The Federal Government is considering ending the contracts for the Lokoja-Ayingba and Okene-Itobe road projects due to significant delays and poor performance by the construction firms involved.
Minister of Works, David Umahi, has instructed the contractors to immediately return to site and demonstrate progress that justifies the substantial advance payments they have already received.
These roads, awarded in 2022 to CCECC Nigeria Ltd and TEC Engineering Company Ltd, were originally scheduled for completion this year. However, work has largely stalled. The minister revealed that despite receiving an advance payment of N2.5 billion, CCECC has only achieved 1.97% completion on its section of the project. Similarly, TEC Engineering, which was paid N1 billion, has completed just 1.04% of its assigned road.
Umahi emphasised the Tinubu administration’s strong commitment to a revolution in road infrastructure, one based on the core values of quality, speed, and value for money. He expressed clear dissatisfaction with the contractors’ failure to meet key milestones.
As a direct response, the minister has issued a strict 30-day ultimatum. He has directed the contractors to resume work using the old contract rates to achieve a milestone that matches the funds already collected. Should they meet this target, the remaining, uncompleted portions of the projects will be mutually terminated. This would allow the ministry to re-procure these sections under new contracts with enhanced funding arrangements.
The meeting, which included representatives from the contractors, project consultants, and the Kogi State government, concluded with a firm directive that the consultancies for both projects also be terminated mutually. This paves the way for a fresh start on these critical road projects in Kogi State.
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