Asaba Airport will be run by a private investor as Delta State Assembly has given its approval for the concession of the airport to a consortium of investors. Delta State Governor, Ifeanyi Okowa said the concession of the airport would generate N100 million for the state annually.
Okowa who said this while presenting the 2020 appropriation bill of N389.1 billion to the state House of Assembly in Asaba, commended the Assembly for the approval describing the development as a breakthrough.
“It is the first full brown-field airport concession in Africa and a hybrid arrangement covering further development and management of the airport. The concession is for a period of 30 years, with annual concession fee of N100 million payable the state government, escalating by 10 per cent every five years.
“There is also an annual royalty of 2.5 per cent of gross annual revenue payable to the state, with over N28 billion expected to be pumped into the airport development by the concessionaire over the next three years. The benefit to the state in terms of employment opportunities, urban renewal and tourism potentials are enormous,” he said.
The Governor said government would in 2020 ensure the functionality of Kwale Industrial Park, adding that the same investors had given their expression of interest to establish glass, ceramics factories and agro-allied industry for soya beans.
“Once fully operational, the park is expected to be a major driver of this administration’s agenda and provide immense employment opportunities for our people,” Okowa said.
He expressed his administration’s commitment to transforming the agricultural sector and ensure wealth creation to boost the state’s economy.
The governor said his administration was implementing a public-private partnership (PPP) for the establishment and operation of an agro-industrial park in Ogwashi-Uku in partnership with private investors. He said when fully established, “the park will be the principal catalyst of the agricultural commodity value chains, create new jobs and multiply wealth for the teeming youths and agricultural population of the state.”
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