The Senate, on Thursday, resolved to set up an ad hoc committee to probe projects abandoned across the nation by the Federal Government.
The resolution of the upper legislative chamber followed a motion sponsored by Jimoh Ibrahim, Senator representing Ondo South.
While moving his motion, Ibrahim noted there are about 11,856 megaprojects that have been abandoned by the federal government.
His words: “In 2011, President Goodluck Jonathan set up a presidential committee on Federal Government-abandoned projects in Nigeria.
“The committee visited the 36 states in Nigeria and identified 11,866 projects abandoned by the federal government since Nigeria’s independence in 1960.
“According to reports, about 63 percent of the entire projects since independence were abandoned. Even when a project is successfully delivered, it usually comes with an overrun of about 40 percent, while most delivered projects record 10 percent underperformance.
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“That 63 percent of projects abandoned in Nigeria is worse than any country under comparison. The abandonment of the project is of significant concern because of the project costs, which constitute a significant part of the GDP.
“While spending on a public project in the UK is now about one trillion British pounds, Nigeria has no idea of the total amount spent on public projects, whether successful or unsuccessful, since independence.
“The implication of very many projects abandoned could be seen on the economy practically as direct investment declined from $8.8 billion in 2011 to $3.3 billion in 2019, and the current account balances in that year from 510.6 billion to $-17 billion while the population was growing by around five percent. About 86 percent of the citizens were living under 52 a day between 2011 and 2019.
“Public debt increased from 17 percent of the GDI in 2011 to 29 percent in 2019.”
The senator said in the case of Ajaokuta alone, over $10 billion has been spent without any steel production.
The motion was adopted after it was put to a voice vote by Senate President, Godswill Akpabio.
