The Federal Executive Council (FEC) has granted its approval for a significant contract worth N1.067 trillion to commence the construction of the initial phase of a coastal highway.
The announcement was made by the Minister of Works, Dave Umahi, following the eighth meeting of the Council during President Bola Tinubu’s tenure.
The first phase of this ambitious project involves the construction of a 47.47km dual carriageway with five lanes on each side and a train track running through the middle. This section is part of a larger 700km road network that will traverse nine states, with two additional spurs extending northward. Notably, the highway will be built using concrete, ensuring durability and longevity.
Minister Umahi emphasized the significance of the coastal route, remarking, “Today, we had the approval of FEC for the construction of 700km of coastal routes running from Lagos through the nine coastal states up to Cross River. This will include key locations such as the Lekki Deep Seaport, Ogun, Ondo, Delta, Bayelsa, Rivers, and Akwa Ibom.” He further highlighted the two spurs leading northward, connecting the current Badagry-Sokoto route and the Trans-Sahara route from Ogoja to Cameroon.
Initially planned to be procured under the Engineering, Procurement, Construction, and Financing (EPC+F) model, the contractor, High Tech Construction African Limited, faced difficulties in securing finances. As a result, the Ministry sought intervention from President Tinubu to expedite the project and requested federal funding for the first phase, spanning 47.47km from Ahmadu Bello in Lagos to the Lekki Deep Seaport. This request was graciously approved by the President.
“We have now procured the first section, which stretches over 47.47km and features ten lanes. The FEC has approved the contract worth N1.067 trillion without any objections,” Minister Umahi announced. He further revealed that the procurement of the second section, covering approximately 57km from the Lekki Deep Seaport to the boundary between Ogun and that section of phase one, will also be funded by the federal government. Additionally, the third section, spanning around 50 kilometers from Calabar towards Akwa Ibom and Port Harcourt, will be procured under section three of phase one.
The remaining sections and areas will proceed under the EPC+F model, with High Tech Construction Africa Limited continuing as the contractor. Minister Umahi emphasized the expertise of the construction company in building roads with concrete.
In addition to the approval of the coastal highway project, the FEC also granted variations on the contract sums for several long-standing projects. These variations were necessary due to the substantial disparities in the prices of building materials that have occurred since these projects were initially awarded.
Minister Umahi highlighted the dualization of the Kano-Maiduguri road, specifically section four (Damaturu-Maiduguri), which was awarded in 2006 but had stalled due to financial constraints. The contract sum for this project has now been augmented from N39 billion. Similarly, the maintenance of the Pankshin-Gindiri Road in Plateau state, awarded in 2017, received a revised contract sum of N20 billion, up from N10 billion.
Furthermore, the Mayo-Belewa-Jega-Kanya-Tungur road in Adamawa state, awarded in 2018, underwent an adjustment in its contract sum from N21 billion to N43 billion, aligning with the current market prices in the construction industry. Lastly, the Yakasai-Badume-Damagum-Makin Zali road in Kano state, awarded in January 2021, saw its documented contract sum increase from N12 billion to N17 billion.
Minister Umahi emphasized that over 1,000 roads across the country will undergo similar processes to ensure their completion and functionality. He also noted that many of these projects were inherited from past administrations, emphasizing the government’s commitment to bringing them to fruition.