Fashola Discusses Strategic Land Pricing for Dangote Refinery
Former Lagos State Governor Babatunde Fashola has disclosed that his administration intentionally lowered the land prices allocated to the Dangote Group to secure the multi-billion dollar refinery project in Lagos. This approach was aimed at ensuring the project remained in the state while stimulating significant economic growth.
Fashola characterized this decision as a pivotal investment that set the stage for the groundbreaking 650,000 barrels per day Dangote refinery situated in the Lekki Free Zone. Speaking at the Chartered Institute of Directors (CIoD) Nigeria Women Directors Biennial Conference in Lagos, he shared insights on the negotiations that had previously stalled due to the Dangote Group’s concerns over the state’s pricing for the land.
The former governor elaborated that Lagos typically operates under a fixed price system for land allocation, which complicates the ability to deviate from established rates. However, Mrs. Olusola Owole, the then Commissioner for Commerce and Industry, urged the state to consider the long-term advantages of attracting transformative investments over immediate land sale revenues.
During his keynote address, Fashola recalled discussions at the National Executive Council, where Owole argued for the economic rationale behind offering concessions to investors willing to invest approximately $19 billion in the refinery. With large portions of the Lekki Free Zone still available for development, her perspective emphasized the potential for increased land values should the investment succeed.
“That was a prudent decision. Then the whole council looked at me and I capitulated,” Fashola remarked, highlighting how this intervention altered the discussion and ultimately enabled Lagos to retain the project. He emphasized that effective leadership should be evaluated based on competence and strategic thinking, rather than gender.
Fashola pointed out that the experience underscores the significant contributions women can make to leadership when given a platform to influence critical decisions. The need for organizations to prioritize competency, readiness, and influence was a central theme in his address.
At the conference, speakers encouraged both public and private sectors to enhance women’s representation on corporate boards while simultaneously creating avenues for them to engage in strategic decision-making. Amina Oyagbola, First Vice-Chairman of CIoD Nigeria, noted that while more women are attaining board positions, they are still underrepresented in key leadership roles where vital corporate decisions are made.
She advocated for stronger mentorship and sponsorship initiatives to better equip women for high-level leadership roles. Additionally, Adetunji Oyebanji, Chairman of the CIoD Nigeria Board of Directors, asserted that board appointments should prioritize competency, integrity, and professional qualifications rather than relying on traditional pathways that have historically limited women’s access to senior leadership positions.
