By Felix Khanoba
The Federal Government has made registration with the Equipment Leasing Registration Authority (ELRA) a mandatory requirement for contractors seeking to participate in public procurement processes involving the leasing, hiring or provision of equipment.
Under the new directive, Ministries, Departments and Agencies (MDAs), as well as other procuring entities, are required to demand evidence of ELRA registration from prospective bidders involved in equipment leasing, with non-compliant bids liable to rejection.
The directive was conveyed in a circular issued by the Secretary to the Government of the Federation, Sen. George Akume, dated August 12, 2026, with reference number 59780/S.2/B/584.
The circular also directed government agencies to incorporate compliance with the registration of lease agreements, in accordance with Section 13 of the Equipment Leasing Act, 2015, as an additional eligibility and responsiveness criterion for bids involving equipment leasing.
In a statement issued on Wednesday, the Director-General and Chief Executive Officer of the Bureau of Public Procurement (BPP), Dr. Adebowale A. Adedokun, called on all MDAs and procuring entities to ensure strict compliance with the directive.
Adedokun said the measure was designed to strengthen regulatory compliance, promote safety and quality standards, and eliminate unregistered and unregulated equipment leasing practices in public procurement.
He stressed that all procurement advertisements and solicitation documents for new projects and programmes must clearly state the ELRA registration requirement.
According to the BPP, the directive covers prequalification exercises, financial bids and combined procurement exercises involving equipment leasing.
The bureau further warned that procurement approvals and contract awards would not be granted or recognised for equipment leasing procedures that fail to meet the stipulated requirements.
It also directed MDAs, prospective government contractors and other procuring entities to give the circular wide circulation and ensure full compliance, warning that appropriate administrative and regulatory sanctions would be imposed for violations.
“All MDAs, Prospective Government Contractors, and Procuring Entities have therefore been directed to give the circular wide circulation and ensure strict compliance, with appropriate administrative and regulatory sanctions to be applied for non-compliance,” the statement said.
The Federal Government said the measure reflects the importance of a properly regulated equipment leasing sector to effective public procurement, responsible asset management and sustainable economic development.
