FEC Approves N757bn for Obajana-Benin Road Dualisation, Cement Manufacturers Summoned by Reps

The Federal Executive Council (FEC) recently approved an augmentation of N757 billion for the dualisation of the 489km Obajana-Benin Road.

This decision comes in the wake of rising cement prices, which cement manufacturers attribute to the government’s concrete road policy.

However, the Minister of Works, Senator Dave Umahi, has clarified that the policy is only an alternative for sites with high water tables and poor conditions, not a replacement for traditional asphalt roads.

In other news, the House of Representatives has summoned top cement manufacturers, including Aliko Dangote and Rabiu Abdulsamad, to discuss the high cost of cement.

Recent documents show that cement companies spent N598.14bn on power in 2023, contributing to the price increase.

Additionally, the Council approved N2.23 billion for the rehabilitation of the road from Isheri North to Ogun state, as well as N114 billion for the Outer Marina shoreline protection.

The latter project is crucial due to its proximity to the recently inaugurated Red Line and other existing structures in the area.

President Bola Tinubu has discussed the issue of cement prices with manufacturers and offered incentives to help reduce costs.

As a result, the ex-factory price of cement in Sokoto has decreased from N8000 to N6000.

With these developments in the works, the government aims to improve infrastructure and address the rising cost of cement production in Nigeria.