The Nation Newspaper

Tag: Calabar Port

  • Calabar Port in crisis as aggrieved dock workers, management cross swords

    Calabar Port in crisis as aggrieved dock workers, management cross swords

    Some of the dockworkers under the Aggrieved Dock workers of the Calabar Port who have been allegedly deprived of entitlement for over 13 years have debunked allegations of being in court over the nonpayment of their entitlements for the said period.

    A section of the workers insist that “We are not in court with the Nigerian Port Authority (NPA), Nigerian Maritime Administration and Safety Agency, (NIMASA) and the ECM Terminal, K Marine or Maritime Workers Union of Calabar Port.”

    Speaking with The Nation, Chairman of the  aggrieved dock workers of the NPA in Calabar Mr James Amok, said they are not part of the suit that was filed against K Marine Limited Calabar Port, by a section of the aggrieved workers who are seeking their entitlements.

    The workers are 19 in number, 10 have broken out to file a lawsuit, while nine are distancing themselves from the lawsuit, due to fears of manipulative ruling from the court against their course.

    According to his explanation: “Some of the section of the aggrieved dock workers broke out from us 10 of them specifically on the 1st of November 2019 and filed a suit against K Marine Limited, This Happened while nine of us in the other section where still in the House Committee on Public Petition at the House of Representatives and It was then that we discovered that some section have broken out.”

    Read Also: Rivers crisis continues with parallel sittings of lawmakers

    He said complains had been made to the Committee on Public Petition at the House of Representatives in Abuja, that some section of aggrieved dockworkers have broken out and filed a suit against K Marine Limited, of which they were advised to write a letter to disassociate themselves stating that they are not part of the team that filed a case which they did and it can stand as an evidence if presented to the authorities.

    He went further to say that “in 2020, we decided to reach out to the authority that we serve. We served the office of the President General, Maritime Workers Union of Nigeria and also the K Marine Limited, through the legal adviser Barr. Victor Okon through Umoh Inyang Chambers. All documents have been presented and since then responses have not been given that we are not part of the suit in Court.

    “In 2023, I complained to the President General that the issues have not been resolved and he responded that he wasn’t aware if the issue had not been resolved, and rather advised that I should send everything to his Whatsapp which I did. As on December 16, 2023, I complained to him again, it was then that he informed me that the matter is in court and I responded that we are not part of the suit.

  • How to make Calabar Port better, by experts

    How to make Calabar Port better, by experts

    Experts have resolved to explore ways of bringing about optimal use of Calabar Port.   

     The experts stated this at seminar with the theme: “Export of agricultural produce through the Calabar Port: Issues and prospects”, organised by the Nigerian Shippers Council (NSC) for stakeholders of the Calabar Port in Cross River State.

    NSC Executive Secretary and Chief Executive Officer, Mr. Akutah Pius Ukeyima, said the objective would not only demystify export processes but also encourage more businesses to venture into export trade.

    He said the proximity of the Calabar Port is a plus  to businesses in Cross River and  neighouring states. He added that there would be no impediments to export, particularly agricultural produce, at the port.

    Port Manager, Calabar Port, Olumati Festus, said 209 vessels berthed at the port last year.

    Of these, 171 were conventional that came with general cargo, PMS and others while 38 as passenger ferries.

    Compared to 2022, last year  had more vessel call and cargo.

    He insisted that the three world-class private terminal operators at the port have facilities for handling/processing agricultural produce for export. These include large volume warehouses, open stacking areas, stuffing areas, general and specialised cargo handling equipment and machinery.”

    Read Also: NAFDAC seals three factories, seizes banned N6m products in Jos

    He listed some agricultural produce that have been exported through the port as palm fruits, palm oil, palm kennel cake, timber logs/wood sample, chewing sticks, processed cocoa beans, wheat pellet/processed wheat beans, rubber crumbs, food stuff, among others.

    In the communique, stakeholders agreed that dredging of the Calabar water channel is important but has not actually impeded the operation of the port; rather they insisted that in addition to adequate marketing and lobbying for patronage, the Federal Government and the state should ensure good access road infrastructure for easy of movement in and out of the port.

    The participants commended the NSC efforts to create the platform to harness ideas on ways to promote export of agricultural produce through the Calabar seaport.  They requested that such programmes should be organized from time to time to abridge the information gap.

    Also, the participants identified multiple taxes by the State, local government authorities and unreceipted monies paid at multiple road blocks as among the cost elements that make export of produce less competitive in the international produce pricing index, thereby, requesting the Government to streamline the taxes and dismantle such road blocks.

    It was advised that exporters of agricultural produce should patronize the services of Export domestic warehouses and export hubs to access professional services that will enable produce undergo proper certification and documentation to meet international standards for shipment.

    Exporters were enjoined to take advantage of incentives provided by the Government such as export expansion grants and export development fund to boost participation  in export of agro-produce in the State.

    The participants also expressed displeasure at non-availability of liner vessels in the Calabar port and thereby called on the Nigerian Ports Authority (NPA), Nigerian Shippers’ Council (NSC), Cross River State Government, Terminal Operators and shipping companies to come up with strategies to market the port in order to attract liner vessels to call at the port.

    The communique enjoined the stakeholders to leverage on every available platform to present the port in a good light in order to attract more patronage to the port and increase traffic to the port.

  • Hull Blyth: why we took container ship to Calabar Port 

    The Managing Director Hull Blyth Nigeria Limited,  Christian Holm  said Fiem, the shipping agent to Marguisa Lines, owners of ‘MN Boreas’,  facilitated the visit of the container ship to Calabar Ports  to open up trade and businessess in the eastern ports.

    It was the first visit of such a vessel to Calabar Port in 15 years.

    He told members of the House of Representatives Ad-hoc Committee investigating why Warri, Port Harcourt, Calabar and Onne Ports were not being put to maximal use, that the vessel made its first call to the port on September 22.

    “We are excited about the willingness of Marguisa Lines to invest in the port and in the new service, and all the new opportunities that open up for trade and development in Calabar and beyond, now that the port is connected with a global container liner service,”Hull  said.

    Read Also: Calabar Port dredging raises hope on $12b investment

    He said inadequate and undeveloped infrastructure, shallow water drafts, poor road infrastructure and insecurity are factors hindering large vessels from calling on the ports outside Lagos, saying that port complexes outside Lagos “have not been upgraded in accordance with modern seaborne trade”.

    He said this relates “especially to containerised trade, where the requirements for sizeable port container yards and related handling equipment are not met,” he said.

    Holm  said water depth in rivers to the ports as well as alongside the quays have not been dredged or maintained, thereby giving rise to shallow drafts.

    “The shallow drafts prevent access of average sized vessels to the ports, and shipping companies must instead, deploy smaller tonnage which cannot provide economic transportation to most shippers.

    “Road infrastructure to connect the ports with the importers and exporters’ places of business lack maintenance and may often be unmotorable. Delivery and distribution of shipping goods thus become uneconomic or even impossible.

    He said security on waterways and port access roads is critically compromised, adding that vessels require expensive armed protection to navigate the rivers, and road hauliers can only move during limited day time hours with additional high logistic costs.

    He said the investment by Marguisa Lines and the willingness of its customers to use the Calabar Port will be jeopardised “unless the above key issues are urgently addressed by the government”.

    Marguisa Lines, headquartered in Madrid and since 1990, has specialised in liner transportation between the Mediterranean and West Africa.

    Its main service operates between the ports of Algeciras in Spain and Malabo in Equatorial Guinea, and connects a large network of global and regional ports.

    “The port of Malabo will also serve as hub port for the feeder vessel calling at Calabar on regular basis,”  Holm said.

  • ‘NPA rakes in N3b from Calabar Port in three months’

    The Nigerian Ports Authority (NPA) raked in about N3 billion from Calabar Port in three months, it was learnt.

    The amount was realised between January and March this year.

    Speaking with The Nation at the weekend, a senior official of the Federal Ministry of Finance (FMoF), who craved anonymity, said the revenue excluded terminal operators’ huge debts to the NPA.

    According to the official, the NPA generated over $3.3 million and over N176 million from the Calabar Port within the period.

    The NPA, the official said, also collected over $3.3 million and over N77 million as revenue from the port during the same period.

    Investigation revealed that the NPA generated $697,001 and N63,604,478 in January this year, and collected $1,500,340 and N10,736,116 during the same period.

    In February, findings revealed that the agency generated $1,162,050 and N73,348,301. It also collected $834,593 and N30,332,126 during the same month.

    The NPA, it was gathered, generated $1,501,922 and N38,125,608 in  March, and collected $1,476,840 and 36,402,244 in the first quarter of the year.

    The agency, the FMoF official said, was able to generate the amount because of the policies adopted by its Managing Director, Ms Hadiza Bala Usman.

    “When we looked at the dollar amount generated and collected at the Calabar port by the NPA, we discovered that it was over $6.6 million. NPA also raked in over N254 million during the first three months of this year.

    “We are happy that the management of NPA has put the Calabar Port to good use to boost the economy.

    “We, in the Ministry of Finance, sincerely appreciate the relentless efforts of Ms Hadiza Bala Usman and her management team in restructuring the organisation, which has assisted in achieving optimal operational efficiency in the ports and boosted government revenue,” the official said.

    The NPA, he said, generated about N3 billion from Calabar port during the same period.

    “We learnt that the serene environment created by Ms Usman and enjoyed by stakeholders attracted more importers and increased ship traffic to the Rivers port. This led NPA to more revenue generation for the Federal Government.

    “Her robust policy has also led to the move from the long-standing International Ship and Facility Security (ISPS) Code level 2, to the current level 1. We were told that she also instructed all her port managers to maintain a cordial relationship with stakeholders and the host communities.

    “Considering the directive by Ms Usman and her team on training and retraining of members of staff on the E-Service, such as E-SEN, Revenue Invoicing Management System ( RIMS), Customers Potal and E- Manifest, the NPA management has brought prospect to potential port users, stakeholders and operators,’’ the official said.

  • NPA: $40m equipment coming to Calabar Port

    The Nigerian Ports Authority (NPA) has concluded plans to deploy equipment worth over $40 million to Calabar port, in Cross  River State, its Managing Director, Ms Hadiza Bala Usman, said yesterday.

    The measure, it was gathered, is being taken  to boost efficiency, security and make the port attractive for business.

    Speaking at a stakeholders’ meeting organised by NPA at Calabar port complex, Ms Usman, who was represented by the General Manager Marine and Operations,  Mr Joshua Asanga, said some tug boats, pilot cutters and other equipment worth several millions of dollars would be deployed to boost efficiency at the port.

    Although, Ms Usman did not state the amount of the equipment, but sources at Calabar port said it would cost  the agency more than $40million to deploy the sofisticated equipment and operational vehicles.

    The NPA chief said the four consultants engaged by the agency for the bathymetric survey of the channel leading to Calabar port have concluded their assignment so that the dredging of the channel will commence.

    She condemned indiscriminate abandoning of wrecks on the channel leading to the port warning owners to remove them or face sanctions.

    She urged investors to take advantage of the strategic location of the Calabar port to boost export and assured them of Federal Government’s commitment to dredging the channel to meet their expectations.

    Ms Usman assured the stakeholders and investors that adequate depth of the channel leading to the port would be dredged  to accommodate big ocean going vessels and adequate security provided.

    She urged government agencies at the port to collaborate to key into the Federal Government policy on ease of doing business, boost cargo clearance and facilitate trade.

     

     

     

     

  • History as large vessel berths in Calabar Port

    History as large vessel berths in Calabar Port

    Many decades after the Eastern  Ports came into being, a flat bottom ship, has berthed at the Calabar Port.

    The  vessel, MV’ Desert Ranger, weighing about  62,000 metric tonnes, made history as the largest ship to call at the port despite its draft limitations.

    The heavy vessel, which sailed from Greece, was laden with 60,000 tonnes of wheat. The vessel is 200 metres long.

    The vessel called at the port after the arrival of equally large MV ‘ Desert Rhapsody.’ The two ships are owned and operated by Greece-based Atlantic Bulk Carriers Managers ( ABCM) Ltd.

    On the significance of the vessel, the Port Manager, Mrs. Olufumilayo Olotu, said it was historic that the vessel  berthed at the port.

    “We are delighted that history was made with the arrival of MV Desert Ranger in Nigerian waters. Its berthing at the Calabar Port has demonstrated the determination of the current management of the Nigerian Ports Authority ( NPA), under the able leadership of our Managing Director, Ms Hadiza Bala Usman, to make the Eastern ports attractive for business. “

     Mrs.  Olotu, who received the vessel on behalf of the management, expressed appreciation to its partners, Atlantic Bulk Carriers  for taking the initiative.

    Mrs. Olotu described the berthing of the vessel as a “dream come true,” adding that it was a sign of good things to come and a relief for the NPA.

    “Very soon, another carrier vessel will be coming in and we are expecting that Calabar Port will become very active again,’’ she said.

    While soliciting the support of stakeholders to ensure the business climate at the port is conducive for investors, she assured them of the provision of more tug boats to complement the existing one.

    She also restated the NPA’s resolve to dredge the Calabar channel. Advertisement for bidding for the dredging, Mrs. Olotu said, has been placed by the authority.

    “In the light of this new development, the slogan for Calabar port is: “Whatever you need, just desire it, we will deliver it.” Mega ships with flat bottom, which do not require deeper draft, she added, can safely call at the port in its current state.

    Investigations, however, revealed that the vessel was able to call at the port because of the approval given by Ms. Usman, and the training of ship captains from Calabar in Greece, to acquaint them with the maneuvring of the large vessel across the port’s channel.

    Mrs. Olotu also visited the shipping company in Greece to allay their fears over security threat along the channel.

    The Director-General, Cross River Waterways Authority, Mr. Asi Esi, expressed delight with the development, adding that the state government would work with the NPA for maximum benefit of the people.

    Esin said tax rebate for willing investors in the port would be looked into by the state government to encourage more investors in the state.

    “Governor Ben Ayade is desirous of having investors in our state, so I can assure you that the governor will do everything possible to ensure that investors will not run away due to multiple taxation,’’ he said.

    He said for a long time, the state had been hoping and waiting for this kind of opportunity, assuring that the state would give the NPA the desired support to succeed where others had failed.

    Many importers, clearing agents and other stakeholders celebrated the arrival of MV Desert Ranger and praised the NPA for “its efforts before the vessel arrived the port.”

    One of the importers, Mr. Andrew Emmanuel, gave kudos to the port manager and the NPA for achieving the landmark.

    He said:“ Before the arrival of this ship, shipping companies have raised a lot of concern about the topography and draft limitations of Calabar port channel and that was why they were shipping their Calabar-bound cargo to Lagos and trucking same to the end-users in Calabar.

    “In a bid to recover this traffic, Calabar port management held meetings with importers and ABCM Limited, their agents, Maylon Ports Limited and the terminal operator. It was during these talks that an ingenious plan was discovered and the decision to use flat-bottom Bulk Carriers, with lower draft requirement to bring the cargo to Calabar port.”

    Emmanuel expressed the hope that other government agencies at the port would emulate the NPA by imbibing international best practices and enthroning customer- friendly policies in carrying out their responsibilities, to encourage more big vessels to call at the port.

    Findings revealed that another vessel, MV Arriet has been dispatched with cargo to Calabar.

    On his experience, the captain of the ship, Captain Dinkar, noted that he received a warm welcome from the Port Manager, as well as other government regulatory agencies like NPA , among others. He expressed delight at the impressive equipment at the terminal.

  • Calabar Port management wants expansion of Ikom Bridge

    Calabar Port management wants expansion of Ikom Bridge

    The Management of Calabar Port has called on the Federal Ministry of Power, Works and Housing to expand the Ikom bridge on the Calabar-Ikom-Ogoja road in Cross River.

    The Port Manager, Mrs Olufunmilayo Olotu, made the call in an interview with the News Agency of Nigeria (NAN) in Calabar on Sunday.

    Olotu said that the narrow bridge on the road, which was built during the First Republic, had become obsolete and obstructs the movement of articulated vehicles on it.

    “We have been informed that most heavy-duty trucks loaded with containers find it difficult to pass through the bridge.

    “It is very narrow and sometimes when two trucks coming from the opposite direction get to the bridge, one has to wait for the other to cross.

    “It has become so risky for such vehicles to cross the bridge because the containers they carry could fall off in the process.

    “As we work towards making the Calabar Port more functional, we expect that all the challenges being faced by investors should be addressed and one of them is the bridge.

    “So we appeal to the relevant authorities to expand the bridge and also remove the overhead,” she said.

    Olotu said the bridge is strategic to investments in the state because it is the only link between Cross River and the North East as well as some parts of the North Central geo-political zones.

    She however said that the port management was already discussing with the Cross River Government on ways to ensure smooth passage of trucks on the road.

    “We have also concluded plans for the rehabilitation of the internal road leading to the harbor area and very soon work will start on it.

    “We are doing everything within our powers to make the environment conducive for investors.

    “Since we are looking for investors, we have to create the enabling environment for their business to thrive.’’ she added.

  • Ministry official alleges neglect of Calabar Port

    Ministry official alleges neglect of Calabar Port

    From a money spinner, the Calabar Port is turning into a revenue loser following its littering with wrecks and an abandoned rig worth millions of dollars.

    When The Nation visited the port, activities were low. Two “critical” wrecks and the abandoned Delta Queen Rig were seen there.

    A senior official of the Ministry of Finance (FMoF), who pleaded not to be named, said the Federal Government and the Nigerian Ports Authority (NPA) should put the port into good use to revamp the economy.

    The port, he alleged, has become an avenue for siphoning public fund.

    He urgedPresident Muhammadu Buhari to direct the Minister of Transport, Mr Rotimi Amaechi, and the NPA to transform the port because of its importance to the nation.

    The official said the port used to ba a money spinner. He told The Nation that between 2008 and last year, NPA generated $117,178,000 and over N2.2 billion from the port.

    The breakdown of the amount generated in dollars and naira as exclusively obtained by The Nation is as follows: $26,529,000 and N203,438,000 in 2008.

    Between 2009 and 2011, it was $37,522,000 and N898,737,000. In 2012 and 2013, it made $26,946,000 and N581,109,000. Between 2014 and last year, the port realised $26,197,000 and N540,942,000.

    The official said: “It is sad that the multi-billion dollar investment at the port was rendered useless by the past management of the NPA.

    “The amount generated between 2008 and last year by the agency showed that if the NPA is compelled to pay adequate attention to the port, more revenue would accrue to the government.

    “If the several billions of naira collected by the NPA were judiciously invested in dredging the port, the channel will not remain shallow and difficult for big vessels to approach.

    “It is sad that up till today, its channel remains shallow, and investors at the port have continued to count their losses,” the official said.

    He accused some top past NPA officials of only interested in awarding contracts for dredging and re-dredging of the port without corresponding development of its infrastructure.

    He alleged that poor work was done on the dredging of the channel.

    The government, the official, lost a lot of revenue through the frequent dredging of the port.

    But The Nation investigation revealed that the port has a comparative distance advantage to the Northeast than any port in the country.

    While the distance between Cross River and Taraba states is 711km and the transit time is nine hours, 58 minutes; the distance from Port/Harcourt, Warri and Lagos to Taraba is 773km, 901km and 1,160km, and  it takes 10 hours, 49 minutes; 12 hours, 4 minutes and 14 hours 24 minutes from each of the states to Taraba.

    Findings also revealed that the distance from Cross River to Gombe  state is 983km and the transit time is 13hrs,58mins;  the distance from Port/Harcourt, Warri and Lagos to Gombe is 1,060km, 1,034km and 1,240km respectively, and  it takes 14hrs, 15mins; 14hrs, 40mins and 16hrs 39mins from each of the states to Gombe.

    Also, the distance from Calabar to Bauchi is 910km and the transit time 13 hours, 14 minutes. Whereas the distance from Port Harcourt, Warri and Lagos to Bauchi is 965km, 939km and 1,145km, and  it takes 13 hours, 10 minutes; 13 hours, 36 minutes and 15 hours 34 minutes from each of the states to Bauchi.

    Investigation further showed that the distance between Calabar and Adamawa is 865km with 11 hours, 57 minutes transit time. But the distance from Port Harcourt, Warri and Lagos to Adamawa is 927km, 1,055km and 1,314km, and  it takes 12 hours, 49 minutes; 14 hours, 4 minutes and 16 hours 23 minutes from the states to Adamawa.

    The story is the same from Calabar to Borno and Yobe states.

    “There is no gain saying that Calabar Port is very strategic to the economic development of Nigeria particularly the Northcentral, Southsouth and Southeast regions of the country.

    “Besides, when functional, it will increase the volume of vessel traffic and cargo throughput in the port, decongest Lagos ports and reduce cost of doing business for Calabar-based businessmen who spend additional transport cost to take delivery of their consignments in Lagos and Onne ports.

    “The port is strategically located for imports and exports for distribution to other ports along the West/Central and Southern African coastline. The location of Calabar Free Trade Zone (CFTZ) in close proximity with the port speaks volumes for itself,” the official said.

    He identified erosion, the length and the dredging of the 84km channel, the wrecks, the abandoned rig, insufficient tugs and pilot cutters, the deplorable Calabar/Itu/Aba road and the low height limitation of the Ikom bridge as the port’s major challenges, which should be fixed by the government to turn it to profit.

  • N20b Calabar Port contract sparks crisis

    N20b Calabar Port contract sparks crisis

    Shippers are pushing for a probe of the N20 billion Calabar Port dredging contract.

    The board of the Nigerian Ports Authority (NPA) approved the payment of $35 million (about N20 billion) to the company that won the controversial contract shortly before it was dissolved last week by President Muhammadu Buhari, The Nation has learnt.

    The payment, it was gathered, was made by the NPA, even as a legal battle over the contract was pending in court.

    The Nigerian Shippers Council (NSC) told reporters yesterday that the contractors had vanished.

    The amount is for two quarters – $20.5 million for the last quarter of last year and $14.5 million for this year’s first quarter.

    The contract, billed to last for two years, is worth about N20 billion.

    The nod for the contract, a source close to the Federal Ministry of Transport alleged, was given by the former President Goodluck Jonathan to the NPA, which bypassed the Bureau of Public Procurement (BPP).

    The BPP Act of 2007 empowers the agency to monitor public procurement, harmonise government policies and practices by regulating, setting standards and developing the legal framework and professional capacity for public procurement.

    The award of the Calabar port dredging, an official who pleaded not to be named, is one of the avenues used by the previous administration to siphon public funds through the NPA.

    Sources at the BPP said six firms – Jan De Nul, Dredging International, Westminster Dredging, China Harbour Engineering, Lagos Channel Management (CCM) and Van Oord – participated in the procurement after fulfilling the pre-qualification.

    The exercise, a source said, was nullified and a new one ordered, following an alleged attempt by Ministry of Transport and NPA officials to manipulate the process.

    Said the source: “The company that was awarded the contract by the NPA never participated in any procurement before it got it. The last procurement for the capital dredging of the Calabar Channel took place in 2010.

    “Soon after the commencement of the process, NPA stopped the exercise, citing Section 28 of the Procurement Act. That law stipulates that a procuring entity may reject bids before the acceptance of a bid, without incurring any liability to the bidder and cancel the procurement in the public interest, without incurring any liability.

    “But the Act does not say that NPA or the Federal Government can award the contract unilaterally, even if they reject or cancel the bids earlier submitted and that is where public concern becomes necessary.

    “The Act was also established before the Jonathan administration came into power to ensure the application of fair, competitive, transparent, value-for- money standards and practices and the attainment of transparency, cost effectiveness and professionalism in the public sector procurement system.

    “The question is, where was transparency and accountability in the award of the contract? How many companies were invited to submit bids and went through the procurement proceedings before the contract was approved by the then President? Where is the record of the procurement proceedings? Where is the input of Nigeria Institute of Purchasing and Supply Management, the Nigeria Bar Association and other critical stakeholders required by the Act?”

    But one of the three Executive Directors of NPA, a senior official of  the ministry alleged, was ordered to report to the office from abroad about two weeks ago, to perfect the documents for the release of the fund to the contractor.

    “Of this amount, $7.5 million (about N1.5 billion) was paid before the board was dissolved last week and $27.5 million (about N5.5 billion) balance is billed for payment.

    “One of its Executive Directors was asked to report to the office from the United Kingdom about two weeks ago to pay NPA’s equity contribution of N120 million in Calabar Channel Management Limited, which was incorporated two years ago for securing the capital and maintenance dredging of the Calabar Port.”

    Calabar Channel Management Limited is a partnership between NPA and Niger Global Engineering and Technical Company Limited. The company is said to be owned by a Peoples Democratic Party (PDP) senator.

    The decision to recall the ED was initiated by a former Minister in the Jonathan administration. His aim was to strengthen the hold of the contractor on the job and safeguard his interest in Calabar Port before another Minister and a new board would be constituted by President Buhari, The Nation learnt.

    The source said: “The former minister and the NPA board took advantage of the delay caused by President Buhari in dissolving boards of parastatals to hatch their plan for the payment of the contractor and NPA’s share capital in the firm.

    “These bills were not paid since last August, when the contract was awarded. It was the refusal of a former NPA Managing Director (MD) to make the payments or represent the NPA on the board of Calabar Channel Management that cost him his job.

    “The former MD had cited the irregularities in the award of the contract and weary of falling foul of the law, given that there is a pending suit challenging the contract. NPA is the fourth defendant in the suit and is being represented by a legal team.

    “Officials of our ministry were shocked that a former NPA chairman, who was the first to condemn the attempt to manipulate the maintenance dredging contract in favour of the contractor, did not raise a voice against the decision to make these payments.

    “The Chairman had an alarm then that the consortium has no reference whatsoever of previous jobs done. They were alien to the Calabar channel project and did not even take part in the bids of 2010 and the later procurement.’’

    “The consortium was not prequalified and did not pass through the selection like other companies. It, therefore, follows that the presidential approval for the appointment of the consortium led by Niger Global Engineering and Technical Company Limited to enter into a joint venture with NPA, which culminated in the agreement to form Calabar Channel was obtained without following due process,” the source said.

    This is the fourth controversial attempt at making Calabar River navigable. Two of them occurred under the Jonathan administration.

    Efforts to get the Assistant General Manager, Public Affairs of NPA, Mr Musa Ilya on phone proved abortive. His phone was off and he did not reply a text message sent to him on the issue.

    Besides, CCM officials were also not available.

     

  • Calabar Port: Dredging ignites hope on $10b investment

    Calabar Port: Dredging ignites hope on $10b investment

    •Investors worry over litigation

    Optimism has been rekindled over the  $10 billion investment in Calabar port following the flag-off of its dredging by the Federal Government.

    The huge investment, operators said, had been put on hold for seven years.

    The flag-off ceremony was done by  the Minister of Transport,  Senator Idris Umar, who represented President Goodluck Jonathan.

    But some of the major investors at the port, it was gathered, are worried over the litigation that may follow the flag-off ceremony by the company that bided for the contract before the procurement process was cancelled by the management of Nigerian Ports Authority (NPA).

    Some of the companies that have huge stakes in the port, include General Electric, Tinapa Business Resort, Calabar Free Trade Zone, ECM Terminals Ltd, Intel Services and Cocoa Industries.

    Some of the officials of the companies, who spoke with The Nation under the condition of anonymity said they are happy over the efforts of the government to dredge the channel, but are worried over the controversy surrounding the award of the N20 billion contract by NPA, which they said may stall the process.

    The shallow nature of the water channel, they said, has made it impossible for bigger vessels to sail through, thus contributing to the reason many importers are not patronising the port and the reason why they have not made profit on their investment.

    Findings revealed that the draft at approach of the port was 6.4 metres at high tide and 5.4 metres at low tide.

    The concession agreement, the investors said, stipulated that the Federal Government will take the draft to 9.5 metres and that the Bureau on Public Enterprise (BPE) had told them that the draught would be achieved on start of business.

    Between August 2007 and December 2012, it was learnt, only 680 vessels patronised the port. ”The non-completion of the dredging of the channel to the advertised draft of 9.4 metres is the biggest threat to the development of the port with adverse effect on our financial projection and cargo throughput was predicted on the completion of the dredging as assured during the concession exercise.

    “Companies like Flour mills, Unicem and Dangote and others do not enjoy the economy of scale in their vessel nominations to Calabar due to the fact that their full load arriving vessel has to lighten some cargo tonnage in Lagos before calling at Calabar Port due to draft limitations. Hence, a cargo ship load that could have come at once per voyage ends up being conveyed down to Calabar Port in two or three voyages,” the official said.

    Findings revealed that no container ship visited the port in the last four years.

    The Minister at the venue said the dredging would be performed by the Calabar Channel Management (CCM) and Messrs Niger Global Engineering and Technical Company Limited.

    He explained that the channel would be deepened from its present eight metres to 10 metres.

    Investigation revealed that it may take the dredging firms up to two years before they will complete the remaining 24 kilometres to be dredged.

    Sixty killometers of the channel, the Minister said, has been accomplished through the past dredging efforts.

    The Calabar port, he said, would attract more ships by the time the contractors finished their job.

    In his speech, the Cross River State governor, Senator Liyel Imoke said he was not happy about the poor state of the port.

    He said nine years after, the Calabar channel dredging contract had not been completed.

    “We hope that this time around, the project will come to stay. This project is not about dredging of Calabar port channel, It has become a sentimental issue to us.”

    He said the port has been severely under served the people of the area and that it has not realised its true potentials.

    The governor, however, noted that the successful completion of the project will boost the economy of the state, noting that many companies depend on the port to realise their objectives.

    In his address, NPA’s  Managing Director, Mallam Habib Abdullahi said his agency  would ensure the success of  CCM in its operations and overall management of the channel.

    He assured that the activities of CCM would open up  market for Calabar region and the entire South- South.

    A member of NPA board, Senator Florence Ita Giwa urged the the government  to modernise the Ikom B ridge and Odukpani  road, saying that, without it, the dredging would amount to nothing.