FG To Pay Julius Berger ₦20 Billion Monthly For 14 Months To Complete Abuja-Kano Highway

The Minister of Works, David Umahi, has disclosed plans by the federal government to allocate ₦20 billion each month to Julius Berger Construction Company over the next 14 months to ensure the completion of the 82 km segment of the Abuja-Kano highway.

Umahi added that the project execution would be in four sections.

The decision was taken during a meeting with the construction company to assess the ongoing road contracts, with the minister expressing concern about the limited financial resources available to finish all the significant road projects he inherited.

Umahi, in a statement from his media team, said the move is in line with the directive of the Federal Executive Council with respect to all inherited and new projects being handled by a number of multinational companies being delayed due to issues of price differentials or poor funding.

He also listed other road projects the government would focus on to include the Abuja-Kaduna-Zaria-Kano route, the second phase of the Lagos-Ibadan expressway, the Second Niger Bridge, the Third Mainland Bridge, as well as the Iddo and Carter Bridges.

The statement reads: “In keeping with the directive of the Federal Executive Council with respect to all inherited and new projects being handled by a number of multinational companies being delayed due to issues of price differentials or poor funding, the Federal Ministry of Works has opened a decisive discussion with Julius Berger Plc on all the inherited and new projects handled by them.

“With a view to appraising their performance and take decisions on funding and milestones completion of all such awarded projects as part of the measures of the Renewed Hope administration to mitigate the suffering of road users at this moment of economic challenges.

“On the section of Abuja-Kaduna-Zaria-Kano Road agreed to be handled by Julius Berger Plc, he commended the quality of work being done but directed the contractor to stick to one carriageway at a time within the scope and conclude their works. The contractor was further directed to, within three weeks, fill the two carriageways with stone base and level it to alleviate the sufferings of road users. He further agreed that the project, within their own corridor, will last for 14 months. Project execution should be deployed in four sections, and we will be paying Berger N20bn every month to get the job completed.”