Today the PPP contract agreement with respect to Kaduna Polytechnic Student’s Hostel Renovation Project, which is set to revolutionize hostel accommodation in public educational institutions in the country was signed in a virtual ceremony between Kaduna Polytechnic and Mark Point Limited. Speaking at the event, Director General of the ICRC, Engr. Chidi Izuwah disclosed that the project is one of the first Public Private Partnership projects within the Education sector and also Privately Initiated Infrastructure Proposal (PIIP).
While restating the critical role of PPPs in the face of current economic challenges, he called for continued support for the procurement methodology more so in delivering social infrastructure.
According to him, ‘’Today’s event showcases the successes that can be achieved via PPPs even with respect to social infrastructure where viability, affordability and bankability can be challenging’’.
Speaking further, he said. ‘’Kaduna Polytechnic currently has a student population of about 23,000 out of which only 4,320 are accommodated within the school hostels. The Federal Ministry of Education concluded plans to renovate the hostels of Kaduna Polytechnic as part of its interventions to support efforts at closing the student’s accommodation deficit within our tertiary institutions.
In view of the paucity of funds, attraction of private sector capital and expertise in line with the ICRC Establishment Act 2005 and National Policy on Public Private Partnerships (N4P) is critical to addressing this and other infrastructural challenges of Nigeria.
The PPP Model here is a Rehabilitate, Operate, and Transfer (ROT) PPP arrangement for a concession period of 16 years following a transparent and competitive PPP procurement process through the Swiss Challenge Methodology, following the Privately Initiated Infrastructure Proposal (PIIP) from Mark Point Limited, (the Original Project Proponent) who also emerged as the Preferred Bidder’’.
The ICRC boss used the opportunity to draw the attention of Nigerians to the Finance Circular issued by the Honourable Minister Federal Ministry of Finance, Budget and National Planning in May 2020 about the opening of the Federal Government of Nigeria Special Concession Account in line with Sections 1 and 9 of the ICRC Establishment Act 2005, which requires all PPP stakeholders to remit all monies accruing from PPP Agreements (with the exception of proceeds from assets sale and liquidation into the Special Concession Account opened by the Office of the Accountant- General of the Federation).
The ICRC DG commended President Muhammadu Buhari GCFR for his visionary leadership and unrelenting support for Public Private Partnership methodology in the delivery of infrastructure projects.
He also commended the Hon Minister of Education Mallam Adamu Adamu, the Hon Minister of State for Education Barr Emeka Nwajiuba and the Permanent Secretary Architect Sunday Echono for their role in ensuring FEC approval of the transaction
Also speaking at the event, the Rector of Kaduna Polytechnic, Professor Idris Muhammad Bugaje disclosed that the accommodation bed space fee will be subsidized to make it affordable for students and parents. Also speaking at the event, the representative of the Federal Ministry of Education, Claris Ujam, commended the management of Kaduna Polytechnic for always setting the pace for other institutions to follow. She thanked the DG, ICRC and his team for being dependable and always ready to get work done.
According to her, the milestone achievement will attract other infrastructure investors into Nigeria’s education sector.
Acting Head Media and Publicity,
The Presidency, ICRC