The Nation Newspaper

Category: Maritime

  • Govt amortises Onne Port

    • Firm to invest $370m 

    The Onne Port in Rivers State has been amortised by the Federal Government to ensure its optimal use.

    Information Minister Mr Labaran Maku said President Goodluck Jonathan gave the Nigerian Ports Authority (NPA) the nod to amortise the port to Intels Nigeria Limited.

    Maku spoke during a visit to the Federal Ocean Terminal (FOT), Onne, Port Harcourt, the Rivers State capital.

    He said as part of the agreement, Intels would invest $370,481,720 in the terminal and the development of the maritime hub and gas activities to international standard.

    Intels, the minister added, is expected to complete work in 40 months and use the terminal for 20 years to recoup its investment.

    The deal, Maku said, involves the execution of 11 strategic projects to improve port operations, security and infrastructural development to international standard.

    Presidency sources, told The Nation that Intels would reclaim 900,000 metres of swamp land with 11 million cubic metres of sand to facilitate the use of the terminal.

    The President, sources said, also directed that a 750-metre quay wall be constructed to expand berths 9, 10, and 11.

    “The quay apron is an L shaped jetty construction along the Bonny River, closed quays with 1.1 meter thick concrete diaphragm wall to a depth of 26 metre in front, and anchor concrete wall at the back. The design entails the driving of 9000 cement/sand vibrio piles to consolidate the area while the concrete deck is 250-metre thick on compacted soil,” the source said.

    Intels, The Nation gathered, has been directed to work on a comprehensive treated water supply scheme that would serve the berths in the terminal.

    The supply includes the distribution network and hydrants for fire/industrial water supply with four boreholes connected to the automated treatment plant.

    The company is also expected to provide steady power supply to the terminal with high capacity generator, two transformers and six substations to illuminate the port and the port access roads to boost security.

    “The roads are to be illuminated to enhance security. This would facilitate the 24-hour operation at the port. Intel is expected to provide 35 high security lightning poles at 120 metre centres. 4.5 internal road networks is to be constructed along the swamp areas. The road pavement is of 54,000 metres to cover a compacted stone base.

    “Intels will also erect a 3.6 kilometre chain link wire mesh to demarcate the industrial area from the quay apron at FOT and FLT, including nine automated controlled gates with security house at strategic location to reduce access to the quay area. The company will also see to the construction of a new trailer park with reinforced concrete pavement to accommodate about 200 trailers daily,” the source said.

     

  • Ship owners flay Cabotage Act

    The Indigenous Ship Owners Association of Nigeria (ISAN) has berated the inability of the Federal Government for not enforcing the Coastal and Inland Shipping Act 2003 (Cabotage Act) to enable them to participate in crude oil lifting.

    Speaking with The Nation in Lagos, its General Secretary, Capt. Niyi Labinjo, urged the government to implement the law and give indigenous companies opportunity to participate in the oil business.

    The country, he said, exports about 2.5 million barrels of oil yearly, wondering why the indigenous ship owners are not empowered to lift about 1.5 million barrels.

    The banks, he said, were willing to give them loans if the government could give them some contracts to lift oil.

    He cited Brazil where the government approves about 700 agencies to issue certificate of compliance on local content.

    Labinjo said about five years ago, the government trained 200 cadets under the National Seafarers Development Programme and regretted that since there were not enough shipping companies to employ them, the cadets had been rendered jobless.

    He advised the government to provide enough funds for the Maritime Academy of Nigeria (MAN), Oron in Akwa Ibom, to enable the academy to produce more cadets for the nation.

    “We will continue to press the government. We’ll continue to make our views known about the need for proper compliance with cabotage; about the need for proper compliance with the Nigerian Content Act.

    “If I have a government that is insisting that this year out of the 2.5 million barrels of oil that Nigeria exports, 1.5 million barrels would be carried by Nigerian and they say, ‘ISAN take this 1.5 million barrels, go and carry it,’ we will gladly go to the bank. The bank will give us money and we will do it.”

     

     

     

     

  • NPA workers protest BPE’s planned concession of marine service

    Nigerian Port Authority (NPA) workers have risen against the planned concession of the firm marine services by the Bureau of Public Enterprises (BPE).

    The Senior Staff Association (SSA) said the service was the only thing left for NPA after its concession in 2006.

    Speaking with The Nation in Lagos, the association’s President, Comrade Umar Omeiza Jimoh, said the BPE’s decision as contained in a letter addressed to NPA Managing Director on Janaury 18, would amount to re-concessioning of concessioned services under public-private partnership (PPP).

    NPA, he said, was healthy and carrying out the services beneficially for the nation, adding that there is no need for BPE to concession the service.

    He said: “The move of BPE to snatch marine/harbours ancillary services from NPA has no legal backing and the port activities enable NPA to involve PPP in all its service. BPE should remember that the terminals concesioned by BPE, NPA and other government agencies was done under the Port Act of 1999. Based on the above premise, we believe BPE is suffering from reactive declining syndrome.

    “NPA is healthy and we are on top of maritime business. BPE should flash its touch light on areas it has not performed well like NITEL, PHCN and others not NPA,” he said.

    Jimoh described BPE as an agent of some cabal in the government working to take over NPA and give it to their children.

    He said the concession, carried out, would lead to security threat, loss of government revenue, high cost of services, mass sack and denial of common user facilities in the ports.

    Jimoh urged the National Assembly to stop BPE from going ahead with the plan

    He said: “The country has witnessed enough insecurity in the recent past. With her marine and harbours in the hand of private operators, one can imagine the chaos this will trigger security-wise.Gideon Okar’s coup issue should be remembered.

    “Today, the government is earning revenue in its totality from services of marine/harbours and its ancillary services to the port users, if given to private hands, revenue coming to government will reduce tremendously while the cabals will be smiling to the bank and government will be strangulated. NPA has been effectively performing her responsibility in rendering money to Federal Government account as when required,” he said.

     

  • Naval chief woos Customs

    The Chief of Naval Staff, Vice-Admiral Dele Ezeoba, has called for a joint patrol with the Nigeria Customs Service (NCS) to secure the borders.

    He spoke when he visited the Comptroller-General of Customs, Alhaji Abdullahi Dikko, in Abuja.

    “It is my belief that in the nearest future we will be able to extend our level of partnership by exercising joint patrols as appropriate within a clearly defined operational command and control structure,” he said.

    Ezeoba said the Navy is constitutionally required to assist the Customs in the en-forcement of customs laws and regulations.

    He added that within the context of the emerging challenges, the two organisations needed to “strike a chord of strategic partnership’’ to help discharge their duties effectively.

    The naval chief said it was common knowledge that security agencies tend to exercise authority “within their comfort zone.”

    He, however, cautioned that such practice did not augur well for the required synergy between security agencies.

    He requested Customs to train naval officers on items on the import prohibition list.

    The training, he said, would enable naval officers on patrol on the high seas to “know what to look out for, in what quantum and what defines other law infringements.”

    Ezeoba, who commended Dikko for the ongoing reforms in the NCS, said the Navy has a lot to learn from his experience.

    Dikko pledged that the Customs would continue to work with the Navy, particularly in the area of operations and training.

    He said both security agencies had enjoyed very “cordial and good relationship.”

     

  • Customs, exporters battle over EEG

    The Customs and the Federation of Agricultural Commodity Association of Nigeria (FACAN) are bickering over the implementation of the Export Expansion Grant (EEG).

    FACAN accused Customs of rejecting Negotiable Duty Credit Certificates (NDCC) for payment.

    But Customs denied the allegation, claiming that some members of the association are misusing the grant.

    The Federal Government introduced EEG in 2005 and adopted the use of NDCC for payment of import duty for some machinery and critical raw materials, to cushion the effect of infrastructural deficiency faced by exporters.

    The Customs said it has not stopped the use of the certificates for payment, but only embarked on close monitoring, to check abuse.

    FACAN’s National President Dr Victor Iyama said the government gave the grant for the payment of import duties.

    He said some exporters were not able to redeem their EEGs for years because of the Customs’ refusal to honour their requests.

    Some exporters, he said, had not been able to enjoy the grant because of the Customs.

    He said: “It is affecting their revenue collection because whenever they take it, they also lose their own seven per cent of their revenue.

    “It’s a well-designed incentive by the Federal Government to grow non-oil export sector. There is still a clog in the wheel of progress. There has always been one problem or the other.

    “The Federal Government gives EEG in form of NDCC’s; that is, the Negotiable Duty Customs Certificate. It can only be redeemed through payment of import duties.

    “For quite some time, exporters have been having a running battle in disposing the certificates because as an exporter you can either use it to pay for duties for the goods you have imported or sell it to a third party to pay with, of course, a discount.

    “But for some time, it has been difficult because the Customs has been a clog in the wheel of progress because they are saying that it is affecting their own revenue collection because whenever they take it, they also lose their own seven per cent revenue, which is the normal seven per cent they get from the accrued revenue.’’

    Iyama said the EEG is not like subsidy. He urged the government to assist in sustaining the growing sector.

    He pleaded with the government to instruct the Customs to work with the panelists set up to disburse the EEGs to the exporters.

    “The people who make up the panel are the Central Bank of Nigeria (CBN), the Ministry of Finance, the Nigerian Export Promotion Council (NEPC) and the Customs. The CBN checks the fact that you have exported and repatriated the funds through your banks, while the Customs checks that you have shipped them,” he said.

    Customs’ Public Relations Officer (PRO) Mr Wale Adeniyi told The Nation that some of the exporters were using the NDCC for purposes not meant.

    Customs is concerned because some members of the group use it to bring exotic cars into the country and that is illegal, he said.

    “I am not aware of any restriction or stoppage of the use of the certificates, but what we are doing is close monitoring, to stop abuse of the policy.We are only monitoring the implementation to ensure that it is in line with the objectives of the scheme,” he said.

    “Discussion is on-going that it should form part of our revenue. But we are concerned that some people are using it for wrong purpose. None of our commands will reject it once it is genuine. We don’t reject them,” he added.

  • Shippers’ Council to attract 3m cargoes

    The Acting Executive Secretary/Chief Executive Officer of the Nigerian Shippers’ Council (NSC), Mr Hassan Bello, has led a trade delegation, comprising port concessionaires, administrators, government officials and other shipping service providers, to Niger Republic.

    The visit is expected to attract over three million metric tonnes of cargo to Nigeria’s sea ports.

    The trip, according to a statement, was at the instance of the Ministry of Transport to convince the land-locked Niger Republic to patronise Nigeria’s sea ports.

    Bello said: “What we are doing is part of efforts of the Federal Government of Nigeria and the Government of Niger Republic to discharge their international law obligations as coastal/transit state and landlocked state.”

    He said the meeting between Nigerian maritime industry operators and the Niger Republic business community was facilitated by the Nigeria-Niger Joint Commission for Development.

    The NSC boss told The Nation the Council aims to attract up to three million metric tonnes of Niger Republic’s consignments to the Nigeria’s sea ports annually.

    “At present, Niger Republic is doing about 2.5 million metric tonnes in Benin Republic, 1.5 million metric tonnes in Togo, and close to a million metric tonnes in Ghana. Nigerian ports can do up to three million metric tonnes annually, and up to 2,000 Niger Republic-bound containers monthly from our projection. Don’t forget also that Nigeria has strong diplomatic relations with Niger Republic, and an international obligation to landlocked countries around it. We believe the visit will open up a bundle of business opportunities for our ports.

    “It may interest you to know that, until the year 2006, about 70 per cent of Niger Republic cargo transited through Nigerian ports, as against the current zero percent. So, the mission is aimed at attracting back Niger Republic’s cargo to Nigerian ports and ensuring access of their cargo to Nigerian seaports,” Bello stated. Major imports into Niger Republic, like Nigeria, are mostly consumer goods, while the country exports uranium, sesame seed, Arabic gum, groundnut and skin.

    “Niger Republic is an oil producing country, and looks up to the ports of neighbouring countries to export crude,” he said.

    Bello, who assumed the mantle of leadership at the NSC in December last year, said his major concern is to reinvigorate the Council to play its role of trade facilitation.

    “We have started the process of reinvigorating the shippers’ associations all over the country. We are the secretariat of all the shippers in Nigeria – importers and exporters – and we must now begin to really protect their interests,” he stated. Bello said, under his leadership, service delivery will become the watchword for all NSC staff.

    “Service delivery is important. We are here to serve the shippers. We have been solving their problems and attending to their complaints but now we need to automate the process. We’ll acquire toll-free numbers where they can call in and lodge their complaints and receive prompt attention from our staff,” Bello said.

     

  • Minister seeks efficiency at port

    The Minister of Transport, Senator Idris Umar, has urged stakeholders in the maritime industry to collaborate with the Federal Government in its quest to ensure sanity and efficiency to the ports.

    Speaking at the launch of an Integrated Port Community Information System in Port Community Information System (IPCIS), he said, President Goodluck Jonathan’s administration is determined to make the ports attractive for business and urged the stakeholders to embrace the IPCI system.

    The benefits of the new system include ship reporting; on-line automated notice of arrival and departure of vessels, tracking; automatic identification system, weather current and tide information, port community system, cargo tracking, smart port technology, unattended asset sensor, and also useful in operation of inland container deport.

    The system could also provide solutions to various aspects of challenges in port operation; reduce cost, offers steady profits to stakeholders and act as trade facilitator centre.

    In his own remark, the Managing Director, Nigerian Ports Authirity (NPA), Mallam Habib Abdullahi said the system was launched as part of the efforts of NPA to promote efficiency at ports.

     

  • Minister seeks efficiency at port

    The Minister of Transport, Senator Idris Umar, has urged stakeholders in the maritime industry to collaborate with the Federal Government in its quest to ensure sanity and efficiency to the ports.

    Speaking at the launch of an Integrated Port Community Information System in Port Community Information System (IPCIS), he said, President Goodluck Jonathan’s administration is determined to make the ports attractive for business and urged the stakeholders to embrace the IPCI system.

    The benefits of the new system include ship reporting; on-line automated notice of arrival and departure of vessels, tracking; automatic identification system, weather current and tide information, port community system, cargo tracking, smart port technology, unattended asset sensor, and also useful in operation of inland container deport.

    The system could also provide solutions to various aspects of challenges in port operation; reduce cost, offers steady profits to stakeholders and act as trade facilitator centre.

    In his own remark, the Managing Director, Nigerian Ports Authirity (NPA), Mallam Habib Abdullahi said the system was launched as part of the efforts of NPA to promote efficiency at ports.

     

  • Customs fails to meet N320b target

    The Apapa Area One Command of the Nigeria Customs failed to meet its N320 billion revenue target last year.

    The command made N283 billion.

    On export, the command got as N129.9 billion, leaving a shortfall of N37 billion.

    Sources said the commodities exported included palm kernel cake, cocoa beans and wheat bran pallets, cashew nuts, sesame seeds, ginger, hibiscus flower, gum Arabic, processed rubber, shrimps, and lead ingot.

    Others were 4,625,837 square feet of processed leather, 74,547 cases of Dettol brand of disinfectant, Maggi Crayfish, 29,062 cartons of biscuits, 97,100 bags of assorted bathroom slippers and 1,655,320 litres of ethyl alcohol.

    Investigation also revealed that there has been an increase in the number of containers scanned at the Apapa port.

    The command scanned 18,489 containers last year.

    A breakdown of containers at the port shows that 3,390 were scanned for the first quarter with an average of 113 containers daily; the second quarter recorded 4,225 with a daily average of 142 containers.

    For the third quarter, 4,832 containers were scanned with a daily average of 161; 6,042 containers were scanned in the last quarter with an average of 201 scanned daily.

    Sources said a total of 14,128 containers were exited from the port using the fast track method.

    “Currently, 119 companies have availed themselves of this service and have achieved a monthly average of 1,177 containers exiting the ports under the scheme, a total of 14,128 containers were exited using fast track method,” the source said.

    Despite the fact that the command was N40 billion short of the expected revenue target for last year, Umar said an unprecedented N283 billion was collected as total revenue between January and December last year.

     

  • Customs fails to meet N320b target

    The Apapa Area One Command of the Nigeria Customs failed to meet its N320 billion revenue target last year.

    The command made N283 billion.

    On export, the command got as N129.9 billion, leaving a shortfall of N37 billion.

    Sources said the commodities exported included palm kernel cake, cocoa beans and wheat bran pallets, cashew nuts, sesame seeds, ginger, hibiscus flower, gum Arabic, processed rubber, shrimps, and lead ingot.

    Others were 4,625,837 square feet of processed leather, 74,547 cases of Dettol brand of disinfectant, Maggi Crayfish, 29,062 cartons of biscuits, 97,100 bags of assorted bathroom slippers and 1,655,320 litres of ethyl alcohol.

    Investigation also revealed that there has been an increase in the number of containers scanned at the Apapa port.

    The command scanned 18,489 containers last year.

    A breakdown of containers at the port shows that 3,390 were scanned for the first quarter with an average of 113 containers daily; the second quarter recorded 4,225 with a daily average of 142 containers.

    For the third quarter, 4,832 containers were scanned with a daily average of 161; 6,042 containers were scanned in the last quarter with an average of 201 scanned daily.

    Sources said a total of 14,128 containers were exited from the port using the fast track method.

    “Currently, 119 companies have availed themselves of this service and have achieved a monthly average of 1,177 containers exiting the ports under the scheme, a total of 14,128 containers were exited using fast track method,” the source said.

    Despite the fact that the command was N40 billion short of the expected revenue target for last year, Umar said an unprecedented N283 billion was collected as total revenue between January and December last year.