the Niger Delta has been significant. NLNG will continue to contribute to the development of the Niger Delta through its unique approach to corporate social responsibility in areas of human capital, Infrastructure development and enterprises.

In 2014 and 2015, NLNG contributed US$3.6bn as Company Income Tax and Education Tax. Additionally, 30.2m has been paid annually to the Rivers State government while US$ 704,603 has also been paid annually to the Bonny Local Government Council.

Hundreds of young Nigerians from the Delta region benefited from the NLNG post-primary, undergraduate and overseas post graduate scholarships, whereas about 250,000 residents on Bonny Island have access to uninterrupted electricity supply, accessible roads and pipe borne water.

Meanwhile, Bonny Island houses NLNG’s Vocational Centre accredited by UK City and Guilds Institute, and provides technical and entrepreneurial skills training for hundreds of community beneficiaries.

In 2013 a total sum of US$1bn was initiated by NLNG Vendor Finance Scheme, for local businesses to access low cost finance and encourage local content development and enable growth.

Recently, a 25-year period MoU has been signed between the NLNG and the Bonny Kingdom for the economic development of the Kingdom. The company committed to contribute US$ 15.1m annually towards the MOU to be managed by the community.

Posted on : 08 Feb,2016

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