Landowners have filed a lawsuit against the Federal Government over the N15 trillion Lagos-Calabar highway project, raising concerns about compensation and land acquisition practices

Despite ongoing court cases filed by aggrieved persons against the project, the Federal Government has maintained its determination to proceed with construction of the 700km Lagos-Calabar Coastal Highway.

Addressing the issue of court proceedings by landowners regarding the procurement process of the project, David Umahi – The Minister of Works revealed this during a press briefing held in Abuja on Thursday.

According to him, the construction of the N15.36tn coastal highway on concrete pavement complied with all legal and procedural prerequisites before initiation.

Since the government began construction in March 2024, there has been public scrutiny and controversy surrounding the coastal highway.

Umahi revealed in May that he had identified 750 houses along the highway route to be demolished.

Nevertheless, the government compensation was deemed inadequate by proprietors of impacted property who argued that it did not correspond to their investments.

They believe that the compensation is significantly insufficient and recommend that the government re-evaluate its payment.

According to The PUNCH, Olanrewaju Ojo – the founder of Leisure Games who received a compensation of N1.3m – stated that this amount was equivalent to his weekly earnings.

“This is absurd!” he exclaimed. “What am I expected to do with this? Give me a week and it will be done.”

The road procurement process came under fire from stakeholders and experts who criticized the lack of transparency surrounding the contract awarded to the construction company. Furthermore, it was noted that this process did not adhere to proper procurement protocols.

The proposed initiative aims to link Lagos with Cross River, traversing the coastal territories of Ogun, Ondo, Delta, Edo Bayelsa and Rivers before reaching Akwa Ibom and concluding in Cross River. This ambitious scheme promises to elevate connectivity levels while stimulating economic prosperity within Nigeria’s shoreline area.

The government has awarded contracts for two sections, each less than 100km in length. The expected cost per kilometre of road construction is N4bn and the total cost of both sections combined will be N2.46tn.

The delivery of the legacy project, as stated by Umahi, is expected to take eight years.

The minister indicated that the project’s timeline might not be feasible, which could lead to a delay in delivery and an increase in costs.

Umahi, during the press briefing arranged in celebration of his first year in office, restated the Federal Government’s dedication to finalizing the project and affirmed that all proper legal and procedural steps were taken.

“We are adhering to the right of way for the corridor and providing compensation accordingly, as allowed by law. Any allegations about improper authorization regarding the project have been dismissed,” he stated.

The beauty of democracy lies in the fact that everyone is equal, yet some unscrupulous individuals are using it as a cover to reap where they have not sown. Despite facing more than six court cases, we remain undaunted and fully capable of handling them all with due diligence.

“All they are doing is socketing their pipes and we’re providing compensation.”

Umahi stated his perplexity regarding the legal cases and further remarked, “It remains unclear to us what they are bringing before the court.”

He stated that the procurement process for the project was legitimate and met all requirements, as it had received approval from the Federal Executive Council in accordance with Restrictive Procurement Act.

According to him, despite having a skilled Permanent Secretary in procurement and competent directors within the Department of Public Procurement, the project was approved with restrictive procurement by the Federal Executive Council.

Umahi refuted comparisons with other international projects and stood in support of the cost of the project.

“He criticized those who questioned the project without adequate knowledge, stating that even at a cost of N4bn per kilometre for the project, some still compare it to projects in Egypt with fewer costs and longer distances such as one with 300 kilometres and N1.8bn allocated for multi-lanes.”

Confirming that the project has been incorporated into the 2023 supplementary appropriation, the minister affirmed that all environmental social impact assessments have been conducted.

“Our project is equipped with ESIA certificates, which is our top priority. Additionally, the project has been included in the appropriation list for 2023 supplementary appropriations and it is currently ongoing. However, if legal action continues to be pursued against us, we will have no choice but to raise work costs,” he stated.”

Speaking to those who are trying to hinder the project through legal channels, the ex-Governor of Ebonyi State asserted that they would be wasting their efforts if they plan on unfairly profiting from it. He declared himself as David and proclaimed his fearlessness towards malevolent individuals because he battled numerous conflicts during his tenure as governor in his state.

Umahi declared that for the 2025 budget, President Bola Tinubu’s directive would be necessary to introduce new projects. He further stated that finishing ongoing initiatives and intervening in vital sectors like infrastructure and roads will be prioritized by the government instead.

“It is imperative that we address the weak links without delay. If there are issues with the road, immediate action must be taken,” stressed Umahi.

The minister emphasized additional measures aimed at ensuring government projects offer value for money. These include eliminating the Consumer Price Index requirement from all contracts and introducing inflow pricing.

He added that their commitment is to provide the government with value in exchange for the money spent on projects.

Umahi also specified the ministry’s fresh approach to project delivery, which requires four on-site personnel assigned with overseeing project implementation.

Umahi emphasized the importance of involving stakeholders such as communities, road users, and other actors in mission planning to oversee construction activities and identify any substandard quality. “It is imperative that we engage with the local communities affected by our projects,” Umahi stated.

He recognized funding difficulties, stating “We have challenges,” and noted that the ministry’s allocation of N52bn for capital projects would not suffice in maintaining the federal road network spanning 36,000km.

Umahi expressed his optimism despite the obstacles and proceeded to introduce the second phase of highway development initiative which would operate under a Public-Private Partnership scheme.

Umahi stated that the new road infrastructure projection would offer a long-lasting funding option for road initiatives, and he further added that his administration had facilitated favourable conditions to implement tolls on Nigerian roads with authorization from the Infrastructure Concession Regulatory Commission.