Tension is mounting at the Delta State Oil Producing Areas Development Commission (DESOPADEC) as contractors threaten to protest over unpaid project funds amounting to several billions of naira.
The contractors claim that although ₦8.4 billion was released to the commission about three months ago, most of the outstanding obligations have yet to be cleared.
Sources familiar with the matter said DESOPADEC’s total liabilities stood at roughly ₦15 billion before the recent release. While ₦8.4 billion was reportedly disbursed, contractors insist that only a portion of the money reached them, leaving unpaid balances now estimated between ₦6.6 billion and ₦7 billion as more projects are completed.
Findings suggest that about ₦3.5 billion of the released funds allegedly went to a small circle of contractors connected to board members and political allies, while the remaining ₦4.9 billion was distributed among other contractors, settling only a small part of what is owed.
Some contractors, who say they have been waiting for over two years to be paid, accused the state government of abandoning them. They also questioned why large construction firms are reportedly paid promptly, while smaller contractors struggle to repay loans taken to execute their projects.
Angered by the delays, the contractors are now threatening to block access to DESOPADEC’s offices if payments are not made, warning that the situation could disrupt the commission’s operations and further heighten tensions in oil-producing communities.
