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FG terminates Julius Berger’s N740bln Abuja-Kaduna-Zaria-Kano road project

"Julius Berger refused to remobilize to the site and comply with the reviewed terms, despite being given a seven-day ultimatum to accept the revised contract sum"

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The Federal Ministry of Works has issued a 14-day termination notice to Julius Berger Nigeria Plc, handling the rehabilitation of the Abuja-Kaduna-Zaria-Kano dual carriageway, citing non-compliance with the reviewed cost, scope, and terms.

In 2017, the ministry first awarded the contract, valued at N740 billion, for an initial sum of N155.748 billion, Persecondnews recalls.

However, after several variations and augmentations, the ministry re-scoped the contract and obtained approval from the Federal Executive Council (FEC) for a downward review to N740.797 billion.

According to Mohammed Ahmed, Director of Press and Public Relations of the ministry, in a statement, Julius Berger refused to remobilize to the site and comply with the reviewed terms, despite being given a seven-day ultimatum to accept the revised contract sum.

The statement said: “Based on non-compliance with reviewed cost, scope, and terms, stoppage of work, and refusal to remobilise to 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 (yesterday) November 4, 2024.

“The decision, which is borne out of several months of going back and forth without any meaningful progress, was reached at a management meeting of the ministry.

“The ministry has in the last 13 months been in constant talks with the company in order to reach an amiable position on the said alignment, but to no avail.

“Sections II (Kaduna-Zaria) and III (Zaria-Kano) were partially completed and handed over during the twilight of the administration of former President Muhammadu Buhari.

“Since then it has been one variation and augmentation or the other, and finally, the present minister of works directed the redesigning and re-scoping of Section I of the contract.

“The alignment was divided into two, with one phase redesigned to be on Continuously Reinforced Concrete Pavement (CRCP), while the remaining with asphaltic pavement.”

The company allegedly tampered with the bills of quantities and engineering measurements.

Three sections made up the contract, with Section I (Abuja-Kaduna) serving as the focal point of the termination.

Sections II (Kaduna-Zaria) and III (Zaria-Kano) were partially completed and handed over during former President Muhammadu Buhari’s administration.

The present Minister of Works directed the redesigning and re-scoping of Section I, dividing it into two phases: one with continuously reinforced concrete pavement (CRCP) and the other with asphaltic pavement.

The termination of the contract is seen as a significant development in the efforts to complete the Abuja-Kaduna-Zaria-Kano dual carriageway project, which is crucial for connecting Abuja to the North.

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