Headlines

NPA, Terminal operators disagree with Auditor-General over N490bn concession debt

Eyewitness reporter

Both the Nigerian Ports Authority (NPA) and the terminal operators have disputed the claim made by the Auditor-General for the Federation Adolphus Aghughu that the 18 terminal operators are owing the NPA a cumulative amount of N490bn as concession fees.

The Auditor-General’s report has claimed that the terminal operators were indebted to the federal government to the tune of $753 million and N1.61 billion (cumulatively 490billion).

However, a source close to one of the terminal operators who craved for anonymity explained that the indebtedness was accrued between 2006 and 2019, adding that the period covering 2020 to 2022 was not part of the reported indebtedness.

The source, who happened to be one of the management staff of a leading terminal operator said, “The debts date back to the period spanning 2006 to 2019 and the debt figures are composed of estate rents, lease fees and throughput charges among others as stipulated in the concession agreements.”

He, however, said that there had been recoveries within the period under review and that there had also been unrecoverable debts.

He specifically disclosed, “there have been recoveries within the period under review, and they are unrecoverable debts owing to issues such as volume change, gross minimum tonnage (GMT)/Penalties, and encumbered areas, among others.”

Asked to explain the issues militating against debt recovery, he stated that volume change, for instance, means volume adjustment.

“The Executed Contract Agreement stated that if the percentage variation between actual performance and projected volume is within minus 10% to plus 10%, the lease fee will be paid in full.

“However, if the percentage variation performance is more than minus 10% to plus 10%, the lease fee payable will be adjusted by an equivalent percentage.

“Therefore, the adjustment is against the lease fee payable by the percentage change in volume,” he explained.

He stated that the encumbered areas referred to “areas that are inaccessible due to factors not caused by the tenant such as host community hostility and marshy land, etc.,” while Guaranteed Minimum Tonnage (GMT) referred to “the projected tonnage pledged by the concessionaire to achieve and this arises from the inability of the concessionaire to meet up the pledge.”

According to the official: “unpaid VAT (Value Added Tax) relates to the VAT element of the unpaid Lease Fees arising from adjustment brought about by the volume change defined above,” while “penalty refers to financial burden suffered for failure to meet terms of payment in a contractual agreement.

” It is as a result of the concessionaire not paying within the specified time /days allowed in the contractual agreement. Simply put, it refers to a charge for late payment.”

Similarly, an official of the NPA who did not want his name in print, corroborated the disclosure by the terminal operators when he claimed that the figure quoted in the Auditor-General report of 2019 did not reflect the current position of indebtedness to the NPA.

According to him: “It is pertinent to clarify that out of the $852,093,731.10 cited in the Auditor General of the Federation’s report and being circulated in the media, $504,663,452.37 constitutes an uncollectible portion due to volume change and contentions; $66,627,342.76 constitutes uncollectible portion due to gross minimum tonnage (GMT); $19,619,459.00 constitutes uncollectible portion due to encumbered areas; while the sum of $98,114,442.46 has been recovered, leaving the sum of $163,069034.51 as the actual amount owed by only three (3) of the terminal operators.

“It is very important to note that the uncollectible debts are the summation of GMT stated above (a performance metrics), which the terminal operators could not meet mostly because of change in government policies (issues such as force majeure, infrastructure decay, poor road network outside the port and others.”

He also pointed out that some of the debts were legacy debts “being owed by a government agency which metamorphosed into a limited liability company and for which the Authority is working out modalities with the relevant parties to recover accordingly.”

He expressed optimism that with the Authority already at an advanced stage of talks to resolve the disputes surrounding these amounts, there would be “a resolution and recovery of what is due to NPA by the end of the year 2022.”

He also hinted about the setting up of an inter-agency committee comprising NPA, Federal Ministry of Transportation (FMOT), Federal Ministry of Justice (FMOJ), Bureau of Public Enterprises (BPE) and Infrastructure Concession Regulatory Commission (ICRC), with the task to undertake a review of the Concession Agreement which has led to some of the anomalies.

According to him, the committee had already developed a template to address the inherent anomalies in the agreements that allowed for the accumulation of such debts to forestall a recurrence.

The official further said that the relationship between the NPA and the terminal operators was an ongoing business that entailed the reconciliation of accounts at every point of the way.

He restated the fact that the NPA was on top of the debt situation, saying that the authority had mechanisms in place to recover all debts owed by terminal operators.
He, therefore, dismissed as needless and uncalled for “the entire hue and cry in the media space about indebtedness by terminal operators.”

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NIWA partners ICPC to strengthen internal transparency in its operations

Gloria Odion, Maritime Reporter

The National Inland Waterways Authority (NIWA) has announced new strategies aimed at improving its operational system and enhancing collaboration with key stakeholders as part of efforts to boost efficiency and accountability.

Speaking at a post event Press Conference at NIWA Headquarters Lokoja, the Acting Managing Director, Umar Yusuf Girei, while answering questions from journalists stated that, the organization convened a two -day Executive and Anti-Corruption training with the theme “Strengthening Integrity and Revenue System in Inland Waterways Management” organized for Board Members, Management and Area Managers and also 2026 NIWA Management Retreat in Abuja.

The Acting MD noted as part of the Renewed Hope Agenda of President Bola Ahmed Tinubu,with the support Adegboyega Oyetola, Minister of Marine and Blue Economy, the Authority is focused on aligning institutional goals in ensuring better service delivery to Nigerians.

He further said, as part of its anti-corruption drive, the Management held discussions with the Independent Corrupt Practices and Other Related Offences Commission (ICPC) to explore measures for strengthening transparency within its operations.

Girei therefore, assured staff that the ongoing reforms under his watch would translate into improved service and better working conditions.

“NIWA remains committed to continuous improvement and stakeholder engagement and the reforms are expected to enhance both internal performance and public confidence”. he stated.

Headlines

Navy appoints new Maritime Guard Commander for NIMASA

Gloria Odion, Maritime Reporter

The Chief of the Naval Staff, Vice Admiral Idi Abbas, has approved the appointment of Commodore Reginald Odeodi Adoki as the Commander of the Maritime Guard Command at the Nigerian Maritime Administration and Safety Agency (NIMASA).

Commodore Adoki takes over from Commodore H.C Oriekeze who has been redeployed.

Commodore Adoki, a principal Warfare Officer specializing in communication and intelligence, brings onboard 25 years experience in the Nigerian Navy covering training, staff and operations.

As a seaman, he has commanded NNS Andoni, NNS Kyanwa and NNS Kada.

It was under his command that NNS Kada under took her maiden voyage, sailing from the country of build (the United Arab Emirates) into Nigeria.

He was commissioned into the Nigerian Navy in 2000 with a BSc in Mathematics.

He has since earned a Masters in International Law and Diplomacy from the University of Lagos and an M.Sc in Terrorism, Security and Policing at University of Leicester, England.

He is currently pursuing a Ph.D in Defence and Security Studies at the National Defence Academy (NDA).

He is a highly decorated officer with several medals for distinguished service.

Welcoming the new MGC Commander to the Agency, the Director General, Dr Dayo Mobereola, expressed confidence in Adoki’s addition to the team, emphasising that it will further strengthen the nation’s maritime security architecture given his vast experience in the industry.

The Maritime Guard Command domiciled in NIMASA was established as part of the resolutions of the Memorandum of Understanding (MoU) with the Nigerian Navy to assist NIMASA strengthen operational efficiency in Nigeria’s territorial waters, especially through enforcement of security, safety and other maritime regulations.

Customs

Customs collects N1.585 trillion from 51 compliant traders under AEO programme

Funso OLOJO, Editor

The Authorized Economic Operator (AEO), one of the trade facilitation tools introduced by the Nigeria Customs Service in 2025, has begun to yield bountiful harvests with the revenue growth of ₦362.79 billion recorded in 2025.

According to the AEO scorecard released by the Service, the facilitation tool grossed the sum of N1.585 trillion after certification, an increase revenue from N1.222 trillion before certification.

This represents the growth of N362.79 billion(29.68 per cent) for 51 AEO – certified entities as at October, 2025.

The Programme, according to the NCS, also contributed 21.77% to its total revenue collection of ₦7.281 trillion in 2025, while customs duties paid rose by 85.66% due to enhanced compliance and increased volumes of legitimate trade.

According to AEO Monitoring and Evaluation (M&E) Report, the Programme achieved an average compliance rate of 85.45 per cent with the highest at 100 per cent and the lowest at 60 per cent.

“The evaluation applied rigorous methodologies to ensure objectivity, transparency, and alignment with the World Customs Organisation (WCO) SAFE Framework of Standards and the provisions of the Nigeria Customs Service Act, 2023.

“In the area of trade facilitation, AEO participation reduced average cargo clearance time from 168 hours to 41 hours, representing a 75.60% time saving.

“Company operating costs declined by 57.2 per cent while demurrage payments dropped by 90 per cent, limiting capital flight to foreign-owned port service providers and strengthening foreign exchange retention.

” Overall trade efficiency improved by 77.11 per through digitalisation, simplified procedures, and targeted risk management” the Customs declared in the AEO scorecard.

However, the Service singled out with Eight companies for commendation due to their integrity and compliance under the programme.

The companies include Coleman Technical Industries Limited, WACOT Rice Limited, ROMSON Oil Field Services Ltd, WACOT Limited, Chi Farms Ltd, CORMART Nigeria Ltd, PZ Cussons Nigeria Plc, Nigerian Bottling Company Limited and MTN Nigeria Communications Plc.

The Service lauded them for a cumulative voluntary remittance of over a billion naira into the Federation Account following their self-initiated transaction review and disclosure.

“These actions reflect the strengthening of post-clearance audit mechanisms and a growing culture of voluntary compliance within the trading community.

Nevertheless, the Service suspended a firm under the programme for its non- compliance and display of lack of integrity.

The suspended firm engaged in false declaration of consignments contrary to programme obligations.

“Consequently, the Comptroller-General of Customs, Bashir Adewale Adeniyi, directed the immediate suspension of the company’s AEO status in accordance with the AEO Guidelines, the WCO SAFE Framework of Standards, and Section 112 of the Nigeria Customs Service Act, 2023.

The NCS reiterated that the AEO Programme is founded on trust, transparency, and continuous compliance.

“While compliant operators will continue to benefit from expedited clearance and reduced inspection, appropriate sanctions will be applied where violations are established.

“The Service remains resolute in safeguarding national revenue, facilitating legitimate trade, and preserving the integrity and global credibility of Nigeria’s AEO framework” the NCS concluded in the report.