Strategies for Minimising Failure of Public-Private Partnership Infrastructure Projects in North Central Nigeria

Abstract

The global adoption of the public-private partnership (PPP) concept has been driven by the growing demand for public infrastructure. However, many PPP projects have faced challenges and yielded unfavourable outcomes such as failures, delays, and concession revocations. This research paper aims to investigate the key factors influencing private investments in PPP markets in developing countries like Nigeria. The study employed an empirical questionnaire survey, collecting data from PPP experts involved in six PPP construction projects in northern Nigeria. Based on previous research, a set of 19 success factors and 21 failure factors were identified and used as the basis for quantitative data obtained. The data were analysed using the Failure Mode and Effects Analysis (FMEA) methodology. The findings of the study revealed that three critical failure factors (CFFs) played a role in the varying degrees of failure in the studied PPP projects. These factors include public sector corruption, lack of competition and transparency in procurement processes, and political interference during project implementation. On the other hand, six critical success factors (CSFs) contributed to the success of the PPP projects to different extents. These factors encompassed the availability of suitable financial markets, a favourable investment environment, appropriate risk allocation, competition in the procurement process, a comprehensive and realistic assessment of costs and benefits, and trust among stakeholders. The results of this study can serve as a valuable reference for PPP stakeholders seeking to minimize failure in the implementation of PPP infrastructure projects.