For decades, the Nigerian Ports Authority (NPA) has operated as a regulatory gatekeeper within ports often characterised by congestion and operational inefficiencies. The authority now faces the strategic challenge of transforming into a facilitator of trade competitiveness, leveraging international recognition to accelerate domestic reforms that will determine Nigeria’s position within the $3 trillion global maritime industry, writes AFIONG EDEMUMOH
Nigeria’s maritime sector is gaining international recognition going by the recent election of NPA’s Managing Director, Dr. Abubakar Dantsoho, as Vice President (Africa) of the International Association of Ports and Harbours (IAPH).
The combination of the push by the Minister of Marine and Blue Economy, Adegboyega Oyetola to position Nigeria on the Board of the International Maritime Organisation (IMO) and this development, signal growing confidence in Nigeria’s reform efforts and places renewed responsibility on the NPA to deliver measurable results at home.
Ports sit at the heart of Nigeria’s ambition to build a diversified blue economy, a priority embedded in President Bola Tinubu’s economic renewal agenda. The creation of the Ministry of Marine and Blue Economy and adoption of a national policy framework demonstrate the government’s intent to make maritime infrastructure, logistics and coastal resources central to growth. Within this policy ecosystem, the NPA’s performance will be decisive in determining whether Nigeria can shift from being a trade bottleneck to a regional logistics hub.
Dr. Dantsoho’s new role gives the Authority an opening to align with international standards, attract private capital, and deepen operational reforms. But the challenge remains steep: to translate institutional ambition into operational efficiency, and credibility abroad into competitiveness at home. With cargo volumes rising and fiscal pressures mounting, the success of the NPA’s modernisation drive could shape not only Nigeria’s port system but also its economic future within the emerging blue economy.
The Blue Economy Imperative
The Federal Government’s pivot toward a blue economy marks a strategic turning point. In 2023, the Tinubu administration created the Marine and Blue Economy Ministry and approved a National Policy on Marine and Blue Economy, an effort to integrate shipping, fisheries, tourism, and ocean energy into a unified development agenda.
However, ambition quickly met constraints. The 2025 Appropriation Bill earmarked only N35.75 billion in capital expenditure for the ministry, an amount experts describe as far too small for large-scale dredging, rehabilitation, and deep-sea projects. This funding gap underscores a structural challenge: while Nigeria’s blue economy vision is broad, the financial path to realise it remains narrow, forcing the NPA to rely on internally generated revenue and private investment.
The urgency of reform is evident in trade data. According to industry reports, cargo throughput has surged from about 71 million tonnes to over 100 million tonnes in recent years, while the Lekki Deep Seaport, a flagship PPP project, recorded an unprecedented 2,160 per cent year-on-year increase in throughput as of mid-2025. These gains expose both opportunity and strain: ports must now modernise fast enough to handle expanding volumes and avoid becoming chokepoints in the trade corridor.
Institutional Inertia: The Heavy Anchor
Transforming ports goes beyond new infrastructure, it demands institutional realignment. Decades of bureaucratic habits, weak coordination, and decaying facilities have weighed heavily on the nation’s maritime competitiveness.
Read Also: FULL LIST: Political parties control across Nigeria’s geo-political zones
In Lagos, Apapa and Tin Can Island remain symbols of congestion. Poor access roads, shallow berths, and obsolete cargo-handling systems combine to create chronic gridlock. The Federal Government has approved US$1 billion for the rehabilitation of major ports, with reconstruction scheduled to begin in Q1 2026 over a four-year period. Dantsoho has confirmed completion of design and environmental studies, but industry observers warn that mobilisation delays, land disputes, and procurement hurdles could push delivery timelines outward—testing investor confidence and public patience alike.
Beyond infrastructure, regulatory overlap persists. Importers and terminal operators navigate a maze of agencies—from Customs and NIMASA to security outfits and local authorities—often issuing conflicting directives. The President of the National Council of Licensed Customs Agents (NCMDLCA), Lucky Amiwero, has long called for a National Single Window platform to harmonise documentation and eliminate arbitrary fee regimes.
The Nigerian Shippers’ Council (NSC) reports that port charges are 30–40 percent higher than regional peers, while cargo dwell time averages 18–20 days, compared to a global benchmark of three–five days. Without institutional clarity, even the best infrastructure upgrades will struggle to deliver impact.
Financing Reform: The Fiscal Tightrope
Port modernisation is capital-intensive. The NPA projects a 40 per cent rise in internally generated revenue (IGR) over 2024, targeting N1.28 trillion in receipts for 2025 to co-fund modernisation and reduce federal dependency. The authority also plans to expand Public-Private Partnerships (PPPs) to fund dredging, equipment upgrades, and greenfield ports.
However, external shocks, ranging from exchange-rate volatility to global supply chain disruptions, could drive up project costs. Analysts warn that without tight fiscal discipline, cost overruns could derail timelines and damage investor trust.
CEO of the Centre for the Promotion of Private Enterprise (CPPE), Dr. Muda Yusuf, cautions that “automation and investment alone cannot reform a bureaucracy built on decades of soft institutional habits.” For the NPA, he says, success will hinge on “embedding discipline, incentives, and transparency across all levels of operation.”
The IAPH Endorsement: From Symbol to Substance
At the World Ports Conference in Kobe, Japan, Dantsoho’s election as Vice President (Africa), IAPH was widely seen as a milestone. Beneath the optics, the role carries strategic value. It allows the NPA to influence global port standards set by the IMO, WCO, and ISO, aligning them more closely with Nigeria’s interests.
It also opens doors to technical partnerships and capacity-building support from leading global ports and multilateral institutions. For financiers and investors, the appointment signals that the NPA is now seen as credible and networked within the international maritime community.
But industry insiders caution that the achievement must translate into measurable outcomes. As Dantsoho himself noted, his tenure will focus on “effective policy implementation, regional cooperation, and trade facilitation”—objectives that must materialise through automation, transparency, and performance metrics.
Inside the Reform Playbook
The NPA’s 2025–2028 agenda spans digitalisation, infrastructure rehabilitation, capital mobilisation, sustainability, and stakeholder alignment.
At the core lies digital integration, especially the Port Community System (PCS) and Electronic Call-Up (Eto) module. These platforms aim to unify Customs, shipping lines, terminal operators, and truckers on a single digital interface, minimising paperwork and curbing revenue leakages.
On infrastructure, rehabilitation of Apapa and Tin Can ports will include quay strengthening, dredging, and yard modernisation. Meanwhile, the proposed Bakassi Deep Seaport in Cross River State, valued at US$3.5 billion, is being positioned to decentralise trade away from Lagos.
The NPA is also prioritising green port initiatives, aligning with IAPH’s World Ports Sustainability Programme to promote clean energy transitions, emissions control, and coastal restoration. The Authority plans to embed Environmental, Social and Governance (ESG) principles into operations, a shift that could protect coastal communities while bolstering investor confidence.
Institutionally, the NPA is retooling itself through new departments for digital operations, ESG compliance, and project delivery. Yet the real test will be whether these reforms survive leadership transitions and embed accountability across all staff levels.
Stakeholder Voices: Optimism and Caution
Senator Dayo Adeyeye, NPA Board Chairman, describes the reform period as “transformative,” linking port modernisation to job creation, trade facilitation, and maritime tourism. Citing a NIMASA report valuing Nigeria’s marine resources at US$296 billion, he argues that the NPA’s modernisation drive is pivotal to unlocking that potential.
Private operators remain cautiously optimistic. BusinessDay investigation, estimates that inefficiencies cost Nigeria US$9 billion annually. The Port Reforms Advocacy Network (PRAN) commends the NPA’s digitalisation efforts but urges “policy continuity and predictable regulation” to sustain momentum.
Environmental groups, meanwhile, insist that modernisation must respect ecological limits. They call for rigorous Environmental and Social Impact Assessments (ESIAs), transparent disclosures, and compensation mechanisms for affected communities, especially fishermen and coastal settlers.
Measuring Progress: The Real Scorecard
Analysts agree that the authority’s reform success must be judged by measurable outcomes, not promises. A clear performance scorecard for 2025–2028 would track vessel turnaround time, cargo dwell time, tariff transparency, and stakeholder trust.
The targets are ambitious: reduce cargo dwell time to 7–10 days, align berth productivity with global medians, automate tariffs and billing, and complete major rehabilitation projects on schedule and within budget. The NPA must also strengthen non-oil export linkages, embed ESG reporting, and elevate Nigeria’s regional maritime influence through stronger participation in IAPH and IMO deliberations.
If these benchmarks are met, Nigeria’s ports, they believe, could finally evolve from being perceived as cost centres to competitive trade enablers.
Risks and Fragilities
Even well-designed reforms can stumble. Maritime analysts identify key risks that could derail progress—mobilisation delays, cost overruns, policy drift, inter-agency friction, and underfunded support systems.
Delays in finalising contracts or securing land could compress project timelines. Inflation and forex swings may inflate capital costs. Reforms tied too closely to current leadership risk reversal if not institutionalised. Stakeholder pushback from unions or operators could stall implementation, while weak coordination with agencies like Customs or NIMASA may create new bottlenecks.
Environmental missteps, too, could trigger litigation or regulatory backlash if coastal projects are executed without adequate safeguards. Analysts argue that sustained reform will require discipline, transparency, and continuity—not episodic enthusiasm.
Dr. Dantsoho’s election to IAPH leadership has put Nigeria’s ports in the global spotlight, but the real test lies at home. The coming years, experts say, will determine whether the NPA can evolve into a transparent, technology-driven, and investor-trusted institution capable of powering the blue economy.
If it succeeds, Nigeria’s ports could transform from persistent choke points into catalysts of trade, industry, and national growth. But if the reforms stall or fragment, the symbolism of global recognition will fade, leaving the country’s maritime ambitions once again adrift.
Ultimately, as one industry player who craved anonymity puts it, “The NPA’s challenge is not just to modernise infrastructure, but to modernise itself.”
