The federal government has terminated the contract for the rehabilitation of the Abuja-Kaduna-Zaria-Kano Dual Carriageway with Contract No. 6350, Section I (Abuja-Kaduna), based on non-compliance with reviewed cost, scope, and terms, stoppage of work, and refusal to remobilize to the site by Messrs Julius Berger (Nig.) Plc.
The company was summoned for a meeting with the Management of the Federal Ministry of Works on 4th November 2024, but the contractor refused to show up, hence the termination of the contract based on effluxion of time and non-performance.
Minister of Works, David Umahi, through the Director of Press of the ministry, Mohammed S. Ahmed, said the decision for termination was borne out of several months of going back and forth without any meaningful progress reached at a management meeting of the Ministry.
According to Umahi, the Ministry has, in the last 13 months, been in constant talks with the company in order to reach an amiable position on the said alignment but to no avail.
Nigerians may wish to know that the contract, which was divided into three (3) sections, was awarded to Berger on 20th December 2017 and flagged off by Minister of Power, Works and Housing, Babatunde Fashola, at an initial sum of N155,748,178,425.50 billion.
He noted that on 18th June 2018, Sections II (Kaduna – Zaria) and III (Zaria – Kano) were partially completed and handed over during the former administration, adding that since then it has been one variation and augmentation after another, and finally, the present Minister of Works directed for the redesigning and re-scoping of Section I of the contract.
“The alignment was divided into two, with one phase redesigned to be on continuously reinforced concrete pavement (CRCP), while the remaining was with asphaltic pavement. Approval for Section I, Phase 1 for a length of 38 (thirty-eight) kilometres on concrete pavement was given to Messrs Dangote Industries (Nig.) Ltd, while the remaining 127 kilometres remained with the substantive contractor.”
He further explained that Phase 1 was flagged off on 17th October 2024 with a 14-month completion period, but due to the stalemate of the contract and, most importantly, the desire of President Bola Tinubu, as encapsulated in the Renewed Hope Agenda infrastructure initiative, to see to the completion of this laudable project.
The Works Minister also stated that, to alleviate the sufferings of Nigerians plying the road, the Ministry re-scoped it and got the approval of the Federal Executive Council.
The award for the re-scoping and downward review of the contract for the rehabilitation in favour of Messrs Julius Berger (Nig.) Plc from the sum of N797 billion to N740 billion was granted and conveyed to the company on 3rd October 2024.
“As due to the socio-economic importance of the road as a vital artery connecting Abuja, the FCT, to the North, the Ministry conveyed the approval for a Final Offer to the company on 23rd October 2024, stating that it should agree, in writing, to accept the reviewed contract sum of N740 billion within seven (7) days or risk the termination of the said contract.”
The Minister therefore said, “It is a sad commentary on the Company that rather than accepting the offer, they tinkered with the Bills of Quantities, as well as that of Engineering Measurements and Evaluation via a letter to the Ministry dated 29th October 2024.”
