Listening to the Executive Secretary/ Chief Executive Officer of Nigerian Shippers Council; Dr Akutah Pius Ukeyima highlight the Council’s achievements over a period of time, at a recent media parley, on thing stood out for us. The Council is doing very well. But, it could co a lot better,
At the media engagement, the Executive Secretary described the passage of the Nigerian Port Economic Regulatory Agency (NPERA) Bill by both chambers of the National Assembly as a major milestone.
“The bill is currently before the President and remains within the constitutional time frame for assent. We are hopeful that the President will eventually assent to it. If the Assembly winds down before that happens, there could be challenges as the process may relapse, but we are optimistic that such a situation will be avoided,” he said.
We recall that, President Bola Tinubu had previously withheld assent to the Nigerian Port Economic Regulatory Agency (NPERA) Bill, designed to replace the 1978 Shippers’ Council Act, citing conflicts with the Nigerian Tax Administration Act and the need to clarify the 1% Freight Stabilisation Fee and the council’s mandate.
The corrected bill has been successfully re-transmitted and is currently undergoing its final executive review within the constitutional timeframe for presidential signature.
Our fear is that, while it is the prerogative of the President to withhold assent to Bills forwarded to him by the National Assembly, it is however instructive that not all the bills that have been so rejected were actually deficient. Some were killed on the altar of politics and personal interests, fueled by ego and territorial protectionism.
Our fears about the Nigerian Port Economic Regulatory Agency Bill were also justified by the history of what happened to its precursor- the National Transport Commission (NTC) Bill, which was killed under a very suspicious circumstance some years back. The NTC Bill was killed by forces that were simply scared of what the NTC represented. They used their access to the Presidency to their advantage.
But, the NPERA Bill is not the same thing as the NTC Bill. Even though, both were being promoted by the Nigerian Shippers’ Council, the NPERA Bill is a more realistic attempt at solving an age long problem, which has stifled growth and fairness in the Nigerian port system.
Unlike the NTC which was overambitious in an attempt to regulate all modes of transportation, including air and sea, the NPERA bill hopes to provide a transparent and predictable framework for regulating port tariffs and charges, ensuring that pricing decisions are guided by established economic principles rather than administrative discretion.
The NPERA is also expected to promote fair competition among terminal operators and service providers, discourage anti-competitive practices, strengthen investor confidence and provide a credible mechanism for resolving commercial disputes before they escalate into prolonged litigation.
We are in full support of any law that will usher-in a new life for the Nigerian Shippers’ Council. This is not about relevance, it’s more importantly, about the prospect of such a law enhancing ease of doing business in the ports and boosting revenue generation for the Federal Government.
Details of the bill indicate that the envisioned NPERA will have regulatory authority over all public and private entities operating or providing services in the shipping and port sectors. This includes stevedoring, cargo handling, freight forwarding, haulage, terminal operations, and other related services.
This implies that certain functions of other government agencies operating within the port, such as the Nigerian Ports Authority, the Nigerian Maritime Administration and Safety Agency, and the Nigerian Customs Service, may also be subjected to some regulatory roles under the proposed agency.
We are aware that, that these areas of potential conflicts have been sorted out at the National Assembly, such that those grey areas and fears have been clearly explained and thrashed out.
The Nigeria Shippers’ Council has been taunted as a toothless bulldog; an ineffective agency that is at the mercy of those it is supposed to regulate.
Created originally to protect the interests of Nigerian shippers, the NSC struggled to tame the service providers who exploit shippers. It is true that the Council had tried severally to get the shipping line agencies and the terminal operators to obey the rules of the game in Nigeria. It is true that it has been difficult to enforce its own enabling laws.
Not even the gazette that made the Council to assume the role of the Economic Regulator of the port, could change the perception that stakeholders have about the Nigerian Shippers’ Council. It was still not respected as much as it should. This is not because it does not have the manpower to function. It is simply because it does not have the legal backing to wield the big stick, even in the face of violations. So the Council has over the years resorted to persuasions, negotiations and engagements to assert influence.
Desirous of a new beginning, it had pursued the dream of pushing the National Transport Commission (NTC) through. The plan was to get the National Assembly to pass the Bill, and get the President to assent to it.
Since the fate that befell the NTC Bill, the drafters went back to work, and the efforts gave rise to the Nigerian Port Economic Regulatory Agency
If the new Bill id assented to by the President and the Council transmutes, it then means that the Shippers’ Council will have a new name and a new face. We think the Nigerian maritime industry will be the better for it.
Transmuting to Nigerian Port Economic Regulatory Agency is in furtherance of its current assignment as the Economic Regulator of the port, so we are totally in support.
If the Bill sails through, it then means that the Shippers’ Council will have a new name and a new face. We think the Nigerian maritime industry will be the better for it and become an advantage for all of us.
It is in that regard that we urge the Nigerian Shippers’ Council, the Ministry of Marine and Blue Economy and relevant stakeholders not to relent, but to continue the push for the actualization of the dream of enthroning a new regime for fair pricing, ease of doing business, and efficient service delivery in the nation’s port system – which is what the Nigerian Port Economic Regulatory Agency Bill stands for.
