The federal government and the former vice president, Mr Atiku Abubakar, are locked in a bitter argument on the ongoing Lagos-Calabar Coastal Highway, one of the projects of the President Bola Tinubu administration.
Atiku had in a press statement faulted the Tinubu administration on the 700km coastal road project, saying that the project “again inadvertently revealed its penchant for dubious and shady deals.
He recalled how the 10-state, 22-station project was first awarded by the former President Goodluck Jonathan administration in November 2014 to China Civil Engineering Construction Corporation (CCECC) at a cost of $11.97 billion.
He revealed that Jonathan could not begin the project before he lost the 2015 presidential election.
Furthermore, he said Jonathan’s successor, Muhammadu Buhari announced in 2016 that the project had been renegotiated downward by $800 million to $11.1 billion and that it would be ready within three years. But it continued to stall.
He also recalled how August 2021, while Buhari was on vacation, then minister of information and culture, Mr Lai Mohammed, announced that the federal executive council had approved the memo for the ratification of the president’s approval for the award” of the $11.1 billion project, and that it would be completed in six years. But nothing was done.
Atiku also revealed that in September 2023, Tinubu’s minister of works, Mr Dave Umahi, announced that the project had been awarded to Gilbert Chagoury’s Hitech Construction Company Limited (Hitech) without any record of a competitive bidding or a decision by federal executive council.
“Umahi refused to reveal how much the project would cost. He only explained that it would run through nine states and would have a rail road running through the middle. Most importantly, the works minister said the project would come at zero cost to Nigeria, which is currently facing an all-time high level of debt.
“The works minister even stated, “Let me announce that it is under public-private partnership. The Hitech group are going to look for the money. They have already found the money, and that is the good news because we don’t waste our time talking and holding meetings and wasting resources.”
“However, to the shock of many Nigerians, Umahi returned to FEC with a memo in March 2024 seeking the approval of N1.06 trillion that would be paid to Chagoury’s firm for the first phase of the project which is wholly in Lagos.
“This pilot phase was to begin from the edge of Chagoury’s Eko Atlantic City on Ahmadu Bello Way, Victoria Island, and terminate at the Lekki Deep Sea Port, Ibeju-Lekki, a distance of 47.47km. Till date, the Tinubu administration has refused to reveal how much the project will cost in total. Umahi, who even came on Channels Television recently, evaded questions as to the total cost of the project.
“But if 47.47km costs about N1.06 trillion, it means each kilometre is being built at N22.5 billion or $18 million. For a project that is going to be 700km, it means the total cost could be N15.7 trillion or $12.56 billion, which is higher than previous estimates.
“It is curious that the terms of such an audacious project continues to be shrouded in secrecy. Worse still, it is expected to lead to job losses like the demolition of Landmark Beach Resort in Oniru which will lead to the loss of over 12,000 direct and indirect jobs and over $200m in investments according to its management.
“More curious is the fact that the entire pilot phase of this project begins and ends in Lagos, especially within the axis of Bola Tinubu’s business interests. It is no secret that both Tinubu and Chagoury are business partners,” Atiku said.
He added: “The same Hitech, owned by Chagoury, was unable to complete the 50km Lekki-Epe Expressway. Despite installing two tollgates along the axis, Hitech which was part of the Lekki Concession Company (LCC) consortium was only able to construct about 20km, forcing the Lagos State Government to buy it back at the cost of N7.5 billion ($50 million at the time) in 2013 which came at a loss to the people of Lagos.
“Tinubu has once again put his personal business interest ahead of that of the Nigerian people in violation of his oath of office where he swore that “I will not allow my personal interest to influence my official conduct or my official decisions.”
In his response, the special adviser to the president on information and strategy, Mr Bayo Onanuga accused the former vice president of making false allusions concerning the project.
He described Atiku as a “kill-joy” saying Tinubu should be praised for having the courage to embark on this transformative project and not vilified as Atiku unsuccessfully sought to do.
“To Atiku’s chagrin and utter disappointment, the Lagos-Calabar Coastal highway has been rightly praised for the huge economic impact it will create and how it will be a game-changer in improving the quality of life of Nigerians, especially the economy of the nine coastal states it will pass through. Importantly, the road will boost agricultural and tourism economy on a grand scale.
“Seeking to be a kill-joy, Atiku Abubakar engaged in red-herring by raising ill-thought-out allegations that only exposed his inadequacies and those of his team in getting the basic facts on an issue he badly seeks to nail the government.
“We have decided, however, to respond to Atiku’s misrepresentation of facts in matters of the coastal road if only to set the record straight so that unsuspecting Nigerians are not misled and misinformed. We owe it a sacred duty to ensure Atiku and his handlers do not continue to spread disinformation as they wallow in their politics of hatred,” he said.
He said contrary to the claims in Atiku’s statement, at no time did the administrations of former Presidents Buhari and Jonathan award contracts for the construction of the Lagos-Calabar coastal highway to any company at any varied and revised amount, adding that the question of costs comparison could not have arisen.
Rather, he clarified that the contract that was awarded was that of Lagos-Calabar coastal rail.
“The rail was designed as part of the standard gauge national rail network. The contract was awarded on August 4, 2021 by the Federal Executive Council (FEC) presided over by former vice president, Prof. Yemi Osinbajo (SAN), at the cost of $11.17 billion. The contract was to be completed in six years. The project didn’t take off.
“The Lagos-Calabar coastal rail project has always been on the card. It was another testament of the failure of the previous PDP-led government that it could not get it off the ground in 16 years it held sway.
“The Lagos-Calabar coastal highway and Lagos-Calabar coastal rail are two distinct projects. It is unfortunate that the former vice president is confused about the two projects.”
Onanuga also faulted Atiku for objecting to the decision to start the coastal road from Lagos and not Calabar, saying he is oblivious of the huge impact such would make on export-import flow around the industrial zones.
“We are at a loss as to what the former VP hopes to achieve with his assertion. Is it not a received wisdom that a thousand miles’ journey begins with a step? Whether the project begins from Lagos or Calabar, Warri or Sapele, what should gladden the heart of any patriotic Nigerian is that this important project that has been in the pipeline for several decades has finally taken off,” he said.
