Umahi: Lagos-Calabar Road Contract Followed Due Process

The New Diplomat
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  • South-South governors laud project 

The Federal Government yesterday insisted that the Lagos-Calabar Coastal Highway contract followed the procurement process.

Minister of Works, David Umahi, said the 700-kilometre, 10-lane highway was conceived as an Engineering, Procurement and Construction plus Financing (EPC+F) project, which entails part-funding by the Federal Government.

The road project, regarded as one of the biggest in Africa, and awarded to Hitech Construction Company Ltd, will link nine states.

Umahi, in a note, said the approval process went through the Bureau of Public Procurement (BBP) after consideration by the Federal Executive Council (FEC), as prescribed by law.

He said: “This project is an unsolicited bid on EPC+F. Under this model, the investor provides all designs, part of the financing and construction, while the Federal Government provides the counterpart funding.

“The ministry received such a bid, worked on it and sent it to BPP. The BPP worked on it, according to the Procurement Act and came up with a price slightly lower than the ministry’s price and even lower than the cost of similar projects awarded five years ago like the Bodo-Bonny project.

“BPP issued a certificate of no objection on the project to the Ministry of Works, in line with the Procurement Act.

“The Ministry of Works took the certificate of no objection to FEC and FEC debated and approved it. The project followed due process.”

Umahi also cleared the air on the Environment and Social Impact Assessment (ESIA) report, saying that preliminary approval was issued in December 2023 by the Ministry of Environment and renewed in January 2024.

According to him, the ESIA certification is progressive. We have a certified ESIA to start the project. “We have redesigned the route to put a human face to the decision and to minimise demolition of permanent infrastructure,” he said.

“The process of ESIA involves constant stakeholders’ engagement of which many have taken place and I even participated in two in Lagos. We are doing everything possible to follow the law.”

The minister maintained that the removal of properties along the route is subject to the rule of law, clarifying that, “only property owners with proven titles will receive compensation.”

Shanties and those with property within the 250-metre shoreline setback without a federal government title would not be compensated, as it is a legal matter, he explained.

Umahi added: “The committee is not in charge of ramp or anything else but to verify those to be paid compensation, authenticate and pay.

“But where there is a title problem, it will need a presidential waiver for such to be paid. It is only those with proven titles that will be paid after undergoing all the verification processes.

“We have shortened the process. No delayed files, so property owners are assured that within 72 hours, we will do the needful.

“Anyone with a title within 250 metres, and it is not a federal government title, then only the President can give a waiver for the person to be paid.”

As reported by The Nation, the Lagos-Calabar Coastal Highway project is a cornerstone of the infrastructure plan of the Tinubu presidency, which has received the support of many Nigerians.

The South-South governors, whose states will particularly benefit from the road project, last week, after a meeting of the BRACED (Bayelsa, Rivers, Akwa Ibom, Cross River, Edo and Delta) states, described it as laudable, and pledged their unflinching support for it.

Edo State Governor Godwin Obaseki, chairman of South-South Governors’ Forum (SSGF), read the communiqué of the meeting.

HE said: “We thanked President Bola Tinubu, for commencing the construction of the coastal road from Lagos to Calabar and appealed for speedy completion. Work should also commence from the Calabar end.”

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