The fortunes of maritime industry in 2009

News was prepared under the information support of Online Daily Newspaper on Hellenic and international Shipping "Hellenic Shipping News".

31 Dec 2009

Investigations have shown that one of the major developments recorded in the nation's maritime sub-sector in the year 2009, was it re-election into the world maritime regulatory body, the International Maritime Organization. With this development, Nigeria's importance in the world maritime business, leadership status in the African region and commitments to develop it national economy, through the maritime industry, was reaffirmed. Specifically, the elected countries, which was proportionately justified on geopolitical representation of all the global maritime communities, were given the opportunity, subject to their growing interests in the maritime transportation and navigation businesses.
Although, Nigeria would remain in the category C of the council for the next two years, but its re-election, held last month in London at the 26th session of the organisation's general assembly, would also enable it to continue to contribute to discussions and legislations on the direction of global maritime affairs.
Nigeria emerged victorious at the keenly contested election, which has economic world power countries like the United States of America, United Kingdom, Russia, Italy, Greece and Canada, firmly as permanent members of the maritime world governing body.
In the election, Nigeria, the most populous African country scored a total of 121 of the 169 votes cast, thereby advancing to the 8th position and emerging as the second African country that joined the council seat.
Interestingly, Nigeria's 8th position in the latest IMO's election was a significant advancement from the 19th position it previously occupied in the last two years. Nigeria's election into IMO council in 2007 was with the total of 87 votes. Although elected, but the acceptability of Nigeria into the council by the whole 169 member states, was considered average and such was reflected on it rating. It was downwardly rated 19th position in the international maritime regulatory body.
However, Nigeria's previous 19th position at IMO was proved a typical reflection of the fundamental challenges facing its maritime industry. Amongst these challenges are poor implementation or enforcement of port regulatory policies, bordering on safety and security measures, corruption amongst the law enforcement officials at the ports and the dearth of human capital development for ship construction and maintenance.
In the election, 26 of the 169-member states of the organisation contested for the 20 vacant seats, but at the end of it all, only Kuwait, United Arab Emirates (UAE), Marshal Island and Cook Island, Islamic Republic of Iran and Pakistan were not allowed election. Nigeria was re-elected based on its promise to vigorously and consistently pursue activities aimed at improving transport and navigation by embarking on human capital development and intensifying efforts on security and safety issues within the maritime industry. Nigeria's delegation to the assembly, where the election was held, was led by the Transport Minister, Alhaji Ibrahim Bio. Bio was accompanied by all the principal agencies and stakeholders in the industry.
Prior to the election, the delegate embarked on a tour of the world, campaigning and persuading maritime communities for re-election into the international body. The trip made them tour countries like the United States of America, United Kingdom, Germany, China, Russia and Italy, amongst others.
Besides, other events of significant development during the year was the appointment of a new Comptroller General for the Nigeria Customs Service, Alh. Abdullahi Inde Dikko and a new Director General for the Nigeria Maritime Administrative and Safety Agency (NIMASA), Mr. Temisan Omatseye.
While Dikko, formerly an assistant-comptroller was appointed Friday, August 14, Omatseye's appointment also came in June the same year.
According to a statement signed by Mrs. Deborah Chinwe Okafor, Special Assistant (Communications) to Minister of Finance, Mansur Muhtar announced that President Umaru Musa Yar'Adua had approved the appointment of Inde as the new Comptroller-General.
Dikko, the statement added, succeeded the incumbent Dr. Bernard Nwadialor who retired from the service on August 16, 2009 having attained the mandatory retirement age of 60 years.
Although, there were uproars in some quarters over Dikko's appointment, but most of his supporters, said that his appointment, was based strictly on merit and followed due process.
Alhaji Mohammed Shuaibu Soba, a former federal legislator said that going by Dikko's record of experience and performance, his appointment did not come as a surprise to those who know about his spirit of hardwork and commitment to integrity, noting that at a time Nigeria was making efforts to reform the Customs Service, the appointment of a credible officer like Inde could not have been more timely.
While describing Dikko's as an astute and dedicated Customs officer, Alhaji Umar Farouk, an Abuja-based media practitioner, said Inde was the best person for the position having garnered enough experiences and served the service meritoriously.
Omatseye, whose appointment took effect in July 2009, succeeded Dr. Ade Dosunmu. Like President Umaru Musa Yar'Adua, Omatseye, upon assumption of office, also unveiled a five-point agenda, with which he promised to transform the whole agency.
One of his cardinal projects was renewal of efforts to ensure that the nation's maritime industry re-claimed it position of been the country's economic backbone. In achieving this, Omatseye intends to ensure 100 per cent compliance to the country's Coastal and Inland Regulatory Policy, Cabotage Law.
True to his promise, Omatseye launched a renewed efforts to enforce the implementation of the Cabotage Law on the foreign ships doing businesses within the country's waters and Exclusive Economic Zone.
In doing this, the Federal Government, through its principal agency, the Nigeria Maritime Administrative and Safety Agency (NIMASA), which was statutorily mandated to carry out the implementation and enforcement processes of the Cabotage Law, embarked on series of strategies to ensure 100 per cent compliance.
Part of NIMASA's strategies included organisation of training, orientation and sensitisation campaigns for all the stakeholders within the maritime sub-sector for better understanding of the law.
Under the renewed approach, NIMASA had established partnership with the Nigeria National Petroleum Commission (NNPC) and adopted Local Content Development initiative as a new aggressive and result driven instrumentation for developmental framework.
Under the synergy, NNPC has vowed to help in the implementation of Cabotage Law by setting 100 per cent compliant of all foreign vessels in the country as one of the principal criteria for on and offshore transactions.
NNPC, which is directly in charge of all foreign cargo tanker vessels supplying refined petroleum products to the country via the nation's ports, believed that it collaboration with NIMASA would not only help in enforcing strict compliance to the Cabotage Law, but help boosts the country's economy.
According to the NIMASA Director General, Mr. Temisan Omatseye, disobedience of foreign vessels to the country's Cabotage Law has caused the country a total sum of $30 million within June and November this year.
Omatseye said at a forum recently that as at November 2009, the total sum of $350 million ought to have been remitted to the Cabotage Vessel Financing Fund (CVFF). But because of non-compliance, he said the CVFF only has less than $50 million.
While disclosing that his administration was bent on retrieving all the trapped funds, related to Cabotage Vessel Registration, Omatseye added that to achieve this milestone, he had had a meeting with American boat operators in New Orleans recently and gave them the privilege to self-audit their transactions in the country since the enactment of the law and make proper remittance to it CVFF.
"However, I hope this opportunity would not be abused because in a situation whereby the companies refused to implement the gentleman order, NIMASA may decide to wage in and in such situation, it wont be business as usual," Omatseye said recently.
Omatseye had said that since the enactment of the Cabotage in 2003 and endorsement for full implementation by the national assembly a year after, only 14 foreign vessels had initially registered with the Ship Registry Department of NIMASA between 2009 and June 2009, adding that but with his administration's persistence on the enforcement of the law, the number suddenly swollen to 250.
With this determination, it means the nation's maritime industry, would thenceforth claim its strategic and statutory responsibility of being the heart of the country's economy.
Under the law, which was endorsed for full implementation a year after by the national assembly, all foreign vessels doing business or willing to do business within the country's jurisdiction are meant to register with the NIMASA's registry department. Whatever revenue generated through this avenue, was meant to be remitted to the government cover.
However, Omatseye had stressed that the primary objective of the law was to create wealth and employment opportunities for Nigerians through continuous encouragement of more indigenous investments in the country's maritime industry.
2009 was also a year when the Nigeria foremost trade facilitation company, Cotecna performed a test run on the first ever fixed scanner installed in the Country.
Speaking during the test run of the multi-million dollar facility located within the Lagos Port Complex, Apapa, Cotecna's Senior Vice-President Security and Inspection Technology, Pierre-Oliver Pellegrin, said that the fixed scanner, which would complement the mobile scanner currently in use at the Apapa Port, processed faster and produced better images. He also disclosed that unlike the mobile scanner, the fixed scanner had dual view._
"Today we have done the very first image with this new fixed scanning facility which is going to replace the mobile scanner that has been in place for some years now. It is a much more powerful and very robust system with capacity to produce a dual view (side and top) images as compared to the mobile scanner. More importantly is the high penetration level of this scanner which should result into better quality images thus allowing the Customs a much more level of accuracy in image analysis and decision making," Pellegrin said.
Managing Director of Cotecna Destination Inspection Limited (CDIL), Mr. Tayo Rabiu, stated that the 9 MeV Dual View fixed scanner which was the first in sub-Saharan Africa would be officially commissioned in February 2010. Rabiu reaffirmed Cotecna's commitment to the agreement reached with the Federal Government on service delivery.
He said that work on the second fixed scanner site located at Ashaye at the Tin Can Island Port Complex was also at an advanced stage and would be ready in the first quarter of next year.
"We are still committed to delivering as stated in our contract. By the end of the first quarter of next year, we are also delivering Ashaye fixed scanner. The Apapa system is ready to work despite the fact that we are putting finishing touches to the building. Hopefully by the beginning of February 2010 we should be able to commission it officially after having done some finetuning," Rabiu said.

Source: Guardian