Asset concession will generate N185.2bn revenue in 2023 – ICRC

The Director-General of the Infrastructure Concession Regulatory Commission, Michael Ohiani, says concessions of various assets will generate revenue N185.2bn to the treasury account of the Federal Government in 2023,

The DG said this in the commissions’ second quarter bulletin obtained by Saturday PUNCH on Friday.

He stated that the projects which would inject billions of dollars in private sector investment to the tune of N10.8tn, would contribute greatly to bridging the nation’s infrastructure deficit.

The private-public partnership was not only imperative to close infrastructure gaps, but also important for job creation and to boost economic growth both at the state and federal level, he stated.

He stated that, “These approvals in the second quarter of 2023, brought to 103 the total number of PPP projects that had been approved by FEC since the inception of the commission. The PPP projects will see the investment of N10.8tn ($23bn) in private sector funds to develop infrastructure in Nigeria. These investments also translate to a revenue expectation of N185.2bn to the Federal Government of Nigeria in 2023 alone,” part of the bulletin read.

It further revealed that the commission issued 27 compliance certificates to various ministries agencies and departments in the second quarter of 2023 as part of the government effort to bridge the infrastructure gap.

A breakdown showed that four outline business cases and 24 full business cases compliance certificates were allotted to prospective private investors for the promotion of public and private partnerships.

An outline business case sets out the preliminary thoughts regarding a proposed project and should contain information needed to help the institution make decisions regarding the adoption of the project.

A full business case contains reports on the conclusions of the request for proposal and sets out the full scope and cost of the project before seeking approval prior to the subsequent award of the contract.

(Punch)

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