Julius Berger’s Abuja-Kaduna Road Contract Canceled by FG

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The Federal Government has ordered Julius Berger to vacate the site of the Abuja-Kaduna-Zaria-Kano Dual Carriageway rehabilitation project, following the issuance of a 14-day termination notice.

The notice, delivered on Monday, formally ends any possibility of further negotiations and cites the contractor’s failure to meet the revised cost, scope, and terms of the project. It also points to Julius Berger’s stoppage of work and its refusal to remobilize to the site as instructed by the Ministry of Works.

Despite months of negotiations, the Ministry stated there had been no meaningful progress in resolving the issues at hand. Mohammed Ahmed, Director of Press and Public Relations, confirmed the decision was made during a management meeting at the Ministry’s headquarters in Abuja.

For over a year, the Ministry had been engaged in talks with Julius Berger to address alignment concerns, but these discussions ultimately failed to produce an agreement. The termination comes after the Works Minister, David Umahi, previously threatened to revoke the contract, originally awarded in 2018 under former President Muhammadu Buhari. While the Kaduna-Zaria section has been completed, and the Zaria-Kano section is nearly finished, the Abuja-Kaduna section has only seen 27% progress over six years.

Minister Umahi had also accused Julius Berger of politicizing the project to undermine the current administration. The construction company, however, did not attend a scheduled meeting on Monday, further complicating negotiations.

The Ministry’s statement concluded: “Due to non-compliance with the revised cost, scope, and terms, as well as the halt in work and refusal to remobilize, the Federal Ministry of Works has issued a 14-day Notice of Termination to Messrs Julius Berger Plc for the Rehabilitation of the Abuja-Kaduna-Zaria-Kano Dual Carriageway, Contract No. 6350, Section I (Abuja-Kaduna).”

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