From Basil Obasi, Abuja

Project management professionals have applauded the recent drive of President Muhammadu Buhari to employ private sector participation in addressing infrastructural deficit but cautioned that poorly designed Public Private Partnerships (PPPs) have the attendant consequence of failure and this experience has in many cases eroded confidence in the concept.

Dr. Katchy Chukwuma, an advocate of PPP, who made the disclosure during a Project Management Institute (PMI) outreach in Abuja, explained that dwindling national resources and increasing pressure on public funds have necessitated a paradigm shift from conventional procurement method to private sector investment driven model for the provision of critical infrastructure.

The scholar, who recently published a book on PPP, stated that PPP which in Nigeria could imply concession involves a contractual agreement between the public and the private sectors to transfer financial, technical and management risks in project development and management to a private investor while ownership is ultimately retained by the government.

Related News

According to him, the  purpose  of  PPP in  infrastructure  provision is that financial, technical  and  management risks should  be  allocated  to  the  party  that  is  best  placed  to  manage  it  at  the  least  cost,  acceptable quality and reasonable time.

He pointed out that PPP is never a one-size-fits-all solution, adding that conscious and concerted efforts should be made towards capacity building, strategic communication and awareness creation in order to close the knowledge gap in the concept and operationalisation of PPP, Chukwuma said that a properly designed PPP can yield positive results for government, end users and the private partners but when poorly articulated, an inefficient public utility will metamorphose into an unproductive private investment, leading to total collapse.

He said, “when compared with the public sector-owned and managed infrastructure, PPP, under the right circumstances and a well-designed contractual structure, can offer value for money due to efficiency in investment, deliver better quality service and allow for greater innovation, transfer of skills and more efficient operations and maintenance.

“As project management professionals, we extol the courage and political will being demonstrated by the current administration and promise to stand in the gap between knowledge and practice in ensuring that these efforts will not end in futility,” he said.