Between waste, reality and politics of deep seaports

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By Moses Ebosele, ebosele@hotmail.com –  

     Did Governor Ben Ayade of Cross Rivers State carry out any feasibility study before embarking on the Bakassi Deep Seaport project? Who carried out the feasibility study and what is the outcome?

  Similar projects have been proposed in Akwa Ibom State, Lekki and Badagry in Lagos State, Ogidigben in Delta State, Olokola in Ogun and Ondo states and Agge in Bayelsa State.

 Besides, not less than fifteen other seaports  projects are under construction across the country, while procurement processes are on for the dredging of River Benue and the construction of Makurdi River Port,  Baro Port (Niger State), Oguta (Imo State) and Jamata (Lokoja, Kogi State).

  Experts and concerned citizens are however of the opinion that the ongoing proliferation of seaport projects, especially Deep Seaports in Nigeria will be counterproductive in the long run.

   Accordng to experts, a Deep Seaport is different from regular Ports because of its depth of water and ability to attract very large and heavily leaden ships.

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    Despite the fact that a similar project is on going in neighbouring Akwa Ibom State, preliminary work is expected to kickoff at the Bakassi Deep Seaport soonest in Cross River as the State Government and China Harbour Company signed a construction agreement last week Thursday.
During the ceremony, Ayade expressed optimism that the Deep Seaport will create a new narrative in merchandise and international trade.
While urging the North-Central and North-Eastern States to support the project, the Governor explained that this would eliminate the man hour being spent in transferring goods from the Lagos Seaports to the States.

   The Governor was, however, silent on the current underutilization of existing port facilities in the South-South zone fondly referred to as Eastern Ports.

  For example, while the Seaports in Lagos have capacity utilization of about 50 – 60% at present, the ones in the South South – Calabar, Warri and  Port Harcourt  have less than 20% capacity utilization.

  Most stakeholders in the South-South zone who spoke at an interactive session with the Managing Director of Nigerian Ports Authority (NPA), Hadiza Bala Usman last week lamented the current underutilization, prompting the NPA boss to clarify that the situation is beyond her control.

   Speaking in an interview with City BusinessNews (www.citybusinessnews.com) at the weekend, an economist, Matthew R.Otiode said: “You don’t have to be an expert to know that the Governors are playing politics. Apart from Calabar Port, Cross Rivers and Akwa Ibom State Governments according to Newspaper Reports are developing what they decribed as Deep Seaports.”

 He added: “The question I always ask my friends from Akwa Ibom and Cross Rivers State is ‘how are they going to source for cargo for the Deep Seaports? Why not collaborate with the Federal Government to make the Calabar Port viable?

  Speaking in a similar vein recently, the Managing Director of a prominent firm operating in the sector advised the Governors of Akwa Ibom, Cross Rivers, Delta and Bayelsa to carry out what he described as “genuine feasibility” studies before taking further action.

He explained that the three states could collaborate to develop what he identified as “Niger Delta Deep Seaport” as part of measures to save cost and ensure viability.

He said: “Developing a Deep Seaport in Akwa Ibom, Cross Rivers, Bayelsa and Delta States is a waste of scarce resources. A Deep Seaport is not a motor park that must be in every state. Large ships naturally go to viable ports. I’m worried. People in this zone should be worried. Where is the market for the proposed Deep Seaports? Where are the industries? Why can’t people learn from past mistakes? The Governors are from the same party. I expect them to come together in the interest of the poor and helpless people in their states instead of embarking on capital-intensive projects that may not be in the interest of their people.”

The President of National Council of Managing Directors of Licensed Customs Agents (NCMDLCA), Lucky Amiwero, who spoke in a similar vein recently, noted that it was not economically viable to develop multiple Deep Seaports in the country.

He said: “This is politics. But, I want to advise the government to give consideration to professionalism and not politics. We need one Deep Seaport for mega ships in Nigeria. Seventy-six per cent of cargoes in West Africa sub-region are for Nigeria. More than 86 per cent of Nigeria-bound cargoes pass through the ports in Lagos. The industries within Lagos and its environs are a major attraction. The role of industries cannot be ruled out. Industries need modern ports to move their equipment. Apart from Lagos, how many states can boast of the presence of industries? You cannot rule out the role of industries in port operations and efficiencies.”
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