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1723810 Vol 10 · Issue 4 Download Paper

Where the Exposure Goes: How a Statutory Procurement Default Relocates Risk in Nigerian Public Construction

Aliyu S. Murtala M. S. Precious P. S. Samaila M. Yahaya U. F.

Subject area: Science,Engineering and Technology  ·  Area of research: Procurement Management

Abstract

A risk analysis reveals what exposures exist and how they should be addressed. Procurement law sets the range of responses that is possible. The purpose of this paper is to determine where the exposure ends up in case of conflict between these two. This study combines the document analysis of Nigeria's Public Procurement Act 2007 with the structured content analysis of nineteen papers on procurement regulation and developing economy contexts discovered through the specified search strategy and selected based on the set criteria. All procurement methods prescribed in the Act are compared regarding their appropriateness in satisfying the four exposure types detected in risk analysis. Open competitive bidding, which is the default procedure of the Act according to section 24, is unfitting to address all four of them. Those which perform better belong to Part VII of the Act and are conditional upon specific justification that the procuring organization might not have. Thus, the exposure is displaced onto two methods that are allowed within any of the routes: the stringency of the prequalification process of the bidder, and the contract instruments which are attached to the award of the contract. The Nigerian articles of evidence address sustainable procurement and the risk of bid evaluation in the projects of public tertiary institutions. However, neither their titles nor abstracts offer any assessment of the stringency of prequalification and the contract terms. Thus, it is unknown whether these two methods can accommodate the exposure. One legislative improvement proposal is offered: allowing for a documented risk analysis to justify the restricted or direct procurement route, provided that it is independently verified.

Keywords

contractual instruments; prequalification; public procurement regulation; risk allocation; statutory default

References

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How to cite this paper

Aliyu S., Murtala M. S., Precious P. S., Samaila M., Yahaya U. F. "Where the Exposure Goes: How a Statutory Procurement Default Relocates Risk in Nigerian Public Construction" Iconic Research And Engineering Journals Volume 10 Issue 4 2026 Page 1332-1341
Aliyu S., Murtala M. S., Precious P. S., Samaila M., Yahaya U. F. "Where the Exposure Goes: How a Statutory Procurement Default Relocates Risk in Nigerian Public Construction" Iconic Research And Engineering Journals, vol. 10, no. 4, Oct. 2026
Aliyu S., Murtala M. S., Precious P. S., Samaila M., Yahaya U. F. (2026). Where the Exposure Goes: How a Statutory Procurement Default Relocates Risk in Nigerian Public Construction. Iconic Research And Engineering Journals, 10(4).
Aliyu S., Murtala M. S., Precious P. S., Samaila M., Yahaya U. F. "Where the Exposure Goes: How a Statutory Procurement Default Relocates Risk in Nigerian Public Construction" Iconic Research And Engineering Journals, vol. 10, no. 4, Oct. 2026.
@article{1723810,
      author = {Aliyu S., Murtala M. S., Precious P. S., Samaila M., Yahaya U. F.},
      title = {Where the Exposure Goes: How a Statutory Procurement Default Relocates Risk in Nigerian Public Construction},
      journal = {Iconic Research And Engineering Journals},
      year = {2026},
      volume = {10},
      number = {4},
      pages = {1332-1341},
      issn = {2456-8880},
      url = {https://www.irejournals.com/formatedpaper/1723810.pdf},
      abstract = {A risk analysis reveals what exposures exist and how they should be addressed. Procurement law sets the range of responses that is possible. The purpose of this paper is to determine where the exposure ends up in case of conflict between these two. This study combines the document analysis of Nigeria's Public Procurement Act 2007 with the structured content analysis of nineteen papers on procurement regulation and developing economy contexts discovered through the specified search strategy and selected based on the set criteria. All procurement methods prescribed in the Act are compared regarding their appropriateness in satisfying the four exposure types detected in risk analysis. Open competitive bidding, which is the default procedure of the Act according to section 24, is unfitting to address all four of them. Those which perform better belong to Part VII of the Act and are conditional upon specific justification that the procuring organization might not have. Thus, the exposure is displaced onto two methods that are allowed within any of the routes: the stringency of the prequalification process of the bidder, and the contract instruments which are attached to the award of the contract. The Nigerian articles of evidence address sustainable procurement and the risk of bid evaluation in the projects of public tertiary institutions. However, neither their titles nor abstracts offer any assessment of the stringency of prequalification and the contract terms. Thus, it is unknown whether these two methods can accommodate the exposure. One legislative improvement proposal is offered: allowing for a documented risk analysis to justify the restricted or direct procurement route, provided that it is independently verified.},
      keywords = {contractual instruments; prequalification; public procurement regulation; risk allocation; statutory default},
      month = {October},
  }