FG To Redesign Operability of N50bn Floating Dock

BY EGUONO ODJEGBA

Director General of the Nigerian Maritime Administration and Safety Agency (NIMASA), Dr.  Dayo Mobereola Monday gave indication that plans are ongoing to tinker with the initial mapping of the operation of the Agency’s controversial N50billion floating dock.

The DG NIMASA who was speaking with maritime journalists at Eko Hotel and Suites faulted the prior arrangement concerning the operability of the floating but assured that current planning for the dock to commence activities will be concluded soonest.

“The initial plan for the floating dock was not the right one. We are going to put the Modular Floating Dock to very good use so that once it’s in operation, it will benefit the economy, seafarers, and NIMASA itself.

“We need to place the modular floating dock in an appropriate location. It is just a matter of time; we will soon get that done.”

This is even as Mobereola fingered international shipping cartel for the continued imposition of war risk premium on cargo vessels calling Nigerian ports despite the reported reduction in piracy within the Nigerian waters. Despite significant improvements in maritime security, this premium continues to inflate the cost of freight for Nigerian-bound cargo.

The NIMASA helmsman believed to be leaving no stone unturned in his quest to redirect and reposition maritime administration also disclosed that contrary to speculation, there is no provision for a 10% freight levy to Nigerian Export Protection Council (NEPC).

Speaking on the alleged international conspiracy to continue to impose war risk premium on Nigeria, Mobereola said, “One of the points I raised during my visit to Chatham House is how the war risk insurance placed on Nigerian-bound cargoes can be reduced. It is a cartel that is behind the war risk insurance premium. They are making so much money from it and will rather leave it the way it is than remove it.

“If Nigeria maintains zero piracy issues on her estuaries for the next ten years, they won’t remove the war risk insurance because they are making so much money from it. In all honesty, Nigeria alone cannot do it, we need the international maritime organisations to be with us.”

He said that with the support of the United Nations and other international stakeholders, Nigeria would be in a stronger position to challenge the insurers and find a way to persuade them to adjust the premiums in line with the actual risk.

Fielding questions on why NIMASA and its supervisory ministry have continually dribbled ship owners on the disbursement of the Cabotage Vessel Financing Fund (CVFF), he assured the fund is intact and explained new modalities are being worked out to ensure that the disbursement is efficiently done.

“The CVFF is with the Federal Government. It has not been touched. It is for the shipowners and for the development of the Nigerian shipping industry. We are currently working on fine-tuning the modalities for the CVFF disbursement. Once we are done, we will inform the industry.”

Mobereola explained further that the Agency is also looking at the possibility of broadening the scope of the fund’s beneficiary to include the larger maritime trading community with a view to enhance freight availability and competitiveness; but pointedly ruled out the idea of using the fund to float a national carrier.

He said: “The CVFF as at today is with the federal government and it is for our own use. It is for the use of the ship owners. It is not being touched, it is not revenue, it is a contribution towards the development of the Nigerian shipping industry and ship owners.

“That is recognized, that is what it is going to be used for, as long as we come back with the fine tuned guidelines on how to use it and when to use it; which we have been working on. CVFF should move in a way that it is enlarged so that we can leverage on it. The issue of having a Nigerian carrier is not going to happen. We should all agree from previous experience that we should not go the way of having a Nigerian shipping line owned by the government.

“We should go the way of the agencies and government creating an enabling environment to encourage the private ship owners to have vessels which we can ascribe as Nigerian flagged vessels and is supported by Nigerians, the government and encouraged to carry Nigerian goods both inwards and outwards, where Nigerian flagged vessels can sail internationally to all the countries of the world which you and I would be proud of and all of that will come to place.

“We are also exploring other avenues in ensuring that CVFF is not only used for CVFF but enlarged to be of benefit to the country and all of that is what we are working on”, he said.

On concerns raised about global recognition of the Certificate of Competency (COCs) and the development of the Officer of the Watch (OOW), he assured that the agency is working diligently to address observed limitations.