shippingposition
  • Home
  • News
  • Editorial
    • Vox Pop
  • Maritime safety
  • Oil and Gas
  • Personality
  • Health
No Result
View All Result
shippingposition

Home » The Cabotage Act: A flawed and ineffective piece of legislation

The Cabotage Act: A flawed and ineffective piece of legislation

by Joshua
July 12, 2021
in Editorial

All too soon, it has been about 18 years since former president Olusegun Obasanjo signed the Coastal and Inland Shipping Bill (otherwise called Cabotage) into law. Obasanjo’s assent was after both chambers of the National Assembly had painstakingly debated and passed the Bill.

Cabotage

The law makers had subjected the Bill an elaborate public hearing which was attended by stakeholders. Those in attendance included ship owners and agents, shipping practitioners (indigenous and multinational), financial institutions, government agencies, including Cabotage Act’s would-be implementing agency, that is, the-then National Maritime Authority (NMA), now NIMASA, and others.

At the conception stage, we recall the then- highly vocal, but now, dead Nigerian Shipping Companies Association telling the law makers that if the almighty United States of America could make a bold statement of indigenising her coastal shipping business through the Jones Act of 1938, why wouldn’t Nigeria with a coastline of about 870 kilometres and about 22 ½ billion cubic metres of crude oil deposits, 3 ½ trillion cubic metres of hydro carbon and 42.7 billion cubic metres of bitumen deposits embrace protectionism.

With a lofty objective of deliberately reserving commercial transportation of goods and services within Nigeria’s coastal and inland for Nigerian-flag vessels and vessels that are owned by Nigerians, the Cabotage Law of 2003 spelt out four pillars upon which its implementation must rest.

The four pillars are that: Cabotage vessels must be wholly -owned by Nigerians; they must be registered in Nigeria, must be crewed by Nigeria and Nigerian shipyards must build and repair Cabotage vessels.

Between 2004 when the Act came into being and now, there have been about 11 ministers of transport and at least 10 directors’ general at the helm of affairs at the NMA and its successor agency; the Nigerian Maritime Administration and Safety Agency (NIMASA).

About 18 years down the line, it is apt to ask the following questions: Why has it been difficult for Cabotage to create (even) marginal employment for the nation’s swelling population of seafarers. Why is it that both NIMASA and the supervisory ministry of transportation are more interested in granting waivers to foreign flag vessels to continue trading on our coastal waters in clear circumvention of the provisions of Cabotage? Why is it that 18 years Cabotage came to be, indigenous shipping practitioners are still full of the same lamentations as they were, prior to the enactment of the Act and they still complain that multinationals are dominating the business of shipping in Nigeria? Has Cabotage impacted on Nigeria as a whole?

Can we then ask NIMASA these questions: How many indigenous ship owning companies has it registered since 2004, when actual implementation of Cabotage started and how many foreign? To what extent has the Cabotage Vessel Financing Fund (CVFF) been useful to Nigerian operators and how many have benefited and how much has been given out?

We recall with disgust that sometime in 2017, after series of lamentations by indigenous ship owners, how NIMASA suddenly woke up from its slumber by introducing what it called new ‘Cabotage Compliance Strategy’, which seeks more opportunity for Nigerians in Cabotage.

Tactically admitting failure, NIMASA had said the new strategy was aimed at actualising a successful coastal and inland trade regime in line with the full implementation of the Cabotage Act, 2003.

Read Also:  Do you agree that the Cabotage Act has been poorly-implemented?

According to its then- Director General; Dr Dakuku Peterside, it came up with the new approach so as to secure jobs for qualified Nigerians in the maritime sector.

He said: “The era of foreigners taking over jobs that Nigerians are qualified for in the maritime sector is over. The NCCS will point a new direction to our Cabotage regime, as the Agency will no longer consider application for granting of waiver on manning requirements for vessels engaged in coastal trade with regards to 2nd officer, 2nd engineer, 2nd mate down to able seamen, ratings and stewards.”

The question to then ask is: Does is does it then means that for the years that Nigerian has had the Cabotage Act, NIMASA has simply been turning its face the other way as foreigners violate the tenets of the Act.

The persistent cry of Ship Owners Association of Nigeria is a confirmation of the fact that their lots has not improved after about 18 years of Cabotage. How does a nation which has had Cabotage in operation for these number of years still have so many foreign flag ships and foreign owned ships operating in her coastal waters?

The most glaring indices of failure of the Cabotage Act is the depleted bottoms that Nigeria now has, the mass of unemployed seafarers, the prevalence of foreign interests in our coastal shipping, especially as it concerns rendering of services in the oil and gas sector and in line with the Local Content Act.

The truth is that, Cabotage Act died on arrival after it was given to an agency and a people who had no idea of what their mandate as far as Cabotage Act is concerned.

It is simply either because they lack no knowledge of what to do, or they lack the will to do what they ought to do.

shippingposition

Kindly like us on Facebook


Tags: Cabotage ActNIMASA

Related Posts

How NIMASA’s Inactions Cost Nigerian Seafarers Oppurtunities On Board Foreign Ships – Expert

For The Sake Of Nigerian Seafarers

June 30, 2025
Disunity ‘Killing’ Maritime Journalists

Disunity ‘Killing’ Maritime Journalists

June 24, 2025
Stakeholders Demand Clarity, Sustainability As Regional Maritime Bank Takes Off After 16 Years   

The Regional Maritime Development Bank Must Deliver On Its Mandate

June 16, 2025
Import Duty Waiver On Staple Food Items Should Be Sustained

Import Duty Waiver On Staple Food Items Should Be Sustained

June 2, 2025

Discussion about this post

Latest News

People & Places To Watch In The Maritime Industry In 2025

FRONT PAGE COMMENT: Adewale Adeniyi: Two Years of Steady Hands at the Helm of Nigeria Customs

June 30, 2025

Despite ₦5.17trn Surplus, Dollar Dominates Nigeria-China Trade As Naira-Yuan Swap Struggles

Tinubu Hails Customs CG’s WCO Council Election

FG To Begin Boat Manufacturing, Phase Out Rickety Vessels –Shippers Council

Nigerian Exporters Reject AfCFTA over Poor Infrastructure, Dollar Dependence, Policy Gaps  

Stakeholders Decry Power Tussle Over Wreck Removal, Demand Transparency from NIMASA on Sea Protection Levies 

LASWA to Introduce 70 Electric-Powered Boats to Enhance Waterway Safety, Targets 100,000 Daily Passengers

For The Sake Of Nigerian Seafarers

INTERVIEW: “Nigeria has a very good chance of winning the IMO Council seat”—Dr. Paul Adalikwu

Mawani Grants SGP Four 20-Year Port Concessions

Ningbo-Zhoushan Container Volumes Hit New Record In H1

IMO Agrees To Start Revision Of Outdated Regulations For Nuclear-Powered Ships

kindly like our Facebook page

Health

Contraceptive Pills Can’t Cause Cervical Cancer – Expert
Health

Contraceptive Pills Can’t Cause Cervical Cancer – Expert

June 30, 2025

Mrs Roseline Akinlabi, Adolescent and Youth Sexual Reproductive Health Desk Officer, Osun Primary Healthcare Board, says contraceptive pills cannot cause...

ONIONS: The Good Old Healing Vegetable

KNOW YOUR BODY PARTS: The Liver The liver is a vital organ located in the right upper abdomen, playing a crucial role in metabolism, detoxification, and digestion. It’s the largest solid organ in the body and is responsible for filtering blood, maintaining blood sugar levels, regulating clotting, and synthesizing essential proteins. The liver also stores energy, removes toxins, and produces bile, which aids in digestion Liver functions: · Metabolism and Detoxification: The liver processes nutrients from the blood, breaks down and balances them, and creates essential substances for the body. It detoxifies harmful substances like drugs and alcohol, converting them into less toxic forms for excretion. The liver plays a role in the metabolism of proteins, carbohydrates, and fats. It stores glycogen (a form of glucose) and vitamins, releasing them when the body needs them. · Digestion: The liver produces bile, which is stored in the gallbladder and released into the small intestine to help digest fats. Bile also helps in the absorption of fat-soluble vitamins. · Blood Regulation: The liver regulates blood sugar levels by storing and releasing glucose. It synthesizes clotting factors, which are essential for blood clotting. It removes old red blood cells and processes bilirubin, a byproduct of red blood cell breakdown. · Other Functions: The liver plays a role in immunity, helping to fight off infections. It produces proteins that are involved in the immune response. The liver also stores iron and other essential minerals. Frequently Asked Questions About The Liver · What are the first signs of a bad liver? The initial signs of liver problems can be vague and subtle, often including fatigue, nausea, and loss of appetite. As the liver’s condition worsens, more specific symptoms may emerge, such as jaundice (yellowing of the skin and eyes), itchy skin, dark urine, and light-colored stools. Abdominal pain, especially in the upper right quadrant, can also indicate liver issues. · Where do you feel liver pain? Liver pain is typically felt in the upper right abdomen, just beneath the rib cage. It can manifest as a dull, throbbing pain, a stabbing sensation, or a general feeling of discomfort in that area. In some cases, liver pain might be felt as an ache in the right shoulder or back. · What does liver pain feel like? How liver pain feels can vary from person to person, depending on the cause. However, most people often develop one or more of the following symptoms: Dull, persistent aches in the upper abdomen A feeling of fullness or bloating Sharp, stabbing pains that come and go Tenderness when the upper abdomen is touched · What is the best way to cleanse your liver? If you haven’t been working out, start indulging in a regular exercise regime to allow the toxins to come out of your body. Yoga, going running, hitting the gym, or a simple sauna session can also prove effective. If you want a natural liver cleanse, sweating is the way to go. · How to know if the liver is swollen? What are the symptoms of an enlarged liver? You likely won’t notice an enlarged liver on your own. In some severe cases, you might notice a feeling of bloating or fullness in your belly or an ache in your upper right abdomen. · What is the best drink to flush your liver? Many citrus fruits, including lemon, can be added to water to help stimulate and flush out the liver. Lemons are high in nutrients like vitamin C and antioxidants

June 16, 2025
ONIONS: The Good Old Healing Vegetable

ONIONS: The Good Old Healing Vegetable

June 16, 2025
Why Prostate Disorder Cases Are Increasing Among Nigerian Men – Experts

Why Prostate Disorder Cases Are Increasing Among Nigerian Men – Experts

June 1, 2025
20m Nigerians Live With Mental Health Issues, Says WHO

20m Nigerians Live With Mental Health Issues, Says WHO

June 1, 2025
Health Facts You Didn’t Know

How Your Habit Affects Fertility

May 19, 2025
Fruits For Raining Season

Fruits For Raining Season

May 19, 2025
See Mental Illness Like Other Treatable Diseases – Says Suicide Survivor

Health Facts You Didn’t Know

May 19, 2025
Alligator Pepper: Benefits, FAQ, Side Effects, & Warning

Alligator Pepper: Benefits, FAQ, Side Effects, & Warning

April 28, 2025
Water And Health: The Relationship That Helps Life

Water And Health: The Relationship That Helps Life

April 28, 2025

© 2021 Shippingposition

Navigate Site

  • Home
  • About Us
  • Contact us
  • Privacy Policy
  • Sitemap
  • Terms

Follow Us

No Result
View All Result
  • News
  • Coast To Coast
  • Oil and Gas
  • Maritime Education
  • The Terminals
  • Maritime safety

© 2021 Shippingposition