The Minister of Works, David Umahi, has said he might cancel parts of the Lokoja-Benin and Benin roads in Kogi and Edo states if the companies doing the work don't agree to the new contract.
He has also given a deadline of April 25 and April 26, 2024, for the construction companies working on the Abuja-Lokoja-Benin highway to sign a N870bn contract, saying that if they don't, they will be removed from the project.
The works minister said the previous 480km project contract under the Nigerian National Petroleum Corporation Tax Credit Scheme has expired, so a new contract is needed.
Umahi made the new threat during a meeting with the contractors in his office at the ministry headquarters in Abuja.
In March, the minister had issued a similar threat when visiting the Edo State Governor, Godwin Obaseki.
He was unhappy about the slow pace of work on the Benin-Ekpoma-Auchi-Okpella-Okene-Lokoja Road.
A statement by the minister’s media aide, Uchenna Orji, said representatives of the contractors Mothercat Nigeria Ltd, CGC Nigeria Ltd, Reynolds Construction Company, and Dantata and Sawoe Construction Company Nigeria Ltd attended the latest meeting.
The minister also told his ministry’s staff to audit the ongoing projects within seven days to check the status of work done and the capacity of personnel and equipment being used by the contractors.
Umahi decided to issue a new contract due to the behavior of the foreign contractors, and he revealed that the reviewed contract underwent due diligence and was approved.
He noted that they were part of the process of adjusting and reviewing the contract specifications, but they didn't sign the new contract documents after agreeing to do the job based on the new specification.
Umahi said, ”The project was initially N121bn, but before President Ahmed Bola Tinubu's administration, the project was already reviewed to over N870bn.
“When I became Minister, I saw that the project was too expensive, and I didn't take it to FEC. I had to check the road myself and realized that some sections of the road could not survive with asphalt.
“So we had meetings for over five months with all the contractors, and we agreed to adjust the project. We agreed that the new lanes should be made of concrete and the others with asphalt.
“So, we all signed the documents and took it to BPP and then to FEC, demanding that they approve it. They all gave us approval letters.
He wondered why contractors were given jobs without having the necessary manpower and equipment and warned that from now on, any contractor signing a contract must sign alongside the basic rate and timeline.
The government's position is that if you don't sign the contracts by tomorrow, you will lose the jobs. You can take legal action, but we won't negotiate further.
He stated that the Ministry won't let any contractor control the country or force their terms on the Ministry.
Umahi stated that if you don't want to work, you can leave the job. It's not necessary for you to do the job. You can't be on-site while people are dying.
The vehicles are breaking down, and you're using politics to manipulate people's lives. We can't just watch you. If you're not working, leave the site and take your things with you.
