Governor Sheriff Oborevwori of Delta, has approved the release of N8.4 billion to the Delta State Oil Producing Areas Development Commission (DESOPADEC) for the payment of long-standing contract debts accumulated between 2010 and 2023.
The intervention, according to government officials, is intended to restore contractor confidence, revive stalled projects, and stimulate economic activity across the state’s oil-producing communities.
Commissioner for Works (Rural Roads) and Public Communication, Mr. Charles Aniagwu, announced the approval on Wednesday while briefing journalists at Government House, Asaba, following a meeting between the Governor and DESOPADEC management.
Mr. Aniagwu explained that the funds would go to contractors who had completed verified projects for the Commission but had been unpaid for years.
Contractors owed N20 million and below will receive full payment, while those owed above that amount will get 50 per cent as a first instalment.
“This move reflects the Governor’s commitment to confronting inherited financial burdens rather than ignoring them.
“It aligns with the administration’s MORE Agenda – Meaningful Development, Opportunities for All, Realistic Reforms, and Enhanced Peace and Security, ” he said.
He recalled that Governor Oborevwori had recently approved N10 billion for the State Pension Bureau to settle a large portion of outstanding pension liabilities, and had earlier cleared promotion arrears for civil servants.
“Despite these obligations predating his administration, the Governor continues to address them with courage and compassion,” the Commissioner added.
The Managing Director of DESOPADEC, Chief Festus Ochonogor, praised the Governor for the financial intervention, describing it as a bold and restorative action that will rebuild trust and ensure continuity in project delivery.
Ochonogor stated that the Commission has maintained prompt payments for current projects executed under the present management, while the new funds are meant to settle inherited obligations from previous administrations.
He disclosed that the debts covered a wide range of projects, including road construction, school rehabilitation, water supply schemes, jetties, and other critical community infrastructure.
“Before this approval, the Governor directed DESOPADEC to conduct a comprehensive audit of all claims to ensure transparency and accountability,” he said.
The announcement has been widely welcomed across oil-producing communities in Delta State, where residents said the intervention could accelerate long-delayed infrastructure projects and renew confidence in government’s commitment to grassroots development.
