The Delta State Government has confirmed the release of ₦8.4 billion to the Delta State Oil Producing Areas Development Commission (DESOPADEC) to settle long-standing contract liabilities accumulated over 13 years, spanning from 2010 to 2023.
The approval, granted by Governor Sheriff Oborevwori, was officially disclosed by the Commissioner for Works (Rural Roads) and Public Communication, Charles Aniagwu, during a press briefing in Government House, Asaba, following a meeting with the DESOPADEC management.
The financial intervention is a major move under Governor Oborevwori’s M.O.R.E Agenda which focuses on Meaningful Development, Opportunities for All, Realistic Reforms, and Enhanced Peace and Security. The state government stated that the funds are intended to restore contractor confidence, revive grassroots development, and stimulate economic activity across the state’s oil-producing communities, where many infrastructure projects have long been stalled.
Aniagwu detailed the payment structure:
- Contractors owed ₦20 million and below will receive full payment.
- Those owed amounts above ₦20 million will receive 50 percent of their outstanding sum as a first installment.
The Commissioner emphasized that the Governor’s decision to aggressively tackle these inherited financial burdens, rather than abandoning them, is consistent with his broader commitment to fiscal responsibility. He cited a similar recent intervention in which ₦10 billion was released to the State Pension Bureau to clear outstanding pension liabilities.
DESOPADEC Management Commends Proactive Leadership
Managing Director of DESOPADEC, Chief Festus Ochonogor, praised the Governor for the swift and decisive action. He described the intervention as a significant step toward restoring trust and ensuring the continued delivery of crucial projects in the oil-producing areas. Ochonogor confirmed that the cleared debts cover a wide array of grassroots development projects, including road construction, school rehabilitation, water schemes, and jetties.
Before the payment approval, Governor Oborevwori had ordered an extensive audit of all outstanding contracts to verify claims and ensure full accountability.
Contractors Forum Applauds the Move
The Chairman of the DESOPADEC Indigenous Contractors Forum, Engr. Ogie Samson, separately issued a statement commending the Governor for being a “listening person.” The forum, which had cried out for the settlement of these debts over the years, expressed gratitude for the financial lifeline.
Samson also used the opportunity to appeal to Governor Oborevwori to further incorporate the forum’s members into the current administration’s contract-awarding process, assuring that they would continue to contribute to the state’s infrastructural development.
He also acknowledged the efforts of the DESOPADEC leadership, including the Executive Director of Finance and Administration (EDFA), Chief Kome Okpobo, and the Board Chairman, Chief John Nani, for their roles in fostering a harmonious relationship between the management and the indigenous contractors.

