NSC Remains Port Regulator

Nigerian Shippers' Council Remains Port Economic Regulator - Transport Minister

ZAINAB JUNAID

The Minister of Transportation, Alhaji Mu’azu Jaji Sambo has said that the Nigerian Shippers’ Council (NSC) remain the economic regulator of the Nigerian port industry.

Alhaji Sambo who was represented by the Permanent Secretary of the Federal Ministry of Transportation, Mrs Magdalene Ajayi, said this at a sensitization forum jointly organized recently by the Ministry and Nigerian Shippers Council. The theme of the event was "Promoting Competitiveness in the Maritime Industry: The Mandate of Nigerian Shippers Council." 

He reiterated that the position of the Federal Government remains that the NSC should be the economic regulator of the port industry and thus enjoined industry stakeholders to cooperate with the council and get acquainted to their supervisory role. 

Recalling how the council was appointed interim port economic regulator in February 14, 2014, with the appointment made substantial in 2015 to effectively regulate tariffs, rates, and other related services as well as monitor all matters relating to the cost, standard and quality of services rendered by the regulated service providers, and also to bring sanity to the port, the Minister maintained that Nigerian Shippers Council remains the economic regulator while the Nigerian Ports Authority (NPA) is the technical and supervisory regulator.

The minister declared that the two agencies are working within the Nigerian port system for the betterment of the industry and advised those in court to embrace the regulatory roles of the two government agencies. 

"This position should be retained pending the time the National Transport Commission would come into being to regulate the transport industry," he said. 

Meanwhile in his analysis, Prof. Bongo Adi, a Professor of Development Economics and Data Analytics, Lagos Business School, who was the guest speaker at the event, opines that though NSC was appointed the port economic regulator in 2014 to promote competitiveness and compliance in the maritime sector, the port industry has remained naturally monopolistic as it was since entrance to the industry is not open. The council needs to enhance competitiveness that will buoy the nation’s export taking cognisance of the fact that the Nigeria's monetary policy has become sterile. 

His words, "The Council was appointed the regulator almost a decade after ports were concessioned. This was a challenge as it became a regulator that took no part in the concession exercise. NSC’s late appointment make them an agency leading from behind to enforce competitiveness. We know the port industry is naturally monopolistic because entrance into the industry is not open, the fact that the most important sector of the economy is the foreign sector where the country interacts with the rest of the world through imports and export, should prompt NSC to focus more on promoting competitiveness that will buoy the nation’s export, knowing fully that Nigeria’s monetary policy has become sterile."

Bongo declared that the only thing that can save Nigeria is export which must come in form of diversification, but warned against relying on agricultural produce which he labeled as inferior goods.

"Agriculture should not be the priority except for the purpose of export." 

However, in his welcome address, the Executive Secretary of the Shippers Council, Rt. Hon. Emmanuel Jime buttress the fact that the ports need to be made competitive to guard against monopoly, in which the council was appointed port regulator for. 

He thus expressed appreciation to the Federal Ministry of Transportation and other industry agencies for their support in  the successful discharge of the council duties as economic regulator.