The granting of contracts, the methodology and its financial repercussions have generated considerable concerns among observers.
Dr. Ehizojie Emmanuel Anderson, the spokesman for the group said, not only has the government failed to disclose the estimated cost of the projects, but the selection of CCECC also bypassed key regulatory safeguards, including approval from the Edo State House of Assembly, Edo State Tenders Board and the State Executive Council.
“Speculation suggests that the projects may be financed by a loan from the China Exim Bank, potentially plunging Edo State further into debt and raising the specter of unfavorable repayment terms often associated with similar projects under China’s controversial Belt and Road Initiative,” the group said in a statement made available to The Guardian”.
“To understand the financial implications, a comparison was made using available data on flyover projects in other states. For instance, in 2023 Rivers State awarded construction giant Julius Berger a contract for a 50.15km road, bridge, and flyover project at ₦195.3 billion, or approximately $4.9 million per kilometer. Applying this benchmark, the proposed Ramat Park flyover in Edo, at 480 meters, should cost around $2.4 million, or ₦4.25 billion. By extension, the total cost of all three flyovers—Ramat Park, Aduwawa, and Dawson—should be under ₦15 billion if handled by Julius Berger, a company renowned for quality but also high costs.”
The Transparency group noted that a different picture is painted by the latest contracts given to CCECC in Bauchi State. Despite Bauchi’s less difficult terrain than Edo’s Niger Delta, the corporation there charged ₦10 billion per flyover for minor projects in Wunti and Central Markets. The organization asked that Edo’s three flyovers might easily cost ₦30 billion at CCECC’s rate, which is double the estimate based on Julius Berger’s price for comparable projects. The group underlined that there are important questions raised by the price difference.
“The lack of transparency surrounding these contracts is troubling. By law, projects of this magnitude must undergo a competitive bidding process through the Edo State Tenders Board to ensure cost-efficiency. They must also be included in the state budget and approved by the House of Assembly and State Executive Council”.
“Yet, the contracts were reportedly awarded within a week of Governor Okpebholo’s inauguration, without public disclosure of the selection criteria or financing details. The rumored reliance on a China Exim Bank loan adds another layer of complexity. Under Nigeria’s Constitution, any public loan must receive legislative approval. Skirting this requirement would not only violate the law but also expose Edo to potential debt traps”.
But the Peoples Democratic Party (PDP) has also expressed concern about the projects, calling them a “white elephant” that is being used to enrich political godfathers. In a statement, the PDP accused Governor Okpebholo of circumventing procurement laws, claiming that the projects were started to reward supporters who participated in what the party called the “subversion of the people’s will” during the September 21 governorship elections.
The PDP called for the governor to reveal all the details of the contracts, including the costs, timelines, and contractor selection criteria. Edo’s Public Procurement Act and the ICPC Act are meant to protect public spending from corruption, inefficiency, and subpar work. By ignoring these frameworks, the state risks inflated costs and substandard construction— costs that will ultimately fall on the shoulders of its citizens.
Goodluck Osaretin, PDP member, expressed his disappointment at the news.
“Their argument that the government must hit the ground running does not justify circumventing established procurement laws. Expediency cannot override prudence when billions of naira are at stake. Governance is not a race; it requires careful planning and adherence to due process. We keep on telling them that this is not the Olympic Games; this is governance and governance is serious business!”
“This situation demands answers, and not just from Governor Okpebholo. We are calling on all institutions charged with upholding transparency and accountability in public spending. Civil society groups must step in to demand clarity on the costs, timelines, and financing arrangements of these projects,” Mr. Osaretin stated. “Edo State’s reputation for fiscal transparency, which saw it ranked first in Nigeria alongside Anambra by BudgIT, should not be sacrificed for political expediency. The new administration must uphold the standards that have been painstakingly built by the pr
evious administration”.
