The Federal Government has announced plans to compensate property owners along the 700km Lagos-Calabar Coastal Highway, with a total estimated cost of N15 trillion. The compensation will cover affected property owners across nine states.
The Minister of Works, David Umahi, disclosed this after President Bola Tinubu approved the compensation for affected property owners. Umahi outlined the conditions and requirements for affected residents to qualify for compensation.
Umahi clarified that the construction of the highway, estimated to cost N15.36 trillion or N4.39 billion per kilometer, will take approximately eight years to complete. The project aims to connect Lagos to Cross River, passing through several coastal states.
Speaking at a stakeholders meeting in Lagos, Umahi emphasized that compensation would only be provided to deserving individuals based on approved documents. He stated that shanties and illegal buildings would not be eligible for compensation.
The compensation plan comes amid ongoing negotiations regarding project funding. Umahi clarified that the project operates on a counter-funding basis rather than a Public-Private Partnership model. He assured that the project cost was estimated prudently, considering various factors such as materials and engineering requirements.
Responding to concerns about the project’s procurement process, Umahi refuted allegations of bypassing due process. He clarified that the contract was awarded following proper procurement procedures.
Meanwhile, the Nigerian Society of Engineers (NSE) has supported the government’s initiative, emphasizing the potential investment value of the project. Hassan Saidu, President of the Nigerian Highway Infrastructure and Transport Engineers (NHITE), highlighted the significance of infrastructure investment for economic development.
Despite criticisms regarding project costs and procurement, Umahi remains confident in the project’s viability. He hinted at potential toll charges for vehicles using the completed highway, projecting a return on investment within 15 years.
The announcement of compensation for affected property owners marks a significant step forward in the development of the Lagos-Calabar Coastal Highway. With ongoing negotiations and planning, the project aims to enhance regional connectivity and spur economic growth across the affected states.
