Umahi threatens to terminate 10 federal road contracts in Niger

The Minister of Works, David Umahi, has again threatened to terminate 10 federal road contracts handled by contractors in Niger State over unnecessary delays.

The minister made the threat during a stakeholder meeting with representatives on the deplorable conditions of federal roads in the state at the ministry headquarters in Abuja.

The meeting presided over by the minister was attended by the Governor of Niger State, Mohammed Bago, the Minister of State for Works, Bello Goronyo, state assembly members, and the Senate Committee Chairman on Finance, Mohammed Sani, among other stakeholders.

This latest development was disclosed in a statement signed by the Special Adviser on Media to the minister, Orji Uchenna, on Saturday.

Recall that the Niger State governor had complained about the condition of the Abuja-Minna Road during the minister’s recent visit to the area.

He condemned the deplorable state of the road, labelling the company in charge as a failed contractor.

The statement noted that Umahi expressed displeasure over the attitude of some contractors handling federal roads in Niger State despite receiving various percentages of advance payment.

He said that the contractors, after collecting the agreed payment, either failed to perform the work altogether or neglected their responsibilities, leading to significant delays and substandard construction, causing untold hardship to road users.

The statement read in part, “In line with the policy direction of the Renewed Hope administration on all ongoing federal road projects across the nation, the Federal Ministry of Works has given an ultimatum to contractors handling the 10 inherited ongoing projects in Niger State to move to site without further delay and ensure quality and speedy delivery of the projects they contracted to do or risk termination of such contracts.”

He stressed that there would be consequences for contractors who would collect money for projects and would delay or do sub-standard jobs or cannot deliver the projects in line with the policy direction of the current administration, which emphasizes speed, quality and value for money.

The 10 inherited ongoing federal road projects, as listed by the Minister, include the 52km Agaje-Katcha-Baro road in Niger State under Contract No: 6254 handled by GR Building and Construction Nig. Ltd, dualization of Suleja – Lambata – Minna Road, Phase I in Niger State Contract No: 6077 handled by Salini Nigeria Ltd, dualization of Suleja – Lambata – Minna Road, Phase II in Niger State Contract No: 6267 handled by Salini Nigeria Ltd, dualization of Ilorin, Jebba – Mokwa – Bokani Junction Road Section 1; Jebba – Mokwa – Bokani Junction in Kwara and Niger States handled by CGC Nig. Ltd.

Others are the dualisation of Ilorin, Jebba – Mokwa – Bokani Junction Road Section II, Jebba – Mokwa – Bokani Junction in Kwara and Niger States handled by CGC Nig. Ltd, reconstruction of Bida – Lapai – Lambatta Road in Niger State Contract No:6272 handled by CGC Nig. Ltd, rehabilitation of Mokwa – Makera – Tegina – Kaduna State handled by CGC Nig. Ltd, rehabilitation of Minna – Zungeru – Tegina – Kontagora Road in Niger State (Section 2) handled by Gilmor Engineering Nig Ltd,

While the contractor handling the construction of Minna – Zungeru – Tegina Road in Niger State Contract No: 7732 handled by Develeco Nig Ltd/HMF Construction Ltd, the reconstruction of Bida – Cernu – Wushishi – Zungeru Road in Niger State; Phase I C/No 8492 handled by Gerawa Global Engineering Ltd have been instructed to complete the job or face termination.

The former Ebonyi Governor further directed the formation of a committee to interact with affected contractors, checking their accounts before the termination of the contract.

“The Director of Legal Services was also directed to issue to the contractor a notice of contract termination. The Niger State Government requested to recommend consultants to the Ministry to carry out the engineering design of the road following due process and subsequent supervision of the works. The design is expected to be completed within seven days.

“A feedback process was initiated, and it is hoped that there would be a meeting in January 2025 to appraise the performance of the contracts in Niger State.”

Speaking during the meeting, the Governor of Niger State expressed concern that the failure of the contractor to live up to expectations in jobs awarded to them had adversely affected the socio-economic condition of the State and was adding impetus to the security challenges encountered by the State.

He specifically called for the revocation of the contract handled by Salini Nig. Ltd, which was awarded in 2010 for lack of capacity.

Also, in his remarks, the Minister of State for Works said the administration is ready to change the narratives in the construction industry and expressed hope that the resilience of the Works Ministry would return Nigeria’s road infrastructure trajectory to the path of progress.

The statement added part of the resolutions made during the meeting include, “In the case of the contract handled by GR Building and Construction Nig Ltd, their impressive work was noted and it was resolved that efforts would be made to provide funds for the project through the 2025 appropriation to enable them fast-track the job.

“In the matter of the jobs handled by Salini Nig. Ltd, there was consensus by stakeholders that the contractor has shown a manifest lack of capacity going by the sub-standard jobs noticed in the two sections of their job, and it was resolved that the contract be terminated through due process and re-awarded to a more serious and competent contractor.

“On the jobs handled by CGC Nig. Ltd, the contractor was advised to commence work immediately at the stretch between Agaie and Bida, which is reportedly a death trap, while the Ministry would release funds to them from the VOP. For the request of CGC Nig. Ltd on their second job.

“It was resolved that no further quantities would be approved in their favour, but Variation on Price could avail. On the Reconstruction of the Bida-Lapai-Lambatat road, CGC was commended for a good job and for offering Corporate Social Responsibility services to the host community but was advised to revisit and repair areas of the road that are folding.

“On the Rehabilitation of Mokwa-Makera-Tejina-Kaduna handled by CGC, the strategic economic importance of the road to the North and the security challenges encountered along the road were noted.

“The contractor was advised to commence works from areas where the security threat is minimal. It was further resolved that a provision be made for the project in the 2025 appropriation.

“On the contract handled by Gilmor Engineering Nig Ltd, it was resolved that the Governor would extend his generous security assistance to the contractor handling the project and that the contractor should liaise with the State government in this regard.

“The delay by the contractor on the excuse of security challenges was frowned upon, and it was therefore resolved that a warning letter be given to the contractor by the Ministry over their undue delay in the work and that VOP can not avail as requested.

“On the job handled by Develeco Nig. Ltd/HMF Construction Ltd, the Governor of Niger State, confirmed that the Niger State government had taken over the construction of 20km of the road. Consequently, the Director of Construction & Rehabilitation was directed to write a letter to the contractor based on Section 51 of the Federal Ministry of Works Standard Conditions of Contract stating that the contract had been descoped by 20km. On the job by Gerawa Global Engineering Ltd, the contractor was commended but advised to deploy two gangs working from the two ends for faster execution. It was described as an apace-setting initiative for all the inherited ongoing projects in each of the States of the Federation.”