The Minister of Works, Senator David Umahi, has announced that contracts valued below N20bn are designated for local companies.
Umahi made this announcement during an inspection of the dualisation of the East-West Road (Section IIIA) from Eleme Junction to Onne Junction in Rivers State on September 9, 2025.
He underscored that the Federal Ministry of Works has implemented a funding prioritisation framework to ensure the ongoing progress of essential road projects that were previously funded by the Nigerian National Petroleum Company Limited under the Road Infrastructure Development and Refurbishment Investment Tax Credit Scheme.
Umahi clarified that this initiative is in accordance with President Bola Tinubu’s instruction that all projects funded by NNPCL must proceed without any interruptions.
According to Umahi, the ministry has compiled a list of all projects inherited from NNPCL and has submitted this list to the President. He emphasized that projects located along national economic corridors, such as the Eleme–Onne road, will be given the highest priority.
“Mr. President has kindly instructed that none of these projects should cease,” he stated.
During the inspection, the works minister warned contractors against substandard construction practices. He pointed out the issue of laying binder courses without subsequently covering them with a wearing course for extended periods, which compromises the integrity of the roads and leads to premature failure.
The minister instructed federal controllers across the country to implement stricter oversight and cautioned that contracts under ₦20bn will no longer be awarded to foreign firms.
Umahi commended Reynolds Construction Company for the high quality of work on the Eleme–Onne project, while expressing dissatisfaction with the slow progress, noting that the rainy season should not be used as an excuse.
