BER 24, 2014 2015 BUDGET SPEECH BY THE CHIEF SERVANT, DR. MUAZU BABANGIDA ALIYU, CON (TALBAN MINNA), THE GOVERNOR OF NIGER STATE, AT THE CHAMBERS OF NIGER STATE HOUSE OF ASSEMBLY; ON WEDNESDAY, 24TH DECEMBER, 2014 ___________________________________________ THEME: “BUDGET OF SHARED VISION AND UNLIMITED OPPORTUNITIES” PROTOCOLS: Mr. Speaker, Honourable Members; I am pleased to present to this Honourable House the proposed 2015 Budget estimates of Niger State Government and the Appropriation Bill for passage. This year’s budget proposal is unique in two dimensions; it is the eighth and last in the life of this Administration and the first that is in compliance with International Public Sector Accounting Standards (IPSAS). As you are aware, adopting IPSAS will not only strengthen our transparency and fiscal responsibility but also engender stronger partnership with our development partners while instilling fiscal discipline, transparency and accountability in governance. Before I continue, may I use this opportunity to draw your attention to a very disturbing trend experienced in Niger State in the recent permanent voters card (PVC) issuance exercise which was not only postponed twice before 19th December, 2014 for inadequate preparations by INEC, but was also characterized by questionable shoddy arrangements and outcomes. It is amazing that out of our 25 LGAs, the PVC exercise took place in 11 LGAs only, including: Mashegu, Mariga, Munya, Mokwa, Paikoro, Rijau, Rafi, Suleja, Shiroro, Tafa and Wushishi. For instance, in Mokwa LG, out of 196 polling units, the PVC exercise was carried out only in 17 polling units, representing less than 10% coverage. The same poor rating was recorded in most of the LGAs covered. Meanwhile, the continuous voters registration (CVR) exercise, which has commenced in the aforementioned LGAs is also experiencing the same fate, as non-functional computers, unqualified and uncommitted personnel characterize the exercise, with serious implications for the desired outcomes. It is therefore imperative to appeal to the Independent National Electoral Commission (INEC) to reconsider its stance on the use of the PVC for the February 2015 elections, given the numerous challenges, which are likely to de-enfranchise many eligible Nigerians. I therefore strongly advise that the old register and the temporary voters card should be used for the forthcoming elections while INEC prepares adequately for the use of the PVCs in the future elections. Mr. Speaker, Honourable Members, it is delightful that despite daunting challenges of governance, we have recorded substantial achievements and landmarks for our successors to build upon, within the context of Vision 3:2020. The 2015 budget is tagged “Budget of Shared Vision and Unlimited Opportunities” to reflect our collective desire to make Niger State a better place than we all met it . We believe the common vision we share as a people will remain our guiding principle for propelling Niger State to greater heights to the pride and admiration of the present and future generations. I believe today, almost eight years into our administration we have every reason to be proud Nigerlites because the statistics, records and physical evidence abound in all the nooks and crannies of our State. We are always pleased with the testimonies of the impact we are making in the lives of the people at the grassroots, who are direct beneficiaries of our policies and programmes. It is therefore gratifying that all of us – I mean all of us, in the executive, legislature and judiciary, and even our party’s card carrying members and supporters – have played historically significant roles in writing this glorious chapter in the annals of Niger State. Mr. Speaker, Honourable Members, you may recall that the 2014 “ Budget of Sustainable Economic Growth” passed by this House was N98,852,343,536. It may also be noted that the total budgeted revenue for the period January to September 2014 was N74,139,257,652.00, out of which the State realised the sum of N58, 379,441,048.60 (78.75%). REVIEW OF CAPITAL BUDGET PERFORMANCE 2007 – 2014 Mr. Speaker, we have decided to present an abridged overview of our budgetary performance since 2007 just to refresh our memories. In 2007 when we came into office, we pledged to chart a new course in the administration of Niger State through a participatory approach to governance and to institutionalize public probity, accountability and transparency. This informed our establishment of structures and institutions that will promote good governance in the State. One of the earliest initiatives at the inception of our administration include the conceptualization of our Development Action Plan (DAP), which formed the kernel of government’s drive to massively invest in economic, social, administrative and political infrastructure for the realization of our developmental goals that metamorphosed into the Vision 3:2020, in which we aspire to: “…transform Niger state into one of the three top economies in Nigeria by the year 2020, by being a model and leader in agro-based industrialization, and a global ecotourism destination, where there is employment and wealth creation opportunities for all, in an atmosphere of peace.” In a similar vein, we re-established the Jama’a Forum as a platform for promoting participatory and social inclusion in governance and introduced the marvellous Ward Development Projects (WDP) to implement our commitment to grassroots development consistent with the aspirations and real needs of our people. I am pleased to note that the WDP initiative with over 5,937 projects in all the 274 wards of the State was our critical selling point during the 2011 re- election bid, as we leveraged on the presence of our intervention projects in every ward in the State to garner the support of the electorates. ECONOMIC SECTOR Agriculture and Rural Development We re-organized and re-positioned the Niger State Agricultural and Mechanization Development Authority (NAMDA) to deliver superior technology and technical support as well as ensured availability of inputs to our teeming farmers. We have expended about N10billion on numerous agriculture intervention projects such as tractors, assorted fertilizers and provision of agriculture credit facility to farmers. Other notable projects and programmes in the agriculture sector include: establishment of Livestock and Fisheries Development Institute, Tagwai; rural roads development under RAMP II; rural socio-economic empowerment under FADAMA II and III Projects; and the rehabilitation of the Farm Institutes at Nasko, Kuta, Tegina and Bida where Secondary School Leavers are being trained modern Agricultural practices. In addition, Government established three cottage shea-butter production facilities across the state. It also supported 10,000 farmers with inputs, technical and financial services under the pilot phase of Niger State Rice Investment Consortium (NSRIC) Project. Related collaborative initiatives with development partners such as CARI, JICA, UNDP and USAID MARKETS III in the rice and cassava value chain programme are on going. We have taken proactive steps in addressing the problem of incessant clashes between farmers and herdsmen, by surveying, demarcating and gazetting some grazing reserves in the conflict-prone parts of the State. Similarly, over 1,408km Stock Routes across the state were delineated and re-demarcated. INFRASTRUCTURE: Transportation Under our roads development programme, over 1,000 kilometre roads across the State are under construction at advanced stages of completion. To ensure qualitative maintenance of existing roads we established the Niger State Road Maintenance Agency (NIGROMA), which has been doing very well as far as rehabilitation and routine maintenance of minor and major roads is concerned. In our bid to boost the operational efficiency of Niger State Transport Authority (NSTA) and ease transportation problems, Government procured additional Buses of various capacity, Tricycle, Cabs and Ferries. Energy: Mr. Speaker, the State Government is not unmindful of the critical role of power in the socio-economic development of any society. In this regard, we have expended N3,272,878,436.00 on rural electrification projects covering communities in the twenty five local government areas of the state. Commerce, Investment and Culture: The Niger State One-Stop Investment Centre was established to make life easier for prospective investors in Niger State. Happily, out of 36 States and Abuja recently surveyed by the World Bank, Niger State has attained 6th position rating in efficient business processes in the Federation; a remarkable improvement from its 18th position in 2010. Other initiatives embarked upon in this sub- sector include: the establishment of the Niger State Small and Medium Enterprises/Micro- Finance Agency; facilitation of the establishment of 19 Micro Finance Banks across the State; and the establishment of Niger State Industrial Parks Agency. SOCIAL SECTOR Education: Mr. Speaker, Honourable Members, we are very pleased with the implementation and outcomes of our policies in the education sub- sector, including: free education for all children in our public primary and secondary schools; payment of WAEC, NECO, NABTEB and other examination fees; and payment of backlog of scholarship arrears worth over N1.4 billion for 23, 000 students on Niger State Scholarship. It is delightful that public school enrolment has doubled from 700,000 in 2007 to 1.4 million in 2012. Also important, the state has contributed about N10billion as counterpart fund for various intervention projects and programmes of the Universal Basic Education. On tertiary education, we have ensured improved and adequate funding for the IBB University, Lapai thereby placing it on a more solid foundation. In a related development, Niger State University of Education being first in the Northern Nigeria has been established. These are all geared towards meeting the critical manpower needs of the State. Health: The access to qualitative healthcare by the populace has increased tremendously through the construction of three new 110-bed General Hospitals at Nasko, Sabon-Wuse and Gulu aside from various renovation and construction of General Hospitals and Rural Health centres. Other notable initiatives and interventions include: the establishment of the Niger State Primary Health Care Development Agency through which Niger State received the Bill and Melinda Gates Foundation Award as the most improved State in polio eradication in Nigeria; the upgrade of IBB Specialized Hospital into a Specialist Hospital; and the construction of N1.6billion Maternal and Neo-natal Hospital Minna, which is at advanced stage of completion. Youth Development: In this sub-sector, we have recorded the following progress: upgrade of facilities at the NYSC permanent orientation camp; employment of about 6,000 young graduates (Degree & HND holders) through the Graduate Engagement Scheme; training and provision of equipment and take off grant to 1,500 youth in high tech welding and fabrication and other skills acquisition programmes. In the same vein, 3,000 youth have been trained in various skills development programmes in collaboration with the Central Bank of Nigeria, which has also established an Entrepreneurship Development Outreach Centre in Minna. It is pertinent to note that through various intervention programmes of the State Government on poverty reduction, about 10,233 jobs were directly created. You will all recall that for three consecutive years, Niger State has been rated as the State with least poverty index in the country. REGIONAL SECTOR: Water Supply and Sanitation Mr. Speaker, Honourable members, Government has continued to invest in the expansion of existing water facilities to boost the provision of potable drinking water to all Nigerlites. The State Rural Water and Sanitation Agency (RUWATSAN), was reorganised to enhance its operational efficiency. Over 500 boreholes were rehabilitated across the state by the Agency, which recently received drilling machines and installation materials worth over N682 Million from the Japanese International Cooperation Agency (JICA). The Agency in collaboration with the MDGs has drilled 75 nos. solar powered boreholes across the state. Sewerage and Drainage: As we aware, environmental issues are becoming global issues; hence the need for concerted efforts to ensure compliance with international environmental best practices and standards. Government recently re-introduced the sanitary inspection system and engaged 571 youths as Sanitary and Environmental Vanguards to ensure clean and hygienic environment. Similarly, 500 Green Guards were engaged and fully trained to secure our forest reserves. The Green Niger Initiative is on course with planting of flowers and trees along major streets in Minna, while 3nos. plant nurseries have been established. Housing: Under the Housing sub-sector, we conceived and executed the construction of 500-Units of two and three bedroom flats at M.I. Wushishi and Talba Housing Estate. The construction of the 250 housing units each at Aliyu Makama and Colonel Sani Bello Housing Estates at Bida and Kontagora respectively are near completion, while work is on going at the 1,500 units Maikunkele Airport City Estate, where 50 units have been completed. Government has commenced the construction of 90 nos. housing units of different categories at the three Arms Zone, to provide official accommodation for deserving public officers. I am also happy to note that work has commenced at the Minna City Centre development project, which is aimed at enhancing the aesthetic outlook and the socio- economic status of Minna as a 21st century global liveable city. Urban and Regional Planning: The Niger State Geographic Information System (NIGIS) has been established to improve land administration, documentation processes and revenue generation in the State. We have installed over 30km solar powered streetlights from the Chanchaga Bridge to Maikunkele and from the Minna city Gate- Eastern Bye-pass to ADP Junction Maitumbi. The existing Minna township streetlight system from the City gate to Tudun Fulani has been reactivated. Similarly, traffic lights have been installed at strategic junctions in Minna and other urban centres to enhance traffic flow. GENERAL ADMINISTRATION From the inception of this Government, we realised the critical role of the Civil Service in the implementation of our laudable programmes. We re-invigorated and strategically reformed the Civil Service for increased professionalism and higher performance. We expended about N14.902b on the payment of pension to retired Civil Servants while prompt and regular payment of monthly pension to retirees and salaries to public servants has remained constant. In order to eliminate ghost workers and plug revenue leakages, the pay roll system was reformed and biometric data capturing of all Civil Servants in the State was carried out. Institutional Reforms were also carried out to give legal backing to the operations of our institutions in line with international best practices and efficient public finance management. In this regard, the State Government has passed the Laws establishing the following agencies: 1. Niger State Planning Commission 2. Niger State Bureau of Statistics Niger State Public Procurement Board 1. Niger State Fiscal Responsibility Commission 2. Niger State Public-Private-Partnership Agency. It is worthy to note that these institutions have been constituted and functioning in line with their mandates. THE LEGISLATURE: It is gratifying to note that the Niger State House of Assembly is one of those to have passed the highest number of Laws in the country with the passage of 45 Bills into Law and adoption of 62 motions. The sum of N3,148,104,104.00 has been expended on community social service projects of Honourable Members and other capital projects of the Legislative Arm of the Government. THE JUDICIARY This Administration has always recognised and accorded the judiciary the desired respect as an independent organ and separate Arm of Government as enshrined in the Constitution. The office complex of the Judicial Service Commission was constructed; the High Court and the Sharia Court of Appeal Complexes were renovated, fenced and given a face-lift. In addition, three new High Courts were constructed at Kuta, Rijau and Kutigi, while 20 State Counsels, 18 Magistrates and 30 Sharia Court Judges were recruited. SECURITY Niger State has remained relatively peaceful. In fact it can be said without fear of contradiction that the State is one of the most peaceful in the country. Let me on this note commend the inestimable role of the security agencies in the State. In furtherance of our commitment to the sustenance of peace and security, we established the Niger State Vigilant Corps to complement role of the Police in all the LGAs in the State. RELIGIOUS AFFAIRS We equally note the importance of religious harmony in a multi-faceted society such as ours. That is way we pursued measures that promote religious tolerance and peaceful co- existence. The Ministry of Religious Affairs was created with the mandate of reviving moral ethos in the society, promoting our moral values and societal regeneration. Furthermore, government supported the completion of numerous worship places in the State. FISCAL ENVIRONMENT Events of the last half of 2014 in the oil global industry; a direct consequence of the “shale revolution” especially in the US; global “oil politics”; and the insecurity in the Niger Delta have underscored our often emphasised need for the non-oil producing states particularly in the North to put in place mechanisms for the full exploitation of their natural resource endowments for their economic benefits. For too long we have failed to act and the effect of this failure is upon us now. Today many States in the North are unable to meet the basic obligation of remunerations to personnel as well as other running cost of governance, not to mention major capital investments. As it is, the downward spiral of the price of crude oil in the world market will certainly lead to shocks in public expenditure. Let us see the crashed oil prices as a golden opportunity and strategise on giving priority attention to agriculture through a targeted Marshal Plan. This we must respond to in a strategic manner so that we, as a people will be judged by history to have ensured that the economy of our region and its people is put on a sustainable path of growth and development. THE 2015 BUDGET Mr. Speaker, Honourable Members, arising from the above, the resource projection for 2015 budget was guided by a realistic consideration of our current economic situation and the necessity to respond appropriately to the threat posed by the downward spiral of crude oil prices on our major revenue heads; specifically, Statutory Allocation from the Federation Account. Niger State is hit with a double-edged sword because about 80% our revenue is from the federation account which is oil dependent and the remaining 20% largely made up of Internally Generated Revenue (IGR) also influenced by oil revenue since over 70% of the IGR is made up of the PAYE deducted directly from salaries. Anything that affects salary payments also affects the IGR Our projection therefore is most justifiable given the scenarios playing out in the global oil politics, which has remained, cloudy and unpredictable. 2015 Total Budget Size The total budget estimate for the 2015 financial year is N80,815,405,545; comprising N42,164,221,001 and N38,651,181,544 recurrent and capital estimates respectively. The 2015 budget is to be financed through the following revenue sources; ITEM AMOUNT (N) PERCENTAGE Statutory Allocation (SA) 51,930,818,177.00 64.26 Value Added Tax (VAT) 10,884,584,368.00 13.46 Internally Generated Revenue (IGR) 9,000,000,000.00 11.14 Capital Receipts 9,000,000,000.00 11.14 TOTAL 80,815,402,545.00 100.00 Estimated Expenditure The 2015 proposed budget has a total estimated expenditure of N80, 815,402,545.00 made up of recurrent estimate of N42, 162,221,001.00 and capital estimate of N38, 651, 181,544. Recurrent Expenditure The recurrent expenditure is estimated at N42, 814,221,001.00 made up of: ITEM AMOUNT (N) Per cent Personnel Cost 27,159,836,894.00 64.42 Overhead Cost 9,438,293,186.00 22.38 Consolidated Fund Charges 5,566,090,921.00 13.20 TOTAL 42,164,221,001.00 100.00 Capital Expenditure The structure of the estimated Capital Expenditure is presented below; SECTOR CODE SECTOR AMOUNT (N) PE 01 Administrative 3,645,555,000.00 02 Economic 23,411,896,993.00 03 Law & Justice 936,625,000.00 05 Social 10,657,104,551.00 TOTAL 38,651,181,544.00 Mr Speaker, in the face of the current economic realities, we have prioritised completion of on-going projects during the first five months of 2015. SECTORAL HIGHLIGHTS Some of the major programmes and projects earmarked for execution in 2015 are as follows. ADMINISTRATIVE SECTOR General Administration / Legislation The sum of N3, 645,555,000 has been proposed to be expended on renovation of Government House, rehabilitation of roads within the Old Secretariat, purchase of vehicles and office equipment, Capacity building of the civil service and payment of counter-part funds for development partners’ activities. ECONOMIC SECTOR In view of its importance as the economic driver of the state, this sector has the highest proposed allocation of N23, 411,896 993 or 60.57% of the budget. Agriculture (including Livestock and Fisheries) and Rural Development This sub-sector has a proposed allocation of N2, 827,690,603.00 for execution of capital projects in on-going initiatives and interventions such as the Value Chain Development Programme, FADAMA and RAMP II. Under the Livestock and Fisheries activities, completion and equipping of the Tagwai Hatchery, establishment of fish processing centre and; the Bobi and Garin-Gabas Grazing Reserves will be developed. Manufacturing, Investment and Co-operatives In 2015, Government will support the establishment of Small and Medium Enterprises (SMEs). Fifty (50) Units of SMEs factories will be established in New-Bussa, Suleja and Mokwa through a Public-Private- Partnership arrangement, while infrastructural facilities will be provided at the Garam Industrial Layout to stimulate industrial activities. The construction of the Suleja International Market and Motor Park will be pursued with vigour to further stimulate economic activities in the area. Tourism and Culture In 2015, the completion of the 5-star Hotel and development of historical sites including construction of access road to the Baro Empire Hill will be accorded priority while we sustain encouragement of cultural festivals. Transport The sum of N9, 728,840,348.00 has been earmarked for capital projects in this sub- sector. Emphasis in this sub-sector will be the completion of on-going bond funded roads and the other state financed projects. Water Supply Mr. Speaker and Honourable Members, this Administration places premium on the provision of clean and potable water to its populace and will on this premise in 2015 prioritize restoration of water supply to Borgu and extension water supply pipelines in Minna and Bida. The sub-sector has a proposed allocation of N1, 711,872,500.00 Lands, Housing and Urban Development The Niger State Geographical Information (NIGIS), the Urban Development Board, the Niger State Environmental Protection Agency (NISEPA) will be supported and strengthened for effective urban development control and environmental management. LAW and JUSTICE SECTOR Furtherance to achieving the separation of powers and quick , efficient and fair administration of justice, the sum of N936, 625,000.00 has been proposed as capital vote for the Judiciary for the following projects: construction of a new High Court Complex, Purchase of law books and journals and establishment of Multi-Door Court. Other key activities include the establishment of Citizens Right and Mediation Centre and the Codification of existing Laws of the State. SOCIAL SECTOR Education, Science &Technology The education sub-sector has a proposed sum of N3,037,818,426.00 for the completion of on- going renovation of post primary schools, procurement of learning materials and construction of workshops, laboratories and take-off of 8No Integrated Qur’anic Schools, While the University of Education, Minna and the construction of knowledge centre/ICT will be pursued. Health The Government will continue to strengthen its health care facilities as well as upgrade and construct new ones, while all on-going projects in this sub-sector will be completed. Sports and Youth Development Youth and Sport development will continue to enjoy government attention. To this end, the completion of the Entrepreneurial Development Centre Minna as well as the new stadium in Minna will be vigorously pursued. Conclusion Mr. Speaker, Honourable Members, let me appreciate the support and contributions of Development Partners in the socio-economic development of the State. Worthy of mention are the World Bank, the World Health Organisation, French Development Agency (AFD), GiZ, African Development Bank, United Kingdom Department for International Development (DFID), JICA, UNICEF, UNDP, Bill and Melinda Gates Foundation, MTN Foundation, John Kuffour Foundation/CARI, International Fund for Agricultural Development (IFAD), Dangote Group and Golden Penny Foods Nigeria Plc among others. Effective collaboration with development partners was enhanced with payment of our counter-part funds so as to attract more intervention to the state. Fellow Nigerlites, our style of governance emanating from the concept of Servant Leadership, which allows people’s view to prevail in all circumstances, was based on a superior idea of engendering and deepening democratic norms in our society. We deliberately opened up various channels of communication between the leadership and the led in order to effectively bridge the gap as well as to have a fair knowledge of the happenings in every segment of the society. In view of the foregoing, we should all raise our shoulders high for the landmark achievements specifically in; SECURITY OF LIVES AND PROPERTY; REDUCTION IN POVERTY; BRIDGING THE GENDER GAP; FREE EDUCATION FOR ALL; BUILDING INSTITUTIONS AND HUMAN CAPITAL; FACILITATED VALUE CHAIN DEVELOPMENT IN AGRICULTURE; INFRASTRUCTURE DEVELOPMENT; BRIDGING THE HEALTH GAP BETWEEN RURAL AND URBAN SETTLEMENTS; POPULAR PARTICIPATORY DEMOCRACY; RELIGIOUS AND INTER-COMMUNITY HARMONY; SERVANT LEADERSHIP; PRIVATE INVESTMENT AND ENTERPRENUESHIP; AND PROGRAMMES OF URBAN RENEWAL. MAY ALLAH CONTINUE TO BLESS NIGER STATE. I THANK YOU ALL.
Posted on: Wed, 24 Dec 2014 17:22:58 +0000
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