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Government’s efforts at addressing the infrastructure challenges
In addressing these challenges, since 2003 the Federal Government of Nigeria has come up with several reform agenda which include: National Economic Empowerment Development Strategy (NEEDS)308 which is aimed at achieving among other things, deregulation, liberalization, privatization, transparency and accountability. As a development strategy, NEEDS focused on addressing decrepit infrastructure especially unreliable power supplies and other impediments to privatesector driven economic growth.309
The government hoped that the NEEDS would create 7 million new jobs, diversify the economy, boost non-energy sectors, increase industrial capacity utilization, and impose agricultural productivity, hence achieve growth, better service delivery, reform of government institutions and the political system, and transformation of values to overcome corruption and inefficiency.310
An initiative with similar objectives at the state level was the State Economic Empowerment and Development Strategy (SEEDS).311 Though significant progress was made on these reforms, however, the daunting challenges are still far from being resolved.312
In the same vein, during the administration of Late President Yar‘ Adua, the Federal Government again set reform agenda called Seven-Point Agenda 2008-2011, launched in 2007. This is a development strategy which builds on the NEEDS. TheNEEDS was successfully implemented during 2004-2007 and reasonably guided the government in implementing the broad reform agenda. NEEDS-II and the Seven- Point Agenda were harmonized to give birth to the fifth National Development Plan (2009-2012). The seven key areas of the Plan are:
critical infrastructure (energy and transportation);
Niger-Delta regional development;
food security;
human capital development (health, education and training);
land tenure charges and home ownership; national security; and wealth creation.313 Shortly thereafter, the executive arm of the government came up with Vision 2020314 as Nigeria‘s blue-print for transformation. The major idea behind the vision is to make ―Nigeria one of the 20 largest economies in the world, able to consolidate its leadership role in Africa and establish itself as a significant player in the global economic and political arena‖.315
The crucial goals include: to achieve a GDP of US$ 900 billion, GDP/Cap US$4000; move up from 128 of 133 countries in the Global Competitiveness Index; move up from 158 of 177 countries on the UNDP Human Development Index rating (UN 2007/2008) and achieve a life expectancy of not less than 70 years.316 According to the Vision, ‗the key indicative parameter to achieve this is adequate infrastructure services that support the full mobilization of all economic sectors.‘ 317
Pursuant to the above, the Federal Government has come up with the first National Implementation Plan (NIP) which has as one of its core aspirations, provision of‗adequate infrastructure services that sustain the full activation and operation of all economic sectors‘.318
The power sector reforms
As at the beginning of the present democratic dispensation in 1999, the electricity power sector in Nigeria was at its lowest ebb. Out of the 79 generating units in the country, only 19 units were operational with an average daily generation of 1750 megawatts. Besides, the entire power infrastructure was decrepit. The position was that an estimated 90 million Nigerians were without access to electricity grid.319 Though an accurate and reliable statistics are hard to get, the losses incurred by the industries were put in excess of 50%320.The imperative for the reform of the sector
was inspired by the poor performance of the state-run electricity industry in terms of high cost, inadequate expansion of access to electricity services for the populace, and/ or unreliable supply of electricity; the inability of the state-owned sector to finance the needed investments in the sector and specifically, the need to reduce the cost of doing business in the country to facilitate new investments through the provision of uninterrupted power supply to the country for industrial, commercial and domestic uses.321
CHAPTER 1: INTRODUCTORY OVERVIEW
1.1 Setting the scene
1.2 Research problem
1.3 Research questions
1.4 Thesis statement
1.5 Objectives of the study
1.6 Research methodology
1.7 Significance of the study
1.8 Literature review
1.9 Limitations
1.10 Structure of the thesis
CHAPTER 2 THEORETICAL UNDERPINNINGS
2.1 Introductory remarks
2.2 Rationale for the choice of the theory
2.3 Law and development as the fundamental theoretical framework for this study
2.3.1 Theoretical perspectives on law and development
2.3.2 The interface between law and development
2.4 Deductive reasoning approach to the study
2.4.1 The critical imperatives for legal and institutional reforms
2.4.1.1 Imperatives for legal reform
2.4.1.2 Making case for institutional reform
2.5 Other relevant theories
2.5.1 Neo-classical economic theory
2.5.2 Financial theory
2.6 Concluding remarks
CHAPTER 3: PROCUREMENT OF PUBLIC INFRASTRUCTURE ASSETS AND THE QUEST FOR DEVELOPMENT
3.1 Introductory remarks
3.2 Defining infrastructure
3.3 Infrastructure as a critical enabler of development
3.3.1 Infrastructure and productive capacity
3.4 Overview of state of infrastructure in Nigeria
3.4.1 Facts about Nigeria
3.4.2 Sector-level analysis of state of public infrastructure
3.4.2.1 Power sector
3.4.2.2 Transport sector
i. Land transport
ii. Rail infrastructure
iii. Water transport infrastructure
(a) Coastal and inland waterways
(b) Ocean transport or shipping
iv. Air transport
3.4.2.3 Telecommunications industry
3.5 Infrastructure investment requirements
3.6 Government‘s efforts at addressing the infrastructure challenges
3.6.1 The power sector reform
3.7 Concluding remarks
CHAPTER 4: PUBLIC-PRIVATE PARTNERSHIP AS FINANCINGTECHNIQUE
4.1 Introductory remarks
4.2 Historical overview of public rivate partnership (PPP) model
4.3 Framework for PPP
4.4 Context and nature of PPP approach
4.4.1 Reasons for PPP
4.4.2 Specific benefits of PPP structure
4.4.3 Benefits of the PPP to the private sector
4.4.4 Overall benefits of PPP
4.4.5 Characteristics of PPP
4.5 Structures for PPP
4.5.1 Privatization
4.5.2 Concession
4.5.2.1 Diverse faces of concession
i. Build-Operate-Transfer (BOT)
ii. Build-Own-Operate (BOO)
iii. Build-Lease-Transfer (BLT)
iv. Rehabilitate-Operate-Transfer (ROT)
v. Rehabilitate-Lease-Transfer (RLT)
vi. Build-Rehabilitate-Operate-Transfer (BROT)
vii. Performance-Based Variant
4.5.3 Availability-based PPP
4.5.4 Management and lease contracts
4.5.5 Cooperative arrangements
4.5.6 Merchant
4.5.7 Rental
4.6 Concluding remarks
CHAPTER 5: LEGAL FRAMEWORK FOR PRIVATE SECTOR PARTICIPATION IN INFRASTRUCTURE FINANCING
5.1 Introductory remarks
5.2 Legislative framework
5.3 Regulatory environment
5.4 Regulatory and industry specific laws
5.4.1 Highways Act 1971
5.4.2 Utilities Charges Commission Act 1992
5.4.3 Bureau of Public Enterprises Act 1999
5.4.4 Debt Management Office Act 2003
5.4.5 Electric Power Reforms Act 2005
5.4.6 Infrastructure Concession Regulatory Commission 2005
5.4.7 Fiscal Responsibility Act 2007
5.4.8 Public Procurement Act 2007
5.5 Institutional landscape
5.5.1 Line ministries and their agencies
5.5.1.1 The Federal Ministry of Finance (TFMF)
5.5.1.2 Office of the Accountant General of the Federation (OAGF)
5.5.1.3 The ICPC PPP resource centre
5.5.1.4 Contract compliance centre
5.6 At sub-national level
5.6.1 PPP legal framework in Lagos State
5.6.2 Regulatory system
5.7 Concluding remarks
CHAPTER 6 IMPERATIVES FOR REVIEW THE LEGAL INFRASTRUCTURE TO UNLOCK DOMESTIC FINANCIAL RESOURCES
CHAPTER 7: FINANCIAL INFRASTRUCTURE: OVERVIEW AND CHALLENGES
CHAPTER 8 FINANCIAL RESOURCE MOBILIZATION FOR INFRASTRUCTURE: LEVERAGING INNOVATIVE FINANCING TECHNIQUES AND SOURCES
CHAPTER 9: FINAL CONCLUSION
