From Anthony Nwachukwu, Lagos
Seaports Terminal Operators Association of Nigeria (STOAN) has expressed concern at the level of port infrastructure decay, especially in the Tin Can Island Port, and asked the Federal Government to address it to make the ports more competitive.
STOAN, which spoke in Lagos on Wednesday during an interactive session with the Minister of State for Transportation, Sen. Gbemisola Saraki, also stated members’ readine to increase their investments at the ports.
The Managing Director of PTML and representative of STOAN, Mr. Ascanio Russo, noted that “one of the major challenges that terminal operators face in Lagos at the moment and for sometime now is the condition of the port infrastructure, especially in Tin Can Island Port.
“As you know, terminal operators have been operating in Lagos for over 15 years and have made significant investment in infrastructure, equipment and human resources.
“Over time, we have really increased the level of productivity in the port. We have now reached the stage to make necessary investment to really bring back to the original status the decaying infrastructure, especially in Tin Can Island Port.”
Russo added: “From our side, we want to confirm that we are committed, serious investors and are ready to participate to invest directly in this infrastructure.
“We have been here for many years and plan to be here for more years. So, we are very happy that you have identified the challenges in the area of infrastructure and we want to confirm to you that we are ready to make the necessary investment.
“We are ready to sit with you and your team to look at the legal and financial frameworks under which we can make this investment to continue to keep Lagos ports competitive.”
STOAN noted that while the Lekki Port, which construction is now nearing completion, is “an opportunity for Lagos”, Apapa and Tin Can Island ports remain very relevant and should not be neglected.
Similarly, he disclosed that the issue of concession renewal “has been the concern of our members. We have been negotiating for some time on this matter.
“It is worthy of note that this investment will require a very long time to be recovered. Our members need commitment.
“So, I believe that from all our members, there is intention to continue to invest but of course, they want to finalise as soon as possible the issue of concession renewal.”
On the challenge of congestion, Russo noted that “currently in the port, you may not see any because of the economic condition our country is facing at the moment and the general crisis all over the world, especially the lockdown in China, which is affecting the cargos coming to Lagos.
“What we are seeing at the moment is just an artificial normal flow of cargoes, but we know that very soon, congestion is going to come back.
“At the moment, there is a reduction of imported cargoes into Lagos of about 20 to 25 per cent. That is huge, but we know that this is just a moment and very soon, congestion is going to affect the port again
“We want to applaud the effort of the Nigerian Ports Authority (NPA), which over the last few years introduced the Eto call-up system, but we think there is more work to be done.”
As a way out, Russo urged the use of waterway and railway to evacuate cargo from the ports to reduce congestion and the excess pressure on the road.
