Adegboyega Oyetola, the Minister of Marine and Blue Economy, expressed the government’s intention to enhance the capacity of the country’s ports by initiating dredging operations. This would enable the accommodation of larger vessels. Simultaneously, there are ongoing plans to construct new ports in various regions across the nation. During the budget defence of the ministry held by the joint Senate and House of Representatives Committees on Ports and Harbour, the minister expressed the need for about $1.2 billion to address the deteriorating conditions of the nation’s ports. In accordance with the legislators, he addressed the requirement for Nigeria to exploit the immense potential of the Blue Economy, valued at $1.8 trillion, and enhance revenue generation by focusing on the Maritime sector.
Also, the Minister emphasised the importance of financial support for the dredging of multiple ports to accommodate larger vessels while also expressing worry regarding importers and shippers who neglect national ports and redirect their ships to neighbouring countries. He revealed that there were ongoing discussions between the Ministry, the World Bank, and other relevant parties regarding the deteriorating infrastructure at the Tin Can Inland Port and other ports across the nation. He confirmed that the Ministry is fully committed to integrating technology and implementing the National Single Window policy. Their primary goal is to minimise human involvement and decrease the time spent on cargo clearance at different ports nationwide.
28 States are connected to the country’s water.
In regards to the implementation of scanners at the ports to enhance efficiency, he mentioned that the Nigeria Customs Service (NCS) management had a favourable stance on their deployment. However, he emphasised the crucial necessity for a change in attitude. In a quest to diminish the country’s annual expenditure of $4 billion on fish imports, the Minister sought Parliament’s backing on the implementation of a Coastal Guard. This initiative aims to enhance safety measures across Ports and propel growth in the fishery sector, thus promoting a thriving Blue Economy industry.
He emphasised the importance of allocating significant funds towards the enhancement of water transportation by dredging waterways, considering that over 28 States have connections to water. The Minister, while discussing the 2023 budget, stated that ₦777 million was set aside for marine-related initiatives, with ₦448,027,468 already utilised by November 2023. In terms of the 2024 budget proposal, he went on to mention that the Ministry put forth a total of ₦10,781,130,916 as the capital budget, alongside an additional sum of ₦191,086,917 allocated for overhead expenditure.
More funds are needed to enhance the sector’s productivity.
Speaking further on the matter, in his observations, he noted that three of the ministries’ agencies, which are NPA, NIMASA, and NSC, operate independently in terms of finance and consistently contribute substantial funds to the Consolidated Revenue Fund (CRF/TSA). Conversely, the funding sources for the National Inland Waterways Authority (NIWA), Maritime Academy of Nigeria, Oron, and Council for the Regulation of Freight Forwarding in Nigeria (CRFFN) encompass a combination of the Federal Government Budget and internally generated revenue.
The lawmakers voiced their disappointment regarding the rumoured loss of more than ₦1 trillion in revenue as a result of poor infrastructure within the maritime sector. Simultaneously, they also expressed displeasure at the absence of funds allocated in the upcoming 2024 budget for the procurement and implementation of scanners in multiple ports, a crucial step in enhancing its competitiveness. Additionally, they voiced their worries regarding the actions of shippers and importers who deserted Nigerian Ports in favour of berthing at neighbouring countries. Moreover, they discussed a strategic plan aimed at tackling a wide range of obstacles encountered by the industry.
Concerns were raised on the ministry competency and fund administration.
Lastly, the Ministry was questioned regarding the ineffective use of ₦130 million that was allocated for the improvement, usage, and support of eastern ports. People also inquired about the supervision of the navigation channels at Calabar River Port. Additionally, concerns were raised about initiatives such as empowering women in maritime-related activities, celebrating World Seafarers Day and World Women in Maritime International Day, overseeing the establishment of a National Career in Shipping, complying with the International Seabed Authority (ISA) and the United Nations Convention on the Law of the Sea (UNCLOS), and developing Inland Dry Ports. The Ministerial Standing Committee addressed these matters.
Related Links
FMT: Website
