Mr. Paul Ndibe, is the Acting Executive Director, Chattered Institute of Logistics and Transport (CILT). In this interview with Anozie Egole, he speaks extensively on sundry industry issues, such as the failure of President Muhammadu Buhari to sign the National Transport Commission (NTC) Bill, Customs operations, and the railways, among others.
“If there is National Transport Commission, it might be able to reduce the friction between and agencies under the commission”
“In trying to look at incrementally improving on the standard gauge, government should not fail to also invest on the narrow gauge, otherwise they may not realize the sole contribution of the railway sector to the GDP”
What is your assessment of the second quarter of the year in the maritime industry?
The second quarter appears to be taking some shape; maybe because of the injection of funds from the elections. We have started seeing some improvement in the liquidly rate, economic activities in the households and that took place immediately after the election and that started end of March. Between April and May we have started seeing minimal increase in activities, issues about the port is not being orchestrated now. And the opening of the roads leading to the ports, all these long queue of trailers to the ports have reduced on account of the road opening. And then the issue of opening up of transit park, so it is the beginning of the positive trends we are looking at. We just learnt that about four ministers and other top government officials visited China to inspect and conclude arrangements for the shipment of the coaching stock to be used for the rail project. But it doesn’t end there, the concern is there that the open lines, that is the lines that are still running but on a narrow gauge, there is a huge level of inactivity there and that is not helping the impact the rail should create in term of the GDP and the economic activities of the country.
So, government in trying to look at incrementally improving on the standard gauge should not fail to also invest on the narrow gauge, otherwise they may not realize the sole contribution of the railway sector to the GDP.
What is your reaction to the recent award of contract to the tune of $3.9billion for the construction of a deep seaport in Warri?
The characteristics of a deep seaport and the normal port we have may not be the same. I wouldn’t know the basis for that decision and I also don’t know the location for the deep seaport. I am aware that Akwa Ibom state also wants to develop their own, so if it is the location that the federal government wants to also develop its own seaport as opposed to the state doing that, it is a welcome development. Nigeria is looking at being a maritime hub and you can’t be a maritime hub without creating the capacity to be a maritime hub. Look at the issue we are facing with Apapa ports and that might be the most vibrant port in Nigeria out of six ports. Of course, there is Onne; but Onne appears to be restricted in terms of its specialized nature, that is oil and gas, so we do not actually feel the effect of Onne. But then if a deep sea port is to be constructed there, the characteristics of a deep sea port will actually be different from that of regular ports; because it might be able to accommodate bigger ocean going vessels and that means increased capacity, quay way and of course urn around time. But I wouldn’t know if while constructing that, they are going to shut down Warri port. If Warri port also exists alongside the deep sea port, the Warri port might now be able to take badges from the deep sea port and reduce the level of activities on the deep seaport instead of shutting it down. It might take up to five years to be completed and while doing that, we cannot shut down one because it will increase congestion in the other ports. So if that one is on with minimal level of activities and there is a new port which is a deep sea port with bigger vessels. The Warri ports maybe transformed to receiving badges and transshipment purposes within the deep seaport, so economically it might be a welcomed development.
Why do you think NTC Bill was not assented to by President Muhammadu Buhari, what is the economic implications?
Nigerian Shippers’ Council, in some other countries essentially are not owned by the government of that country. But Nigeria because of our own background, the federal government established the shipper’s council. So if the shippers’ council is there and then other transport bodies and there is no National Transport Commission that oversees and coordinates the activities in the sector, we still have a problem.
And if the government in its wisdom feels the NTC Bill should not come up now for whatever reasons, let the stakeholders know the reason, because if there is National Transport Commission, it might be able to reduce the friction between both parastatals and agencies under the commission and reduce the burden and oversees the functions of the ministry of transportation. It will take off some of the pressure so that that ministry can focus on policies for execution by NTC and then paratatals . However I also read that the President has communicated his objection to certain sections in the bill based on the conflict of functions of existing agencies. So if that is the case and it is something that can be normalized; of course it is a bill; it can be normalized by eliminating certain sections and then it is signed into law. Rejecting it absolutely may not be the end of it. I think that if the President has raised objection to certain sections of the bill and requested for a balance in that provision by either eliminating it, and they should look at it and know which one has a superior effect. They either eliminate the conflicting sections in an existing Act in other to allow this one function or delist it from this new one or allow its existence in the existing Act instead of outright rejection. Outright rejection sends wrong signal; in this case that the federal government has never been interested in that. So if the government wants to show deep interest in that, what one would expect is to approach the National Assembly to look into the conflicting sections in the two, either to eliminate or modify it. Once there is need for it, that need should be satisfied.
What is your take on the recent directive from the management of the Nigeria Customs for the Taskforce to partake in the cargo examination at the ports?
There must be a reason for instituting the strike force; however the physical examination with normal hands and eyes might create these problems. But if they are equipped with facilities like the scanners and all that to inspect, maybe that will help but I don’t know the level of the equipment they have for the purposes of the inspection. But if without them there are delays in terms of physical inspection and now you are introducing strike force, they might have to do their own individual inspections and while doing that it might also contribute to delay. But if they have equipment of standard for purposes of facilitating what they intend to do, that may help. And if there could be a way of harmonizing the inspection so that it will be a onetime inspection instead of this double inspection that will also harmonize the process. The initiative might be right but the process is what needs to be streamlined and then the availability of equipment in other to reduce the cargo time and then increase the opportunity of the ease of doing business.
Why do you think it is difficult to have a single window for cargo clearance at the ports?
There are so many interest groups and the issue is, that is why we are looking at the NTC, if it is in existence they might be able to draw up a particular application that might draw together the interest of all parties. But if individual agencies can develop their own platforms or applications, it might be difficult to ask anybody to collapse its own. This would have been a duty or responsibility that the NTC would have been taken up to actually integrate the applications or soft wares of all agencies into one that they have a different levels of window to assessing a particular application. So that you do your bit and other will do theirs, so that at the end of the day the interest of other parties will be accommodated.
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