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FG Threatens to Cancel Julius Berger, CCECC Calabar Road Contracts

Umahi warned that failure to do so by the end of the week would result in termination of their contracts

paulcraft by paulcraft
June 30, 2024
in National
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  • Minister David Umahi warned Julius Berger and CCECC to accelerate work on the Calabar-Itu Road project or face termination
  • Umahi criticized the slow progress, noting only 2.5 kilometers completed out of 35 kilometers planned for the road upgrade

The federal government has issued a stern warning to Julius Berger and China Civil Engineering Construction Corporation (CCECC), threatening to terminate their contracts for the Calabar-Itu Road project due to inadequate progress.

Minister of Works, David Umahi, gave the two construction firms a one-week ultimatum to return to the project site or face contract termination. Speaking in Uyo during a Stakeholders’ Engagement on the alignment of sections 3B and 4 of the Lagos-Calabar Coastal Highway on Saturday, Umahi emphasized that President Bola Ahmed Tinubu had released sufficient funds for the projects.

“We take this opportunity to caution CCECC. Out of 35 kilometers, they have only completed 2.5 kilometers of double carriage way and 4.5 kilometers of single carriage way; this progress is unacceptable. They cite compensation issues, but our governor has resolved these matters,” Umahi stated.

He instructed the contractors to mobilize to at least three sections of the road promptly. Umahi warned that failure to do so by the end of the week would result in termination of their contracts. The Minister also addressed concerns regarding RCC, stating that despite receiving over N40 billion for 15 kilometers of road, they have not met expectations.

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“We have given RCC notice of termination. If they do not improve by the end of next week, we will terminate their contract and award it to contractors who can deliver concrete results,” Umahi concluded.

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