Hot SourceSunday Ehigiator
The Honourable Minister of Works, Sen. David Umahi, has terminated the contract with Levant Construction Ltd for the reconstruction of the Benin-Sapele-Warri Road (Section 1: Benin-Imasabor), being executed under the Road Infrastructure Development and Refurbishment Investment Tax Credit Scheme, due to non-performance.
This is just as he revealed the true cost of different road infrastructures across the country.
In a statement yesterday, signed by the Special Adviser on Media to the Minister, Orji Uchenna Orji, Umahi, expressed disappointment over Levant’s failure to meet its contractual obligations, despite several warnings and interventions by the government.
Umahi also revealed that the Lagos-Ibadan road project was valued at N195 billion under the previous administration, and is now being completed by the current administration with an additional investment of N33 billion.
The statement read in part: “We have three sections there. We have the Levant section. Unfortunately, Levant has not lived up to expectations. We even had to intervene and beg the Governor of Edo State to please get the worst sections of that route done.”
“We divided the worst sections into two and told Levant to concentrate on one part. While the Governor of Edo State intervened, which I think is about 23 kilometres for N35 billion, and that section the Governor of Edo State intervened in is ongoing very well, Levant has since left the site.”
“We gave them a series of warning letters.”
“We also gave them the last termination notice. When a termination notice is given to you, it is for you within 14 days to go back to the site and begin to do those things you were not doing. This time is for them to remobilise to the site and for them to work, but they did not respond.”
The minister directed the Permanent Secretary to formally terminate the contract and request repayment of the Advance Payment Guarantee (APG) from Levant’s bank, failing which the matter would be referred to the Economic and Financial Crimes Commission (EFCC).
In contrast, the Minister expressed satisfaction with the progress made by SKECC Nigeria Ltd and Geld Construction Ltd on their respective sections of the road project. Umahi also commended the Governors of Delta and Edo States for their interventions on certain sections of the road project.
The minister further debunked allegations of lopsidedness in the distribution of road projects across the country, citing numerous ongoing projects in the North.
He emphasised that the Renewed Hope administration of President Bola Ahmed Tinubu is committed to inclusive development, with 52 per cent of the four legacy projects located in the North and 48 per cent in the South.
On the jobs by Messrs SKECC and Messrs Geld, the Honourable Minister said: “SKECC has about one kilometer, which they started with milled asphalt, yes, the money in the budget for SKECC within their section, NNPC allocation, is exhausted. But we are pleading with them to go back and remedy this one kilometre where they have milled the existing asphalt.”
“Geld has agreed to go back to their section, and we’ve agreed to review their project to cater for the unforeseen circumstances that they encountered. So they are going back to the site, and we’ve agreed to work very well with them. And we’re happy about that.”
“And the second job they have, which is Lokoja-Abuja road, we’ve also agreed that they should go back to the site and review the project, because as of today, the asphalt cost is N9,000 per square meter, whereas asphalt is about N30,000 per square meter. So they are going back to the site on trust, and we’re going to do that.
“And then you get to Itoki – Ikorodu road, which is 34 kilometres. We’ve agreed with them on all the issues. They are going back to the site, and I thank Mr. President for his interest in all the projects in the federation.”
While reacting to some criticism about uneven distribution of projects across the geopolitical zones, the minister said: “Allegations that the Federal Ministry of Works is doing more projects in the South than in the North are false and misleading.”
“In this ministry, we don’t count where anybody came from. We don’t count where projects are cited. We are using the example of Mr. President, who came on board. He took all the inherited projects of the ministry and continued to work with them. He didn’t want to know the lopsidedness of the projects.
“For example, this Tax Credit of NNPC is only five per cent in South-west and 4 per cent in South East, Niger State has 26 per cent alone. So, he didn’t want to care about where these inherited projects are.”
“He had to, as a very unique leader, take over the entire thing, and he’s going on with them. And so we should stop looking at a project as it’s coming from the North, it’s coming from the South, because the Southern people use the roads of the North, and the Northern people use the roads of the South. So we should see ourselves as one people, one country; this is very important.
“They talked about Second Niger Bridge, they talked about Lagos-Ibadan, they said Lagos-Ibadan is N195 billion. What they didn’t know is that N195 billion is the total contract sum from the past administration, and that what this administration is putting to complete the project is only N33 billion.”
“So it’s not N195 billion. They talked about Second Niger Bridge. This section II A is N134 billion, and section II B is N174 billion. Now, if you look at the projects in the North, just to properly inform the people, you look at the Abuja-Kaduna-Zaria-Kano-Kano road, Sections I and III. It’s N252 billion.
“30 per cent is already paid for that job. And it’s being done with the same quality as the Lagos-Calabar Coastal Highway. The job is ongoing. Section II is 164 kilometres, and it is N525 billion. And it’s being done with concrete, the same quality as the Lagos-Calabar Coastal Highway.
“Mr. President has approved a 30 per cent payment, which is N152 billion, and work is ongoing. You come and see the project that was awarded in March 2023, which is the Sokoto-Zamfara-Katsina-Kaduna, a total of 750 kilometres, with totaling initial cost of N825 billion.”
“That project is ongoing. There was no shovel on the project before we came on board. It’s Mr. President who is doing the project. In the Sokoto axis, by August, CBC would have completed about 50 kilometres on the Continuously Reinforced Concrete, the same quality Lagos-Calabar Coastal Highway project. We have the Mother cat. We have the Tracta.
“We have the Sectraco working, major top companies that are doing the project. We have the Zaria-Nkru project, which is 152 kilometres. That project is ongoing. We have the project that covers the BUA Tax Credit, which is 256 kilometres, that is going through Jigawa, Kano, and Katsina. It’s also under the BUA Tax Credit. We have the Kano Northern Bypass.
“That project is ongoing. We have Section l of Kano-Maiduguri, 100.9 kilometres by Tracta. That project is ongoing. We have the Dikwa project, which is 52 kilometres in Borno State. That project is ongoing under Dangote Tax Credit. You have the Bama project in Borno State, which is 49 kilometres away. That project is ongoing under Dangote Tax Credit.”
“We have section V of the Kano – Maiduguri project being done by CCECC, that project is ongoing. We have the fourth Renewed Hope Legacy Project of Mr. President, which is the Akwanga-Jos-Bauchi-Gombe Superhighway, 439 kilometres.”
“We are completing the design at the directive of Mr. President. It was on flexible pavement. The president said, ‘No, I want it double carriageway, three lanes each, concrete pavement.”
“We have the Maraba-Keffi project, 43 kilometres by two, N73 billion by China Harbour. That project is ongoing. We have the Makurdi down to 9th mile Enugu, 260 kilometres by two, which is about a billion U.S. dollars project. That project is ongoing.”
“We have the Manado project in Kebbi State. That project is ongoing. Time will fail me to read out the projects that Mr. President is doing in the North and also in the South. So, when you look at the four legacy projects of the President, the North has 52 per cent, and the South has 48 per cent. Let me tell you something. People talk about the Lagos-Calabar Coastal Highway.”
“Yes, we procured Section I, which is N1.068 trillion, 30 per cent has been paid. We procured Section II, which is the flyovers of Section I and Section II, passing through Dangote Refinery, passing through a swamp, which is about N1.6 trillion.”
“Yes, we have procured Section III A and III B, which is the end of the project, in Akwa Ibom and Cross River, which is about N1.33 trillion. When you aggregate this thing, this is over N3 trillion. But then you get to Kebbi, we have 258 kilometres of one carriageway, which we procured for about N958 billion, only one section.”
“The second carriageway is going to FEC. So, when you put the two together, you have about N2 trillion on the Kebbi axis alone. Then, Sokoto is 120 kilometres away, where my brother, the Honourable Minister of State for Works, hails from. We’ve already procured ₦454 billion for the 120 kilometres.”
“And by the time you procure the second one, you’re almost about a trillion. So, the two together are about N3 trillion. It is done with the same quality as the Lagos-Calabar Coastal Highway. The one that’s coming from Cross River to Ebonyi, to Benue, to Kogi, to Nasarawa, to Abuja, Section I has been procured, which is N362 billion for 118 kilometres. It is being procured, and we are just reviewing it to include an additional 5 kilometres of road because of underlying factors. So, Mr. President is very committed. I’ve never seen such a unique President.”
