The Federal Ministry of Works has formally instructed construction giant Julius Berger Nigeria Plc, the contractor responsible for the Section One rehabilitation of the Abuja-Kaduna-Zaria-Kano Dual Carriageway, to withdraw from the project site.
This directive comes after the issuance of a final 14-day termination notice to the company on Monday, signaling an end to any further negotiations.
The Ministry's decision to terminate the contract reportedly stems from Julius Berger’s failure to comply with revised project terms, including updated cost, scope, and other requirements.
The ministry cited work stoppage and the contractor’s refusal to return to the site as mandated. This resolution was announced by the Ministry’s Director of Press and Public Relations, Mohammed Ahmed, following a management meeting at the ministry’s headquarters in Abuja.
The ministry indicated that negotiations with Julius Berger had continued for over a year with little progress, despite efforts to reach a consensus on the project’s alignment.
This recent development follows a prior warning from Works Minister David Umahi, who had previously threatened to revoke the contract.
The contract was initially awarded in December 2017 during the administration of former President Muhammadu Buhari, and the project officially commenced in June 2018, valued at N155.75 billion.
According to the ministry’s statement, while the Kaduna-Zaria section is complete and the Zaria-Kano segment nearing completion, work on the Abuja-Kaduna section has advanced by only 27% in six years. Minister Umahi recently accused Julius Berger of politicizing the project to cast the current administration in a negative light.
Despite continued efforts, the construction company reportedly did not attend a scheduled meeting on Monday, prompting the ministry to issue the termination notice.
The statement highlighted, “The Federal Ministry of Works has issued a 14-day Notice of Termination to Messrs Julius Berger Plc for the Rehabilitation of Abuja-Kaduna-Zaria-Kano Dual Carriageway in FCT, Kaduna, and Kano States, Contract No.6350, Section I (Abuja-Kaduna), effective November 4, 2024.”
Notably, the initial contract scope has since been modified. Approval was granted for a 38-kilometer segment of the Abuja-Kaduna section to be constructed as a reinforced concrete pavement, assigned to Dangote Industries Nigeria Ltd, while the remaining 127 kilometers would continue under Julius Berger’s purview.
This revised plan was launched on October 17, 2024, with a targeted 14-month completion.
Ahmed further detailed that while the Federal Executive Council approved the project’s rescoping, the contractor did not agree to the revised terms.
The project’s budget was adjusted from N797.26 billion to N740.79 billion, with approval granted on September 23, 2024, and communicated to the company on October 3.
Umahi’s directive marks his eleventh contract termination in 16 months, underscoring the administration’s commitment to delivering on President Bola Tinubu's Renewed Hope Agenda infrastructure initiative.
This termination is aimed at expediting the completion of this critical roadway, a project seen as vital to alleviating travel challenges faced by Nigerians along the route.
