Public corporations in Nigeria are established through

1. Analyze the question The question asks how public corporations (government-owned bodies such as NNPC, NEPA/PHCN, NPA and the Nigerian Railway Corporation) are legally created in Nigeria.

2. Explain the concept A public corporation is a business or service organisation owned and controlled by the government and set up to provide essential services or carry out commercial activities in the public interest. It is a legal entity, which means it can sue and be sued, own property and enter contracts. Because of this, it needs a legal instrument to bring it into existence. In Nigeria, that instrument is a statute (an Act of the National Assembly), or a Law of a State House of Assembly for state-owned corporations. The enabling law spells out the corporation's objectives, powers, structure, funding and the extent of its accountability to the government.

3. Step-by-step solution

• A. Act of parliament: Correct. Public corporations are created by statute, for example the Nigerian Ports Authority Act and the Nigerian National Petroleum Corporation Act (since replaced by the Petroleum Industry Act, which created NNPC Ltd).
• B. Executive order: This is a directive from the President to manage the executive branch's operations. It is not the normal way of creating a corporate body with its own legal personality.
• C. Order-in-Council: This is a colonial and British-style instrument issued by the Crown (the Queen or King acting on the advice of the Privy Council). It is not how Nigeria creates public corporations today.
• D. Judicial review: This is the court's power to examine the legality of government actions. It has nothing to do with establishing organisations.

4. Answer The correct option is A. Act of parliament.

5. Exam tip Remember: "Public corporation = Public law." If a question asks how a public corporation is set up, think of a statute or an Act. By contrast, private companies are registered under the Companies and Allied Matters Act (CAMA) through the Corporate Affairs Commission.