Bello-Koko disclosed that there are no plans to terminate the contracts of port concessionaires, saying focus is on renegotiating it through a process that will involve the Infrastructure Concession and Regulatory Commission (ICRC) to factor national interest.
By Uzor Odigbo
Managing Director of Nigerian Ports Authority(NPA) Mohammed Bello-Koko has revealed that $600m is needed to reconstruct Tincan Island Port which he said, has suffered dilapidation and deterioration.
While admitting that there are defects in the port structure which will be addressed soon, the NPA Chief Executive dispelled reports raising the alarm of imminent collapse of the port, describing such reports and rumours as untrue
Speaking on a TV live interview monitored in Lagos, the NPA MD said four models of funding are being considered by the authority under the guidance of the Federal Ministry of Transportation.
The first, according to him is to seek funding from international agencies; the 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.
READ ALSO
Dangote and DSTV, others up in African ranking
He said the fourth option is to allow terminal operators to undertake the funding on their own and that these options are presented before the Federal Ministry of Transportation which would eventually seek Federal Executive Council approval on the chosen model.
He said NPA findings indicate that terminal operators do not have the same financial capacity to carry out the reconstruction in an even and timely manner as some may want to do it bit by bit.
According to the MD, NPA has received draft designs from BUA for Portharcourt Port rehabilitation and that final approval is expected this month while commending BUA for being proactive and mobilising equipment to the 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 the government is considering an out of court settlement on the 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 debt recovery and getting port managers more accountable through weekly revenue meetings.
He said the NPA under his watch has reduced administrative costs and improved Port stakeholders’ engagement to achieve efficiency and improve standards.
He described the recently commissioned Dockyard Training Institute as a way of building capacity and reducing the cost of training NPA staff abroad or in hotels because the facility is fitted with modern gadgets including a bridge simulator.
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 in monitoring the arrival of vessels from fairway buoys to berths and help 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 the 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’s drive to promote export
