This termination is part of a broader government crackdown on underperforming contractors. Recently, the Federal Government also revoked contracts for the Obajana-Benin Road, affecting three construction firms—Mothercat Ltd, Dantata & Sawoe Construction Ltd, and RCC Ltd—over failure to meet project deadlines. Similarly, the ₦740 billion Abuja-Kaduna dual carriageway rehabilitation contract with Julius Berger (Nig.) Plc was annulled due to non-performance.
— Umahi
By Abdulrahman Aliagan, Abuja
The Federal Government has terminated the 98km Oyo-Ogbomoso Road contract previously awarded to Reynolds Construction Company (RCC), citing prolonged delays and non-performance. The Minister of Works, Dave Umahi, made this known on Thursday during the Federal Roads Stakeholders’ Engagement themed “Enhancing Federal Roads in Oyo State: Challenges and Sustainable Solutions”, held in Ibadan, Oyo State.
The contract, which has faced repeated setbacks, will be re-awarded to a new contractor soon. The Oyo-Ogbomoso road, a crucial link between the North and the South, has suffered prolonged neglect, leading to frequent accidents and economic losses for traders and farmers who rely on the route.
This termination is part of a broader government crackdown on underperforming contractors. Recently, the Federal Government also revoked contracts for the Obajana-Benin Road, affecting three construction firms—Mothercat Ltd, Dantata & Sawoe Construction Ltd, and RCC Ltd—over failure to meet project deadlines. Similarly, the ₦740 billion Abuja-Kaduna dual carriageway rehabilitation contract with Julius Berger (Nig.) Plc was annulled due to non-performance.
Minister Umahi emphasized that contractors failing to mobilize to project sites despite government funding would face immediate contract termination. He reiterated that the ministry under his leadership will not tolerate delays that hinder national development.
Nigeria has faced persistent challenges with infrastructure projects, particularly road construction. Over the years, delayed execution, poor-quality work, and contractor inefficiencies have stalled critical road projects nationwide. The Buhari administration also struggled with similar issues, often having to review or reassign contracts due to non-performance.
The trend of revoking contracts signals a stricter approach under President Bola Tinubu’s administration. The government appears determined to ensure that all awarded projects are executed promptly, particularly those affecting major economic corridors like the Oyo-Ogbomoso, Abuja-Kaduna, and Obajana-Benin roads.
With a renewed commitment to accountability, the Federal Government hopes to fast-track infrastructure development and mitigate the economic and human costs of poor road networks.