Asset sharing agreement: Oyo approves N8bn payment to Osun on LAUTECH ownership

The Oyo state government has approved the payment of N8 billion to Osun as asset sharing agreement on the ownership of Ladoke Akintola University of Technology (LAUTECH).

LAUTECH was established by the old Oyo state government in 1990, but the creation of Osun state in 1991 led to joint ownership of the institution.

The joint ownership was disssolved in November as both parties agreed to cede the public university to Oyo.

In a statement on Tuesday, Taiwo Adisa, chief press secretary to Seyi Makinde, governor of Oyo, said the payment of N8 billion to Osun is in line with the agreement reached by both states.

He quoted Olasunkanmi Olaleye, the state’s commissioner for education, who conveyed the approval, as saying the money will be paid in installments over a period of three years.

The commissioner, who spoke with reporters after the state’s executive council meeting, said N1 billion will be paid in January and December while N3 billion will be paid in 2022 and 2023.

“As a follow-up to the agreement reached with the Osun State government on the issue of sole ownership of LAUTECH, the Executive Council of Oyo State approved today the payment of the sum of N8 billion to Osun State government. It will be paid over a period of three years,” he said.

“The breakdown of the payment goes as follows: one (1) billion Naira will be paid in January 2021 and another one (1) billion Naira will be paid in December 2021. Three (3) billion Naira will be paid in 2022 and the last three (3) will be paid in 2023. This was the decision of the council today.”

The governor’s spokesman said the state executive council also approved provision of a tribrid system of power supply consisting of solar, diesel generating set and battery storage for the Rural Community Development Centre (RCDC), Awe, as an urgent intervention at the sum of N92 million.

He quoted Temilolu ‘Seun Ashamu, the state’s commissioner for energy and mineral resources, as saying the council resolved to make the intervention to boost agribusiness in Oyo.

“At the Exco meeting today, the Council resolved that the Ministry of Energy and Resources will provide an urgent intervention at the Rural Community Development Centre RCDC Awe, which is actually one of the hubs for the agribusiness development of this administration,” he said.

“It resolved that the ministry will provide a tribrid system comprising solar, diesel generating set and battery storage for RCDC.”