Funding of Public-Private Partnership Projects Under the Nigerian ICRC Act of 2005: Why is the Act Silent?

Abstract

The Federal Government of Nigeria passed the Infrastructure Concession Commission (Establishment, etc) Act 2005 (ICRC Act) on 10 November 2005 to underscore the resolve of the government to implement a Public-Private Partnership policy for the country. Whereas the Act inter alia makes provision with regards to the setting up of a Commission to superintend over PPP arrangements as well as laying the bedrock for a PPP policy, the Act is silent with regards to the funding of PPPP infrastructure projects.   This paper argues that considering the long-term nature in the bidding, arrangement, execution and service phase of PPP projects, the Act ought to make provisions with regards to funding of projects taking into cognisance the peculiar situation of shortage of long-term financing in Nigeria. The paper concludes by recommending  a review of the Act with sections to provide assurance to would-be investors in PPP infrastructure projects in the country.

Keywords: Public-Private Partnership, Infrastructure, Funding, Investors Concession, Project