On-the-urgent-need-to-make-the-warri-ports-and-others-functional-again
September 7, 2020 | News
ON THE URGENT NEED TO MAKE THE WARRI PORTS, AND OTHERS, FUNCTIONAL AGAIN
Without a doubt, Ports infrastructure are by far one of the most important support of economic activities of the economy of any society, especially those in the hinterland since they act as a crucial connection between sea and land transport. As a supplier of jobs, Ports do not only serve an economic but also a social function. In terms of load carried, seaway transportation is the cheapest and most effective transportation system compared to other systems. Industries require a safe and cheap means of “exporting finished goods and importing raw materials.” Hence the majority of industries in the world are located in the ‘coastal belts’, in the vicinity of major Ports. These industries in turn, influence the lives of the employees and indirect benefactors of that economy, as well as the entire citizenry of that society. With this at the back of our mind, we would then realize the urgent need for city of Warri and other ‘coastal areas’ of Delta State, to have their Ports functional again and at optimal level/usage, as an important revenue-yielding avenue for the development and growth of the State’s economy.
We are aware that the Federal Executive Council had approved the award of contract for the dredging of the Escravos bar and navigational tools on April 11, 2018 to allow bigger vessels into the Warri Port and make the Port functional. But it has been reported that shortly after the contract was awarded, the House of Representatives on May 3, 2018, resolved through a motion moved by Hon. Ossai N. Ossai to probe alleged so-called infractions in the award of the contract. The House of Representatives Committee on Ports, Harbours and Waterways and Public Procurement is said to have since started public hearing on the investigation. However, a Niger Delta group had claimed that the public hearing started without the committees inviting stakeholders from the Niger Delta and especially Delta State and the immediate Warri communities who would be the beneficiaries of the project to participate in the public hearing process. The group said rather, some unknown Non-Governmental Organizations were the ones invited and mobilized by the sponsors of the probe to make presentation on behalf of the public and interested parties wherein they called for the cancellation of the dredging project. The group alleged that persons behind the controversial Calabar Port dredging contract currently being investigated by Economic and Financial Crimes Commission were behind the probe into the alleged infractions in the award of the contract of Warri Port dredging project by the House of Representatives because of “vested interest”
While we do not know the exact current situation with the above stated probe, and we would not want to bother ourselves with the above claims and allegations concerning the award of contract for the dredging of the Escravos bar and navigational tools to allow bigger vessels into the Warri Port; however, our major thrust here is that the Federal Government, the Nigerian Ports Authority (NPA) and relevant Stakeholders in the nation’s Maritime and Ports industry, should do whatever that urgently needs to be done for the Warri Port and others in Delta State, which include Sapele, Koko, Burutu Seaports and Okwagbe Wharf, to become functional again at optimal status. We have been on this issue for the past 15 years, but past Governments have ignored our advice in this regard. Let us also reiterate here that the Delta Port, which comprises of the Warri Port (which is centrally located for the business importation and exportation), Sapele Port, Koko Port, Burutu Port and Okwagbe Wharf, were used by the British Colonial masters, but today they are no longer functional. That of the Okwagbe Wharf has been totally abandoned after the Colonial era. Let us reiterate here that the Escravos-Warri area is nearer to the Atlantic Ocean than other Ports in the country, including the Lagos Ports. This makes the city of Warri an attraction for people from all over the world. As such, the quickest way to achieve this is for the city of Warri to have an optimal functional Port.
We are also aware that the Delta State Governor, Senator Dr. Ifeanyi Okowa, and his predecessor, Dr. Emmanuel Uduaghan had re-echoed the above development, when it was noted that machineries are in motion for the dredging of the Forcados river which will lead to full operations of the Warri Port, during the maiden edition of Warri Economic Summit held in Warri some weeks back, which was organized by the Chairman of Warri South Local Government Area, Hon. Michael Tidi. According to the Governor, “it is our sincere hope that with the anticipated dredging of the Escravos bar, bigger ships can berth at the Warri port and this should lead more businesses to return to Warri, the industrial hub of Delta State. Let me use this opportunity to commend the Nigerian Port Authority for awarding the contract for the dredging of the Escravos channel; this project is necessary for the port to regain its pivotal role in the economy and it is my belief that we can use the port as a platform to promote the growth and transformation of the State and national economies.” The Governor also disclosed that to ensure hitch free movement to the Warri Port, his administration has secured more than 50 hectares of land through the Ovie of Uvwie Kingdom for the construction of tankers’ park. The only thing we have to say here is that it is one thing to for the Government and stakeholders concerned to say things and make laudable proclamations of what they want to do on paper and to the hearing of the public, but it is another thing entirely for all of that to be backed by ‘concrete actions’ to bring such laudable plans to ‘reality’.
The crux of the matter is that there is urgent need for the Warri Port to become functional because of its importance to the Delta State economy and the country at large. Delta Port, as it is fondly called, is said to possess immense potentials, and is tagged “The Port of the future” by NPA. Its uniqueness includes accessibility and proximity to States of Anambra, Imo, Enugu, Delta, Edo, Kogi, Ondo, Benue, Abuja, etc compared with other operational ports in the country. According to NPA, “There is the emergence of new growth drivers in the export of gas by the EGTL [Escravos Gas To Liquid] facilities whose production and capacity is next to non in the country”. The Delta Port Manager, Mr. Okeke Simeon Okeke, is reported to have spoken about the challenges facing the Port which have reduced its activities “to near zero”. The report highlighted government neglect, encroachment by host communities, and the need to dredge the port to attract bigger vessels. Mr. Okeke also stated that the revenue generated between 2007 and 2016 was $607.7m, while revenue collected amounted to $1.2347m. Another thing that discourages shipowners/shipping lines and importers from using the Warri Port is the attitude of the Nigerian Customs who are said to always demand a lot of bribes before clearing goods. Whenever cargo ships arrive in Warri Port, the customs officials usually feast on it to demand all kinds of money from the importers. In other words, the corruption amongst custom officials working in the Warri Port is a serious cause for concern that needs to be addressed by the present Buhari administration. Even if the Escravos River is dredged, importers and shipping lines will still be scared of the Nigerian customs and their corruption tendencies in the Warri Port.
We can see the viability and the importance of getting the Warri Port functional again by all means and as soon as practicable. It will address a whole lot of issues in Delta State from youth restiveness, criminal activities, unemployment, and also drastically transform the State’s economy as well as add to the nation’s growth. Despite the fact that Nigeria is said to have about 6 Ports in the country according to the NPA, which include: The Lagos Port Complex, Lagos Tin Can Island Port, Calabar Port, Delta Port, Rivers Port, and Onne Port, however, that of Lagos Apapa, Tincan is said to be the busiest and most functional, and that of Onne Port when added, makes them the Ports with the significant percentage of cargo throughput in Nigeria’s sea ports, according to the 2014 and 2016 information reviewed and current operating status confirmed.
The Apapa Port for instance enjoys a “four-wheel gate of about 8 meters for oversize cargoes”, which, according to NPA, gives it “an edge over others in the handling of oversized cargoes”. While that of the Tin Can Port terminal operators specialize in unique services, including dry and wet bulk cargoes, boxed or containerized cargoes etc. and that of Onne Port, which boasts of one of the biggest habour mobile cranes in Africa is designated a multi-purpose cargo terminal, and its operations cut across all cargoes, including oil and gas. The question now is, why should a country as big as Nigeria that is blessed beyond measure with so many coastal regions, especially in the Niger Delta areas of Delta State, be only known to have these two functional Ports? Whereas, there are many other Ports, like that of Warri, Koko, Sapele, Burutu and Okwagbe Wharf which have been left to decay and not function as they ought to. Why should we have the concentration of Port activities in Apapa, Tincan, and Onne – leaving other Ports like Delta Ports not working as they should? Is not appalling that majority of the goods imported into Nigeria comes only from the Lagos Ports, which leaves a large number of people from other regions in Lagos State alone for various business activities. This lopsided ‘Political Economy of Nigeria’, is definitely not good for the country, as it will not encourage any significant economic growth.
This is the obvious reason why the Lagos State Governor, Mr. Akinwunmi Ambode, recently tasked the Federal Government to do everything within its powers to revive existing Ports in other States of the federation so as to bring about ‘permanent solution’ to the perennial traffic congestion in Apapa axis of the State. The Governor noted that the recent chaos witnessed in the Apapa area of Lagos was beyond traffic issues, saying that concerted efforts must be made to revamp moribund ports. According to him, beyond getting other Ports up and running, the issue of tankers queuing up to lift petroleum products from Tank Farms in Apapa was also a major issue causing gridlock and damaging road infrastructure in the area, which according to him was inimical to the economic growth of not just the State, but Nigeria in general. In his words: “We don’t need tank farms within Lagos metropolis anymore. There are 68 tank farms in Apapa alone. That is a serious danger waiting to happen. Beyond Apapa, they have approved tank farms in Ijegun axis and that is where we have huge population. We need to redistribute tank farm establishment to outer borders and other parts of the country. This is what we believe should be done at this moment to free Lagos roads.”
Another thing to consider is the fact that, the Nigerian Maritime University Okerenkoko, was established because of the maritime industry in Delta State. Then why is the Federal Government not making concerted efforts to develop the Delta Ports and make them functional as they should? Why can’t the Federal Government develop the Delta Ports – Warri, Sapele, Koko, Burutu, and Okwagbe, to become functional so as to employ/absorb the graduates that will be produced by this Nigeria Maritime University upon completion?
Without a doubt, the concentration of Maritime activities and other related Seaport economic activities in Lagos alone, is not helping the economy of Nigeria as a whole. All we have in Lagos State, can be replicated and even more in some of the States in the Niger Delta region, particularly Delta State and oil city of Warri, which is centrally located. There is need for the Federal Government and relevant Stakeholders to make concerted efforts in this regard so as to decongest the maritime and Port activities in Lagos State, and reduce the human-induced problems over there. It is in the light of this that we urging for the need to focus and address the subject matter.
Zik Gbemre, JP.
Without a doubt, Ports infrastructure are by far one of the most important support of economic activities of the economy of any society, especially those in the hinterland since they act as a crucial connection between sea and land transport. As a supplier of jobs, Ports do not only serve an economic but also a social function. In terms of load carried, seaway transportation is the cheapest and most effective transportation system compared to other systems. Industries require a safe and cheap means of “exporting finished goods and importing raw materials.” Hence the majority of industries in the world are located in the ‘coastal belts’, in the vicinity of major Ports. These industries in turn, influence the lives of the employees and indirect benefactors of that economy, as well as the entire citizenry of that society. With this at the back of our mind, we would then realize the urgent need for city of Warri and other ‘coastal areas’ of Delta State, to have their Ports functional again and at optimal level/usage, as an important revenue-yielding avenue for the development and growth of the State’s economy.
We are aware that the Federal Executive Council had approved the award of contract for the dredging of the Escravos bar and navigational tools on April 11, 2018 to allow bigger vessels into the Warri Port and make the Port functional. But it has been reported that shortly after the contract was awarded, the House of Representatives on May 3, 2018, resolved through a motion moved by Hon. Ossai N. Ossai to probe alleged so-called infractions in the award of the contract. The House of Representatives Committee on Ports, Harbours and Waterways and Public Procurement is said to have since started public hearing on the investigation. However, a Niger Delta group had claimed that the public hearing started without the committees inviting stakeholders from the Niger Delta and especially Delta State and the immediate Warri communities who would be the beneficiaries of the project to participate in the public hearing process. The group said rather, some unknown Non-Governmental Organizations were the ones invited and mobilized by the sponsors of the probe to make presentation on behalf of the public and interested parties wherein they called for the cancellation of the dredging project. The group alleged that persons behind the controversial Calabar Port dredging contract currently being investigated by Economic and Financial Crimes Commission were behind the probe into the alleged infractions in the award of the contract of Warri Port dredging project by the House of Representatives because of “vested interest”
While we do not know the exact current situation with the above stated probe, and we would not want to bother ourselves with the above claims and allegations concerning the award of contract for the dredging of the Escravos bar and navigational tools to allow bigger vessels into the Warri Port; however, our major thrust here is that the Federal Government, the Nigerian Ports Authority (NPA) and relevant Stakeholders in the nation’s Maritime and Ports industry, should do whatever that urgently needs to be done for the Warri Port and others in Delta State, which include Sapele, Koko, Burutu Seaports and Okwagbe Wharf, to become functional again at optimal status. We have been on this issue for the past 15 years, but past Governments have ignored our advice in this regard. Let us also reiterate here that the Delta Port, which comprises of the Warri Port (which is centrally located for the business importation and exportation), Sapele Port, Koko Port, Burutu Port and Okwagbe Wharf, were used by the British Colonial masters, but today they are no longer functional. That of the Okwagbe Wharf has been totally abandoned after the Colonial era. Let us reiterate here that the Escravos-Warri area is nearer to the Atlantic Ocean than other Ports in the country, including the Lagos Ports. This makes the city of Warri an attraction for people from all over the world. As such, the quickest way to achieve this is for the city of Warri to have an optimal functional Port.
We are also aware that the Delta State Governor, Senator Dr. Ifeanyi Okowa, and his predecessor, Dr. Emmanuel Uduaghan had re-echoed the above development, when it was noted that machineries are in motion for the dredging of the Forcados river which will lead to full operations of the Warri Port, during the maiden edition of Warri Economic Summit held in Warri some weeks back, which was organized by the Chairman of Warri South Local Government Area, Hon. Michael Tidi. According to the Governor, “it is our sincere hope that with the anticipated dredging of the Escravos bar, bigger ships can berth at the Warri port and this should lead more businesses to return to Warri, the industrial hub of Delta State. Let me use this opportunity to commend the Nigerian Port Authority for awarding the contract for the dredging of the Escravos channel; this project is necessary for the port to regain its pivotal role in the economy and it is my belief that we can use the port as a platform to promote the growth and transformation of the State and national economies.” The Governor also disclosed that to ensure hitch free movement to the Warri Port, his administration has secured more than 50 hectares of land through the Ovie of Uvwie Kingdom for the construction of tankers’ park. The only thing we have to say here is that it is one thing to for the Government and stakeholders concerned to say things and make laudable proclamations of what they want to do on paper and to the hearing of the public, but it is another thing entirely for all of that to be backed by ‘concrete actions’ to bring such laudable plans to ‘reality’.
The crux of the matter is that there is urgent need for the Warri Port to become functional because of its importance to the Delta State economy and the country at large. Delta Port, as it is fondly called, is said to possess immense potentials, and is tagged “The Port of the future” by NPA. Its uniqueness includes accessibility and proximity to States of Anambra, Imo, Enugu, Delta, Edo, Kogi, Ondo, Benue, Abuja, etc compared with other operational ports in the country. According to NPA, “There is the emergence of new growth drivers in the export of gas by the EGTL [Escravos Gas To Liquid] facilities whose production and capacity is next to non in the country”. The Delta Port Manager, Mr. Okeke Simeon Okeke, is reported to have spoken about the challenges facing the Port which have reduced its activities “to near zero”. The report highlighted government neglect, encroachment by host communities, and the need to dredge the port to attract bigger vessels. Mr. Okeke also stated that the revenue generated between 2007 and 2016 was $607.7m, while revenue collected amounted to $1.2347m. Another thing that discourages shipowners/shipping lines and importers from using the Warri Port is the attitude of the Nigerian Customs who are said to always demand a lot of bribes before clearing goods. Whenever cargo ships arrive in Warri Port, the customs officials usually feast on it to demand all kinds of money from the importers. In other words, the corruption amongst custom officials working in the Warri Port is a serious cause for concern that needs to be addressed by the present Buhari administration. Even if the Escravos River is dredged, importers and shipping lines will still be scared of the Nigerian customs and their corruption tendencies in the Warri Port.
We can see the viability and the importance of getting the Warri Port functional again by all means and as soon as practicable. It will address a whole lot of issues in Delta State from youth restiveness, criminal activities, unemployment, and also drastically transform the State’s economy as well as add to the nation’s growth. Despite the fact that Nigeria is said to have about 6 Ports in the country according to the NPA, which include: The Lagos Port Complex, Lagos Tin Can Island Port, Calabar Port, Delta Port, Rivers Port, and Onne Port, however, that of Lagos Apapa, Tincan is said to be the busiest and most functional, and that of Onne Port when added, makes them the Ports with the significant percentage of cargo throughput in Nigeria’s sea ports, according to the 2014 and 2016 information reviewed and current operating status confirmed.
The Apapa Port for instance enjoys a “four-wheel gate of about 8 meters for oversize cargoes”, which, according to NPA, gives it “an edge over others in the handling of oversized cargoes”. While that of the Tin Can Port terminal operators specialize in unique services, including dry and wet bulk cargoes, boxed or containerized cargoes etc. and that of Onne Port, which boasts of one of the biggest habour mobile cranes in Africa is designated a multi-purpose cargo terminal, and its operations cut across all cargoes, including oil and gas. The question now is, why should a country as big as Nigeria that is blessed beyond measure with so many coastal regions, especially in the Niger Delta areas of Delta State, be only known to have these two functional Ports? Whereas, there are many other Ports, like that of Warri, Koko, Sapele, Burutu and Okwagbe Wharf which have been left to decay and not function as they ought to. Why should we have the concentration of Port activities in Apapa, Tincan, and Onne – leaving other Ports like Delta Ports not working as they should? Is not appalling that majority of the goods imported into Nigeria comes only from the Lagos Ports, which leaves a large number of people from other regions in Lagos State alone for various business activities. This lopsided ‘Political Economy of Nigeria’, is definitely not good for the country, as it will not encourage any significant economic growth.
This is the obvious reason why the Lagos State Governor, Mr. Akinwunmi Ambode, recently tasked the Federal Government to do everything within its powers to revive existing Ports in other States of the federation so as to bring about ‘permanent solution’ to the perennial traffic congestion in Apapa axis of the State. The Governor noted that the recent chaos witnessed in the Apapa area of Lagos was beyond traffic issues, saying that concerted efforts must be made to revamp moribund ports. According to him, beyond getting other Ports up and running, the issue of tankers queuing up to lift petroleum products from Tank Farms in Apapa was also a major issue causing gridlock and damaging road infrastructure in the area, which according to him was inimical to the economic growth of not just the State, but Nigeria in general. In his words: “We don’t need tank farms within Lagos metropolis anymore. There are 68 tank farms in Apapa alone. That is a serious danger waiting to happen. Beyond Apapa, they have approved tank farms in Ijegun axis and that is where we have huge population. We need to redistribute tank farm establishment to outer borders and other parts of the country. This is what we believe should be done at this moment to free Lagos roads.”
Another thing to consider is the fact that, the Nigerian Maritime University Okerenkoko, was established because of the maritime industry in Delta State. Then why is the Federal Government not making concerted efforts to develop the Delta Ports and make them functional as they should? Why can’t the Federal Government develop the Delta Ports – Warri, Sapele, Koko, Burutu, and Okwagbe, to become functional so as to employ/absorb the graduates that will be produced by this Nigeria Maritime University upon completion?
Without a doubt, the concentration of Maritime activities and other related Seaport economic activities in Lagos alone, is not helping the economy of Nigeria as a whole. All we have in Lagos State, can be replicated and even more in some of the States in the Niger Delta region, particularly Delta State and oil city of Warri, which is centrally located. There is need for the Federal Government and relevant Stakeholders to make concerted efforts in this regard so as to decongest the maritime and Port activities in Lagos State, and reduce the human-induced problems over there. It is in the light of this that we urging for the need to focus and address the subject matter.
Zik Gbemre, JP.