Why Contractors On FG’s 260 Emergency Projects Risk Contract Termination

By Alice Etuka, Abuja

The Minister of Works, Engr. David Umahi has given contractors handling the 260 emergency projects awarded by the Renewed Hope administration of President Bola Tinubu a deadline of three (3) months to complete and deliver the projects as required by the Standard Conditions of Contract of the Federal Ministry of Works or face contract termination.

Umahi issued the ultimatum on July 8, 2024, during a meeting of the management of the Federal Ministry of Works with contractors handling the various projects and the Federal Controllers of Works held at the Ministry’s headquarters in Abuja.

TheFact Daily gathered that, these Renewed Hope emergency road projects were appropriated in the 2023 Supplementary Budget with the intention to bring immediate intervention on the completely failed parts of critical federal roads nationwide.

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The Minister listed about 37 contractors who had achieved little or no milestone in the project delivery since the contracts were awarded and warned that such contractors must mobilise effectively to the site latest Wednesday 10th July 2024 or face contract termination.

“If after the deadline for mobilization to the site, any contractor fails to comply, the job shall be terminated by effluxion of time as the contract is for a time limit of 3 months.

“Any contractor whose job has stayed for more than 3 months without completion after the issuance of award letter must seek and obtain approval for extension of time from the Federal Ministry of Works”, Umahi said.

The defaulting contractors, most of whom are handling emergency road projects in Yobe, Jigawa, Zamfara, Benue, Kogi, Abia, Anambra, Imo, Akwa Ibom, Bayelsa, Cross River and River States were warned that the projects awarded to them must be delivered in three 3 months time as no excuse of security challenges or lack of mobilisation funds would justify the sufferings they were subjecting road users to.

He therefore gave a marching order to the Federal Controllers of Works to ensure proper supervision of projects in their sites and be abreast with the contract awarded, amount, date of award, time line, review date, extension of time, argumentation granted and whether the contractor was on site.

He reiterated that mobilization funding under the Standard Conditions of Contract is not a condition precedent for them to move to the site but it is at the discretion of the Federal Ministry of Works and can be made available only to contractors who can undertake through affidavit of commitment to complete the job within three months of mobilization.

On his part, Permanent Secretary of the ministry, Yakubu Kofarmata, stated that the period had gone when contractors were taking the country for granted and could afford to delay in job delivery for years after collecting mobilization.

He therefore urged them to put Nigeria first as they had no other country to call their own:

“Honestly, we have a stake. It is about the Nigerian nation. We don’t have any other country other than Nigeria. Believe me, we are pushing the Honorable Minister right now to stop considering this VOP and augmentation, because, there is no reason, after being given an award letter, you come and say you are waiting for payment for six months. Please, let us consider the nation first. Once we put Nigeria first. You see that things will move”, he said.


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