Nigeria Reserves Sub-₦20bn Road Contracts for Local Firms, Prioritises NNPC-Inherited Projects

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The Federal Government has announced that all road projects valued below ₦20 billion will henceforth be reserved exclusively for Nigerian contractors under its new Nigeria First policy.

Minister of Works, David Umahi, disclosed this during an inspection of the ongoing dualisation of the East-West Road (Section IIIA) from Eleme Junction to Onne Junction in Rivers State, handled by RCC Nigeria Ltd.

Umahi also revealed that projects inherited from the Nigerian National Petroleum Company Limited (NNPC) under the Road Infrastructure Development and Refurbishment Investment Tax Credit Scheme would be given priority funding. He said the Ministry had compiled the list of such projects and presented it to President Bola Tinubu, who directed that none should be abandoned.

“The most critical projects within the national economic corridor will be prioritised for immediate funding,” Umahi said in a statement by his spokesman, Uchenna Orji.

The minister cautioned contractors against delays and poor execution, warning that anti-graft agencies would be alerted in cases of malpractice. He criticised the practice of leaving binder courses unprotected for months, which he said weakens road structures and accelerates failures.

Umahi further directed that expatriate firms would no longer be awarded contracts below ₦20 billion, stressing that such projects must be reserved for indigenous companies.

On the East-West Road project, he expressed satisfaction with the quality but described the pace of work as unacceptable. He reaffirmed that the December 15, 2025 deadline remains sacrosanct, with no provision for cost variations or extensions.

The minister also condemned the habit of heavy-duty vehicles parking on federal highways, warning that punitive measures would soon be enforced. He said letters would be sent to governors and the Inspector General of Police to tackle the menace, which he noted was damaging newly constructed roads.

Earlier, the Federal Controller of Works in Rivers State, Enwereama Tarilade, reported that the contractor had completed the 15km stretch on the right carriageway towards Eket and had commenced work on the left carriageway leading to Port Harcourt.

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