Road projects: Umahi expresses worry over price differentials

Minister of Works, Engr David Umahi has tasked the starring operation giant, Julius Berger connected the completion of ongoing roadworthy projects crossed the country.

Umahi’s directive was coming connected the heels of the Federal Executive Council gathering with respect to each inherited and caller projects being handled by a fig of multinational companies, but delayed owed to issues of terms differentials and mediocre funding.

The Minister said the Federal Ministry of Works has opened a decisive treatment with Julius Berger connected each the inherited and caller projects handled by them with a presumption to appraising their show and taking decisions connected backing and milestones completion of each specified awarded projects.

This was contained successful a connection issued connected Thursday by the Minister’s Special Adviser connected Media, Uchenna Orji astatine the extremity of the important gathering of the ministry with the absorption of Julius Berger successful Abuja.

Speaking connected the resolutions reached during the meeting, Umahi reiterated the firmness of the Ministry connected issues of terms control, committedness of contractors to task execution, worth for money, and azygous pricing.

The curate decried the unacceptable conditions of immoderate of the inherited and caller projects of each ongoing national roads awarded to Julius Berger, which were wrong the economical corridor of the federation and which were being delayed owed to issues of terms differentials oregon deficiency of effectual funding.

He listed the projects affected to include: the 82km by 2 dualization of conception of Abuja-Kaduna- Zaria- Kano Highway presently handled by Julius Berger; signifier 2 of Lagos-Ibadan expressway, whose pavement elements had been changed from asphalt to concrete; conception 2A bypass astatine the 2nd Niger Bridge whose pavement constituent was changed to concrete; the Bodo-bonny roadworthy funded by NLNG Tax Credit; the nether platform structural works astatine 3rd Mainland Bridge, Iddo Bridge and Carter Bridge.

He urged the contractor to beryllium unfastened to a mutually agreed modality for milestone execution and backing of the projects astatine reviewed rates arsenic whitethorn beryllium agreed upon and approved by the Federal Executive Council.

He said, “Our occupation is to make this mechanics based connected FEC directives, and prosecute with the Minister of Finance and Coordinating Minister of the Economy, and yet we instrumentality our recommendations backmost to Mr. President, and of people FEC for consideration.

“On the conception of Abuja-Kaduna-Zaria-Kano roadworthy agreed to beryllium handled by Julius Berger, helium commended the prime of enactment being done but directed the contractor to instrumentality to 1 carriageway astatine a clip wrong the scope and reason their works.

“The contractor was further directed to, wrong 3 weeks, capable the 2 carriageways with chromatic basal and level it to alleviate the sufferings of roadworthy users.

“We agreed that this project, wrong their ain corridor, volition past for 14 months. Project execution should beryllium deployed successful 4 sections, and we’ll beryllium paying Berger N20 cardinal each period to get the occupation completed.”

On the Lagos-Ibadan Expressway signifier 2, Umahi said the Ministry had nary prime but to find the declaration and inquire the Bureau of Public Procurement for No Objection for selective tendering.

He recalled, “We changed the elements of the pavement from asphalt to concrete, and the full outgo we came up with based connected prevailing outgo is N153 billion. But they are offering N258 billion.

“Since we’ve been connected this since September 2023, we person nary prime but to find this contract. And past we inquire BPP for No Objection for selective tendering, whereby we volition beryllium sending our ain proposal of N153 cardinal to BPP, and we nonstop their ain of N258 cardinal to BPP, and past we invitation different contractors to besides bid. This we volition reason wrong the adjacent 1 period truthful that we tin get that occupation concluded.”

On the Second Niger Bridge Bypass handled by Julius Berger helium said, “one of the bypasses, which is 17.27 kilometers by 2 connected asphalt, was awarded to Julius Berger. We changed the pavement elements to factual and the outgo that we came up with was N133 billion.

“Berger astir gave america much than doubly our cost, which is N279 billion. We person disagreed with this outgo astatine the clip of dialog since September 2023. We’ve besides decided to get the task backmost to BPP and invitation much contractors to bid due to the fact that this is nationalist fund”.

On the Bodo-Bonny task being funded by NLNG Tax Credit, the Minister expressed concerns that Julius Berger had mobilized backmost to tract aft an further outgo of N80 billon was approved for the work.

“We agreed connected an further outgo of N80 billion, which volition bring the task to astir N280 cardinal fixed and non-varying with the portion rates agreed, and we agreed that this task volition not summation successful outgo beyond N280 billion,” helium said.

Road projects: Umahi expresses interest implicit terms differentials