To cut the cost of governance and create more value in the public service, Governor Dapo Abiodun of Ogun State has directed ministries, departments, and agencies (MDAs) to always consider local content and direct labour in capital projects undertaken by the state government.
This is coming against the backdrop of the dwindling revenue and economic realities which affect the delivery of good governance and government’s obligations as the state government begins repositioning public and civil service in order to fit in, in the new order of public works and governance.
Speaking at the in-house refresher training organised against the challenges of the 21st-century real estate opportunities in Abeokuta on Thursday, Wale Ojo, the general manager, Ogun State Housing Corporation (OGSHC), stated that the order given by Governor Abiodun on the inclusion of direct labour and local content in capital projects would help in delivering quality projects for the benefit of all residents.
Ojo, who noted that the focus and commitment being put into the capital projects, especially the 2,500 housing units projects being undertaken in all the three senatorial districts of the state was as a result of the governor’s directive and would pay off in the long run in delivering affordable housing in the state.
He said: “We have come to leverage on the capacity in-house, this is a housing agency. The capacity here is huge if you get contracted in this type of project, which is going to add to the cost even with what we have done.
“The houses are coming below their cost of production courtesy of Governor Abiodun’s directive on direct labour and local content which is the best option for an affordable housing delivery of this magnitude.
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As an organisation that has a goal of affordable housing, we cannot afford to continue to do things the same way and expect different results.
“We have been having success in the past years but that is not enough to us and the management and board sat down to look at the view of new trends of a real estate development in the country and all over the world, competitors are growing every day and the competition is becoming so pronounced as a corporation we look at the way things should be done and as an agency, we are saddled with it.
“The competition is going on every day and we can’t relent; we need to reposition the corporation and in the wisdom of Governor Abiodun, we were directed to adopt direct labour and local content and the corporation should proceed with the training to reposition its staff and management ahead of future commitments.
For instance, the Dapo Abiodun-led administration is to deliver 2,500 housing units across three senatorial districts of Ogun State and that is what we have been doing within the last two years under this administration and we are actually just starting, by the end of this year everyone will see the magic that will come through the housing corporation as far as the provision housing units is concerned.”
