I have been meaning to write a piece on Niger Delta Development Commission (NDDC) operations for a very long time, and I think this is a good time because Senator Victor Ndoma-Egba and Mr. Nsima Ekere led board seems an excellent one, or at least is supposed to be an excellent one! For example, the Managing Director / CEO Mr. Nsima Ekere has been a colossus in business even before his days as deputy governor in Akwa Ibom State.
Again, his antecedents have inspired many prior to becoming the MD/CEO of the board. The NDDC is a federal government agency established by former President Olusegun Obasanjo led administration in the year 2000 with the sole mandate of developing the oil-rich Niger Delta region (Wikipedia). Unfortunately over the years, there have been unpalatable issues regarding the NDDC.
Matters ranging from lack of Due Process, ‘10% Post-dated Cheque Syndrome’, Contractors/Consultants being owed, Corruption and issues of project award to ‘unqualified enterprises’ who usually sell ‘jobs’, have at best spawned anger and frustration to the people of the region.
I will limit this piece to the issue of project and contractors unsettled bill. The Managing Director/CEO had said that the NDDC had contingent liabilities of N1.8 trillion, which had forced it to reduce the number of new projects in the 2017 budget to enable the Commission complete old projects. This is a sensible thing to do just like what Governor Nyesom Wike of Rivers State said on resumption of office that “there is no need ignoring reasonable and relevant projects of previous administrations”.
So, it is an excellent step by Mr. Ekere to focus more on completing important old projects for use. Although, such ‘important old projects’ have generated arguments in some quarters as they seem ‘indiscernible’.
Nevertheless, the ugly debt situation of the NDDC is worrisome. The Minister of Niger Delta Affairs, Pastor Usani Uguru Usani pointed out that “the government was determined to find out what happened to the monies given to the commission in the past 17 years”. This debt situation calls for serious concern, and must be eradicated.
What must have led to this? In my opinion, it would be incompetence and lack of knowledge. Could it be that ‘projects’ were awarded without plan for payment? What about the monies budgeted for such projects? Or could it be a situation where contracts were awarded without the intention to complete them for the people?
Again, it is senseless to award a contract termed ‘project’ without proposed completion time. Our intellectuals know that a project must be ‘SMART’, which simply means Projects must be SPECIFIC, MEASURABLE, ACHIEVABLE, REALISTIC AND TIME-BOUND. So, awarding a contract is not enough. There should be genuine intentions by the board in ensuring the completion of projects and paying for the work done.
An annoying example is the NDDC permanent site along Eastern Byepass in Port Harcourt. What a shame! “It is not enough to be busy” (Henry D. Thoreau). Our being busy ought to yield positive results. According to Peter F. Drucker, effective leadership is defined by results and not ‘stories’. This was further buttressed by the President of the United States; Mr. Donald Trump during his speech at this year’s UN General Assembly when he said there is need to focus on result.
Therefore, starting a project is not enough. And I am sure the NDDC Managing Director/CEO Mr. Nsima Ekere knows this, hence he has emphasized that the board shall ensure they use 70% of the funds to complete ‘old projects’. “We are reducing the number of new projects, dedicating 70 per cent to servicing on-going projects and 30 percent for new ones.” Again, there is uncomfortable grapevine tittle-tattle that the other ‘30% new projects’ are unclear even after many months of inauguration of the board.
Anyway, moving forward, how do we ensure contracts awarded are properly executed to conclusion, and contractors/consultants paid accordingly? I hear many contractors/consultants complain of non-payment for completed jobs. My question is; when was the contract awarded, and when was the project completed? For instance, a project will be awarded in 2010 without estimated completion date. A contractor completes the project by 2017, and payment will be expected by 2017.
Is such project budgeted for by the board of 2017? What happened to the fund budgeted for the project in 2010 when the project was awarded? How many boards must have ‘passed through’ before the project was completed in 2017? To be fair to the board of NDDC at any given period, the backlog of completed ‘past years projects’ are almost always shocking when such job’s (Interim Payment Certificates (IPCs) get to their desk.
Many of such contractors borrowed money to execute the work order, which must have accumulated huge interest over the years. Expecting ‘any new board’ to pay for such jobs awarded many years ago (that the new board knew nothing about) could be very frustrating and vexing. The question is does the new board have the money to pay for such jobs? These are serious issues that must be looked into.
A director of a company once told me a bank almost repossessed his friend’s house in Port Harcourt due to non-payment by NDDC but for the help of the State Security Service (SSS) who intervened. How many of the people can meet the SSS for such matters? I hope the present board will look into these concerns and put a stop to this ugly menace.
I want to reiterate here that leadership whether acquired or ascribed, is an opportunity to do the right things for the people. While we have solace in what Mr. Ekere had said; “the board will be restoring the commission’s core mandate and reaffirming its commitment to doing what was right and proper,” I want Mr. Ekere to remember that “actions prove who someone is, words just prove who they want to be” (Anonymous).
Yet, it would be an UNPLEASANT SURPRISE if this present NDDC board fails the people knowing the caliber of personalities in the board. That said, I will suggest (with my little know-how) that all projects should have Estimated Completion Date (ECD) clearly stated on the contract documents.
And all projects signpost should henceforth carry the project completion date as agreed on the contract. Furthermore, Contractor remuneration must have payment duration, which the board should comply with upon issuance of Work Completion Certificate (WCC), as is attainable in International Oil Companies (IOCs). In the IOCs for example, once a contractor submits an invoice with all required documents, he/she receives payment without having to revert to the officials because the system takes care of itself.
Accordingly, a project can be cancelled by NDDC if a contractor fails to deliver the project within the ECD, and also unable to meet up with an additional given ‘grace period’.
God bless the NDDC board.
God bless the Niger Delta Region.
God bless the Federal Republic of Nigeria.
Lucky. O. Oyovwi is an Engineer by profession and wrote in from Delta State.
