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FG threatens to terminate RCC’s contract due to delays in road construction

Simon Osuji by Simon Osuji
October 9, 2024
in Infrastructure
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FG threatens to terminate RCC’s contract due to delays in road construction
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The Federal Government has indicated that it may terminate the contract with Reynolds Construction Company (RCC) for the Osun-Ogbomosho road project, which has been delayed for 18 years.

Minister of Works, David Umahi, made this announcement on Tuesday during a joint inspection of the Lagos-Calabar Coastal Highway, Lagos-Ota Expressway, and Lagos-Sagamu road.

Umahi stated, “The repair of the Osun-Ogbomoso road is being handled by RCC. The contract has dragged on for 18 years without completion, and we are considering terminating it due to this prolonged delay.”

Regarding the Lagos-Ibadan Sagamu road, Umahi warned that the contractors responsible for phase 2 of the project could face termination if they do not complete their work.

He noted, “Two contractors were assigned to the Lagos-Ibadan Sagamu road, which consists of phases 1 and 2. Julius Berger has finished their section, but RCC has yet to complete phase 2. The contractor responsible for the Sagamu to Ibadan stretch of the Lagos-Ibadan Expressway risks losing their contract if they do not return to the site to finish the remaining three kilometers of the project without further delay.”

Umahi explained that RCC has been given a seven-day deadline to comply, and a warning letter will be issued if they fail to meet the new contract terms.

On the topic of the Lagos-Abeokuta federal highway, which has been in disrepair for over eight years, the minister mentioned that the Governor of Ogun State has taken charge of a section of the road and awarded it for repairs, in line with President Bola Tinubu’s directive that allows state governors to proceed with road projects.

Umahi added, “We have 18 kilometers left to address, and this section is currently in the planning stage. I’m pleased to report that one of the carriageways is in good condition, but traffic congestion remains significant. In response to public demand, we have allocated funds for approximately 7 kilometers of palliative work. Although we do not have sufficient funds for the remaining 11 kilometers, we have requested emergency funds from the Minister of Finance to complete the entire 18 kilometers for public use while we await the formal construction process.”

The minister also recommended the use of concrete for the Lagos-Ota road.

In addition, Umahi ordered the immediate removal of buried refuse from the runway of the Lagos-Calabar Coastal Highway to expedite the ongoing road construction.



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