The Federal Government has terminated Julius Berger’s contract for the Abuja-Kaduna highway due to delays and cost irregularities, according to the Minister of Works, David Umahi.
The announcement was made on Thursday during the inauguration of the rehabilitation of the Abuja-Kaduna-Zaria-Kano road in Abuja.
Umahi stated that the move is part of a broader effort to ensure the timely and efficient completion of critical infrastructure projects. The contract, originally awarded in 2018 under former President Muhammadu Buhari’s administration, was valued at N391 billion.
Although progress has been made on the Kaduna-Zaria and Zaria-Kano sections of the road, work on the Abuja-Kaduna stretch has been significantly delayed, causing frustration within the government.
Contractual Challenges and Rising Costs
Umahi disclosed that Julius Berger initially requested N1.5 trillion to complete the entire project in four years, but the government chose to divide the work into segments to manage costs. Despite agreeing to a N710 billion budget that was later revised to N740 billion, Julius Berger requested another hike to N903 billion—prompting the government to revoke the contract.
The minister expressed dissatisfaction with the repeated cost increases and delays, noting that the government, under President Bola Tinubu, will no longer tolerate such inefficiencies.
Road Rehabilitation Continues
The Abuja-Kaduna highway remains a priority for the government, which is now focusing on ensuring contractors deliver projects within the agreed budget and timeline to facilitate the country’s infrastructural development.