The Federal Government has unveiled plans to collaborate with terminal operators in a substantial infrastructure recovery project with an estimated cost of around $800 million. This initiative aims to address the deteriorating conditions at the Apapa and Tincan Island ports, which have long been a source of concern.
During a recent visit to these ports by the Minister of Marine and Blue Economy, Adegboyega Oyetola, along with the Managing Director of the Nigerian Ports Authority (NPA), Muhammed Bello-Koko, and the NPA management team, the window for collaboration on funding was opened. The minister expressed deep concerns about the state of the ports, emphasizing the urgent need for a major rehabilitation effort to prevent further deterioration.
The minister also expressed hope that terminal managers would be willing to contribute to the rehabilitation project. He emphasized that such an effort could benefit both the ports and the terminal operators by ensuring the sustainability and efficiency of port operations.
The key issue of project funding is expected to be a focal point of discussions between the Federal Government, NPA, and terminal operators in the near future. How the required $800 million will be secured, potential sources of financing and the level of involvement of terminal operators will be essential aspects to address.
Bolaji Sunmola, President of the National Association of Stevedoring Operators (NASO), highlighted the importance of adhering to the existing contractual relationship between the Federal Government and terminal operators in the context of this project. This underscores the need for clear terms and agreements as the collaboration moves forward.
The rehabilitation of the Apapa and Tincan Island ports is a critical infrastructure project with potential benefits for trade, logistics, and the Nigerian economy as a whole.
Sunmola said, “I think there is an engagement contract between the Federal Government and the terminal operators, it is a relationship that was properly structured, structured in the sense that there is a contract existing and this contract has been signed and sealed and the contract would have delineated what responsibility the two parties have to put on board.
“So this controversy or talk on who should do what and what I really don’t know where to situate it. Because to us, the way our ports are looking are sham, our ports are in sham.
“They need to be cleaned up, they are dirty and I hope it’s not reflecting the way the country is; the port is over congested, you can see the few foreign nationals that run shipping industry, you can see their areas; you go to their areas you see orderliness, but in our own it’s like upside down.
“I really don’t know why, so for me, maybe the Hon. Minister has seen the contract; that’s why he is saying what he is saying, I don’t know, and I don’t have the privilege of reading the contract”.
On his part, Muda Yusuf, CEO of the Center for Promotion of Private Enterprise emphasized the importance of collaboration between terminal operators and the government to ensure the repair and maintenance of port infrastructure.
While also acknowledging his lack of knowledge regarding the specific terms of engagement, he stressed the mutual interest of both parties in maintaining functional ports.
Yusuf stated that, “the terminal operators are key stakeholders at the port, it is also in their enlightened self-interest to ensure that we have good facilities at the port, because if the port infrastructures at the port collapse, it won’t be easy for government to do, and they have a lot to lose as well, so it very important that they collaborate with the government to ensure that they fix those port infrastructures.
“Well I don’t know what the terms of engagements are between the terminal operators and NPA I don’t know whose responsibilities it is, but whatever it is because they have a stake in the continued running of the port, they should also show interest even if they need to contribute to it, I don’t think it will be out of place.
“In order to ensure that we have functional ports, because that is where they have their investments and make their money from.”
