Overhead To Be Slashed In 2011 Budget

Overhead To Be Slashed In 2011 Budget
Obiora Ani, Abuja

The National Assembly in Nigeria has said that it would slash the overhead costs of Ministries, Departments and Agencies, (MDAs) by 25 percent in this year's budget.

The Vice Chairman of the Senate Committee on Internal Affairs, Senator Nimi Amange, gave the indication when the Ministry of Interior and the parastatals under it presented its 2011 budget proposals at the National Assembly, Abuja .

High cost of government

The Senate frowned at the high cost of running governments at the detriment of the provision of amenities and infrastructure for the people.

The law makers said the Senate may eventually reduce the appropriation to capital projects by 50 percent, since virtually all the MDAs could utilise up to 50 percent of the budgetary allocation for last year.

The Committee queried the high level of proposals for international travels and training, by the internal affairs ministry and its agencies, amounting to over 300 percent increment in the 2011 budget.

The Minister of Interior, Mr. Emmanuel Iheanacho, said the ministry needed additional money for the renovation of prisons, construction of border plazas and proper demarcation of borders.

In a related development, the Ministry of Water Resources has appealed to the National assembly to increase its allocation for the year to 201 billion Naira.

Contractors are owed

The Minister, Mr. Obadiah Ando, made the appeal while defending spending in Year 2010 at the National Assembly.

Mr. Ando said that the 24 billion Naira allocated to the ministry in this year's budget was inadequate for the ministry to carry out its numerous projects.

He said that the ministry owed its contractors over 30 billion Naira for some projects completed last year as well as ongoing projects.

The Minister mentioned the revitalisation of the river basin authorities, provision of potable water to all parts of the country and irrigation farms as parts of ongoing and planned projects.

Chairman of the Senate Committee on Water, Senator Bassey Henshaw, urged the ministry to ensure the completion of ongoing regional water projects as well as the European Union assisted water supply projects for which the Nigerian government had paid 634 million Naira counterpart contributions.

Yinka