Concept note env laboratory infrastructure-ppp min of env

Public Private Partnership (PPP)Concept Note:

Upgrading of Environmental Analytical Laboratory Infrastructure in Nigeria and Building of Technical

Capacity among the Local Workforce

Technical Documentation Page

Report No: CG/ANALAB/FG-01 Report Date:

Report Title A PROPOSAL ON PUBLIC PRIVATE PARTNERSHIP: ENVIRONMENTAL LABORATORY IN ABUJA, FCT, NIGERIA

Author:Olukayode Sadiq

Designation:Principal Consultant/Managing Director

Performing OrganizationCanopy Greens Environmental Limited

AddressSuite 115B DBM Plaza Nouakchott St Wuse Zone 1, Abuja. Phone: +234 9 291 5496Mobile: +234 81 743 [email protected]

AbstractA gradual but steady increase in the need/demand for environmental assessments and studies

that cuts across major sectors of the economy (Oil & Gas, Agriculture, Manufacturing & Industry

and Mining) has been identified. It is imperative to focus on the development of local

infrastructure to improve our capacity for environmental management. This will enable the right

environment for creativity, innovation and real and practical change. The development of our

local capacity to analyze environmental parameters, generate data and interpret the generated

data is vital in realizing our goal of promoting environmental sustainability in the country.

Owning assets is important. This leads to asset maintenance, training, job creation and

improvement in the quality of locally sourced services. Environmental assessments and

monitoring have become an integral part of economic and social development at all levels of

governance and the accessibility to qualitative and quantitative data is the bedrock of effective

policy making and sustainable development. In Nigeria today, there is a serious shortage of

infrastructural and technical capacity to deliver the standard of laboratory services required for

environmental assessment and environmental monitoring as obtainable in the world today. This

challenge can be overcome by government and private sector partnership (PPP) as evidenced in

other sectors of the economy and other nations of the world.

The mission of the proposed lab is to raise the standard and quality of Environmental Studies in Nigeria through chemical and environmental analysis; to ensure increased Environmental regulatory

compliance and provide sound guidance in Health, Safety & Environment policy making.Key words:

Environment, Laboratory, Analysis, Monitoring, Oil and Gas, Climate change, Job Creation, Canopy Greens, Health and Safety.

PPP- Environmental Laboratory Infrastructure in Nigeria- www.canopygreens.com 2 | P a g e

Foreword:The need for PPP in the development of Environmental Laboratory Infrastructure in NigeriaThere is a severe shortage of infrastructural and technical capacity to deliver the standard of

laboratory services required for environmental assessment and environmental monitoring as

obtainable in other parts of the world today.

Quick Facts:

There is a serious shortage of technical and infrastructural capacity to analyze

environmental matrices in Nigeria.

The few commercial environmental laboratories available are concentrated in the south

and south west of the country where oil exploration activities abound.

There is only one DPR accredited laboratory in the whole of Northern Nigeria. This

laboratory does not have a GC-MS machine (the most basic and relevant piece of analytical

equipment in standard environmental laboratories around the world today).

The Nigerian environmental Regulatory Authorities (Ministry of Mines and Steel

Development, NESREA, NOSDRA, Federal Ministry of Environment, DPR) are ill-equipped to

adequately undertake environmental monitoring and other related regulatory activities

mainly due to lack of standard laboratory facilities and trained manpower.

There is currently NO Environmental Monitoring Framework in place in Nigeria. An

Environmental Monitoring Framework must be built upon the adequacy of environmental

monitoring infrastructure.

95% of all federal and state government-run environmental laboratory facilities are

substandard, lacking infrastructure, technical capacity & manpower, adequate and timely

funding.

None of the federal or state government environmental laboratory facilities are ISO

Certified;

There is an unhealthy focus on the environmental effects of oil and gas activities to the

detriment of other environmentally critical sectors including mining, construction,

agriculture, manufacturing, education and research; all of which are actively on-going and

rapidly developing in various parts of the country.

An in-depth analysis of this situation has identified that a PUBLIC PRIVATE PARTNERSHIP (PPP)

model can be adopted to overcome the challenges associated with the establishment of standard


environmental laboratory infrastructure within the country and promote the industry for long-

term environmental and sustainable development. The benefits of engaging in a PPP are

numerous but not limited to:

1. To enable the public sector harness the expertise and efficiencies that the private sector

can bring to the delivery of certain facilities and services traditionally procured and

delivered by the public sector;

2. To give value for money for the taxpayer through optimal risk transfer and risk

management

3. Creation of added value through synergies between public authorities and private sector

companies, in particular, through the integration and cross transfer of public and private

sector skills, knowledge and expertise;

4. Alleviation of capacity constraints and bottlenecks in the economy through higher

productivity of labour and capital resources in the delivery of projects;

5. Competition and greater service capacity (including the participation of overseas firms,

especially in joint ventures and partnering arrangements);

6. Accountability for the provision and delivery of quality public services through an

performance incentive management/regulatory regime;

7. Innovation and diversity in the provision of public services;

8. Effective utilization of state assets to the benefit of all users of public services;

9. Greater cost efficiency from integrating design and construction of public infrastructure

with financing, operation and maintenance/upgrading;

10. The challenges associated with the provision and maintenance of standard state-owned

environmental/analytical laboratory infrastructure as well as trained manpower in Nigeria

can be overcome by strategic partnership with the private sector.

The Establishment of PPP's to overcome critical infrastructural challenges is strongly endorsed by

the international community. The UNDP has and continues to play a vital role in helping

developing countries to build and foster such partnerships. As such, a PPP venture such as this will

be strategically poised to receive funding/aid from the international community in the form of

infrastructural, research, capacity building & leadership training and socio-economic development

grants. As highlighted above, such a venture will be an incentive for participation of overseas firms

and create an enabling environment for direct foreign investment.PPP- Environmental Laboratory Infrastructure in Nigeria- www.canopygreens.com 4 | P a g e

Development of a Public Private Partnership Enterprise- Environmental Analytical Laboratory in Abuja, Nigeria: sharing and coordinating resources and expertise; harnessing markets for development.

Development Objectives International: Millennium Development Goals National: Investment Stimulation, enhanced environmental and social compliance

standards

Business objectives New business investment opportunities New services More effective social and environmental risk management Youth employment and empowerment

1.0 BackgroundThe Oil & Gas servicing industry in Nigeria is currently valued at over 9 billion USD annually. Since

the discovery of oil, the sector has grown rapidly without a concurrent development in

infrastructure. The combination of an expanding population, weak institutional structures and

increasing poverty despite the high earnings from the industry have resulted in a rise in civil

unrest, propagation of illegal refineries and major environmental degradation. Before the

discovery of large hydrocarbon deposits, agriculture was the major Foreign Exchange Earner [FEE]

in Nigeria and has since struggled to maintain a relevant contribution to the country's GDP.

Attempts by the government to revive the agricultural sector have resulted in sharp increases in

the use of fertilizers and pesticides (most of which have been banned) which have more than

doubled in the last two decades. The unfavorable conditions for manufacturing and weak

enforcement institutions contribute to low compliance in the Manufacturing sector with similar

circumstances surrounding the Mining sector. As a result, severe environmental challenges

abound and concerns among the local populace and the international community continue to

grow.

A huge demand for environmental assessments and studies that cuts across these major sectors of

the economy is evident. Critical concerns over risks of environmental degradation, human health

and safety, declining biodiversity, oil spillages and associated disasters (such as pipeline or rig

explosions/negative corporate image/local unrest) including corporate sustainability mandates are

key compliance drivers. However, the technical capacity to deal with the enormity of the demand

is weak.


2.0 Project JustificationIt is imperative to focus on the development of local infrastructure to improve our capacity for

environmental management. This will enable the right environment for creativity, innovation and

real and practical change. Specific infrastructure that will help to improve the awareness and

compliance of environmental legislation among the national populace and promote standard

environmental practices in the above mentioned industries is: Environmental Analytical

Laboratories. The development of our local capacity to analyze environmental parameters,

generate and interpret the generated data is vital in realizing our goal of promoting environmental

sustainability in the country. Owning assets is important. This leads to asset maintenance, training,

job creation and improvement in the quality of locally sourced services. The accessibility of

qualitative and quantitative data is the bedrock of effective policy making and sustainable

development at all organizational levels. The utilization of the purest and most valuable resource

available to us, our intellectual reserves, is continually undermined because of the lack of

infrastructure. According to the E&P Forum/UNEP 1997, laboratories, laboratory supplies and

equipment are listed as Technical Services Infrastructure needed for environmental protection.

However, environmental protection and standards are often compromised due to high demand

and weak technical capacity.

3.0 Mission

The mission of the proposed lab is to raise the standard and quality of Environmental Studies in

Nigeria through chemical and environmental analysis. To analyze air, soil, water and other

relevant field samples and provide results and interpretations that will help to improve the Health,

Safety and Environmental [HSE] management performance of the Oil & Gas/ Agricultural/ Mining

and Manufacturing sectors; to ensure increased regulatory compliance in these sectors and

provide sound guidance in HSE policy making.

4.0 Vision

To provide support services for Federal Regulatory Enforcement Agencies

To fill the need for quality environmental laboratory analysis at the most cost efficient

price possible and become the leading commercial environmental laboratory in the

country.


5.0 Data Objectives

Data obtained from the proposed Environmental Analytical Laboratory will be used for Planning,

Policy making, implementation of relevant environmental legislation and compliance monitoring.

Hence, the laboratory should be able to capture sufficient data with adequate quality that will

satisfy technical and quality objectives.

Data derived from this Environmental Laboratory is intended for use in the following areas:

1. Environmental baseline and compliance monitoring programs

2. Site Assessment and Remediation

3. Sediment Assessment for dredging

4. Drinking, Catchment and Recycled water monitoring

5. Occupational Health and Safety

6. Agricultural Testing Services

7. Related disciplines requiring a sophisticated analytical approach

6.0 Policy Review & Recommendations

As highlighted in the Policy Review section in Chapter 3 of our proposal, our policy review and

recommendations will create an enabling environment for the growth and development of

laboratory infrastructure nationwide. The increase in demand for laboratory services will drive

investments and development in the sector.

Strategic timing is crucial in positioning ANALAB to quickly key in and capture the majority of the

market share.

7.0 Expected Delivery

A fully functional laboratory that can support environmental research, analyze all samples

obtained from environmental matrices that cut across the Oil & Gas, Mining, Agriculture and

Manufacturing sectors.
