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Tag: Maritime

  • Maritime policy to drive blue economy

    Maritime policy to drive blue economy

    The Federal Government has reiterated its commitment to unlocking the vast potential of the nation’s marine and blue economy through a National Maritime Policy.

    The policy, currently before the Federal Executive Council (FEC), is aimed at driving sustainable development and economic growth in the sector.

    Minister of Marine and Blue Economy, Adegboyega Oyetola, who spoke at the third edition of the Maritime Transportation Breakfast Meeting in Lagos, said the policy, when approved, would offer a clear framework for investments in fisheries, aquaculture, renewable energy, tourism, and seabed mining.

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    The minister, represented at the event by Dr Mercy Ilori, Director of Maritime Services in the ministry, described the proposed policy as a critical instrument for enhancing environmental sustainability while providing a roadmap for Nigeria’s maritime sector to thrive.

    “The national maritime policy before the Federal Executive Council will create a sustainable economic growth path for the sector,” Oyetola said.

    “It is designed to drive growth in various components of the blue economy including fisheries, aquaculture, renewable energy, tourism, and seabed mining.”

    With “Prospects for Accelerated Growth and Other Matters Arising,” as theme, the breakfast meeting was organised by the Nigerian Maritime Law Association (NMLA) as a platform to engage stakeholders on emerging opportunities and challenges in the sector.

  • NAGAFF mulls FG’s intervention in maritime sector crisis

    NAGAFF mulls FG’s intervention in maritime sector crisis

    The founder, National Association of Government Approved Freight Forwarders (NAGAFF), Dr. Boniface Aniebonam, has urged the Minister of Marine and Blue Economy, Chief Adegboyega Oyetola, to tackle the myriads of problems in the sector.

    He made the request at the weekend during an interactive session by officials of the ministry, Solomon Zaks and Matthew Ayanja, with NAGAFF and Council for the Regulation of Freight Forwarding in Nigeria (CRFFN) members in Apapa, Lagos.

    He praised the minister for his achievements, saying: ”We are glad with the minister’s work.”

    Aniebonam said there were many unresolved issues, saying they want these addressed urgently.

    He listed some of their problems as the abuse of the CRFFN Act – such that the Nigeria Ports Authority and Customs officials disregard for the Cabotage and CRFFN Acts, citing the presence of foreign freight forwarders at the ports as a wrong; lack of financial autonomy for CRFFN, among others.

    Earlier, welcoming the government officials, NAGAFF National President, High Chief Tochukwu Ezisi, noted that industry faces various challenges, including infrastructural limitations and regulatory hurdles. “However, we firmly believe that through collaborative efforts and constructive dialogue, we can navigate these challenges and cultivate a thriving environment for sustainable growth,” he said.

    Ezisi, therefore, tasked the ministry’s staff members on port efficiency enhancement and cargo dwell time reduction; improvement of regulatory framework for freight forwarding; promoting capacity building and professional development within the industry; encouragement of greater participation of Indigenous freight forwarders in the blue economy and supporting the growth and effective regulation of the council.

    He said they were ever ready to engage the government in continuous discussions on these issues.

    Also, a member, Paul Ayayi, and others urged the government to tackle the non-existence of emails, unnecessary deductions without refunds on the payment platform and training and retraining by the government.”

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    Another speaker said: “Being a non-governmental organisation (NGO), NAGAFF should be supported financially. We are open to collaboration for the growth of the industry.’’

    Both Zaks and Ayanja pledged the government’s assistance to resolve the issues. On training, Ayanja said there were two free training sessions last year in Lagos and Port Harcourt, adding it would continue this year. They also promised to send their messages to the minister for treatment.

  • ‘Nigeria loses $40b yearly to poor industry regulation’

    ‘Nigeria loses $40b yearly to poor industry regulation’

    Nigeria is losing over $40 billion annually from the maritime sector due to poor regulatory standards and the lack of enforcement mechanisms.

    To reverse this trend, stakeholders are canvassing for proper regulation and prioritisation of research and development, which they argued, could unlock the full potential of the sector thereby contributing to the country’s economic growth.

    In a statement obtained, the newly elected chairman of the Nigerian Institution of Marine Engineers and Naval Architects (NIMENA), Eferebo Sylvanus, lamented the significant revenue losses plaguing the sector. He attributed the challenges to weak enforcement frameworks and substandard regulatory practices.

     “Nigeria has the potential to generate over $40 billion annually from the maritime sector. However, we are losing out on this because of a lack of proper regulatory standards and enforcement mechanisms. It is crucial that we focus on strengthening these areas and investing in research and development to solve the sector’s challenges,” Engr. Sylvanus said.

    Sylvanus was elected at an extraordinary general meeting held in Port Harcourt, which witnessed the emergence of other members of NIMENA’s executive committee.

    The chairman, who described his election as a call to service, emphasised his readiness to reposition NIMENA as a leading institution for maritime research and development, contributing to Nigeria’s and Africa’s economic growth.

    Outlining his vision, Sylvanus said: “My priority is to lead NIMENA to attain international recognition. We will set up a journal house to publish research and development activities that will tackle Nigeria’s and sub-regional maritime challenges. Our collaboration with regulatory agencies, policymakers, and stakeholders will play a critical role in achieving this goal.”

    As part of his plans, the new chairman announced a membership drive aimed at engaging undergraduate marine engineers, young practitioners, and others outside the institution.

     “We have set up a membership committee to address the challenges faced by prospective and existing members while enhancing their benefits,” he added.

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    The immediate past chairman of NIMENA, Daniel Tamunodukobipi commended the transparent election process and urged the new leadership to sustain existing initiatives to enhance safety in Nigeria’s waterways.

     “It is important to develop and maintain codes and standards to strengthen the safety framework in the sector. Public enlightenment campaigns are also necessary to educate Nigerians about the activities of NIMENA and the importance of a well-regulated maritime sector,” he said.

    Experts also highlight that ineffective regulation has created loopholes for revenue leakages, illegal maritime activities, and substandard practices that deter foreign investment. They call for collaborative efforts between professional institutions like NIMENA, regulatory agencies, and the private sector to restore confidence in the industry.

    Sylvanus concluded by assuring stakeholders of NIMENA’s commitment to delivering on its mandate.

     “We will engage in workshops, technical sessions, and collaborations with government agencies to ensure that the maritime sector becomes a major revenue earner for Nigeria. Together, we can transform this industry into a global standard,” he said.

  • Positioning Nigeria as global maritime hub

    Positioning Nigeria as global maritime hub

    The quest to position Nigeria as a continental maritime hub has received a significant boost. This followed the recent unveiling of a draft National Policy on Marine and Blue Economy by the Ministry of Marine and Blue Economy. The policy aims to emplace a structured and comprehensive framework that aligns with international best practices while safeguarding the nation’s rich and extensive marine endowments. If adopted and fully implemented, it could be the tonic to position the industry as a major economic growth driver while helping to actualise President Bola Tinubu’s Renewed Hope Agenda. EKAETE BASSEY writes.

    Nigeria looks good to transform into a global leader in the marine and blue economy. Encouraged by the recent unveiling of a maritime draft policy for the sector by the Minister of Marine and Blue Economy, Adegboyega Oyetola, hopes are already on the horizon that the maritime industry, where over 90 per cent of Nigeria’s trade volume is carried out by sea, may soon dislodge oil as major revenue earner.

    The draft policy, according to Oyetola, aims at propelling Nigeria to the position of a continental and global maritime powerhouse, by promoting sustainable practices that support economic growth, social inclusion, and environmental protection. The policy emphasises equitable resource sharing, biodiversity preservation, and resilience to climate change.

    Besides, the minister noted that the policy underscores Nigeria’s rich marine ecosystem, encompassing over 853 kilometers of coastline, 13, 000 square kilometers of water, and an Exclusive Economic Zone (EEZ) teeming with resources. It will also reposition the country’s marine endowments, including fisheries, aquaculture, shipping, tourism, renewable energy, and seabed mining potential.

    “It aligns with the administration’s Renewed Hope Agenda, emphasising human capital development, job creation, and sustainable foreign exchange generation, Oyetola said, emphasising that Nigeria’s coastline spanning approximately 850 kilometers, and its exclusive economic zone offer immense potential across diverse sectors, including fisheries, aquaculture, renewable energy and port infrastructure.

    The minister, who noted that the marine environment holds unparalleled opportunities, however, admitted that such opportunities come with challenges like unsustainable practices, environmental degradation, and illegal activities, such as Illegal, Unreported, and Unregulated (IUU) fishing.

    At the Second and Final Executive Technical Validation Workshop of the National Policy on Marine and Blue Economy held at the Abuja Continental Hotel, Oyetola, however, stated that “A robust National Policy will ensure that the nation addresses issues through a comprehensive framework that aligns with international best practices while safeguarding our marine resources for future generations.”

    He said the development of the policy reaffirms the ministry’s commitment to repositioning Nigeria as a dominant player in the marine and blue economy both regionally and globally. He, therefore, urged private sector investment for port modernisation, which, according to him, “is critical for boosting Nigeria’s competitiveness and attracting sustainable funding for the sector.”

    The minister, who stressed that these efforts are integral to ensuring that policies translate into tangible progress and measurable outcomes, reaffirmed the Federal Government’s commitment to advancing its maritime sector as a cornerstone of national development, aligning with the African Union’s Agenda 2063. He highlighted the framework as a critical step toward establishing Nigeria as a leader in the global blue economy.

    He noted that the series of validation workshops and engagements in the past couple of months underscored the ministry’s vision for the sector, hence the assemblage of professionals ranging from industry experts, academics, and researchers. “This affirms and further reflects the ministry’s dedication and commitment to the growth and development of the sector,” he said.

    Oyetola repeatedly emphasised the importance of coordinating the marine and blue economy with Nigeria’s overall economic growth, acknowledging the maritime industry as a crucial element of Nigeria’s future economy.

    “This engagement aims to restore our priorities and solidify a framework for advancing the maritime sector over the next few years,” the minister said, reiterating that a key factor in driving maritime development is the establishment of a strong policy framework.

    A Permanent Secretary in the Ministry, Oloruntola Olufemi, explained that the purpose of the final executive validation workshop was to restate the achievements of the previous engagement. Moreover, he said the marine sector is rapidly becoming economically significant and changing the course of many nations on a global scale.

    Olufemi highlighted the workshop as a chance to consolidate efforts and finalise a framework for sustainable growth of Nigeria’s Blue Economy. “Over the past few months, we have witnessed the growing significance of the marine sector in global discourse. As we face the challenges and opportunities that lie ahead, this policy represents a forward-thinking approach to harnessing the immense potential of our blue economy,” he stated.

    Maritime sector’s huge potential

    Indeed, the economic significance of the marine sector has never been in doubt. It was in recognition of the potential inherent in the sector and its ability to contribute immensely to the country’s revenue drive that President Bola Tinubu’s administration, in August 2023, established the Ministry of Marine and Blue Economy, signalling a strategic pivot away from Nigeria’s dependence on the oil sector.

    The decision appears to have been justified. For instance, in a sharp departure from what obtained before the creation of the ministry, the maritime sector already boasts impressive feats that have improved the fortune of various stakeholders. For instance, in March, Oyetola, while presenting his ministerial scorecard as part of activities marking the first year of the Tinubu Administration, shared the revenue generated by key agencies under the ministry.

    The scorecard showed a remarkable 92 per cent increase in the first quarter of 2024, with the Nigerian Ports Authority (NPA) and the Nigerian Maritime Administration and Safety Agency (NIMASA) contributing significantly to this growth. In comparison to the same period in 2023, total maritime sector earnings soared from N126.36 billion to N242.81 billion.

    Oyetola attributed this success to far-reaching reforms introduced by President Tinubu and executed by his ministry. He also noted that the increase in vessel calls at the ports and other reforms played a major role in boosting revenue. He said the NPA saw its earnings grow from N82.99 billion in Q1 2023 to N170.49 billion in Q1 2024.

    Similarly, NIMASA’s revenue increased from N37.4 billion to N62.15 billion, while the Nigerian Shippers’ Council (NSC) and the National Inland Waterways Authority (NIWA) also experienced significant increases. The NSC’s earnings grew from N4.88 billion to N8.68 billion, and NIWA’s revenue rose from N1.09 billion to N1.49 billion.

    According to Oyetola, this growth reflects not only the increased activity in the maritime sector but also the success of ongoing reforms in the industry.

    Stakeholders laud policy

    While some industry stakeholders will rather wait for the full implementation of the draft policy to kick in, majority of them are upbeat about the capacity of the policy to further turn things around in the maritime industry. For instance, the President of the Nigerian Association of Master Mariners (NAMM), Captain Tajudeen Alao, commended the recently unveiled policy document.

    Alao, while highlighting the document’s focus on sustainably harnessing ocean resources for future generations, however, underscored the need for a comprehensive policy framework that garners support from all critical stakeholders.

     According to the NAMM President, the new ministry engaged an international audit firm to create a foundational template, which underwent technical scrutiny by industry stakeholders as a preliminary step. The next stage, he said, involves presenting the refined document for executive discussions among relevant Ministries, Departments and Agencies (MDAs).

    Alao, however, said he envisioned a robust, transparent, and technology-driven policy that aligns with international best practices, including the integration of ICT and Artificial Intelligence (AI). Such measures, he noted, would enhance the policy’s credibility, attract global players, and strengthen the maritime industry’s global competitiveness.

    He said: “It (the policy document) echoes sustainable harnessing of resources of the ocean for future generations to inherit. To achieve this, there must be a policy framework to be embraced by all players within that environment.

    “The leadership of the new ministry engaged an international audit firm to come up with a template. The template was subjected to technical scrutiny by stakeholders as a first step. The second stage is presentation to Executive discussions by leadership of MDAs. At the end of the day, we shall get a robust and all-encompassing policy to drive the maritime Industry.

    “Such a policy that is operated with transparency will be acceptable to the shipping world and attract foreign players. It is expected to embrace transparency and international best practices driven by technology and ICT; AI inclusive,” Alao submitted.

    Marine sustainability expert Isa Olalekan Elegbede highlighted the significance of the blue economy, describing it as the sustainable use of ocean and coastal resources for economic growth. “The global ocean economy is valued at an estimated $24 trillion, supporting 90 per cent of global trade and providing millions of jobs,” he said.

    Elegbede believes that Nigeria’s strategic focus on its blue economy could help the country generate over $1.5 trillion annually by leveraging its vast maritime resources. He, however, emphasised the importance of creating an inclusive committee to enhance collaboration among stakeholders, including scientists, NGOs, youth groups, and federal agencies.

    Additionally, Elegbede called for policies that prioritise sustainable resource use, ethical harvesting, and green energy initiatives in the maritime sector. He also emphasised the need for policies that prioritise sustainability in marine resources, fisheries, and tourism.

    He further highlighted the importance of sustained investment in infrastructure, particularly in ports, transport systems, research, and technology, to enhance efficiency and long-term sustainability.

    Read Also: Maritime association hails Oyetola, NPA over career advancement, staff welfare 

    “Additionally, protecting coastal and marine ecosystems is crucial to avoid the destabilisation of vital resources like fisheries and maritime transport, which are essential to the nation’s blue economy. With Nigeria’s vast coastline and strategic location in the Gulf of Guinea, the country is poised to leverage its marine resources for economic diversification and long-term growth,” he added.

    Essentially, Nigeria’s draft Marine and Blue Economy (MBE) policy, which evidently excites industry stakeholders, outlines a comprehensive roadmap to harness the nation’s vast marine resources for viable development while addressing challenges through sustainable practices.

    Divided into nine comprehensive sections, it underscores balancing economic growth with environmental stewardship, aiming to position Nigeria as a global leader in sustainable marine practices. It covers various sectors, including shipping, fisheries, and renewable energy, and seeks to stimulate economic growth, enhance climate resilience, and improve the socio-economic well-being of coastal communities.

    Nigeria’s marine endowments include an 850-kilometer coastline and a vast maritime domain, offering opportunities across oil and gas, tourism, shipbuilding, marine biotechnology, and fisheries. However, there are significant gaps, such as under-exploration, inadequate data collection, and insufficient stakeholder engagement.

    The policy addresses these gaps by emphasising the need for a robust framework to meet the demands of sustainable development, job creation, and ecological preservation. It envisions harmonising national actions across the marine economy, with objectives that include stimulating growth in fisheries and aquaculture, enhancing resilience to climate change, and aligning with the UN’s Sustainable Development Goals (SDGs).

    The policy also stresses the importance of integrating the blue economy into national development, with a focus on innovation, private sector involvement, and cross-sector partnerships.

    In terms of governance, the policy calls for the establishment of a solid legal and institutional framework to manage the marine sector. This includes reviewing existing maritime laws, strengthening regulatory bodies like NIMASA and NPA, and fostering international cooperation.

    Key strategies involve ratifying international maritime laws, strengthening enforcement of piracy laws, and creating a National Marine Research and Innovation Fund.

    The policy’s implementation will be overseen by a National Implementation Committee, supported by a Technical Working Committee responsible for executing decisions and addressing challenges.

    Stakeholder engagement will be crucial, with a focus on international collaboration, regional integration, and adherence to global maritime standards. The policy aims to position Nigeria as a global leader in the marine and blue economy, driving sustainable development and attracting investments.

  • How inadequate funding, obsolete laws hinder maritime growth

    How inadequate funding, obsolete laws hinder maritime growth

    Inadequate funding for regulatory agencies is a major obstacle to the growth of Nigeria’s maritime sector. This report delves into the challenges arising from limited awareness of the Nigerian Shippers’ Council (NSC), outdated laws governing its operations, and the urgent need for the Federal Government to allocate more resources to port agencies. OLUWAKEMI DAUDA emphasises the critical importance of adequate funding to empower the NSC and other regulatory bodies to effectively fulfil their core responsibilities.

    There is no doubt that for any regulatory agency within the nation’s maritime sector to function effectively, fulfil its core responsibilities and exercise its regulatory powers, adequate funding is essential. It is well known that the Nigerian Shippers’ Council (NSC) has long relied on the two percent Port Development Levy. However, NSC has been unable to implement its statutory one percent Freight Fee, as stipulated in its enabling Acts. With the Federal Government preparing to implement the Oronsaye Report, the nation’s Port Economic regulator is poised to lose its two percent Port Development Levy. This outcome aligns with the report’s recommendation that the Nigerian Shippers’ Council should generate its own revenue and become financially self-sustaining.

    Amid the harsh economic challenges faced by port users at Nigerian ports, and with no government agency explicitly tasked with safeguarding the interests of shippers and importers, the Federal Government, through a Presidential decree in 2015, designated the Nigerian Shippers’ Council (NSC) as the Port Economic Regulator for the nation’s ports. However, this Presidential fiat, which lacked legislative backing, has faced multiple legal challenges. Terminal operators and shipping companies have repeatedly taken the NSC to court in recent years over issues impacting the interests of shippers and importers.

    To exacerbate the situation, the NSC is constrained by an outdated legal framework. The 1978 Nigerian Shippers’ Council Act no longer reflects the realities of the modern maritime industry. It is disconnected from developments such as the 2006 Port Reform and the legislative measures that now govern the protection of shippers and importers in Nigeria’s maritime sector. For context, when the law establishing the Nigerian Shippers’ Council (NSC) was enacted in 1978, the nation’s ports were managed and operated solely by the Federal Government through the Nigerian Ports Authority (NPA). At that time, there was no private sector involvement in the port system. It wasn’t until 2006, under the administration of President Olusegun Obasanjo, that the landmark Port Reform was introduced, ushering in private sector participation. This reform shifted port terminal operations to private investors, while the NPA assumed a landlord role, overseeing the operations.

    Given the NSC’s ongoing financial challenges, it is imperative for the Presidency to sign the Nigerian Shipping and Port Economic Regulatory Agency Bill 2023 into law. Having passed through the House of Representatives, the bill is currently awaiting Senate concurrence. For the NSC to function effectively as the nation’s Port Economic Regulator, there must be a legislative framework to support and legitimise the Presidential decree of 2015, ensuring the NSC has the legal powers necessary to carry out its mandate.

    During a courtesy visit by the Nigerian Maritime Law Association (NMLA), the Executive Secretary/CEO of the Nigerian Shippers’ Council (NSC), Barrister Pius Akutah, emphasised that the Act establishing the Council is outdated. Akutah remarked, “Today, we have the Ministry of Marine and Blue Economy, which is dedicated to the maritime sector. This marks a significant step taken by Mr. President to shift Nigeria’s economy away from its over-reliance on oil, toward a more diversified focus on the non-oil sectors, as you are all aware.”

    “With this kind of approach, it is important for us to collaborate with very critical stakeholders like yours to be able to move not only the ministry forward, but also to promote the development of the maritime sector and the blue economy in Nigeria.

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    “I know that the Nigerian Shippers Council, which you know has a mandate to take care of the interests of shippers over the years, is operating under a 1978 law which set it up. You will agree with me that by 2024, we should all know that the law is obsolete and it’s not going to adequately provide for what the sector stands for at the moment. So there is a need for us to look into that law and see what we can do to change the law and empower the agency to do more of what is required of it in this 21st century.”

    Currently, the Nigerian Shippers’ Council has a bill before the National Assembly seeking to formally transition into a legally recognised regulatory agency. As it stands, the agency operates under a Presidential directive and a regulation that empower it to fulfil the duties of the Port Economic Regulator—responsibilities that the Council has been executing effectively. “But the nitty gritty of what the Port Economic Regulator would do is not provided in that presidential order and the guidelines. So, there is a need for us to have a legislation. We have that legislation. It’s ongoing for some time now. Luckily for us, the National Assembly, the House of Reps has passed it. It’s before the Senate now.

    “So many areas of collaboration with the Nigerian Maritime Law Association will be very necessary and needed as soon as that law is passed into law and assented to by Mr. President. Also speaking when the House of Representatives Committee on Shipping Services paid a working visit to the Council, Barrister Akutah asked the lawmakers to assist the agency in getting approval for the 1 per cent freight stabilisation fee, which is statutorily embedded in the Act setting up the agency.

    “Mr. Chairman Sir, there is a directive from Mr. President and the Federal Executive Council (FEC) to implement the Oronsaye Report, and as this concerns the Nigerian Shippers Council, the report says we should be self-funded. Therefore, there is a need for us to implement our statutory funding, which is the 1 per cent freight stabilisation fee. I think this is very pivotal at this moment that the Oronsaye Report is being implemented. Once the Oronsaye Report is implemented, the 7 per cent Port Development Levy, which the Shippers Council gets 2 per cent from, may no longer be available. So, I think we need to work very hard to ensure that the Nigerian Shippers Council funding position is secured.”

    Implications of inadequate funding

    The Nigerian Shippers’ Council (NSC) plays a crucial role in mediating numerous economic disputes between terminal operators and shipping companies on one hand, and shippers and importers on the other. These disputes often involve issues such as container deposits, shipping and terminal charges, and extortion, with the NSC regularly receiving complaints from shippers and importers seeking mediation. However, without sufficient funding, the Council’s ability to effectively mediate and resolve port-related disputes is at risk. In particular, the NSC would lack the necessary resources to enforce sanctions when operators blatantly disregard directives.

    A notable example of this is the case involving CMA CGM, a French shipping company, and ASPA POP Investment Limited, a Lagos-based importer. In this case, N23.7 million worth of imported bags of POP (plaster of Paris) were damaged due to an unapproved barge operation. This incident highlights the critical need for the NSC to be properly funded in order to address such issues and ensure compliance with regulations.

    When the compensation demanded by ASPA POP Investment Limited differed from the amount CMA CGM was willing to pay, the importer turned to the Nigerian Shippers’ Council for assistance. In response, the agency intervened and ordered CMA CGM to pay the importer $5,316, a substantial increase over the $2,500 originally offered by the shipping company. This case is a clear example of the vital role the NSC plays in resolving economic disputes.

    Like the CMA CGM vs. ASPA POP Investment Limited case, numerous disputes frequently arise between shipping companies or terminal operators on one side and importers or shippers on the other. These conflicts underscore the need for a well-funded and legally empowered Port Economic Regulator. Such an agency, supported by appropriate legislation, is essential to enforce directives and ensure effective dispute resolution and mediation within the nation’s maritime industry.

    The Nigerian Shipping and Port Economic Regulatory Agency Bill 2023 provides the Nigerian Shippers’ Council (NSC) with the much-needed legislative backing to operate unchallenged as the nation’s Port Economic Regulator. Additionally, the bill ensures that the Council is adequately funded, empowering it to effectively carry out its responsibilities and maintain a well-regulated, efficient port environment.

    In conclusion, the Nigerian Shippers’ Council (NSC) has long played a pivotal role in mediating disputes and protecting the interests of shippers and importers in Nigeria’s maritime sector. However, its effectiveness has been hindered by an outdated legal framework and insufficient funding. The Presidential directive that currently empowers the NSC to function as the Port Economic Regulator lacks the legislative backing necessary for the Council to perform its duties with full authority and enforcement power. The introduction of the Nigerian Shipping and Port Economic Regulatory Agency Bill 2023 represents a critical step forward. This bill not only provides the NSC with the legislative foundation it needs to operate unchallenged but also ensures that the Council is properly funded. With these changes, the NSC will be better positioned to mediate economic disputes, enforce regulations, and protect the interests of all stakeholders in the nation’s ports, including shippers, importers, terminal operators, and shipping companies.

    The example of the dispute between CMA CGM and ASPA POP Investment Limited highlights the importance of having a strong, independent regulatory body capable of intervening in disputes and ensuring fair compensation. It also underscores the need for a well-regulated environment where the rights of shippers and importers are safeguarded. As the Nigerian maritime industry continues to evolve with private sector participation and port reforms, the NSC must be empowered by the right legislation and adequate resources. This will allow it to meet the challenges of a rapidly changing sector, ensuring that Nigeria’s ports remain competitive, efficient, and conducive to trade growth. The passage of the 2023 Bill is a vital step in strengthening the NSC’s role and ensuring a sustainable, well-regulated maritime industry for the future.

  • Maritime industry ready to contribute $44bn to GDP annually

    Maritime industry ready to contribute $44bn to GDP annually

    The national chairman of the Nigerian Institution of Marine Engineers and Naval Architects (NIMENA), Dr Daniel Tamunodukobipi, has said that the maritime industry has the potential to contribute $44bn to the country’s Gross Domestic Product (GDP) annually.

    Tamunodukobipi said to unlock the potential, there was a need for collective action to advance national maritime regulations.

    He spoke at the 13th Annual Conference of NIMENA in Port Harcourt on Monday, tagged, “Advancing National Maritime Regulations for Shared Prosperity”.

    He said: “The maritime industry is a cornerstone of global commerce, economic development, and international cooperation.

    “Recent statistics has revealed that the Nigerian maritime industry can contribute more than $44 billion annually to the GDP, underscoring its significance to our nation’s blue economy ambitions.

    “Its effective governance is essential to unlocking shared prosperity, not only within our nation but also across the global maritime community.

    “We must work together to advance national maritime regulations and unlock the industry’s potential”.

    In his remarks, the Chairman of the South-South Steering Committee, George Okoroma, highlighted the importance of regulations in the maritime industry.

    He said that regulations were key to preventing accidents and ensuring the industry’s growth.

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    He said: “We must regulate engineering practices to prevent accidents and ensure the industry’s growth”.

    Also, the Executive Director, Maritime Labour and Cabotage Services, Jibril Abba, explained that the Cabotage Act was designed to promote local content and capacity building in the maritime industry.

    Abba, who was represented by his Assistant, Stephen Opara, emphasized the need to promote local content and capacity building in the maritime industry through the Cabotage Act.

    “The Act is designed to prevent foreign domination of our trade and encourage indigenous capacity building,” he said.

    On his part, the keynote speaker, Andrew Aligbe, noted that effective regulations were essential to unlocking the industry’s potential.

    “Maritime regulations are the backbone of a robust, sustainable, and inclusive maritime industry”.

    The conference discussed innovative approaches to maritime safety compliance, technological advancements in naval architecture, and economic growth through maritime financing.

  • Maritime stakeholders back coast guard bill, call for enhanced security measures

    Maritime stakeholders back coast guard bill, call for enhanced security measures

    Stakeholders and experts in Nigeria’s maritime sector have expressed strong support for the Coast Guard Bill currently under review by the National Assembly. 

    They described the proposed legislation as a critical step towards improving maritime security and combating crimes at sea.

    At a public hearing organized by the Senate Committee on Marine Transport, industry leaders and legal experts provided insights into the bill’s potential impact. 

    While commending the initiative, they emphasized the need to fine-tune its provisions to avoid conflicts with existing agencies and ensure seamless operations.

    Renowned legal expert Dr. Olisa Agbakoba hailed the bill as “timely and necessary” for tackling maritime security challenges. 

    He urged the inclusion of professional expertise in refining the legislation and offered to contribute to the process.

    The proposed establishment of the Nigeria Coast Guard has been widely lauded as a transformative development for the nation’s maritime landscape.

    A former Director General of the Nigerian Maritime Administration and Safety Agency (NIMASA), Dr Ade Dosunmu, praised the initiative but suggested a clear delineation of responsibilities between the Nigerian Navy and the proposed Coast Guard. 

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    He argued that the Navy should focus on blue-water defense and national security, while the Coast Guard would be better suited to handling law enforcement and rescue operations along Nigeria’s 855-kilometer coastline. 

    Citing examples from maritime powers like the United States, India, and Singapore, he underscored the importance of complementary roles between the two entities.  

    However, Dosunmu cautioned against assigning responsibilities such as hydrographic and oceanographic research to the Coast Guard, emphasizing that these roles are already managed by other specialized agencies. He warned that overloading the Coast Guard’s mandate could compromise its primary mission.  

    Representing the Nigerian Bar Association, Jean Anishere, lent her support to the bill but flagged ambiguities that could hinder its implementation. She called for a review of specific provisions to ensure clarity and consistency with existing maritime laws.  

    A former Flag Officer Commanding the Nigerian Navy Training Command, Retired Rear Admiral Ekwerre U. Ekwerre, provided a military perspective, urging the Navy to prioritise defense and diplomatic operations within territorial waters and the Exclusive Economic Zone (EEZ). 

    He emphasised the importance of assigning law enforcement and security tasks within inland waters to the Coast Guard to prevent duplication of roles.  

    The Coast Guard Bill garnered significant backing from stakeholders who view it as a much-needed measure to address Nigeria’s maritime security challenges. However, calls for precision in its provisions reflect a shared commitment to ensuring that the proposed agency is both effective and aligned with the nation’s broader maritime strategy. 

    As deliberations continue, they are optimistic that the final legislation will establish a robust framework for the Nigeria Coast Guard, strengthening the nation’s capacity to protect its maritime assets and interests. 

  • Maritime security: Navy deploys five warships,  choppers

    Maritime security: Navy deploys five warships,  choppers

    • Regional navies, allies launch exercise

    To improve on gains of security in the Gulf of Guinea (GoG) , theNavy has  deployed five warships, two helicopters and two fast attack boats for this year’s multinational sea exercise, GRAND AFRICAN NEMO 2024.

    The exercise, a force multiplier executed with navies of Benin and Togo, as well as allies from United Kingdom, France and Spain, seeks to foster collaborations, seamless intelligence sharing and effective communication between participating forces.

    Launching the exercise onboard NNS KADA, Chief of Naval Staff, Vice Admiral Emmanuel Ogalla, said participating regional navies would concurrently conduct the exercise in their territory

    He said the simulations would be synchronised such that each navy would hand over the next to depict real life situations.

    Ogalla, represented by the Admiral Superintendent of Naval Ordnance Depot (ASNOD), Rear Admiral Livingston Izu, said the exercise was to equip navies and coast-guards of GoG region with strategic international partners, who identify with the vision of a safe and secure region for shared prosperity and development.

    The Nation reports navies of about 26 countries would be joining the seven-day exercise with Spain and France, etc. bringing in some of their warships to participate.

    Ogalla noted that the exercise presented opportunity for like-minded partners to develop African-led solutions to transnational threats and challenges to promote regional security.

    He urged participating ships, personnel and maritime information entities to embrace GRAND AFRICAN NEMO 2024 to attain objectives of the exercise as articulated in the directive promulgated by NHQ.

    “May I therefore use this opportunity to restate the commitment of the Nigerian Navy to regional collaboration, geared towards ensuring and emplacing a safe and secure common maritime space for economic activities to thrive. 

    “Recent collaborative efforts between the Nigerian Navy and the African Union towards signing a memorandum of understanding on the provision of strategic sea lift and its implication for overall regional maritime security is a clear testament of our resolve in this regard.

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    “These efforts are also in alignment with the planned takeoff of the combined maritime task force under the auspices of the African Union for effective regional collaboration.

    “At this point it is important to not only reaffirm the unalloyed commitment of the Nigerian Navy to our constitutional role of defending the territorial integrity of Nigeria, but also to the sustained fight against crude oil theft under my able and steady leadership.

    “I am to emphasise, that as the bastion of Nigeria’s sea power potentials, the Nigerian Navy will continue to remain relentless and resolute in this task of ensuring a safe and secured maritime space that facilitates a thriving blue economy towards enhanced prosperity for all Nigerians in line with the President’s renewed hope agenda.

    “In this regard, the Nigerian Navy will continue to remain a highly professional and dedicated military service that all well-meaning Nigerians will continue to be proud of,” the CNS said.

    In his welcome address, the Flag Officer Commanding (FOC), Western Naval Command, Rear Admiral Michael Gregory Oamen, disclosed that the exercise would hold concurrently within the 5 maritime operation zones in the Gulf of Guinea.

    According to him, the exercise would be executed during national and zonal phases.

    “On its part, the NN will deploy five ships, two Special Boat Service (SBS), detachments, two helicopters and maritime operation centres.

    “Joining the NN during the national and zonal phases will be ships from the UK and Spain. I have absolutely no doubt that the various training scenarios that will be conducted over the next few days will provide the needed impetus towards enhancing our collective maritime combat experiences in safeguarding Nigeria’s maritime assets” he said.

  • Four ships, chopper deployed in sub-regional navies’ maritime operation

    Four ships, chopper deployed in sub-regional navies’ maritime operation

     The Nigerian Navy and its Benin Republic, Togo, and Republic of Niger counterparts yesterday deployed four warships, a logistics vessel and one helicopter for maritime security operation, codenamed Safe Domain III.

    The operation, The Nation learnt, is meant to consolidate the gains recorded in securing the Golf of Guinea (GOG).

    The naval operation, which kicked off in Cotonou, Benin Republic, would enable the sub-regional naval forces working closer together to subdue any threat within the maritime space of member-countries.

    Kicking off the operation yesterday, Nigeria’s Chief of the Naval Staff (CNS), Vice Admiral Emmanuel Ogalla, said it would improve safety and security.

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    The CNS said the Zone E member-countries of the Economic Community of West African States (ECOWAS) had resolved to keep the entire area off the piracy blacklist.

    “You know we had Safe Domain I in 2021 and Safe Domain II in 2023. Today, we are casting off with four ships, two from the Nigerian Navy and one from the Benin Navy, and one from the Togolese Navy.

    “We have land forces, like Gendermerie from the Niger Navy, while we have the special forces and the helicopter from the Nigerian Navy. This operation is put together by the navies of the sub-region. The logistics and coordination were done solely by the participating countries.

    “The main objective of the operation is to enhance safety and security in the Gulf of Guinea, particularly in the area covered by these countries. At the end of the day, it’s a learning process. We’re drawing lessons as we move on.

  • ‘Investment in ports will reposition maritime sector’

    ‘Investment in ports will reposition maritime sector’

    The Minister of Marine and Blue Economy, Adegboyega Oyetola, yesterday, said government’s huge investment in the maritime sector is aimed at repositioning the country as a leading nation in the marine business.

    He reemphasised that the President Bola Tinubu administration is committed to investing in developing the nation’s maritime assets as well as committed to addressing the challenges facing the maritime sector and ultimately making the nation’s seaports the best in the region.

    Oyetola made this known at the inauguration of two newly acquired 80 tons of bollard pull tugboats purchased by the Nigerian Ports Authority (NPA) to enhance operations and berthing of vessels at the Dangote Refinery and Lekki Deep Seaport in Lagos. The acquisition, he said, is a further boost towards enhancing port efficiency and strengthening Nigeria’s position as a leading maritime nation in the West and Central Africa sub region.

    “We recognise the critical role that efficient port operations play in accelerating economic growth and will do all that is required to update the existing facilities to deliver on this. By acquiring these modern marine crafts, we are reaffirming our commitment to maximise the opportunities presented by the African Continental Free Trade Area (AfCFTA) Agreement. We are determined to optimise our competitive edge as a littoral nation and deepen our efficiencies through the deployment of cutting-edge technology and equipment,” Oyetola said.

    The multi-million dollar vessels, purchased by the NPA, were christened MT IRAGBIJI and MT BAMA, to support port international trade, enhance security, patrol and surveillance including delivering efficient pilotage and towage services that would also kelp in quick evacuation of cargo at the Lekki corridor.

    In his address, the Managing Director, NPA, Mohammed Bello-Koko, said the acquisition would enable the Authority to attain a regional hub status by efficiently servicing domestic cargo needs, winning back transit cargoes hitherto lost to maritime neighbours and positioning to cater to the maritime requirements of landlocked neighbouring countries.

    He said the NPA has deployed a three-pronged strategy driven by people- technology, infrastructure and equipment such as the state-of-the-art vessels that were commissioned yesterday.

    He noted that the acquisition of the marine craft is part of the fulfillment of NPA’s deliverables under the Presidential/Ministerial Performance Bond to optimise Nigeria’s marine and blue economy by providing relevant marine technology and equipment.

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    Pointing out that the marine crafts would be deployed to serve operations at the Lekki corridor, Bello-Koko said the corridor has become a hub for actualising Nigeria’s quest for self-sufficiency in energy, agricultural growth and trade transshipment capacity with the hosting of a 650,000 barrels-per-day Dangote Refinery, Africa’s largest granulated urea fertiliser complex and Nigeria’s first fully automated Deep Seaport, which can berth Super Post Panamax sized ships.

    “Data from Dangote Petroleum Refinery and Petrochemicals shows that 120 tanker vessels have been handled in the six months from January – June 2024 with a projection for 415 between July to December, while Dangote Fertilisers have handled 17 fertiliser vessels with a projection for 41 in the corresponding period.

    “We are by these commissioning and ancillary deployments putting mechanisms in place to cater for continuous increase going forward,” the NPA boss assured.

    Also speaking, the Cmptroller General of the Nigeria Customs Service, Adewale Adeniyi said the Service has found it comfortable to work with the NPA to develop the export sector, automate Customs processes, decongest the ports and ensure its efficiency.

    According to Adeniyi, the collaboration between Customs and NPA has started yielding good dividends as both agencies of government were recently ranked high by the Presidential Enabling Business Environment Council (PEBEC) in line with the vision of the present administration to reposition the Nigerian maritime sector. He assured that Customs would do all within its capacity to remain on top of ease of doing business ranking for the growth of the maritime industry.

    In his own remark, the Director-General Nigerian Maritime Administration and Safety Agency (NIMASA), Dr. Dayo Mobereola, lauded the NPA and Minister of the Marine and Blue Economy for the leading role played in driving efficient service delivery in the nation’s sea ports. He said trade facilitation comes with efficiency and concluded that only efficient service delivery would enable Nigeria to regain cargo lost to neighbouring West African ports.