NIESV denounce High Cost of Building Materials


The Nigerian Institution of Estate Surveyors and Valuers (NIESV) has called on the national government to pay attention to the high price of building materials, whether it truly desires to offer affordable housing for the low and moderate-income earners, the privileged and vulnerable people of Nigeria.

The institution also noted that no single cause could be identified to explain Nigeria’s poor economic performance over time compared to the energy scenario, pointing out that”it is a national shame that a market of about 180 million has roughly 12,500MWT of installed capability as at now, with about 3,000 to 5,000MWT being transmitted into the final customers when South Africa with a population of approximately 58 million creates about 59,000MWT shows that we have a long way to go.”

The NIESV stated the cry is now critical because 60 per cent of their entire cost of construction goes into construction materials, which has everything to do with home development in the nation.

He explained further that home development alone could drive the country’s economy if adequate care was paid to the high cost of building materials with a view to reducing them to some fair degree.

According to Wike, “Government must proffer solutions that will lessen the cost of building materials to ensure adequate housing improvement, delivery and affordability.”

To attain this, he included that authorities must work on variables responsible for the high price of construction materials, identifying these variables as the exchange rate of the Naira, cost of raw materials, epileptic power distribution, cost of fuel, transportation and distribution; insufficient infrastructure, political interference, government policies and laws.

On power, he said, “The continuous tinkering with the structures of power supply and distribution with several billions of dollars spent since 1999 have just brought frustration, darkness, distress and painful situation among Nigerians.”

Read Also:  President Buhari Approves the Establishment of an Infrastructure Company

Chief Wike said that the significance of power supply should never be underestimated, adding that development cannot be achieved without an adequate power supply.

His word:”Epileptic power distribution in Nigeria has retarded industrial development, economic growth, cost of productions, market cost, and high quality of solutions. It is a significant determinant in wealth and job creation.”

Wike stated though the NIESV understood the energy sector was at a very difficult circumstance and a lot needed to be done to firm up things, the solution went past increasing tariff.

He said there must be an entire restructuring and overhaul in this way to ensure proper capacity at the distribution and transmission levels by involving private operators with the technical understanding.

“It goes beyond throwing money into the industry. The government has invested hugely in terms of capital and interventions. Growing tariff and injecting funds into the system isn’t the solution that will get us out of this situation.

“A very radical solution must be utilized to get us out of here. State interest, in form of state governments investing in the market area, must be invited and legislated.


Please enter your comment!
Please enter your name here