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Home »  2 Firms Emerge As FG Concessions N4.6Billion Onitsha River Port For 25 Years

 2 Firms Emerge As FG Concessions N4.6Billion Onitsha River Port For 25 Years

by Joshua
July 24, 2018
in Uncategorized

The Federal Government has said that two firms have now emerged as concessionaires for the N4.6Billion Onitsha River Port in Anambra State. The two concessionares are to run the port for the next 25 years. 

Speaking at a press briefing in Lagos yesterday, the acting Managing Director of the National Inland Waterways Authority (NIWA), Barr. Danladi Ibrahim said the river port has been concessioned for 25 years, but he disclosed that the name of the concessionaires would only be made known when the letter of award is issued. 

Danladi also revealed that the NIWA Bill has already been passed by the House of Representatives and the Senate and it is awaiting transmission to President Muhammadu Buhari for assent. 

The Onitsha River port has attracted stakeholders criticisms since it was built by ex-President Shehu Shagari and rehabilitated by ex-President Goodluck Jonathan at N4.6billon in 2012. The port has been completed but unutilised as it has been awaiting concessioning for over six years.

Danladi however expressed optimism that the concessioning would breathe life into the river port. He said that the companies that participated in the bid process are of Igbo tribe and that this further guarantees that attracting cargoes to the port would not be a problem.

Apart from the Onitsha port,  the NIWA Acting MD said that the Baro River Port in Niger State and the Lokoja Port will also be commissioned before the end of 2018. He said that Oguta port in Imo state and the Makurdi river port in Benue  are already ongoing.

"Agreed it was a concession (Onitsha River Port) that has lasted for a very long time, and it was because the Central Bank of Nigeria (CBN) took over funding of the concession exercise and they have a methodology that is cumbersome that they have to appoint a transaction adviser and the Transaction adviser has to advertise for concessionaire and so many other factors but if it is NIWA that was responsible for the concessioning we would have finished within one month."

"In any case, the concessioning has been completed, we open the financial bid on July 3rd and we have picked the most competitive concessionaire and any moment from now, the concessionaire will take over Onitsha port."

When asked about the name of the concessionaire, he said, "We can't reveal it now because the award letter has not been  issued, but two companies are pre-qualified for the financial bid and it will be concessioned for 25 years."

Also speaking, the Ag MD disclosed to journalists that the authority is investing fund in the acquisition of barges for movement of bulk cargoes from Lagos port to Onitsha and Baro river ports. 

 "NIWA is purchasing some Barges to set the pace for Trans-shipment of bulk cargos from Lagos Ports to Onitsha and Baro Port.

"We have a master plan of in house trans-shipment because this is a sector that has been neglected for a long time, government need to set the pace that the sector is viable and also practicable so government is acquiring vessels to move bulk cargoes from Apapa port to Onitsha and Baro"

"Right now as am talking to you, we are talking to about three companies, one wants to move cargoes from Apapa, Tin Can To Mile 2 (Festac) from there, their trucks will pick it up while the other is to move from Apapa, Tin can to Epe and there is another one that wants to move up to Warri using the authority's dockyard in Warri and trucks can move from there to other parts of the country but basically, government is the landlord and regulator but why we want to partake is to convince the private sector that it is viable and we are leading by example, he said.

When finally passed into law, Danladi assured that the NIWA Bill will give the agency the much needed financial autonomy and expand it's capacity.

Danladi also said that at the passage of the law, appropriate sanctions would now be spelt out for passengers, boat operators and other stakeholders who violate the waterways code. 

 

 


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