Tag: Lagos-Calabar

  • Lagos-Calabar Coastal Road will add $45b to economy, says Oladipo

    Lagos-Calabar Coastal Road will add $45b to economy, says Oladipo

    The Lagos-Calabar Coastal Highway will fast-track development and deepen Nigeria’s Gross Domestic Product (GDP) within a short time, a businessman Chief Tolani Oladipo, has declared.

    Speaking against the backdrop of the project’s criticism by former President Olusegun Obasanjo in his latest book, Chief Oladipo gave a note of caution.

    In a statement, he advised against comments that are damaging to the project which has enormous potentials for the country.

    He said:  “By the time it is completed, this highway will shorten travel time between the Southwest and South-South by more than 35%, and is projected to add $45 billion to Nigeria’s economy in its first five years.”

    He pointed out that the immediate beneficiary was Lagos State, which he said had already gained $2 billion in Gross Domestic Product.

    Saying infrastructure was the backbone of GDP and development, Tolani emphasised that Lagos’ $259 billion economy, second to Cairo in Egypt, was on the back of its network of socio-economic facilities, explaining that it made the nation’s commercial capital city account for 55 per cent the country’s GDP despite being 15 per cent of Nigeria’s population.   

    He stated, “Lagos’ infrastructure is its mainstay. Eko Atlantic City alone is worth $6 billion conservatively and has saved Victoria Island, Ikoyi, and Lekki from the onslaught of the Atlantic Ocean and much annual flooding.

     “Now, fifty years after it was conceived, the Lagos-Calabar Coastal Highway is finally becoming a reality. And already it has added over $2 billion to Lagos State’s GDP.

     “If you look at the infrastructure that has made parts of Lagos one of the most expensive real estates on earth, they have the imprimatur of Hitech Construction Company on it.”

     The business tycoon said while he understood the former president’s misgivings about the project, he noted that not all his fears about Nigeria would materialise.

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     For instance, he said, the former president’s belief that none of Nigeria’s refineries would ever work had been proved wrong as the Port Harcourt and Warri refineries had started producing.

     “I appeal to our dearly beloved former President is that we have as President a man who under promises and over delivers,” he said.

     Tolani said the coastal highway was progressing, stretching to Ondo as of today, stating that the landmark called for celebration not lamentation.

     However, he said if the former president had proof of corruption in the contract award for executing the Lagos-Calabar Coastal Highway by Hitech Construction, he should do the public service and make such evidence public.

     He said, “Our leader may want to understand that the project, when completed, will make President Tinubu wildly popular, and as such, his political opponents will stir the hornet’s nest and make claims of corruption, etc.

     “And so, without evidence, our leader, Chief Olusegun Obasanjo, may want to take what he is told with a pinch of salt.”

     He said Hitech Construction had a good record of building fifty-year warrantied concrete roads, contending that the company should be judged by its past, not on the false allegations.

  • Lagos-Calabar road, others not insured, say brokers

    Lagos-Calabar road, others not insured, say brokers

    Federal Government projects where billions are expended are not insured, President, the Nigerian Council of Registered Insurance Brokers, Prince Babatunde Oguntade has said.

    He spoke during a press conference held at the Council’s headquarters Lagos.

    Oguntade who highlighted the Lagos-Calabar road and other infrastructural development projects, said they do not have insurance components and are not insured.

    He stated that the government can curtail waste in the system by insuring its assets.

    He disclosed that insurance is mostly budgeted for in the annual budgets but they are never paid for by the ministries and agencies of government.

    He said: “We visited the Minister of Finance and Coordinating Minister of Economy, Mr. Wale Edun and Minister of Budget and Economic Planning, Senator Abubarkar Bagudu to engage them in areas in which we would like to collaborate with them.

    “We went there because we found out that over the years, insurance is embedded in the budget but the premiums are not paid. The funds are diverted into contracts and then even the contracts are not insured.

    “For instance, the Lagos-Calabar road does not have an insurance component. We are still trying to see the Minister of Works, Sen. Engr Nweze David Umahi and we are hoping it will turn out well eventually.

    “We have also engaged with other key stakeholders among the government officials, industry leaders, and other relevant parties, to foster relationships, promote our members’ interests, and advocate for the growth of the insurance sector. These visits have enabled us to build bridges, address challenges, and explore opportunities for collaboration.”

    Read Also: FG requires N18trn to fix roads, says Minister

    Notable among others visited are Minister of Marine and Blue Economy, Alh. Gboyega Oyetola; Osun state Governor Ademola Adeleke; Ooni of Ife, Oba Enitan Adewusi, Ojaja II and Corps Marshal; Chief Executive, Federal Road Safety Commission (FRSC), Corps Marshal Mohammed Sheu; Managing Director/CEO, Nigeria Social Insurance Trust Fund (NSITF), Mr. Oluwaseun Faleye; Director General/CEO, National Health Insurance Authority, (NHIA), Dr. Kelechi Ohiri;  Group Chief Executive Officer, Nigeria National Petroleum Company Limited, Mr. Mele Kolo Kyari; Director General, National Film and Video Censor Board (NFVCB), Dr. Shaibu Husseini and the Commissioner for Insurance, Mr. Segun Omosehin.

    “We took this route in our bid to build relationships and networks that would benefit our Members, irrespective of their status. Our Strategic visitations were expected to increase influence and credibility for the Nigerian Insurance Industry, especially, the Brokers; enhance business opportunities and growth; improve understanding and trust among stakeholders and stronger relationships and partnership. By strategically visiting influential people, the Council can effectively represent the interest of the entire industry.”

  • Lagos-Calabar coastal highway project to be reviewed

    Lagos-Calabar coastal highway project to be reviewed

    The Federal Government says the  Lagos-Calabar Coastal Highway  project will be reviewed from 10 to six lanes and at a lower cost.

    The Minister of Works, Sen. David Umahi, made the disclosure during a tour of the highway yesterday.

    Umahi said that the review had  become necessary because of variations in designs and interventions such as evacuation of refuse  of 10 metres depth and backfilling.

    He also cited  salvaging of some structures by the magnanimity of President Bola Tinubu.

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    Umahi said, “What we are going to do is that we are going to use part of that land to put a service lane for them.

    “We are going to be reviewing this contract to accommodate what is not there. There are places like that Landmark where we have to build a retaining wall.”

    He added that the entire 750km stretch of the road would be illuminated with solar streetlights with security cameras and points, as well as trees to protect the road and give aesthetics.

    Umahi gave the assurance that 20km of the first section of the Lagos-Calabar Coastal Highway would be among other critical road projects to be inaugurated by May 29, 2026

    “We have directed controllers to concentrate on a number of projects.

    “At least, a minimum of three projects must be commissioned, ” Umahi said.

  • Lagos-Calabar coastal highway and national development

    Lagos-Calabar coastal highway and national development

    • By Adeyemi Moses Adeolu

    Infrastructure plays a critical part of a country’s development with significant impact on the quality of life of people in a country. Infrastructure is a top factor in driving economic development. As a matter of fact, infrastructure facilities contribute immensely to demographic movement and population growth, and accounts for why economic growth is faster in some cities and economies than others, while its inadequacy has a number of negative impacts on the state. It reduces productivity, increases cost of doing business and hinders economic growth.

    Infrastructure quality is always rated the top consideration when determining where real estate investments are made. Its role cannot be overstated. Infrastructure is not only a top factor in driving where real estate development happens, its upgrades is a strong priority for future investments while offering opportunities for real estate investors to participate in the positive dynamics that follow such investment cycles. It is not surprising therefore to see governments, particularly the current government intensifying efforts towards road construction and rehabilitation across the country, improving the quality of roads, bridges, pedestrian infrastructure and public transit is among the highest priorities of both the federal and state governments, and even pacing on the table entering into partnership with the private sector for infrastructure development.

    To drive home the power and importance of infrastructure, take a look into the Asian countries and their economies, China in particular. You will discover that several opportunities for real estate and economic development arise from infrastructure development. China has over several years have been investing heavily, and consistently in infrastructure. It is not surprising that the country boasts of some of the largest infrastructure projects in the world such as the high-speed railway system and the hydroelectric three gorges dams.

    Other emerging Asian economies are following suit and are rapidly increasing infrastructure investments with the aim of catching up with the more developed world, and to make their economies more competitive and efficient. These countries’ massive investments in infrastructure over the years have translated into long-term benefit as seen in increase property development, productivity, improved jobs, income levels and several other benefits.

    As stated earlier, good and efficient infrastructure is a key influencer of where real estate investment goes and where real estate investors focus. And because real estate significantly drives the economy, government’s efforts are geared towards provision of power, rail, road and bridges construction and rehabilitation with utmost intensity.

    The ongoing construction of the Lagos-Calabar coastal highway by the federal government is fixated within the above narratives.

    Estimated to cost $11 billion, when completed, the proposed 700 km road from Lagos to Cross River which runs through a total of nine states with two of its spurs leading all the way to the northern states in the country is designed to link the Lagos-Badagry superhighway, the fourth mainland bridge and Lekki deep sea port road. The project will also feature rail lines running in the middle of the main carriageways.

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    What would this project which would allow direct and unhindered access from Cross River and its large suburb to Lagos translate into for the real estate market in Nigeria?

    When completed, the highway will usher in a new era of ambitious road infrastructural development projects in Nigeria and will also enter the world record books among iconic coastal routes like the Wild Atlantic Highway in Ireland and the Pacific Coastal Highway in the United States. The coastal road would alter the socio-economic narrative of the country, link up with Northern Nigeria to further integrate the north and south in terms of movement of people, goods and services and is bound to ensure our rapid transformation in all facets of economic development by driving traffic of investors and tourists.

     Economic analysts have revealed that the completion of the first phase of the project alone could increase the size of Lagos State economy by 50% because of the connection to Lekki Deep Seaport and the Lekki economic corridor where Dangote Refinery and Petrochemical Complex is situated alongside other multinational industries.

    A major determinant of property value is infrastructure, the presence of which leads to appreciation in property values. Worldwide, property value is an essential aspect of property markets, determined and affected by a number of factors of which infrastructure is very significant.

     Let’s take Dubai as example. The country regards infrastructure construction as the basis of economic and social development; hence it attaches great importance to infrastructure construction. Since the 70s, the United Arab Emirate government has been investing heavily in infrastructures so as to create a favourable environment for local and foreign investment. Today, the economy of Dubai is the second largest in the United Arab Emirate with real estate investment providing one of the highest Returns on Investment for investors who prefer to invest in real estate. No doubt, consistent investment in road, rail and other infrastructures over the years contributed immeasurably to the emergence of Dubai as the most attractive destination for investment, especially in the real estate sector.

     One would not be wrong to assert therefore that the construction of the Lagos-Calabar coastal highway would definitely ensure that businesses, including real estate development and transactions are conducted more efficiently. Businesses are conducted more seamlessly when hiccups in communication and transportation are removed or substantially and significantly removed. Under the improved business environment, people would live healthier and contribute better to the society. Upon completion, the project would increase the population of the areas, and this would subsequently lead to increase in demand for commercial and residential accommodations, increase in property development and property or estate developers. Rental values of residential properties would improve, land prices will skyrocket along the axis, and real estate development along the corridor shall spring up in a manner that would be as if real estate is being reinvented or redefined, all because real estate investors and developers would shift attention to the axis.

    Real estate investment would be allocated effectively for a long-term positive impact on GDP. As the state economy becomes wealthier, real estate prices would rise and will boost the economy of the state.

    In a nutshell, Lagos-Calabar coastal highway would have a major impact on businesses and real estate in the Lagos-Calabar axis in particular, the oil producing states and the entire country in general. The construction shall thus affect the real estate market and asset on a broad basis, an effect which would be mainly associated with the improvement of transportation infrastructure. The road will also boost tourism traffic to our unique tourism sites by attracting an unprecedented number of tourists, given the thrills and frills synonymous with road travel.

    The project is expected to stimulate tourism and include industrial clusters, such as hotels, factories, housing estates, and other amenities.

    •Adeolu is a Lagos based estate surveyor and valuer.

  • No compensation for new structures along Lagos-Calabar coast highway, FG warns

    No compensation for new structures along Lagos-Calabar coast highway, FG warns

    The Federal government would not pay compensation for new structures erected along the 700km Lagos-Calabar coastal highway, the Minister of Works, David Umahi has warned.

    The Minister, who stressed that erecting new structures with the aim of benefiting from compensation would be disappointed, as nothing of such would be contemplated, however, solicited for the co-operation of the people along the routes to enable the government deliver  legacy projects to them.

    In a statement by Edet Ekpenyong on behalf of the Ministry’s Head of Information and Public Relations, Umahi spoke at the stakeholders’ meeting on Sunday in Calabar, where he also disclosed plans to convene a conference indigenous contractors.

    “If you delay the project you will delay the funding, don’t go and build on the road so that you will get compensation, there will be no compensation, the Minister was quoted as saying”.

    On the indigenous contractors conference, he said it is aimed at encouraging the patriotic contractors due to the attitude of expatriate contractors  is becoming worrisome.

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    In her speech, Senator Florence Ita Giwa, who thanked President Tinubu for the appointment of Umahi as the  Minister of works, however,  appealed to the Minister to ensure the completion of Calabar -Itu and Ugep roads.

    The Governor of Cross River State, Prince Bassey Otu who was represented by the deputy governor, Peter Odey said that the state government will give the Federal Ministry of Works maximum cooperation to ensure the completion of the project. 

    In his remarks, the Senate Minority Whip, Osita Ngwu said that the coastal highway is a testimony that the government cares for the  people . 

    He called on all the stakeholders to support the Minister for the success of the project .

  • The Lagos-Calabar superhighway, a generational legacy project

    The Lagos-Calabar superhighway, a generational legacy project

    • By George Kerley

       o it is normal to have these national concerns. What matters is that these concerns are legitimately addressed and it is important that the Federal Government does it’s best to address them and assuage the fears of Nigerians who honestly seek clarity.

    Funding and Costing

    The EPC+F model means the contractor, Hitech Construction Company, is providing a considerable portion of the funding.

    This reduces the immediate strain on the federal budget and demonstrates a shared commitment to the project’s success.

    That is why it is a good thing that the Federal Government is talking to AfDB for support for the project.

    If you look at the AfDB’s 2010 – 2020 Infrastructure Action Plan for Nigeria Summary Report, you will see that the AfDB in its good sense, listed the Lagos to Calabar Coastal Hig hway Project as an infrastructural urgency.

    AfDB also noted that for decades, the Federal Government has been the primary financier of infrastructure projects in Nigeria and has often taken the responsibilities for construction, operations and maintenance as well.

    In the document, they noted that these arrangements have been volatile due to unstable budgetary allocations failing to meet crucial infrastructure needs and proved to be unsustainable. One consequence of this is that infrastructure development in Nigeria has been both poorly planned and underfunded.

    The AfDB also noted that budget allocations may not be the best way to finance and execute infrastructure development and proffered a number of suggestions and advice on how Nigeria can meet and match the $350 billion urgent Infrastructure intervention funding which it needs to close the infrastructure gap and accelerate economic transformation.

    They stated that methods for public and private financing of infrastructure projects around the world have evolved to meet the emerging priorities and requirements that the nation needs at this time.

    That is why I endorse the EPC + F financing model adopted by the Tinubu administration to ensure the completion of the project.

    AfDB’s willingness to partner with the Nigerian Government will also add color to the generational value that this project will bring to the Nigerian economic table, thanks to an unwavering Presidential resolve to challenge limiting reality and deliver a project that will offer strong generational value to the Nigerian enterprise.

    After decades of having generationally degenerate projects littered across the country, this project brings us great hope for a better tomorrow

    Environmental Impact

    As a Rule, every Project Sponsor, especially for a project of this structure and scale, understands the importance of safeguarding our environment. This project has been at the back-bench of crucial infrastructure improvement conversations for the past three decades.

    The Environmental and Social Impact Assessment (ESIA) process is ongoing, with preliminary approvals already granted.

    The Federal Ministry of Works has stated clearly that they are actively engaging with stakeholders along the route to minimize any negative impact and have even redesigned portions of the route to protect communities.

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    The Niger Delta Development Commission (NDDC), the initial project owner before it was transferred to the Ministry of Niger Delta and then Ministry of Works, spent a whooping sum of more than Twenty Five Billion Naira (N25,000,000,000) for engineering design, soil tests, environmental impact assessments along the entire project corridor.

    If we add up all that to what the current leadership has done, then we are good to go. No need wasting time on what a whole lot of money has been spent on before.

    Economic Impact

    The Lagos to Calabar Coastal Superhighway is a generational legacy project that holds great potential for generational job creation, generational economic growth as well as generational regional development.

    The Fifteen Trillion Naira (N15 Trillion)  road project has the potential to generationally alter the real estate value of Nigeria in geometric proportions. That is without question.

    The quality of accelerated economic growth that will be witnessed along the project corridors will be unprecedented!

    The Lagos to Calabar Coastal Road Project is poised to have a transformative impact on Nigeria’s economy. It will significantly improve transportation infrastructure, reducing travel time and facilitating seamless movement of people and goods. This will in turn, boost trade, commerce, and tourism along the coastal region.

    Furthermore, the project will create numerous job opportunities during the construction phase and contribute to the overall economic growth and development of the country.

    The economic benefits it will generate, from connecting our commercial hubs to easing transportation of goods and people, will have a lasting ripple effect on our economy.

    Thankfully, the South South Governors’ Forum recognizes its potential of this very laudable project and the catalytic effect it will have on the coastal economy of Southern Nigeria and the boomerang effect it will have on the national economy.

    Transparency and Accountability

    Those of us who have followed this project closely from its early days at NDDC know that due process was followed. We are also aware that the Tinubu administration took its time to ensure that the project followed the law every step of the way.

    From the initial proposal, to BPP scrutiny, to Federal Executive Council approval, each stage was carefully conducted according to regulations. The BPP’s certificate of no objection underscores that this process was rigorous and transparent.

    The approval process went through the Bureau of Public Procurement (BBP) after consideration by the Federal Executive Council (FEC) as prescribed by law.

    This project is an unsolicited bid on Engineering, Procurement, Construction + Financing (EPC+F) .

    Under this model, the investor provides all designs, part of the financing and construction while the Federal Government provides the counterpart funding.

    The Federal Ministry of Works received such a bid, worked on it and sent it to BPP. The BPP worked on it according to the Procurement Act and came up with a price slightly lower than the ministry’s price and even lower than the cost of similar projects awarded five years ago like the Bodo-Bonny project.

    The BPP issued a Certificate of No Objection on the project to the Ministry of Works in line with the Procurement Act. The Ministry of Works took the certificate of no objection to FEC and FEC debated and approved it. The project followed due process.”

    The Minister for Works, Dave Umahi also recently cleared the air on the Environment and Social Impact Assessment (ESIA) report, saying that preliminary approval was issued in December 2023 by the Ministry of Environment and renewed in January.

    So very clearly, the ESIA certification is progressive. They are good to go because they have a certified ESIA to start the project.

    As a matter of fact, I am happy that the Federal Government has sought the assistance of the African Development Bank (AfDB) for financial and technical support required for the successful completion of the project, especially as it has been described as a natural alignment for the Trans Africa Highway Project.

    Community Engagement

    More than 1000 coastal communities across the road corridor will be impacted by the construction of the road.

    I believe that the Federal Ministry of Works and related ministries, departments and agencies have begun various levels of engagements with impacted communities.

    I would also like to see an intelligent and proactive NDDC begin a series of programs directed at engaging the thousands of impacted communities and preparing them for the task ahead.

    NDDC is a presidential intervention agency and was the initial project owner and development. Those who run it should be smart and proactive enough to begin direct engagement of impacted communities to enable timely completion of the project by identifying hot spots and ameliorating challenges faced by impacted communities. They do not have to wait until they are told by the presidency.

    Community engagement is crucial and critical for successful completion of the project in eight years. Communities must not only be engaged and then provided with the tools, skills and knowledge they need to participate in the project.

    The importance of community participation and community ownership cannot be stated enough.

    Awareness programs should be conducted across impacted communities so that they should see themselves as owners of the project.

    Communities across the coastal road corridor will become less isolated. Mobility efficiency will improve. The value of land in impacted communities will appreciate. 

    Communities must be made to know that there are the main beneficiaries.

    Engaging communities and encouraging impacted communities to be participants in this project is not only a task for the Federal Government and NDDC but also for State and Local Governments as well as NGOs and Community Development Organisations.

    This explains why as a group, we are doing our own bit to enlighten our people and raise awareness on the project by addressing specific concerns that our people have noted.

    This project is a generational legacy project. Its impact will be generational. Its benefits will be felt by generations yet unborn. It is our duty

    •George is  President, Niger Delta Enterprise Initiative (NDEI) & Leader, Ijaw Enterprise Group.

  • Lagos-Calabar coastal highway will give 30m Nigerians improved access to production, marketing centre – Tinubu

    Lagos-Calabar coastal highway will give 30m Nigerians improved access to production, marketing centre – Tinubu

    President Bola Tinubu has officially flagged-off the construction of the 700 kilometre Lagos-Calabar Coastal Highway, disclosing that among other benefits, it will give 30 million people improved access to production and marketing centers.

    Performing the flag-off ceremony at the Ahmadu Bello end of the road in Victoria Island, Lagos, President Tinubu said the project is more than just a road, describing it as a symbol of hope, unity and prosperity for the people of the country.

    The president, who had directed that the phases two and three of the project commence from Akwa Ibom and Cross River states along with the ongoing work at the Lagos end, also assured Nigerians that he was determined to complete the project.  

    The 700 kilometer highway project, which will traverse communities in coastal states of Lagos, Ogun, Ondo, Edo, Delta, Bayelsa, Rivers, Akwa Ibom and Cross River states, nine of them, will include a spur to the north-central part of the country.

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    From Victoria-Island, the Nigerian leader also performed the virtual flag-off of the design and procurement for the 1000km Sokoto-Badagry Highway, which is expected to connect Sokoto to Badagry in Lagos State, passing through Kebbi, Niger, Kwara, and Oyo states.

    Additionally, he virtually flagged off the design and procurement of the 461-Kilometre Africa Trans-Sahara Route, starting from a point on the Enugu-Abakaliki-Ogoja Road and traversing Benue, Kogi, and Nasarawa States, terminating at Apo, FCT-Abuja.

    The president, who is in Lagos as part of activities marking the administration’s one-year in office, also performed the virtual flag-off of the nationwide reconstruction and rehabilitation of emergency interventions on 330 roads and bridges across the six geo-political zones of the nation.

    Speaking about the benefits of the project, which he said is more than just a mere road, President Tinubu said it would take thousands of direct and indirect job opportunities to Nigerians, just as it will foster community development.

    “I said earlier that it’s my bragging day, we said we will do this road, we’re determined to do it. The way we’re going, we’ll have a road that will outlive all of us here present. That is how to build the future. The project is more than just a mere road, it is a symbol of hope, unity and prosperity. 

    “It will connect communities and bring prosperity to people, create opportunities to millions. We’re at it..hold on to the right side, you’ll have opportunities, hold on to the left side of it, you’ll have prosperity. For our nation to excel, we just have to be bold and courageous in our endeavors. 

    “Thanks to Hiteck for believing in us and for believing in the country, Nigeria. Not just talking about Lekki Deep Seaport and all the economic opportunities along that coast, what is 700km concrete paved road? What it will bring is just more that imaginable.

    “I’ll go on the next ten benefits of the Lagos-Calabar Coastal Highway. During the period of construction, the road will provide direct employment to thousands of people and indirect employment to ten of thousands of artisans and more.

    “Economic opportunities for millions are being opened, it will fast-track community development, it will bring development closer to the people and give 30 million people improved access to production and marketing centres.

    “You can easily predict a journey vertically and go along the horizontal line and do the definition of your geometry. For free movement of people, geometry teaches us that the straight line is the shortest distance between two points. Go for it.

    “The potential of the road is enormous. The spur to Sokoto is undergoing procurement, let us sped up the financial details being worked out. Don’t be afraid, we will do this road, it will be a success for Nigeria and we will do more. I am a very happy man today. Share with me in the joy today”, the President said.

    He said the project will also complement the expansion of the country’s maritime industry in the wake of the recent decision by the UN to grant Nigeria an extension of its continental shelf by an additional 16,300 square kilometers. 

    “We must take advantage of it,” he said, adding that the establishment of more export processing zones along the coastal states must be a priority for the country.

    He also applauded the chairman of Hi-Tech Construction Company, Amb. Gilbert Chagoury, and Engr. Ronald Chagoury, whose company is handling the project, for being worthy stakeholders and believing in the Nigeria project. 

    “We worked to tame the Atlantic and turned a disaster into a great asset and value. We lost weight, took abuses, but we tamed the Atlantic. We achieved our goals,” the President said, recounting how the indigenous company successfully executed a project to prevent the Atlantic Ocean from encroaching on endangered sections of the Lagos shoreline.

    He also applauded Aliko Dangote, who was present at the flag-off, for his enduring capacity in business and commitment to continue investing in Nigeria, urging other industrialists to emulate Dangote’s commitment to investing in Nigeria.

    Speaking at the event, President of the Senate, Godswill Akpabio, on behalf of the 10th National Assembly, declared his strong support for the coastal highway project.

    He appealed for an executive bill to amend the procurement act to ensure speedy completion of projects. 

    “Nigerians are behind you, Mr. President. Do not be afraid…a few days ago we were debating at the Senate and we came to the conclusion that we must amend the Procurement Act. A situation where you want to construct a road of N100m and you start by putting N2m this year, means you will finish the job in 50 years. 

    “We must be in a position to budget in a way that we also look at the tenure of the presidency and the government”, he said, describing this as a flawed budgeting process, partly responsible for the abandonment of over 14,000 projects across the country.

    Minister of Works, Engr. Dave Umahi, announced that the President has directed that sections 3 and 4 of the Lagos-Calabar Coastal Highway project should commence from Akwa Ibom and Cross River states, respectively. 

    Emphasizing that due process was followed in awarding the contract for this transformative project, the Minister described President Tinubu as an uncommon thinker and courageous leader.

    Umahi disclosed that over 40 new projects are ongoing across the country, and all compensations up to kilometer 6 of the Lagos-Calabar project have been paid. 

    He assured that the routes of the project have been re-aligned based on the President’s instructions and environmental assessment reports, while the first section of the project will be commissioned before the end of President Tinubu’s second year, and will be tolled.

    The Oniru of Iruland in Lagos state, Oba Abdulwasiu Lawal, in whose domain the project is situated, assured the President that the community will ensure the removal of all bottlenecks. 

    He stated that his people have made painful sacrifices for the project to materialize and called for adequate compensation for his people.

    In separate remarks, the governors of Lagos, Babajide Sanwo-Olu, Abdulrahman Abdulrazak of Kwara, and Hope Uzodinma of Imo states described the wide-ranging support from sub-nationals as a vote of confidence on the national acceptance of the project.

    The President had earlier commissioned the reconstructed Apapa-Oworonshoki-Ojota expressway, a 36.02km all important road connecting Nigeria’s premier ports – Apapa and Tin Can Island – to larger parts of Lagos State.

    President Tinubu, who was represented at the earlier event by the President of the Senate, Senator Godswill Akpabio, also performed a virtual inauguration of  the Rehabilitated Third Mainland.  

    According to a statement issued by his Special Adviser on Media and Publicity, Ajuri Ngelale, the President said the Apapa-Oworonshoki-Ojota Expressway would enhance access to the ports, boost commercial activities, and spur economic development.

    Originally constructed between 1975 and 1978, the road had deteriorated significantly over the years, causing severe delays in the evacuation of goods from Apapa Wharf. 

    The reconstruction of the road was executed in four sections, using Continuously Reinforced Concrete Pavement (CRCP), by Dangote Industries Limited under the tax credit method of infrastructure funding, with Hitech Construction Nigeria Limited as the subcontractor.

    The rehabilitated Third Mainland Bridge, the longest of three bridges connecting Lagos Island to the mainland, spans about 11.8km.

    It was commissioned by President Shehu Shagari in 1980 and completed by General Ibrahim Babangida in 1990.

    The bridge recently underwent significant rehabilitation to improve its structural integrity and extend its lifespan.

    “This is a great feat by any standards, and it is all for Nigeria. I congratulate the Ministry of Works and the contractors for the great work. 

    “It is not only in Lagos that these good things are happening. From the Presidential Villa in Asokoro to the AYA Roundabout in the capital city (Abuja), you will notice a great deal of work and some of these projects will be commissioned this week”, the Senate President said.

    The Minister of Works, Engr. David Umahi explained the reason for the use of concrete technology in constructing the road, noting its durability, as well as the rising cost of bitumen used in making asphalt. 

    “We want our contractors to migrate to the use of concrete technology for road construction”, the Minister said, while describing the inauguration of the road as another plus on the utility of tax credits in the country. 

    On the Third Mainland Bridge, the Minister explained that the project went beyond mere rehabilitation. 

    “We had to replace all the expansion joints, and we also noticed that over the years all the maintenance on the bridge was only for the surface and that created a lot of super elevation, pot holes, and increased the dead load on the bridge resulting in increased deflection”, he said. 

    In his remarks, the Permanent Secretary, Federal Ministry of Works, Dr. Yakubu Kofarmata announced that President Tinubu had directed the ministry to complete Abuja-Kano Road within one year. 

    He assured Nigerians that Makurdi-Enugu Expressway was on the verge of completion and that other federal road projects across the country are receiving attention. 

    According to the Permanent Secretary, the Minister of Works, Engr. Umahi has saved Nigeria a total of N1.19 trillion through renegotiations of some ongoing road project costs across the country.

    “What we are witnessing today is Nigeria working under the Renewed Hope Agenda of this administration, and the determination to have a better Nigeria where infrastructural facilities are functioning”,  the Permanent Secretary said.

    The Deputy Governor of Lagos State, Dr. Femi Hamzat expressed gratitude to the President and the Federal Ministry of Works for fixing the roads, thereby reducing travel time from 7 hours to 1 hour and 15 minutes.

    “About two years ago, a lot of companies on the Apapa-Oworonshoki-Ojota Road moved from this axis because of the deplorable state of the road. 

    “We are grateful to Mr. President, the Ministry of Works, Dangote Group and Hitech Construction Limited for the current state of the road and also for the Third Mainland Bridge”, the Deputy Governor said. 

    At the Coastal Road flag-off, the President has governors, deputy governors, his Chief of Staff, Femi Gbajabiamila; Chairman of the ruling All Progressives Congress, Dr Umar Ganduje; ministers, members of the National Assembly, traditional rulers and all sorts of dignitaries, most of whom had attended the commissioning of the reconstructed Apapa-Oworonshoki-Ojota Expressway and the Rehabilitated Third Mainland earlier. 

    Among those present were the Deputy Speaker, Ben Kalu; Governor of Lagos, Jide Sanwo-Olu, represented by the Deputy Governor, Femi Amzat; Chairman of the Nigerian Governors’ Forum and Governor of Kwara State, AbdulRahman AbdulRazaq; Hope Uzodinman of Imo; Mai Mala Buni; Dikko Rada of Katsina State; Ahmed Aliyu Sokoto of Sokoto. 

    Others are governors Dapo Abiodun of Ogun State; Lucky Aiyedatiwa of Ondo; Minister of Finance and Coordinating Minister of the Economy, Wale Edun; Minister of Budget and Economic Planning, Atiku Bagudu; Minister for Special Duties,Zephaniah Jisalo; Chairman of Dangote Group, Aliko Dangote; members of the National Assembly; members of the Lagos State House of Assembly; members of the Lagos State Executive Council, traditional rulers and other dignitaries. 

  • Lagos-Calabar coastal road: Umahi, stakeholders meet on compensation

    Lagos-Calabar coastal road: Umahi, stakeholders meet on compensation

    The Federal Government and those affected by the demolition of property along the path of the Lagos-Calabar coastal highway met yesterday to discuss the modalities for the payment of compensation on affected property.

    Residents of Okun-Ajah community in Ibeju-Lekki area of Lagos State were elated when Works Minister Dave Umahi announced the government’s plan to pay compensation.

    The minister said the Federal Government had reverted to the gazetted alignment of the Right of Way for the coastal highway project.

    He said the meeting was meant to resolve environmental issues and payment of compensation to affected property owners within the Right of Way of the 700-kilometre coastal raod.

    Umahi urged the stakeholders to cooperate with the government, saying the people would derive huge economic benefits from the coastal road.

    The minister said the reversal to the original gazetted route was made possible by the intervention of President Bola Tinubu to save houses and businesses in the community.

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    He said: “The economic benefits of the project outweigh the pains to be borne by the people.”

    According to him, 495 structures will be demolished, if the coastal road follows the new alignment, while 750 properties would have been destroyed, if its construction had followed the initial alignment.

    Umahi asked the stakeholders rhetorically if they wanted the highway to follow the initial alignment or the realignment path.

    Only those who signified their interest in the old alignment raised their hands and the minister announced that the Federal Government had reverted to the old alignment.

    He added that President Bola Tinubu would flag off the road on May 26.

    The President had directed that work should go on simultaneously at all ends of the projects to ensure its completion on time.

    Additional 10 people affected by the demolition received compensation during the meeting.

  • On Atiku and the Lagos-Calabar coastal highway project

    On Atiku and the Lagos-Calabar coastal highway project

    • By Orji Uchenna Orji

    Former Vice President Atiku Abubakar on April 7, criticized the Lagos-Calabar Coastal Highway project award and  cost, which  he fallaciously  stated was awarded  to Hitech without  due process and at a cost higher than the initial  amount announced  by the immediate  two previous  administrations that attempted to execute  the project. Also, on May 6, Atiku criticized the Federal Government’s bold and visionary decision to  embark on a developmental journey  that would redefine the economic growth trajectory  of Nigeria, by raising two  issues, namely; that the contract was awarded  to Hitech Construction Company Nigeria  Limited because  of the personal  relationship  between  the President  of Nigeria and the chairman of Hitech, Chagoury, and that the demolition exercise  was done in a hurry and thus a threat  to foreign investment.

    These accusations or rather, viewpoints, are, to say the least, intrinsically superficial, baseless, self-serving and politically motivated to imprint malice in the minds of unsuspecting members of the public, especially the gullible. The Minister of Works, Sen. David Umahi has in different media fora decapitated  the insinuations of the former  vice president and other desperate persons when he gave insights into the award process, the unit cost comparisons, the project  review dimensions, the demolition notices and compensation plans as well as those affected by the demolition.

    For the avoidance  of doubt, the Lagos-Calabar Coastal Highway project complied 100% with the provisions  of the Procurement  Act and was  awarded based on the EPC+ F procurement process, that is to say, the project is an unsolicited bid done on EPC+F. Under this model of procurement, the investor provides all the designs, part of the financing and construction, while the FGN pays counterpart funds. The bid of the Lagos-Calabar Coastal Highway project came through this process. The ministry received the bid, worked on it, and sent the same to the Bureau of Public Procurement (BPP). The BPP worked on it in accordance with the stipulations of the Procurement Act and came up with a competitive price slightly lower than the ministry’s price and even lower than the cost of similar projects awarded five years ago, including the Bodo-Bonny project awarded to Julius Berger Nigeria Plc. The BPP issued a certificate of “No Objection” on the project to the Federal Ministry of Works as required by the Procurement Act. Consequently, the Federal Ministry of Works took the certificate of “No Objection” to the Federal Executive Council (FEC), and the FEC deliberated on and approved the same. It would be recalled that the FEC had first approved the project model on EPC+F before the process of procurement even started. This is a testament that the Lagos-Calabar Coastal Highway project, section 1, followed due process.

    The claim of the former vice president that the son of the president has interest in CDK Integrated Industries Ltd is not tenable as the company that did bid for the project was Hitech Construction Company Nigeria Ltd which has a full legal personality, as it were. Again, this claim is nothing but a   digression showing absolute frustration of a false accuser who is bereaved of facts to substantiate his claims.

    On the cost of award of the project and even other projects under Senator Umahi, it is of public notice and a sort of judicial notice that Sen. Umahi is second to none in the history of the Federal Ministry of Works in effectively negotiating costs of projects, and he does that with the deepest sense of patriotism. The Minister of Works has within the shortest period in office, saved billions of Naira in the review, redesign and award of contracts. In the case under review, the minister had come up with a new and higher dimension of the project of which the design, dimension and concept were reviewed upward by the ministry and yet the cost was drastically reduced downwards.

    The project, which  was by the analysis  of the former vice president put at a cost of about N8.552 billion per km of  standard  gauge, was meticulously  and judiciously  reduced  to about N4.329 billion per kilometre gauge by the  minister under the new design and concept. The old concept  and design relied upon by the former vice president has a 52-metre corridor with asphalt, whereas the new concept as reviewed by the minister has a 100-metre corridor with a total concrete pavement of 59.2 metres and increased  size of 10 lanes and a provision for 25 metres for train track.

    The road standard used by the former vice president in his analysis cannot stand the test of time because of the high water table at the coastal area. The quality of road design and construction by the Renewed Hope administration for the coastal road is such that it will last for 50 to 100 years. In this regard therefore, it will not be immodest to state that the former vice president displayed the highest level of hypocrisy and was out to mislead and brainwash the unsuspecting members of the public, especially the gullible, for selfish political reasons.

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    Further to the issue of due process raised by concerned environmentalists and with the greatest respect to the concerns of Laila Johnson-Salami, there was a preliminary approval issued in December 2023 by the Federal Ministry of Environment and the same renewed in January 2024. As it is known, the Environmental and Social Impact Assessment (ESIA) certification is progressive with the project’s progress and final certificate issued when all issues are resolved. This means that the Federal Ministry of Works has a certified ESIA to start the project. Even the Federal Ministry of Environment has confirmed this position in their recent press release, whereof they stated, among others, that Preliminary Impact Assessment certification was issued for site clearance and scoping for compensation. The Federal Ministry of Works has redesigned the route to put human face to the decision to embark on the project and to minimize demolition of permanent structures. The route, as it were, targets the demolition of mainly shanties and this demonstrates the human face in action of the Renewed Hope administration. The process of ESIA involves constant stakeholders’ engagement, of which many have taken place, and the Minister of Works has even participated in two of the meetings in Lagos which were broadcast live to buttress his sense of transparency, openness, probity and accountability, which are the tenets of the present administration.

    Compensation is ongoing and those whose properties were affected appreciated the human face shown by the Minister of Works and they offered to make sacrifice as their contribution for the nation’s economic advancement. It need not be overemphasized  that the relevant notices were issued  and this led to a seamless compensation  process achieved without  rancour, except  in the case of the owner of Landmark whose  psyche was manipulated by politicians moments after he appreciated the efforts of the Minister of Works  in ensuring  minimum  damage to properties on the right of way for which he acknowledged that he had no valid  title in favour thereof.

    The Lagos-Calabar Coastal Highway is a historic project and Africa’s biggest super highway that is expected to be a major catalyst to Nigeria’s socio-economic transformation. Although it was conceptualized partly at the time Atiku Abubakar was the vice president, successive administrations failed to execute it because of lack of political will.

    The Renewed Hope administration, being private sector and FDI friendly, saw the need to execute the project and on time through ECP+ F model of funding. Again, this project was appropriated by the 10th National Assembly and extra-ordinary funding, as permitted by law, was required to execute  the project, hence the ECP+ F Hitech  contract. This is a legislative practice that is well known and very consistent with the Constitution of Nigeria 1999 as Amended. This super highway will trigger economic boom, raise the GDP, create greater  tourism  potentials, create wealth and job opportunities, attract  wider Foreign Direct Investment, boost coastal businesses, trade and market  development, and promote industrialization, especially along  the coastal  corridors with far reaching impact on the  social-economic activities and safety along the feeder routes and spurs.

    The Honourable Minister of Works, Dr. Nweze David Umahi is unwavering  in his passion  and commitment  to Nigeria’s road infrastructure  revolution and he is ahead of the detractors  who do not see anything  good in having a country, we can all be proud of. As a nation- builder, he is committed to reflecting the ideals of these aspirations in all his private and public dealing irrespective of the person’s religion, tribe, tongue or political affiliation.

    •Hon. Barr. Orji is Special Adviser (Media) to the Honourable Minister of Works

  • Property owners on Lagos-Calabar road to get  N2.75b compensation

    Property owners on Lagos-Calabar road to get  N2.75b compensation

    Owners of properties demolished to give the right of way to the Lagos-Calabar Coaster Highway are to get N2.75 billion compensation from the Federal Government, Works Minister Dave Umahi said yesterday.

    The minister, who unveiled the new design routes for the 700 kilometre project in Lagos, chided former Labour Party (LP) presidential candidate Peter Obi for ‘inciting’ the people of the Southeast against the government over the project.

    He explained how the affected property owners would be compensated, warning that the former Anambra State governor would not be in a position to fight for the ill-informed people he was inciting after getting them into trouble.

    The first batch of property owners affected by the construction got their compensation at the ceremony organised by the Federal Ministry of Works.

    The highway is designed to connect Lagos to Cross River, passing through the coastal states of Ogun, Ondo, Delta, Bayelsa, Rivers and Akwa Ibom, before culminating in Cross River.

    But, controversy has trailed the project, following the demolition of Landmark Beach Resort, valued at $200 million, to create a right of way for the project which is estimated to cost the federal government N15 trillion.

    After the demolition, Paul Onwuanibe, Group Chief Executive Officer of Landmark, complained that about 70 percent of the beach was destroyed by government’s bulldozer. He describing the demolition as insensitive.

    Obi criticised the Federal Government for going ahead with the project, saying that it is in defiance of public outcry.

    He said the Federal Government had embarked on a job-losing project at a time of rampant unemployment.

    Discontinue project

    Obi said it was not too late to discontinue the project, saying that livelihoods had been  wiped away, lifetime investments are wasted, and jobs are disappearing as a result of the demolition.

    In a post on his X handle, he said: “The outcry against this project has been overwhelming due to the current situation in the country. However, reports as of yesterday indicate that demolition of businesses and residences in the designated right of way for the project has commenced from the Lagos end.

    “The sight of this insensitive demolition is heart-wrenching. Livelihoods are being wiped away, lifetime investments are being wasted, and jobs are disappearing as bulldozers roar through. The homes of the elderly are being overturned by the power of bulldozers.

    “This hasty flag-off defies the widespread outcry by the public, especially business and property owners directly affected by the project. Nobody knows the outcry that will accompany this project as it progresses towards poor rural landscapes.

    “Thousands of jobs are about to be lost, with investments above $200 million at risk. Over 100,000 jobs in the leisure and hospitality sector face imminent extinction, along with 80 small businesses and their 4000 mostly youth employees.”

    Obi got it wrong, says Umahi

    But, Umahi insisted there was no inhumanity meted to Landmark, adding that the matter should be buried because the organisation was carried along.

    He said  Obi delights in condemning people, thereby bringing judgment upon himself.

    Umahi said: “It brings to some of the comments made by my brother, His Excellency, Mr Peter Obi. I am not supposed to comment about it because some people have already done the work. And I know what Arise Television brought out, courtesy of Channels Television. They were bringing similar scenarios when His Excellency, Peter Obi, was the governor. He made a statement, saying: ”Any infrastructure that stands in the way of the road must go. And there would be no compensation paid.” That’s what he said.

    “But look at me, by the human face of the ‘Renewed Hope Agenda’ administration, we are even paying for people who are illegally staying on the coastal line, and don’t have valid infrastructure and valid documents. That is mercy. You know some people darken counsel without knowledge. You know there’s the devil in the details.

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    “When you condemn people, you bring judgment upon yourself. And that is what he (Obi) has done. And I think he’s inciting some of the Southeast people that are not well informed. He is inciting them. And gets them into trouble. And he doesn’t go to fight for them. Wisdom is a defence. And I want our people to have wisdom because I am involved.

    Unveiling the new road design, Umahi said: “It’s my pleasure to unveil the new design route, and I wish to flag off the compensation from chainage zero to chainage three in a total sum of N2.75 billion. That is very ambitious.

    “It’s my pleasure to invite the Director of Design and the Controller to call the people and give them the symbolic amount agreed and to assure that before 1p.m. tomorrow, you will all get your alert as agreed.

    “It will be difficult to show you all that we have done here to protect the claimants so that you don’t go to their houses, this one is private to us.

    But the smaller ones, we can do that symbolically, but no cash is paid.”

    The minister also announced that all tenants affected by the demolition at Landmark would receive compensation.

    He said: ”All tenants within the Landmark premises have been shortlisted for payments by 2 p.m. today. That closes the politics of Landmark.”

    The Chairman, Lagos-Calabar Coastal Highway Compensation Committee, Mrs Korede Keisha, who presented cheques to beneficiaries, corroborated what Umahi said.

    Lagos community insists on 2006 design

    The Okun-Ajah community in Eti-Osa Local Government Area of Lagos State urged the Federal Government to adopt the 2006 coastal road plan designed by the state government.

    The community pleaded with President Bola Tinubu to prevail on the Minister of Works to stick to the previous plan.

    The head of the community, Chief Saheed Ologunro, made the call at the compensation  ceremony.

    He explained that the new alignment in the plan would affect his people who have been residing there for 200 years.

    Ologunro said: “As at 2006 when we moved in there, the routes for the coastal road was already demarcated.

    “There is a Certificate of Occupancy (C of O) that covers where most of the landlords in the Okun-Ajah built their structure.”