Governor Ibikunle Amosun of Ogun State on Thursday condemned the administration of former Governor Gbenga Daniel, after the current State Commissioner for Finance, Mrs Kemi Adeosun told hundreds gathered at the June 12 Cultural Centre in Abeokuta, the state capital, that the former governor had bought an electrical equipment for N9bn only for the current administration to realise that the power generating equipment was over 20 years old.
Towards the end of Daniel’s administration, he had procured the equipment and installed seven turbines, some of which stopped working soon after he left office. He also installed the Phase I of the power plant now serving the state government secretariat and some parts of the state capital.
Adeosun was addressing the gathering during the 2014 budget analysis of the state when she made the disclosure, adding that experts warned the state government not to install it because it was old.
She said the company from which Daniel bought the equipment requested for a balance of N5bn and N3bn installation fee. But a consultant noted that if the state government had so much, it could procure a better and new model of the power generating equipment.
“When we came into office, we met the power equipment on ground. N9bn had already been spent on that equipment. They were asking for additional N5bn. In addition, they wanted N3bn to install it.
“When you want to spend that kind of money, you have to do cost benefit analysis, which we did. We called in some power experts; they looked at the equipment and said this equipment is about 20 years old. To install it with N3bn, with that money, you can buy brand new equipment which is going to be far more efficient than that average equipment.
“They said ‘if you have that kind of money, we do not advise you to install this equipment. I’m sure you’ve gone past that power plant and seen the plumes of black smoke coming from the power plant. Go to Dangote’s plant at Ibese, look at the tiny, efficient, quiet power plant and that’s modern technology.
“So, that’s why we took that decision and what we are trying to do is and we have told the contractor, to look for somebody who can buy this and let us use the
money to buy something modern”.
Concerning the breakdown of the budget, Commissioner for Budget and Planning, Mrs. Wande Muoyo said it was to consolidate on government’s achievements in 2013 as the government was poised to complete all on-going projects in the state.
She said part of the government’s plan for 2014 is the procurement of gas turbine engines to boost electricity supply in the state in the current fiscal year, which carries a budget of N210.29bn as passed by the state lawmakers.