Partnerships (PPP) in Nigeria

By leveraging private sector expertise and financing, PPPs have delivered critical projects in transport, maritime, and urban development, though outcomes vary due to regulatory and operational challenges.

Successful PPP Projects

1. Murtala Muhammed Airport 2 (MMA2), Lagos: A landmark Design, Build, Operate, Transfer (DBOT) project with Bi-Courtney Aviation Services, 
2. Lekki Deep Sea Port: With 75% private ownership (China Harbour and Tolaram), this port bolsters Nigeria’s trade logistics, offering operational efficiency and economic growth in the Lekki-Epe corridor.
3. Port Sector Concessions: Approximately 25 terminals, including Tin Can Island and Rivers Port, operate under Build-Operate-Transfer (BOT) models, achieving efficiency gains and income growth, as per a 2016 PPIAF assessment.
4. Alaro City: A mixed-use development in Lagos, projected to create 200,000 jobs, exemplifies PPPs’ potential to drive economic transformation through strategic urban projects.

Challenges and Underperforming Projects

• Water and Energy Sectors: Despite PPIAF support since 1999, these sectors struggle with regulatory weaknesses and poor stakeholder coordination, limiting efficiency gains compared to port projects.
• Katampe District Infrastructure, Abuja: A design-build-finance-transfer PPP with limited success due to bureaucratic delays and transparency issues, common in Nigerian PPPs.
• Systemic Barriers: Key challenges include inadequate stakeholder expertise, absent arbitration clauses, poor knowledge management, and bureaucratic overlaps, hindering project execution.

As of July 2025, 152 PPP projects are in various concession stages, covering sectors from university hostels to highways. From 2021, all infrastructure projects undergo PPP viability screening, emphasizing private financing.

Sources

• Akpoghome, T., & Nwano, T. (2019). Public-Private Partnership (PPP) in Nigeria. KAS African Law Study Library – Librairie Africaine d’Etudes Juridiques, 6(4), 482–501. https://doi.org/10.5771/2363-6262-2019-4-482

• Infrastructure Concession Regulatory Commission (ICRC). (n.d.). FEC Approved PPP Projects. Retrieved August 8, 2025, from https://www.icrc.gov.ng/projects/fec-approved-ppp-projects/
• Vanguard News. (2021, May). All infrastructure projects now PPP-driven ― FG. Retrieved August 8, 2025, from https://www.vanguardngr.com/2021/05/all-infrastructure-projects-now-ppp-driven-%E2%80%95-fg/
• World Bank. (n.d.). Nigeria: Lagos Urban Transport Project 2 – Procurement. Retrieved August 8, 2025, from https://projects.worldbank.org/en/projects-operations/project-procurement/P115386