The Nation Newspaper

Category: Maritime

  • NPA, Police collaborate to secure ports

    The Police and the Nigerian Ports Authority(NPA) are partnering to protect the ports against terrorism and other crimes.

    Executive Director, Marine and Operations, NPA, Mr David Omonibeke, told The Nation that the NPA appreciates the crucial roles of the Police, and will continue to cultivate, maintain and sustain a mutual working relationship with them.

    NPA, he said, would continue to support the port police by providing necessary logistics to enhance their operation in securing the ports.

    Omonibeke noted that the new Commissioner of Police, Mrs Sherifat Disu Olakoju, has made remarkable changes since she assumed office.

    The General Manager, Security, NPA, Col. Jamil Tahir (rtd), said the seaports had not been attacked by terrorists because of the synergy between NPA and security agencies.

    The Ports Police Commissioner, however, said that a lot more needs to be done to improve security of the ports facilities.

    She urged NPA to support her officers in marine training, provision of patrol vehicles, accommodation, communication gadgets, sniffer dogs and a host of other equipment.

  • Congestion looms at port over tax number

    Congestion looms at port over tax number

    • 50 containers, vehicles trapped

    Fresh crisis is looming at the Lagos ports over the introduction of Tax Identification Number (TIN) by the Federal Inland Revenue Service (FIRS) and the Customs.

    According to Customs, the provision of TIN is now a prerequisite for importers to clear goods from the seaport.

    Investigation showed that over 50 containers and several vehicles are now trapped in the port because the owners could not provide their TIN.

    Consignments belonging to an individual, who does not have the TIN, may be forfeited unless the authority addresses the issue.

    For instance, Mr Adelaja Oguntulu (70), whose son Goke sent him a vehicle from Germany, could not get the vehicle out of the port because he does not have TIN.

    The clearing agent, the septuagenerian alleged, told him that the document for his vehicle could not be processed because he does not have TIN.

    FIRS and the Customs, he said, would create congestion at the port if they continue to apply the TIN policy to individuals.

    Oguntulu said he retired over 10 years ago and has not received his gratuity from his employers. His children, he said, are responsible for his up-keep, yet the Customs want him who is not working to give them Tax Number.

    “Which tax number do they want me to give them? I am not working and do not receive salary from anybody or is it from the money sent to me from my children living abroad they want me to pay tax? I hope this people are not planning to send some of us to our early graves because they want to collect money by all means,” Oguntulu said.

    When The Nation called him on phone, the President, Association of Nigerian Licensed Customs agents (ANCLA), Alhaji Olayiwola Shittu, said every Nigerian above 18 years must have TIN to clear goods from the port.

    Shittu said Nigerians above 18 years can go to FIRS to obtain their TIN whether they paid tax in the past or not.

    The ANCLA boss also said once an individual has paid his tax to the Lagos State or Federal Governments, for instance, the TIN will be given to him to transact his business at the ports.

    He warned clearing agents to stop payment of duty for importers, as Customs will always ask for the TIN of the affected importer.

  • Reps summon Dikko over 2007–2010 remittances

    The House of Representatives Committee on Public Accounts, has summoned Comptroller General of Customs, Alhaji Abdullahi Dikko, on issue bothering on the 2007–2010 remittances the Service made to the Federation Account.

    Dikko, source said, has been mandated to appear before the committee on April 10.

    The Customs boss, House source said, will respond to the issues raised by the Office of the Auditor-General of the Federation.

    The committee, investigating remittances by revenue generating agencies, source said, has alleged that Alhaji Dikko had ignored six invitations sent to him in the past, and advised him to honour the current invitation.

    The Chairman of the committee, Mr Solomon Olamilekan, source said, was not happy that Dikko did not honour their invitation.

  • NIMASA warns against employment scam

    The Nigerian Maritime Administration and Safety Agency (NIMASA) has raised an alarm over a web-based syndicate that is using its name to defraud unsuspecting Nigerians by inviting employment applications from the public to fill vacancies in the agency.

    The Deputy Director, Public Affairs of ths agency, Hajia Lami Tumaka, said the agency was not happy over the development and dissociates itself from the unauthorised syndicate and Internet-related activities of the group, including the payment for employment forms and processing fees.

    She said the agency’s recruitment exercises are always advertised in the Nigerian dailies, the agency’s newsletter and website.

    “Any person or group of persons patronising this unauthorised syndicate do so at his or her own risk as the agency has not commissioned any person or group of persons to conduct recruitment exercise on its behalf at this time,” she said.

    She warned members of the public from falling prey as she said there is no organisation or agency under the Federal Ministry of Transport known as The Nigerian Maritime Security Agency.

    She said her office is open to people to ask question on issues relating to the agency and urged them to always make use of the opportunity.

  • Local investors still at foreigners’ mercy

    Local investors still at foreigners’ mercy

    The Presidential maritime retreat that was held last year was aimed at revamping the sector this year and it was laudable.

    Although it was attended by many operators from private and public sectors, some of the operators said they are yet to see any significant effort by the government to turn around the fortunes of the indigenous operators despite the the fact that the retreat was chaired by President Goodluck Jonathan.

    For instance, the retreat, operators said, has failed to bring significant development to indigenous participation as over 80 per cent of shipping companies have closed shops and more are threatened.

    The remaining 20 per cent ships owned by Nigerians that engaged in the coastal trade are also rotting away on the nation’s waters, while foreign ship owners are smiling to the banks due to the non release of the Cabotage Vessel Finance Fund (CVFF) meant to empower indigenous shipowners to meet the capital intensive and competitive needs of the shipping sector.

     

    NIMASA and CVFF

    Observers say the Nigerian Maritime Administration and Safety Agency (NIMASA) performed well during the first quarter of the year.

    The agency, they said, showed enough comitment to combat piracy and oil theft on the nation’s waters. The agency also sent 1,000 Nigerians abroad for seafarers training in January. The programme, operators said, is laudable as the students would be trained up to degree level in the Nautical Sciences, Marine Engineering and Naval Architecture.

    The draw back to the programme, they said, is the non-involvement of many youths outside the Niger Delta Region and they urge the management of the agency to address the mistake.

    Also, indigenous participation in the shipping sector which is the core responsibility of the agency was at its lowest ebb during the first quarter of the year because of lack of fund from the government and the non-implementation of the far reaching recommendations made during the Presidential retreat, which included disbursment of the Cabotage fund to indigenous ship owners.

    Against this backdrop, stakeholders have urged President Jonathan to prevail on officials of the Ministry of Transport to support NIMASA to disburse the fund.

     

    NPA and Channel management

    The Nigerian Ports Authority (NPA) has fixed over 80 per cent of ports access roads in and outside Lagos.

    NPA said Apapa port access road would be completed before the end of the second quarter. NPA has improved on its channel management. It has been able to remove 100 per cent of wrecks on Lagos channel, and is already working on the ones at Calabar port to make it attractive for business.

    NPA also recorded successes in good investment by local and foreign investors in port concession, Build Operate and Transfer (BOT) and project funding through amortisation.

    The Managing Director of NPA, Mallam Habib Abdullahi and new board members of the authority are working on a 25-year-port development plan as a strategic policy for effective utilisation of resources and efficient service delivery in the industry.

    But NPA staff also joined the fray over the plan of the Bureau of Public Enterprises (BPE) to concession NPA’s marine service. The exercise, they said, would increase the cost of doing business.

     

    Shippers’ Council

    The appointment of the Acting Executive Secretary/Chief Executive Officer of the Nigerian Shippers’ Council (NSC) Mr Hassan Bello by the Minister of Transport, Senator Idris Umar was seen as a roud peg in a roud hole.

    Bello said is set to attract over three million metric tonnes of cargo to Nigeria’s sea ports from Niger Republic.

    The Council is also working to ensure that the Federal Government and government of Niger Republic discharge their international law obligations as coastal transit state and landlocked state.

     

    Customs and

    destination inspectors

    The plan by the Nigeria Customs Service to take over the destination inspection scheme during the first quarter of the year did not matrialised based on the extension by six months of the contracts of Destination Inspectors (DIs) in January by President Goodluck Jonathan.

    The service providers are Cotecna Destination Inspection Limited, SGS Scanning Nigeria Limited, Global Scan Systems Limited and Webb Fountain (Nigeria) Limited.

    During the period, the House of Repre-sentatives directed its Committee on Customs and Excise to probe the extension of the N275 billion contract.

    Stakeholders said the country’s revenue potential is not being realised because the DIs are not paying the correct taxes. Over $1 billion, they said, was lost.

    Operators are waiting for the Comptroller-General of Customs Alhaji Dikko Abdullahi to take over in June.

     

    Foreign ship

    domination

    Durin the first quarter, foreign ships owners still dominating the nation’s waters. Former President Olusegun Obasanjo is one of the stakeholders that bemoaned the dominance of foreign-flagged vessels.

    Speaking at the opening of the Nigeria Maritime Expo (NIMAREX) in Lagos last month, Obasanjo said the domination costs Nigeria huge revenue losses yearly.

    “At present, the maritime sector is characterised by the domination of foreign-flagged vessels, especially those of developed market economies of Western Europe and America. This situation has led to a loss of billions of naira annually in freight revenue,” he said.

    ISAN General Secretary, Niyi Labinjo said his members are not expecting anything good to come out of President Jonathan’s administration this year.

    “It will be disaster as usual. Our investments continue to diminish, more and more shipping companies continue to fold up,” he said.

    Labinjo accused the government of deliberately taking actions that continue to stifle the growth of the maritime industry.

     

    Stakeholders

    condemn FoB policy

    In the review period, the country was said to lose about $500 million yearly due to the use of Free on Board (FoB), a trade policy in the lifting of crude oil, that has been faulted by experts.

    FoB specifies, which party (buyer or seller) pays for the shipment and loading costs, and/or where responsibility for the goods is transferred.

    Stakeholders stressed the need for the Federal Government to adopt Cost, Insurance and Freight (CIF) for the lifting of crude oil.

    CIF is a trade term, which requires the seller to arrange for the carriage of goods by sea to a port of destination, and provide the buyer with the documents necessary to obtain the goods from the carrier.

     

    24-hour port operation

    Despite the euphoria that greeted its introduction, the attainment of a 24-hour port operation policy of President Jonathan is still a far cry from reality.

    The dearth of officials to carry out the night pilotage scheme remains a challenge. Poor infrastructure, lack of proper education of importers and clearing agents, high level of insecurity and inconsistency in government policies, are also cited as others contending issues.

     

    Wrecks and

    abandoned vessels

    The issue of abandoned vessels and wreck removal on the Lagos waters became serious issue during the quarter.

    Lagos State Governor, Babatunde Fashola urged President Jonathan to remove the wrecks because of the dangers they pose to over 18 million Lagosians and the eco-system.

    NIMASA’s helmsman, Akpobolokemi, told The Nation that the agency was ready to partner the Lagos State Government to remove the abandoned vessels immediately the government awards the contract.

    The minister of Transport, Senator Idris Umar, has promised that the contract for the removal of the wrecks would soon be awarded.

    Stakeholders hope that the wrecks would be removed before the end of the second quarter of the year.

  • Tariff pushes rice price to N13,000 per bag

    The introduction of 10per cent import duty and 100 per cent levy on imported rice by the Federal Government has led to an increase in the commodity’s price.

    A 50-kilogramme bag of rice, importers said, may sell for over N15,000 before the middle of the year unless the government reviewed its policy.

    It was learnt that a 50-kg bag of rice sells for between N12,000 and N13,000, depending on the brand.

    On January 1, the Federal Government raised the Special Levy on imported parboiled rice from 40 per cent to 100 per cent. With the 10 per cent statutory duty on rice, importers pay 110 per cent duty on the commodity.

    However, the duty on rice in other parts of West Africa is 10 per cent.

    The price of rice, sources at the Nigerian Ports Authority (NPA) said, has risen because importers of bulk cargoes at the seaports have reduced the volume of imports because of the government policy.

    In December, rice sold for N8,000 and N9,000.

    The Central Bank of Nigeria (CBN), in a February 6 circular by its Director, Trade and Exchange, W.D. Gotring, said: “Husked brown rice, semi-milled or wholly milled rice, whether or not polished or glazed will attract an import duty rate of 10 per cent plus a levy of 100 per cent.”

    Investigation revealed that, since the introduction of the new policy, there has been sharp decline in the number of rice vessels that call at the ports.

    A survey has shown that price of rice has gone up beyond what it was before the government introduced the new policy.

    Some of the rice dealers, who spoke with The Nation, confirmed that the introduction of the new levy and the ban placed on rice importation through the land borders are responsible for the hike in the price of rice.

    For instance, Mama Gold and Tomato Rice, which sold for between N8,000 and N9,000 during the Yuletide and New Year now sell for between N12,500 and N13,000.

  • ANLCA, CRFFN end feud

    The feud between the Association of Nigeria LicensedCustoms Agents (ANLCA) and the Council for the Regulation of Freight Forwarding in Nigeria (CRFFN) has been resolved, The Nation has gathered.

    The problem started when ANLCA National President Prince Olayiwola Shittu resigned from the council, following the approval granted CRFFN by the Federal Government to collect transaction fees at seaports, airports, and land borders.

    The crisis generated by the approval forced the Minister of Transport, Senator Idris Umar, to rescind his decision and directed the council to stop the collection of the fees from port operators.

    The charges approved by government then, include, N1.50 per kilometre for air cargo, N1,000 per 20 ft container, N2,000 per 40 ft container, N500 per car/jeep, N1,000 per truck or 20ft equivalent, N2,000 per truck or 40ft equivalent, N3.50 per tonnes for general cargo and N1.00 per tonnes for dry bulk cargo.

    But the ANLCA chief told said on Friday that the group has decided to give peace a chance based on the intervention of the Acting Executive Secretary, Nigerian Shippers Council, Mr Hassan Bello and meetings they held with the Registrar of CRFFN; Sir Mike Jukwe, to resolve the crisis.

    Some grounds, he said, have been shifted by the ‘feuding parties’ to end the crisis.

    “We have been meeting with the Registrar of CRFFN and I have no doubt that we shall resolve all the areas of conflict,” he said.

    He said the highest hierarchy of ANLCA has endorsed the terms of agreement and assured that the crisis with the CRFFN will ended to promote port business.

  • Senate may pass CEMA Bill before June

    The Chairman, Senate Committee on Customs, Senator Ahmed Makarfi, has said the Customs and Excise Management Act (CEMA) Amendment Bill would be passed before June.

    Speaking during his committee’s visit to Customs Headquarters in Abuja, Makarfi said the Senate would ensure that the CEMA Bill was passed before the expiration of the contract to service providers on Destination Inspection (DI) in June.

    The bill, he said, would address the problem of inadequate funding and ensure “autonomy’’ for the service.

    He said senators see the passage of the bill as crucial to the economy.

    Makarfi said in terms of priority, the CEMA Bill was second to the Petroleum Industry Bill (PIB), which has scaled second reading at the Senate.

    He assured that the bill would receive presidential assent because some of the contentious sections in the Bill had been resolved.

    The committee, he added, received 38 objections out of 48 submissions on the bill.

    “Through discussions most of them (the objections) were settled and only about eight remained for discussion.

    “The bill is not for one individual or institution, it is for the country, and, therefore, we believe that the bill as it is when passed will be a good bill for Nigeria,” he said.

    Asked whether Customs would remain under the Ministry of Finance when bill is passed, he said: “Every agency must remain somewhere.

    “But the issue is that they will have the autonomy required.”

    On the ability of Customs to take over from service providers, Makarfi said the service has the requisite facility and manpower.

    “What is important is that with the facilities we have seen by June they (Customs) should be capable to continue to do their (service providers) job.’’

  • Board of inquiry sits in Lagos

    The Marine Board of Inquiry set up by the Federal Ministry of Transport to probe the MT Concept/Redfferm oil spill at the Tin Can Island, Lagos in 2009 has started sitting in Lagos.

    The board, which was inaugurated last month by the Minister of Transport, Senator Idris Umar, has Chief Nureni Kuranga as president.

    Its terms of reference include investigation of the circumstances that led to the incident, authenticate the veracity of the incident as reported, ascertain the legal status of the MT Concept/Redferm and its tonnage capacity. It is also to find out if MT Concept/Redferrm is covered by the relevant insurance policy as provided for by the International Oil Pollution Compensation (IOPC) Funds convention, determine the legal beneficiaries of any compensation arising and make any other recommendation that the committee may deem appropriate.

    Kuranga called on stakeholders in the maritime sector to work with the Federal Government in establishing a Marine Accident Investigation Bureau as this would ensure that investigation is carried out when evidence is still fresh and victims compensated without delay.

    He assured the victims of the oil spillage incident that the Board would make recommendations that would assist the Federal Government in taking a position that would further assist the IOPC London at making a fair and just decision.

  • Fashola to Jonathan: ship wrecks deface Lagos coastline

    Fashola to Jonathan: ship wrecks deface Lagos coastline

    Lagos State Governor Babatunde Fashola has urged President Goodluck Jonathan to ensure the removal of ship wrecks and abandoned vessels from the city’s coastline.

    The wrecks and vessels are defacing the coastline, Fashola said at the Nigeria Maritime Expo (NIMAREX) in Lagos.

    Represented by his Commissioner of Transport Mr Kayode Opeifa, Fashola said in Lagos, over 250 metres of the coastline have been eroded in the last three years by abandoned vessels and wrecked ships.

    He urged the Federal Government to save over 18 million Lagosians from ocean surge.

    Torrential rains in parts of the state last year, he said, were tragic as many lives were lost and properties worth millions of naira washed away.

    The wrecks should be removed because they could serve as hide-outs to miscreants, he said.

    Fashola said the state,which is the commercial nerve centre of the country, was shut and economic activities grounded to a halt following fears of flooding because of failure to remove the wrecks and vessels.

    Most of the villages on the Alpha Beach, the governor said, were deserted by the residents because of the last year’s flood, warning that there may be a recurrence unless the Federal Government removed the wrecks and abandoned vessels.

    Last year’s ocean surge, the governor said, was terrible because of the wrecks.

    Fashola said the incident was a wake-up call for the Federal Government to take climate changes seriously.

    He said there were wrecks which were potentially, either dangerous to navigation, decayed or had become hazardous, toxic and could be dangerous to the health of the people.

    “We have to look into ways we can tackle the problems of ship wrecks. Ship wrecks have rendered the Lagos coastline not as safe as we intend it to be. They abound all over the state and they have become very, very difficult and expensive for us to maintain.

    “The recent ocean surge along our beach line is a testimony to the problem they posed to our environment.

    “It you visit Alpha beach and a lot of Lagos beaches, you will see that they are almost gone. The major cause of this is ship wreck,” Fashola said.

    In his speach, the Minister of Transport, Senator Idris Umar, who represented President Goodluck Jonathan at the event, said the Federal Government is set to remove all the wrecks along the channels.

    The Minister assured that the contract for the removal of the wrecks would be awarded before the end of the secon quarter of the year.

    Umar also said the contract for the rehabilitation of the rail line linking Apapa would be awarded.

    United States’ Consul-General in Nigeria, Mr Jeffrey Hawkins, deplored what he called the high level of insecurity on the waterways.

    The Federal Government, he said, is losing about $7 billion annually because of piracy on the nation’s territorial waters and Gulf of Guinea.

    Pirate attacks and sea robbery, he said, remained the major obstacles against foreign direct investment.

    He claimed that some security officials were privy to some illegal activities off the nation’s coast.

    He said from cargo theft to kidnapping for ransom, the Gulf of Guinea was becoming a more dangerous place to do business.

    Available data and the anecdotal evidence, he said, showed that the situation is worrisome, adding that Americans do not see any hope that the situation will get better soon unless the government improves its institutional collaboration and shows the political will to tackle the problem.

    “The International Maritime Bureau (IMB) recently reported that sea piracy around the globe dropped substantially in 2012, to its lowest level in five years. Yet, at the same time, the frequency of maritime attacks in the Gulf of Guinea has increased significantly. The IMB reported 10 attacks off Nigeria in 2011, then 27 attacks in 2012, and most people we’ve talked with, have suggested the IMB figures only account for a portion of actual incidents,” Hawkins said.