New Telegraph

Rebuilding Maritime Sector For Efficiency, Job Opportunities

The Federal Government is taking steps to overhaul Nigerian maritime industry in order to create 20,000 jobs and reclaim lost cargoes, BAYO AKOMOLAFE reports

 

At various fora, maritime operators have said that building a modern and resilient port infrastructure will fast track the country’s economic development and facilitate more job creation.

Based on this notion, in 2022, the Nigeria Ports Authority (NPA) embarked on how to improve service quality and delivery, especially at the eastern ports, so that they could serve as competitive alternatives to the western ports in Lagos.

Dwell time

For instance, because of the low level of efficiency, which resulted in long turnaround times for ships and increased container dwell time, the authority planed to establish a truck terminal in the area, which would be followed by an electronic callup system for the trucks in the eastern corridor, starting with Onne Port.

For Delta Port, the authority also, engaged the service of Messrs Royal Haskonin DHv, as a consultant on the rehabilitation/reconstruction of the Escravos breakwater, noting that the company had gone far with the engineering studies which was expected to be completed soon.

In the interim, a former Managing Director of the authority, Mohammed Bello-Koko, said that plans had also reached an advanced stage to dredge the Escravos entrance for safe navigation of vessels in the channel to Delta Port.

At the Rivers Port, through active collaboration with the BUA Group, he noted that equipment had been mobilised for the reconstruction of quay walls and berths, saying that NPA had also commenced third party towage operations as well as deploy additional pilot cutters and security boats.

Similarly on the Calabar Port, the authority made allocations in the 2022 budget for the rehabilitation of Mcliver Jetty for passenger use and the construction of radio/signal station at the dockyard in the port, among other projects.

He said: “We trust that the authority’s renewed efforts aimed at improving shipping and cargo operations in the eastern ports, consignees and shipping lines will develop increased confidence in the use of these ports.

We are hopeful that these measures would attract fresh investments into the region as well as boost the socio-economic well-being of residents in the region.”

New approach

Regardless of the steps taken so far, last week, the Minister of Marine and Blue Economy, Adegboyega Oyetola, disclosed another reforms in Abuja to modernise the country’s ports system and reclaim billions of dollars in lost revenue, cargo diversion to neighbouring ports, stressing the need to reposition Nigeria as West Africa’s premier transshipment hub.

For instance, he said that the plans would include the dredging of key ports to accommodate larger vessels and easing regulations, noting that this would boost over 20,000 jobs and reverse decades of inefficiency that drove cargo traffic to rivals like Togo and Benin.

According to him, “when the modernisation is completed, the draft of our port will be 16 to 17 meters. It is currently 12 to 13 meters. This will allow bigger vessels to berth and reverse the revenue loss to neighbouring ports of Tema, Lome and Cotonou.”

Oyetola noted that the Federal Executive Council (FEC) had green-lit a 48-month modernisation contract for Lagos’s Apapa and Tin-Can Island ports, with similar upgrades planned for eastern ports.

Agencies

To curb graft and delays, he stressed that the number of government agencies operating at ports would be trimmed

Port infrastructure requires substantial renovation and rehabilitation and such investment should be addressed by government through public private partnership (PPP) model

from 14 to seven, while the new National Single Window (NSW) digital platform, set to launch in 2025, would streamline cargo clearance.

In addition, the minister explained that Nigeria was deploying scanners by the Nigeria Customs Service to improve transparency at its ports.

He said: “These include the vessel tracking system, E-regulatory process portal, international cargo tracking note to boost revenue and guarantee security and truck call-up system to reduce traffic congestion.

“A complementary Port Community System (PCS), described as a “one-stop digital shop” for exporters, will centralise documentation and automate processes.”

Also, the minister recently said that the Federal Government was prioritising multimodal connectivity to boost trade and reduce transportation cost, saying that the present administration was advancing multimodal connectivity by improving road, rail, and inland waterway links to and from the ports.

Collaboration

Beyond ports, the minister outlined plans to leverage Nigeria’s maritime resources, including a collaboration with the United States to sustain shrimp exports after achieving 100 per cent compliance with turtle conservation protocols.

Learning from best practices in countries like Morocco, the Ministry is engaging with various private sector actors to establish a state-of-the-art fish harbours and terminals on a Public Private Partnership (PPP) basis.

To further strengthen Nigeria’s position in regional trade, Oyetola said there were ongoing efforts to improve port infrastructure and connectivity, emphasising that the licensing of Export Processing Terminals (EPTs) would boost the export of Nigerian commodities and ease the shipment of goods under the African Continental Free Trade Area (AfCFTA).

Influence

Beyond infrastructure, the minister said its ministry had made significant progress in maritime financing, adding Nigeria’s international maritime influence was also growing, with the country securing an additional 16,300 square kilometres of marine territory in its Exclusive Economic Zone (EEZ).

The minister described this as a major milestone in expanding Nigeria’s maritime resources and economic potential.

Additionally, the government has ratified six international maritime conventions and protocols, strengthening compliance with global standards.

Last line

Port infrastructure requires substantial renovation and rehabilitation and such investment should be addressed by government through public private partnership (PPP) model.

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