Headlines

Lagos ports are overstretched—–NPA cries out

Eyewitness reporter

The Acting Managing Director of the Nigerian Ports Authority (NPA), Mohammed Bello-Koko, has revealed that the Lagos ports of Apapa and Tin Can Island are overstretched and are currently operating above their installed capacity.

Bello-Koko, who was recently fielding questions on LeadershipNG, further disclosed both the Apapa and Tin Can Island Ports, which were built to handle 500,000 Twenty-foot Equivalent Units (TEUs) are now handling about 700, 000 TEUs, saying this is way above their installed capacities.

He stated that this has been responsible for the slow-paced good clearances being experienced at the Ports, adding there is an urgent need to introduce efficiency into the system since there is no space for physical expansion anymore.

“The city has caught up with the Ports so there is no space for expansion. What we need to do is to improve on the activities in the Ports, in terms of efficiency.

“In 2006 when NPA concessioned the terminals, there was a Development Plan between the NPA and the concessionaires and that plan included physical development and deployment of equipment. The concessionaires have met those agreements and everything has evolved but there is a need for bigger and more efficient equipment, better Information Technology IT system” the said.

Bello-Koko also spoke on why the Ports’ APM Terminals needs an upgrade in order to achieve better supply chain efficiency, flexibility and dependability.

“We have seen an improvement in terms of efficiency, but there is room for more. We have observed system downtime in one or two of the terminals, especially the APM Terminals, which is one of the terminals.

”Whenever APM Terminal system is down, it causes a lot of backlog in terms of traffic.

“What we did was to sit with the terminal operators, told them to improve on their operations; we have Monitoring and Regulatory Department in NPA, which has an index that on a monthly basis we look at the operations of the terminal operators and we grade them based on their operations and we also go ahead at the end of the quarter to sit with them and tell them where they have decreased and where they have improved and we have seen a better synergy between what the terminal operators are doing and the shipping lines, because some of them also have affiliated shipping lines working with them”, he explained.

He said his administration is committed to coming up with mandates and policies that would increase efficiency like never before.

“First, to improve Port operations, we came up with a policy that mandated shipping lines to establish holding bays for their empty containers and we mandated them to ensure that they have a holding bay outside the Port premises for empties.

”This is to ensure that when an importer takes away his cargo from the Port, he goes to his business premises or warehouse and offload.

”He should not bring the empty container into the Port, he should rather take it into the holding bay.

“Secondly, we mandated every vessel ship that comes into Nigeria, when it is sailing out, it must take away at least 80% of the total quantity of containers it brought in either as empty or as export cargo.

”We were beginning to see that Nigeria was being turned into a dumping ground for empty .containers and largely, this has worked because those empty containers have been removed. But we ensure regular monitoring and efficiency has increased.”, he said.

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Economy

Prices of cooking gas to crash as federal government exempts LPG, allied products from Customs duty,VAT

The Federal government has directed that imported Liquefied Petrolium Gas(Cooking gas) and all its allied equipment like cylinders should be excepted from the payment of Customs duty and Valu-Added Tax(VAT).

This directive is expected to crash the galloping prices of the product which is being sold between N950 to N1200 per 1 kg

The Ministry of Finance disclosed this in a letter (dated November 28, 2023) to the Special Adviser to the President on Energy; the Comptroller-General of the Nigeria Customs Service (NCS); and the Chairman of the Federal Inland Revenue Service (FIRS).

According to the ministry, the exemption aligned with President Bola Tinubu’s commitment to enhance Nigeria’s investment climate, and promote clean cooking practices.

“In line with His Excellency, President Bola Tinubu’s commitment to improving the investment climate in Nigeria, increasing the supply of LPG to meet local demand, reducing market prices and promoting clean cooking practices, I hereby affirm Presidential directive dated July 29, 2022, with reference number PRES/88/MPR/99,” the letter reads.

“Accordingly, the importation of LPG utilising HS Codes 2711.12.00.00, 2711.13.00.00 and 2711.19.00.00 is exempt from Import Duty and Value-Added Tax. Consequently, the Importation of LPG shall incur a 0% duty rate and 0% VAT rate, effective immediately.”

The ministry instructed the NCS and FIRS to comply with the directive pending its official gazetting. \

Also, the ministry directed the NCS to comply with the presidential directive, dated July 29, 2022, and withdraw all debit notes issued to petroleum marketers who have imported LPG “using codes 2711.1.2.00.00 and 2711.13.00.00 from August 26, 2019, to the present date”.

Other items exempted from VAT and duty payment are LPG cylinders, LPG cascades, gas leak detectors, steel pipes, steel valves and fittings, LPG dispensers, gas generators, LPG trucks, among others.

Before now, 7.5 per cent VAT was slammed on the product which made its prices in the market to hit the roof.

Headlines

Maritime media charges federal government on disbursement of controversial CVFF

President Tinubu

The Eyewitness Reporter

Worried by the stalemated disbursement of the controversial Cabotage Vessel Finance Fund (CVFF) which has lingered for so long, the League of Maritime Editors (LOME) has urged President Ahmed Tinubu to expedite action on the release of the funds to trigger the development of indigenous shipping industry.

The group also called for urgent rehabilitation of collapsed critical port infrastructure at the nation’s seaports.

The President of LOME, Timothy Paul Okorocha, made these calls at the League’s 25th anniversary held in Lagos on Wednesday, with the theme ‘Harnessing Nigeria’s Potential in Marine & Blue Economy’,

While congratulating President Bola Tinubu for the further unbundling of the Ministry of Transportation and the establishment of the Ministry of Marine and Blue Economy, Okorocha appealed to the President to exercise the required political will to push further by ensuring that the routine talk about the rehabilitation of collapsed critical port infrastructure receives urgent executive attention.

“As development partners, the League looks forward to the effective participation of the respective agencies in the current administration’s renewed agenda template; and wants to see the Nigerian Ports Authority move away from the ritual of endless talk and lamentations into doing the needful, the reconstruction of broken down asset and infrastructure,” he said.

Also worried by the lingering delayed disbursement of the CVFF, the League further urged President Ahmed Tinubu to provide the Minister of Marine and Blue Economy, Adegboyega Oyetola, and his ministry, the needed impetus to bring to an end, the unending rat race of the disbursement of the CVFF, saying that the fund established since 2003 would jump-start a new lease of life for the capacity development of indigenous ship-owners.

He added that this would enable Nigeria to participate meaningfully in seaborne trade; especially with the proposed commencement of the implementation policy of the blue economy.

The LOME President noted the genuine struggle by the Nigerian Maritime Administration and Safety Agency (NIMASA) and its leadership, especially under the present administration to disburse the CVFF but observed that the efforts suffered political disruptions.

“As insiders, the League over the years has seen the genuine struggle by the Nigerian Maritime Administration and Safety Agency (NIMASA) and its leadership, especially under the present administration to disburse the CVFF in its commitment to grow local capacity building, but observe the otherwise disruptive tendencies within the field of political play.

“We appeal to Mr. President to use his good offices to prevail on the relevant authorities to respond to the needs of our industry as there can be no better time than now,” he said.

Speaking on the theme of the conference, Doctor Charles Okoroefe of Nigeria Maritime University also hailed the unbundling of the transportation ministry which he said was a misnomer.

He has decried the untapped potential of marine resources, especially in the area of tourism in Nigeria, regretting that marine tourism is lacking in Nigeria unlike in Gambia and the Caribbean where marine tourism is a major source of income where marine tourism rakes in billions of dollars.

“Egypt made about $14 billion in tourism from the Nile in 2022,” he added.

“People troop in into the Bahamas. Do we (Nigeria) have the potential? Yes. But the question is how prepared are we?” he queried.

He stressed that marine tourism is a solution in terms of job creation and that the time has come for Nigeria to progress from potential to actuality.

“So talking about job creation. All of these elements I mentioned are potential areas for job creation because it is a major issue in Nigeria today.

” A lot of young people are jobless. Meanwhile, we have an area that is green where a lot of jobs can be created.

“So I think we have to look at that potential area of driving our marine and Blue Economy,” Okoroefe stated.

He also called on the Ministry of Marine & Blue Economy to synergise with the Ministry of Agriculture to harness the potential of the sea.

“So, I believe the Ministry of Marine and Blue Economy has to synergise with the Ministry of Agriculture and also harness exotic seafood for export,” he explained, saying we cannot be depending on imports alone.

He urged the ministry to look at other fundamental seafood we have in excess that we can process through the rivers for export.

The marine expert regretted that Nigeria still imports palm oil from Malaysia, the same people who came to Nigeria to learn how to plant seedlings and today Nigeria is importing palm oil from Malaysia, “these are exportable items. So I believe the Ministry of Marine has to do a lot.

“With the Ministry of Agriculture for instance, with the Ministry of Power and the Ministry of Tourism, these are resources that we need to address in order for us to develop and come out of potential to thrive. On our ocean and marine resources, we’ve been talking endlessly.”

Headlines

Tantita refutes, describes allegation of oil theft by Navy as libelous, defamatory

Capt. Warredi Enisuoh

The Eyewitness Reporter

Following an allegation of involvement in the alleged oil theft incident against Tantita Security Services Limited by the Nigerian Navy, the security outfit has described the accusation as laughable and an attempt by the Navy to cover up the truth.

The security outfit, which has received widespread commendation for its efforts in combatting the menace of oil theft in the country, debunked accusations of any involvement of its operatives in the incident while lampooning the Navy for underestimating its operatives.

Reacting to the development, the Executive Director – Operations and Technical, Tantita Security Services Nigeria Limited, Capt. Warredi Enisuoh in a statement described the Navy’s claim as “defamatory and libelous”.

The statement said: “The activities going on inside the Nigerian Navy’s FalconEye should be investigated as the ship was only a few kilometers off the coast of Ondo State, well within view of the Nigerian Navy’s FalconEye, but they never reacted”.

“We are indeed saddened and disappointed that the Nigerian Navy could descend so low as to make such bizarre accusations against our organisation, knowing the same to be false,” he added.

“Perhaps they are not aware that video evidence of what transpired between the Tantita operatives and the Nigerian Navy at the scene exists and has been transmitted to the highest authorities.

“We will therefore not join issues with the Nigerian Navy as we are well aware that Nigerians know who is who.”

It would be recalled that the activities of Tantita and other security outfits have saved the country a whopping $43.2m from oil theft daily.

Recalled that on Thursday, December 7, 2023, the Nigerian Navy had disclosed that 17 people said to be engaged in the illegal siphoning of crude oil in Ondo State were nabbed aboard a 77-meter-long Motor Tanker (MT) VINNALARIS 1 Lagos.

Navy spokesperson, Commodore Adedotun Olukayode Ayo-Vaughan, disclosed in a statement, saying the suspects were nabbed at the Forward Operating Base (FOB) Igbokoda in the early hours of Thursday.

However, a day later, the Navy turned around to accuse Tantita Security Services Limited (TSSL) of complicity in the incident.