FG demands 100% completion of one carriageway before tolling
The Federal Government has given new conditions for tolling the Benin-Asaba and Lagos-Abeokuta Expressways, stating that toll collection will only commence upon the completion of 100 per cent of one carriageway.
The conditions followed a renegotiation process with Africa Plus Partners Nigeria Limited after heightened inflationary pressures, exchange rate concerns, and reduced vehicular traffic on the highways occasioned by the increase in the pump price of Premium Motor Spirit.
It added that other conditions, such as the design of the project, the approved construction period, and no variations must be strictly adhered to.
The Minister of Works, David Umahi, introduced the new parameters to strengthen the quality delivery and management of road infrastructure under the Highway Development and Management Initiative and ensure efficient utilisation of the completed projects by road users.
A statement by his Special Adviser on Media, Uchenna Orji, on Tuesday, quoted the minister as saying that the discussions were to fashion out a way forward to achieve a more effective operational model for the HDMI programme and more efficient contractual relations between the Federal Government and concessionaires.
The statement read, “In his efforts towards rejigging the operational model of the Highway Development and Management Initiative, the works minister has introduced parameters that will strengthen the quality delivery and management of road infrastructure under the Public Private Partnership model of road infrastructure development known as Highway Development and Management Initiative and ensure efficient utilisation of the completed projects by road users.
“The minister also listed new parameters to be finetuned, agreed upon and adopted in all contractual relations between the Federal Government and concessionaires going forward to include that the business plan must be in line with the socio-economic dynamics. Terms of tolling of road projects must be by the laws of the federation and standard contract conditions must be followed.
“Contingency and variation on price shall be utilised only by the express and written permission of the client. Bill of Quantities shall be verified and adopted in line with the prevailing market prices and road count on traffic shall be carried out by the investor where such data has been provided by the client, it is the duty of the investor to accept or verify and where the investor accepts, it shall be binding on all.
“Others are that it shall be the duty of the investor to sensitise the public on the toll programme in every project; the client shall have the right to terminate the job of the investor for failure to comply with the time of road project completion, and every road construction for highways must be by the highway standard prescribed by the laws of the federation.”
In their separate responses, the team leader of the APPNL thanked the minister for pointing out the dire need to review not only the cost of the concessioned project but also the scope of the project to meet the standard of road construction following the innovations introduced by the ministry.
They expressed their commitment towards a robust negotiation on the project review that would lead to a financial close so that work could commence without further delay with a pledge to carry out further technical analysis on all the issues raised in the meeting and re-present same to the minister for consideration.
