By Comfort Olayinka
The Minister of Aviation and Aerospace Development, Festus Keyamo, has revoked a contract for the second runway of the Nnamdi Azikiwe International Airport in Abuja, following a shocking attempt by the contractor to increase the project cost from N90 billion to N532 billion.
Keyamo described the demand for the 491% contract variation as “fraudulent” during a budget defense session with the National Assembly Joint Committee on Aviation.
The contractor had already received N3.4 billion in post-contract consultancy fees in May 2023, and N30 billion from the N90 billion project sum. However, after compensating settlers on the affected land, the contractor abandoned the site.
Despite efforts to bring the contractor back, they insisted on the inflated cost, leaving the Ministry with no choice but to revoke the contract and open it for fresh bidding.
Lawmakers also questioned the omission of the N36 billion owed to pensioners of the defunct Nigeria Airways in the Ministry’s 2025 budget. Keyamo clarified that the responsibility for the payment had been transferred to the Ministry of Finance, as it was not a capital project.
He assured that the pensioners would receive their payments through the Ministry of Finance.
In addition, Keyamo defended plans to establish Aerospace Universities in Nigeria’s six geopolitical zones, despite opposition from some committee members. He argued that decentralizing aviation education was vital for national development, comparing it to the Nigerian Law School system.
The Minister presented a 2025 budget proposal of N71.13 billion, allocating N69.2 billion for capital projects, N1.147 billion for personnel costs, and N745.7 million for overhead. However, the Joint Committee requested full details on the status of 124 ongoing projects in the Ministry before approving the budget proposal.
Keyamo’s decision to revoke the contract has been praised for promoting transparency and accountability in the aviation sector. The move is expected to save the government billions of naira and ensure that projects are completed on time and within budget.
