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Home » News » Umahi directs MTN to pay RCC N15B monthly or risk termination of Enugu-Onitsha expressway contract
Economy

Umahi directs MTN to pay RCC N15B monthly or risk termination of Enugu-Onitsha expressway contract

By Michael Chibuzo6 February 2025No Comments586 Views3 Mins Read
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In a bid to hasten the completion of the outstanding segments of the Enugu-Onitsha expressway project, the Minister of Works, Engr. David Umahi has threatened MTN with contract revocation unless the company pays N15 billion monthly to contractors handling the construction of the Enugu–Onitsha Expressway.

The Minister made this threat when some members of the National Assembly from the South East led by the Senate Minority Whip visited him to seek the intervention of the Federal Government concerning the stalled construction of the Enugu-Onitsha Expressway being handled by RCC Ltd but funded by MTN under the Road Infrastructure Development and Refurbishment Investment Tax Credit Scheme initiated under the Buhari administration.

According to a statement by his media aide, Uchenna Orji, the order issued to MTN is to fast-track the completion of the road. After the meeting, Umahi announced that MTN would need three contractors to quickly execute the remaining 79km within the original contract sum of ₦202 billion under 11 months.

The Works Minister was also quoted to have said that the delay on the job, which was due to poor funding and poor contract execution, had resulted in over a 100 per cent increase in the project cost, and that allowing MTN more than 11 months on the job could further push the contract to increase by over 200 per cent. The Minister noted that the project will not be subject to any further cost variation.

The Minister also used the opportunity to express deep sadness over the lives that have been lost in the uncompleted sections of the expressway, with particular reference to the recent  tanker explosion on the Ugwu Onyema axis of the road that claimed a lot of lives.

Speaking further, Umahi urged the lawmakers regardless of their political parties to stand with the President in his quest to ensure that priority inherited road projects were completed as quickly as possible.

“Mr. President inherited 2,064 projects, totalling about N13tn, and today, those projects will be over N20tn, because of the floating of the naira and the removal of the fuel subsidy. It’s nobody’s fault, but by his good heart and commitment to rewriting the story of this country, and like Trump would say, make Nigeria great again, the President is committed to funding as many priority projects as possible in addition to the four legacy projects” Umahi said.

“And so, we want the National Assembly members, and of course, Southeast stakeholders, to please stand up and commend the President at all times because this is not a party thing. And I can beat my chest and say that irrespective of party, no other person will have the heart to do what Mr. President is doing for the people of Southeast”, the Minister stated.

The Enugu-Onitsha expressway is one of the crucial road projects in the South East and serves as a gateway into the South East from Delta, connecting the commercial city of Onitsha to Enugu city. One lane from Awka to Onitsha has been completed while the outstanding sections in other lane between Ukpo to Umunya within Anambra has stalled due to irregular funding of RCC by MTN who secured funding of the project under the Infrastructure Tax Credit Scheme.

The sections in Enugu state has also seen significant completion on the Enugu-bound lane. According to the Ministry of Works, a total of 79km stretch is outstanding between Onitsha and Enugu.

Engr. Dave Umahi Enugu-Onitsha expressway MTN RCC
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