From Layi Olanrewaju, Ilorin
The President, Nigerian Institution of Estate Surveyors and Valuers (NIESV), Johnbull Osarumen Amayaevbo has called on the federal government to focus on social housing programme as part of measures to cushion the effects of oil subsidy on average Nigerians.
Speaking at the opening session of the 53rd annual conference of the institution in Ilorin on Monday, NIESV President, said that Industry practitioners are already anticipating defaults in payment and renewal of rents by tenants, either for commercial or residential accommodation.
The NIESV president, who disclosed that housing and infrastructure development must be promptly addressed, “with government partnering with the private sector and the professionals to draw housing programme and implement same to the letter”, added that, “Time has come to focus on Social Housing”.
He noted that government, should in the interim, introduce comprehensive incentives and palliatives to cushion the effects of deregulation on the poor and average Nigerians.
“Prices of goods and services have gone up and rents would definitely respond accordingly. Meanwhile, inflation is biting with prices of goods and services skyrocketing.
“Critical sectors of the economy are already feeling the impact though expected to subside in the
months ahead. Take the real estate sector for instance. That removal of subsidy would adversely affect the industry and aggravate the already huge housing deficit is an understatement. The high cost of fuel as I mentioned earlier has led to an increase in transport fares and would definitely cause building materials prices to shoot up, simply because producers of these materials rely largely on petroleum for energy, and don’t forget that electricity supply is not yet stable. The cost of taking materials to sites has also increased. These would have consequences on both rent and capital value, affordability, housing delivery and house gap.
“Industry practitioners are already anticipating defaults in payment and renewal of rents, either for commercial or residential accommodation,” he said.
Amayaevbo, who, however, said that there are huge benefits of subsidy removal to the economy, added that “if sincerely implemented, the long-term benefits are huge and worth the pains and sacrifices of the moment”.
He also stated that expectations of Nigerians from the Tinubu administration are high, adding that the NIESV would continue to spearhead policy frameworks on housing delivery and infrastructure development
“We call on the Federal government to focus and tackle headlong economic issues and those bordering on national unity, corruption, insecurity and armed conflict, food security, youth empowerment and several others.
Extremely important for the government to address, which we would engage more seriously, is the issue of housing and infrastructure development.
There is an urgent need to address housing challenges in the country and plan for future housing delivery. The vital role of housing in healthy living, security and social well-being calls for a concerted and pragmatic approach at this point in time.
“Federal government should as a matter of necessity make housing a deliberate programme and set up a robust agenda for housing delivery that must put in place proper institutional framework cutting across all levels of government, Local, State and Federal, private sector-driven mortgage system with full government support in terms of policy and regulatory functions.”