Oluyinka Onigbinde
The Federal Ministry of Transportation has threatened to sanction terminal operators that have failed to key into the policy of the government regarding the collection of Practitioners Operating Fee (POF).
Permanent Secretary in the Ministry, Dr Magdalene Ajani, while speaking at a strategic ministerial meeting with terminal operators and selected freight forwarders on the enforcement of POF in Lagos on Friday, said since the programme it came onboard on the 24th of February 2021, some terminal operators have failed to comply with the agreement that was reached, which has resulted to loss of revenue to the country.
She said the ministry can no ignore the actions of the terminal operators, even as she explaining that the job of the ministry is to ensure that government policies are adhered to.
According to her, where there is failure to adhere, it leaves the ministry with no choice but to look at the sanctions that could follow such disobedience of policy in the future.
She said the ministry will give two months grace period for all terminal operators to key into the collection of POF, after which sanctions will be applied for those who failed to abide.
Ajani, while urging the stakeholders regarding the importance of the POF, stated that one of the key measures of enhancing the fortunes of freight forwarding in Nigeria is its implementation, which, according to her is designed to ensure sustainable funding of the freight forwarding in the country.
She pointed out that the POF will promote global competitiveness and build capacity for effective participation in the new Africa Continental Free Trade Area (AfCFTA).
She further stated that the POF is a win-win situation for both the government and the freight forwarders with the promise to organise collective actions against the numerous threats, including intrusion and dominance of the space by absence of local content in the oil and gas services and need to build capacity for effective participation in the AfCFTA.
The permanent secretary, while highlighting the advantages of the POF, said it serves as a data base for determining the numbers of cargoes coming in and out of the port, and that the POF application is designed in such a way that invoices can be generated through self-services.
According to her: “It became necessary for us to have this interactive session, CRFFN is saddled with the responsibility of developing a comprehensive freight forwarding policy and promoting freight forwarding as a career as well as providing an enabling environment for freight forwarding business with a view of creating job opportunities for Nigerians.
“One of the key measures of enhancing the fortunes of freight forwarding in Nigeria is the implementation of the POF that is designed to ensure sustainable funding of the freight forwarding venture in the country.
“It is relevant to note that the POF will promote global competitiveness and build capacity for effective participation in the new Africa Continental Free Trade Agreement (AfCFTA)”.
Speaking further, the Permanent Secretary said, “for us to actualise the goals and the objectives of POF, a couple of things where out in place by the council; the council has put in place a robust electronic payment application system for the collection of the POF, this system is well built and therefore enables the freight forwarders to generate invoices for imports and exports, make payment for generated invoices and view comprehensive report of transaction on the council’s portal, so this makes it transparent for anybody who has to pay this.
“The application also serves as a data base for determining the numbers of cargoes coming in and out of the ports. It’s also designed in such a way that invoices can be generated through self-services.
“It is relevant to note that CRFFN in order to ensure successful implementation of the POF entered into MOU with relevant stakeholders which include: Seaports Terminal Operators Association of Nigeria, however from the report we have received from the ministry since this programme came onboard on the 24th of February 2021, some terminal operators have failed to comply with this MOU and so that means loss of revenue to Nigeria, and the ministry cannot keep silence concerning this”.
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Speaking directly to the defaulting terminal operators, she said: “We would like to know why you have decided not to comply or partially complying, so that we know what the challenges are, but it is pertinent for us to note that the job of the ministry is to ensure that government policies are adhered to and where there is failure of adherence, it leaves us with no choice but to look at the sanctions that could follow such disobedience of policy in the future.
“It’s important for us to know that the POF is a win-win for both the government and the practitioners with the promise to organise collective actions against the numerous threats including intrusion and dominance of the space by mere absence of locals in the oil and gas services and need to build capacity for effective participation in freight forwarding.
“I will like to plead with all of us to sensitise your members with a view to ensuring full compliance with the POF regime and also to assure you that FMOT will put in place sufficient guidelines to ensure that the funds realised from the POF is devoted to the professionalisation and capacity building of the practitioners”, she said.
Speaking earlier, the Registrar of CRFFN, Barrister Sam Nwakohu informed that the council has had some challenges in the enforcement of POF. He however said CRFFN is determined to continue to address these challenges with a view to resolving them.
Nwakohu commended some terminal operators that are already complying with government directives on POF and are ensuring collection.
He however stressed that there is need to deepen the compliance, so as to ensure that there are no leakages.
He singled out terminals like Port and Terminal Multiservice Limited (PTML), ENL, TICT and Ports and Cargo for fully integrating their facilities with that of CRFFN to ensure a seamless and IT-driven collection.
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