|
|
Nigeria: Port Reforms - FG to Sanction Erring Concessionaires
 |
 |
|||||||||
|
||||||||||
|
|
|||||||||
|
||||||||||
This Day (Lagos)
20 June 2008
Posted to the web 20 June 2008
John Iwori
Lagos
More than two years after the terminals were handed over to them, the Federal Government is now poised to wield the big stick against some of the seaport concessionaires who in its estimation have failed to make significant improvements in the terminals.
The Federal Government had in the wake of the economic reforms programme coordinated by the Bureau for Public Enterprises (BPE) handed over the nation's seaports to private terminal operators.
Under the reforms, the Nigerian Ports Authority (NPA), which like landlords is collecting royalties from the concessionaires, was divested of the day-to-day running of the ports.
But speaking yesterday in Lagos, President Umaru Musa Yar'Adua said government would sanction erring concessionaires.
He noted that while some concessionaires had in the last two years shown serious interest in upgrading their facilities, others had regrettably shown no interest in investing in the industry.
The President spoke in Apapa, Lagos at the official commissioning of Apapa Container Terminal owned by APM Terminals Apapa, Limited, a subsidiary of global logistics giant and port operator, AP Moller.
Yar'Adua said NPA management had been directed to ensure that appropriate sanctions were meted out to the concessionaires that had failed to make significant efforts towards the development of their terminals.
According to Yar'Adua, the high level of transformation done to the terminal by APM Terminals Apapa, Limited was a clear manifestation of the importance of public/private sector participation, which was the underlying principle of the Federal Government's port reform agenda.
He said government would continue to address the challenges of the nation's transport sector considering its importance to other sectors of the economy, arguing that the private sector plays a critical role as an engine of growth of the economy.
Yar' Adua noted that government's strategy in the port industry was to continue encouraging public-private sector participation to facilitate competition as well as modernise the ports.
This, he argued, would release sufficient funds for the government to be channeled into the development of other areas of need, adding that the high growth rate of Nigeria's telecommunications sector was a demonstration of the importance of public-private participation.
"I am proud of what I see here today, judging by the level of transformation of the Container Terminal just in two years. I congratulate APM Terminal," the President said.
On the seven-point agenda of his administration, he said government would continue to engender the requisite environment as well as pursue policies that drive the country in line with the 2020 projections.
Lagos State Governor Raji Fashola (SAN) who was the chief host at the occasion commended the management of the terminal for its decision to invest in Nigeria, which he said would launch the company into the heart of Africa since the Nigerian economy is one of the fastest growing in the continent.
He, however, noted that an investment in Nigeria was not a favour to its citizens rather an opportunity to tap into the rich resources of the country, which is strategic in Africa.
Fashola also attributed the high level of growth recorded by the company to the return of rule of law in the country as well as the clear policy thrust of the government, arguing that no investor would invest in an atmosphere of chaos.
The governor expressed displeasure at the high level of breakdown of over-loaded and rickety trucks, which had led to the death of many people, adding that the state government had had several meetings with NPA management to address the problem.
Fashola advised the management of APM Terminals on the issue of corporate social responsibility, arguing that in the process of transferring cargoes from the ports, the roads and bridges would be adversely affected, and therefore harped on the need to impact positively on the environment.
The APM Terminals had in 2006 taken over the Apapa Container Terminal following the completion of the port reform programme carried out by the immediate past regime of president Olusegun Obasanjo.
The company had since invested over $78 million (N10 billion) in the rehabilitation of the terminals, establishment of a city office to facilitate quick and uninterrupted goods clearance, acquisition of plants and equipment, training and equipping its numerous workers for safety, among others.
The Managing Director of APM Terminals, Mr. Michael Lund Hansen, said the company planned to make more investments in the terminals in its second phase of development.
|
He said: "APM Terminals views Apapa and Nigeria as a foundation for our long term strategy for West Africa sub-region and Africa as a whole. We will continue to invest in and grow this facility and others in Nigeria as we anticipate the needs of our customers in the exciting economic growth of the years ahead. Working closely with our partners, we plan to become strong members of the local business community, creating new jobs and opportunities in Nigeria."
| |||||||||||||||||||||||||||||
| |||||||||||||||||||||||||||||
|
| |||||||||||||||||||||||||||||
|
| |||||||||||||||||||||||||||||
| Copyright © 2008 This Day. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com). To contact the copyright holder directly for corrections -- or for permission to republish or make other authorized use of this material, click here. | |||||||||||||||||||||||||||||
|
| |||||||||||||||||||||||||||||
| Make allAfrica.com your home page | RSS Feed | |||||||||||||||||||||||||||||
|
| |||||||||||||||||||||||||||||
| Top | Site Guide | Who We Are | Advertising | Search | Subscribe | |||||||||||||||||||||||||||||
|
| |||||||||||||||||||||||||||||
| Questions or Comments? Contact us. Read our Privacy Statement. | |||||||||||||||||||||||||||||
|
| |||||||||||||||||||||||||||||
|
| |||||||||||||||||||||||||||||
