Nigerian shipowners have once again cried out to the Federal Government over the need to encourage indigenous participants in bunker supply business, saying that majority of the bunker that shipping companies consume in Nigeria are from neighbouring Lome in Togo.
Speaking with journalists in Lagos last week, President of Nigeria Shipowners Association (NISA), Mr. Aminu Umar, revealed that shipowners patronize Lome for bunker fuel, because besides challenges facing refineries in Nigeria, government has not encouraged the business of bunker supplies to ships.
Umar, who is also the The MD/CEO of Sea Transport Nigeria, said it was unfortunate that Nigeria considers everything that has to do with the bunker supply to ships as illegal.
This is coming one week after another member of NISA, Capt Deji Abegunde spoke with Shipping Position Daily and said that vessels less than 5,000 tonnes have been banned from bunker activities, while indigenous practitioners who were still trying to survive with 3,000 tonnes are now out of jobs.
According to Abegunde, not less than US$50,00 is required for any investor to come into the business, he said 10,000 dollars is paid to Department of Petroleum Resources (DPR) for registration and this is renewable yearly. He also alleged that the Nigerian Maritime Administration and Safety Agency (NIMASA) on its part demands N25million share Capital Company for new entrants.
Corroborating this, the NISA President, Aminu Umar told journalists last week that “We have to go to Lome for bunker supply for our ships most of the time, because government does not believe in the business of bunker supply to ships. So, now there is almost no bunker business operator in Nigeria”
“Unfortunately, there is the erroneous belief that bunkering is all about smuggling in Nigeria. But, bunkering is a legal business that is operated all over the world. There are big companies with integrity that are into bunkering business.
“So far, we are losing a lot of business in that area, business running into several millions in dollars. People go to Lome to take the bunkers, because it is easier to do so there. Remember that shipping is a global business and it most get bunker supplies as regular consumable to work,” Umar said.
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