FG Tightens Grip on Federal Projects, Contractors Face EFCC, ICPC Probe

The Federal Government has moved to intensify its monitoring of federal infrastructure projects, warning contractors who have received mobilisation funds but failed to return to project sites that they could face investigation and recovery action by anti-corruption agencies.

Minister of Works, David Umahi, issued the warning in Abuja as the government stepped up efforts to ensure that public funds released for road and bridge projects translate into actual work on the ground.

Umahi said contractors who had collected money for federal projects would be expected to deploy the funds to their assigned sites. He warned that beginning from next week, contractors who had received government funds but were not working on their projects would be referred to the Economic and Financial Crimes Commission and the Independent Corrupt Practices and Other Related Offences Commission for action.

The minister said the government had already rescoped and re-phased several projects to make their execution more realistic and manageable. According to him, contractors could no longer use political connections or lobby government stakeholders to avoid their contractual obligations.

Umahi also expressed concern that some companies handling federal projects appeared to be giving greater attention to contracts awarded by state governments. He said the government would no longer accept a situation where contractors prioritise other projects after receiving mobilisation payments for federal jobs.

To strengthen oversight, the Ministry of Works is introducing a more aggressive monitoring system involving the EFCC, ICPC, civil society organisations and student groups. The minister said the arrangement would include increased site visits and supervision to establish the actual level of work on projects and track the use of public funds.

The government’s tougher position comes against the background of longstanding concerns over abandoned and delayed infrastructure projects across the country. Earlier in August, Umahi ordered the arrest of a contractor handling an 11-kilometre section of the Benin-Onitsha Expressway after alleging that about N14bn had been released while only about 40 per cent of the agreed work had been completed.

However, the construction industry has previously raised a different concern, arguing that contractors cannot be expected to continue work indefinitely when government payments are delayed. The Federation of Construction Industry has cited inadequate and unpredictable funding, delayed payment for certified work and rising construction costs among factors contributing to project delays and suspensions.

The latest government directive therefore puts renewed emphasis on determining whether stalled projects are the result of contractors failing to utilise funds already received or government funding and contractual challenges.

Despite the concerns over non-performing contractors, Umahi listed several federal projects he said had been completed or were approaching completion. They include 70 kilometres of the Kano-Maiduguri Road, the 43-kilometre Keffi-Mararaba Road, the 15-kilometre Lafia bypass, the 7.9-kilometre Bonny Island Road, the Obajana Junction concrete pavement on the Lokoja-Benin corridor and the Danbatta-Demesu Road.

Others include the Gombe-Bauchi Road rehabilitation, the Azare axis linking Jigawa and Bauchi, the Apapa five-span bridge, the Eke-Obinagu 23-span flyover in Enugu, the 75-metre Tizm Bridge and the 24-kilometre Sagamu Interchange-Iperu Junction Road.

With the new monitoring arrangement, contractors working on federal projects are now under increased scrutiny, particularly those that have received mobilisation payments. The government’s message is that funds released for infrastructure must be reflected in physical progress at project sites, while contractors who fail to meet their obligations could face financial recovery and anti-corruption investigations.

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