NMLA Pledge Support As Shippers’ Council CEO Laments Obsolete Operating Act

BY EGUONO ODJEGBA

The Executive Secretary/CEO of the Nigerian Shippers Council (NSC), Barr. Pius Akutah has said that the Council’s 1978 operating Act has become obsolete and defective, stressing the need for urgent amendment in line with current reality.

Akutah who disclosed this when he played host to members of the Nigerian Maritime Law Association (NMLA) nonetheless disclosed that the Council has saved Nigeria N6billion from the application of Alternative Dispute Resolution, (ADR) associated with shipping issues.

This is even as the NMLA has promised to make available its technical and moral support to the Council whenever it is needed.

Addressing the legal professionals, the Shippers Council boss said, “Today, we have the Ministry of Marine and Blue Economy, which is dedicated to the maritime sector. This is, in effect, the first step that has been taken by Mr. President in recent time to diversify the economy of Nigeria from the oil dependency to the non-oil sectors of the economy, as you are aware.

His words: “With this kind of approach, it is important for us to collaborate with very critical stakeholders like yours to be able to move not only the ministry forward, but also to promote the development of the maritime sector and the blue economy in Nigeria. I know that the Nigerian Shippers Council, which you know has a mandate to take care of the interests of shippers over the years, is operating under a 1978 law which set it up.

“You will agree with me that by 2024, we should all know that the law is obsolete and it’s not going to adequately provide for what the sector stands for at the moment. So there is a need for us to look into that law and see what we can do to change the law and empower the agency to do more of what is required of it in this 21st century.”

Speaking further, he alerted the legal profession group of an ongoing bill to rework the focus and mandate of the Council which is receiving attention at the National Assembly.

“Now, the Nigerian Shippers Council has a Bill before the National Assembly seeking to transmute into a regulatory agency by law. You are also aware that the agency at the moment is empowered by a presidential directive and a regulation for it to assume the duties of the Port Economic Regulator, which the agency has been carrying out.

“But the nitty-gritty of what the Port Economic Regulator would do is not provided in that presidential order and the guidelines. So there is a need for us to have a legislation.

“We have that legislation. It’s been ongoing for some time now. Luckily for us, the National Assembly, the House of Reps has passed it. It’s before the Senate now. So many areas of collaboration with the Nigerian Maritime Law Association will be very necessary and needed as soon as that law is passed into law and assented to by Mr. President.”

He said the Council is also up and doing on sundry other issues including the dynamics of the administration of dispute.

“Like you said, we have an internal mechanism for alternative dispute resolution, which, in effect, will look at the quantum of investments that is done in this sector. And for us to allow litigation to clamp down on investments, it will not all go well with the sector and ultimately with the economy.

“You can imagine when a ship is grounded for two months; you know what kind of damage it will cause to the economy. So we are looking at better ways of resolving maritime dispute through the ADR initiative.

“So we are open for further training and capacity building of our in-house men to engage properly in ADR procedures. This year alone, with the use of ADR on our compliance unit, we have saved this country over six billion naira.

“We believe that with adequate training, capacity building, we may even do much more than that in the coming years”, Akutah declared.

NMLA President, Funke Agbor, expressed support for the dynamic leadership that has presided over the affairs of the Council in recent years; as indeed in the present circumstances the Council is seeking a review of its statute mandate. While acknowledging the support the group have received from the Council over the year, Agbor pledged that the group will continue to partner and contribute to its growth.

She said: “The key reason why we have come to the Shippers Council on this courtesy call is just to acknowledge and appreciate the Nigerian Shippers Council for the excellent support they have always given to this association.

“The leadership of the Nigerian Shippers Council is actually one of the greatest supporters of our association, given the role of the Shippers Council in the Nigerian economy and its growing role as the economic regulator of the industry.

“There are a lot of things that we are doing that we would not have done without the support of the Nigerian Shippers Council. So we are really, really appreciative of it. We will continue to do so. And to show the deep regard that we have for the Shippers Council, we have one of you as a member of our executive committee.

“So that is why the Shippers Council is always part and parcel of any decision that we take. In fact, I would say that the Shippers Council is a leading agency that supports Nigerian Maritime Law Association.

“We know that the Shippers Council has been an indispensable partner in advancing trade facilitation, protecting the interests of shippers and promoting efficiency across Nigerian maritime logistics chain.

“Your commitment to ensuring fair competition, streamlining port operations and promoting alternative dispute resolution mechanisms has had a transformative impact on the industry.

“As the economic regulator for Nigerian port industry, the Shippers Council’s work aligns closely with the mission of the Nigerian Maritime Law Association which includes efforts to foster the development of maritime law and policy, promote fairness in maritime commerce, and support best practices in the industry.”

She continues: “We have collaborated at many levels and we can see that there are still numerous opportunities to strengthen our collaboration with the Nigerian Shippers Council.

“Together, we can address key legal and regulatory challenges impacting maritime commerce, particularly in the areas of trade facilitation, dispute resolution, port governance, and compliance with the Nigerian Shippers Association rules.”