The Minister of Aviation and Aerospace Development, Festus Keyamo (SAN), has rejected as “outrageous” contract variation of N532 billion from N90 billion awarded to the contractor handling the second runway of Nnamdi Azikiwe International Airport, Abuja.
Keyamo, who appeared before the National Assembly joint Committee on Aviation on Wednesday for the 2025 budget defence for the ministry, said the contract has been revoked for fresh bidding by interested contractors.
He said, “After N3.4 billion post contract consultancy fee was paid to the contractor handling the project in May 2023, N90 billion was later paid in the same year for the whole contract out of which N30 billion was released.
The contractor after receiving the N30 billion and joining the FCT Administration to compensate some settlers on the affected land left the site. All efforts made thereafter to get the contractor back to site proved abortive.
The contractor in question is demanding for contract variation of N532 billion from the original sum of N90 billion the contract was awarded for. To us in the ministry, the said variation is nothing but fraud leaving us with no option than to cancel the contract and call for fresh bids.”
Members of the joint committee also asked Keyamo to explain why the N36 billion owed workers of the defunct Nigeria Airways, was not reflected in the ministry’s 2025 budget for required payment.
Responding, the minister said the payment has been shifted to the Ministry of Finance since the money is not meant for capital projects.
Keyamo also disagreed with the suggestion by some members of the committee that establishment of Aerospace University across the six geo – political zones should be discontinued since there is an existing one in Zaria, Kaduna State.
