Adhere Strictly To PPP Laws, Federal Gov’t Mandates MDAs

The federal government has directed all Ministries, Departments, and Agencies (MDAs) to strictly comply with the National Policy on Public-Private Partnerships (N4P) of the Infrastructure Concession Regulatory Commission (ICRC) when engaging in any Public-Private Partnership (PPP) arrangements.

In a circular titled “FGN 2025 Budget Call Circular,” issued by the Federal Ministry of Budget and Economic Planning, the government mandated MDAs to align their 2025 budget proposals with the provisions of the ICRC Establishment Act (2005), particularly in matters related to PPPs.

The 2025 budget call circular outlines the requirements and instructions for preparing the federal government’s budget for the year 2025.

Section 2 of the circular states: “MDAs are hereby directed to note that the execution of Memoranda of Understanding (MoU), Memoranda of Association (MoA), and other contract instruments for PPP arrangements between MDAs and private entities, without adhering to the provisions of the National Policy on PPPs (N4P) or the ICRC Establishment Act (2005), constitutes a clear violation of the law.”

It further emphasised: “Consequently, any MDA engaging in PPP or concession arrangements must operate within the framework of the existing laws and policies outlined above and ensure full compliance with these guidelines.”

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For clarification or guidance, the government directed MDAs to contact the Infrastructure Concession Regulatory Commission via [email protected].

This directive mandates all MDAs to adhere strictly to the ICRC Act, policies, and regulations when undertaking any form of PPP arrangement. Non-compliance, the government noted, renders such agreements illegal and invalid.