Keypoints:
- Lagos–Calabar Coastal Highway spans 700 km across nine states
- First 30 km commissioned amid environmental and procedural criticism
- Funding secured, controversies persist over transparency and impact
NIGERIA has embarked on its largest-ever infrastructure venture: a 700‑kilometre coastal highway, connecting Lagos with Calabar. Conceived in March 2024 under President Tinubu’s administration, the Lagos–Calabar Coastal Highway is designed to link nine southern states, enhance trade, and drive regional integration. The first 30 km section—from Ahmadu Bello Way to Eleko in Lekki—was formally commissioned on May 31, 2025.
This corridor, estimated to cost $11bn and take eight years to complete, is being built in phases by Hitech Construction Company and financed by a recent $747 million syndicated loan led by Deutsche Bank covering the initial 47.47 km.
Rising land values and investor interest
The kick‑off spurred a surge in land prices and developer interest along the corridor, pointing to the highway’s potential to open up vast stretches of under‑utilised coastal territory. At the inauguration ceremony, officials described it as part of the ‘Renewed Hope Legacy Projects’ aimed at modernising connectivity across southern Nigeria.
Public critique over timing and transparency
Despite official optimism, public reaction has been mixed. Critics argue the commissioning of an incomplete stretch was premature — the road remains largely unusable and uneven, with inconsistent carriageways and temporary gates installed for ceremonial effect.
Further scepticism surrounds procurement and governance. The contract was awarded without open competition and linked to a firm associated with property interests near viability zones, raising red flags under Nigeria’s Public Procurement Act.
Former president Olusegun Obasanjo and civil society voices have called the project wasteful, citing mismanagement risks and poor cost control. Others warn of political motives behind the fanfare.
Environmental and displacement concerns
Environmental groups warn the route cuts through mangroves, wetlands and biodiversity-rich zones, often without completed social and environmental impact assessments. Critics accuse the federal government of delaying full ESIA approvals and proceeding without community consultation or mitigation commitments.
At least one beachfront resort, Landmark Leisure Beach, has been partially demolished along the route—displacing over 50 small businesses and 1,000 employees. Compensation procedures are underway, but activists say they may be rushed and lack transparency.
Official response and forward path
Government spokespeople insist the highway is a flagship investment in Nigeria’s future. They highlight that over ₦18bn ($12 million)has already been paid in compensation to affected owners and stress that environmental safeguards and stakeholder engagement are ongoing.
Works Minister David Umahi has said the six‑lane dual carriageway will include solar lighting, tolling systems, and service roads, and that construction will prioritise technology transfer and local capacity-building.
What’s next
With the first phase partially operational but still under construction, Nigerians await the next segments funding and rollout—particularly in Akwa Ibom and Cross River states. Transparency advocates are calling for full ESIA disclosure and competitive bidding procedures to safeguard social and financial accountability.
The Lagos–Calabar Coastal Highway remains a gamble: its success hinges on reconciling grand ambition with environmental responsibility, fairness and long‑term viability.
