By Oluwayemi Davidson, Warri
Delta State government has received a sum of N1 billion upfront fee from First Investment/Menzes Consortium, being part fulfilment of the concession agreement for the development and management of various sections of the Airport for the next 30 years.
The payment was effected by the Consortium last week Friday, according to the State Commissioner for Finance, Okemuo Fidelis Tilije.
He confirmed receipt of the funds to members of Asaba Correspondents’ Chapel of the Nigeria Union of Journalists (NUJ), Delta State Council during a courtesy visit to his office.
Recall that Delta State Government had on February 23, signed a concession agreement with First Investment/Menzes Consortium for the development and management of various sections of the Airport for the next 30 years, during which the concessionaire had promised to pay an upfront fee of N1 billion on or before close of business on the 15th day after the signing of the agreement, as part of the terms.
The Commissioner said, “I hereby confirm that the N1 billion has already been received by the State Government, and it is sitting in our account with Zenith Bank. It was received last Friday”.
While commending the initiative of the Governor Ifeanyi Okowa-led administration to concession the airport, the Commissioner explained that government was hitherto committing so much in running the airport, but with little returns.
He spoke further, “We know there are people who are not knowledgeable about governance that questioned that decision to concession the airport.
“Government was spending so much on the airport, and it was not yielding returns. So, you needed to get the private sector to properly manage it, develop it and make it profit-oriented.
“As a government, it was a smart and painstaking decision to concession the airport to reduce government influence in the management. In the next few years, you will not believe what that airport would be turned into because it is centrally located”.