Assessing the Characteristics of Nigerian Construction Industry in Infrastructure Development

Nigeria is confronted with a high demand for infrastructural facilities that is growing at a faster rate than the available government funding considering the size of Nigerian population. It is evidenced that the Federal Government of Nigeria will require between US$13 billion to US$15 billion annually in meeting these infrastructural needs. Various procurement strategies have been employed in facilitating the development of various kind of infrastructure, the most notable procurement approaches utilized for its development and delivery are the conventional model, non-conventional model and the modern approaches. This research was aimed at assessing the characteristics of Nigerian construction industry in infrastructure development. In order to identify gaps in the body of literature in these areas, relevant literatures were reviewed. The study focuses on the efforts of other researchers in the area of the nature and characteristics of the Nigerian construction industry in terms of construction project delivery, the major procurement strategies employed and contributions of major contractors and the key challenges impacting on the performance of the Nigerian construction industry. Findings from the study revealed that most infrastructure project development in Nigeria have been impacted negatively by the ineffectiveness and inefficiency of the Nigerian construction industry resulting from: (i) lack of a national infrastructure blueprint; (ii) unclear political direction and support in project development; (iii) weak regulatory and enforcement powers of the Infrastructure Concession Regulatory Commission in Nigeria; (iv) inadequate financial modelling and value for money assessments; (v) technical capacity gaps; (vi) lack of institutional framework for PPP project preparation; (vii) inconsistency in PPP project pipelines; and, (viii) lack of standardisation, hindering replication; etc. These challenges and limitations have therefore culminated to poor performance of Nigerian construction industry in infrastructure development and invariably led to resultant high cost and time overruns experienced on infrastructure development in Nigeria.

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