The Nigerian government has ended the contract with Julius Berger (Nig.) Plc for the rehabilitation of the Abuja-Kaduna dual carriageway due to lack of performance.
Last month, Minister of Works David Umahi gave the company a seven-day ultimatum to agree to the government’s offer of N740.79 billion to complete the 82-kilometre section of the road.
Umahi expressed frustration that the company’s delay in mobilising to the site, despite the Federal Executive Council’s approval of funds, was causing significant hardship for road users and that the government was adversely affected by the situation.
Mohammed Ahmed, the Director of Press and Public Relations at the Federal Ministry of Works announced on Monday that the contract was terminated after the company’s notice of termination period expired on Monday.
The ministry also mentioned that they had engaged in various discussions with the company over several months, but these talks did not produce any results.
“Based on non-compliance with reviewed cost, scope and terms, stoppage of work and refusal to remobilise to the site, as directed, the Federal Ministry of Works has issued a 14-day Notice of Termination to Messrs Julius Berger (Nig.) Plc for the Rehabilitation of Abuja-Kaduna-Zaria-Kano Dual Carriageway in FCT, Kaduna and Kano States, Contract No.6350, Section I (Abuja-Kaduna), today, 4th November, 2024.
“The decision, which was borne out of several months of going back and forth without any meaningful progress, was reached at a management meeting of the ministry. In the last 13 months, the Ministry has been in constant talks with the company to reach an amiable position on the said alignment, but to no avail.
“The company was summoned for a meeting with the Management of the Ministry today, 4th November 2024, but refused to show up, hence the termination of the contract based on effluxion of time and non-performance,” the statement said.
