Infrastructure Metro Top Story

FG halts compensation for Lagos-Calabar Coastal Highway project amid plan adjustments

The Federal Government has announced a temporary suspension of compensation payments to property owners affected by the Lagos-Calabar Coastal Highway project, specifically from Kilometre Seven onwards, due to modifications in the project plan.

This decision was disclosed by the Minister of Works, Senator Dave Umahi, during an inspection tour of ongoing projects on the Lagos-Calabar Coastal Highway and other road developments, including those within the Lekki Free Trade Zone, Dangote Tax Credit Route, and Eleko axis, held on Saturday in Lagos.

Addressing the compensation issue, Senator Umahi revealed that critical infrastructure considerations had led the government to reduce the project’s corridor in Phase Two, Section Two, to 55 kilometres of effective pavement, incorporating 10 train tracks. To date, approximately N10 billion has been disbursed in compensation.

“We are withholding compensation from Kilometre Seven due to re-routing in sections like the white sand beach,” stated Senator Umahi. “The corridor has been compressed to 55 effective pavements with 10 train tracks, and we have scaled down the 10 tracks from 55 to 20, also adjusting the project’s starting point.”


The minister assured that compensation payments would resume after a thorough review. He noted the deployment of new enumerators for Section Two to expedite the process, ensuring swift and accurate assessments.

Highlighting efforts to preserve property, Umahi explained, “We have saved many properties, including those in Okunaja, by re-routing through a swamp instead of destroying existing cables. Despite some resistance, we believe stakeholders will recognise the benefits of this approach.”

Additionally, the Federal Government has commenced construction on Section Two of the Lagos-Badagry Coastal Highway. The project, flagged off by Senator Umahi, begins at the Lekki Deep Seaport and extends to Lagos State’s border with Ogun State. During the event, Umahi reiterated the commitment to prioritising each project section and mentioned that flyover construction would start in early July. He also highlighted the Federal Executive Council’s approval for the Sokoto-Badagry Road construction.

Inspecting the Third Mainland Bridge, Umahi reported that 80 per cent of road projects initiated under President Bola Tinubu’s administration have been completed. Commending these efforts, Senate Deputy Chief Whip and Senate Committee on Works member, Mr. Peter Nwebonyi, praised the administration’s dedication to infrastructure development.


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