House Committee Tongue-Lashes NIMASA for Absenting Dr Chilaka’s Book Presentation

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Maritime stakeholders unveil Dr Edmund Chilaka's Book titled "Nigeria's Shipping Policy and Maritime Trade up to the Early 21st Century"

—As Stakeholders Canvass Cargo Allocation for Shipowners to Arrest $9bn Annual Capital Flight

—Reps Propose International Open Registry in NIMASA Act Amendment

By DAPO OLAWUNI

The Chairman House Committee on Maritime Safety, Education and Administration, Rt Hon Khadija Bukar Abba Ibrahim on Thursday lampoons the management of the Nigerian Maritime Administration and Safety Agency (NIMASA) for its conspicuous absence at the maritime book launch; Nigeria’s Shipping Policy and Maritime Trade up to the Early 21st Century, written by Dr Edmund Chilaka.

The Book Launch had in attendance an array of topnotch shipping experts who took turns to advocate for more allocation of cargo for indigenous shipowners to address capital flight of an estimated $9 billion in freight costs paid annually to foreign shipping lines.

Dr Charles Bamidele Okaga (left) receiving the indigenous cargo-carrying advocacy on behalf of the Nigerian Ports Authority from Hon Adesola Adedayo

This is even as they called for Implementing of sections 35-38 of NIMASA Act 2007 as it has a lot of benefits in the shipping sector.

Hon Khadija ably represented by a member of the committee, Hon Adesola Adedayo tongue lashed NIMASA for failing to send a representative to speak at the event, even as the discussions concerns the agency.

“This is is an agency that is foremost in maritime, if you have an event as important as this and they are not taking it seriously, you will see that it is not the Lawmakers that are the problem, but the people in public service.

“The civil service is the problem of Nigeria, and I don’t know what we can do about them. I expect NIMASA to be here, if i am representing my speaker, I wonder what would happen if the speaker were to be here herself.

“The MD actually ought to be here, and if he is not, then a senior official actually ought to be here. I take exception to the fact that we are here and the agency that is supposed to be in charge and we are supervising is not here, when I get to the floor of the house, I will address the issue properly” he said

Speaking on the ongoing NIMASA Act Amendment at the National Assembly, she said the Senate has passed their version of the NIMASA Act, adding that it was done on repeal and re-enactment.

She said that when the Bill is returned to the House, the committee is proposing the introduction of Open International Registry which according to her is more beneficial than the closed registry which Nigeria currently practice.

“They would still send the Bill to the House, when it comes to us, the committee would deliberate on it. I am of the opinion that some of the things they are talking about may not actually work because there are certain part that we need to look at.

Faces at the book launch

“FOB in the Act should change to CIF, and also we need introduction of Open International Registry which is Clause 30, 1b and 4. Then we need prosecutorial powers for better and quicker enforcement of clause 59.

“We also need appointment of persons to serve on the board, as already applied to the CEO and Executive Directors.

“We also need enhanced financial independence, this is Clause 17, subsection 7, and strengthen interagency collaboration.
Then the policy alignment and avoidance of duplication of functions between government agencies, this is likely to work against the system. This brings rivalry.

“We also talk about Coast Guard function, and this has issues with the Nigerian Navy, the Federal Executive Council must define which role they want this particular agency to function.

“I am of the opinion that we need to strengthen the ship registry, and also, any proposed amendments of the ship registry including open registry should be reviewed to ensure alignment with the merchant shipping Act which is the main legislation on shipping and which NIMASA is the implementing agency

“I am proposing that the amendment of the NIMASA Act should be an ammendment, and not a repeal and replacement” she said

Chairman of the occasion, Capt Emmanuel Iheanacho represented by the President of Nigerian Association of Masters Mariners, Captain Tajudeen Aloa said that if the shipowners can get cargo, they would get more ships, saying if they get ships, there would be multiplier effects of engagement.

“So that portion of the law, we want to bring into the timeline. We want the stakeholders and everybody to challenge the system so that that law will be guaranteed. We are not asking for more, we want to guarantee the law is affected by the various benefits of the nation,” he said.

Also, President of Nigerian Chamber of Shipping, Alhaji Aminu Umar said that at a stage when cargo allocation was done, a lot of local shipowners were able to do cargo business.

“Today, a few Nigerian shipowners are participating in Nigerian cargo. shipping movement. Not only because the Nigerians don’t have the capacity to participate because there is a high monopoly on the cargo.

“There is a monopoly even if you have the cargo, you don’t have the vessel, you will end up bankrupt. We used to believe that this business was thriving. We have seen most people that are bankrupt, close their companies other things and after that many things were closed,” he said.

He believes that it is pertinent to any country in the world to have cargo reservations for their shipowners, saying that almost all shipping nations in the world make certain cargo reservations originated or end up in their country.

He said the only way Nigeria can build a very dynamic cargo shipping industry in the country is to be able to have cargo reservations and protectionism.

While speaking on the benefits of implementing sections 35-38 of NIMASA Act 2007, the book author, Dr. Edmund Chilaka, said that it would expand NIMASA’s operational portfolios of strategic mandates for overall national development.

According to him, it will enable the reactivation of dormant sectors of the marine and blue economy such as international cargo carrying activities by indigenous carriers.

Port Manager, Tin Can Island Port, Sylvester Egede (left) receiving his indigenous cargo-carrying advocacy awards

“The Act would arrest capital flight of an estimated $9 billion in freight costs paid annually to foreign shipping lines. Nigerian carriers stand to repatriate a substantial part of this cost when they participate in the carriage of federal, state, and local government cargoes in line with sections 35-38 of the NIMASA Act 2007,” he explained.

He said that the Act will enable the revival of comatose indigenous carriers and the maritime sector. In the new dispensation, many indigenous carriers will be licensed in readiness to carry Nigeria’s generated cargoes annually.

He added that there will be an expansion of Nigeria’s total maritime trade, earnings, ancillary development of the other non-oil economies and ultimately increase GDP in the country and among other benefits.

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