Ilesa water project: Gov Adeleke plans to extend contract lifespan

Osun State Governor, Ademola Adeleke


Osun State Governor, Ademola Adeleke has concluded plans to extend the life span of the Ilesa water financing agreement with the Islamic Development Bank (ISDB) which is due for closure by December ending.

This is contained in a statement sent by the Spokesperson of the Governor, Mr Olawale Rasheed, on Monday in Ile-Ife.

Responding to a statement by the Asiwaju of Ijeshaland, Chief Yinka Fasuyi, the Governor’s aide noted that Adeleke had written the IDB, through the Federal Ministry of Finance, to seek extension of the financing agreement.

According to the statement, a team was led by the State Commissioner for Water Resources, the Chairman of State Water Corporation and other top managers of the water sector, to ensure early response from the headquarters of the ISDB in Jeddah.

Additionally, efforts have been ongoing to secure an out of court settlement with the contractors, a process that has been rather difficult.

The statement explained further that the governor, from his first month in office, had intervened in the inherited contractual crisis between the Osun State Government and the contractor handling the water treatment contract.

” The governor personally visited the then Minister of Water Resources to resolve the knotty issues around the project.

“As directed by Mr Governor, the State Water Corporation has also mapped out elaborate plans to ensure that the extension is secured, the legal and financial constraints facing the project implementation are resolved.

“The Asiwaju and the good people of Ijesaland are aware that the crux of the problem was that the Oyetola government had terminated the contract some months before the assumption of office of Gov. Adeleke,” it stated.

Accordingly, the issue on records had to do with alleged mismanagement of the project by the contractor alongside other sundry issues.

The statement added that the contractor subsequently took the state government to court, claiming damages from breach of contractual obligations.

” The state government has since entered into negotiation with the contractor to ensure an out of court settlement.

“Gov. Adeleke assures people of Ijesaland that local, national and global contacts have been activated to ensure that the window of credit finance, to complete the remaining component of Water Treatment Plant being financed by the ISDB, does not close in 20 days time.”(NAN)

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