The Federal Government has announced an increase in compensation for property owners impacted by the construction of Section 1, Phase 1 of the Lagos-Calabar Coastal Highway, raising the amount from N8 billion to approximately N18 billion. Minister of Works, Senator Dave Umahi, shared this update during a stakeholders’ engagement session in Lagos on Sunday, as part of the ongoing discussions about the project’s progress in Phase 1, Sections 1 and 2.
Senator Umahi noted that this increase was aimed at ensuring fair compensation for those affected by the development. “The Federal Executive Council initially approved N8 billion for this corridor, but today we are hitting N18 billion, and this is just for section one,” he stated. The compensation figures, he emphasized, were determined by independent experts and would be disclosed alongside property details to uphold transparency.
Umahi also affirmed that the government was committed to a transparent compensation process, with about half of the payments already made to impacted individuals. He assured stakeholders that all compensation would be completed within the next 10 days.
However, some stakeholders, including legal and valuation experts, voiced concerns over the adequacy of the compensation process. Valuation expert and lawyer, Mr. Olusola Enitan, argued that the compensation fell short of standards and was insufficient for those losing their homes. “Somebody who had a home is now renting with no capacity to replace what was taken from him,” Enitan said, citing Supreme Court rulings in support of the right to fair compensation. Despite his reservations, he commended Umahi’s efforts in advancing road infrastructure.
In response to these concerns, Senator Umahi assured attendees that the Ministry of Works was operating within legal guidelines and was open to reviewing additional documents to ensure swift compensation. House of Representatives Committee on Works Chairman, Mr. Akin Alabi, praised the Ministry’s efforts toward transparency and ongoing stakeholder engagement in the process. He stressed the importance of publishing compensation details to counter misinformation and maintain accountability. “There are mischief makers out there, but by the time we start to publish these things, some people will have to keep quiet,” he noted.
The National Assembly Joint Committee on Works has spent the past three days in Lagos to assess various road and bridge projects, including site visits to the Third Mainland and Carter Bridges, led by Senator Umahi.
