Boat owners and drivers operating on Lagos waterways have expressed uneasiness following plans by the Lagos State Government to introduce the electronic payment system for all private commercial boats.
This move is aimed at modernizing payment methods of fares and most importantly to also serve as a platform to provide palliatives against the adverse effect of the fuel subsidy removal on both operators and commuters.
Shipping Position Daily recalls that the Lagos state government had set up a committee to see how the government can subsidize the fares for water transport.
The General Manager of Lagos State Waterways Authority (LASWA), Damilola Emmanuel in a chat with our correspondent had earlier stated that the authority is already working on this, adding that the associations have been asked to come under one umbrella to see how the subsidy can be facilitated. He confirmed that a committee had been empanelled to meet on this
Findings by Shipping Position Daily show that the committee met last week with the associations of boat operators and revealed its plans to introduce the “Cowry” card electronic payment system on private commercial boats plying Lagos waters.
The Cowry card electronic payment system is touted as a more convenient and secure way to facilitate transactions and serve as part of the state government’s efforts to provide palliatives in the boat transportation sector, where commuters pay half of the designated fares using their digital wallets and the full payment remitted to boat operators.
However, the announcement has left boat operators anxious about the potential repercussions on their income and the overall dynamics of the industry. Many operators fear that the transition to an electronic payment system might lead to disruptions in their operations, especially considering the technological challenges that some operators and commuters might face in adopting the new system.
Speaking with the Lagos state chapter Secretary of Association of Tourist Boat Operators and Water Transporters (ATBOWATAN), Mr Ayomikun Aworetan, he decried the introduction of the electronic payment system on private commercial operators, stating that such move is just a ploy by the government to protect the interests of the Cowry card business operators by compulsorily boarding all private boat operators on their platform.
Aworetan noted that the National Inland Waterways Authority (NIWA) should rather help investors in the water transportation business to tap into local content, by giving them access to funding interventions available from the government. According to him, this will better empower boat operators and cushion the effects of the fuel subsidy removal.
The ATBOWATAN scribe also advised boat operators to look into creating a fleet of corporate entities where about five boat operators can come together and partner as one corporate entity, unlike single operators struggling individually to survive. Aworetan stated that the formation of these fleets will serve as a strong foundation for boat operators to engage the banks and government for interventions.
In his words: “Now that they said they want all the associations to come under one umbrella, the yardstick or terms and conditions for you to be able to benefit from the intervention is that you have to be under the Cowry Card system. Cowry Card is a different entity on its own. It’s a company that belongs to someone. It’s a company that runs LAGFERRY and the BRT buses. So they want to push other boat operators into the system of the Cowry Card. Whose interests are they protecting? So everybody has to be under the Cowry Card.
On his part, the National Public Relations Officer of Waterfront Boat Owners and Transporters Association of Nigeria Waters (WABOTAN), Chief Raymond Gold lamented that the removal of fuel subsidy has greatly affected the water transportation business, adding that palliatives will greatly help in resuscitating their business.
Gold explained that the electronic card payment system is self-accounting and self-explanatory and that once you tap your card on the payment device, the fare is removed, just like the BRT on the road and the LAGFERRY.
He also informed that the technology will soon be deployed to all the jetties and terminals for all boat operators. According to him, commuters will pay half of the fares while the government will make up for the other half.
While commending the Lagos state government for the initiative, the WABOTAN spokesman noted that it will eradicate human interface in business and greatly contribute to the seamless operations of their business.
“The fuel hike really created a challenge for us. The private commercial boats operators expect favorable conditions and situations, good policies that will lead to fair play to be put in place by the government. We are aware that the government announced a public reduction in transport fare on road and on water. The BRT was reduced by 50 percent and LAGFERRY reduced to 50 percent. Government also appealed to private people, primarily those on the road, to be fair so that people can move easily in the current economic situation”, he stated.
Also speaking, the Secretary of the Maritime Workers Union of Nigeria (MWUN) Boat Operators Unit, Comrade Owolabi Omotayo also lauded the initiative, stressing that if well managed, it will greatly revitalize patronage on Lagos waterways.
Owolabi however charged the state government to ensure that the remittance of fares collected through the Cowry electronic card system on behalf of the boat operators should be seamless and hitch free.
“I was informed that the state government wants to use the Cowry card for boat operators as the only way to get palliative reliefs to the Lagos State waterways users, keep the state waterways economy going again and keep the boat in business, because of the fuel subsidy removal by the Federal government. This initiative was applauded by reasonable minds, because we have greatly experienced reduction in patronage on the waterways.
“It will be a good idea if that is what the Lagos State government has decided and intends to use for the palliative on the waterways. But we must have it in our minds that palliative intervention is not a continuous thing. Finally, the remittance of fares collected through the Cowry card on behalf of the boat operators should be seamless and hitch free”, Owolabi concluded.
