Minister of Works, David Umahi responds to Atiku over Lagos-Calabar Costal Road contract, says the contract followed due process

Minister of Works, David Umahi, in a note, said the 700-kilometre, 10-lane Lagos-Calabar highway was conceived as an Engineering, Procurement and Construction plus Financing (EPC+F) project.

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• Umahi said the model (EPC+F) entails part-funding by the Federal Government.
• Umahi said the approval process went through the Bureau of Public Procurement (BBP) after consideration by the Federal Executive Council (FEC) as prescribed by law.
• Umahi added that the project is an unsolicited bid on EPC+F.
• Umahi explained that under this model, the investor provides all designs, part of the financing and construction while the Federal Government provides the counterpart funding.
• Umahi revealed that the ministry received such a bid, worked on it and sent it to BPP.
• Umahi added that the BPP worked on it according to the Procurement Act and came up with a price slightly lower than the ministry’s price and even lower than the cost of similar projects awarded five years ago like the Bodo-Bonny project.
• Umahi said BPP issued a certificate of no objection on the project to the Ministry of Works in line with the Procurement Act.
• Umahi added that the Ministry of Works took the certificate of no objection to FEC and FEC debated and approved it.
• Umahi also cleared the air on the Environment and Social Impact Assessment (ESIA) report, saying that preliminary approval was issued in December 2023 by the Ministry of Environment and renewed in January.
• Umahi said the ESIA certification is progressive and they have a certified ESIA to start the project.
• Umahi added that they redesigned the route to put a human face to the decision and to minimise demolition of permanent infrastructure.
• Umahi said the process of ESIA involves constant stakeholders’ engagement of which many have taken place and he even participated in two in Lagos.
• Umahi maintained that the removal of properties along the route is subject to the rule of law and clarified that only property owners with proven titles will receive compensation.
• Umahi said shanties and those with property within the 250-meter shoreline setback without a Federal government title would not be compensated as it is a legal matter.
• Umahi added that the committee is not in charge of ramp or anything else but to verify those to be paid compensation, authenticate and pay. He said where there is a title problem, it will need a presidential waiver for such to be paid.