BARELY 24 hours after President Goodluck Jonathan expressed dissatisfaction with the pace of work on the Lagos-Ibadan expressway, the federal government on Monday terminated the contract agreement with the Wale Babalakin-owned Bi-Courtney Highway Services, the company that won the N90 billion contract in 2009.
According to a terse release from the Federal Ministry of Works, the repair and maintenance work on the 106-kilometer highway will henceforth be carried out by Julius Berger and Reynolds Construction Company, LLC.
“The Federal Government today (Monday) terminated the concession of the Lagos-Ibadan Expressway granted to Bi-Courtney Consortium on 8th May, 2009, the concession agreement of which was signed by the parties on 26th May, 2009,” the statement signed by Mr. Mike Onolememen said of the previous contract.
The statement from Mr. Onolememen went on to cite what it called the “serial breaches” of contractual agreement by Bi-Courtney as the reason for the revocation of the contract.
The Lagos-Ibadan expressway is one of the busiest highways in Nigeria. It has witnessed gradual deterioration over the years, often leading to terrible road accidents that recorded its share of fatalities. Before its revocation on Monday, the concession agreement with Bi-Courtney was supposed to last for 25 years.
Mr. Onolememen also cited the rate of accidents on the highway as an urgent motivation to act, explaining that government will always respect contractual agreements except in instances of serial breaches as it found in the case of Bi-Courtney.
Bi-Courtney has indeed encountered growing problems in executing the project on the busy highway, a major trunk that links the bustling megapolis of Lagos with the rest of the southwest region. The state of the highway is often a topic of discussion on television and social media among Nigerians, both at home and abroad.
Under the new regime of contractors, the Lagos to Sagamu axis will be handled by Julius Berger, while the phase II of the project of Sagamu to Ibadan will be in the care of RCC. Both companies have enjoyed a long presence in Nigeria handling road projects around the country. Their handling of the Lagos-Ibadan roadway project will no doubt be closely monitored by Nigerians, for whom the use of the road is critical.
The Jonathan Administration will also earn some positive publicity if the roadwork is done and seen to be well done.