Federal Ministry of Works

Sep

2026

LATEST PRESS

UMAHI ORDERS IMMEDIATE EMERGENCY INTERVENTION ON BENIN-ASABA ROAD, AND SOME OTHER CRITICAL FEDERAL ROADS

The Honourable Minister of Works, Senator Engr. David Nweze Umahi, CON, has directed the immediate deployment of major contractors to all three sections of the Benin-Asaba Federal Road to restore the failed sections and bring an end to the suffering of motorists and other road users.

This is because, the situation on the concessioned Benin-Asaba Road has reached a point where the overall public interest must take precedence over the existing concession agreement.

Recall that the Honourable Minister of Works was on the Benin-Asaba Road about seven days ago, where he assembled a number of contractors and directed them to prepare for immediate palliative intervention on the affected sections of the road at no cost to the concessionaire. In line with the Concession agreement which requires that before the Federal Government could intervene, the permission of the concessionaire must be required, and that permission was not granted to federal government.

The Minister subsequently proposed three options to the concessionaire, any one of which would have enabled the Federal Government to move in and address the worsening condition of the road. Unfortunately, none of the options was accepted by the concessionaire. Immediately after the Minister left Asaba, the already limited equipment deployed to the road by the concessionaire was further reduced to just one, worsening the situation and increasing the suffering of motorists and other road users.

While the Minister takes responsibility for the concerns and suffering of Nigerians using the road, it is important to state that the concessionaire has also not taken the suffering of Edo people and travelling public sufficiently into consideration by declining all the options put forward by the Federal Government. The concessionaire continues to rely on the terms of the concession agreement entered into by the previous administration, an agreement which weighs heavily against the Federal Government’s ability to intervene quickly in the interest of the public in a situation like this.

In view of this situation, the Honourable Minister of Works has directed the immediate deployment of major contractors within the corridor to all three sections of the Benin-Asaba Road to restore the failed sections and bring relief to the people, with the cost of the emergency intervention being borne by the Federal Government. The Honourable Minister has also directed immediate redesign of the entire route to be rebuilt with reinforced concrete pavement. The public should therefore take note that immediate action is underway to restore every failed section of the Benin-Asaba Road and subsequently rehabilitate the entire sections of the road using reinforced concrete pavement.

2. On the Benin-Sapele Road:
The Governors of Edo and Delta States, the Niger Delta Development Commission (NDDC), and the Federal Government are currently engaged in interventions on different sections of the road to restore the entire route. While some sections are receiving palliative attention, permanent works are also ongoing on other sections.

3. On Ifaki(Ekiti) - Kabba (Kogi) Road:
The Federal Government is engaging both the contractor; Gamji Nigeria Company Limited, and Dangote PLC on immediate emergency and permanent intervention on the most failed sections of the road, while efforts are being made to financially mobilise the company for more extensive permanent work to commence on the axis.

4. On the Sokoto-Zamfara-Katsina Road: This is an inherited project involving the dualisation of approximately 350 kilometres, which translates to about 700 kilometers. The project has since been redesigned and is currently ongoing and most sections are being reconstructed using reinforced concrete pavement. From the Sokoto axis towards Zamfara, over 50 kilometres of one carriageway have been fully completed with reinforced concrete pavement. From Zamfara to Katsina, some sections have been completed and palliative works have been ordered over the sections that have not been reconstructed. However, the pace of work slowed down due to the redesign and rephasing of the project. The contractors currently engaged on the road include CBC, SETRACO, Triacta and Mothercat. They are being remobilised to return to site and complete the outstanding works.

5. On the Abuja-Kaduna-Zaria-Kano Road: The Federal Government took over the Road project and has currently completed the 118-kilometer mostly on reinforced concrete pavement on lot 1. The Lot 2, which covers 164 kilometres, is over 60 percent completed on reinforced concrete pavement. The Federal Government has also introduced solar-powered light on the entire route of Abuja-Kaduna-Zaria - Kano to improve visibility during night travel and enhance the overall security situation on the route. The entire project is scheduled for completion by December 2026.

6. On Bauchi-Jigawa Road: Triacta Nigeria Limited has been mobilised to carry out the necessary interventions on some failed sections and work is currently ongoing in those failed sections.

7. On the Sagamu-Ore Road: 48 Kilometers of the 96-kilometre road have already been completed using reinforced concrete pavement. There is also a 24-kilometre section around Ore which was abandoned by the previous contractor. The Federal Government has directed its immediate restoration to ensure seamless travel. Solar lights are being installed in the entire 96kilometer of the road.

8. On Flooded Sections on Sagamu-Ore-Benin Road: The flooded sections on the same corridor between Sagamu-Ore-Benin Road, as well as other flooded sections in Ondo State, are being designed for emergency procurement and intervention.

9. On the East-West Road:
Some failed and critical sections, including defective sections of bridges along the East-West Road, are being marked out for emergency procurement and intervention.

10. On the Abuja-Lokoja Road:
Several contracts are ongoing along the route, while the three critical sections currently without contracts are being procured for emergency intervention.

11. On the Lokoja-Benin-Warri Road: The President has directed a complete redesign and procurement of the 400-kilometre dualised route covering the uncompleted sections, using reinforced concrete pavement, while palliative works will continue with the contractors currently on the road.

12. On Carter Bridge:
While the Federal Government continues to undertake weekly maintenance of the underwater elements of the bridge. The site has also been handed over to the contractor, CCECC, for the construction of a permanent new bridge, and work has commenced.

13. On the Third Mainland Bridge:
With regard to the defective underwater structural elements, the Federal Government is at the final stage of determining the appropriate intervention for the repair of the affected elements.

14. On the flooded section of the Lagos-Ibadan Road: Work has commenced on the affected section. There are also several flooded sections on federal roads across the six geopolitical zones, largely occasioned by excessive flooding and the effects of climate change. The Federal Government is identifying and marking these sections for immediate attention.

15. On the First and Second Niger Bridges:
Intervention work is ongoing on the approach roads to the Second Niger Bridge damaged by flood and the work is progressing very well. The First Niger Bridge has been closed to traffic to enable immediate repair works. Contractor has mobilized to site and comprehensive rehabilitation of the bridge has started. From Summit Junction to the First Niger Bridge, massive rehabilitation work is also ongoing using reinforced concrete pavement.

16. The Honourable Minister wishes to commend the President of the Federal Republic of Nigeria, His Excellency Bola Ahmed Tinubu, GCFR, for the massive work being undertaken on the nation’s roads since the administration assumed office in 2023.

17. It is important to state that when the present administration came into office, there was hardly any part of the country where one could travel for an hour without encountering significant challenges on the road network. The condition of the country’s roads and bridges was a major national infrastructure challenge.

18. Rather than shy away from the problem, the administration of President Bola Ahmed Tinubu made the nation’s road network a priority. Virtually every part of the country became a priority, and the Federal Government, through the Federal Ministry of Works, Regional Commissions, Parastatals and other MDA’s has continued to respond extensively to these challenges.

19. The Federal Government is currently working on over 80 percent of the inherited federal roads, an unprecedented level of intervention in the country’s road infrastructure.

20. We ask the public to understand the enormous challenges inherited on our roads and bridges and to take note not only of the problems being solved, but also of the permanent solutions being introduced.

21. A major part of this new approach is the use of reinforced concrete pavement, designed to significantly extend the lifespan of major roads. These roads are expected to last between 50 and 100 years. This means that roads being constructed under President Bola Ahmed Tinubu’s administration are being designed with future generations in mind, rather than simply providing temporary solutions to today’s problems. And this is a complete departure from the past, when roads often deteriorated only a few years after completion, resulting in a continuous cycle of reconstruction and expenditure.

22. We appreciate the concerns of Nigerians over the condition of some roads presently and the difficulties faced by motorists and commuters who cannot move easily from one point to another. Those concerns are legitimate, and the Federal Government is listening. But Nigerians should also recognise the enormous scale of the problems inherited and the amount of work currently being undertaken across the country.

23. It is simply impossible to resolve every road challenge accumulated over many years of neglect by the past administrations within three years. What is important is that the government is working, the government is responding, and the government is putting permanent solutions in place.

25. We appreciate members of the public who send situation reports on failed roads and other infrastructure challenges. These reports help the Ministry identify areas requiring urgent attention. However, we also appeal to members of the public to report when such problems have been addressed, just as they report when they occur.

24. We are aware of situations where photographs and reports of road challenges continue to circulate on social media even after the Federal Government has intervened and resolved the particular problem.
25. However, the Ministry will continue to respond as rapidly as possible to genuine reports and concerns from Nigerians.
26. It is also important to note that we have compiled a comprehensive record of all inherited, ongoing and intervention projects across the country which is available to the public. This is to ensure that Nigerians have access to information on the infrastructure projects being undertaken nationwide and can fully participate in and appreciate the infrastructure revolution of President Bola Ahmed Tinubu’s administration.

Jul

2026

FG Inaugurates Rehabilitation of Babban Lamba–Sharam Road, Phase II in Plateau State — Minister Bags Ngas Land’s Chieftaincy Title The Federal Government has officially flagged off construction works on Phase II of the Rehabilitation of Babban Lamba–Sharam Road in Plateau State, restating its avowed intention to deliver critical infrastructure that promotes economic growth, regional connectivity, national development, and integration. Representing President Bola Ahmed Tinubu, GCFR, at the ceremony, the National Chairman of the All Progressives Congress (APC), Professor Nentawe Goshwe Yilwatda, described the project as a strategic investment that will drive economic growth, create jobs, boost tourism and culture, and strengthen regional integration. He noted that the road forms part of the present administration’s infrastructure renewal programme being implemented across Nigeria's six (6) geopolitical zones. Professor Yilwatda disclosed that the road is of immense national significance, linking the North Central, North East, South East, and, by extension, the South-South zones. He urged the contractor, Messrs Decency Associates (Nigeria) Limited, to ensure the project's timely completion while maintaining the highest standards of quality. He also highlighted the historical importance of the area as the birthplace of former Head of State, General Yakubu Gowon, and the late Governor of the old Benue-Plateau State, Police Commissioner Joseph Gomwalk. He appealed to the contractor to prioritise the employment of indigenes along the project’s corridor throughout the construction period. The APC National Chairman assured the Governor and good people of Plateau State that he would personally convey the state's gratitude and goodwill to President Tinubu. He added that he has a personal interest in seeing the road rehabilitated, given that it has remained in a deplorable condition since 1975. In his remarks, the Honourable Minister of Works, Engr. David Umahi expressed gratitude to the Ngas community for conferring a prestigious chieftaincy title on him. He said the honour had made him a son of the soil and pledged to give the project special attention until its successful completion. The Honourable Minister of Works, Engr. Sen. David Umahi, CON, FNSE, FNATE, while highlighting the modest achievements of the Administration in the road sector, as enshrined in the Renewed Hope Agenda, welcomed constructive criticism, stressing that he remains accountable to Nigerians and open to objective public scrutiny. He, however, cautioned against unfounded attacks, noting that genuine criticism strengthens governance and promotes better service delivery. Engr. Umahi described the four (4) Legacy Road Projects as catalysts for growth and prosperity, and “a major bold step no past administration had dared to take,” describing President Tinubu as “God-sent, a bridge-builder and visionary leader.” He appealed to the people on the plateau to support the renewed vigour of the present administration in changing their lives for the better in many different ways. “The changing landscape of Nigeria’s road sector is a clear manifestation of a government that truly cares for the now and future of its citizens,” according to the Minister. He informed that no part of the country can talk about marginalisation in the provision of road and bridge infrastructure because “President Tinubu is a leader for all Nigerians.” Earlier, the Governor of Plateau State, Barr. Caleb Manasseh Mutfwang welcomed the President's representative and commended President Tinubu and the Minister of Works for prioritising critical road infrastructure nationwide. He described the project as “a landmark intervention that would stimulate economic activities, improve connectivity, reduce travel time, and unlock new investment opportunities across Plateau State and beyond. Governor Mutfwang praised President Tinubu's commitment to infrastructure development, stating that the people of the State deeply appreciate the Federal Government's intervention. Quoting a Hausa proverb, he said: "Mai hakuri zai dafa dutse ya sha romonsa," meaning that patience begets unexpected and rewarding outcomes. Also speaking at the event, the Chairman of the Senate Committee on Works, Senator Allwell Heacho Onyesoh, and the Chairman of the House Committee on Works, Hon. Akin Alabi, pledged sustained funding and proper oversight for the sector across the country. They commended the President and the Minister for their uncommon strides in delivering durable road projects nationwide. A former Governor of the State, and Minister, presently a Senator representing Plateau South, Sen. Simon Lalong, similarly expressed appreciation to the President for extending major infrastructure projects to Plateau State, in particular, and the North Central region, in general. He pledged the continued support and prayers of the people of the state for the administration. During the ceremony, the paramount ruler of Ngas land, Ngolong Ngas, His Majesty Nde Jika conferred a traditional title on the Honourable Minister of Works in recognition of his outstanding contributions to infrastructure development in his domain. "I am honoured, on behalf of the Panshin and Kanke Joint Traditional Council and the Ngas Nation, to confer on you the prestigious title of Ngorot Ngasmwa (Lover of Ngas). We warmly welcome you as a member of our Council of Traditional Title Holders," stated the Ngolong Ngas. The Babban Lamba–Sharam Road, Phase II spans 38.625 kilometres, stretching from Babban-Dungun Village to Sharam, with an additional two-kilometre spur linking Dungun to Kwai. The Ministry, under the purposeful leadership of Engr. Umahi remains committed to delivering durable, safe, and accessible roads and associated infrastructure across Nigeria in support of sustainable economic growth and national development. ...

Jul

2026

FG FLAGS OFF CONSTRUCTION OF AKWANGA–JOS–BAUCHI–GOMBE–BIU—MAIDUGURI SUPERHIGHWAY, COMMISSIONS AKWANGA TOWNSHIP DUAL CARRIAGEWAY AND UNDERPASS The Federal Government has officially flagged off the construction of Section One of the 700-kilometre Akwanga–Jos–Bauchi–Gombe–Biu—Maiduguri Superhighway, reaffirming President Bola Ahmed Tinubu, GCFR's commitment to delivering transformative infrastructure under the Renewed Hope Agenda. The flag-off ceremony, held on the 1st July, 2026, in Akwanga, Nasarawa State, where the President, His Excellency Bola Ahmed Tinubu, GCFR, was represented by the National Chairman of the All Progressives Congress (APC), Prof. Nentawe Goshwe Yilwatda, stated that the project is one of the President's four Renewed Hope Legacy Road Projects, designed to transform Nigeria's transportation network, strengthen national integration, improve security, facilitate trade, and stimulate economic growth across the North-Central and North-East geopolitical zones. The first phase of the project covers approximately 125 kilometres from Akwanga in Nasarawa State to Jos in Plateau State and forms part of the larger 700-kilometre, six-lane, continuously reinforced concrete pavement (CRCP) superhighway stretching through Nasarawa, Kaduna, Plateau, Bauchi, Gombe, Yobe, and Borno States. The President's representative praised the Minister of Works for his exceptional leadership and dedication to transforming Nigeria's road sector, describing him as one of the administration's most outstanding performers. He described the Minister of Works as “the shining light of the Renewed Hope Administration.” Speaking at the ceremony, the Honourable Minister of Works, Engr. Sen. David Umahi, CON, FNSE, FNATE, disclosed that the project is a landmark investment that will improve connectivity, reduce travel time, enhance road safety, lower transportation costs, create jobs, and unlock the region’s economic potential. He explained that the Akwanga–Maiduguri Superhighway is one of four legacy highway corridors being implemented simultaneously by the Federal Government, alongside the Lagos–Calabar Coastal Highway, the Sokoto–Badagry, and the Calabar–Abuja (Trans Sahara) Superhighways. The Minister reiterated the Federal Government's commitment to CRCP technology to ensure greater durability, lower maintenance costs, and a lifespan of up to 100 years. He commended President Tinubu for his untiring support for infrastructure development and urged the contractor to deliver quality work, while engaging local communities through employment, skills acquisition, and technology transfer. The President's representative also commissioned the newly completed Akwanga Township Dual Carriageway and Underpass, executed by the Nasarawa State Government under the leadership of the Governor, His Excellency, Engr. Abdullahi Sule, CON. He commended him for complementing the Federal Government's infrastructure drive through strategic investments in road development across the state. In his Welcome Address, the Honourable Minister of State for Works, Bello Muhammad Goronyo, Esq., stated that the Superhighway would serve as a major transportation corridor linking North-Central and North-East Nigeria, while facilitating trade, agriculture, investment, and national security. Also speaking at the well-attended event, the Honourable Minister of Information and National Orientation, Alhaji Mohammad Idris, highlighted the Federal Government's unprecedented investment in infrastructure, education, healthcare, and economic reforms, noting that the Renewed Hope Agenda is delivering tangible benefits across all sectors and the country. The Honourable Minister of Women Affairs, Hon. Imaan Sulaiman Ibrahim, described the project as another demonstration of the administration's commitment to inclusive development, noting that investments in infrastructure are being complemented by programmes supporting businesses, women, and youth development. Governor Sule expressed appreciation to President Tinubu for approving the project, describing it as a strategic national corridor that will connect communities, boost commerce, and attract investments across the region. Speaking on behalf of the benefiting states, Governor Barr. Caleb Manasseh Mutfwang of Plateau State said the commencement of the project is the fulfilment of a long-standing aspiration of the people of the region and commended the Federal Government for making its promise a reality. The Permanent Secretary, Federal Ministry of Works, Mr. Rafiu Olarinre Adeladan, stated that the project represents a new era in highway development in Nigeria and reaffirmed the Ministry's commitment to quality delivery, transparency, and value for money. The Managing Director of CGC (Nig.) Ltd., Engr. Zhong Xiang assured the Federal Government, the State Governors on the road’s corridor, and all Nigerians of the company's readiness to deliver the project safely, professionally, on schedule, and in accordance with international standards and best practices. The Federal Ministry of Works reaffirmed its commitment to delivering strategic road infrastructure that will strengthen national unity, promote inclusive economic growth, and improve the quality of life of Nigerians, in line with the Renewed Hope Agenda of the Administration of President Tinubu, GCFR. ...

Jun

2026

CEMENT MANUFACTURERS MUST REDUCE PRICES, TINUBU IS RETAKING NIGERIA — UMAHI The Honourable Minister of Works, Senator Engr. David Umahi, CON, has called on cement manufacturers across the country to immediately reduce the price of cement, insisting that the current cost of the product is placing pressure on ongoing infrastructure projects and increasing demands for contract variations. Umahi made the call while delivering keynote address at the official unveiling of the new corporate identity of Lafarge, now rebranded as HBM, a member of the HUAXIN Group, held at the Lagos Continental Hotel on June 21, 2026. Speaking before industry leaders, investors, and stakeholders, the Minister emphasized that the Federal Government would engage cement manufacturers from July 1 to address the issue of cement prices. “I want to insist that Lafarge now HBM and other manufacturers of cement should reduce their prices,” Umahi declared. “We shall be engaging on this from First of July. Manufacturer of Cement must reduce their prices because the contractors are chocking me to review their contracts. But nobody is reviewing anybody’s contract. It’s the manufacturers of cement that should review their cost.” The Minister noted that President Bola Ahmed Tinubu’s administration is investing heavily in critical infrastructure across the country, creating unprecedented opportunities for manufacturers and investors. He urged HBM and other industry players to expand their capacity to meet the growing demands of the nation’s infrastructure revolution. Commending the company on its transition and renewed commitment to the Nigerian market, Umahi assured the management of government support and partnership. “I commend you very highly and I say welcome onboard and we are going to work together. The market is smaller than what the president is doing. So, enlarge your coast,” he said. The Minister used the occasion to highlight the remarkable progress being recorded under President Tinubu’s Renewed Hope Agenda, particularly in the area of infrastructure development. He pointed to the Lagos-Calabar Coastal Highway as one of the evidences of the administration’s bold vision and commitment to national transformation. According to him, the quality and scale of the project have continued to attract global attention and admiration. “When the Dudge Bank came to evaluate our project, they said it was undervalued and that the project is of topmost quality. Today, Our neighboring nations are coming to steal the technology of the coastal highway.” Umahi expressed profound appreciation to President Tinubu for providing the leadership and political will driving the country’s infrastructure renaissance, assuring Nigerians that the administration remains firmly on course to restore national prosperity. “I want to use this opportunity to thank President Bola Ahmed Tinubu and I commit that Mr. President is committed to retake this country. The President knows what he is doing. The vision and mission are achievable and we are on course and this country will be taken back for the good of Nigerians.” ...

LIVE ACTIVITY FEED

PUBLIC ANNOUNCEMENT

Nov

2025

OTHER NEWS

Dec

2023

Farewell To a Rare Gem, Okwadike

Hon. Minister of Works, Sen. Umahi commiserates with the family, government and people of Anambra State over the death of the former Governor of Anambra State, Dr Ezeife.

I received with a deep sense of sympathy the sad news of the glorious exit of the former Governor of Anambra State and elder statesman of note ,His Excellency, late Dr Chukwuemeka Ezeife who journeyed to eternal glory on the 14th day of December,2023 at the of 85 years.

2. Late Dr Chukwuemeka Ezeife was an advocate of selfless leadership and crusader for the cause of justice and national integration. He was unequivocal on his stand for an egalitarian nation where all Nigerians shall enjoy equal, just and fair treatment notwithstanding their natural, cultural or religious inclinations. He was a prominent voice on national conversations. The loss of this dear nationalist has no doubt created a deep vacuum in the hearts of his loved ones and, indeed, all who shared in the values of his ideals. I heartily convey my deepest condolences to his family, the government and people of Anambra State for the loss of this great iconic leader and national figure who left inspiring life and times worthy of emulation. May his gentle soul rest in perfect peace, amen.

3. Please, accept the assurances of the compassionate considerations, esteemed regards and best wishes of my family, the management and staff of Federal Ministry of Works.

H.E. Sen. Engr. Nweze David Umahi, FNSE, FNATE, CON, GGCEHF
Hon. Minister of Works

SPEECHES

Dec

2023

Brief by the Honourable Minister of Works, Senator. (Engr) Nweze David Umahi CON, FNSE, FNATE on the Occasion of the Presentation and Defence of the Ministry’s 2024 Budget io the Joint Committee on Works

The Chairman,
Senate Committee on Works,
Distinguished Senators,
The Chairman,
House Committee on Works
Honourable Members

1.0 INTRODUCTORY REMARKS
I wish to express the appreciation of the Ministry to the Joint National Assembly Committee on Works for this opportunity to present and defend the Ministry’s 2023 Budget Performance and 2024 Budget Proposal. The Ministry received the letter Ref. No. NASS/S&H/COW/01/10/1 dated 30th November, 2023 from the Joint Committee on Works requesting for details and submissions on issues pertaining to the performance of the 2023 Appropriation and 2024 Budget proposal. These documents have also been earlier submitted in response to the said letter. I will also like to explain and highlight some aspects of the submissions in the course of this budget defense.

2.0 OVERVIEW OF THE 2023 APPROPRIATION
The sum of N534, 455,695,989.00 was appropriated to the Ministry of Works and Housing and its Parastatals in the 2023 fiscal year. From this amount, Works and Housing Sectors of the then Ministry was allocated a total Capital of N453,255,980,966.00. Following the demerger of the Ministry, Federal Ministry of Works was allocated the sum of N383, 351,656,449.00 as Capital, Overhead was in the Sum of N525,362,343.96 and Personnel was in the Sum of N6,916,751,203.00. The details of the Appropriation are as follows:

(a)    Capital Allocation:
i. Main Ministry of Works:               N383,351,656,449.00
ii. Parastatals:                                 N 46,215,578,221.00
Total                                             N429,567, 234, 670.00

(b)   Overhead Cost:
i. Main Ministry:                    N535,362,344.40
ii. Parastatals:
a. Office of the Survey-General of the Federation (OSGOF)         N239, 664,804.00
b. Federal School of Surveys (FSS), Oyo          N50, 523,550.00
c. Federal Roads Maintenance Agency (FERMA)      N17, 525,286,292.00
d. Council for the Regulation of Engineering in Nigeria (COREN) N9, 691,801.00
e. Surveyors’ Registration Council of Nigeria (SURCON)             N14, 971,301.00
    Total                                                                                  N18,375,500,092.4

(c)   PERSONNEL COST
i.    Main Ministry                            N6,916,751,203.00
ii.   Parastatals                               N5,234,644,736.00

Total N12,151,395,939.0

3.0 2023 BUDGET RELEASES/PERFORMANCE

As earlier said, the Capital Allocation to the Ministry was N383, 351,656,449.00 after the demerger of Federal Ministry of Works and Housing. The releases so far to the Ministry was in the sum of N184,165,147,332.29, which represents 48.01% of the Capital Allocation in the 2023 Appropriation. This leaves a balance of N199, 405,010,166.71 to be released by the Federal Ministry of Finance (FMF).

3.10. Capital Projects

The sum of N184,165,147,332.29 released up to date to the Ministry from the 2023 Budget Appropriation had been utilized for payments of some certified Certificates for executed works on roads and bridges by Highway, projects of Engineering Services and Common Services Departments. It is to be noted that as at the end of November 2023 the Ministry had a cumulative unpaid certificate in the sum of N1,507,873,365,516.02 (One Trillion, Five Hundred and Seven Billion, Eight Hundred and Seventy-three Million, Three Hundred and Sixty-five Thousand, Five Hundred and Sixteen Naira, Two Kobo) only for all inherited on-going highway and bridge projects. Apart from the pressure on the resources to pay, there is the inadequacy of annual budgetary provisions where in most cases N100m or N200m and even less was provided for projects estimated to cost above twenty- fifty billion Naira or even more. Awarding such projects even though appropriated is difficult on its own because the provision is inadequate to even pay 10% for mobilization whereas the Procurement Act prescribes 30% mobilization. The details of all the 2023 Budget Performance for Highways Capital Projects are provided in the document attached as Annexure I.

3.20 Overhead

Out of the Total Approved Overhead of N535,362,344.40 the sum of N312,294,700.90 was released to the Ministry for overhead costs for the period January - July, 2023, which represents 58.33% of the budgetary provision with an outstanding sum of N 223,067,643.50.

3.30 Personnel Cost

The Personnel Cost of N12,598,351,319.00 for the Ministry is being implemented through the Integrated Payroll and Personnel Information System (IPPIS) programme in the Office of the Accountant-General of the Federation.

4.0 REVENUE GENERATED

The sum of N723,063,678.62 was generated as revenue from January to November, 2023 and all the revenue realized have been remitted to the consolidated Revenue Account (evidence of IGR remittance enclosed).

5.0 2024 BUDGET PROPOSAL
The total sum of N 657,228,251,596 was proposed for the Federal Ministry of Works and its Parastatals for Capital, Personnel and Overhead estimates in the 2024 Appropriation Bill. The breakdown of the proposals is as follows:

5.10   Capital Budget Proposal
a). Main Ministry of Works                                       N 566,466,977,361
b). Parastatals
i. Federal Road Maintenance Agency(FERMA).         N 51, 282,456,911
ii. African Regional Institute for Geo-Spacial Information Science and Technology AFRIGIST (RECTAS) N 104,039,920
Grand Total                                                           N 617,853,474,192

5.20 Overhead Budget Proposal
a). Main Ministry of Works                           N 668,116,856.00
b). Parastatals:
i. FERMA                                                   N 22,027,209,696.
ii. RECTAS/AFRIGIST                                 NIL
          Grand Total                                      N 22,695,326,552

5.30 Personnel Cost Proposal
i. Main Ministry of Works                          N 12,598,351,319
ii. Parastatals                            N 4,081,099,533
             Grand Total                                N 16,679,450,852

Please note that without any presidential pronouncement, the following Parastatals which have been under the Ministry of Works have been provided for in the Budget Proposal for the Ministry of Housing and Urban Development as follows:
i.   Office of the Surveyor-General of the Federation (OSGoF);
ii.   Federal School of Surveying, Oyo (FSS);
iii.   Council for the Regulation of Engineering in Nigeria (COREN); and
iv.   Surveyors’ Council of Nigeria (SURCON)
It will be good that these Committees do get these Parastatals back to the Federal Ministry of Works.

6.0 CATEGORIZATION OF ONGOING HIGHWAY PROJECTS UP TO 2023

The Ministry undertook a total of 2,097of on-going/inherited projects at a total Contract Sum of N13,835,640,624,786. The total amount certified to date stood at N4,772,770,148,140.41, while the total amount paid was in the sum of N3,140,569,453,163,82 as at November, 2023. 3 details are shown in Annex I.

Some of the projects are categorized according to special funding mechanism as follows:

6.10   Highway Project Financed with Presidential Infrastructure Development FUND (PIDF).
A total of Four selected critical projects are being funded under the Presidential Infrastructure Development Fund (PIDF) Project which is managed by the Nigerian Sovereign Investment Authority (NSIA). The projects are:
a.   Expansion and upgrading of Lagos-Ibadan Expressway Section I (Lagos-Shagamu);
b.   Expansion and upgrading of Lagos-Ibadan Expressway Section II (Shagamu-Ibadan);
c.   Reconstruction/Rehabilitation of Abuja-Kaduna-Kano Road; and
d.   Construction of 2nd Niger Bridge and two Bypasses at Asaba and Onitsha.

As at date, the total sum of N846, 365,489,635.12 has been certified out of the initial projects cost N1,535,375,595,518.43. This translates to a performance of 55.12%. The Lagos-Ibadan Expressway has been substantially completed to about 90% but we still lack fund to complete the project. The Abuja-Kaduna-Kano Road is in three sections with about 127km uncompleted in section I (Abuja-Kaduna). Section II which is Kaduna-Zaria is fully completed and section III which is Zaria-Kano is on-going with 20km left uncompleted. The total cost of the three sections is about N655billion. The contractor is seeking for a review of contract to about N1.37trillion to complete the project. We are reviewing the request. However, even though the project will not get up to N1trillion when fairly reviewed, we believe that the unit rates ought to be reviewed. For example, the subsisting unit rate of Asphalt on the project is about N11,000 per square meter, whereas the real cost now is not less than N20,000 per square meter. We have requested the contractor to execute the first 40km of section I on concrete. It is important to note that we do not have fund to continue the project by February 2024 if no funding is injected into the project.

The 2nd Niger Bridge has been completed and was recently handed over to the Ministry. Additionally, there remains the construction of the Approach roads 2A and 2B which were awarded by FEC but have funding challenges to take-off. The remaining two Bypasses in Asaba (2A) and Onitsha (2B) awarded to Julius Berger Nigeria Plc and Reynods Construction Company Nigeria Limited respectively, during the last Administration was initially estimated at about N200billion but now with inflation, the cost may be up to N260billion. There is no funding for these projects and the projects have not taken off. Let me note that without these Bypasses, the completed 2nd Niger Bridge will be almost inoperative. The details of these projects are as shown in Annexure II.

6.20 Highway Projects Financed with the Sovereign SUKUK Fund
The Federal Government through the Debt Management Office (DMO) initiated Sukuk Funding Programme for financing road infrastructure in 2017. The total sum of N683.122bn was raised to fund 25, 28, 44, 71 and 63 number projects in years 2017, 2018, 2020, 2021 and 2022 respectively. All the works milestones for the Sukuk in year 2017, 2018, 2020 and 2021 were completely drawn down while the 2022 Sukuk, issued in the sum of N110,000,000,000.00 is on-going. A total of 63 selected critical projects are being funded under the 2022 Sovereign Sukuk Issuance. As at end of November 2023, the total sum of N50,537,288,079.45 was drawn down translating to a performance of 46%. The details of execution of the projects and drawdown of the 2022 Sukuk Bond is as shown on Annex III;

6.30 The Nigerian National Petroleum Company Limited (NNPC) Funded Projects Phase I
The NNPC joined the Road Infrastructure Development & Refurbishment Tax Credit Scheme programme by undertaking to finance 21 roads in the sum of N621bn with total length of roads of about 1,804.6km under the NNPC Phase I. These roads were identified by key stakeholders such as the NNPC, Petroleum Tanker Drivers Association (PTD) and the Ministry etc. as being crucial for the efficient distribution of petroleum products across the nation. As at date, the total drawdown forwarded to the NNPC Limited is in the sum of N247,729,252,899.54 out of the Federal Executive Council (FEC) approved sum of N621,237,164,794.59 representing 39.88% performance. The funding gap here due to inflation is estimated at over 250bn. The details of NNPC Phase I Funded Projects are attached as Annex IVA;

6.40 The Nigerian National Petroleum Company Limited (NNPC) Funded Projects Phase II
The NNPC Phase II Funded Projects were approved by the Federal Executive Council in the sum of N1,969,700,168,910.78 for the execution of 44 No. roads with total length of 4,554.19km while the initial Contract Sum was about N3.969trillion. This leaves a funding gap of over N2trillion at the time of starting the projects. Presently, with inflation, the funding gap to have the NNPC Phases I & II completed shall stand at about N3.56trillion (Inflation about N1.5trillion) for two years from now. This funding gap is neither appropriated for nor has any source of funding. This means that without the kind intervention of this Distinguished and Honourable Joint Committees of Works, these projects will not go on mostly from March 2024 when the NNPC funding would have been exhausted. Your kind intervention and advice are highly, highly and urgently solicited. As at date, the total drawdown forwarded to the NNPC Limited is in the sum of N752,093,618,603.51 representing 38.18% performance. The level of drawdown seems low because most of the projects needed to be reviewed due to the inflation, The details of NNPC Phase II Funded Projects are attached as Annex IVB.

6.50 Other projects funded under Road Infrastructure Development & Refurbishment Tax Credit Scheme.
Several Companies have leveraged on the Executive Order No.7 of 2019 to commit investments in the construction/rehabilitation of roads and obtain Tax credit. Companies like NLNG Limited, Dangote Industries Limited, BUA International Limited, MTN Nigeria Communications Plc, Mainstream Energy Solutions Limited and GZI Industries projects have embraced the Road Infrastructure Development & Refurbishment Tax Credit Scheme program. Twenty-one projects at a total cost of N1.338trillion outside of those being funded by the NNPCL are being executed under this Scheme. The details are attached as Annex IVC; and
a) Projects funded from Multi – Lateral Loans.
4Nos. major highway and bridge projects are being funded through Multilateral Loans and grants from the African Development Bank (AfDB) and the China Exim Bank. The details of these projects are attached as Annex V.

7.0 2023 APPROPRIATION OF ALL ONGOING EMERGENCY/SPECIAL REPAIRS AND LIMITED REHABILITATION PROJECTS

These are projects being executed under emergency repairs works along the Federal Highway network. The projects under this category have a total contract cost of N419,841,989,869.00, with a total amount certified in the sum of N307,486,496,856.58, while the total amount paid is in the sum of N 123,213,264,774.77, the Ministry is indebted to Contractors to the tune of N 184,273,232,081.81. The details of these projects are included in Annex I.

8.0 INTERVENTION ON TERTIARY INSTITUTIONS PROJECTS
These are projects being executed under the intervention in Federal Government Tertiary Institutions. Out of 108 projects under this category at a total contract cost of N15,641,954,804.16, 61 projects have been completed and handed over at a total cost of N10,790,866,435.35 as at end of November 2023. Twenty-one projects at a total cost of N3,874,482,841.53 have been completed awaiting handover, while the remaining 26 at a total cost of N3,491,998,752.77 are on-going. The details of these projects are attached as Annex VII.

9.0 OVERGROWN VEGETATION CONTROL PROJECTS
These are projects being executed under the intervention on Federal Government Tertiary Institutions. The projects under this category have a total contract cost of N2,333,448,750.00, with a total amount certified in the sum of N1,795,927,968.71, while the total amount paid is in the sum of N62,060,468.75, the Ministry is indebted to Contractors to the tune of N1,733,867,499.96. The details of these projects are included in Annex I.

10.0 PROJECTS PRIORITIZED FOR COMPLETION 2022-2024
In spite of all odds, 21 major road and bridge projects have been completed and some were commissioned, while others are ready for commissioning. The total cost of the completed major road and bridge projects is in the sum of N498,802,362,642.46 with a total length of 489. 97km. Also, to be completed in 2024 is the 260 Emergency Repair works in the 2023 Supplementary Appropriation at a total cost of about N260bn. The detail of completed projects is attached as Annex VI.

11.0 BRIDGE CONSTRUCTION/ REHABILITION PROJECTS
Under the 2023 budget, the Ministry undertook massive rehabilitation of bridge projects, some of which have never been maintained since they were constructed over 50 years ago. Human activities on these bridges (i.e. vandalization, fire incidents) have left these bridges in deplorable state and unserviceable conditions. The Ministry is trying to sustain these critical works in the 2024 budget as well as undertake the construction of new bridges where there was none in order to reduce travel time as well as the reconstruction of bridges to replace collapsed ones.

These projects are:
a).   Comprehensive Repairs of the damaged elements of the Third Mainland bridge superstructure: This was procured this year and works are currently ongoing and is satisfactory so far. The second Phase which involves the substructure repairs is being processed for award.
b).   Comprehensive emergency repairs of Eko and Marine bridges in Lagos State: Works are ongoing on these bridges. The Contractor has attained appreciable progress and is being supported financially to enable expeditious completion due to the emergency nature of the works.
c).   Proposed Rehabilitation of Carter, Iddo, Liverpool and Iganmu bridges in Lagos State: The present condition of the above bridges calls for urgent rehabilitation works to restore the bridge integrity and forestall further deterioration that may be detrimental to road users. In this regard, the procurement process is already ongoing within the Ministry for the emergency award of contract for the repairs/rehabilitation of these bridges.
d).   The Rehabilitation of Jimeta bridge in Adamawa State and Murtala Mohammed bridge at Koton Karfe along Lokoja – Abuja Road; Works on these bridges are ongoing and will soon be completed.
e).   Proposed construction of Shendam bridge in Plateau State, Reconstruction of failed bridges in Enugu State and the Construction of Buruku bridge in Benue State; and
f). Reconstruction of three failed Bridges on East/West Road

These are new bridges that are required to ameliorate the sufferings of the host communities as well as other commuters. Procurement of contract for the construction of these bridges are already at an advanced stage and will soon be completed. Funds will be needed to bring them into reality.

12.0 NEW PROJECTS IN 2024 BUDGET
There are new projects captured under the 2024 Budget at a total cost of N102,956,624,538.00. See Annexure 13

13.0 PROSPECTS AND PROSPECTS OF THE 2024 BUDGET FOR HIGHWAY PROJECTS

The policy thrust regarding the 2024 budget for highway projects is to ensure completion of some critical on-going projects which have attained significant levels of completion while keeping the rest alive through minimal appropriation. 693 new projects have been proposed in the 2024 budget, which are critical to improving road network connectivity and thus enhancing traffic circulation on the Federal Road network, necessary for boosting socio-economic activities in the country. The primary objective is enabling the Ministry achieve its mandate in providing a quality Federal Road network that serves as an environment to aid socio-economic growth of the country.

The main challenge to highways development in the Country remains inadequate funding. As at date, Government is committed to highway contractors to the tune of about N13.835 trillion with a total of about N1,507,873,365,516.02 unpaid certificates for executed works. Secondly, the dearth of younger Engineers/Technical Officers in the Ministry as a result of embargo on employment is affecting effective project supervision at the sites. It is expected that more sources of funding of highway projects be explored as well as lifting the embargo on employment of needed Engineers/Technical officers at middle level to enhance supervision of projects. Our Ministry has set up six committees to review all debts, approved and unapproved variations on prices of basic rates, and all augmentations that occurred before May 29th 2023 and from May 30th 2023 till date.

14.0   RECOMMENDATIONS
14.10 From the fore-going, I would like to recommend as follows:
a)   The provision of an Emergency Fund of about 30% of the Budget Provision to cater for unforeseen emergencies that regularly occur on the road network especially during the rainy seasons;
b)   An increase of the Ministry’s present budgetary allocation to about N1.5tr to complete at least 10 selected critical roads and bridges in each of the six geo-political zones of the country;
c)   Urgent review of all certified debts to contractors and if possible, convert same to Promissory Notes to contractors so that we can get properly focused in using any fund appropriated to us to pursue the Ministry’s set objectives;
d)   Inflation- Many contractors are presently out of sites because they have exhausted their contract VoPs and needed the projects unit rates to be reviewed. It will be good that all VoPs and augmentations of all the projects are reviewed and those that are owed be converted to Promissory Notes, while unit rates regime will take effect on contractors in line with the current realities of the construction industry.
e)   More eligible companies should be encouraged to key into the Road Tax Credit Scheme to increase the number of private sector interventions. This means front-loading their tax liabilities to solve our present challenges;
f)   Raising of Bonds from the Capital Market to finance road development in the country;
g)   Creation of an enabling environment by fixing the roads so that the deployment of the Highway Development and Management Initiative (HDMI) can be effective; and
h)   That appropriations for projects be such that no projects when started should last for more than four years.

14.20 ISSUE OF ASPHALT (FLEXIBLE) VERSUS CONCRETE (RIGID) PAVEMENT
It would be my great pleasure to clarify the misunderstanding of the Ministry’s new policy direction regarding the use of Rigid pavement on her projects. I have to state categorically that no Contractor is prevented from executing the scope works originally signed with the client once certain conditions are observed, which are provision of a 15year shelf-life Insurance Guarantee for the works and a maximum of 5% of Variation of Price (VoP) in the Contract. The Ministry’s new policy is to prevent excessive augmentation of contracts considering the scarcity of Forex and weakening of the Naira against the Dollar which makes the cost of bitumen (which is fully imported) increase in geometric progression against the arithmetic progression rise in cement prices in concrete road pavements. In these times of rising inflation and scarce resources, the Country needs to look inwards to conserve foreign exchange.

15.0 COMMENDATIONS
We thank the President and Commander-in-Chief of the Federal Republic of Nigeria, His Excellency, Senator Asiwaju Bola Ahmed Tinubu, GCFR for the intervention of his Renewed Hope administration in the Works sub-sector and approval of an enhanced budget envelop for the Federal Ministry of Works. We also thank the leadership of National Assembly, the Chairmen and members of the Works Committees and indeed members of the National Assembly for their painstakingness in ensuring the speedy passage of the 2024 Appropriation Bill.

Nweze David Umahi
Federal Ministry of Works
December, 2023