The Minister of Works, Engr. David Umahi has clarified that the Federal Executive Council (FEC) did not direct that all inherited projects be stepped down.
Umahi stated this on Friday, July 12, 2024 at a meeting with contractors handling road projects held at the Ministry’s headquarters in Abuja.
He explained that, “neither the President nor FEC directed that inherited projects be stepped down, rather it was Mr. president, out of his magnanimity that directed that all inherited projects be made alive through appropriation.
“Promising that he was going to be looking for ways to fund the projects even outside the budgetary provisions through the National Assembly and that is simply what the Ministry Of Works did”.
The Minister further explained that they were reviewing the inherited projects in line with available funds:
“In reviewing the inherited projects,
We are reviewing the inherited projects in line with the availability of funds and make proposal to FEC if such a project has attained about 80% completion, then we make proposal to FEC that in subsequent appropriation, money should be made available and that such project should be made priority so it can be completed.
“On the issue of new projects, if we have appropriation that cannot complete at least 1km of roads, we are not going to carry out such appropriation”, he said.
Umahi also disclosed that FEC directed the Ministry Of Works to liase with the Ministry Of Finance and ministry of budget and National Planning to put forward for proper appropriation in 2025 those projects that don’t have proper appropriation and enough funding and probably have attained 80% completion so that the funds could be made available to get them completed and commissioned.
On the issue of Variation of Price (VOP), the Minister averred that, “all projects that were awarded in 2024 will not attract any VOP and we made it as a policy that such projects cannot get any variation. However within the course of the year and the project execution, if there are issues, that would change the basic market prices of construction materials, we will now revisit the issue of VOP”.
The Minister warned that contractors delaying their projects for selfish gains would be sanctioned:
“We want to warn about delayed tactics, when a contractor no matter who you are, if you are playing games with the life of our people. If you are looking for how to get money from government without working for it, that job will be terminated and if you are owing us and don’t pay us we would recommend you to EFCC and ICPC to recover the money”, he said.