Ibadan Circular Road project
Oyo State has paid more than ₦5.35 billion in compensation to 578 property owners whose properties were affected by the first segment of the Ibadan Circular Road project, as the government continues to process outstanding claims.
The Executive Adviser on New Towns and Cities, Mofoluke Adebiyi, disclosed the figures in an update on the compensation exercise. The payments cover properties affected by the 32.2-kilometre section of the road, which runs from the Abiola Ajimobi Technical University axis along the Lagos-Ibadan Expressway, passes through Ona Ara and terminates at Badeku Junction in Egbeda Local Government Area.
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The project links the Lagos-Ibadan Expressway with the Ibadan-Ile-Ife Expressway, forming part of the state’s wider road infrastructure programme.
578 Property Owners Receive Compensation
The beneficiaries fall into two categories: Right of Way claimants and property owners whose buildings were omitted from the initial enumeration exercise.
A total of 378 claimants under the Right of Way category have received compensation, while another 200 property owners under the Omission category have completed the required screening and received payment.
The Right of Way category covers properties within 75 metres on either side of the road median. The government initially enumerated 674 structures in this category.
For the Omission category, the Oyo State New Towns and Cities Development Authority, working with the Ministry of Lands, Housing and Urban Development and the Office of the Surveyor-General, conducted a fresh enumeration exercise. The assessment identified 251 affected structures that the initial exercise had not captured.
The compensation process requires claimants to undergo screening, secure clearance and execute Deeds of Indemnity before receiving payment.
Government Reduces Road Setback to 75 Metres
The state government also reduced the road setback in built-up areas from the initial 150 metres to 75 metres following appeals and concerns from residents along the project corridor.
The adjustment affects the Right of Way requirements and reflects changes to the project’s land acquisition arrangements in densely populated sections.
However, the compensation exercise remains incomplete. According to Adebiyi, 263 Right of Way claimants and 35 Omission claimants have yet to appear before the relevant screening committee.
The government also recorded 16 unsuccessful payment transactions because of discrepancies between beneficiaries’ names and their bank account details. Officials are working to resolve these issues and complete the transfers.
Compensation and Land Acquisition Remain Key to Infrastructure Delivery
The Ibadan Circular Road compensation exercise highlights the financial and land administration demands associated with major infrastructure projects, particularly where construction affects existing homes, businesses and other property interests.
For property owners, timely and transparent compensation helps address the financial disruption caused by compulsory land acquisition. For government, delays or disputes over claims can complicate project implementation and create uncertainty for residents and investors along the affected corridor.
The reduction of the setback from 150 metres to 75 metres in built-up areas also has implications for land use and development around the road. As the project progresses, clarity over the final right-of-way boundaries will remain important for property owners, developers and prospective investors assessing land along the corridor.
Oyo State’s latest update shows that hundreds of claims have been settled, but the outstanding claimants and unresolved payment transactions mean the compensation process has yet to reach completion.
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