The Federal Government is considering terminating the contracts for the Lokoja-Ayingba and Okene-Itobe roads in Kogi State over poor performance but has directed the contractors back to site to account for the billions of naira already released to them.
Minister of Works, David Umahi, said the decision formed part of efforts to develop a credible roadmap for funding and delivering projects inherited from previous administrations.
In a statement issued by his spokesman, Uchenna Orji, the minister disclosed that he had reached a mutual agreement with the contractors handling the rehabilitation of the Lokoja–Shintaku–Dekina–Anyigba road and the reconstruction of the Okene–Ajaokuta–Itobe dual carriageway on the way forward.
The two projects, awarded in 2022 to CCECC Nigeria Ltd and TEC Engineering Company Nigeria Ltd, were originally scheduled for completion in 2024.
Speaking during a meeting with the contractors in Abuja, Umahi condemned their failure to meet key milestones despite the financial resources made available by the Federal Government.
He stressed:“The administration of President Bola Tinubu is committed to a road infrastructure revolution anchored on the core values of quality, speed, and value for money in project delivery.”
On the contract being executed by CCECC, Umahi noted that the project covered 52.27 kilometres but had only recorded 1.97 per cent completion despite an advance payment of N2.5 billion.
“The contract was awarded in 2022 with a length of 52.27 kilometres. But the contractor has only achieved 1.97 per cent completion (binder) on one alignment despite receiving N2.5 billion advance payment,” he said.
He therefore directed the Director of Highways (North Central) to issue a formal warning letter to CCECC, giving the company 30 days to resume work using the old contract rate and to achieve a milestone commensurate with the money received. He added that thereafter, the balance of the job would be terminated and re-procured to ensure proper execution.
Turning to the TEC Engineering contract, Umahi expressed dissatisfaction that the project, which included a spur from Dekina to Ugbabo, had only achieved 1.04 per cent completion despite N1 billion already disbursed.
“The contractor should lay three kilometres of asphalt by December 2025, after which a final account will be made based on the milestone completed and the job will be terminated on a mutual basis,” he said.
The minister further directed that assessments of funds already released would be based on the old rate, while future releases under the 2025 budget would be assessed at the new rate.
He also ordered the termination of the consultancy services for both projects, pending the procurement of new consultants.
The meeting was attended by senior officials of the Ministry of Works, including I. D. Daikwo, Director of Highways (North Central); I. U. Usman, Deputy Director of Highways (North Central); Mohammed Ahmed, Director of Press and Public Relations; and Gana Patiko, Federal Controller of Works, Kogi State.
Representatives of the contractors — Mr. Shaun, Marketing Manager of TEC Engineering, and Mr. Zhou, Senior Executive Director of CCECC — were also present, alongside project consultants Mr. Sesan Adeboyejo and Ene Wakama. The Kogi State Commissioner of Works, Muhammed Yusuf, represented the state government.
Emmanuel Addeh
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