By Our Reporter
The Federal Executive Council (FEC) has approved road projects worth about N610 billion and the concession of three major infrastructure assets as part of efforts to attract greater private-sector investment into Nigeria’s infrastructure development.
The approvals were disclosed by the Minister of State for Works, Bello Goronyo, while briefing State House correspondents after the fourth FEC meeting presided over by President Bola Tinubu at the Presidential Villa, Abuja, on Wednesday.
Among the projects approved is the Ado-Ekiti–Iyin-Aramoko–Itawure–Osun State border road in Ekiti State, awarded to CBC Global Civil & Building Construction Nigeria Limited for N159.83 billion, inclusive of 7.5 per cent Value Added Tax (VAT). The project has a completion period of 24 months.
The council also approved variation and change orders for the rehabilitation of the Abeokuta–Iboro–Ilaro Road in Ogun State and the Phase II upgrade of a 15-kilometre section of the East-West Road in Rivers State.
The Rivers project, covering the Port Harcourt (Eleme Junction)–Onne Port Junction Road, was awarded to RCC Nigeria Limited at a cost of N74.51 billion, with a completion period of nine months.
FEC also approved a review of the contract for Phase II of the Ado-Ekiti–Afe Babalola University Road along the Ado-Ekiti–Ijan/Iluomobi-Imesi–Ondo State border route.
The reviewed contract, awarded to S & M Nigeria Limited, is valued at N54.52 billion, inclusive of VAT.
Another approval covers the construction of Phases II to V of the Ilara-Iselu Road in Ogun State. The contract was awarded to JRB Construction Company Limited for N94.24 billion, inclusive of VAT, with a 24-month completion period.
Beyond direct government-funded road construction, the council approved concessions for three infrastructure assets under Public-Private Partnership (PPP) arrangements.
The assets include the 7.9-kilometre Dikko-Maje section of the Suleja–Minna Road, which will be operated under a 40-year concession; the Lagos–Ibadan Expressway, with a 25-year concession; and the Greenfield Trailer Park at Aro-Ngwa in Abia State, which will have a 50-year concession.
The concessions will be funded entirely by the private concessionaires under the Design, Finance, Build, Operate and Maintain model for trailer parks and the Operation and Maintenance model for highways.
Goronyo said the approvals were consistent with the Federal Government’s policy of leveraging private-sector capital and expertise to develop, operate and maintain critical infrastructure.
He explained that the Works Ministry had packaged six PPP projects involving trailer parks and highways, with three requiring FEC approval because their project costs exceeded the relevant approval threshold.
The minister also disclosed that the council had previously ratified the award of the contract and issued a Full Business Case Compliance Certificate for the concession of the Abuja–Kaduna–Kano Expressway to Aspect Concession Company Limited.
The latest approvals are part of the Federal Government’s broader strategy to address Nigeria’s infrastructure deficit while reducing the financial burden on public resources through increased private-sector participation.