Enugu State Announces Major Water Project Partnership
The Enugu State Government has partnered with Wande Nexus for a $100 million water project to improve infrastructure. Governor Peter Mbah announced that the project will increase water production and expand pipeline connections across the state. Critics question the legitimacy of Wande Nexus, citing its recent formation and lack of proper registration in Austria. Concerns also surround the project partners’ ability to finance and execute such a large-scale project, raising doubts about its credibility.
Project Details and Government’s Commitment
Governor Mbah revealed that the Sustainable Last Mile Connectivity and Advanced Metering Infrastructure (AMI) Project would increase Enugu’s water production to 200 million litres per day. He emphasized that the deal followed extensive negotiations and would lead to immediate fund disbursements for necessary water system improvements. Key partners in the project include Wande Nexus, which will manage the project, OSTAP International Water Consulting for technical oversight, and Nwankwo Scott & Associates (NSA) acting as the EPC contractor.
Concerns Over Legitimacy of the Austrian Firm
The announcement has faced skepticism, with observers questioning the legitimacy of Wande Nexus and its unclear purpose. Mikael Bernard suggested that Wande Nexus might be a Special Purpose Vehicle (SPV), created for questionable reasons. Bernard noted that the firm lacks proper registration in Austria and was established only months ago. He also criticized its minimal online presence and generic website, further raising doubts about its credibility and financial capacity.
Scrutiny of Partners and Financing
Further concerns have been raised about the capacity of the project partners to execute the project. Bernard noted that NSA, an architectural firm with no apparent experience in large water projects, shares its office space with other businesses, further questioning its ability to handle the project. Additionally, he revealed that OSTAP International Water Consulting, which is tasked with technical oversight, reported assets of just €34,000, raising doubts about its financial capability to support such a large-scale venture.
Government Responds to Allegations
In response to the growing criticisms, the Governor’s Senior Special Assistant on Media, Dan Nwome, defended the deal, insisting that it involves legitimate Foreign Direct Investment (FDI) from Austria, channeled through the Central Bank of Nigeria. Nwome dismissed the allegations, labeling them as baseless and affirmed that the project would bring substantial benefits to Enugu. Despite this, concerns persist, with citizens questioning the source of the $100 million and the transparency of the project.
Public Doubts and Call for Clarity
As the debate surrounding the water project intensifies, Enugu residents and the wider public are demanding greater transparency from the state government. With doubts over the legitimacy of the project’s financing and the credibility of the involved parties, many are calling for further clarification on the terms of the deal and the actual investors behind it. Governor Mbah has yet to respond directly to these concerns, leaving many to question the future of the $100 million water project.
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