ICRC to finalise delayed PPP projects, boost maritime sector


The Infrastructure Concession Regulatory Commission (ICRC) has announced plans to finalise all Public-Private Partnership (PPP) projects that have not progressed for over a year following approval by the Federal Executive Council (FEC).

This was disclosed in a statement signed by Ifeanyi Nwoko, the Acting Head of Media and Publicity for the ICRC, in Abuja on Thursday.

According to the statement, Dr Jobson Ewalefoh, the Director-General of ICRC, made the announcement during a courtesy visit to the Minister of Marine and Blue Economy, Adegboyega Oyetola.

Ewalefoh noted that some of the pioneer PPP projects approved in 2006 fall under the ministry’s jurisdiction.

The Director-General explained that the commission is reviewing PPP projects to prevent delays caused by unqualified contractors, especially when serious investors are willing to collaborate with the government.

He stated that the commission seeks to identify challenges affecting PPP projects within the ministry and address issues delaying already
approved projects as well as those in development.

Given the maritime sector’s critical role in national development, Ewalefoh stated that the ICRC has streamlined its processes to speed up project delivery in line with current demands.

This, he added, was in response to President Bola Tinubu’s call for the proactive use of PPPs in infrastructure development.

Ewalefoh stressed the importance of faster project execution without compromising standards or bypassing legal requirements.

He also noted the commission’s efforts to optimise existing PPP projects while launching new ones.

He said the commission has introduced Conditions Precedent with strict timelines for private partners to secure financing, ensuring that contracts are terminated if these deadlines are not met.

‘This is in a bid to ensure that projects were not stalled due to the inability of proponents to raise the required financing required to execute projects.

‘This ensures that contracts are automatically terminated when the timeline agree
d expires without the private partner achieving financial close.

‘This approach is intended to protect the country and ensure that the mistakes of the past are not repeated and the government is never held to ransom.

‘This will ensure that only credible investors are encouraged to participate while discouraging portfolio investors or expert bidders without the actual intention of executing projects’.

He urged the minister to collaborate with the commission in reassessing PPP projects that have been approved for over a year without significant progress.

In response, Oyetola congratulated the Director-General on his appointment and noted that many stalled projects were due to the private parties’ inability to secure financing.

He expressed his commitment to ensuring that future investors have proven financial capacity, rather than relying solely on impressive business proposals.

The minister also assured the D-G of his ministry’s full support in advancing PPP initiatives in the blue economy sector, adding
that several new projects will soon be submitted to the ICRC to begin the PPP process.

Source: News Agency of Nigeria

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