Abuja-Kaduna Road: Umahi Issues Seven-Day Ultimatum to Julius Berger
Minister of Works David Umahi has issued a final seven-day ultimatum to Julius Berger Plc to accept the Federal Government’s offer of N740.79bn for the completion of the 82km section II of the Abuja-Kaduna-Zaria-Kano road or face the termination of their contract.
Expressing his frustration over stalled negotiations, Umahi emphasized the need for an immediate resolution during a courtesy visit from the new Managing Director of Julius Berger, Dr. Pier Lubasch, accompanied by outgoing Managing Director Dr. Lars Richter, at the Ministry Headquarters in Abuja.
According to a statement by the Minister’s Special Adviser, Orji Uchenna, the meeting was held to introduce the new executive officer to the minister. This follows Umahi’s earlier warning to revoke the contract initially awarded to Julius Berger in 2018 during former President Muhammadu Buhari’s tenure.
While significant progress has been made on the Kaduna-Zaria and Zaria-Kano sections, the Abuja-Kaduna segment remains only 27% complete after six years.
Umahi voiced concerns about delays despite funds being approved by the Federal Executive Council, stating that the setbacks cause hardships for road users and negatively impact the government’s reputation.
“If Berger cannot do it, let’s find others who can within a timeframe where we can control costs,” Umahi remarked, emphasizing that delays have increased the project’s cost from N710bn to N740bn. He stressed that continued delays would not be tolerated and that the Ministry of Works would not allow itself to be constrained by contractors demanding unrealistic pricing.
He urged Julius Berger to either accept or reject the revised contract sum within seven days, warning that failure to comply would result in contract revocation. “This offer is not subject to any conditions. If negotiations have dragged on for 14 months without a resolution, it’s time to end the discussion,” Umahi declared.
In response, the new Managing Director of Julius Berger assured Umahi that they would address the issues raised and work towards a quick resolution to avoid further delays. The outgoing Managing Director clarified that the primary purpose of the visit was to introduce his successor.
Umahi’s stance underscores his commitment to ensuring that construction firms deliver timely and cost-effective solutions, contributing to Nigeria’s road infrastructure development essential for economic growth.
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