Leading construction company, Julius Berger Nigeria PLC, has begun withdrawing its services from some project sites in Rivers State, following shortfalls in the periodical project cost payments by the state government.
This was according to an online report, which quoted an insider at Julius Berger Nigeria as saying that the company has “reportedly withdrawn from several major project sites across Rivers State.”
He linked the development to the failure of the state’s Sole Administrator to continue funding ongoing projects despite receiving regular federal allocations and substantial Internally Generated Revenue (IGR).
The report further disclosed that many of the company’s workers have been placed on standby, with operations stalled across multiple locations pending further directives.
Another source disclosed that for some time, the monthly payments for the contracts were due, but efforts to collect payments have continued to fail, as the key aides to the Sole Administrator would not make any useful commitment.
They confirmed the reduction of site workers by the construction company for the same reason.
“Let me tell you my findings; there is a particular project site on the ongoing Port Harcourt Ring Road project where they had 800 workers on site, only a few; less than 300 people were seen working last week, Thursday.
“Some of the company’s project sites visited over the weekend further confirmed the foregoing development.
“At the Ring Road project site, only a handful of workers were seen compared to the hitherto nonstop activities, while at the Emohua axis of the state, where the Buguma-Degema Road project had peaked, no work is going on there.
“A worker, who was a victim of the staff downsizing by the company, disclosed that in Emohua, with all the landmark projects going on, we have already completed about 30 per cent while we have completed over 60 per cent of the work on the long Ring Road project. But now, we are told to return home and stand by until they get payment from the government.