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Road Projects: Wike Disagreed With Setraco Over Variation Matter, Threaten To Blacklist The Company

by Ismaila Ajikobi
February 15, 2024
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By Ismaila Ajikobi, Abuja

The Minister of the Federal Capital Territory, Barr. Nyesom Wike has told the management of Setraco Nigeria Ltd not to bring any issue that has to do with the variation on the ongoing road projects before him, saying such request will not be entertain.

Wike made this clarification while inspecting some on going road projects in Abuja, stated that if the company failed to delivered as earlier agreed, he would not hesitate to blacklist it.

The Setraco Nigeria Ltd had asked the Minister for the need for contract variation on the ongoing construction of Ring road 1 segment of the Southern Parkway, connecting Area 11, Central Area, Area 3 and Durumi as well as Nnamdi Azikiwe Expressway axis of the nation’s capital.

But the Minister explained that from the records, the FCTA have paid 97% for the project, but the company has failed to provide street lights, and upon inquiry, the company’s Managing Director talked about variation on the contract.

He added that the FCTA and Setraco along with other construction companies handling FCT projects had agreed on the funding pattern, which it have not failed to follow so far.

According to him: “Remember when I came on board, I had to call most these companies, and I asked them; will you be able to complete some of these projects, as part of our President’s one year anniversary since he was inaugurated? We agreed on the funding pattern, and I can authoritatively tell you that we have not failed.

“When I asked them about the street lights, he (the company’s Managing Director) talked about variation. From the records that I have, we have paid 97%.

“Of course, you know I will never accept that, because we have funded the project very well without any failure on our part. I have told them categorically clear that there cannot be any variation on that project.

“And if they don’t complete on time, I’m going to blacklist the company, that”s the truth of the matter. Nobody will toy with us; nobody will try to out smart us; and we are not going to accept it.

“The Managing Director was there, and he knows we are serious about it. What they agreed in the first phase, but they are asking for the second phase, then how would will when you have failed us on the first phase. So issue of variation is not our table, as it would not be accepted.”

He however, said what Setraco are doing is quite comprehensive, which will change the landscape of that area, adding “the quality of the job that the company is carrying out is good.”

On his part, the Managing Director, Setraco Nigeria Ltd, Ziad Mouannes, who received the Minister and his encourage, insisted that the company be given the opportunity to have a meeting with the officials of the FCTA to discuss and settle the matter of contention.

Mouannes, the company remains committed to the project, hence it was open for further engagement with the FCTA, in order to reconcile and rectify the street light issue.

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