The Federal Executive Council (FEC) has approved the development of the $2.59 billion Badagry Deep Seaport project through a public/private partnership (PPP) arrangement.
Disclosing this to State House Correspondents after the week’s hybrid FEC meeting presided over by President Muhammadu Buhari, Minister of Transportation, Muazu Jaji Sambo, said the project would be funded by private partners.
According to Sambo, the project, at completion, would be run by the private partners for 45 years, after which it would be handed back to the Federal Government, adding it would generate more than $56 billion over the period of concession arrangement while it would have employed some 250,000 Nigerians and attract more foreign direct investment into the country.
“I’m pleased to announce to you and the general public that I presented a memo today at council with respect to the development of the Badagry Deep Seaport under the public-private partnership arrangement, where the private sector will inject money for the development of the port and at the end of the concessionary period, the port reverts to the Federal Government of Nigeria through the Nigerian Ports Authority (NPA).
“The project cost as contained and approved in Council, based on the final business case, as approved by the Infrastructure Concession Regulatory Commission (ICRC), in line with extant laws stood at $2.59 billion. It has to be developed in four phases with milestones and a concessional period of 45 years. Reversion is, like I said, to the Federal Government of Nigeria.
“This is to further the government’s goal of making Nigeria the maritime hub of the West and Central African sub-regions. This project, it may interest you to know, will also generate total revenue of over $53.6 billion over the concession period. It will create about one quarter million jobs and also attract foreign direct investments to the country and help in improving Nigeria’s economy in general and the wellbeing of Nigerians,” he stated.