The Federal Government on Monday, 01 July revoked the N870bn highway contracts awarded to three construction companies: Dantata & Sawoe, MotherCat, and RCC, for non-performance.
The termination was announced by the special adviser, media to the minister of works, Uchenna Orji explaining that the affected projects included the dualization of Obajana – Benin road, section II (Okene – Auchi) in Kogi/Edo State; the dualization of Obajana – Benin road, section III (Auchi – Ehor) in Edo State and the dualization of Obajana – Benin road, section IV (Ehor – Benin) in Edo State.
The cancellation of the contracts became necessary given the inordinate delay by the affected companies in job performance and their failure, neglect and or refusal to fulfil their contractual obligations as required by the standard conditions of the contracts. This has affected the timely completion of the projects and thus resulted in the expiration of the contracts by an efflux of time.
The projects, which were awarded on 3rd December 2012 were advertently abandoned by the contractors and no genuine commitment or good faith was shown towards executing the projects after accepting the considerations offered by the Federal Government thereby exposing the road users to untold hardship due to the deplorable condition of the projects.’’
Orji noted that the minister, David Umahi had earlier warned that the Federal Ministry of Works under his watch would not condone “Acts of unseriousness and sabotage by contractors whose plan is to become a clog in the wheel of progress of the Renewed Hope administration, which the minister said was determined to change the ugly narrative of Nigeria’s road infrastructure. The minister further warns that going forward, the government will not hesitate to terminate all projects that are funded, but are non-performing.”
Umahi upon assumption of office had stated that he inherited 2,600 uncompleted road projects but this figure has been reduced to 2,270 following the completion of 330 emergency projects after an appropriation of N300bn by the Federal Government.
