BREAKING: Lagos Coastal Highway: Tinubu Government Begins Payment Of N2.75billion Compensation To Affected Nigerians
The Nigerian government, under the leadership of Minister of Works David Umahi, has announced the commencement of compensation payments totaling N2.75 billion to property owners affected by the demolition required for the construction of the Lagos-Calabar Coastal Highway. Umahi made this announcement during a stakeholders meeting in Lagos State. He also mentioned that additional compensation would be disbursed in the near future.
The coastal road project, estimated to cost N15.356 trillion, is expected to be completed within an eight-year timeframe. Umahi clarified that the contract for the project was awarded to Gilbert Chagoury’s Hitech Construction Company Limited (Hitech) based on its track record rather than through competitive bidding. He emphasized that due process was followed and the project was appropriated for in the 2024 budget.
Responding to inquiries regarding the bidding process and concerns about Chagoury’s relationship with President Bola Tinubu, Umahi defended the decision, stating that the procurement act allows ministries to invite contractors with specialized skills for negotiation and awarding of contracts. He cited Hitech’s successful management of flood-related issues in Lagos as evidence of their capability for the project.
Umahi addressed questions regarding the project cost by providing details on the calculation methodology, explaining that former Vice President Atiku Abubakar’s criticisms were based on a misunderstanding of the figures. He outlined the dimensions of the carriageway and justified the analysis based on these measurements.
Regarding the project’s financial arrangement and timeline, Umahi stated that the government is committed to an EPC+F (Engineering, Procurement, Construction plus Finance) model with a completion target of eight years, aligning with the tenure of the current president.
It’s worth noting that SaharaReporters previously reported allegations against Hitech Road Construction Company, a subsidiary of Hitech Construction Company, which is owned by Gilbert Chagoury, a Nigerian-Lebanese developer with alleged criminal records. Chagoury’s association with President Tinubu raised concerns about potential conflicts of interest.
In summary, the compensation payments mark the beginning of a significant infrastructure project aimed at improving transportation along the Lagos-Calabar coastal region. Umahi’s explanations sought to address concerns about transparency, procurement processes, and project costs, while reaffirming the government’s commitment to completing the project within the stipulated timeframe.
