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FG Cancels ₦35 Billion Benin-Sapele-Warri Road Contract

Dave Umahi 1

The Federal Government has terminated the contract for the reconstruction of Section 1 (Benin-Imasabor) of the Benin-Sapele-Warri Road, which was granted to Levant Construction Ltd under the Road Infrastructure Development and Refurbishment Investment Tax Credit Scheme, due to inadequate performance.

The Minister of Works, David Umahi, confirmed this development during a briefing following a meeting with the Chief Executives of GELD Construction Ltd and SKECC Nigeria Ltd regarding the delays in the execution of the Benin-Sapele-Warri road project, which took place in his office.

Others present at the meeting included: the Minister of State for Works, Hon. Bello Goronyo, the Permanent Secretary of the Ministry, Engr. Olufunso Adebiyi and directors from key departments within the ministry.

Naijaonpoint reports that this information was included in a statement issued by his Special Adviser (Media), Orji Uchenna Orji, in Abuja, on Wednesday.

The Minister expressed disappointment over the failure and/or neglect of Messrs Levant to fulfil their contractual obligations concerning the section of the road that was awarded to them.

Umahi said, “We have three sections there. We have the Levant section. Unfortunately, Levant has not lived up to expectations. We even had to intervene and beg the Governor of Edo State to please get the worst sections of that route done.

“We divided the worst sections into two and told Levant to concentrate on one part. While the Governor of Edo State intervened, which I think is about 23 kilometres for N35 billion, and that section the Governor of Edo State intervened in is ongoing very well, Levant has since left site.

“We gave them a series of warning letters. We also gave them the last termination notice. When a termination notice is given to you, you have 14 days to go back to the site and begin to do those things you were not doing.

“This time is for them to remobilise to the site and for them to work, but they did not respond.”

The minister subsequently instructed the Permanent Secretary to ensure the proper termination of the job and to draft a letter for a joint measurement. Additionally, he requested that the bank be contacted to seek repayment of the APG.

He pledged to engage the Economic and Financial Crimes Commission (EFCC) if the company does not comply with the request for the necessary refunds to the government’s coffers.

However, Umahi conveyed his satisfaction with the results of discussions held with SKECC Nigeria Ltd and Geld Construction Ltd regarding the urgency for them to enhance their work on the respective sections of the road project they are managing.

He praised the Governor of Delta State, Sheriff Oborevwori, along with his Edo State counterpart, Sen. Monday Okpebholo, for their contributions to certain kilometres of that road project.

Umahi said, “I have called the Governor of Delta State, and I commend him for the very beautiful work he’s doing. Three flyovers at the same time, beautiful flyovers. In this country, we need such beauties.

“We have also learned from that design. So we appealed to him to get any contractor within that zone to put 10 kilometres with reinforced concrete.

“He has agreed to do that. So I commend him very highly, which means that the Governor of Edo State is intervening in that section, and the Governor of Delta State is intervening in that section. We are grateful to them.”