NPA reveals it’s action plan for Tincan Port Reconstruction, concessionaires’ fate

By Ezurike Ugochukwu

The Nigerian Ports Authority(NPA) has revealed strategies it has put in place to reconstruct Tincan Island Port which according to it has suffered dilapidation and deterioration.

To this end, the
Managing Director of NPA, Mohammed Bello-Koko, has revealed that $600m will be needed to address these issues of defects in the port structures.

The defects in the port Bello-Koko said will be addressed soon, he however dispelled reports of imminent collapse of the port, describing such as rumour and untrue.

The NPA MD said four models of funding are being considered by the authority under guidance of the Federal Ministry of Transportation.

The MD who was a guest on Arise TV live interview in Lagos said the first of the four models is to seek funding from international agencies; second option is to use a certain percentage of the NPA collection for the reconstruction while the third is a hybrid option featuring foreign financial support and partly NPA funds.

He said the fourth option is to allow terminal operators undertake the funding on their own and that these options are presently before the Federal Ministry of Transportation that would eventually seek Federal Executive Council approval on the chosen model.

He said NPA findings indicate that terminal operators do not have same financial capacity to carry out the reconstruction in an even and timely manner as some may want to do it but by bit.

NPA according to the MD has received draft designs from BUA for Portharcourt Port rehabilitation and that final approval is expected out this month, while commending BUA for being proactive, mobilising equipment to site ahead of approval.

For the breakwater of Delta Ports which had collapsed over a decade ago, he said the project requires $250m with minor defects in Apapa Port also about getting attention.

On Calabar Port which has one of the longest channels, he said the NPA management had initially applied tariff reduction as an incentive to encourage patronage but it did not trickle down to the benefit of importers. He added that any other incentive to be applied would consider importers interest, not only shipping companies.

He added that government is considering an out of court settlement on ongoing litigation process on the Intels service boat contracts which presently is being handled by the NPA

On revenue , Bello-Koko said N45b has been transferred into the Federal Government Consolidated Revenue Fund (CRF) since he assumed office .

According to him , N25b of the amount was collected this year through more deliberate efforts at debts recovery and getting port managers more accountable through weekly revenue meetings.

He said the NPA under his watch has reduced administrative costs and improved on Port stakeholders engagement to achieve efficiency and improve on standards.

He described the recently commissioned Dockyard Training Institute as a way of building capacity and reducing cost of training NPA staff abroad or in hotels because the facility is fitted with modern gadgets including a bridge simulator.

IMO Secretariat

While the International Maritime Organisation (IMO) has given a 2025 deadline for port automation, he said Nigeria targets achieving it by 2023 and the country is engaging IMO consultants .

He described the port community system (PCS) as a game changer that will bring efficiency monitoring arrival of vessel from fairway buoy to berths and helping to evolve into a national single window system integrating all port stakeholders

Bello-Koko who disclosed that there are no plans to terminate the contracts of port concessionaires, said focus is on renegotiating it through a process that will involve the Infrastructure Concession and Regulatory Commission (ICRC) to factor national interest and make the agreements beneficial to all Nigerians.

The planned renegotiation, he said, will avoid the mistakes of 2006 , aim at national interest and seek more influence for the NPA in the agreements.

The NPA under him had approved licenses for ten export processing terminals in Lagos , Ondo and Ogun States in line with Federal Government drive to promote export .