Conference Paper

Public-Private Partnership (PPP) and Infrastructure Provision in Nigeriaby Olufemi A. Oyedele

Conference: AARC HES Conference


Public Private Partnership (PPP) is a collaboration of the public and private sectors in the financing and development of public goods and services (agriculture, communication, infrastructure etc). This phenomenon has been globally seen by many as the new economic paradigm. India has benefitted a lot in infrastructure provision by the private sector through PPP. Public Finance Initiative/Public Private Partnership (PFI/PPP) is a key policy instrument that is being used to transform public services. The key element of PFI/PPP is risk management. This assertion involved the creation of more public-private partnerships (PPPs). Criticisms of PFI especially by the UK Labour Party in 1997 before the election led to the introduction of PPP. The collaboration of government and the private sectors in the production of public goods and services is based on the notion that government has no business in production of some goods and services in order to ensure value for money (vfm). The experience of PPP in Nigeria has not been a thing to write home about. Concessioning of Lagos-Ibadan Expressway, Kuto-Bagana Bridge, Lekki-Epe and Maervis management of Airports have been sour. This paper will look into the factors that make PPP unsuccessful in Nigeria and will suggest recommendations for adoption.

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    • "Nevertheless, most transport facilities mainly roads are in deplorable conditions which require urgent upgrade to foster economic activities in Africa's most populous country (Oluwasanmi & Ogidi, 2014). Like other governments, PPP has been considered by the Nigerian government as an effective procurement approach in providing efficient and reliable transport infrastructure system in the country (Oyedele, 2014). The Lekki Toll Road Concession project is the pioneering PPP road project in Nigeria, which was signed between the Lagos State government and a private consortium: the Lekki Concession Company Limited (LCC) (Oxford Business Group, 2012). "
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    ABSTRACT: In contemporary times, Public–Private Partnership (PPP) in transport infrastructure has gained considerable attention in developing regions following its success in the developed countries. However, Sub-Saharan Africa (SSA) is among the developing regions with few transport PPP projects and among the regions with high number of failed projects. Meanwhile the region's transport infrastructure need far exceeds it current provision. This paper therefore aims to examine the project experiences (success and failure factors) of three highly profiled transport PPP projects, namely the Lekki toll road concession project (Nigeria), N4 toll road (South Africa/Mozambique) and Port of Maputo (Mozambique) in order to develop policy measures for effective future implementation. The experiences of the three projects show that transport PPP policy is indeed feasible in SSA. However, to realise its full applicability, proper policy actions and measures must be carefully observed and these include effective and efficient stakeholder management, transparent and competitive tendering process, high participation of local investors, stable macro-economic conditions and strong government commitment and regulatory framework. The projects experiences and policy actions developed are impactful in accelerating transport infrastructure development through PPP approach in SSA. Hence it is hoped that policy-makers and practitioners would be informed on the key strategies to employ in implementing future projects.
    Full-text · Article · Aug 2015 · Transport Reviews