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Home » Cost of Waterways Transportation Rises by 1.39% in May 2023  

Cost of Waterways Transportation Rises by 1.39% in May 2023  

·         Lagos State boat owners engage government on subsidy on cost

by Joshua
August 14, 2023
in Featured, News

By Oluyinka Onigbinde

Findings by Shipping Position Daily have revealed an upward trend in waterways passenger transportation fares, as detailed in the recently released Transport Fare Watch report by the National Bureau of Statistics (NBS) for May 2023.

The report reveals that the average fare for water transport, specifically waterway passenger transportation, reached N1,045.15 in May 2023, reflecting a 1.39% increase from the previous month of April, during which commuters paid an average fare of N1,030.83.

Additionally, in a year-on-year comparison, water transportation fares witnessed a substantial surge of 10.99% from May 2022, when the average fare stood at N941.63.

Checks by our correspondent into the data report highlights disparities in waterway passenger transport fares across various states.

At the forefront of this list is Delta State, where passengers incurred the highest fare of N3,510.00 in May 2023, followed closely by Rivers State with a fare of N3,500.00. In stark contrast, Borno State reported the lowest fare of N360.00. These divergent figures underscore the significant influence of regional factors on fare pricing within this transportation segment.

From a regional perspective, the South-South region emerges as the leader, with commuters paying an average fare of N2,502.50, followed by the South-West region with an average fare of N958.34. Conversely, the North-East region boasts the lowest average fare for waterway passenger transport at N656.67.

Meanwhile, industry stakeholders have attributed the fare increase to factors such as fluctuating fuel costs, maintenance expenses, and the dynamics of supply and demand within the sector.

Owing to the rise, boat owners and operators in Lagos state in a chat with our correspondent informed that they have initiated discussions with the Lagos State government to explore the possibility of subsidizing water transport costs.

Despite the absence of official data regarding waterways transport costs for the last two months, a probe by our correspondent has unveiled a potential doubling of waterways transport fare, when compared to May 2023, a period when the subsidy on Premium Motor Spirit was still in effect.

In a chat with our correspondent, Dr. Gani Tarzan, President of the Association of Tourist Boat Operators and Water Transporters of Nigeria (ATBOWATON), informed that water transporters have already scheduled a meeting with the Lagos State government on how costs can be subsidized, even though he said no conclusion has been reached on that.

He said: “We have scheduled a meeting with the Lagos State government concerning water transportation costs, but we have not reached a final decision on this. And I agree with the commuters because even myself I know it’s not easy, some of these commuters receive as low as N50,000 salary and they pay as much as N2000 for a trip. Before you know it, transport alone has taken all their salary, so for the waterways commuters, I sympathize with them.”

Speaking also, Mr  Temitope Fajemirokun, President of Waterfront Boat Owners and Transporters Association (WABOTAN), confirmed that a committee has been put in place to see how the government can subsidize the fares for water transport. “We have a committee working on that presently, we have a follow-up meeting early next week on that,” he stated.

Confirming that there are plans to subsidize the fares for water transport, Damilola Emmanuel, General Manager of Lagos State Waterways Authority (LASWA), in a chat with our correspondent stated that the authority is on it, while stating that the associations have been asked to come under one umbrella to see how the subsidy can be facilitated.

“We are on it, we have had an initial meeting and they agreed to partake of such, they need to work under one umbrella, they have quickly formed that and we have a follow-up meeting early next week” he said.

 


Tags: Hike Waterways TransportationSubsidy

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