ICRC predicts N185.2bn revenue from asset concession in 2023

By Sodiq Adelakun

The Director-General of the Infrastructure Concession Regulatory Commission (ICRC), Michael Ohiani, revealed that Nigeria is set to witness a windfall of N185.2bn in revenue for the Federal Government’s treasury account in 2023.

This remarkable achievement is expected to be fueled by the concessions of various assets, as stated in the commission’s second quarter bulletin.

He highlighted that the private-public partnership is not only essential for closing infrastructure gaps but also for job creation and boosting economic growth at both the state and federal levels.

The bulletin revealed that the Federal Executive Council (FEC) has approved a total of 103 public-private partnership (PPP) projects since the establishment of the commission. These projects are expected to attract N10.8trillion ($23billion) in private sector funds for infrastructure development in Nigeria.

Meanwhile, it is projected that the government will earn N185.2billion in revenue from these investments in 2023 alone. Furthermore, the commission issued 27 compliance certificates to various ministries, agencies, and departments in the second quarter of 2023 as part of the government’s efforts to bridge the infrastructure gap.

These certificates were allocated to prospective private investors for the promotion of public and private partnerships, with four outline business cases and 24 full business cases being approved.

An outline business case provides preliminary information about a proposed project and helps decision-makers assess its viability.

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.