The Federal Government has canceled its contract with Julius Berger Nigeria Plc for the rehabilitation of the Abuja-Kaduna dual carriageway, citing the company’s failure to meet performance standards.
Background of the Contract
Awarded on December 20, 2017, the contract aimed to rehabilitate the Abuja-Kaduna-Zaria-Kano dual carriageway, divided into three sections. Sections II (Kaduna-Zaria) and III (Zaria-Kano) were partially completed by the end of former President Muhammadu Buhari’s administration, but Section I (Abuja-Kaduna) faced significant delays. Initially, the contract cost was N155.7 billion, but it has undergone several variations and adjustments over time.
Government’s Ultimatum and Unmet Deadlines
In September 2024, the Federal Executive Council (FEC) approved a re-scoping and cost reduction of Section I to N740.8 billion. Despite this, Julius Berger was given a seven-day window in October 2024 to agree to the revised terms or risk termination. The Ministry of Works issued multiple notices to the company, urging them to mobilize resources and begin work on the project, yet there was no visible progress on-site.
Reasons for Termination
According to a statement from the Director of Press and Public Relations for the Ministry of Works, Julius Berger’s non-compliance with the revised cost, scope, and deadlines led to the decision. Minister of Works David Umahi emphasized that delays were causing hardship for commuters and hindered the government’s infrastructure goals under President Bola Ahmed Tinubu’s Renewed Hope Agenda.
The company missed critical meetings, and instead of accepting the final contract terms, they requested additional changes to project specifications. These actions ultimately led to the termination on November 4, 2024.
Project Re-Scoping and Future Plans
To expedite the project, the Ministry divided Section I of the road into phases. A 38-kilometer stretch was awarded to Dangote Industries for a concrete pavement upgrade, with a projected 14-month completion period. The remaining section was intended to be completed by Julius Berger, but the lack of cooperation led to the full termination.
The Road Ahead
The Abuja-Kaduna dual carriageway is a crucial link between the Federal Capital Territory and northern Nigeria, vital for economic and social connectivity. The Ministry is now exploring alternative contractors to complete the project efficiently, aiming to reduce the difficulties faced by road users.
The government’s priority remains clear: to ensure infrastructure projects meet timelines and quality standards for the benefit of Nigerian citizens.
