Contract Administration Challenges in Federal Highway Contracts in North East Nigeria

Federal highway construction contracts in North East Nigeria face distinctive administrative challenges arising from security constraints, remote site locations, funding irregularities, and thin contractor capacity markets. This study investigates contract administration challenges in federal highway construction contracts in Borno, Yobe, and Gombe States. A professional inquiry methodology was adopted, drawing on review of contract administration records from the Federal Ministry of Works project offices in Maiduguri, Damaturu, and Gombe for ten contracts, supplemented by structured interviews with 25 resident engineers, contractor representatives, and FERMA officials. Contract performance data including variation order frequency, dispute resolution records, and payment certification timelines were compiled. Results indicate that payment certification delays averaging 18 months significantly undermine contractor cash flow, contributing to project abandonment in two of ten reviewed contracts. Security-related site access restrictions caused an average of 62 construction days of downtime per year across active sites in Borno State. Variation order values average 38 percent of original contract sums, reflecting inadequate site investigation and design during project preparation. Contract dispute resolution through formal adjudication is used in 40 percent of cases. The study recommends the Federal Ministry of Works establish a dedicated North East infrastructure contract administration protocol addressing security contingency planning, mobilisation advance financing, and streamlined variation approval processes.

Keywords: contract administration, federal highways, North East Nigeria, contract performance, security constraints