Senate approves second extension of 2024 capital budget implementation to December 2025

The senate has approved a second extension of the capital component of the 2024 national budget, shifting its implementation deadline to December 31, 2025.

The resolution was adopted at plenary on Tuesday following the presentation and accelerated passage of a bill to amend the 2024 Appropriation Act.

Sponsored by Solomon Adeola, senator representing Ogun west and chairman of the senate committee on appropriation, the bill was passed through first, second, and third readings in one sitting after the red chamber suspended its rules.

Adeola said the extension was necessary to allow the federal government to complete several ongoing capital projects captured under the 2024 budget.

“We must not allow these important national projects to be abandoned due to time constraints,” Adeola said.

“Extending the implementation period will ensure value for money and improved service delivery.”

SECOND EXTENSION IN SEVEN MONTHS

This marks the second time the 2024 capital component has been extended.

In December 2024, the national assembly granted an initial extension from the original deadline of December 31, 2024, to June 30, 2025, following a request by President Bola Tinubu.

That extension, lawmakers said, was intended to optimise capital expenditure and enable the completion of infrastructure projects.

But with only days left to the June deadline and many projects still uncompleted, the senate opted for an additional six months.

NINGI SAYS NOTHING HAS CHANGED IN THREE MONTHS

Several lawmakers expressed frustration over the executive’s poor budget execution record and the prolonged delay in releasing funds.

Abdul Ningi, senator representing Bauchi central, said the senate had raised concerns months ago but received no results.

“Recall, this was an issue before the senate in both plenary and in an executive session last year,” Ningi said.

“Also recall, in March, this was an issue. The senate mandated the leadership of the senate to liaise with the minister of finance, the accountant-general of the federation, with the resolve to bring out the necessities to centralising these payments.

“Three months down the line, nothing has happened, and nothing has changed.”

Ningi also alleged that there are rumours the finance minister is selectively picking which projects to fund.

MORO: NATIONAL ASSEMBLY BECOMING AN EMBARRASSMENT 

Abba Moro, senator representing Benue south and senate minority leader, said the national assembly risks becoming “an embarrassment” if it fails to hold the ministry of finance accountable.

“We must take the bull by the horns on this issue of appropriation,” Moro said.

“Unless we take it up very seriously with the ministry of finance, this parliament will be an embarrassment onto itself.

“I am reluctantly supporting the extension of the 2024 capital component of the budget. As has been observed, many contractors who had money had committed their funds into executing projects.

“Many contractors who don’t have money have stalled in the execution of the projects, and we have the 2025 budget before us.

“Even those who have funds will be unwilling to commit their money into these projects because of the fear that they will not be paid.”

SERIAKE DICKSON SAYS CAPITAL SPENDING STALLED 

Seriake Dickson, senator representing Bayelsa west, described the situation as “very sad” and said the government has effectively ground to a halt.

“Clearly, nobody is satisfied about the situation we have found ourselves in. Government has grounded — that’s what it means,” Dickson said.

“Contractors who have done their jobs, committed their resources, cannot be paid. The benefits of the budget that we all took time to work on and pass have not gotten to the people.

“And guess what, we are talking of the capital components. The recurrent component, which is for the bureaucrats, has gotten to them 100 percent.

“The component that has not been released, that is still stagnant, is the real one that goes to the people of Nigeria for the development of our country — for all the people that we represent. It is a very sad situation.”

‘FG PRIORITISING 2027 ELECTION OVER GOVERNANCE’

Dickson also criticised the federal government for prioritising politics over governance.

He said there is too much focus on the 2027 elections and receiving defectors into the ruling All Progressives Congress (APC), while the business of the country is being neglected.

The lawmaker added the current level of politicking has stalled national progress, adding that the government must refocus on addressing the real needs of Nigerians.

The bill has also passed second reading at the house of representatives and now proceeds to the committee stage for further consideration.