Federal Government Begins ₦1bn Compensation Payout to Cross River Communities Affected by Lagos–Calabar Coastal Highway
The Federal Government has begun paying ₦1 billion in compensation to residents affected by the Lagos–Calabar Coastal Highway in Cross River
The Federal Government has commenced the disbursement of ₦1 billion in compensation to residents of Cross River State whose homes, farmlands, and commercial structures fall within the right-of-way of the Lagos–Calabar Coastal Highway. The payment marks a critical phase of the long-awaited 750-kilometre corridor, designed to strengthen national connectivity and stimulate economic development across coastal states.
During an assessment tour of the Calabar–Itu Road and Sections 3A and 3B of the highway, Federal Controller of Works in Cross River, Yinka Onafuye, confirmed that the valuation process had been completed for affected communities and that verified beneficiaries are receiving payments through designated financial institutions.
According to Onafuye, between seven hundred and one thousand residents across twelve communities in Akamkpa and Odukpani Local Government Areas have already received compensation. He added that the Ministry of Works will continue processing remaining claims to mitigate social disruption and ensure a transparent resettlement process.
Highway Designed with Safety and Resilience Enhancements
Minister of Works, David Umahi, outlined key features integrated into the highway’s engineering design. These include solar-powered lighting, CCTV surveillance, relief stations, and dedicated response units—components he said will improve transportation safety and enhance security along the corridor.
Umahi reiterated President Bola Tinubu’s commitment to delivering the project, noting that the coastal highway forms part of a national economic vision first conceived more than twenty-seven years ago. He emphasised that the government’s approach prioritises durability, technology integration, and long-term economic value.
Contractor Commits to 36-Month Delivery Timeline
HITECH Africa Construction Company Managing Director, Dany Aboud, stated that the firm has intensified work across all active sections. Additional equipment and workforce capacity will be deployed to maintain momentum and meet the thirty-six-month contract timeline.
The project involves extensive earthworks due to challenging coastal and swampy terrain factors that have influenced design choices and cost considerations. Senator Mpigi Barinada, Chairman of the Senate Committee on Works, defended the project’s scale and expenditure, noting that engineering standards remain consistent with global benchmarks for coastal highways.
Member of the House of Representatives for Abi/Yakurr Federal Constituency, Dr Alex Egbona, said communities have expressed strong support for the federal government’s intervention, citing visible progress and anticipated socio-economic benefits. He noted that the highway is expected to expand market access, drive tourism, and accelerate development across Cross River State.
Outlook
The compensation phase represents a significant milestone in the implementation of the Lagos–Calabar Coastal Highway. As construction accelerates, policymakers and industry observers will closely monitor the project’s economic impact, resettlement outcomes, and contribution to regional integration. With enhanced infrastructure and deliberate community engagement, the project has the potential to transform mobility and investment opportunities along Nigeria’s coastal axis.