FG  Terminates Julius Berger’s N740bn Abuja-Kano Contract Over Non-Compliance

The federal government yesterday issued a 14-day termination notice to Julius Berger over non-compliance on the N740bn Abuja-Kano road project.

A statement by the Director of Press and Public Relations of the ministry, Mohammed Ahmed, said: “Based on non-compliance with reviewed cost, scope and terms, stoppage of work and refusal to remobilise to site, as directed, the Federal Ministry of Works has issued a 14-day Notice of Termination to Messrs Julius Berger (Nig.) Plc for the rehabilitation of Abuja-Kaduna-Zaria-Kano dual carriageway in FCT, Kaduna and Kano states, contract No.6350, Section I (Abuja-Kaduna), today (yesterday) November 4, 2024.

“The decision, which is borne out of several months of going back and forth without any meaningful progress was reached at a management meeting of the ministry.

“The ministry has in the last 13 months been in constant talks with the company, in order to reach an amiable position on the said alignment but to no avail.

Nigerians may wish to know that the Contract for the Rehabilitation of the Abuja-Kaduna-Zaria-Kano Dual carriageway, which was divided into three (3) Section was awarded to the company on 20th December, 2017and flagged off by the then Minister of Power, Works and Housing, Babatunde Fashola, at an initial sum of N155.748,178,425.50 billion on 18th June, 2018.

“Sections II (Kaduna – Zaria) and III (Zaria – Kano) were partially completed and handed over during the twilight of the administration of former President Muhammadu Buhari.

“Since then it has been one variation and augmentation or the other and finally, the present minister of works directed the redesigning and re-scoping of the Section I of the contract.

“The alignment was divided into two with one phase redesigned to be on continuously reinforced concrete pavement, CRCP, while the remaining with asphaltic pavement.

“ Approval for Section I, Phase 1 for a length of 38 (thirty-eight) kilometres on the concrete pavement was given to Messrs Dangote Industries (Nig.) Ltd, while the remaining 127 (one hundred and twenty-seven) kilometres remained with the substantive contractor.

Due to the socio-economic importance of the road as a vital artery connecting Abuja to the North, the ministry conveyed the approval for a final offer on the road on October 23, 2024.

It stated that the construction firm  was requested to agree in writing to accept the reviewed contract sum of N740.7 within seven days or risk the termination of the said contract.

“It is a sad commentary on the company that rather than accepting the offer, they tinkered with the bills of quantities, as well as that of engineering measurements and evaluation via a letter to the ministry dated 29, October, 2024.

“The company was summoned for a meeting with the management of the ministry, today (Monday) November 4, 2024 but refused to show up, hence the (planned) termination of the contract  based on effluxion of time and non- performance.”

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