The Federal Government has terminated a section of the Abuja-Kaduna highway contract being handled by Julius Berger.
According to reports, the contract was awarded to Julius Berger in 2018 during the regime of former President Muhammadu Buhari.
However, speaking during the inauguration of the rehabilitation of the highway on Thursday, Minister of Works, Sen. David Umahi, accused Julius Berger of playing politics with the project.
He said the company was seeking for N1.5trn for the project but it was reviewed to N740bn by the Federal Executive Council (FEC).
“Berger said to do this entire job, it needs N1.5tr, we started negotiation since September last year writing letters every week. Eventually, we told them that despite the ones they are requesting, it will still take them four years to complete as there have been traffic jam and kidnapping on the road.”
“We presented the option of balkanising the road into three which the President approved. When we did that, Berger accepted it and the rate. But we did not know they were playing games by continue to play delay tactics and at that time their side was N710bn, both completed and those to be done. Later, they came back that they wanted an increase to N740bn, we went to FEC and they gave approval only for them last week to say they need another increase to N903bn.
He added, “Even if we accept it, other contractors will want the same and it will increase the project to about N4bn per kilometre which is on asphalt. Our position is that we are not increasing this project for Julius Berger beyond N740bn, the game is over. If they are not doing it, we will give it those that will do it on the same quality of the coaster road at a cheaper rate. They have put the project into politics, so they are using it to de-market our administration and we say enough is enough.”
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