2011 Budget Presentation - Introduction

Dec 14, 2010 - Honourable Speaker, distinguished members of the Lagos State House of Assembly, distinguished ladies and gentlemen, another full year has rolled by and in preparation for our service delivery commitment to our people, I am obliged to lay before this esteemed House the Budget proposals for year 2011 which is the fourth full budget of this administration.

Every one of those previous budgets were prepared and implemented in line with the Ten Point Agenda evolved by the immediate past administration and the manifesto of our Party, the Action Congress of Nigeria.

We outlined certain key goals and strategies that we intended to deploy as the critical vehicles to drive the Budget. These include aggressive revenue generation, completion of on-going infrastructure projects, maintenance of existing infrastructural facilities and public utilities, human capital and infrastructural development in the State's Civil Service, mitigation of global warming through greening, beautification programme and other initiatives, Teachers' Welfare enhancement, enhancement of community-based Vocational Education, sustenance/empowerment of farmers/fishermen for food production and processing, expansion/construction of new water schemes and sustenance of the State's Free Healthcare Services.

As has been the tradition of this administration from the beginning, we have given account of the progress and challenges of policies and programmes, every 100 Days since then, explaining to our citizens how we have methodically pursued these goals and how much success we have recorded in all the sectors of our economy.

From November 17, 2009 when I presented the Year 2010 Budget thattill date, we have presented ourselves to the people on three occasions, adopting different strategies in our presentation, to account to them what we have been able to accomplish and to seek their suggestions and input in all sectors.

On the occasion of reporting during our 1,000 Days event, we met the State's Public Servants to whom we dedicated the occasion. We told them that although we still have a lot of work to do, the result of our collective efforts have begun to bear visible fruits for all to see. That assertion was based on the major milestones which we have accomplished within that period in virtually all the sectors of the economy.

For instance, to fast-track our Micro-Finance Scheme which we have adopted to promote sustainable economic growth as a strategy to deal with poverty which abounds globally, on November 23, 2009, our administration handed out cheques totaling N175 million representing 50 percent counterpart fund to eight Micro-finance banks for the operation of the State's Micro-Finance Scheme.

And in pursuance of our avowed determination not only to keep the State free from filth but to also turn the thousands of tonnes of waste generated daily in the State to wealth and opportunity for job creation, we signed a Memorandum of understanding with the Clinton Foundation and the Konsadem Consortium to develop the firstmodel integrated Solid Waste Management System in our country.

On February2, 2010 we commissioned and handed over the refurbished City Hall in Central Lagos and on February 4, 2010, we handed over 256 units of twin two and one bedroom flats in Igbogbo, a 100-bed Maternal and Childcare Centre (MCC), a Shopping Complex and a Drivers' Institute all in Ikorodu Local Government Area of the State.

Five days later, we were at Isolo where we commissioned and handed over another100-bed capacity Maternal and Childcare Centre in Isolo and two million gallons per day Mini-Waterworks at Isheri-Osun.

We also inspected and took delivery of the first batch of the total 166, 629 desks and chairs which we have started supplying to public primary and secondary schools in the State towards the fulfillment of our commitment to ensure optimum comfort for our children in their schools.

The 1, 100 Days public account event was dedicated to the foreign diplomatic missions in the State.

The truth is that these diplomats must inevitably resort to the sub-national governments such as ours if they must get anything done for their nationals, corporations and staff in diverse areas. This makes them part of our local community which would be affected by our actions or inactions.

This occasion enabled us to account for our activities for the period between February 22 and June 2, 2010.

On March 15, 2010, during that period, we handed over to the State's Fire Service, a series of new firefighting equipment consisting of two new aerial ladder platform fire trucks, one foam fire truck, five rapid response utility fire fighting vehicles and eight 10, 000 liter water tankers.

The following day, Tuesday, March 16, we were at the LTV 8 Blue Roof Multi-purpose Hall to commission the Eko Secondary Education Project. This project has the multiple objectives of improving the quality of Junior and Senior Secondary Education in the State, improving grants to educational institutions, supporting technical and vocational education as well as sustaining institutional reforms.

I am happy to report that from the supervision Mission Report of the World Bank forwarded to me a few days ago, the project implementation performance is rated as "highly satisfactory" in the words of the World Bank.

On Thursday March 18, at the Adeyemi Bero Auditorium, we announced the plan to empower 22, 000 allottees of Government Housing estates spread across the State by issuing them with their title deeds to enable them have for the first time acceptable documentation to their properties that can be used as collateral to support their families and businesses if they wish.

These were allottees who had acquired properties from Government before 31st December 1999.

I am able to report that 15,000 title documents are now ready for distribution in a process that will be notified to the public shortly. The process of converting dead assets to valuable working and life changing assets has thus taken off successfully.

We launched the N50 billion second tranche of our Fixed Rate Bond under our N275 billion Debt Issuance Programme on Monday, March 23.

Itwas first launched in 2008. It has a life span of seven years from, 2010 to 2017; while the first one has a life span of five years (2008 – 2013).It represented a strong demonstration of domestic investors' confidence in the opportunities that lie in our economy.

Again on Monday, March 29 we commissioned the 1.5 kilometre upgraded Dr Nurudeen Olowopopo Avenue in Alausa while on April 28, the first phase of the New Oluwole Urban Market in Central Lagos was commissioned.

It was also during this period that Lagos hosted a very important international event which further brought her to global attention as a potential tourism destination of the world.

The third Black Heritage Festival, which was celebrated alongside the Lagos Carnival was perhaps the most colourful celebration of the rich and limitless resources of the Black Race.

For about a week, the streets of Lagos were adorned by colourful and resplendent youths dressed in locally made costumes who marched along marked routes displaying the rich cultures of our people in dances, drama and songs.

On May 13, we commissioned a 20-Bed Accident and Emergency Centre at the Lagos end of the Lagos-Ibadan Expressway help save lives of victims of road traffic accidents and other forms of trauma.

On Tuesday, May 25, 2010, we commissioned and handed over eight major roads and yet another 2 million gallon capacity Water Works to the Abule-Egba/Ekoro/Agbelekale and Ifako-Ijaiye communities.

We were at Badagry and Ojo on May 30 where we commissioned and handed over to the local communities a total of 11 projects comprising three major roads – Joseph Dosu, Old Cemetery and Market Roads streets and a Driver's Institute in Badagry Town, a Micro- Water Scheme in Apa, a water transportation jetty in Igbo-Igele, a community hall in Ajara Agelaso while in Ojo Local Government Area we handed over a network of three roads – Shibiri Etegbin Road, Imude Road and Ajangbadi-Ilogbo Road as well as another 2 Million Gallon per day Mini-Waterworks in Ajangbadi town.

The Technical sector of our Educationsystem was given a boost also during this period as we inaugurated the pioneer Technical and Vocational Education Board in the State.

The reporting of the 1, 200 Days was held simultaneously in the three Senatorial Districts of the State on the same day. We chose to address the local communities in their own domains in order to enable them participate more meaningfully and in their larger numbers.

All the members of the State Executive Council were present at all the meetings where our people interacted with them and engaged them on matters which were of concern to them.

Also during this period which started from June 3, 2010, our administration commissioned a number of projects.

On June 10, for example, we handed over a total of 103 classrooms comprising of both rehabilitated and new classroom blocksat the Ikeja Cantonment and Agidingbi Grammar School.

82 of the blocks encapsulated ineight blocks were the rehabilitated and renovated blocks of classrooms destroyed in 2002 by the bomb disaster at the Ikeja Cantonment while the remaining 21 classrooms comprisedin a single block were commissioned at Agidingbi Grammar school in Ojodu Local Council Development Area.

On August 11, our administration again handed over the largest purpose built Court House in Nigeria - the Igbosere Magistrate Court named after the illustrious Hon. Justice J.I.C. Taylor of blessed memory.

We also commissioned a One-Stop-Shop administrative block building of the Lekki Free Trade Zone on August 19.

Other important activities during the period include the inauguration of the Lagos Boundary Committee on June 21, the signing into law of a bill on approved levies for Local Government Councils in the State on July 12, the signing into law of the Bill to Standardize Tourism and Hotel Practice in Lagos on July 19, the send-forth of 42 public school students toa Leadership Training in South Africa on August 2, the inauguration of committee on Lekki-Epe Expansion Project and the signing into law of the bill establishing State Mortgage Board.

Mr. Speaker, Honourable Members of the House, leaders of our party, the Action Congress of Nigeria, Ladies and Gentlemen, in pursuance of our goals, from this summary of our activities spanning approximately 300 days since the presentation of Y2010 Budget, it is indisputably clear that the objectives of that Budget of Consolidation, which was aimed at completing as many on-going projects were substantially achieved.

The result has been unflinching trust and support from the people, demonstrated by their voluntary payment of taxes, peaceful co-existence and increased participation in the democratic process.

Our commitment to the faithful implementation of every budget is evidenced by the quarterly budget review meetings which enables us know in the short term how the budget is performing. It is clear evidence, if any is needed, of the mindset of Government to always be pro-active rather than re-active.

The result has been a budgetary performance that continues to get better every quarter.

For example, while our first quarter review of the 2010 Budget showed a performance of 49 percentthe second quarter review of the budget saw the performance taking a giant leap of almost a hundred percent over the first quarter, posting a performance of 80 percent.

As at the end of the third quarter of 2010, the overall budget performance of the revised budget, following the approval of our Supplementary request, stood at 76%.

The impact of these budgetary performances is reflecting clearly in the lives of our people by the number of life changing projects completed and the policies that are making life better.

The milestones also include those in Transportation where the Lagos Light Rail project construction has now commenced, while the Badagry Road and Lekki Epe Expansion projects are making progress, while we have continued to modernize, expand and improve on the mode of transportation on land through our model brand, the Bus Rapid Transit (BRT) which has now also become a global model, the Lagos Metropolitan Transport Authority and the corporate taxis; and on the waters through our operational ferry services, and the Badore, Ipakodo and Osborne Ferry Jetties which are almost completed.

They include our vibrant transport management agency, LASTMA, which has succeeded in taking Lagos from the gloomy days of traffic jams to much improved traffic flow across the metropolis, saving thousands of Lagosians from stress and putting money in their pockets through much shortened travel time.

They also include milestones in the area of Security where the Rapid Response Squad has continually risen to the occasion of curbing violent crimes and emergencies in the State especially with the help of our toll-free 767 and 112 emergency numbers, with which Lagosians can contact the relevant agencies in times of distress.

Further evidence of our budget implementation success and its impact on real and ordinary people is the Agriculture Youth Employment Scheme, Agric YES where the first set of our 200 youth farmers have not only completed their training successfully, they have started producing vegetables and other farm products which makes us very proud of them and our involvement in the Scheme.

Our Administration in the last three years opted, by choice, for programmes and projects with the greatest positive impact on the lives of the people of Lagos State. We have sought to build on the worthy legacy of my predecessor, Asiwaju Bola Ahmed Tinubu. We have expanded the capacity of our human resources, reformed the machinery and processes of governance, and achieved significant progress in our quest to renew/develop the infrastructure of the State. We have also paid great attention to the environment as well as created a much safer atmosphere for our people to live, work and play.

Other highlights of the budget performance include:

• Total Revenue - N207.649bn or 86%
• Recurrent Expenditure - N108.776bn or 81%
• Capital Receipts - N10.921bn or 51%
• Capital Expenditure - N127.245bn or 73%
• Financing Requirement - N 17.451bn or 38%

Given the clement weather in the last quarter of the year, we are striving to ensure that the full year budget performance reflects an improvement on these ratios. I would like to observe, however, that no other government in Nigeria is currently posting better budgetary performance than Lagos State.

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