The Federal Government has barred expatriate construction companies from bidding for contracts valued below ₦20 billion as part of a policy shift to prioritise indigenous contractors in road infrastructure delivery.
Minister of Works, Senator David Umahi, announced the directive during an inspection tour of the East–West Road (Section IIIA) dualisation project from Eleme Junction to Onne Junction in Rivers State on September 9, 2025.
Umahi explained that the decision aligns with the administration’s “Nigeria First” policy, which seeks to empower local firms, ensure technology transfer, and reduce capital flight.
He warned that any contractor found violating project terms would face scrutiny from anti-graft agencies.
“The practice of awarding small-value contracts to expatriate firms will no longer be tolerated. Going forward, contracts below ₦20 billion are reserved for indigenous companies. We are determined to build local capacity while enforcing strict standards,” the minister said.
He also cautioned contractors against substandard practices, particularly leaving binder courses exposed without wearing courses for long periods, which accelerates road failure. Federal controllers across the country have been directed to strengthen supervision and enforce compliance.
During the inspection, Umahi commended Reynolds Construction Company (RCC) for the quality of work on the Eleme–Onne project but criticised the pace of execution.
He reaffirmed December 15, 2025, as the final completion deadline, warning that there would be no extension, no price variation, and no additional claims.
“The quality here is excellent, but the pace is not acceptable. This project can never be reviewed by a kobo,” he stated.
The minister further condemned the destructive impact of heavy-duty vehicles parking on federal roads, particularly along the Aba–Port Harcourt axis.
He disclosed plans to engage state governors and the Inspector-General of Police to enforce measures that would prevent trucks from damaging pavements.
According to the Federal Controller of Works in Rivers State, Mrs Enwereama Tarilade, RCC has completed 15km of the Eket-bound right carriageway and commenced work on the Port Harcourt-bound left carriageway, with 1km already laid using continuously reinforced concrete pavement.
The Works Ministry recently adopted a funding prioritisation framework to sustain projects financed under the Nigerian National Petroleum Company Limited’s Road Infrastructure Development and Refurbishment Investment Tax Credit Scheme, ensuring critical projects along economic corridors continue without disruption.
