Delta State Governor, Rt. Hon. Sheriff Oborevwori, has approved the disbursement of ₦8.4 billion to the Delta State Oil Producing Areas Development Commission (DESOPADEC) for the payment of long-standing contract debts owed to project contractors between 2010 and 2023.
The measure is expected to rekindle contractor confidence, reopen stalled development projects, and boost economic activities across oil-producing communities in the state.
The Commissioner for Works (Rural Roads) and Public Communication, Mr. Charles Aniagwu, announced the approval while briefing journalists at Government House, Asaba, following a meeting between the Governor and the DESOPADEC management.
Aniagwu explained that the funds would be directed towards contractors whose job executions had been verified. According to him, contractors owed ₦20 million and below will receive full payment, while those owed above ₦20 million will get 50 percent upfront pending further clearance.
He noted that the gesture reflects Governor Oborevwori’s commitment to addressing inherited obligations rather than leaving them unattended, consistent with the administration’s MORE Agenda, which prioritizes meaningful development and accountability.
“Just recently, His Excellency also approved ₦10 billion for the Pension Bureau to offset a significant portion of pension arrears, and before that, he tackled outstanding promotion arrears. These are issues that preceded this government, yet he has chosen to address them with sincerity and empathy,” Aniagwu stated.
Managing Director of DESOPADEC, Chief Festus Ochonogor, described the intervention as a critical step toward restoring trust between the Commission and contractors. He noted that while the present management has maintained regular payment for new contracts under its tenure, the newly approved funds specifically target old liabilities inherited from previous administrations.
According to Ochonogor, the debts cover various infrastructure projects, including rural and urban roads, educational facility upgrades, water schemes, jetties, and other community development works. He also confirmed that the Commission undertook a thorough audit exercise to verify claims before seeking the Governor’s approval.
The decision has drawn commendations from oil-producing communities, many of which have waited for years to see abandoned or delayed projects revived.
