ABUJA, Nigeria (VOICE OF NAIJA)-The Minister of Housing and Urban Development, Muttaqha Darma, has expressed dissatisfaction with the slow progress of work on some federal housing projects under the Renewed Hope Housing initiative, warning that contractors who fail to meet their contractual obligations may face sanctions.
Speaking with journalists on Sunday after inspecting the Renewed Hope Housing Project in Katsina, the minister said contractors who abandon projects without seeking formal approval for extension of time or contract variation have breached the terms of their agreements.
He stressed that contractual agreements are legally binding and must be strictly adhered to by all parties involved.
“To me, I think it is not good for someone who has signed a contract agreement and said that he will finish the work within a specified time, only to delay the project for whatever reason without extending the duration.
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“If you violate a contract agreement, then definitely you could always be asked to pay some responsibility, a fine, or whatever obligation that you must pay. This is contract management and it is practised everywhere in the world,” he stated.
The minister said he had directed officials of the ministry to compile a comprehensive report on all ongoing contracts, including award dates, project timelines and current status, before any disciplinary action is taken.
“I asked him to give me a report on every contract taking place here. We should know when the contract was awarded, the duration of the contract and the status of the contract as it is today. That is the only basis we have to take action on each contractor,” he said.
According to him, the report is expected between Tuesday and Wednesday, after which the ministry will determine appropriate measures to take.
Darma insisted that contractors are obligated to formally notify the ministry if circumstances prevent them from completing projects within the agreed timeframe.
“If you cannot finish the contract in six months for whatever reason, whether it is flooding, lack of funds, ill health or any other challenge, you come back to the ministry and adjust the contract accordingly. What we are saying is that none of them did that. So, as far as we are concerned, they have violated the law of contract,” he explained.
The minister also dismissed claims that delays in government payments justify abandonment of projects.
“I have read all the contract agreements in the ministry. None of them states that if the government does not pay you money, you stop the contract. What is clearly stated is the duration of the contract,” he said.
During the inspection, Darma assessed some completed housing units and expressed satisfaction with the quality of work.
However, he noted that a technical evaluation team would carry out a more detailed assessment of the structures.
He expressed optimism that between 80 and 90 per cent of the housing units under construction nationwide would be completed and allocated before the end of President Bola Tinubu’s administration.
“It is not about just completing the houses and leaving them. It is about completing them and delivering them to people. We built these houses for human beings, not animals,” he said.
The Federal Government launched a 250-unit Renewed Hope Housing Estate in Katsina State on Wednesday, May 22, 2024, through the Ministry of Housing and Urban Development.
At the commissioning, then Minister, Arch Ahmed Dangiwa, had called for the project’s completion within three months to enable allocation to Katsina residents.
The estate comprises 50 units of 1-bedroom semi-detached bungalows, 100 units of 2-bedroom semi-detached bungalows, and 50 units of 3-bedroom semi-detached bungalows, with payment options structured through single-digit mortgage loans of up to 30 years via the Federal Mortgage Bank of Nigeria, Rent-to-Own schemes, and outright purchase arrangements.