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© OKN MEDIA PUBLISHING 2022 - All rights reserved
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FG Terminates Julius Berger’s Contract for Abuja-Kaduna-Zaria-Kano Road Rehabilitation

Muhammad A. Aliyu
By Muhammad A. Aliyu
Published: November 4, 2024
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David Umahi
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The Federal Government, through the Ministry of Works, has ordered Julius Berger Nigeria Plc to vacate the project site for Section One of the Abuja-Kaduna-Zaria-Kano Dual Carriageway following prolonged disputes over contract terms.

The ministry issued a final 14-day termination notice to the construction firm on Monday, citing non-compliance with revised contract terms, project scope, and cost adjustments.

The directive was made public by Mohammed Ahmed, Director of Press and Public Relations at the Office of the Accountant General of the Federation (OAGF), following a management meeting at the ministry’s headquarters.

The decision reflects the government’s dissatisfaction with the company’s refusal to resume work on the project despite repeated calls for compliance.

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The Ministry of Works disclosed that negotiations with Julius Berger had spanned over 13 months, but no consensus was reached.

The current administration sought to review and re-scope the project, particularly focusing on Section I of the dual carriageway, which has seen minimal progress since the contract was awarded in 2018 under former President Muhammadu Buhari.

While the Kaduna-Zaria and Zaria-Kano sections are nearing completion, the Abuja-Kaduna section has only achieved a 27% completion rate in six years.

The Ministry’s termination notice highlighted that the contract, initially valued at N155.75 billion, has undergone multiple variations and adjustments.

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The Federal Executive Council (FEC) recently approved a revised project scope, reducing the contract value from N797.26 billion to N740.79 billion.

Despite this reduction, Julius Berger allegedly submitted altered cost estimates, leading to further friction with the Ministry.

In addition to issuing the termination notice, the Ministry allocated part of the Abuja-Kaduna section to Dangote Industries Nigeria Ltd. on a reinforced concrete pavement, covering 38 kilometers, with the remaining 127 kilometers left under Julius Berger’s purview.

The phase involving Dangote Industries was flagged off on October 17, 2024, with a 14-month completion target.

Reflecting on the decision, Ahmed stressed that the termination aligns with President Bola Tinubu’s Renewed Hope Agenda for infrastructure.

“The socio-economic importance of the Abuja-Kaduna-Zaria-Kano road is paramount. The Ministry re-scoped it and obtained FEC’s approval to ensure the project meets its intended purpose and alleviates the sufferings of Nigerians traveling this critical route,” he stated.

Julius Berger’s absence from a scheduled meeting with Ministry officials on Monday further solidified the government’s decision.

The Ministry underscored that the termination was due to “effluxion of time and non-performance” by the contractor.

The Abuja-Kaduna-Zaria-Kano dual carriageway serves as a crucial route connecting Abuja and FCT to northern states, and the project’s delayed completion has drawn public attention due to its impact on travel and commerce in the region.

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TAGGED:Abuja-Kaduna-Zaria-Kano RoadFGJulius Berger
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ByMuhammad A. Aliyu
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Muhammad Ameer Aliyu, is a prolific journalist who joined Okay Nigeria in 2015 with the aim staying committed to bringing more positive growth to the digital news platform. He is the Senior Editor at Okay Nigeria.
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