LADOL Integrated Logistics Free Zone Enterprise has announced the withdrawal of the suit filed against the Federal Government in 2015.
The suit which was filed against the President of the Federal Republic of Nigeria, the National Assembly, the Federal Ministry of Transport and the Attorney General of the Federation was filed following the directive of President Goodluck Jonathan that all oil and gas cargoes must go to the three Eastern ports of Onne, Calabar and Warri and controlled by one concessionaire before being transported to their ultimate destination.
The suit instituted by LADOL was meant to restrain the passage and assent to the Bill for an Act to amend the oil and gas free zone.
The suit also sought for an interim injunction restraining the defendants from enforcing the presidential directive that all oil and gas cargoes should be handled at Onne, Warri and Calabar ports alone.
The withdrawal of the suit became imperative following the policy clarification issued by the Federal Government on 21 April 2017. The preliminary hearing of the suit had earlier slated for 6 June 2017.
Speaking at a press conference in Lagos, counsel to LADOL, Professor Fidelis Oditah, said that the policy clarification fitted into the reform initiatives of the Federal Government to open business and welcome all investors to invest in the economy with a rewarding business environment.
He said that the policy clarification would result in increase in private investment in port infrastructure, increase local economy, increase employment rate, increase government revenue and boost the country’s Gross Domestic Product (GDP).
He added that the clarification would further ensure diversification of port infrastructure rather than concentration of risk in a particular region of the country.
Recalled that LADOL had filed originating summons vide a motion ex-parte brought before Justice Tsoho which obtained an order of interim injunction on May 12, 2015.
The order restrained the passage of the Bill for an Act to amend the oil and gas free zone and also restrained the defendants from enforcing a Presidential Directive that all oil and gas cargoes be handled at Onne, Warri and Calabar ports.
Former President Goodluck Jonathan, in April 2015, issued a directive that all oil and gas cargo should be handled at designated terminals.
The directive came just as the National Assembly forwarded the bill to amend the Oil and Gas Free Zone Act to the President for assent.
The two efforts irked some stakeholders in the maritime industry who saw the move as a design to put them out of business and to create monopoly in the industry and an empire for a few stakeholders.
They claimed that it had granted monopoly to Intels, which had the concession to operate three terminals that handled oil and gas cargoes in Warri, Onne and Calabar ports since 2006.
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