The House of Representatives has announced that the controversial Lagos-Calabar coastal highway project did not receive approval from the National Assembly and has called for an investigation into its procurement process.
During a plenary session in Abuja, the House resolved to probe the procurement process of the coastal highway project, urging key government officials to ensure that all project guarantees and credit enhancement instruments are submitted to the National Assembly for approval.
The motion to investigate the project’s procurement process, titled “Urgent need to investigate the procurement process and award of contract for the Lagos-Calabar Coastal Highway,” was moved by Austin Achado (APC-Benue).
Achado highlighted several concerns regarding the project, including the violation of due process and the lack of National Assembly approval. He emphasized that the guarantees issued for the project’s debt financing component did not have the approval of the National Assembly, which is required by law.
The project, executed by the Federal Ministry of Works in favor of Hitech Construction Company Nigeria Limited, aims to deliver a 700km Lagos to Calabar Coastal Road and Rail Project. The estimated cost is approximately N4.329 billion per kilometer, utilizing reinforced concrete technology for a carriage width of 59.7 meters, including 10 lanes, shoulders, rail, service ducts, street lights, drainages, and shore protection.
Achado expressed concerns about the project’s financing structure, which requires the Federal Government to provide 15 to 30% co-financing, with the private sector counterpart providing the balance. He also raised issues about the procurement strategy, suggesting that it may have violated the Public Procurement Act 2007 and the Infrastructure Concession and Regulatory Commission Act 2005.
The House mandated its committees on Procurement and Works to investigate the procurement process of the contract and report back within four weeks.