Headlines

Ships set to switch from diesel generators to electricity at UK ports

container ship

The UK Government has outlined plans to stop ships from running their engines or using diesel generators while berthed, replacing this practice with new infrastructure that will connect them to onshore electricity.

During an event at the UK Chamber of Shipping on Monday evening (7 February), Maritime Minister Robert Courts announced a call for evidence on the shift to so-called shore power for vessels needing to power lighting, air conditioning and other processes while they are berthed.

This transition should reduce carbon emissions as well as local noise and air pollution.

The consultation will run until Friday 25 April. The Department for Transport (Dft) is seeking information on the likely emissions reductions that will result from a shift to shore power, as well as data on likely costs and the practicalities of rolling out this infrastructure. With regards to these topics, Courts has admitted that there are currently “gaps in understanding” in the DfT.

While acknowledging the costs, the Government has emphasized that the transition to shore power would create jobs and unlock private investment in coastal regions.

“Shore power has the potential to play a positive part in the future of zero-emission maritime, although it is an area that currently faces some significant challenges,” said the UK Major Ports Group’s chief executive Tim Morris.

“The call for evidence is, therefore, an important step in finding the right, viable ways that industry, government and networks can work together to support the wider deployment of shore power where it is an appropriate solution.”

Last March, the DfT launched the Clean Maritime Demonstration Competition – an initiative aiming to find and fund innovations in the field of zero-emission maritime vessels. Successful applicants were announced last September and collectively allocated £23m from the Government and the private sector. They included hydrogen-fuelled ferries, automation systems for efficiency, ammonia for fuel and shore power trials.

Then, as part of the Transport Decarbonisation Plan, the UK Government pledged to develop emissions targets for the maritime sector beginning in 2030 and to set a net-zero deadline “as early as is feasible”. These targets could come in the Clean Maritime Plan, expected later this year. Transport Secretary Grant Shapps has been pushing for an “absolute zero” target for the sector, to ensure it is decarbonising in a science-based fashion, without over-reliance on offsetting.

Also last year, the UK was one of more than a dozen nations signing a new declaration on the creation of zero-emission shipping routes between ports at COP26. The so-called ‘Clydebank Declaration’ is aiming to establish at least six corridors by the mid-2020s, which are likely to be shorter routes, and to add “many more routes”, including long-haul routes, by 2030.

In related news, the Oil and Gas Climate Initiative (OGCI) has this week published a new report outlining pathways to the delivery of the International Maritime Organisation’s (IMO) long-term target to halve greenhouse gas emissions from the sector by 2050, against a 2008 baseline.

Produced by consultancy Ricardo, the report outlines three technology pathways for delivering this emissions reduction. The first involves at-scale and early-stage uptake of green hydrogen and sustainable ammonia as fuels; the second replaces fossil fuels with biofuels and the third sees ships maximising energy efficiency and using onboard carbon capture to deal with residual emissions.

While the second pathway would not require engine replacements, the study ultimately concludes that it would be the most expensive.

“Unlocking zero-carbon fuel pathways will avoid higher-emission pathways becoming locked in,” said Ricardo’s associate director Tim Scarbrough. “At the same time, the deployment of energy efficiency technologies and operational measures is also vital in the short-term to reduce the consumption of fossil fuels prior to that transition.”

Scarbrough added: “A tightening of the IMO’s decarbonisation targets would help underline the need for these near-term choices.”

The IMO is due to revise its long-term strategy including its emissions targets for the sector in 2023. At the IMO’s meeting in November 2021, members voted in favour of amending measures designed to limit the carbon intensity of ships. While proponents say the measures will make each ship more efficient, the general consensus is that the rule will leave loopholes for the sector as a whole to increase emissions through 2030.

Headlines

32 years after, NPA jerks up tariffs, fees by 15 per cent

— says increase meant to upgrade old, dilapidated Port facilities

Funso OLOJO

The Nigerian Ports Authority (NPA) has announced a 15 percent increase on all its tariffs and fees across board.

The increment, the Authority says, is coming after 32 years of such increase.

The increase is expected to lead to high cost of Port services while the Port users will pass the cost to the final consumers of their products.

The terminal operators are the major users of NPA services and expected to bear the chunk of the tariff increase.

At a meeting with stakeholders in Lagos to sensitize them on the new development, the Managing Director of the Authority, Dr Abubakar Dantsoho, disclosed that the agency was compelled to take this painful but inevitable decision in order fund massive upgrade of old and dilapidated Port infrastructure.

Represented by Mr Olalekan Badmus, Executive Director Marine and Operation, of the agency, Dantsoho said the tariff review has received necessary approval from government.

The NPA management justified the tariff increase on the urgent need to address the undesirable reality of aged and weak Infrastructure, obsolete equipment and slow Port capacity expansion which has continued to diminish the performance and indeed competitiveness of Nigerian Ports.

Stakeholders at the event seems to aligned with the reasons which the NPA adduced for the tariff increase.

Joshua Asanga , a stakeholder , agreed with the increase, adding that the value of NPA’s present tariff has since been suppressed by Inflation which is at about 35% .

Asanga listed port management liabilities like wages, fuel and other areas of expenditure as having adjusted upwards without a commensurate rise in NPA charges for over thirty years

He added that NPA needs funds for improved port infrastructure, robust ICT for Port Community System, procurement of tug boats and other operational platforms to achieve efficiency

Another stakeholder, Demian Ukagu, talked on the need to apply more NPA funding to outer port facilities and jetties like the Kirikiri Lighter Terminal and development of other critical port facilities across the country.

He added that NPA rates should be able to cover these cost that would guarantee minimum return on investment and promote sustainable trade.

The meeting agreed that existing tariffs were set devoid of capital cost, labour cost, consumables and overhead expenditures needed to run the ports

They feared that keeping the ports on the old tariff would promote consequences like poor service, inadequate infrastructure,poor remuneration ,obsolete critical port facilities, equipment and infrastructure.

Globally, Port Authorities depend on revenue from operations to stay alive to their responsibilities which includes construction and maintenance of Port infrastructure, dredging of channels, provision of aids for safe navigation, provision of modern marine crafts for efficient harbour services, automation and digitization of port transactions, port security, energy efficiency and training and retraining of its employees.

The global index of Port rating and competitiveness which the international trade community relies on for its choice of countries to do business with, derives its data from how well the aforementioned responsibilities are addressed.

Coming at this period of global economic upheaval and scramble for markets, this belated Tariff review borne out of necessity constitutes a critical success factor in Nigeria’s quest to win back cargo handling business and it’s accompanying benefits including job opportunities it had lost to it’s maritime neighbors.

Contrary to the popular but erroneous notion that attributes high Port costs to NPA relative to its peers, verifiable data shows NPA Tariffs are amongst the lowest in the region.

The high incidence of unreceipted costs due to unduly high human interface, bureaucratic bottlenecks, functional overlaps resulting from absence of a Port Community System (PCS) and its corollary the National Single Window (NSW) are responsible for this contrived falsehood.

Industry commentators believed that the tariff review is long overdue and necessary at this time if the Nigerian ports want to be competitive within the West and Central African sub- region.

“Although long overdue, a quick win benefits of the NPA Tariff review for stakeholders, is the immediate boost it gives to the Authority to fast track the commencement of actual works on its concluded Port reconstruction and modernization plans.

“Secondly, the Tariff review provides the necessary guarantees to fund the acquisition and urgent deployment of the Information Communications Technology (ICT) backbone of the PCS which is the precursor to the implementation of the NSW” an industry operator declared.

Furthermore, the increased revenue generation arising from the review buoys the Authority’s capacity for critical maintenance works to open up the Eastern Ports for increased vessel and cargo traffic such as the reconstruction of collapsed Escravos Breakwaters and challenged aspects of Rivers, Onne and Calabar Ports respectively.

Headlines

Adeniyi expresses concern over environmental impact of public burning of seized drugs

– as Customs destroys 71 containers of illicit substance

Funso OLOJO

The Comptroller-General of Customs (CGC) Bashir Adewale Adeniyi has expressed grave concern over public burning of illicit substance which he said has serious environmental impact.

The CGC was saying this against the backdrop of the phased burning of 71 containers load of seized drugs by the customs in done selected locations in the country.

Adeniyi was raising this alarm during the visit of United Nations Office on Drugs and Crime (UNODC) on Tuesday, February 4th, 2025 in Abuja.

Adeniyi, who reaffirmed the Customs’ commitment towards strengthening collaboration with the UN body in tackling drug trafficking and transnational organised crime, told the delegation led by its Country Representative, Cheikh Toure, that adoption of incineration technology to dispose these drugs was a better and safer option in order to protect the environment.

He however emphasised Customs’ critical role in addressing drug-related crimes, describing them as a major threat to national security.

“There are no bandits or terrorists who operate without drugs. Nigeria is no longer just a transit point for illicit substances—many criminals within the country are actively using them. Drug abuse among youths has also become a serious concern, with some even portraying it as fashionable,” Adeniyi stated.

Adeniyi also underscored the importance of intelligence-sharing in tackling drug smuggling, noting that UNODC’s global network provides valuable insight into trafficking routes and smuggling methods.

The CGC expressed interest in adopting models similar to the US-led Container Security Initiative, which enhances port screening and intelligence-sharing.

Adeniyi revealed that Nigeria would host a Regional Donor Conference for Customs Administrations in April 2025, bringing together 23 Customs administrations and development partners to discuss ways to support Customs operations.

“We look forward to UNODC’s active participation, as the conference will highlight its contributions to Nigeria and the region while exploring new areas of cooperation,” he said.

Adeniyi stated that the event will take place in Abuja and focus on improving Customs operations, enhancing intelligence-sharing and strengthening partnerships to address emerging security challenges.

UNODC Country Representative Cheikh Toure commended the NCS for its efforts in combating drug trafficking and assured continued support.

“Customs officers are among the most highly trained professionals in Africa when it comes to detecting illegal activities, and they play a key role in the fight against transnational organised crime,” Toure said.

He noted that UNODC and the NCS had collaborated for over a decade in training, intelligence-sharing and environmental crime prevention.

However, he stressed the need to move beyond training and implement intelligence-driven interventions at ports, seaports and airports.

Toure also emphasised the importance of regional collaboration, pointing out that criminal networks operate across multiple countries and can easily relocate when faced with enforcement measures.

“A drug trafficker expelled from Ghana does not disappear into the Atlantic Ocean—they move to Côte d’Ivoire, Mali or Nigeria. This is why we must explore regional strategies to address these challenges collectively,” he observed.

He acknowledged Nigeria’s leadership role in Africa, not only because of its size and influence but also due to its efforts in helping other nations strengthen their enforcement capacities, while acknowledging Nigeria’s support for The Gambia, Sierra Leone and Liberia in improving border security and combating organised crime.

Toure highlighted UNODC’s past contributions, including refurbishing and equipping Customs offices in Lagos, but stressed that material support alone was insufficient.

“We must move beyond training and focus on introducing effective detection mechanisms at ports and border points. UNODC’s Container Control Programme and similar initiatives can be adapted to Nigeria’s needs,” he stated.

He reaffirmed UNODC’s willingness to explore new areas of collaboration with the NCS, particularly in intelligence-sharing, technology-driven screening methods and sustainable drug disposal mechanisms.

Headlines

ICTN, CISS fees will make Nigeria’s ports more expensive, uncompetitive — Segun Musa

Funso OLOJO

Dr Segun Musa, one of the vocal freight forwarders in the country and the Managing Director of Widescope Nigeria Limited, Dr. Segun Musa, has decried the reintroduction of International Cargo Tracking Note (ICTN) at the Nigerian ports, lamenting it will further add to the cost of doing business at the ports.

Similarly, he believed continued payment of Comprehensive Import Supervision Scheme (CISS) will further make Nigerian ports uncompetitive within the subregion.

Dr Musa, who was giving an overview of Port operations in the country while interacting with the leadership of the Maritime Reporters Association of Nigeria(MARAN), described these levies and charges as fraudulent in nature, meant to further impoverished Nigerians.

He was particularly upset with the continued payment of the CISS which was a fee meant to fund the operations of the inspection agencies but is it still been collected years after the era of pre-shipment inspection regime has gone.

“Agents should have gone to court to challenge it. It is illegal. The CISS money was meant for inspection agencies to run their operations.

“EFCC should have investigated the government over the trillion of Naira of CISS.” Musa declared.

On the ICTN, the National Vice President of the Association of Government Approved Freight Forwarders (NAGAFF), said the it was not different from the Customs Risk Assessment Report that profiles all cargo coming into Nigeria.

He believed that the reintroduction of ICTN would further add up to the cost of cargo clearance, narrating that with the intervention of the International Air Transport Association (IATA) acting on his petition, the ICTN was suspended at the airport.

He wondered why the ICTN, already jettisoned by the government, is being reintroduced by the government.

“ICTN is a fraud. This is a fastest way of killing the economy. We are waiting for them,” vowed Musa.

The foremost freight forwarder called the Nigeria Customs Service to implement automation of cargo clearance and delivery, stating that the Customs had promised that the B’Odogwu would address cargo clearance and facilitate trade.

“I want to believe it is achievable. What we need is the full automation; we are against use of companies but rather individuals with their identity number in cargo clearance.

“Everything from inspection to delivery should be automated. This is where the integrity of the Nigeria Customs Service will come to play,” said Musa.

Whether Customs will allow the automation to work or Customs agents will declare correctly, Musa averred that the world is changing and Nigeria cannot be left behind.

“Nobody wants a change. The world is migrating away from analog. This is why investors do not want to come to Nigeria. To advance our economy, we must embrace change – automation.”

Still speaking on the Customs operations, Dr. Musa said there is nothing special in the revenue collection by the Customs but what we need from the Service is transparency.

“I was the lone voice calling for the privatisation of the Customs; anybody can generate revenue. The PIDA did it during the administration of General Sanni Abacha.

“Customs generating revenue is not special; a consortium can generate revenue while Customs is saddled with a border patrol.

“We did it before and we can do it again. If the Customs is not transparent enough, I will not hesitate to call on the government to privatise the customs,” Musa vowed.

He averred that incessant increase in customs duties and revenue target is an indicator that the national economy is not working and is also a lazy way by the politicians to run the economy.

Musa disagreed with the belief that foreigners have taken over freight forwarding in Nigeria, adding freight forwarding is an international job and everyone is free to practice it.

“Foreigners have not taken over freight forwarding in Nigeria. People need to understand that we live in a global neighborhood.

“You must have strength and capacity if you want to participate in freight forwarding, an international job.

” Government should create a level playing field for all actors. We collect a lot of revenue for the government but we get nothing.

“Chinese government provide funds and enabling environment for her citizens to thrive everywhere. But it is not the case here in Nigeria,” said Musa

The freight forwarder further noted the land border was closed because of rice, a decision which he described as irrational when the nation does not have the capacity to produce rice enough to feed her citizens.

He maintained that no nation closes her border against goods it lacks capacity to produce enough, expressing fears that the nation may become a dumping ground for other countries as Nigeria does not have capacity and infrastructure to compete competitively in the African Continental Free Trade Agreement (AfCFTA).

“We don’t have production capacity to tap AfCFTA. We may likely become the dumping ground. We don’t have manufacturers again who can produce for enough for local consumption and for export under AfCFTA,” said Musa

On the National Single Window (NSW), Dr. Musa hinted that his fears about the National Single Window (NSW) had been allayed that NSW would not be handled alone by an agency, calling on the government to set up a committee of trustworthy actors to supervise the Single Window.

Assessing the performance of the Ministry of Marine and Blue Economy under Adegboyega Oyetola as the Minister, Musa said there is nothing new in marine and blue economy.

“It has been with us for long. We cannot harness natural resources in our ocean if we don’t put the right person in the right places.

“The Minister loves talkshows and globetrotting. How do we harness the blue economy when you don’t have ships, equipment,” said Musa, who said year 2024 was filled with a lot of challenges and opportunities.

“In 2024, we had a lot of challenges – inconsistent in government policies, fluctuations in Forex that plummeted volumes of cargo traffic and the Customs putting pressure on importers with various ideas to meet its revenue target.

” We had a lot of opportunities to change the narratives but we never had associations strong enough to protect our interests.

“Hike in the cost of transportation dues to incessant increase in diesel did not help the situation. The Council for the Regulation of Freight Forwarding in Nigeria (CRFFN) was handicapped by its teething problem as every freight forwarder bore his cross,” Musa said while highlighting 2024 but hopeful for a better 2024.