As ES/CEO Calls For Legislative Supports

The Chairman, Senate Committee on Marine Transport, Senator Wasiu Sanni Eshinlokun, has assured the Nigerian Shippers Council, NSC, of Legislative support as the Council embarks on ports reforms aimed at ensuring compliance  by terminal operators and  ports users to bring to bear competitiveness and ease of doing business initiatives of the federal government.

Speaking  when he received members of the Senate Committee on Marine Transport,  the Executive Secretary/CEO of the Council, Dr. Akutah Pius Ukeyima appealed to the Senate Committee on the enactment of the Nigerian Port Economic Regulation Act (NIPERA) Bill 2025, into law.

Thanking the Senators for the unwavering support for the Council, Dr. Akutah disclosed that the 2 percent funding the Council  gets from the 7 percent Port Development Levy (PDL) is inadequate to meet the scale of the Council’s statutory responsibilities. He also lamented that if funding for the Council is not improved  financial instability could derail the NSC from performing it statutory duties

In the Executive Secretary’s words “Your historic role in the passage of the Nigerian Port Economic Regulation Act (NIPERA) Bill, 2025, is a milestone that will forever reshape Nigeria’s maritime industry as the Council pursues reforms with measurable impact in streamlining port processes and reducing logistics bottlenecks  on the  ease of doing business; Coordinating Transport Infrastructure such as Inland Dry Ports and Vehicle Transit Areas to expand port services to the hinterland; Regulating tariffs and charges to protect shippers and promote transparency; and supporting Nigeria’s readiness for AfCFTA by developing dispute resolution systems, reducing trade costs and enhancing competitiveness. These reforms, backed by your oversight, reflect our shared commitment to make Nigeria a trade hub for the region.

Highlighting projects embarked on by the Council, Dr. Akutah said “Distinguished Senators, we are equally proud to highlight completed projects at Shippers’ Towers which demonstrate prudent resource utilisation and our commitment to creating a modern, functional work environment.

“These proposed projects are designed to guarantee safety, enhance operational efficiency and ensure Shippers’ Towers reflects the dignity of a national economic regulator.”

On challenges affecting the Council, the NSC ES/CEO said “We have made progress but there are  challenges  in the area of funding and sustaining financial independence of the Council.

“At present, the Council relies largely on the 2 percent from the 7 percent Port Development Levy (PDL) as its main source of funding. This levy is not only inadequate to meet the scale of our statutory responsibilities but also lacks a firm legislative backing, leaving the Council’s financial base unstable”

“To address this lacuna, we respectfully seek your urgent support in two critical areas; firstly in the accelerated enactment of the NIPERA Bill into law to consolidate the Council’s mandate, strengthen investor confidence, and ensure effective enforcement of economic regulation”

“We enjoin you to champion the Council’s financial independence through the 1 percent Freight Stabilization Fee which is established under Section I. (3) of 1995 and Section 7(2)(c) of the NSC Act. This is not a tax but a statutory service charge for regulatory functions such as tariff monitoring, cost regulation, cargo protection, dispute resolution, and trade facilitation”

“Distinguished Senators, let me stress that the fee does not conflict with the Nigerian Tax Administration Act (NTA) 2025. The Act harmonises collection, but it does not abolish legally established service-based revenue streams. On the contrary, this fee complements the unified collection framework, ensuring the Council has sustainable funding while all revenues are duly collected through the Nigeria Revenue Service and remitted into the Consolidated Revenue Fund.

“This model is consistent with global best practice, from Ghana to Kenya to South Africa, and aligns with the WTO Trade Facilitation Agreement, which allows charges proportionate to services rendered. Without this dedicated stream, the Council, and NIPERA when fully operational, risks financial incapacitation, jeopardising both our reform gains and Nigeria’s readiness under AfCFTA.”

After listening to the pleas and requests by the NSC Boss,  Senator Wasiu Sanni Eshinlokun affirmed that the performance of the Council as a port economic regulator and driver of coordinated reforms to reposition the maritime industry are in line with the renewed hope agenda of the Presidency.