The Minister of Works, Senator Dave Umahi, has confirmed that the Lagos-Calabar Coastal Highway will be tolled by the contractor as soon as it is completed and officially inaugurated.
Umahi made the announcement during an inspection tour of the project in Lagos on Saturday, January 10, 2026.
He stressed that tolling is an integral part of the contractual package with the contractor, Hitech Construction Company Limited.
“I must emphasise that this road is going to be tolled and by the contractor, it is part of the package,” Umahi stated.
“I will be inviting the contractor to give us the programme. I don’t want to open this permanently for traffic and then we begin to talk about tolling. The contractor has to give us the programme and begin to build infrastructure before the end of April; so, we have to toll this route as soon as we complete it and as soon as it is commissioned.”
The minister highlighted the project's progress, noting that the highway is already serving its purpose following a temporary opening to traffic.
He expressed satisfaction with the work done on the 47.47-kilometre stretch of Section One (excluding bridges, which fall under Section Two), and commended Hitech for addressing significant challenges.
These include realignments to preserve high-rise buildings at the start of the route, extensive shore protection measures, and the evacuation of massive refuse dumps some up to 15 metres deep and spanning many kilometres.
Umahi described these efforts as part of the contractor's contribution to national development.On funding, Umahi revealed that the project budget has seen a total increment of N170 billion due to re-measurements following the realignments, shore protection, and refuse removal.
He affirmed that all re-measurements have been concluded and approved by the Bureau of Public Procurement (BPP), leaving no room for further increases amid the country's other pressing needs.
Umahi also indicated that President Bola Tinubu is expected to fully inaugurate Section One by the end of April 2026, with the possibility of commissioning about 50% of Section Two during the same period.
He pledged monthly inspections to ensure timely delivery.The ambitious Lagos-Calabar Coastal Highway, a flagship initiative under the Renewed Hope Agenda, spans approximately 750 kilometres and aims to boost trade, logistics, tourism, and regional connectivity across multiple states.
Earlier phases have been financed through international loans, including a $747 million syndicated facility from Deutsche Bank for Section One, with tolling designed to ensure long-term operational and financial sustainability.
The announcement of immediate tolling has reignited discussions on user charges for major infrastructure in Nigeria, as the government balances ambitious development goals with revenue generation for maintenance and expansion.
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