CONCESSION PRACTICES AND THE TIMELINESS OF ROAD PROJECTS DELIVERY IN SOUTHWEST NIGERIA

Abstract

Infrastructure development, particularly road construction, plays a crucial role in promoting economic growth, regional integration, and social development. However, the delivery of road projects is often marred by delays due to financial constraints, bureaucratic bottlenecks, and inefficiencies in project management. Thus, this study examined the relationship between concession practices and the timeliness of road projects delivery in southwest Nigeria. Inferential statistics used involved Partial Least Squares Structural Equation Modeling (PLS-SEM). The results showed that clarity of responsibility (p = 0.01), impact and recommendation (p = 0.00), execution and accountability (P = 0.00), communication protocol (p = 0.00), sustainability and innovation (P = 0.00) alternative financing (P = 0.00), government financing (P = 0.00), and performance monitoring (P = 0.02) have positive and significant effect on cost. However, Private financing (0.00) has negative and significant effect on cost of road project delivery. This is an indication that a one standard deviation increase in Private financing will reduce cost of road project delivery by 0.28 standard deviation. The study concludes that the effect of the indicators of responsibility development, maintenance activities, financing options and concession operation were diverse for cost of road project delivery in the study area. The study recommends that alternative and government finance are critical financing options to cost of road project delivery while multilateral and private finance lessens the cost of road project delivery in the study area.