Delta Reviews Contracts’ Costs to Meet Inflationary Trends

Omon-Julius Onabu in Asaba

 As inflationary trends in the country continue to prompt fluctuations in the prices of commodities, including building materials, the Delta State government has approved the upward review of contract costs in respect of some of its critical projects at various stages of completion across the state.

The Commissioner for Information, Dr. Ifeanyi Osuoza, disclosed this while briefing newsmen on some of the resolutions at Friday’s State Executive Council (EXCO) meeting in Asaba, presided over by Governor Sheriff Oborevwori.

Some of the contracts affected by the upward review include the construction of drainage channels from Owa-Alero and environs through Owa-Alizomo and Owa-Ofie to link the Iyi-ama stream, all in Ika North-East Local Government Area of the state, attributing it to “change of scope, additional works and changes in unit rates.” 

Also, the state executive council approved the upward review of the contract sum for the construction of roads in Effurun and Ekpan in Uwvie Local Government Area “due to fluctuations in unit rate, change in scope resulting in additional works for maintenance, rehabilitation, reconstruction and construction” of roads in the area.

Osuoza further said: “We also approved the upward review for the construction of Stadium Road, Ugborodo in Warri South Local Government Area due to an increase in the cost of construction materials and equipment.

“EXCO approved the upward review of the contract sum for the construction of phases l and ll of Jeremiah Street, Nwawolo Road/Franca Nkem Okolo Drive/Sir Obiora Obidigwe Street and a discharge drain to Ngozi Ebora Street, Okpanam in Oshimili South Local Government Area due to fluctuations in unit rate for the balance and additional works.

“We also approved the upward review of the contract sum for the balance and additional works for the completion of the dualisation of Ughelli/Asaba Road, sector A, kilometre 0+000 to 39+000 with spur to Oleh.”

Meanwhile, approval was equally given for the upward review of the contract sum for the completion of the Ogwashi-Uku to Asaba portion of the Ughelli/Asaba Road dual carriageway, he said, adding that approval was also given for the completion of the Ughelli-Asaba Express Road, particularly Sector C 1, Kilometre 92+000 to 117+000, Ossisa to Kwale Junction in Ogwashi-Uku. 

He added that the State Exco approved the contract for the rehabilitation and asphalt overlay of Oviri Court, Eruiyen, Akugele, Ojedi/Adagbasa Road in Okpe Local Government Area.

“We approved the appointments of His Royal Majesty, Obi Charles Ikechukwu Abiagum as the Obi of Ubulubu Kingdom in Aniocha North Local Government Area; His Royal Majesty, Elder John Arimoro Alika lbiri as the Okpara-Uku of Idumuesah in Ika North-East Local Government Area and His Royal Majesty, Edward Isama Ofuezuem as the Okpara-Uku of Obikwele in Ndokwa East Local Government Area of the state,” he further disclosed.

Also speaking during the post-EXCO press briefing, the Commissioner for Works (Highways and Urban Roads) Hon Reuben Izeze, said that “the state government was able to save over N6 billion in the Ughelli/Asaba dualisation project due to the bargaining power of Governor Sheriff Oborevwori,” assuring that the government would not compromise standards in its projects.

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