The Federal Government has terminated its contract with Julius Berger Nigeria Plc for the rehabilitation of the Abuja-Kaduna dual carriageway due to prolonged delays and failure to meet project terms.
This action follows a series of missed deadlines and a recent ultimatum issued by the Minister of Works, David Umahi, who offered the company a revised contract sum of ₦740.79 billion to complete the project.
In a statement released on Monday, the Federal Ministry of Works, through its Director of Press and Public Relations, Mohammed Ahmed, confirmed the contract’s termination.
The Ministry cited non-compliance with the revised project scope, stoppage of work, and the company’s refusal to remobilize on-site as reasons for the decision.
This development comes after over a year of negotiations and adjustments to the contract terms.
The contract, initially awarded in 2017 at ₦155.7 billion and flagged off by former Minister Babatunde Fashola, aimed to rehabilitate key sections of the Abuja-Kaduna-Zaria-Kano Road. However, only the Kaduna-Zaria and Zaria-Kano segments were partially completed, leaving Section I (Abuja-Kaduna) unfinished.
Recent plans to rescope and divide this section included allocating a 38-kilometer stretch to be paved with reinforced concrete by Dangote Industries, while the remaining 127 kilometers were assigned to Julius Berger under new terms.
Despite a recent Final Offer deadline set by the Federal Executive Council, which required Julius Berger to accept the revised contract sum of ₦740.79 billion by October 23, 2024, the company reportedly submitted adjustments to the original Bills of Quantities and Engineering Measurements. Julius Berger also failed to attend a scheduled meeting with the Ministry on November 4, 2024, prompting the contract termination.
The Ministry emphasized the socio-economic importance of completing this vital route, which connects the Federal Capital Territory to the northern region.
Minister Umahi noted that the government’s decision aligns with President Bola Tinubu’s Renewed Hope Agenda, prioritizing infrastructure that alleviates public hardship. The Ministry has committed to advancing the project to ensure timely completion and improved connectivity for road users.
