The Federal Government has issued a seven-day ultimatum to Julius Berger Nigeria PLC to accept its revised contract sum of N740.8 billion for the completion of the 82-kilometre Section II of the Abuja-Kaduna-Zaria-Kano road.
The government expressed frustration over the construction giant’s delay in resuming work on the project, saying this was causing hardship among Nigerians plying the road.
It said despite approving the revised project cost, its abandonment had drawn flaks from many Nigerians.
Works Minister David Umahi issued the ultimatum to the construction company yesterday in Abuja when its new Managing Director Pier Lubasch visited him in company of outgoing MD Lars Richter.
In a statement by his Special Adviser on Media, Uchenna Orji, the minister regretted that the government was taking the blame for the company’s carefree attitude towards the project.
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He said: “If Berger is not doing it, then let’s have other people to do the job within the time that we can control price.
“We’ve had more than 20 letters from Berger on this. It is a ping pong game from Julius Berger.
“The prices rose from N710 billion to N740 billion because of these delays. And if we don’t think about continuing the delays, it is the problem of the Ministry of Works.”
Umahi expressed dismay that Julius Berger, which had enjoyed Federal Government’s patronage as well as that of sub-national governments, was not realistic in its contract pricing, especially in this period of Nigeria’s economic challenges.
The minister directed the contractor to, within seven days, accept or reject the approved reviewed contract sum for the completion of the rehabilitation of Section II of the Abuja-Kaduna-Zaria-Kano road or face contract determination.
He said the Federal Government would not allow itself to be held to ransom by the desire for unrealistic pricing and augmentation by contractors.
“This offer is not subject to any condition. It’s not subject to any condition that is being dished out here. It’s taken as given after more than 14 months. I’m sorry, I have to sound this way because there must be an end to negotiation.