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Lagos-Calabar Coastal Highway Project: FG Sets Up Compensation Committee

by Julius Afolalu
April 19, 2024
in Business, Headlines, National
Reading Time: 3 mins read
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FG needs $35bn to initiate Concrete Road Construction across the Country – Umahi
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…says verified claims to be settled within 72 hours

The federal government has initiated compensation payments to property owners affected by the construction of the 700km Lagos-Calabar coastal highway project by setting up the compensation verification committee.

The Minister of Works, David Umahi, said that verified claims will be settled within 72 hours by the contractor, Hitech Construction Ltd.

He also clarified that only property owners with proven titles will receive compensation, while shanties and those with property within the 250m shoreline setback without a Federal government title would not be compensated, as it is a legal matter.

However, he stressed that compensating for such titles would necessitate a Presidential waiver, should the President deem it appropriate.

During the inauguration of the committee in Abuja on Thursday, Umahi directed that it has a 10-day deadline to fulfill its mandate.

The federal controller, Lagos, Keisha is the chairman who has the representative Federal Ministry of Works, Lagos State government, landlord association, traditional rulers, and property owners on the axis affected by the project as well as the ESIA Consultants.

“The work to be reviewed by the committee is very simple, interact with property owners that are going to be affected, and in the presence of the committee, property owners and ESIA Consultant, and the contractor, look at the compensation as enumerated to be paid and if possible visit the site.

“We are using the Federal rate in our enumeration which is higher than the Lagos rate. I know very well that there is nobody who has been enumerated that is ever satisfied with how much is to be paid but we are bound by law, so we are using the Federal rate.

“The moment the property owner signs the forms we gave them to fill and indicates the bank account, within 72 hours we authorise payment.

“The contractor is going to pay directly to all those affected. This, we are committed to doing, this verification exercise starts in Lagos on Wednesday.”

The minister however advised the committee not to go beyond its Terms of Reference reviewing the proposal made by ESIA Consultants for compensation and work with all stakeholders to have this achieved.

Tasking the committee to be diligent in adhering to the dictates of the law, he said, “The committee is not in charge of ramp or anything but just to verify those who are going to be paid compensation, the authenticity of those filling for compensation, verify the dimensions, where possible, the amount and in their presence where the property owner signed, once these are authenticated, we direct the contractor to go ahead and pay.

“It is from the contractor’s money where the compensation is routed.

“But where there is a title problem, it will need a Presidential waiver for such to be paid. It is only those with proven titles will be paid as they are brought to us in the Ministry because they will still undergo all the verification processes.

“Even though we have shortened the process, there is no room for delayed files, so the property owners can rest assured that within 72 hours, we will do the needful for that to happen

“The committee must also make it clear to the property owners that 250m belongs to the Federal government, as prescribed by law.

“So anyone with a title within the 250m and is not a Federal government title, then it is incumbent that only the President can give a waiver if he feels so for the person to be paid.

“So, I will work within the confines of the law.”

He said the Federal rate of compensation would be calculated based on area and volume.

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Tags: Compensation committeeDavid UmahiFederal Government of NigeriaLagos-Calabar Coastal HighwayLagos-Calabar Coastal Highway Project
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