Umahi to Contractors: Shape Up or Lose Niger Road Contracts

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The Minister of Works, David Umahi, has reiterated his threat to terminate 10 federal road contracts in Niger State due to persistent delays and substandard work. This warning came during a stakeholders’ meeting on federal roads in Niger State, held at the ministry’s headquarters in Abuja.

The meeting, chaired by Umahi, was attended by Niger State Governor Mohammed Bago, Minister of State for Works Bello Goronyo, lawmakers from the state assembly, and Senate Finance Committee Chairman Mohammed Sani, among others.

In a statement released on Saturday by the minister’s Special Adviser on Media, Orji Uchenna, Umahi expressed dissatisfaction with contractors who, despite receiving advance payments, have either failed to perform or delivered subpar results.
Contractors on Notice

The statement emphasized that contractors who fail to meet the standards of speed, quality, and value for money in line with the federal government’s Renewed Hope agenda risk having their contracts terminated.

Umahi identified 10 ongoing projects in Niger State, including:

Agaje-Katcha-Baro Road (52km) – handled by GR Building and Construction Nig. Ltd.
Suleja–Lambata–Minna Road (Phase I & II) – both sections managed by Salini Nigeria Ltd.
Ilorin–Jebba–Mokwa–Bokani Junction Road – overseen by CGC Nig. Ltd (Sections I & II).
Bida–Lapai–Lambatta Road – managed by CGC Nig. Ltd.
Mokwa–Makera–Tegina–Kaduna State Road – handled by CGC Nig. Ltd.
Minna–Zungeru–Tegina–Kontagora Road (Section 2) – by Gilmor Engineering Nig. Ltd.
Minna–Zungeru–Tegina Road – by Develeco Nig. Ltd/HMF Construction Ltd.
Bida–Cernu–Wushishi–Zungeru Road (Phase I) – handled by Gerawa Global Engineering Ltd.

Action Plan and Resolutions

The statement highlighted the formation of a committee to review contractors’ accounts before termination. It also tasked the Niger State government with recommending consultants for engineering designs and project supervision.

For contractors like GR Building and Construction Nig. Ltd, whose work was deemed satisfactory, the ministry pledged to secure funds for project acceleration through the 2025 budget. However, stakeholders unanimously agreed to terminate contracts with Salini Nig. Ltd due to repeated underperformance and lack of capacity.
Stakeholders’ Concerns

Governor Bago lamented the socio-economic and security challenges arising from poorly maintained roads. He specifically requested the revocation of Salini’s contracts, originally awarded in 2010, citing inefficiency.

Minister of State for Works Bello Goronyo reaffirmed the administration’s commitment to transforming Nigeria’s road infrastructure and ensuring accountability in the construction industry.
Next Steps

Umahi directed legal action for contract terminations and scheduled a follow-up meeting in January 2025 to evaluate progress. The ministry assured stakeholders of its dedication to improving Niger State’s road network and delivering on its mandate.

This proactive stance underscores the government’s determination to uphold quality and efficiency in public infrastructure projects.

The Federal Ministry of Works has issued a series of resolutions and directives aimed at expediting the completion of critical road projects in Niger State. This follows a review of the performance of contractors handling the projects. The Ministry acknowledged progress in some areas while addressing delays and challenges, particularly those caused by security concerns.
Key Resolutions:

Projects by CGC Nig. Ltd:
Agaie-Bida Road: Recognized as a critical stretch and a “death trap,” the contractor was directed to commence work immediately. The Ministry committed to releasing funds from the Variation on Price (VOP) provisions.
Bida-Lapai-Lambata Road: CGC was commended for quality work and Corporate Social Responsibility initiatives. However, the contractor was advised to revisit and repair sections of the road showing early signs of failure.
Mokwa-Makera-Tegina-Kaduna Road: The strategic economic significance of this route was noted. CGC was advised to start work in safer areas while the Ministry secures funds for the project in the 2025 budget.

Gilmor Engineering Nig. Ltd:
Security concerns raised by the contractor were addressed, with Niger State Governor Mohammed Bago pledging enhanced security assistance.
The contractor was issued a warning for undue delays despite the Ministry rejecting their request for VOP adjustments.

Develeco Nig. Ltd/HMF Construction Ltd:
The Niger State Government has taken over the construction of 20km of this project. Consequently, the Ministry directed a revision of the project scope, in line with Section 51 of its Standard Conditions of Contract.

Gerawa Global Engineering Ltd:
The contractor was commended for progress but was urged to deploy dual construction teams to expedite the project.

Broader Implications

The Ministry’s approach reflects its focus on accountability and efficiency in delivering road infrastructure. Minister of Works David Umahi emphasized that contractors must adhere to the principles of speed, quality, and value for money, aligning with the administration’s Renewed Hope agenda.

By resolving key issues and providing actionable directives, the Federal Ministry of Works aims to ensure the timely completion of these vital projects, improving connectivity and easing security challenges in Niger State.

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