Umahi Mulls Termination of Lokoja-Ayingba, Okene-Itobe Road Contracts

•Orders contractors back to site

Emmanuel Addeh in Abuja

The federal government yesterday said that it was considering the termination of the Lokoja-Ayingba as well as the Okene-Itobe road contracts, but maintained that meanwhile, the affected contractors must return to site to work for their advance payments.

Minister of Works, David Umahi, stated that these decisions were part of efforts to build an effective roadmap on the funding and delivery of ongoing projects inherited from previous administrations.

Umahi, in a statement in Abuja by his spokesman, Uchenna Orji, stated that the minister has reached a mutual agreement with the contractors handling the rehabilitation of the Lokoja-Shintaku-Dekina-Anyigba road and the reconstruction of Okene-Ajaokuta-Itobe dual carriageway in Kogi State on the way forward towards rejigging the project delivery dates.

According to the statement, the projects were awarded in 2022 to CCECC Nig Ltd and TEC Engineering Company Nig Ltd and were meant to have been completed in 2024.

Speaking in a meeting with the contractors held at the minister’s conference hall, Umahi frowned upon the delay by the contractors in achieving the key deliverables of the projects despite the timelines and financial resources made available by the federal government. 

He emphasised that the administration of President Bola Tinubu was committed to road infrastructure revolution anchored on the core values of quality, speed and value for money in project delivery.

On the contract for the rehabilitation of one of the roads by CCECC Nig Ltd, he noted that the project was awarded in 2022 with a length of 52.27 kilometres, but stated that the contractor has only achieved 1.97 per cent completion (binder) on one alignment despite receiving N2.5 billion advance payment. 

He therefore directed the Director of Highway, North Central, to issue a warning letter to the contractor, to within 30 days, resume work on the site using the old rate to achieve a milestone that is commensurate with the money it received.

Umahi explained that after this, the balance of the job yet to be done would be mutually terminated to enable the ministry procure the remaining section of the project for enhanced funding and execution.

On the contract for the rehabilitation of the other road with a spur from Dekina to Ugbabo in Kogi State, handled by TEC Engineering Company Nig Ltd, the minister noted that the contract was awarded in 2022 but recorded only 1.04 per cent completion despite receiving N1 billion as advance payment. 

It was therefore directed that the contractor should lay 3 kilometres asphalt by December 2025, after which a final account would be made based on the milestone completed and the job would be terminated on mutual basis.

According to the statement, it was further directed that the assessment for the funds already released shall be based on the old rate while the assessment for the funds to be accessed under the year 2025 budget shall be based on the new rate. 

The minister also directed that the consultancies for both contracts be mutually terminated pending when a new contract is procured on the projects.

The meeting, according to the statement, was attended by key officials of the Federal Ministry of Works including I. D. Daikwo, Director, Highway North Central; I. U. Usman, Deputy Director Highway North Central; Mr. Mohammed Ahmed, Director Press and Public Relations and Gana Patiko, Federal Controller of Works, Kogi State.

Others in attendance were: The representatives of the contractors, Mr. Shaun, Marketing Manager of TEC Engineering Company Nig Ltd and Mr. Zhou, the Senior Executive Director of CCECC Nig Ltd.

The project consultants including Mr. Sesan Adeboyejo and EneWakama, as well as the Commissioner of Works, Kogi State, Muhammed Yusuf, who represented the Kogi State government, were also present.

The post Umahi Mulls Termination of Lokoja-Ayingba, Okene-Itobe Road Contracts appeared first on THISDAYLIVE.

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    Folalumi Alaran in Abuja The federal government has reiterated its commitment to transforming Nigeria into a globally recognized and competitive mining hub. The Permanent Secretary, Ministry of Solid Minerals, Engr.
    The post FG: Nigeria Positioned as Globally Relevant Mining Hub appeared first on THISDAYLIVE.

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