PPP Projects in Nigeria: Current prospects in

Transcript:PPP Projects in Nigeria: Current prospects in:
PPP Projects in Nigeria: Current prospects in Telecoms Akinwale Goodluck, Corporate Services Executive, MTN Overview Executive Summary The Growth of the Mobile Sector - Socio Economic Contributions to Nigeria The Infrastructure Challenge PPP Models to address the Challenges Meeting the Infrastructure Challenge through effective PPP Recommended Actions to Overcoming the Roadblocks Conclusion Executive Summary The Nigerian Telecommunications Sector has seen tremendous growth over the last decade and is an important reference point for the country. Mobile subscriber base has grown from below 500,000 in 2001 to over 130 million. Contribution to Gross Domestic Product (GDP) has been on a steady increase over the years from below 1% in 2001 to a rebased level of about 8% in 2013. In 2012, the Nigerian Mobile Telecommunications Industry became the largest in Africa ahead of South Africa and remains among the fastest growing globally. These growth has been led by the Private sector led investments in the Telecommunications sector. Despite the unprecedented growth, the Telecommunications industry has experienced its own challenges. The dearth of infrastructure has long been an obstacle for the country’s fledging telecommunications industry. Power, Right of Way, Security and other network costs make network operating costs two to three times higher than other African countries. While telecommunications sector contribution to infrastructure development had been premised on the need to facilitate service delivery by focusing primarily on creating physical infrastructure (through self-owned/managed networks), it has also facilitated social infrastructure through Social Responsibility initiatives which aid capacity building for wealth creation. The telecommunications industry has continued to support Government’s objectives by empowering Nigerian citizens, showcasing Foreign Direct Investment, and improving governance through the provision of information communication & technology. Notwithstanding these remarkable achievements, the industry recognizes as a critical element for success the need to partner with Government at the Federal, State and Local Government’s in the development and protection of Critical Infrastructure required to support the delivery of best in class next generation services. This presentation will examine the contributions of the telecoms sub-sector in this regard and make suggestions for effective and sustainable Public-Private Sector Participation in infrastructure development. The Growth of the Mobile Sector - Socio Economic Contributions to Nigeria Central Socio-economic Infrastructure Mobile facilitates GDP growth by enabling increase in productivity: an increase of 10 mobile phones per 100 people boosts GDP growth by 6% (Vodafone , 2005). Contributes around 4% of the country’s federal tax collection receipts