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Home » Which Do You Prefer; NTC or Independent Port Regulator

Which Do You Prefer; NTC or Independent Port Regulator

by Joshua
July 25, 2010
in Uncategorized

Usman Sanusi (NAGAFF BOT Chairman)

There is the desirability for a transport commission for Nigeria to regulate the activities of operators in the transport sector. When we talk about transport sector, we mean the maritime sector, the aviation sector, the road transport and the rail .In fact, that is the proper thing to do because in most countries that is what you have, so I’m surprise when I hear that existing organizations, companies or agencies want to transmute or take over the function of a transport regulatory commission. What I feel should happen is that there should be an independent agency to be the commercial regulator for the transport industry  while technical regulation should be left to other specialized agencies of government. But the proposed transport commission should report direct to the Presidency.  It should not be under any minister. The commission, when established, apart from regulating prices, they must regulate economic practices and should be composed of both the operators and the government including specific interest groups. Anything outside that, I don’t think we are being sincere with the issue of establishing a transport commission for Nigeria. NAGAFF is unanimous about the desirability of establishing a transport commission for Nigeria. I remember about four years ago we did made a presentation to the Bureau of Public Enterprises (BPE) and we told them that we need a transport policy for Nigeria that will encompass the maritime sector, the air transport, the rail and air transport.
 
Nwosu Samuel Oddy (Freight forwarder)
Already there are many agencies regulating the activities of the maritime sector such as the Nigeria Shippers’ Council, NPA etc. but we discovered that the NPA has not been effective in regulating the private terminal operators in the areas of concessioning and leasing and determining the tariff structure which has led to indiscriminate charges by the operators without an appropriate agency empowered to check their excesses. These have brought serious problems to the freight forwarders and others who do businesses in the nation’s ports in relation to the clearing of their consignments.  You will agree with me that eventually the excess charges will be transferred to the final consumers.  This will also result into inflation. This is why we believe in reduction in the cost of doing business in the port.  Therefore I’m suggesting that in setting up a regulatory agency for the maritime industry, government should look at statutory functions of the agencies that I have mentioned earlier. In other to avoid creating too many regulatory bodies, they should look for a way of streamlining and if need be a transmutation of the Nigerian Shippers’ Council to becoming the regulatory body for transport sector, so that council can become the Nigeria Transport Commission. Looking at the weaknesses of the existing regulatory agencies and their structures, government should find a way to merge them so that there will be no duplication of functions.

Nnadi Ugochukwu (NAGAFF)
We have the Nigeria Ports Authority (NPA), we have the Nigerians Shippers Council and we have the Nigerian Maritime Administration and Safety Agency (NIMASA).  If you look at their names, NIMASA stands more embracing. It can be empowered to regulate the activities of the maritime industry because of the wide range of expert at its fold.  But unfortunately, there has been no such provision establishing them. So instead of setting up another regulatory body, why can’t the National Assembly amend the law establishing NIMASA to enable it perform the regulatory function?  You don’t need to set up another body to regulate the maritime industry. It is sad that the private terminal operators are not been regulated and that’s why they are doing whatever they like. In other words when you go to them, they will tell you that these people are in charge just a way to put you off. Sometimes, they will tell you NPA is in charge and making enquiries NPA does not know what to give as an answer. Go to The Nigeria Shippers Council, the management will tell you that they are there to protect the interest of the shippers. However all of us are not shippers as there are a lot of other stakeholders in the industry.   The absence of regulatory body in the maritime sector has given the terminal operators the leeway to do whatever they like; including, arbitrary charges, but we don’t even know who to complain to. In my opinion, there is no need for another regulatory body. All we need to do is to amend the law to empower one of the agencies to carry out such function.

Demola Irinyemi (Registrar, IFFN)
I will subscribe to the House of Reps passing the NTC bill because it covers every aspect of the transport and maritime life of this nation, I strongly believe that commission will have enough clout to ensure proper monitoring of activities within the transport sector. I have no grudge against an independent regulator, but I feel that to some extent it will be better if a neutral body is used to regulate the industry. I believe the transport industry will make greater impact if there is a synergy between the roads, the sea and the rail, if any of the modes is ignored it then means that we are not there. Today, we are suffering in the actualization of ICD because the rail transport has been killed, I believe with the empowerment of the NTC all the areas will be taken good care of.

Farinto Kayode (Chairman, TCIP, ANLCA)
Ideally it’s supposed to be NTC and the body that is supposed to oversee it is not supposed to originate from any of the existing agencies, be it NIMASA, NPA or Shippers Council. There is supposed to be another body entirely created to handle NTC, they will be looking at the rail department, water and air, and they will look at the stakeholders to work out a smooth process of operation
I am of the opinion that NTC is the best for us, but it should be a regulatory body that should not be transmuted from either NPA or NIMASA, there should be another body but they must be technocrats. The federal government can handpick from freight forwarders who are very senior agents, senior officers from the ministry of transport, from the customs service, from the rail department that is the old railway, and even the NURTW; it should be a compounded body where everybody in charge of transportation is included.

Olorogun A.I Ugwi (ANLCA)
We have what is called the division of labour which sort of assist productivity. If the NTC law is passed to control all modes of transportation in Nigeria, it is a welcome idea, but if we have to look into Nigeria as a nation, we will see that it is always good to have a division of labour so that one entity can be queried if there is a shortfall, otherwise an innocent person who does not know what government is may want to see an independent regulator as a waste of resources, but for someone who is enlightened you will agree that when we have an independent regulator solely for the maritime sector and as an integral part of the port and harbour bill, they can be easily held accountable if anything goes wrong in the port sector.
You will agree with me that that it is personal interest that is controlling the forming of this separate organization called NTC.

Deacon Pius Ogudo (Freight forwarder)
If you ask me, based on my kind of business which is maritime, I will support an independent regulator, but if you look at it on the other hand again as being a Nigerian, I will say the NTC is much more important than the independent regulator because the port and harbour bill looks at the ports alone while the other one embraces all other modes of transportation that affects the masses. The independent regulator does not involve in transportation of goods outside the ports, it looks at just one facets of the entire transportation which is not supposed to be the case, we are supposed to look at the whole thing called transportation.
Also I believe government should set up another body to be in charge of the NTC, it should not be given to either NIMASA, NPA or whatever because they may not be able to handle it well.

Anonymous
I think the NTC will be appropriate for the nation because it is more encompassing than the independent regulator, whatever you do in setting it up, we must think about the cost, do we have the platform on ground, if we do, then we must build on that platform. So it will be better if an already existing parastatal is transmuted instead of setting up another body to handle NTC, it goes beyond that, you must also consider how much this agency in question has invested in training its staff and building capacity, so it is better to transmute.
Each agency has its statutory functions to perform, so it is through these functions and how effective they have been over the years that we will use to know who fits in to handle the NTC.

 

 


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