Connect with us


Gov. Adeleke initiates plan to extend Ilesa water financing agreement with ISDB



Gov Adeleke initiates plan to extend Ilesa water financing agreement with ISDB

In a strategic move, Governor Ademola Adeleke has announced plans to extend the duration of the Ilesa water financing agreement with the Islamic Development Bank (ISDB), set to conclude by the end of December.


The Governor’s spokesperson, Mr. Olawale Rasheed, conveyed this information in a statement issued on Monday in Ile-Ife. Responding to remarks by the Asiwaju of Ijeshaland, Chief Yinka Fasuyi, the Governor’s aide clarified that Adeleke had formally written to the IDB through the Federal Ministry of Finance, requesting an extension of the financing agreement.


The statement highlighted that a delegation, led by the State Commissioner for Water Resources, the Chairman of the State Water Corporation, and other high-ranking officials from the water sector, had been dispatched to secure a swift response from the ISDB headquarters in Jeddah.


In addition to seeking an extension, ongoing efforts are focused on reaching an out-of-court settlement with the contractors, a process that has proven challenging. The Governor’s proactive involvement in addressing the contractual crisis between the Osun State Government and the water treatment project contractor was emphasized, dating back to his first month in office.


The statement noted, “The governor personally visited the then Minister of Water Resources to resolve the knotty issues around the project.” It further outlined the State Water Corporation’s comprehensive plans, under the governor’s directive, to overcome legal and financial obstacles hindering the project’s implementation.


Addressing the historical context of the issue, the statement explained that the problem stemmed from the termination of the contract by the previous administration before Governor Adeleke assumed office. Alleged mismanagement by the contractor and other related concerns prompted the contractor to take legal action against the state government, claiming damages for breach of contractual obligations.


The state government has been engaged in negotiations with the contractor to achieve an out-of-court settlement. Governor Adeleke assured the people of Ijesaland that local, national, and global contacts have been activated to prevent the closure of the credit finance window, ensuring the completion of the remaining components of the Water Treatment Plant financed by the ISDB within the 20-day timeframe.

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *