Benin-Asaba Road: Mauritanian, Nigerian own concession firm — Activist Ugolor

David Ugolor, has alleged that documents obtained from the Corporate Affairs Commission (CAC) show that the company handling the concession of the Benin-Asaba Expressway is owned by two individuals, a Nigerian and a Mauritanian national. Ugolor said the Nigerian shareholder holds a 95 per cent stake in Benin-Asaba Expressway Concession Company (BAECC), while the Mauritanian national holds the remaining five per cent. He disclosed this on Saturday night during a virtual meeting on the concession of the road organised by The Common Good Letter in collaboration with the Market Place of Ideas (MPOI).

The Common Good Letter is published by Ugolor, while Jefferson Uwoghiren is the administrator of MPOI. Ugolor said the poor condition of the 125-kilometre road, which links the South-South and South-East regions, required urgent attention and greater scrutiny of the concession arrangement. “Enough of lamentation on the terrible condition of the road which is a major link to the South-South and South-East regions of the country.

It is time to speak truth to power,” he said. He also alleged that an environmental impact assessment was not conducted before the project commenced, urging Nigerians to look beyond official statements and examine the details of the concession. “The Minister of Works said the concessionaire has failed.

But the agreement was made between the government and the concessionaire. Our findings at CAC showed that the company was registered like a special purpose vehicle for the project and it has two promoters — a Nigerian, who owns 95 per cent and a national of Mauritania who owns five per cent,” Ugolor said. He said the Federal Executive Council approved the concession agreement on January 20, 2023, under a design, build and operate arrangement for 25 years.

According to him, about N228 billion was expected to be raised to finance the project, but the handling of the road had raised questions over the selection and capacity of the concessionaire. He queried whether due diligence was conducted in selecting the concessionaires, whether the process was competitive and whether the investors had the requisite experience and capacity to execute the project. “Was due diligence followed in selecting the concessionaires?

Was the selection process competitive?