FG declares PPP agreements without ICRC compliance illegal

The Federal Government of Nigeria has issued a stern directive to Ministries, Departments, and Agencies (MDAs) to comply with the Infrastructure Concession Regulatory Commission (ICRC) Act and the National Policy on Public-Private Partnerships (N4P) in all Public-Private Partnership (PPP) agreements.

This mandate forms part of the “FGN 2025 Budget Call Circular” issued by the Federal Ministry of Budget and Economic Planning.

Highlighting the importance of compliance, the circular emphasised that executing Memoranda of Understanding (MoUs), Memoranda of Association (MoAs), and other contract instruments without adhering to the ICRC Act (2005) constitutes a legal violation.

The directive, stated in Section 2 of the circular, warns MDAs against bypassing the required regulatory framework.

“MDAs are by these guidelines directed to note that the execution of [PPP agreements] without recourse to the extant provisions of the National Policy on PPPs or the ICRC Act is a clear contravention of the law,” the circular reads.

The Federal Government has made it clear that all PPP arrangements must align with established policies and laws.

“Any MDA interested in PPP or concession arrangements must act within the ambit of existing laws and policies listed above,” the document further stressed.

The circular also directed MDAs to contact the ICRC for compliance details via the provided email address, reinforcing the government’s insistence on strict adherence.

This move signals the government’s commitment to transparency and legal integrity in PPP operations as part of the nation’s economic planning for 2025.