The Legal Concept of Public Private Partnership (PPP) and its Limited Scope in Nigeria

International Journal of Research and Innovation in Social Science (IJRISS) | Volume V, Issue IX, September 2021 | ISSN 2454–6186

The Legal Concept of Public Private Partnership (PPP) and its Limited Scope in Nigeria

Faruk Sani
Faruk Sani Chambers, Nigeria

Abstract: The paper sets out to determine the adequacy or otherwise of the definition of Public Private Partnership (PPP) in Nigeria. As a result of paucity of public funds, Nigeria introduced the concept of PPP in its public procurement strategy so as to tackle its glaring infrastructure deficit, which presently, is put at 70% – 75% of GDP. Despite the enthusiasm of stakeholders in this respect, the fundamental challenge is the capacity, within the extant legal framework that used the term ‘concession’, to identify the scope, parameters and limitations of the concept in exploring available options for successful delivery of PPP projects in Nigeria. The significance of correct identification of PPP parameters for the participation of the private sector in the delivery of public infrastructure and services cannot therefore be underestimated considering Nigeria’s aspiration and the role of infrastructure to economic growth and national prosperity. Using a doctrinal research methodology and a purposive sampling technique, the paper reviewed extant definitions of the concept in many PPP national jurisdictions, international organizations and relevant academic writers to conclude that the definition of PPP under section 36 of the Infrastructure Concession Regulatory Commission (ICRC) Act is inadequate. Such a definition is incapable of capacitating public authorities to explore all available PPP options in their effort to achieve Nigeria’s desire for private financing of public infrastructure and services. Out of the five legal parameters identified by this paper for any standard definition of PPP, the definition under section 36 of the ICRC Act met only two parameters. It therefore recommended that the ICRC Act should be amended to be more expansive as to accommodate the different types, classifications and parameters of the PPP definitions propounded in the guidelines of many Multilateral and Development Banks (MDBs).

Keywords: PPP Contracts, Legal definitions, Infrastructure Provision, Legal Framework

I. INTRODUCTION

Public Private Partnership (PPP) has emerged as one of the most dynamic strategies of National and sub-National governments for the successful delivery of public infrastructure and services. More often that not, the nomenclature ‘PPP’ is widely being peddled by public infrastructure enthusiasts as the panacea for closing the infrastructure stock deficits of National governments. Beyond the colloquial usage of the term, every Nigeria’s National plan and policy from 1986 to date, including the National Policy on PPP has adopted and used the word ‘PPP’.

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