Date: 2010-12-29

THE 2011 BUDGET SPEECH, DELIVERED TO THE KWARA STATE HOUSE OF ASSEMBLY, BY HIS EXCELLENCY, DR ABUBAKAR BUKOLA SARAKI, (CON) THE EXECUTIVE GOVERNOR OF KWARA STATE ON WEDNESDAY, DECEMBER 29TH, 2010.   
 
Mr. Speaker Sir, Honourable Members of the Kwara State House of Assembly, I thank you all for admitting me into this great legislative chamber once again, and for the last time in the life of my administration.
 
Precisely one year ago, I was here to present the proposal for the 2010 Budget. That Budget was anchored on our desire to consolidate on the major achievements of our administration in the previous years and to ensure that the progress we have made is sustained in the years to come.
 
Mr. Speaker Sir, I wish to note that the 2011 Budget that is being proposed to you this morning will seek to build on the 2010, whose focus is to ensure that all on-going projects and policy commitments are completed and met within the shortest possible time that is left as we enter the final months of the administration. As Mr. Speaker is aware, the 2011 budget will only be partially implemented by my administration. Therefore, it is imperative that we take off on a sound and clear footing to guarantee that he in-coming government takes off effectively.
 
On this note, I wish to note that the economic and fiscal environment in which the 2011 budget will be implemented will not be significantly different from that of the 2010 budget. We have therefore taken the usual care in ensuring that the budget proposal that we are presenting is anchored on determinable revenue profile, while accounting for our various loans and bonds commitments.
 
REVIEW OF THE 2010 BUDGET
 
Mr. Speaker, and the Honourable members; our slender revenue profile and uncertain Capital Inflow is by now, well known. However, it is despite our relatively meager resource profile that we have continued to actively develop the infrastructure of development across our State and undertake capital projects in the various sectors of our economy in the out-going year. Below, I present a brief review of some of our achievements in some of the key sectors.
 
Road and Transport:
 
The year 2010 witnessed further development in both rural and urban road infrastructure in the State. In the year, a total length of 112.19km of roads was awarded which cut across the 3 Senatorial Districts of the State. Some of the roads which are at various stages of completion include the Oro-Esie â€" Arandun Road; Eruku â€" Koro Road; Oko - Idofin Igbana â€" Idofin-Odo-ase Road and Ijara-Isin â€" Isanlu-Isin Road etc
 
Perhaps, our most spectacular achievement in this sector in 2010 was the completion and commissioning of the first ever fly-over in the North Central zone around the Ilorin General Post-Office, in addition to its being a monumental project, it has significantly eased the traffic burden along that axis of our State capital.
 
The Kwara State Road Maintenance Agency (KWARMA) also recorded remarkable achievements in the outgoing year in the task of maintenance and rehabilitation of roads across the State. The Agency was able to rehabilitate a total of 741km of rural roads through joint project programme between the State and the Local Governments.
 
In an effort to create orderly vehicular and human movement in our bustling metropolis, we also established the Kwara State Road Traffic Management Authority (KWARTMA). As more people settle in our capital city, there is emerging challenge of mass transportation. To this effect, we have signed a Memorandum Of Understanding (M.O.U) with the Nigeria Railway Corporation (NRC) to convey our people by train from Offa â€" Amayo â€" Ganmo â€" Maraba â€" Oyun-River down to Kwara Polytechnic. We have built three (3) halt stations for the Rail Mass Transit Project.
 
Aviation College:-
 
The development at the International Aviation College located at Ilorin International Airport complex also witnessed great attention in the year. In addition to other infrastructure provided, we have also constructed additional block of Hostel, Head of School Residence, and the external works service which includes the Taxi way. We have also recruited and trained instructors and acquired simulators (Proto-Type Air Craft) and training Aircrafts (Diamond D40 and D42 for basic training).
 
Energy:-
 
During the year under review my administration built on our achievement with the Gamon Power Project which comprises 2 x 150MVA â€" 380/132KVA and 2 x 60MVA - 132/33kv transmission stations with capacity to receive 300mw electricity generation that can supply a minimum of 1 â€" 22 hours of power supply on daily basis. Also, six injection sub-stations at Ago, Asa-Dam, Budo-Efo, Agba-Dam, Stadium Area and Shonga have complemented what we did at Gamon for commercial, industrial and domestic users.
 
Under the State Electrification Programme, about 142 additional communities are now connected to the National Grid; while 161 transformers were procured and distributed to relieve the existing over loaded ones thereby reducing systems break down. We also installed pilot traffic lights at Maraba, Taiwo and Saw-Mill Areas to ease the movement of vehicles at the junctions and minimize accident.
 
Agriculture:
 
Mr. Speaker, I am glad to report the steady progress we have continued to make in this sector, which has largely been built around the commercial agriculture initiative. The Shonga Farm Holdings Ltd recorded major achievements in the year with a major break-through in the dairy component of the business with its revolutionary agreement to supply 20% of the fresh milk required by WAMCO, the producers of Peak Milk. Similar progress was also recorded in the poultry component. It is worthy of note that the current milk production is 10,000 liter per day while that of poultry production is 10,000 birds per day.
 
While we continued to strengthen the commercial agriculture initiative, we have also continued to support small out growers in the State with critical farm inputs like fertilizer and tractors. I am also delighted to note that we participated in the ₦1billion FGN/CBN Commercial Agriculture Loan Scheme which was disbursed to farmers’ cooperative groups to ensure that farmers are able to increase their productivity and production capacity.
 
It is also worthy of note that in 2010, we successfully conducted the farmer’s census exercise to international acclaim with a 90% success rating by IFDC. This will enable the government to channel interventions and support to farmers more effectively in the future.
 
Commerce & Co-operatives
 
Our major achievement in the year under review is the establishment of a shopping mall in partnership with Persian Investment Limited. We are delighted with the pace of work at the construction site along Fate Road in Ilorin. We are confident that when this mall finally takes off, it would bring significant social and economic benefits to our State and further redefine the landmarks of our capital city.
 
We are also delighted to report that we have completed the feasibility study and environmental assessment impact of the Free Trade Zone and the Kwara Free Trade Zone Company has been licensed and registered with the Nigeria Export Processing Zones Authority (NEPZA) and is also member of the African Free Zones Association (AFZA). All these would have significant impact on commercial activities in our State.
 
Education
 
In the current year, we continued to step up efforts in our education reform at various levels. I am glad to note that we have began to witness real changes in the ways our children are taught and in the ways our schools are run. We also made significant progress in improving the infrastructure in our schools as well as in supply of teaching and learning materials. I am glad to note that in 2010, we were able to bring child to text-book ratio in our basic schools to 1:1, meaning that every child in our primary schools has all the major text-books required for teaching and learning.
 
The Kwara State University was also further stabilized in the current year, with the intake of the second set of students into the various disciplines. Teaching and learning has continued to run steadily on the campus even as continue to expand the physical infrastructure.
 
Health
 
I am happy to report that the various activities in the health sector are fast restoring the faith of our people in the various health institutions. In 2010, 15 PHC Centres were been upgraded, 3 X-ray machines were purchased and distributed to Omu- Aran, Kaiama and Sobi Specialist Hospital, 32 Scanner machines were also distributed. Besides, qualified Health Personnel Officers of all cadres have been recruited.
 
Construction of a new School of Nursing at Oke-Ode and the Maternity theatre at Sobi Hospital with supply of medical equipment are also about to be completed. All obsolete equipment were replaced by new ones, while 75,000 treated nets, 187,000 ACT Malaria drugs to under 5yrs Children and 37,000 to pregnant women were given free in line with Free malaria Programme.
 
The Kwara State Advanced Medical Diagnostic Centre has reached an advance stage and will be completed this financial year while the supply of medical equipment will be done at various stages of completion. About 10,000,000 Personnel Health Record Booklets were received this financial year and distributed to 35 Health Centres across the State to monitor 0-5 years children and pregnant women to control Child/Maternal Morbidity and Mortality rates.
 
Water supply:
 
During this financial year, the state government was able to complete the high and low lift pumps at Asa Dam.The Erin-Ile Dam that was re-awarded in 2009 has also been completed and commissioned. Similarly the pipe network distribution in Ilorin metropolis has reached about 55% completion at the cost of N3.8 billion naira. Besides, out of the 93 water works approved for rehabilitation in 2004, 78 have been fully completed for use in their respective locations. During the year under review, my administration embarked on the annual procurement of water treatment chemicals worth N120, 000,000 million to treat raw water.
 
OUTLOOK FOR THE YEAR 2011
 
Mr. Speaker Sir, the following is the breakdown of the 2011 Budget as proposed: 
 
1. Total Recurrent Revenue N36,813,958,626
 
2. Total Recurrent Expenditure N33,437,173,429
 
3. Total recurrent Surplus (Transfer to  Capital Development Fund) N3,376,785,197
 
4. Total Capital Receipts N35,215,807,255
 
5. Total Capital Expenditure N35,215,807,255
 
From the foregoing, the total Budget size for 2010 as being proposed is N 68,652,980,684 as against N 66,957,649,674 for 2010. This shows an increase of 2.54%.
 
The detailed Recurrent expenditure profile is as shown below:- 
 
1. Personnel Cost N6,857,422,071
 
2. Overhead Cost N11,594,194,691
 
3. Consolidated Fund Charges N14,985,556,667
 
Total Recurrent Expenditure
 
4. Transfer to Capital
 
Development Fund N3,376,785,197
 
(Recurrent-surplus)
 
Similarly, the proposed capital expenditure for 2011 financial year is N35, 215, 807,255. This is as against N33,583,335,375 for 2010, reflecting an increase of 4.86%. The sectoral breakdown is as shown below:
 
 
   1. Road Development N8,223,883,629
 
   2. Water supply N5,569,372,500
 
   3. Education N3,942,248,608
 
   4. Energy N2,941,094,784
 
   5. Health N2,462,306,725
 
   6. Agriculture Development N2,381,896,655
 
   7. Sport and Youth Dev. N1,223,000,000
 
   8. Housing N986,104,354
 
   9. Commerce and Cooperative N487,200.000
 
  10. Information and Communication N253,700,000
 
  11. Environment and Forestry N193,500,000
 
      Sub Total N28,664,307,255
 
  12. Other sectors N6,551,500,000
 
Total N35,215,807,255
 
However, the focus of 2011 budget is to ensure the completion of all on- going projects. Therefore in 2011 budget we are not likely to embark on any new project, except projects covered under the Bond.
 
THE KWARA STATE ADVANCED MEDICAL DIAGNOSTIC CENTRE
 
In the coming year, the centre will be fully put into use with all necessary medical equipment at various stages. Similarly, we shall also complete, commission, and admit the first set of students into the school of Nursing Oke-Ode. Towards this, my administration has earmarked the sum of N 1.7 Billion for the two projects. The on-going programs on reduction of child mortality rate and improvement of maternal health will be pursued vigorously especially the routine and adhoc immunization exercise.
 
STATE WIDE IRRIGATION SCHEME
 
In order to boost the farming activities of our farmer in the state and usher them into a culture of profitable dry season farming across the state we have identified (12) irrigable sites across the 3 senatorial Districts for the state wide irrigation scheme. To fast-track the completion of the projects in 2011 the sum of N500, 000,000 has been set aside for the scheme.
 
EDUCATION
 
In 2011, we will continue to consolidate on the gains of the Education Reform and seek to further deepen the various core policies involved. We will continue to improve the capacity of our teachers at both primary and secondary schools level. We will also continue to invest heavily in improving infrastructure and learning environments in our schools. The reforms of the Colleges of Education will also continue in earnest, while ensuring that appropriate governance systems are put in place to guarantee the sustainability of the reform. We will also continue efforts in improving the infrastructure and learning environments in our various schools.
 
On the Kwara State University, we will step up infrastructure and general developments of the University on its various campuses in Malete, Osi and Baruten. To this effect, the sum of N 1.5 Billion has been earmarked for the projects.
 
ENERGY
 
The state government is working towards attaining a target of 500kvA transformer to service not more than 50 households, while we have initiated discussion with American investors to convert waste into energy using mobile modular plants for on-site generation. It is hoped that year 2011 would be busier especially in the area of rural electrification, construction of traffic and street lights in Ilorin metropolis and Local Government Headquarters. Most communities that are yet to be connected to National Grid would be considered under phase III
 
WORKS AND TRANSPORT
 
Concerted efforts would be geared towards the completion of Kaima-Kishi road in 2011. Similarly, all on-going construction and rehabilitation of other roads and township roads embarked on by the present administrations will be completed. The Kwara State Roads Maintenance Agency (KWARMA) will be strengthened to maintain our township roads. Efforts will also continue in collaborating with the Federal Road Maintenance Agency (FERMA) and Federal Ministry of Works to ensure that the federal roads in the state receive attention. Key in this regards are Ilorin-Omu-Aran roads, Kogi boundary roads, Tsaragi-Patigi road and Kaima-Kosubosu road. The Road Traffic Management Authority which was established in 2010 will be fully enhanced for effective management to create orderliness on our roads. Besides, the State intends to construct (50) bus depot/Lay Byes in the year to consolidate on the orderly environment of the state capital. Towards this, the sum of N 8.2 Billion has been set aside for this sector.
 
AGRICULTURE
 
We intend to continue to make tractors and implements available to farmers at subsidized price this financial year, for purpose of achieving self sufficiency in the food production, employment generation and provision of raw materials for our industries. However ,the integrated youth farm training centre at Malete would graduate 100 successor generation of commercial farmers and to enhance long term sustainability of the centre, the state government would enter into partnership with interested agriculture institution to enable them benefit maximally from various agricultural support schemes .Also, my administration will intensify efforts on the fertilizer voucher scheme to curb sales of fertilizer by middle men at highly exorbitant rate and government will continue to pay counterpart fund for the procurement and distribution of fertilizer to the registered farmer.
 
WATER SUPPLY
 
During the year, my administration will consolidate on the upgrading and reticulation of the Asa Dam water works and continue to improve our capacity to deliver potable water to towns and villages across the state. consequently, 2011 will focus on acceleration of pipe network projects in Ilorin metropolis, installation of power surge control in some waterworks to curb high voltage electricity, rehabilitation and reconstruction of the on -going (9) water works and procurement of additional water treatment chemicals. Also, the Rural Water Supply Sanitation Agency will be strengthened to enable it drill more boreholes/hand pumps/motorized boreholes in the rural areas.
 
LAND AND HOUSING
 
As part of the strategy for the overall development of the state on the land allocation and utilization, my administration will continue to encourage private initiative by making well serviced residential, commercial and industrial plots readily available to the people. The government will ensure that greater percentage of revenue realized from land transaction is ploughed back into further layout development. This will assist the state in its planning for residential, commercial and industrial development and boost our internally generated revenue.
 
In 2011, we shall focus on the development of the "Greater Ilorin Master Plan" to ensure that development and expansion of the capital city into the future is carefully controlled.
 
JUDICIARY
 
In keeping with the Government to maintain the dignity and respect for the judiciary, government intends to complete the construction of Chief Judge and other Hon. Judges quarters, which was started in the current year, as well as that of the Grand Khadi and others Hon. Khadis.
 
CONCLUSION
 
Mr. Speaker, distinguished Ladies and Gentlemen; seven and half years ago, in my inaugural address as I took office as the Executive Governor of this State, I made clear of my intentions to tackle the most important challenges that we faced in education, in health, in agriculture and industry, in water and sanitation, in rural development, job creation, unpaid salaries and pensions and many more.
 
I also declared however that I would not pretend to have quick fixes to all the problems or intend to work on them alone. I asked you not to expect miracles of me. I asked you not to expect answers to all problems from me. I only asked you back then to join hands with me so that together we can be the best we can be; and together lay the foundation for a future that is more secure and certain for our children and generations to come.
 
Mr. Speaker, it is almost eight years after we started this journey together. True, not all the problems have been solved. And they will probably not be all solved in our life time. However, I have no doubt in my mind that by the time the curtains draw on this administration in 2011, the eight years that we would have spent would go down as some of the most glorious years of this State, when we truly began to show our people what is possible and what a purposeful and resourceful government can accomplish.
 
However, I also believe that despite our remarkable achievements; successive generations of leadership in our State will continue to have important problems to solve. What is important however is this: that the batons that we pass on to the next generations of leaders shall be more glorious; and the torch that we hand over shall shine ever brighter from generation to generation.
 
On this note, Mr. Speaker, permit me to express my profound gratitude to this august house for the co-operation you have extended to my administration, and the great working relationship we have had. I consider myself very lucky to have the privilege of working with honourable gentlemen and ladies as occupied this House over the years that I have been Governor. I thank you, and whenever the story of our administration is written, your names and the contributions that you have made will not be forgotten.
 
I thank you all, and God bless Kwara State.