DEBATING THE PLAN CONCESSION OF OUR AIRPORTS

DEBATING THE PLAN CONCESSION OF OUR AIRPORTS 
                          By:
             Nurudeen Dauda
             September 25,2017
nurudeendauda24@gmail.com
nurudeendauda24@yahoo.com
nurudeendauda.blogspot.com

In simple term, a Concession agreement is a grant of rights in land or property by a government to a private company which will be given the exclusive right to operate, maintain and carry out investment in a public utility for a given number of years. The owner of a concession — the concessionaire — typically pays either a fixed sum or a percentage of revenue to the owner of the entity from which it operates. Although, Concession is not synonymous with privatization. Concession is as if it were a rent, the company will pay a monthly payment during a period and at the end of that period is obliged to return the asset. It is a form of Public Private Partnership (PPP).

Public Sector Management proves to be inefficient the world over. I belong to the school of thought which strongly believe that Government has "No Business Doing Business", this is even more so in Nigeria where our patriotism, in my view, is mostly below average. In my observation, if the Government is doing business there is the tendency of applying "Federal Character" in an organization that, for instance, requires twenty people to effectively and efficiently function may end up having thirty -seven people which must be employed for balance. This is over staffing or employment. Over employment will neither help nor sustain a business. You can not mix pleasure or sentiment with business.

In my modest assessment, the privatization of the power sector was badly done. Instead of privatising it to purely businessmen with practical, technical and financial competence, it was sold to political friends and associates. In my understanding, had it been it was sold to purely businessmen they would have invested a lot of money into the sector and anticipate returns thereafter. We need businessmen who are risk takers. The only thing that will improve power supply in the country is massive investment in the three cycles of electricity which are: Generation, Transmission and Distribution. However, even at that the best thing to do, in my view, is not returning the PHCN to the Government but to give them a dateline to invest failing of which the Government could reprivatize the assets to more competent investors.

Public Private Partnership(PPP) model is now a global model to the extent that even the Welfare State of Saudi Arabia has since embraced it. In Russia, China, India and Brazil there are many investments under the PPP model. Direct Public Sector Management in Nigeria where our levels of patriotism needed much to be desired will hardly lead us to the promise land. With private capital we will create companies that will be sustainable and profitable. In my understanding, Public Corporations have failed us in Nigeria. For instance, it is widely alleged that the Turn Around Maintenance (TAN) funds being allocated to our refinery on annual basis is usually diverted to private pockets that is why the refineries remain moribund.

I support the idea of PPP and or private management because of its efficiency and effectiveness. While the workers of private organizations report to work at exactly 7.30am or even before then and to close by 5.pm or even beyond; on the other hand, the workers of Public Service report to work by 9.am or even 10.am and close by 3.pm or at most 3.30pm. This is a fact, you could imagine the man hour losses! The strict supervision and control in the private sector will hardly allow "truancy " and " redundancy " which is the order of the day in the Nigerian Public Service.

In my view, the concession of our Airport is a step in the right direction. However, I strongly advise the Government to concession it to purely businessmen not politicians. There should be due process in doing so. The Government should hand it over to professionals. I herewith align my view with the views of most professionals who advise the Government to exclude the "Airside for security reasons". More so, the Government should must adequately compensate its existing workers.

May God bless Nigeria!

Popular posts from this blog

ISRAEL V. PALESTINE :THE HYPOCRISY OF TWO STATES SOLUTION

ISRAEL V. PALESTINE :THE HYPOCRISY OF TWO STATES SOLUTION                             By:                 Nurudeen Dauda                October 19, 2023 nurudeendauda24@yahoo.com nurudeendauda24@gmail.com nurudeendauda.blogspot.com "The hottest place in Hell is reserved for those who remain neutral in times of great moral conflict"-Martin Luther King, Jr. Permit me to add my voice on the ongoing massacre of women, children, and armless civilians in Palestine. In my thought, it is not about who triggers the present massacre of the Palestinians , but it is time to talk about the 76 years of massacre of women, children, and the armless civilians of Palestine by the state of Israel which is being watched helplessly by the entire world. Before 1948, the Jews worldwide lived predominantly outside Palestine.They lived predominantly in easter...
Read more

INDEPENDENT CANDIDACY ON THE WAY

INDEPENDENT CANDIDACY ON THE WAY                                By:                          May 19th, 2023 nurudeendauda24@yahoo.com nurudeendauda24@gmail.com nurudeendauda.blogspot.com Barring any last minute changes a "bill" for the recognition of an independent candidacy will be transmitted to Mr president for his "assent". In my thought, if the "bill" is finally "signed" into law it will largely "checkmate" the "excesses" of "governors" and "moneybags" politicians who often denied "credible" candidates "tickets"in order to pave ways for their "anointed" ones no matter their weaknesses. In our modern day politics, we have had enough cases where "credible", "competent", and "popular" candidates loss primary elections due to lack of "money" or "godfather" or state governor's anointment.  In my thought, allowing independent...
Read more

ZAINAB'S ORDEAL: A CASE OF INSTITUTIONAL WEAKNESSES

ZAINAB'S ORDEAL: A CASE OF INSTITUTIONAL WEAKNESSES                         By              Nurudeen Dauda                May 5, 2019 nurudeendauda24@gmail.com nurudeendauda24@yahoo.com nurudeendauda.blogspot.com To begin with, there is now an alleged "drug cartel" in our airports which specialised in planting drugs on unsuspecting airtravellers. Of the six alleged members of the drug cartel arrested in connection with planting of Tramadol in a bag bearing Zainab Habibu Aliyu's name, three were said to be "clearing agents", two were said to be staff of a"security company" and one a staff of an "airline handling company". In my observation, the arrest of Miss Aliyu in the Kingdom of Saudi Arabia in respect of 2000 packs of "Tramadol" said to be found in a bag bearing her name has nothing , but succeeded in exposing our institutional weaknesses.Heads shoul...
Read more