Olatunji Warns Against Revoking Benin-Asaba Concession

Abiodun Olatunji, a Senior Advocate of Nigeria, advised the federal government against the unilateral revocation of the 25-year concession agreement for the Benin-Asaba Expressway. Speaking in Lagos, he reviewed the ongoing dispute between the Federal Ministry of Works and the Benin-Asaba Expressway Concession Company Limited (BAECC).

Olatunji stated that the condition of the highway and current repair activities do not provide sufficient grounds for terminating the concession. He clarified that the Minister of Works lacks the authority to revoke the concession unilaterally, as the contracting party is the Federal Government acting through the ministry.

He noted that while emergency interventions may be justified for public safety, these should not lead to the permanent termination of the concession. Olatunji emphasized that public-interest concerns alone do not constitute a contractual basis for termination, especially when the agreement outlines procedures for default and compensation.

The legal opinion arises amid concerns over alleged breaches related to the highway's condition.