Senate, Julius Berger resolve conflict over unfinished projects in Nigeria
On Tuesday, January 14, the Nigerian Senate and Julius Berger Nigeria Plc came to an agreement after a disagreement over unfinished projects managed by the construction company. The Senate withdrew its arrest warrant against the Managing Director of Julius Berger, Peer Lubasch, after the company addressed the issue.
Earlier, on December 12, 2024, the Senate had issued a warrant for Lubasch’s arrest after the company repeatedly failed to appear before the Senate Committee on Works to explain why some of its projects had been abandoned.
The motion to issue the arrest warrant was brought forward by Senate Minority Whip, Senator Osita Ngwu, with support from Senators Asuquo Ekpenyong and Mpigi Barinada. Ngwu pointed out that Julius Berger had not responded to requests for explanations about abandoned projects and the huge rise in costs of some contracts, from N54 billion to N195 billion.
However, during a Senate session on Tuesday, the warrant was officially canceled after Julius Berger sent a written apology for the misunderstanding. The letter was addressed to the Senate President, Godswill Akpabio, and signed by Dr. Peer Lubasch and Dr. Abdulaziz Isa Kaita.
In the apology, dated January 10, 2025, the company explained that the issue arose due to a leadership change within the company. They expressed regret for missing the meeting, stating, “We acknowledge receipt of your instructions regarding the investigative hearing on the Odukpani-ltu-Ikot Ekpene Road and sincerely apologize for missing the previous meeting due to miscommunication during our leadership transition.”
The company assured the Senate of its respect for the National Assembly and its commitment to working together to deliver projects that benefit Nigerians. “JBN remains committed to partnering with the National Assembly and Federal Government to deliver projects that benefit Nigerians, address infrastructural challenges, and create jobs,” the letter stated.
After reviewing the apology, the Senate voted to accept it, and the Senate investigative panel also agreed to resolve the issue. The panel, led by Senator Mpigi, emphasized that Julius Berger should avoid allowing disagreements with the government to escalate into project delays or legal action.
In his explanation to the committee, Lubasch shared that delays in payments and changes in contract costs had caused tension between Julius Berger and the Federal Ministry of Works. He reminded the committee that Julius Berger has been known for its successful delivery of quality projects in Nigeria since 1965, employing thousands of workers.
The committee assured the public that efforts would be made to settle the disagreements between Julius Berger and the Federal Ministry of Works and ensure the successful completion of important infrastructure projects.