Delta State Governor, Rt. Hon. Sheriff Oborevwori, has approved the release of ₦8.4 billion to the Delta State Oil Producing Areas Development Commission (DESOPADEC) for the payment of long-outstanding contract liabilities incurred between 2010 and 2023.
The financial intervention is designed to restore contractor confidence, boost grassroots development, and stimulate economic activities across the state’s oil-producing communities.
Commissioner for Works (Rural Roads) and Public Communication, Mr. Charles Aniagwu, disclosed this while briefing journalists at Government House, Asaba, following a meeting between the Governor and the DESOPADEC management team.
Aniagwu explained that the funds would be used to pay contractors who executed verified projects for the Commission but had remained unpaid for years.
He noted that contractors owed ₦20 million and below would receive full payment, while those owed above ₦20 million would receive 50 percent as the first installment.
He emphasized that the approval underscores the Governor’s commitment to addressing inherited financial obligations rather than ignoring them, in line with the administration’s MORE Agenda, Meaningful Development, Opportunities for All, Realistic Reforms, and Enhanced Peace and Security.
“You will recall that not long ago, His Excellency directed the release of ₦10 billion to the State Pension Bureau to clear a substantial portion of outstanding pension liabilities.
“This is consistent with his earlier intervention on the settlement of promotion arrears. Despite the fact that many of these challenges predated his administration, he has continued to address them with courage and compassion,” Aniagwu stated.
Managing Director of DESOPADEC, Chief Festus Ochonogor, lauded the Governor for the intervention, describing it as a significant step toward rebuilding trust and ensuring continuity in project delivery across oil-bearing communities.
Ochonogor noted that since Governor Oborevwori assumed office, the current DESOPADEC management has sustained regular payments to contractors handling new projects, while the newly approved funds will specifically clear inherited contractual debts.
He revealed that the debts covered various projects, including road construction, school rehabilitation, water supply schemes, jetties, and other community development initiatives.
He further explained that the Governor had earlier directed a comprehensive audit of all outstanding obligations to ensure transparency before approving the payments.
The development has been widely applauded across the state’s oil-producing areas, where communities have long awaited the completion of vital infrastructure and development projects.
