Due diligence, transparency and sanctity of agreement must be given priority if the proposed Public-private-partnership (PPP) in the construction of some federal roads linking Ogun and Lagos States, is to realise the desired objective, stakeholders have posited.
The roads to be reconstructed and tolled include Ikorodu-ogijo-sagamu, EpeIjebu- Ode and the LagosOta-abeokuta roads.
The organised private sector (OPS) and experts, who spoke with Businessday, described it as positive development, but emphasised respect for PPP agreement, which they argued is a veritable option in bridging Nigeria’s huge infrastructure gap.
Kunle Awobudu, president of the Nigerian Institute of Builders, said while this could
be a game changer in addressing the country’s infrastructure need, partnership with governments in some areas have proven problematic, as “we have seen in the power sector and in the case of Visionscape in Lagos,” where the waste management contract ran into hitches and eventually terminated. Such flaws, he said, are making investors to tread with caution.
According to Awobudu, government and the wouldbe partners must be clear about the agreement in introducing private funds into the projects because it is basically profit- oriented and not for social services.
“We are in a country where we move back and forth and it is very unfortunate. The Lagos- Ibadan Expressway was initially tolled. The Abeokuta Expressway was initially tolled but after sometime, those tollgates were dismantled because of the traffic it was causing. The same challenge is being faced in the Lekki-epe Expressway,” he said.
Awobudu noted that policy inconsistency and the lack of continuity in government remain a challenge to PPP deal in Nigeria. “When another party comes into government, such projects suffer setbacks,” said Awobudu.
Also providing a perspective, Timothy Olawale, the Director-general of Nigeria Employers’ Consultative Association (NECA), argued that PPP and tolling of road are not a bad idea, but being transparent about the processes and procedures that threw up the partners, as well as utilising the tolling proceeds in truly maintaining.
Olawale cautioned against what he “called political patronage”. According to him, there have been cases where governments handed over roads and other public infrastructure to political cronies who bankrolled their elections in the name of PPP.
