Headline National News Nigeria

FEC approves N8bn for fire fighting equipment

The Federal Executive Council, FEC, has approved a contract worth eight billion naira for the procurement of fire fighting equipment as well as a maintenance and refurbishment center in Katsina.

Briefing newsmen on the approval, the Minister of Aviation, Alhaji Hadi Sirika, said the contracts, which would be completed in 12 months, would save the country from the huge amount of foreign exchange being spent to procure, repair, and refurbish firefighting equipment abroad.

He explained that the centre would cover the maintenance needs of firefighting equipment and heavy-duty vehicles across the country, and would gradually be converted to serve as an assembly plant for firefighting and other heavy-duty trucks.

The Minister said that about N4billion had been approved for the construction of the maintenance center, while the civil works around the center, which are within the ministry’s budget, will cost more than N1billion.

According to him, FEC also approved a full business case that would serve as a roadmap for the ministry to set up an aircraft maintenance and overhaul facility in the country.

The Minister explained that the consortium that would establish the aircraft maintenance center would pay the Federal Government approximately N186million per year, and there after be reviewed upwards.

Alhaji Sirika, added that the agreement with the consortium was for 30 years, and that the breakdown of the amount to be paid to the government included a fixed fee of $1.4 million variable fees of $51.1 million, land rent at 6.82 million dollars, and corporate taxes at 126 million dollars.

Reporting by Abdullah Bello; Editing by Chinasa Ossai & Julian Osamoto