Nigeria’s infrastructure regulator has said adherence to contract terms is a cornerstone for winning and keeping investor confidence, as it welcomed the settlement of a long-running public-private partnership (PPP) disagreement tied to the Murtala Muhammed Airport Terminal Two (MMA2) in Lagos.
Regulator links contract enforcement to investor confidence
In a statement issued in Abuja on Sunday, the Director General of the Infrastructure Concession Regulatory Commission (ICRC), Dr. Jobson Oseodion Ewalefoh, argued that respecting agreements between parties is essential to building confidence among investors. He said stakeholders can be assured that their investments will be protected under a regulatory environment that is stable and predictable.
Ewalefoh framed the outcome as a signal to both domestic and overseas investors that Nigeria remains a dependable and credible destination for capital. He added that the resolution underscores the government’s willingness to address complex contract issues without undermining the broader PPP framework.
Presidential intervention credited for settling the MMA2 dispute
The ICRC said the government’s intervention amounted to a “masterstroke,” noting that it ultimately resolved a dispute that had persisted across multiple administrations. The regulator also pointed to the Presidency’s commitment to the rule of law as central to how the impasse was handled.
Ewalefoh said the resolution followed a coordinated process involving the grantor, the Federal Ministry of Aviation and Aerospace Development, the concessionaire—Bi-Courtney Aviation Services Limited—and the ICRC. He added that the commission’s concurrence was obtained on the agreed framework, consistent with established PPP guidelines.
- The framework was reached through coordination among the grantor, the aviation ministry, the concessionaire and the regulator.
- The ICRC said its agreement to the final approach was secured in line with established PPP rules.
- The Presidency’s role was described as grounded in the rule of law and capable of resolving issues spanning several administrations.
What changes mean for future aviation projects and PPPs
Ewalefoh said the settlement removed restrictive provisions and restored clarity within the concession arrangement. With that, he argued, Nigeria can now fully pursue additional aviation infrastructure in Lagos State.
He specifically cited the proposed Lekki Airport and said the plan could also include complementary commercial and support facilities around existing terminals, positioning the outcome as a pathway to broader development rather than a one-off dispute settlement.
- Restrictive terms were removed from the concession framework.
- Clarity was restored within the PPP agreement governing the terminal arrangement.
- New aviation infrastructure in Lagos State can now be pursued, including the proposed Lekki Airport.
- Complementary commercial and support facilities around existing terminals were also flagged.
The ICRC director general also said the resolution strengthens investor confidence in a predictable regulatory setting. He argued that when disputes of a similar scale are resolved using a “balanced and forward-looking approach,” it communicates policy stability, regulatory certainty and respect for contractual commitments—conditions he said are the foundation of successful PPPs.
He further said the settlement delivers practical benefits for both the economy and the public. These include better use of infrastructure, improved operational efficiency, and the prospect of higher revenue generation. He added that the outcome is expected to serve the interests of the government, the concessionaire, the investing community and, ultimately, Nigerians who rely on efficient and modern infrastructure.
ICRC vows continued PPP oversight; exclusivity dispute detailed
Finally, Ewalefoh reiterated the ICRC’s commitment to ensuring PPP arrangements are implemented according to established guidelines. He said the commission would continue to emphasise value for money, transparency and public interest, while providing regulatory support to sustain momentum and improve how future concessions are structured, managed and aligned with national development priorities.
He also recalled the origins of the MMA2 dispute: it emerged from disagreement between the Federal Government, represented by the Federal Airports Authority of Nigeria (FAAN), and Bi-Courtney Aviation Services Limited over execution of the PPP agreement. The points of contention, he said, centred on clauses related to exclusivity and on how competing or complementary infrastructure could be developed within the same airport corridor.
- The dispute involved the Federal Government (through FAAN) versus Bi-Courtney Aviation Services Limited under the MMA2 PPP.
- Key disagreements focused on exclusivity provisions in the contract.
- Both sides also differed over the development of competing or complementary infrastructure within the same airport corridor.
