Headlines

Why Kenya has been preferred candidate for IMO category C ahead of Nigeria

President Uhuru Kenyatta tours the modern shipyard at the Mtongwe Navy base in Mombasa after commissioning it on December 17, 2021

Eyewitness reporter

Kenya has continued to develop its maritime infrastructure to position itself in the global maritime industry.

This has given the East African country an edge over Nigeria in the International Maritime Organisation(IMO) where it has consistently beaten Nigeria to the category C seat.

In 2019, Nigeria lost the seat by one vote to Kenya.

In the just-concluded 2021 edition of the IMO elections in London, while Nigeria failed in its sixth attempt to clinch the seat, Kenya retained the diadem in the council elections.

What makes Kenya thick in maritime Industry.

The East African country has continued to develop indigenous capacity in shipbuilding and repairs.

Last week, the country unveiled the largest shipyard in sub-Saharan Africa

The modern shipyard was located at the Mtongwe Navy base in Mombasa, making her the first country in sub-Saharan Africa with such a facility.

Kenya Shipyards Ltd (KSL) has the capacity to handle vessels of more than 4,000 tonnes and 150 metres and will boost the East African country’s status as a maritime hub.

The new facility has the longest slipway, a platform on which ships are secured and winched out of the water into a working area for construction, repair, refitting and maintenance.

The modern shipyard has two ship-building hangers, one 150 metres long and 30 metres high and a smaller one 120 metres long, 20 metres high and 13 metres wide.

President Uhuru Kenyatta officially opened the facility as Kenya eyes the lucrative shipbuilding and repair business.

The Navy project in Mtongwe gives Kenya a competitive advantage in shipbuilding and maritime engineering in eastern and central Africa, with the inauguration of a marine academy in Kisumu helping to boost human resource training for sustainable growth of the industry.

Certified ship welders

KSL will for the first time in Kenya’s history employ its own certified ship welders, which is part of the Kenyan government’s agenda to create over 10,000 jobs per year in the maritime sector, considering all ship welders in Kenya are foreign.

“In the project, Kenya, which owns about 17 military ships, seeks to save $6,800 million per vessel in maintenance fees every 10 years considering that since independence, all Kenyan ships have been serviced and maintained overseas, either in Spain or Netherlands.

Every ship has a lifespan of 10-15 years before a full makeover,” says a notice from the Kenya Defence Forces.

KSL is the anchor industry for the blue economy and will provide civil and modular infrastructure workshops, slipways, jetties, bridges and others required to support the maritime industry.

Kenya has already formed a full department on the national blue economy, which will require specialised vessels such as deep-sea fishing in the exclusive economic zone, where vast untapped marine fisheries resources are found.

Securing Kenya’s marine assets requires well-equipped vessels and KSL will play a key role in offering technical support.

Ship construction in Kenya is not a new concept.

The country built its first vessel – the MV Uhuru II – at the Kisumu port more than 70 years ago.

This is an example of how improving shipping and maritime infrastructure is a key component in Kenya’s economic roadmap, by harnessing maritime resources to propel its industrialisation agenda under Vision 2030.

The global market for ship construction, estimated at $126 billion in 2020, is dominated by South Korea (40 per cent), China (25 per cent) and Japan (15 per cent).

The global maritime trade value is worth $14 trillion, of which 40 per cent, worth $5.6 trillion, passes through the east coast of Africa.

This means that Kenya will for the first time have the chance to access $ 5.6 trillion of the trade that takes place in this region of Africa by ensuring ships pass through Kenya to undergo repair and maintenance.

Maritime stakeholders believed that not until Nigeria starts to harness its boundless maritime potentials will it be taken seriously by the global players who have consecutively denied the country to seat at the global maritime Council.

They pointed to a lot of gaps in the efforts of the government to develop the industry and harness its potentials.

They also decried the inability of the Nigerian Maritime Administration and Safety Agency(NIMASA) to deploy the multi-billion naira floating dockyard which has since been bogged down by controversies several years after it was purchased.

Related Topics:featured Kenya in IMO Council

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Economy

Buhari, Jonathan, Obasanjo, Babangida, Abdusalami, Osinbajo, Atiku, others to spend N13.8billon from N27.5 trillion 2024 budget

Tinubu presentation of 2024 budget to the National Assembly

The Eyewitness Reporter

The Federal government has earmarked the sum of N13.8 billion in the 2024 budget as the cost of upkeep of
former presidents, vice presidents, heads of state, Chiefs of General Staff, retired heads of service, permanent secretaries, and retired heads of government agencies and parastatals.

The beneficiaries include former Presidents Olusegun Obasanjo, Goodluck Jonathan and Muhammadu Buhari, ex-vice-presidents Atiku Abubakar, Namadi Sambo and Prof Yemi Osinbajo.

Also expected to benefit from the windfall are ex-military Heads of State, General Yakubu Gowon and General Abdusalami Abubakar, as well as a former dictator and self-styled military President, General Ibrahim Babangida, and a former Chief of General Staff, Commodore Ebitu Ukiwe (retd.).

Also, N1tn was provisioned for the public service wage adjustment for government Ministries, Departments and Agencies (including arrears of promotion and salary increases, and payment of severance benefits and minimum wage-related adjustments).

A breakdown shows that the entitlements of former presidents/heads of state and vice presidents/chief of general staff will cost N2.3bn. At the same time, N10.5bn is proposed as benefits for retired heads of service, permanent secretaries and professors.

The payment of severance benefits to retired heads of government agencies and parastatals is proposed to cost N1bn.

Other allocations include N65bn for the Presidential Amnesty Programme for the reintegration of transformed ex-militants; N1bn for the Office of the Presidential Adviser on Energy; and N108bn for unnamed special projects.

The government is also proposing the sum of N40bn to offset electricity debts owed to power distribution companies by all MDAs.

President Bola Tinubu unveiled the N27.5 trillion budget estimates for the 2024 fiscal year.
The budget was presented to a joint session of the National Assembly on Wednesday, where it is currently undergoing scrutiny and deliberation for final approval.

In his presentation, he declared, “The 2024 Appropriation has been themed the Budget of Renewed Hope.

The proposed budget seeks to achieve job-rich economic growth, macro-economic stability, a better investment environment, enhanced human capital development, as well as poverty reduction and greater access to social security.

Customs

News Alert: Wale Adeniyi revives CG conference, holds 2023 edition December 13-15 in Lagos.

Wale Adeniyi, CGC

The Eyewitness Reporter

After 11 years of interregnum in the annual Comptroller General of Customs conference, Adewale Adeniyi, the Customs boss, has announced the rescucitation of the annual conference which holds December, this year.

In the social media broadcast, Adeniyi said he was delighted to announce that the 2023 CG Conference will hold from December 13th- 15th, 2023 at the Grand Africa Ballroom of the prestigious Continental Hotel, Victoria Island, Lagos.

The theme of this year’s conference, according to the CGC, is “Leveraging Data Analytics for Secure and Efficient Trade Facilitation in Customs Operations”.

The Vice President of Nigeria, Senator Kashim Shettima, is expected as the special guest of honour while the Governor of Lagos state, Mr Babajide Sanwo- Olu and the Minister of Finance and the coordinating minister of Economy, Wale Edun, are also expected to grace the occasion.

Adeniyi stated that this year’s conference will centre around the discussion on implementing new measures to enhance service operations, championing secure and efficient operations across the federation.

“In line with my efforts and that of my management team to modernize the Nigeria Customs service through leveraging technology-driven Customs to shape the future of our operations, I am inviting you to this year’s Comptroller General Conference scheduled for 13tg to 15th December 2023 at the Grand Ballroom, Continental Hotel, Lagos.

” The theme of this year’s conference is Leveraging Data Analytics for Secure and Efficient Trade Facilitation in Customs Service.

” We are embracing innovation, utilizing the power of analytics to ensure the security and efficiency of Customs Operations.

“This significant event will centre around discussion on implementing new measures to enhance the service operations, championing secure and efficient operations across the federation.

“It will serve as a platform for attracting new business stakeholders to our shore.

” Don’t miss this opportunity to be part of this renewed hope experience as we consolidate on the achievements of the past, collaborate with our stakeholders and of course, bring in innovation to drive Customs Operations.

“The conference will be graced by esteemed guests, including the Vice-President, Senator Kashim Shettima as the special guest of honour, the governor of Lagos State, Babajide Sanwo-Olu and the Finance Minister, Wale Edun” the CGC announced.

The CG conference is a platform for interaction where customs reviews its past operations and project for the future.

The last conference was held in 2012 in Katsina state.

Headlines

Ukraine blocks Russia’s reelection bid at IMO council elections

The Eyewitness Reporter

The world is gradually ostracizing Russia from the comity of nations due to its aggression against Ukraine.

At the council election of the International Maritime Organisation (IMO) held Friday, December 1st, 2023, Russia, for the first time since 1958, failed in its reelection bid into category A of the organization

The failure of Russia was masterminded by Ukrainian President Volodymyr Zelenskyy, who told the IMO General Assembly that Russia had no place in the August gathering.

Ukraine, which was not standing for election, had pushed for Russia to be ousted from the IMO Council.

“Russia has no place in the International Maritime Organization nor its governing bodies because no one in recent decades has caused greater harm to free navigation than Russia,” Zelenskiy told the IMO Assembly in a remote address on Monday.

Russia has been a member of Category A of the IMO and has consistently won reelection into the fold of the committee of countries with the largest maritime interests in the world.

But due to its war with Ukraine, the country has lost that revered place.

The outcome is another blow for Russia after it failed in its bid to return to the UN’s top human rights body in October, in an election seen as a key test of Western efforts to keep Moscow isolated.

Last year, Moscow also failed to win enough votes for re-election to the UN aviation agency’s governing council.

The London-based International Maritime Organization (IMO) is responsible for regulating the safety and security of international shipping and preventing pollution and comprises 175 member state countries.

Russia has been a member since 1958 and has been consistently re-elected to the IMO Council.

With voting on Friday, 40 countries were elected by secret ballot to the IMO Council, which supervises the work of the body.

They include China, Greece, Italy, Japan, Liberia, Norway, Panama, South Korea, Britain and the United States.

Russia’s IMO delegation told the Assembly earlier on Friday that it deserved its place on the Council.”A balancing and constructive role is what our country contributes, not just to this body, but to the Organization as a whole,” Russia’s delegation said in translated comments.

In October, Russia said the IMO was departing from its impartial role due to “external pressure” which it said was impacting the fair treatment of all member countries.

Meanwhile, the IMO Assembly on December 1st, 2021 elected the members of its Board for the two years 2024-2025.

Category A, which includes the ten nations that have the highest interest in providing international maritime services, have been China, Greece, Italy, Japan, Liberia, Norway, Panama, the Republic of Korea, the United Kingdom, and the United States.

In category B of the IMO Council, which is made up of ten nations that have the greatest interest in international maritime trade, representatives of Australia, Brazil, Canada, United Arab Emirates, France, Germany, India, Holland, Spain and Sweden.

Category C, is made up of 20 nations that have a particular interest in maritime transport or shipping, and whose election to the Board will ensure the representation of all major geographical areas of the world, including Saudi Arabia, Saudi Arabia, Bahamas, Bangladesh, Chile, Cyprus, Denmark, Egypt, Philippines, Finland, Jamaica, Indonesia, Kenya, Malaysia, Malta, Mexico, Morocco, Peru, Qatar, Singapore and Turkey.

After the thirty-third Assembly of the IMO, which will end next Wednesday, the following day the newly elected Council will meet for its 131st session and elect the President and Vice-President for the next biennium.