The Federal Government has terminated the 98km Oyo-Ogbomoso Road contract awarded to Reynolds Construction Company (RCC).
The Minister of Works, Dave Umahi, disclosed this on Thursday at a Federal Roads Stakeholders’ engagement, themed, ‘Enhancing Federal Roads in Oyo State: Challenges and Sustainable Solutions,’ in Ibadan, the Oyo state capital.
Umahi added that the contract would be re-awarded to a new contractor soon.
Recall that the Oyo/Ogbomoso road construction has been stalled for a long time, leading to several loss of lives in accidents and loss of revenue to traders and farmers who ply the route every day as it’s a major link road between the north and the southern part of the country.
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The Federal Government also recently terminated the Obajana-Benin Road contracts with three companies, citing non-performance by the firms.
The government ended contract numbers 6136, 6137 and 6138 with Mothercat Ltd, Dantata & Sawoe Construction Ltd and RCC Ltd, respectively.
The government also cited the contractors’ “failure, neglect and or refusal to fulfill their contractual obligations as required by the Standard Conditions of Contract and this has affected the timely completion of the projects and thus resulted in the expiration of the contracts by effluxion of time”.
The Federal Government had similarly terminated the ₦740bn contract for the rehabilitation of the 82km Abuja-Kaduna dual carriageway with Julius Berger (Nig.) Plc over non-performance.
Umahi had lamented that the delay in mobilising to the site despite the approved funds by the Federal Executive Council was causing untold hardship to the road users and that FG was at the receiving end of the situation.
He had warned that the ministry under his watch won’t condone acts of unseriousness and sabotage by contractors whose plan is to become a clog in the wheel of progress of the current administration.
He had further warned that the government won’t hesitate in terminating all projects that are funded but are non-performing.
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