Concerns over Favoritism and Corruption in Public-Private Partnerships for Infrastructure Development in Nigeria
The Nigerian Academy of Engineering (NAEng) held its 2025 yearly lecture, focusing on bridging the country’s substantial infrastructure gap through Public-Private Partnerships (PPPs). While PPPs hold significant potential for addressing this deficit, particularly in the road sector, concerns were raised about favoritism and corruption undermining the process. Dr. Felix Atume, former Registrar of the Council for the Regulation of Engineering in Nigeria (COREN), emphasized that non-transparent procurement, favoritism in contract awards, and manipulation of concession agreements deter reputable international investors and compromise value-for-money outcomes. This corruption erodes the integrity of PPP processes and hinders the effectiveness of this crucial mechanism for infrastructure development. The lecture served as a platform to highlight the challenges and propose solutions to unlock the full potential of PPPs in Nigeria.
Legal and Institutional Barriers to Effective PPP Implementation
Beyond corruption, several structural challenges impede the success of PPPs in Nigeria. A key issue is the underdeveloped and fragmented legal environment. While the Infrastructure Concession Regulatory Commission Act of 2005 provides a basic framework, it lacks the robustness needed for complex, long-term PPP arrangements. The absence of harmonized legislation across federal, state, and local government levels creates legal uncertainties regarding concessions, land rights, and dispute resolution, making enforcement difficult. This uncertainty discourages private investors who seek predictable and enforceable frameworks to protect their investments. Furthermore, weak coordination and excessive bureaucracy within Nigeria’s PPP institutional architecture contribute to overlapping responsibilities, protracted approvals, and inadequate technical expertise. These factors lead to delays, increased transaction costs, and diminished investor interest.
Political Instability and Governance Challenges Exacerbate Risks for Investors
Political instability and weak governance structures further complicate the PPP landscape in Nigeria. Frequent political changes often lead to disruptions in existing PPP contracts, creating a high-risk environment for private investors. Premature termination of concession agreements and the politicization of project decisions undermine investor confidence. The resulting heightened political risks necessitate higher returns for investors to compensate for the uncertainty, ultimately increasing the cost of infrastructure development. Addressing these governance challenges is crucial for attracting and retaining private sector participation in PPP projects.
Call for Indigenous Engineering Capacity Development and Sustainable Infrastructure Maintenance
The NAEng President, Prof. Rahamon Bello, commended the Federal Government’s infrastructure initiatives and Local Content Policy, emphasizing the importance of indigenous ownership and replicability for sustainable development. He called for deliberate policies to support indigenous engineering enterprises capable of driving long-term infrastructure growth. Prof. Bello also highlighted the critical need for a robust infrastructure maintenance strategy. He stressed that simply building infrastructure is insufficient; adequate provisions for ongoing maintenance are essential to avoid recurring expenditures on the same projects. He urged both the government and the National Assembly to develop and fund a comprehensive maintenance plan for roads, buildings, dams, and other critical infrastructure.
Revitalizing Technical and Vocational Education and Training (TVET) for a Skilled Workforce
The resuscitation of Technical and Vocational Education and Training (TVET) is another crucial area of focus for the NAEng. The academy’s pilot initiative at the Federal Science and Technical School, Yaba, underscored the urgent need to address the shortage of skilled artisans and technicians in Nigeria. Prof. Bello commended the Federal Government’s commitment to skill development for youth, recognizing its potential to boost economic growth and national productivity. The NAEng pledged to continue its advocacy for TVET through collaborative efforts with institutions like TETFund, NSE, COREN, and NBTE, aiming to rebuild a strong foundation of skilled technical personnel essential for infrastructure development and maintenance.
Recognizing Achievements and Welcoming New Fellows to the NAEng
The NAEng event also recognized the achievements of eight fellows who reached the age of 75, awarding them lifetime achievement awards. Additionally, twelve new fellows were inducted into the academy, further strengthening its ranks of distinguished engineers. These individuals represent the expertise and commitment needed to advance engineering science, practice, and technology in Nigeria. Their contributions are essential for tackling the complex challenges facing the country’s infrastructure development and fostering sustainable growth. The event served as a platform not only to discuss the challenges but also to celebrate the individuals driving progress in the engineering sector.
