The chairman, House of Representatives Committee on Ports, Harbours and Waterways; Mr Patrick Asadu has affirmed that the Nigerian maritime sector has the potential to generate as much as N8Trillion annually.
Asadu said this at the committee’s interaction with heads of agencies under the Federal Ministry of Transport.
Also at the meeting, the managing director of Nigerian Ports Authourity (NPA); Habib Abdulahi raised alarm that the country lost $248,238,305 and N3.558 billion respectively between 2009 and 2015 to indiscriminate waivers granted on certain category of imports.
The NPA boss, in a document he presented to the House Committee stated that: “As a result of the Federal Government’s approval for 50 per cent rebate to petroleum product vessels berthing at private jetties, NPA has waived $248,238,305.80 and N3,558,148,366.98 as amounts that would have accrued as revenue from 2009 to October 2015.”
But, the committee chair affirmed that he was sure of the viability of the maritime sector, adding that if properly harnessed, the sector would be a great contributor to the growth of the nation in terms of employment and revenue.
“I believe without doubt that the Nigerian maritime industry has the potential to contribute largely to the economy of the country in terms of economic growth, all of which will translate to higher Gross Domestic Product (GDP) for the country.
“Whereas the national budget of our country is about N4 trillion, it has been projected that the maritime sector could contribute about N7 trillion to N8 trillion annually to the economy.
“The maritime sector therefore could become a veritable source of revenue even exceeding oil and gas,’’ he said.
Asadu said that there was the need for the seaports in the country to be strengthened, pointing out that there was ‘’huge room’’ for improvement.
‘’We must diligently work towards ports’ reform, improved cargo handling and better turn-around time by the agencies,’’ he added.
Responding to questions about the dwindling revenue into federation account, Abdulahi disclosed that NPA generated N128.213 billion between January and September 2015 and that N5,806,822,000 was remitted to Consolidated Revenue Fundn(CRF).
He also said the authority generated N162.184 billion in 2014 and that N11,023,350,000 was remitted to CRF; N154.580 billion generated in 2013, with N493,895,000 remitted to CRF; N140.251 billion in 2012 while N20,713,768,000 was remitted to CFR.
He enumerated some of the challenges facing NPA to include funding of required infrastructure; cost of acquisition of land and compensation for future port development, lack of reliable power supply, bureaucracy in procurement process, encroachment on port lands and insecurity of the waterways.
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