Oyo loses out on World Bank $70m flood intervention funds

There is fear that the perennial flood synonymous with Ibadan metropolis will increase especially with the early flooding warning issued by the Nigerian Meteorological Agency (NIMET), as the World Bank has cancelled its funding supports to the Second Pool of Long-Term Investment (PLT12) implemented under the Ibadan Flood Management Project (IUFMP), an agency of the Oyo State Government following issues in contract bidding.

The state government allegedly failed to conclude the contract award of the successful bidders for the four Lots (3A, 3B, 4A & 4B) under the World Bank international Competitive Bidding Process and this led to criticisms from some groups in February.

In a letter signed by the World Bank Country Director for Nigeria, Western and Central Africa Region, Mr Shubham Chaudhuri, dated July 30, 2021, addressed to the state Governor, Engr Seyi Makinde, conveying the cancellation of the project and the withdrawal of $52 million (about N26Billion) funding supports, the World Bank frowned over the failure of the state government to meet the basic conditions for the no objection for the three companies that emerged under the World Bank supervised bidding process since May 5, 2021.

World Bank also condemned the poor and slow response time of the government to IUFMP activities, which it said have largely affected the agency’s ability to perform effectively.

It will be recalled that the bidding process has taken unprecedented eight months from bid opening to the temporary award of the contracts which is alien to the scheme.

A non-governmental organisation, Ibadan ‘Koya, an anti-corruption coalition had early in the year raised the alarm that the state may lose the opportunity provided by the World Bank to construct formidable flood control drainages in Ibadan if the government does not follow due process in the choice of contractor selection.

The Coordinator and secretary of the Coalition, Messrs Oladele Morufu and Joel Adeoye respectively had called, “on well-meaning Nigerians, especially the people of Ibadan and Oyo State, in general, to prevail on Governor Makinde from further delaying the announcement and submission of names of qualified contractors to the World Bank, sponsoring the projects before it is too late.”

However, the state government vehemently denied such development, claiming it has put in place necessary machinery for the smooth taking off of the huge flood control project, a World Bank-assisted Project established and secured funding by the former Governor of Oyo State, late Senator Abiola Ajimobi to respond to the issues of flooding that the state had been experiencing.

It was alleged that “the low capacity of IUFMP on safeguard and project management, government bureaucracy and elongated approval stages in the state coupled with the lack of progress on the implementation of the First Pool of Long Term Investment (PLT11) which was awarded on April 17, 2020, to some companies, resulted in the decision by World Bank not to extend the Ibadan Urban Flood Management Projects beyond June 2022 closing date.”

The World Bank informed the government that they are in agreement with the Federal Government to initiate cancellation of an additional $100 million before the June 2022 project closing date with the attendant effect of the said World Bank diverting the funds to the Northern States of Nigeria in accordance to President Muhammadu Buhari’s request to the World Bank Board to scale up supports and help rebuild the Northern States which have been ravaged by the Boko Haram insurgency.

Responding to the cancellation of the sponsorship of the project, Ibadan Kò ‘Yà, which raised the alarm earlier stated that, “it is unfortunate that the present government did not know how much effort is required to access World Bank funding. Surely it is on the verge of losing the funding through non-diligence prosecution of the projects and selfishness.”

He added that with the threat of flooding hanging over the city, “one would have expected the Project Implementation Unit (PIU) of IUFMP and Oyo State Government under Engr Seyi Makinde to work assiduously towards full implementation of the project’s programme of works, so as to ensure achievement of the anticipated outcomes of community flood resilience in Ibadan and environs,” the group said.

(Nigerian Tribune)