Abuja original inhabitants under N12 trillion land swap

Land swap initiative started by the Federal Capital Territory Administration (FCT A) in 2013 was last Thursday launched by President Goodluck Jonathan in Abuja. The initiative called land-for-infrastructure swap will gulp $6 billion (N12trn) of investment. It is a situation where government gives a green field to developers for real property development. The developers in […]

Land swap initiative started by the Federal Capital Territory Administration (FCT A) in 2013 was last Thursday launched by President Goodluck Jonathan in Abuja. The initiative called land-for-infrastructure swap will gulp $6 billion (N12trn) of investment. It is a situation where government gives a green field to developers for real property development. The developers in turn provide specified infrastructure on the land. Simply, it is initiative that bridges infrastructure gap using land. It is practice popular even in developed economies of the world.
The Abuja land swap investment covers land area of 3,886 hectares, amounting to 15 percent of the Federal Capital City (FCC) and less than 0.50 percent of the Federal Capital Territory (FCT). The Federal Capital Development Authority (FCDA) supervises implementation of the project.
It is hoped that in six years, Abuja infrastructure stock will increase by more than 27 percent meaning additional 464km of new roads, seven bridges, 696km of street lighting lines and 334km of telecommunication ducts. There will be 2,566km of electricity distribution lines, 643km of water distribution lines, 626km of foul water drains, 672km of storm water drains and 226 culverts. All this amounts to $6 billion.
A breakdown shows that $2.4 billion is for infrastructure investment; and $3.6 billion for secondary investment in residential, commercial, multipurpose, institutional and active recreation development. Apart from this, investors have already spent N4 billion to produce necessary documentation for districts covering survey data, detailed land use plans, final engineering designs and bills of engineering measurement and evaluation.
The programme is projected to create 25,000 plots of land in nine districts. The nine districts include: Ketti North, Sheretti, Ketti, Sheretti Chechi, Waru Kpozaima, Burum, Burum West, Ketti East and Gwagwa.

Rationales for land swap
President Jonathan represented by Vice President Namadi Sambo explained the need for the policy: “In concept, the Abuja master plan envisaged a territory that would be built in 25 years with 79 districts, nine sector centres and 11 satellite towns with the planned maximum population of 3.2 million people.
“Today, however, the population of FCT is put at approximately 5 million people with only 11 districts completed in 38 years.”
He said still, Abuja has not stopped growing and projections are that the population of the territory will rocket to about 10 million by 2025.
“With demographics and economic activities fast out-phasing the infrastructure in Abuja, it’s appropriate that the FCT administration has risen to the challenge by the diversification of practical and rapid development strategies. Land swap guaranties equity and practicability,” Jonathan confirmed.
The president promised promulgation of investor-friendly policies and incentives to attract investors. He promised that

government will not forsake original inhabitants in the land swap policy implementation. “Much as we desire development, we must do it with fairness and least discomfort to the original inhabitants,” he promised.
Apart from providing specified infrastructure in the districts, the developers will bear the responsibility for resettlement and compensation of affected original inhabitants, said FCT Minister Bala Mohammed adding that investors will commit N64 billion for funding of infrastructure and housing for the Project Affected Persons in Gude Resettlement District.
The minister said land swap will free the funds in possession of government for provision of many social services like education, health and environment.
“We estimate that this initiative will provide additional housing for more than 1 million residents which will further reduce the housing deficit by about 35 percent in the next five years as well as put more money in the hands of FCT administration for human development activity, particularly in the areas of health and education,” the minister stated.
He said, “This transformative initiative will further provide more than 1 million skilled and unskilled jobs to the residents of the Federal Capital Territory in particular and Nigeria in general.”
The minister reiterated that land swap will jump start development and check the menace of land speculation, freezing and racketeering in FCT stressing that land swap has been strategically planned to key into the Transformation Agenda of the federal government.
Minister of Trade and Investment, Olusegun Aganga termed Abuja land swap as a “game changer” stating that it will have fundamental impact on wellbeing of the people. The Minister of Special Duties, Tanimu Turaki said no government has enough resources to provide all infrastructure hence need for partnership.
On the whole, government maintains that land swap will reduce housing deficit in Abuja put at 10 percent of the 17 million housing deficit across Nigeria, create 500,000 jobs and strengthen financial capacity of both public sector and local investors. The federal government will generate about $120 million as payments for Value Added Tax (VAT) alone.

The investors
FCT minister said out of 15 companies shortlisted, six were picked to execute the novel land policy. They include: Urban Shelter Infrastructure Limited, System Property Development Company Limited, Afri-International Projects Limited, BGD Properties Limited, Gilmore Engineering Company Limited and AM-PM Global Network Limited.
Apart from the above, eight more investors are in the process of joining the programme. They are: Dangote Group, Ketti East Infrastructure Limited, Bolmus Nigeria Limited, Deep Earth Nigeria Limited, Dayspring Limited, Haitong Limited, Rosehill Group and Waru-Pozema District Infrastructure Limited.
“We attracted the best of Nigerian investors including the richest person in Africa and the richest black woman in the world as well as prominent construction and property development companies to key into the initiative,” FCT minister stated.
The chairman of Urban Shelter Infrastructure Limited, Alhaji Musa Aliyu who spoke on behalf of the investors described land swap as intelligent solution to infrastructure problem in FCT.

Land swap and original inhabitants
Chairman Senate Committee on Power Philip Tanimu Aduda who is original inhabitant and only senator representing FCT called the initiative “accelerated infrastructure development in FCT”, noting that N6 billion worth of direct foreign investment has been attracted. He charged the investors to ensure that local communities are not trampled upon in the course of work.
The Chief of Garki (Sa’peyi of Garki), HRH Alhaji Usman Ngakupi said the FCT minister has won the hearts of original inhabitants saying if the initiative is well implemented, it will meet the yearnings of the original inhabitants of Abuja. He advised that implementation should adhere strictly to the provisions so it is successful. “It shouldn’t be a source of sorrow to inhabitants. It should be implemented with justice, sincerity and fairness,” the local chief appealed.
Similarly, the chief of Juwa, Alhaji Idris Musa maintained that land swap has come to stay but he enjoined investors to collaborate with original inhabitants and work together for the success of the programme.  
Deputy House Committee Chairman on FCT, Rep Ralph Igbokwe described land swap as one of the best ways of tackling infrastructure deficit in FCT.

The safeguards  
According to the FCT minister, appropriate legal and institutional safeguards to enable the programme endure have been observed stressing that both FCDA and the investors are fully committed to full implementation of the project.
The launch took place in an open field along the corridor of the Outer Southern Expressway (OSEX) at a point after mechanic village in Waru district. The event was attended by ministers, legislators, expatriates/investors, traditional rulers and officials of FCTA.
The vice president and the FCT minister hopped onto a spurting earth moving machine to show that land swap had officially commenced and the ceremony ended there.