FG acquires land for mega investment along Lagos-Calabar highway, targets factories

The Federal Government is set to acquire land along the Lagos-Calabar Coastal Highway corridor for key investments, including housing, factories, and tourism centres, as part of efforts to generate additional revenue, according to David Umahi, the Minister of Works.

Speaking at an inter-ministerial press briefing marking Nigeria’s 64th Independence anniversary, Umahi revealed that tolling alone would not provide immediate returns on the multi-billion-dollar highway project.

“We’ve acquired several parcels of land along the corridor for developments that will enhance returns on investment, including tourism, factories, and housing,” Umahi said.

The minister further emphasized that the highway project was also designed to address critical logistical challenges, including reducing the strain on Apapa Wharf, which has been plagued by shallow berths limiting cargo handling capacity. “Trans-loading between vessels at the Wharf has resulted in significant financial losses for the country,” he said.

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The Lagos-Calabar highway, under construction since March, is expected to ease the movement of goods from major industrial hubs such as the Dangote Refinery and Fertiliser Plant within the Lekki Free Trade Zone.

Umahi explained that the project, spanning eight states, including Lagos, Ogun, Ondo, Edo, Bayelsa, Rivers, Akwa Ibom, and Cross River, would link with the Sagamu-Benin Expressway to improve supply chains across the South-West, South-South, South-East, and northern regions.

Highlighting the significance of the seven-axle coastal road, Umahi noted that the first phase, a 47.47-kilometre dual carriageway, was awarded to Hitech Construction Company Limited and is set to be completed by May 2025. The road will be tolled, with projections to recoup the investment within five to 10 years.

In addition to its economic potential, the project aims to tap into renewable energy sources along the coastal corridor, with plans to harness wind energy for future development.