The Infrastructure Concessions Regulatory Commission plans to announce 53 eligible and bankable public-private partnership projects worth US$22 billion in 2022.
ICRC Acting Director General/CEO Micheal Ohiani made the announcement during the Africa Public Private Partnership Network Investment Summit 2022 held in Abuja on Monday.
“As of May 2022, 77 post-contractual PPP projects are being implemented on the ICRC Projects Disclosure Portal (www.ppp.icrc.gov.ng or www.icrc.gov.ng). The portal is the first disclosure portal in the world established in cooperation with the World Bank,” said Ohiani.
He further announced that to date the ICRC has issued 128 certificates of compliance for business cases, noting that these are certified bankable projects and the certificates would allow them to proceed to the procurement phase.
“The ICRC has also issued 50 full Business Case Compliance Certificates to date. These are projects that must be presented to our federal executive board (cabinet) in preparation for their commercial and financial closure,” he noted.
He said between 2010 (after the inauguration of our Board of Directors) and 2021, under the ICRC’s regulatory guidance, the Nigerian government had more than $9 billion worth of PPP projects and $17 billion worth of bankable PPP projects.
According to him, the list included projects from different economic sectors that were issued with the framework business case compliance certificates, but for which no bidders were identified.
He said that while governments across the continent are plagued by fiscal and budgetary funding constraints, the reality is that private participation in infrastructure is more of an economic necessity than an optional funding solution.
“Partnerships between the public and private sectors for financing, design, construction, maintenance of infrastructure and delivery of related services are absolutely essential for African governments to meet the need for modern and efficient infrastructure and for a reliable, cost-effective delivery of public services,” he said.
The ICRC was established to oversee and regulate the federal government’s PPP efforts to address Nigeria’s physical infrastructure deficit. On the APPPN aims to promote PPP on the continent.
For his part, the Secretary of the Government of the Federation, Boss Mustapha, stated that given the limitations of the public budget to finance the ever-growing infrastructure needs and in line with the practice in other nations with similar situations, the Federal Government of Nigeria (FGN) decided to strengthen the framework encouraged and supported for PPP policy.
“Nigeria’s current financial situation, caused by the global COVID-19 pandemic and dwindling revenues, has made this shift to PPPs more imperative than ever. However, the government will continue to uphold that integrity and transparency that must form the basis of all decisions about PPPs to ensure the right framework for effective partnership and value for money,” he said.
Mustapha noted the need for financial sector development by strengthening the regulatory and institutional framework to improve governance and increase competition, while improving access to finance and financial literacy, payment systems and creditors’ rights.