The House of Representatives Public Accounts Committee (PAC) has warned Ministries, Departments and Agencies (MDAs) against delays in the execution of public projects, stressing that bureaucratic delays in awarding contracts and implementing projects can undermine the value of appropriated funds and deprive Nigerians of the benefits of government approved interventions.
The Committee gave the warning on Tuesday while scrutinising audit queries involving the Ministry of Innovation, Science and Technology, represented at the hearing by Dr. Mukhtar Yawale Muhammad, Permanent Secretary of the Ministry.
At the hearing led by the Chairman of the Committee, Bamidele Salam, members examined the utilisation of funds appropriated for constituency projects, including the provision of two fire-fighting trucks for the Argungu/Augie Federal Constituency of Kebbi State.
The Committee questioned the Ministry over the N100 million provision for the two vehicles and the failure to fully execute the project.
The Ministry disclosed that only N75.2 million had been expended on the procurement of one truck, leaving a balance of N24.8 million unspent.
The Ministry explained that a market survey had put the cost of one truck at N75.2 million and attributed the inability to procure the two vehicles to prevailing inflation and exchange rate fluctuations, noting that inflation had risen from 17 per cent to 21.47 per cent, while the exchange rate had moved from N411 to N444 to the dollar.
The Committee, however, focused on the delay in the procurement process, the status of the unspent balance and whether the project was being implemented in accordance with the appropriation and applicable procurement requirements. Members stressed that delays in awarding contracts can further erode the value of public funds, particularly in an inflationary environment, and warned MDAs against allowing administrative processes to frustrate the timely delivery of projects approved for execution
PAC consequently demanded full disclosure of the funds released for the project, procurement records and financial documentation relating to the expenditure. The Ministry was also directed to provide a clear account of the N24.8 million balance and indicate how the outstanding second fire-fighting vehicle would be delivered.
The Committee also scrutinised a N38.24 million contract for 40 Bajaj motorcycles for Bosso Federal Constituency, demanding verifiable evidence that the items were actually distributed to the intended beneficiaries.
PAC also examined an audit query concerning the alleged award of contracts to companies whose Corporate Affairs Commission (CAC) registration status was inactive at the time of the audit.
The Ministry explained that the companies were active when they participated in the bidding process in 2022 and that their CAC status could have changed subsequently. The Committee, however, insisted that such claims must be supported by contemporaneous documentary evidence establishing the eligibility of contractors at the time the contracts were awarded.
It consequently directed that MDAs and auditors should attach dated and timestamped CAC verification reports to procurement records to establish the status of companies at the relevant stage of the contracting process.
The Public Accounts Committee stressed that its proceedings are aimed at ensuring that public funds are properly accounted for, projects are executed as appropriated and audit queries are conclusively resolved.
The Committee accordingly ordered the Ministry to reappear in two weeks with complete project files, financial records, procurement documents and verifiable evidence required to resolve the outstanding queries.
The Committee reiterated that public expenditure must remain subject to transparency, accountability and effective legislative oversight, warning MDAs that delays, inadequate documentation and failure to properly account for appropriated funds would continue to attract the scrutiny of the Committee.