The Nation Newspaper

Category: Maritime

  • ‘Agencies should collaborate’

    The Executive Secretary, Nigerian Shippers’ Council (NSC) Hassan Bello, has urged maritime agencies to collaborate so as to move the sector forward.

    Speaking when he received the ‘Most Effective Agency in the Maritime Industry’ award from management of Global Business Edge Magazine in Lagos, he observed that for meaningful development to be achieved, all agencies in the sector must collaborate.

    “As agencies of government, we must work together. If this is done, a lot of good things will happen.”

    Bello urged institutions and individuals in the industry to use the Alternative Dispute Resolution (ADR), so as to resolve some issues outside the Court.

    “Due to legal processes, NSC has not been able to perform some functions. We can settle some issues outside the Court of law as soon as possible so as to not only facilitate trade seamlessly, but also to move the sector forward. If this is done, changes will take place in the industry.”

    Bello also hinted that the Council is working towards professionali-sing the industry.

    “With the way the Minister for Transportation is going, in the next two years or less, human contact at the Nigerian ports would be totally eliminated so as to do away with corruption which is dwarfing the Sector.

    “The Council is developing truck transit parks that will streamline the country’s transport industry in line with international best practices. I call on freight forwarding bodies, truckers and critical stakeholders in the supply chain to come together and form consortium so as to achieve the best the sector can offer. I also call on all to embrace this change that is coming,” he said.

  • Minister to capture agencies in single portal

    The Minister of Transportation, Rotimi Amaechi, is set to introduce a Single Window Platform (SWP) that would capture all maritime agencies in a single portal, The Nation has learnt.

    The aim is to reduce cost and cargo dwell time at ports.

    Amaechi, it was gathered, has directed senior officials of the Ministry and its agencies to key into the introduction of a National Carrier, SWP and construction of Standard Gauge Railway line that will link the ports across the country to boost commerce and quick cargo movement.

    A senior official of the ministry, who asked that his identity be veiled, told The Nation that Amaechi was not happy that lack of infrastructure is retarding the growth and development of the economy

    “The Minister will address infrastructure deficit in the maritime sector to boost the economy. Amaechi believes that nothing happens by chance. He used to tell us that somebody, or group of people dreamt about what is happening now in Singapore and other major ports of the world some years ago, and that is why he is set to make sure we become the best in Africa.”

    Amaechi, the official said, would soon create the appropriate legal and institutional framework that would promote Private-Public Partnership (PPP) to accelerate the necessary development of the ports.

    “The Minister is seeking the support of everybody in the maritime sector because the sea port is the bedrock of the economy of many nations, he said, adding that Amaechi will address the infrastructure deficit at ports.

    There is a great need to attend to the infrastructural deficit because it has greatlyaffected the  economic growth and development of the ports, he stated..

  • Govt acquires equipment for ‘total ports coverage’

    Govt acquires equipment for ‘total ports coverage’

    The Federal Government has acquired surveillance equipment for the total coverage of the nation’s six ports and four pilotage districts.

    With the command centre in Lagos, the equipment will capture port activities and curb fraud.

    The equipment will boost the revenue of the Nigerian Ports Authority (NPA) and block leakages in furtherance of the government’s efforts to revitalise the economy, it was learnt.

    The facility was developed to give accurate information and keep records of human and vessels movement within and around the ports.

    Sources said it would enhance NPA’s collaboration with the Nigerian Shippers Council (NSC), Nigerian Maritime Administration and Safety Agency (NIMASA), Nigeria Customs Service (NCS), Nigerian Navy and other agencies at the ports.

    A source at the Federal Ministry of Transportation (FMoT) said 6,000 ships visit the seaports yearly, alleging that some of them engage in illegalities.

    With the equipment, such vessels will be apprehended. Also, the game is up for oil thieves, port ‘rats’, pirates and others.

    NPA has the mandate to undertake detailed security assessment of port facilities and identify threats to checkmate them.

    The source said NPA has been mandated to use the equipment to check delay at the ports.

    The government, the source added, is not happy that Customs subjects over 90 per cent of cargoes coming to the ports to 100 per cent physical examination, thereby hindering trade facilitation.

    The official said: “The facility was developed by the NPA to surmount security and safety challenges within its operations and the entire maritime domain in the Gulf of Guinea with the capability of interfacing with stakeholders, aiding it to track and record maritime security breaches, know what is going on along the ports corridor and give information to the government and other relevant agencies about maritime activities.

    “The project comprises the Maritime Operational Centre (MOC), which would enable NPA to monitor all the vessels and the Network Operational Centre (NOC), which is the support and operational data base that stores all information, including video recordings.

    “With this facility, NPA can spot any vessel or person going and coming inside the ports. It is a giant stride towards the automation of its operations in order to deliver its core values of efficient services in a safe and secured environment. The motive is “vigilance over the ports and its environ”.

    The official said the equipment function well at night because of their high-powered lights.

    The offical said: “The facility will assist NPA in tackling the challenges of large and unrestricted navigational areas, small and non-cooperative objects taking advantage of the dense maritime activity to conceal their actions and it would also protect the ports, ships and huge investment in the ports against attacks.

    “From the Command, Control, Communication and Intelligence centre in its office in Lagos, NPA can see ships and persons coming or leaving the ports corridor. It also gives it the ability to ascertain the actual number of vessel in each of the six ports and those on the anchorage,” the official said.

    He said the agency was striving to ensure that the government and security agencies have access to accurate, comprehensive and up-to-the-minute situation data of the vessel traffic at sea.

    “With the new facility, NPA can monitor even the unusual movement of human and vessels at ports and keep their records, adding that the equipment, draw on the latest technology to provide reliable, round-the-clock monitoring activities at the ports,” the official said.

     

  • Shippers Council to make ports attractive

    The Executive Secretary, Nigeria Shippers’ Council (NSC) Mr Hassan Bello is set to stop arbitrary charges to make the ports attractive to business, The Nation has learnt.

    The NSC, sources said, was more determined to close the gaps created by the Federal Government during the concession of the sea- ports to private investors more than 10 years ago.

    The council, it was learnt, has expressed its readiness to pursue the case to a logical conclusion to improve the performance of the ports by regulating charges and making the ports more cost effective.

    A senior official of the Federal Ministry of Transport, who craved anonymity, said at the weekend that the Minister of Transportation Rotimi Amaechi and Bello had embarked on the journey to achieve efficiency at the seaports.

    The era of imposing arbitrary charges that have often been described by importers, exporters and clearing agent as uncharitable, the source said, had gone.

    The NSC, it was gathered, vowed to check excessive charges against importers to reduce prices of imported goods and make the ports competitive and attractive for business.

    Bello told The Nation that the council would deliver on its new mandate.

    The council, Bello said, was determined to meet the expectations of Nigerians in port operation, efficiency and port charges.

    He assured genuine importers that  irregularities and arbitrariness in the ports system would be addressed.

  • Buhari urged to review 70% duty on vehicles

    President Muhammadu Buhari has been urged to re-view the automotive policy, which imposes 70 per cent levy on imported vehicles, pending the mass production of made-in-Nigeria vehicles.

    The President, Association of Nigerian Licensed Customs Agents (ANLCA) Prince Olayiwola Shittu said the levy was introduced by the Jonathan administration to support the local industry.

    But high port charges, Shittu said, have increased the costs of doing business and encouraged diversion of cargoes to neighbouring countries’ports, thus, leading to loss in government’s revenue.

    “President Buhari needs to review the auto policy and make the port attractive for business. The maritime sector is confronted with many problems that need to be addressed to boost trade and generate employment,” he said.

    Also, the Shippers’Association Lagos State (SALS) has urged the the government to assist shippers to reduce the costs of doing business at the seaports.

    Its President, Mr Jonathan Nicol, lamented that the high port charges had affected the costs of doing business in the country.

    He said: “We have a very big problem in the maritime sector. We believe that the government will stick to the maritime sector as one of the most important aspects of the nation’s economy.

    “This will enable other Nigerian shippers who have gone to the neighbouring ports to come back.”

    Nicol said Nigerians were still expecting basic infrastructure such as good roads, water supply, uninterrupted power supply, good health facilities and free education.

    He also joined ANLCA to urge the government to reverse the automotive policy which imposed a 70 per cent levy and duty on imported vehicles, pending the large production of made-in-Nigeria cars.

  • Peterside advised to implement Cabotage Act

    The Director-General, Nigerian Maritime Administration and Safety Agency (NIMASA), Dr. Dakuku Peterside,  has been urged to implement the Cabotage Act.

    The Act, Mr Dipo Alaka of the Lagos  State University (LASU) said, is being sabotaged by agents, importers and other operators.

    He said the law could be implemented if the agency mustered the political will to do so.

    “This is the time for the government to buckle-up and see to the implementation of the Cabotage law. But we need to understand the problems confronting the agency before we can say yes; maybe some individuals in government are trying to frustrate the implementation.

    “My thinking is that every ship that calls at our port should first declare arrival to the Nigerian Ports Authority (NPA), NIMASA and the Navy. By doing so, it would become easy to implement the law,” he said.

    Alaka said the execution of the law should not be a problem.“The agency saddled with enforcing the law does not even need to get to the jetty to arrest a vessel; it can ask a vessel the point of loading. So, if it is offshore Lagos or offshore Cotonou, the agency can then verify if it is on the list of Cabotage registered vessels.

    “Therefore, implementation should not be a major issue. From all indications there must be a kind of conspiracy between the operators and people that grant approval for foreign vessels to come into the country.”

    He said ship owners must be supported by the government and banks to buy sufficient vessels for coastal trade.

    The Coastal and Inland Shipping Act, 2003, he said, is a protectionist law enacted to create exclusive areas of operations in the coastal trade for indigenous operators.

  • Publish NPA’s audited account, ministry’s official tells Usman

    Nigerian Ports Authority (NPA) Managing Director (MD) Ms. Hadiza Usman has been handed her first assignment by a top Federal Ministry of Finance (FMoF) official: She should publish NPA’s audited account from 2012 to date.

    The publication, said the officials who pleaded not to be named, has become imperative because of what he called a compromise in the revenue due to the government through NPA during the period.

    The audit, he said, should cover capital, personnel and overhead expenditure to enable the government block some leakages.

    He urged Usman to justify her appointment by plugging all loopholes while embarking on programmes that will make the ports more efficient,

    The official alleged that the NPA under-declared its revenue and failed to remit a sizeable percentage of its operating surplus to the government’s coffer.

    The amount accruable to the NPA between 2012 and 2015, through the Lagos pilotage district, he said, was $2,706,352,445 and N32, 427,537,176.

    In 2011, he said, NPA remitted N29 billion into the Federation Account, making it the highest remittance in its history.

    He said Usman should ensure that the NPA, like other government agencies, did not short-change the government in its efforts to generate more revenue.

    Usman, the official said, must also work with professionals to  boost operations and generate more funds.

    He alleged that the NPA does not have enough personnel to monitor activities at the ports, especially those of shipping companies and service providers.

    The official also accused the NPA of institutional weakness bordering on lack of a coherent policy framework on port administration, noting that most of the countries in West Africa are building ports that can berth vessels with capacity for 14,000 containers.

    He described the 2006 port concession as a bold move to reposition the NPA and make it competitive.

    The Usman management team, the official said, must adopt measures that would lead to the payment of accurate pilotage service fee to the NPA, adding that before the former Managing Director, Mallam Habib Abdullahi, was removed the eight tug boats in Lagos Pilotage District were not functional, thereby leading to revenue loss.

    He urged Usman to fix the boats and end illegal movement of ships around Lagos ports.

    According to him, there were lapses in the payment of the pilotage fees in the past because the fees, according to him, were paid in dollars and based on the gross tonnage (GT) of the ships calling at the ports.

    The expenses for the transportation of the pilot, using pilot boat and other  means of transport, he said, were included in the fee.

    “NPA does not have enough manpower and personnel to monitor activities within the ports, especially the activities of the shipping companies.

    “Many of the operators are aware that the tug boats are not working  and they are banking on the lapses of the NPA to short-change the government, especially in the area of pilotage fee and annual remittances to pay to the agency.

    “NPA offices are outside the terminals and the agreement says that they must be there to monitor activities of the terminals operators and the shipping companies. Because they are not there, that is why it is easy for them to short-changing the NPA from what they are paying to it in terms of tonnage and remittance,” he said.

    He alleged that some government officials at the ports were conniving with the shipping companies to short-change the government in the revenue due to it by declaring incorrect dead weight tonnage of vessels.

    The official said: “A dead weight tonnage (DWT) of a vessel is a measure of how much mass a ship is carrying or can safely carry. Therefore, it is an important determinant of how much they pay to NPA in terms of services rendered to them and the three per cent gross freight rate NIMASA collects

    “There is need for the MD to put in place measure that will be able to determine the exact dead weight tonnage of each vessel coming to the ports. For now, the NPA does not have such measure. The only thing they do is to estimate the value and that can be manipulated over and over. Any official can short-change the government by giving any figure which is not accurate and under pay the government.

    “We need transparency to get the exact dead weight tonnage of every ship coming to the ports.”

  • 126 held as Customs seizes N2b goods

    126 held as Customs seizes N2b goods

    ABOUT N2 billion worth of goods were seized and 126 suspects arrested by the Federal Operation Unit, Zone ‘A’ of the Nigeria Customs Service (NCS), Ikeja, between January and last month, it was learnt.

    Findings revealed that the unit’s officers seized 494 contraband during the period.

    The seized items included 22,763 bags of 50kg parboiled rice valued at N113,940,000, with a payable duty of N34,182,000, and a duty payable value (DPV) of N148,122,000.

    Others were 29,684 cartons of poultry products valued at N133,578,000, with a payable duty of N26,715,600, and a DPV of N160,293,600.

    The unit, it was gathered, also seized 50 vehicles, including 38 units of assorted brands and 12 buses valued at N68,000,000, with a payable duty of N23,800,000 and a DPV of N91,800,000.

    Officers of the unit also intercepted 3,174 jerry cans of vegetable oil valued at N21,196,000, with a payable duty of N7,359,950 and a DPV of N28,555,950.

    Speaking with The Nation, NCS Public Relations Officer (PRO), Mr Uche Ejesieme, said N312,870,295 was recovered through the various interventions of the unit and it formed part of the N2 billion.

    Other items seized included new and used textile materials, new and used shoes, vegetable oil, insecticides, assorted wines, various types of pastas (spaghetti and noodles), soaps and detergents valued at N365,346,650, with a payable duty of N94,194,990 and a DPV of N459,541,640.

    “The FOU is a critical arm of the Nigeria Customs Service entrusted with the responsibilities of suppressing smuggling as well as facilitation of legitimate trade in line with global best practices. This statutory role of the unit requires strength of character, vision and competence of the operatives. The unit is not under any illusion of the expectation of the Customs management, hence the resilience and doggedness which have over the period become the modus operandi.

    ”The Federal Operations Unit Zone ‘A’ as a hub and flagship of anti-smuggling continues to re-engineer its operational architecture in realisation of the need for the actualisation of its core mandate. It, therefore, suffices that the constant review and overhaul of our operational strategies to meet with the emerging challenges. It is pertinent to reiterate that smuggling, just like scavenging is a global menace which has been a thorn in the flesh of the most developed nations.

    “This is why we have taken up the gauntlet to ensure that no stone is left un-turned as we drive the process as a leading force in anti-smuggling operations. All these innovative steps have led to the success recorded so far,” Ejesieme said.

     

  • NIMASA to eliminate piracy

    The Nigerian Maritime Administration and Safety Agency (NIMASA) would eliminate piracy on the territorial waters, its Director-General, Dr. Dakuku Peterside, has said.

    Addressing multilateral and development agencies on the sidelines of the International Maritime Organisation (IMO) and Maritime Organisation for West and Central Africa  (MOWCA) sponsored integrated sub-regional coast guard function network in Brussels, Belgium, he said Nigeria is determined to stem the cycle of criminalities on its territorial waters.

    “We have a close working relationship with the United Nations Office on Drugs and Crimes (UNODC) in order to foster an integrated approach to dealing with the menace.

    “We have also increased surveillance and have deployed world class maritime domain awareness assets in conjunction with the Nigerian Navy and the Nigerian Ports Authority to monitor our maritime environment,” he said, adding that the country has deployed Maritime Patrol Aircrafts (MPA) in collaboration with the Nigerian Air Force as well as other naval assets to patrol and monitor the waterways.

    Peterside observed that as a signatory to all IMO instruments and regulations relating to maritime security, Nigeria is committed to compliance to eliminate piracy and criminality on the high seas.

    He said the country is mindful of the serious risk posed by piracy and maritime crimes to life, navigational safety and the environment saying this is why NIMASA is strengthening the regional rescue coordination centre located in the country as well as enhance information sharing activities.

    Responding to questions on the rising cases of militancy in the Niger Delta region of the country, Peterside said Nigeria is adopting a multifaceted approach to deal with the challenge and assured the international shipping community that it is being tackled.

    He urged the maritime community to draw a distinction between criminality, piracy and militancy, reiterating that Nigeria is safe for shipping and other commercial activities in the maritime sector.

    Peterside appealed to international development agencies to work with Nigeria in resolving maritime security challenges in the country because of its strategic position to the overall maritime development in the continent given the size of her economy, population and geographical location.

  • NLNG acquires ships for $1.6b to boost maritime trade

    NLNG acquires ships for $1.6b to boost maritime trade

    Five of the six ships ordered by the Nigeria Liquefied Natural Gas Company (NLNG) Limited have arrived in the country, it has been learnt.

    The vessels, including the one yet to be delivered, will help boost maritime trade.

    The ships, findings revealed, were bought for $1.6 billion. They have  increased NLNG’s fleet to 23, the highest by any company in the country.

    The acquisition, according to a  Federal Ministry of Transport (FMoT) official, is imperative to the realisation of the objective of the Local Content Act.

    According to the official, it is lamentable that despite being the largest producer of crude oil in Africa with a capacity to produce 2.5 million barrels per day, Nigeria does not participate in the exploration, development, production and shipment of its energy products.

    “This is mainly due to lack of developed shipping infrastructure and fleet, a situation that the NLNG is set to correct,” he said, adding that Nigeria is the only oil-producing country that does not have its own fleet “whereas Angola, which recently joined the oil producing countries, has a fleet.

    The official said the Nigerian Maritime Administration and Safety Agency (NIMASA), Cabotage and Local Content Acts were sufficient to reverse the trend.

    “We all know that there is urgent need for this administration, through Nigeria National Petroleum Corporation (NNPC), Nigerian Shippers’ Council (NSC) and NIMASA to take a bold position on indigenous participation in lifting of crude oil,” he said.

    The government, he said, may use Special Purpose Vehicle (SPV), such as the NLNG Model to own and control at least 25 per cent equity in vessels handling Nigeria’s oil and gas export.

    “This is economically expedient and will reduce the country’s total dependence on foreign vessels to freight her cargoes to customers across the globe,”he said.

    NLNG’s Manager, Corporate Communications and Public Affairs, Mr Tony Okonedo, confirmed the vessels’ delivery, saying:

    “All 23 LNG vessels will be utilised on an integrated scheduling. They will load at NLNG’s terminal in Bonny for ex-ship deliveries to buyers in the Middle and Far East, Asia, Europe, South America, and Gulf of Mexico, including ports in Mexico and the United States (US). The LPG vessel is utilised for LPG delivery in the Nigerian markets.

    “Training of Nigerians in the acquisition of  Dual Fuel Diesel Engine (DFDE) vessels experience commenced in 2014 and included cross-posting to companies managing this class of vessels, shipboard experiences on board DFDE vessels, and deployment to shipyards.”

    Sixty Nigerians, Okonedo said, were involved in the ship building process. He told The Nation that Samsung built four out of the six while Hyundai built two for the NLNG.

    He said: “They are Nigerian ships, ordered and built for Nigerians. The Nigerian Content Act is very important to us. The ships are part of the new generation ships and their acquisition would make Nigeria a big time maritime player.

    “What we want is the rapid development of the nation’s maritime industry and NIMASA  is expected to assist in that direction.”

    The NLNG, he said, could produce 22 million metric tonnes of liquefied gas yearly. The firm purchases its gas supply from the upstream oil companies and liquefies it for export.