By Joshua Yousouph
The Federal Ministry of Transportation on Friday reaffirmed that the Nigeria Shippers’ Council (NSC) remains the Port Economic Regulator pending the establishment and operationalization of the National Transport Commission (NTC) as an independent regulatory authority in the transport sector.
This reaffirmation was made at a one-day sensitization meeting organized by the Ministry and the NSC in Lagos last Friday.
Speaking at the event, the Permanent Secretary, Federal Ministry of Transportation; Dr Magdalene Ajani noted that the Ministry is aware that the Council had faced resistance from some stakeholders in the maritime industry in the earlier stages of implementation of the regulation.
She added that with various meetings, engagements and consensus building, the various stakeholders have expressed their cooperation with the council on ensuring the successful implementation of the regulation.
Dr Ajani informed that Nigerian Shippers’ Council was appointed as the interim port economic regulator in 2014, as a government response to fill the vacuum and address the challenges facing the port system.
According to her, the major objective of government in appointing the Nigerian Shippers’ Council as the interim port economic regulator was to create an effective regulatory regime at the port for the control of tariffs, charges and other related economic services by the virtue of economic regulatory order No 34 of 2015 issued by the President in pursuant to section 5 and 145 of the 1999 constitution as gazetted.
While calling for the support and cooperation of all stakeholders, Ajani said the ministry is working on stakeholders’ concerns and implementation of some of the suggestions they have made in the past in order to bring out the best options in collaborating actively with further agencies outside the Federal Ministry of Transportation.
She reiterated that the NSC remains the port economic regulator and enjoined stakeholders and the entire maritime industry to give the Council the needed cooperation in the execution of these regulations.
“I want us to note that while shippers’ council is the port economic regulator, the Nigerian Ports Authority remains the technical and operational regulator. This is very key so that we understand the distinct role between the two agencies.
“Having realised that these two agencies are working within the mandate of the law of Nigeria, we, therefore, urge all those in court to have a rethink.
“It is noteworthy that prior to the appointment of the Council as interim port economic regulator, there was no known authority saddled with the responsibility of checkmating the commercial activities at the port. I also want us to note that while NSC is the port economic regulator, the Nigerian Ports Authority remains the technical operational regulator. This is very key so that we understand the distinct role between the two agencies and stakeholders give their support and cooperation to them. Having realized that these two agencies are working within the mandate of the Law of Nigeria, we therefore advised all those in court to have a rethink for us to enable a good progression in the marine ecosystem and deliver the Nigerian economy of our dream.
“Consequently, the council’s port economic regulatory mandate and roles should be reflected in the Port Concession agreement under review and other subsequent agreements. In line with the sub existing order, on the port economic regulation, as issued by the President of the Federal republic of Nigeria, I hereby reaffirm that the NSC remains the interim Port economic regulator in our nation’s ports pending the establishment and operationalisation of the National Transport Commission as an Independent regulatory authority in the transport sector” Ajani noted.
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Speaking earlier in his welcome address, the Executive Secretary of the Nigerian Shippers’ Council, Mr Emmanuel Jime stated that with the concession of the ports in 2006, cargo throughput substantially increased. According to him, about 70% of export cargoes are primary commodities while the majority of imports are consumer goods.
While stressing the need to develop the nation’s industrial base in balancing trade and boosting the nation’s economy, Jime noted that the port has a critical infrastructure that needs to be made competitive, guard against monopoly and free for numerous players.
The Executive Secretary of the Council informed that the aim of NSC is to create an effective regulatory regime at Nigerian ports for the control of tariffs, rates, charges and other related economic services. He added that the council has been able to moderate costs, provide guidelines for setting tariffs, rates and charges to guard against arbitrariness amongst others.
“The goal is to provide effective regulation that would make the transportation sector efficient and contribute positively to the development of the nation’s economy. We can only achieve this, with the support and collaboration of all players in the industry” Jime said.
On his part, the Managing Director of the Nigerian Port Authority, Mr Mohammed Bello-Koko said the NSC has come into a tight- packed sector of government which is the maritime industry, adding that all stakeholders need to adjust and accommodate its regulations which are already backed up by law.
The Managing Director of NPA, who was represented by the NPA Legal Secretary, Mr. IG Umar charged the Council to make more efforts in extending the competitiveness of Nigerian port operations to the world.
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