NASENI Defends N10.648bn Campus Mobilisation Payment, Cites 30% Legal Cap

Secrets Reporters

The National Agency for Science and Engineering Infrastructure (NASENI) has clarified the payment of N10.648 billion mobilisation fee to CGC Nigeria Limited for the construction of the NASENI Campus in Abuja.

The agency made the clarification in a statement signed by its Director of Information, Mr Olusegun Ayeoyenikan, on September 29, 2026, following publications by Sahara Reporters and SecretsReporters concerning the contract.

According to NASENI, the reports contained insinuations of financial impropriety in the handling of the ongoing construction of the NASENI Campus project.

The agency said the publication by Secret Reporters insinuated that the N10.648 billion payment, representing 30 per cent of the contract sum, was made in December 2025 in a hurry to mop up funds.

NASENI said the claim was not true, adding that Sahara Reporters, in its report, referred to a 15 per cent mobilisation limit as the applicable threshold.

The agency explained that the Public Procurement Act had been amended by the Finance Act 2020, which increased the maximum allowable mobilisation fee for public contracts from 15 per cent to 30 per cent.

NASENI said the two online media organisations did not seek clarification from its management before publishing the reports.

The agency stated that it had, in 2025, sought the services of reputable and qualified companies for the construction of the NASENI Campus, a Science, Technology and Innovation Complex located at Abuja Technology Village, Lugbe, Abuja, Federal Capital Territory.

According to the agency, CGC Nigeria Limited emerged as the contractor after receiving a Bureau of Public Procurement (BPP) Certificate of No Objection to the contract and meeting the technical and financial requirements of NASENI’s procurement process.

The agency said the procurement process was conducted in line with the applicable public procurement requirements and the BPP Act as amended by the Finance Act 2020.

NASENI further stated that before the mobilisation payment was made to CGC Nigeria Limited, the company provided a bank guarantee from a commercial bank in Nigeria in line with approved procedures.

It added that the Federal Executive Council (FEC), in November 2025, approved the award of the NASENI Campus contract to CGC Nigeria Limited.

Following the FEC approval, the contractor was mobilised with 30 per cent of the total contract sum to enable it commence work at the project site, according to the statement.

NASENI said the 30 per cent maximum mobilisation fee for government contracts was introduced through the Finance Act 2020, which amended the Public Procurement Act 2007.

The agency cited Part XIV of the Finance Act 2020, which amended Section 35(a), subsection (1), of the Public Procurement Act, stating that a mobilisation fee of not more than 30 per cent may be paid to a supplier or contractor where it is supported by an unconditional bank guarantee or insurance bond issued by an institution acceptable to the procuring entity until the fee is fully amortised or recovered.

According to NASENI, the mobilisation payment to CGC Nigeria Limited therefore met the statutory, legal and procurement requirements applicable to public contracts.

The agency advised media organisations to seek clarification before publishing reports concerning government agencies, stating that NASENI follows due process in the award of public contracts under the Finance Act 2020 and the amended Public Procurement Act 2007.

On the project, NASENI said construction of the Campus was steadily progressing.

The agency stated that the facility was being developed to help Nigerian ideas move from research and prototypes into market-ready products, businesses and industries.

According to NASENI, the completed Campus will provide research laboratories, advanced prototyping and fabrication facilities, co-working spaces and collaborative learning facilities for innovators, researchers, engineers and industry.

It added that the project was built around its 3Cs of Creation, Collaboration and Commercialization, providing a pathway for innovators, including participants in initiatives such as #InnovateNaija and Futuremakers, to develop, test and advance their solutions towards the market.

The agency said construction milestones would bring it closer to providing infrastructure for the development of homegrown innovation into economic and industrial value.