The Federal Government has insisted that the Lagos-Calabar Coastal Highway contract followed the procurement process.
Minister of Works, David Umahi, stated that the 700-kilometre, 10-lane highway was conceived as an Engineering, Procurement and Construction plus Financing (EPC+F) project.
The model, he explained, entails part-funding by the Federal Government.
Also yesterday, the Presidency dismissed the allegation of conflict of interest raised by former Vice President Atiku Abubakar.
The former presidential candidate had claimed that President Bola Ahmed Tinubu’s son Seyi was on the board of a sister company executing the project.
But the presidency said nothing stops Tinubu’s son from pursuing his legitimate business interests.
The road project, regarded as one of the biggest in Africa, was awarded to Hitech Construction Company Ltd. It will link nine states.
Umahi, in a note, said the approval process went through the Bureau of Public Procurement (BBP) after consideration by the Federal Executive Council (FEC) as prescribed by law.
He said: “This project is an unsolicited bid on EPC+F.
“Under this model, the investor provides all designs, part of the financing and construction while the Federal Government provides the counterpart funding.
“The ministry received such a bid, worked on it and sent it to BPP.
“The BPP worked on it according to the Procurement Act and came up with a price slightly lower than the ministry’s price and even lower than the cost of similar projects awarded five years ago like the Bodo-Bonny project.
“BPP issued a certificate of no objection to the project to the Ministry of Works in line with the Procurement Act.
“The Ministry of Works took the certificate of no objection to FEC and FEC debated and approved it. The project followed due process.”
