Minister of Works David Umahi has disclosed that the Lagos-Calabar Coastal Highway, a flagship infrastructure project under President Bola Tinubu's administration, is costing ₦7.5 billion per kilometer for a standard coastal road section.
The revelation, made during an inspection of ongoing projects in Nasarawa State, comes amid escalating debates over the highway's expenses and comparisons to global standards.
Umahi emphasized that the figure encompasses not just basic construction but also critical features like shoreline defenses, solar-powered street lighting, concrete retaining walls, and landscaping, tailored to the challenging coastal terrain.
"A standard coastal road is going for ₦7.5 billion per kilometer of standard highway," he stated, defending the pricing as aligned with international engineering benchmarks and rejecting calls to simplify it into "political soundbites.
"The disclosure follows a public spat with Oyo State Governor Seyi Makinde, who on October 10 criticized Umahi for "dancing around the cost" during a television interview.
Makinde argued for clearer breakdowns, noting variations in per-kilometer expenses across sections.
Umahi responded by distinguishing between "estimated costs" (which include contingencies and price variations) and "average costs," asserting that the project's value-for-money analysis justifies the outlay.
Earlier estimates from Umahi pegged the cost at ₦4 billion per kilometer for the initial 47.47-kilometer pilot phase, totaling ₦1.067 trillion for a six-lane dual carriageway.
However, he clarified that this was for three lanes, effectively doubling to about ₦7.5 billion for the full six lanes when divided appropriately.
He contrasted this with inflated past administration contracts, such as concrete priced at ₦729,000 per cubic meter five years ago, and noted the highway's lower cost compared to inherited projects like the Eleme-Onne Road (₦5.2 billion per kilometer) and Abuja-Kano Road.
The 700-kilometer highway, spanning nine states from Lagos to Calabar with spurs to the north, aims to boost economic connectivity, create jobs, and add $45 billion to GDP within five years.
Construction began in March 2024, with the first section flagged off by Tinubu on May 26, 2025.
Despite progress, the project has drawn flak for property demolitions, non-competitive bidding awarded to Hitech Construction (citing their Eko Atlantic expertise), and timing amid Nigeria's economic woes.
Umahi, during Saturday's tour with Nasarawa Governor Abdullahi Sule, reiterated the government's commitment to prudence despite rising material costs from inflation and supply disruptions.
"The cost has been carefully computed in line with global engineering standards," he said, urging stakeholders to focus on long-term benefits over short-term critiques.
Critics, including opposition figures, continue to question the total projected cost—estimated at ₦15.6 trillion ($11–13 billion)—which far exceeds per-kilometer figures for Africa's longest road, the 10,228-kilometer Cairo-Cape Town Highway at $156,000 per kilometer.
As work advances, the Federal Ministry of Works plans tolling for completed sections starting December 2025 to recoup investments.
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