By Jeph Ajobaju, Chief Copy Editor
Bids for the concessioning of the four international airports in Lagos, Abuja, Port Harcourt, and Kano have been opened for firms or consortiums with a net worth of at least N30 billion and a proven record of airport terminal management.
Bid winners will have between 20 and 30 years as private investors to own and operate facilities at the airports, and recoup their investment, an initiative the Federal Executive Council (FEC) had approved back in 2016.
Aviation Minister Hadi Sirika gave a project update to stakeholders in Abuja on Monday, saying the bid is open to all qualified entities with the capacity to do the job, per The Guardian (Nigeria).
The ministry, in compliance with the Infrastructure Concession Regulatory Commission (ICRC) and National Policy on Public-Private Partnership (N4P), released a request for qualification (RFQ) for the concession.
Purpose of concession
Hassan Musa, the Permanent Secretary in the ministry, explained that the four airports and their surrounding communities are to be developed into efficient, profitable, self-sustaining, commercial hubs which will create more jobs and develop local industries through a Public Private Partnership (PPP) arrangement.
“The Federal Government of Nigeria (FGN) through the Ministry of Aviation is inviting bids from reputable Airport Developers/Operators/Financiers/Consortia for prequalification for the Concession of selected Airports Terminals under a Public-Private Partnership (PPP) arrangement,” Musa wrote in a document provided reporters.
“The airport’s terminal concession is one of the critical projects under the Aviation Sector Roadmap of the FGN and fits well within the scope of the Ministry’s strategic plan for the sector.
“The execution of this project is meant to achieve the Federal Government’s objective in terms of air transport value chain growth by developing and profitably managing customer-centric airport facilities for safe, secure and efficient carriage of passengers and goods at world-class standards of quality.”
Eligibility criteria
Eligibility requirements include
· Full names of firm/consortia
· Evidence of company registration
· Ownership structure of bidding entity
· Audited financial statements
· Sworn affidavit
· Power of attorney/board resolution
In the case of a consortium
· Evidence in the form of a letter of association agreement
The prospective firms/consortia must have
· Technical, operational and financial capability including
· Experience in the development and operation of an international airport and cargo terminals
· Evidence of financial capacity in support of the company or consortium’s ability to undertake the airport concession illustrated by a minimum net worth of N30 billion
· Letters of support from credible financial institutions in support of the consortium’s ability to manage and operate the airport terminals
The RFQ is the prequalification stage of the procurement process for the project in which interested parties are required to meet the prequalification requirements specified in the RFQ package.
Only prequalified parties will proceed to the Request for Proposal (RFP) stage and shall execute a Non-Disclosure Agreement prior to issuance of the RFP documents.
Aviation Ministry Public Affairs Director James Odaudu said interested international parties are to partner with local firms in line with the local content policy and RFQs submitted through electronic media will not be considered.
The document explained that
“The modalities for application submission shall be in a sealed envelope containing 7 copies neatly bound (1 original and 6 copies clearly marked) of the completed RFQ and the required supporting documents, which shall be clearly marked ‘RFQ for the Concession of Airport Terminals’ and addressed to the Permanent Secretary, Federal Ministry of Aviation, Federal Secretariat Complex, Abuja.
“The application shall be submitted either physically or by pre-paid, registered/certified mail or courier to the address provided.
“The submission shall be on or before 15:00 hours Nigerian Time (1400hrs GMT) on 27th September 2021.”