Reports

EXCLUSIVE: Ogun Spends N10.96bn On Vehicles For Govt Officials As Health Workers Protest Unpaid Allowances, Poor Conditions

The Ogun State Government has awarded a N10.964 billion contract for the procurement of vehicles for top government functionaries, ministries, departments and agencies (MDAs), while health workers in the state have continued to lament and protest over unpaid allowances, deteriorating working conditions and manpower shortages.

SaharaReporters obtained details of the vehicle procurement from the Ogun State Government procurement portal, where the project is listed among contracts awarded in February 2026.

According to the procurement record, the contract, titled “Procurement of Vehicles for Government’s Ministries, Departments and Agencies and Top Government Functionaries,” was awarded by the Office of the Secretary to the State Government to MUJAF Automobile Nigeria Limited for N10,964,100,000.

The procurement record shows that the contract was awarded through a sole-bid process, while the stated contract period was just three weeks.

The huge vehicle expenditure comes against the backdrop of continuing lamentation, protests, and industrial action by resident doctors, nurses and other healthcare workers over the poor welfare and working conditions of health workers in Ogun State, and public criticism over the allocation of government resources by the state government.

In June 2026, resident doctors at the Olabisi Onabanjo University Teaching Hospital (OOUTH), Sagamu, embarked on a 10-day warning strike over the non-payment of revised professional and specialist allowances, outstanding arrears, delayed training funds, manpower shortages and deteriorating welfare conditions.

The doctors accused the Ogun State Government of failing to implement and pay revised professional and specialist allowances despite the expiration of a 14-day ultimatum earlier issued by the association.

The doctors also complained about inadequate staffing, which they said had resulted in excessive workloads, burnout and prolonged working hours.

Other concerns included poor accommodation and call rooms, security breaches within the hospital environment and inadequate call meals.

Following discussions with the state government, the doctors later suspended the warning strike after receiving assurances that their professional allowances would be paid.

The N10.964 billion vehicle contract also comes amid questions about Ogun’s spending priorities.

In August, the Ogun State government reportedly spent N1.06 billion on special days and celebrations during the first six months of the year.

It was also reported that the state government spent N9.9 billion on welfare packages and N1.2 billion on honoraria and sitting allowances for political office holders, legislative members and other state officials.

Meanwhile, Governor Dapo Abiodun presented a N1.669 trillion 2026 budget to the Ogun State House of Assembly in December 2025.

The budget allocated N210.59 billion, representing 13 percent, to the health sector, while N1.044 trillion was earmarked for capital expenditure.

The vehicle contract represents about 5.1 percent of the entire N210.59 billion health-sector allocation contained in the 2026 budget.

The N10.964 billion vehicle procurement is also particularly striking when juxtaposed with the Ogun State Government’s own records on healthcare spending in the first half of 2026.

According to the Ogun State Government’s Second Quarter (Q2) 2026 Budget Implementation Report, the state budgeted N47.208 billion for its Hope-Healthcare projects, but released and utilised only N1.009 billion, representing 2.14 percent, as of the end of June 2026.

The state government itself described the performance as “not impressive”, attributing the low implementation to the non-accessibility of funds earmarked for the projects and expressing optimism that implementation would improve in subsequent quarters.

The report shows that N46.2 billion remained unspent from the N47.208 billion primary healthcare allocation at the end of the second quarter of the year.

Of the three agencies captured under the primary healthcare expenditure, the Ogun State Primary Health Care Development Board, which had the largest allocation of N41.386 billion, had received and utilised only N273.31 million, representing 0.7 percent of its 2026 allocation, by the end of June.

The Ogun State Health Insurance Agency, which had an allocation of N4.539 billion, recorded year-to-date expenditure of N686.81 million, representing 15.1 percent, while the Ogun State Alternative Medicine Board spent N48.6 million out of its N1.284 billion allocation, representing 3.8 percent.

The low spending was especially pronounced in several areas directly connected to healthcare infrastructure and equipment.

The government allocated N6.698 billion to revitalise and upgrade 80 primary healthcare centres across the state but recorded zero expenditure on the project as of June 30.

Similarly, no expenditure had been recorded on the N4.3 billion allocated for drilling boreholes equipped with solar power and inverters for 80 primary healthcare centres.

The government also recorded zero spending on N1.18 billion budgeted for 81 solar inverters for primary healthcare centres and N5.44 billion earmarked for the procurement of 100 ambulances for primary healthcare centres across Ogun State.

Other projects with zero recorded expenditure included the renovation and upgrading of medical laboratories across the state’s local government areas, budgeted at N3.4 billion, and the renovation and upgrading of one existing cold-chain store per local government area, budgeted at N6.15 billion.

The report further shows that the state had budgeted N11.167 billion for the provision of adequate and modern health infrastructure, but recorded no expenditure against that programme by the end of the second quarter of 2026.

Similarly, N3.41 billion allocated for the institution and maintenance of a responsive public-health emergency preparedness system had recorded zero expenditure, while N44.4 million allocated for enhancing the delivery of essential healthcare services also had no recorded expenditure.

By contrast, the government recorded 15.1 percent year-to-date implementation on the N4.539 billion allocation for universal health coverage and financial-risk protection for citizens, with N686.8 million spent by the end of June.

The figures provide a broader context to the complaints by doctors and nurses in the state over unpaid allowances, manpower shortages, inadequate equipment and other welfare concerns.

They also raise questions about the government’s spending priorities at a time when billions of naira appropriated for primary healthcare infrastructure, ambulances, solar power, water facilities and other healthcare interventions remained largely unutilised and unaccounted for.

The juxtaposition is particularly significant given that the government had, in February 2026, awarded the N10.964 billion vehicle procurement contract to MUJAF Automobile Nigeria Limited for vehicles for top government functionaries, ministries, departments, and agencies.

The vehicle contract is equivalent to about 23.2 percent of the entire N47.208 billion budgeted for the state’s Hope-Healthcare projects for 2026.

It is also more than 10 times the N1.009 billion the government had actually utilised on those healthcare projects by the end of June.

While the procurement record does not establish that funds from the healthcare budget were diverted to the vehicle purchase, the spending figures raise questions about the government’s priorities and the pace of implementation of projects designed to improve healthcare delivery in the state.

Meanwhile, the Ogun State Government has claimed that the poor healthcare implementation rate was caused by the timing and accessibility of funds allocated for the projects and that performance would improve in subsequent quarters.