How Nigerian ports can regain regional hub status in West Africa

 

Following the recent visit of a delegation led by the Minister of Transportation, Rt. Hon. Rotimi Amaechi to resolve the ideal site for the construction of a green-field deep seaport at Finima, Bonny Island in Rivers State, the Acting Managing Director of the Nigerian Ports Authority (NPA), Mohammed Bello-Koko has assured that the Authority will provide the enabling environment for the speedy actualization of the multi-billion Naira project for the benefit of the Niger Delta region and the larger Nigerian economy.

Speaking with the media while on an assessment tour of the Onne Port Complex and the Rivers Port Complex in Port Harcourt after the visit to Bonny, the NPA Managing Director described the Bonny Deep Seaport project as a “game changer” that would significantly transform the socio-economic landscape of Nigeria based on its multiplier effect such as massive job opportunities, better welfare and improved living conditions of Nigerians.

The Bonny Deep Seaport project covering a land area of 275.22 hectares is to be developed through direct investment by Messrs. China Civil Engineering Construction Corporation (CCECC) Nigeria Limited, on a Design, Build, Finance, Operate and Transfer (DBFOT) basis. The project scope of the Bonny Deep Seaport includes construction of a breakwater, revetment, container berth, general goods berth, dredging of the access channel and turning basin, construction of office buildings and warehouses.

The new port, with a draught of 17 meters, will have a terminal capacity of 500,000 TEUs per annum and 100,000 DWT general cargo berth.

The deep seaport project is expected to be boosted by the rehabilitation of the Port Harcourt – Maiduguri rail line with a branch at Elelenwo in Port Harcourt, heading to Dere, Bodo and terminating in Bonny.

The Bonny seaport, the Port Harcourt to Maiduguri rail line and a new Railway Industrial Park in Port Harcourt, all combined with a value of about $3.2 billion, were flagged-off in March 2021 by President Muhammadu Buhari.

 

Nigeria as Regional Hub

The NPA helmsman disclosed that with the identification of the best site for the Bonny deep seaport project, the construction process will now take off in earnest.  He said, “Having resolved the location with the highest economic value for Bonny Deep Seaport, we are very hopeful construction would start this year. The location chosen has a natural draft of 17 meters. On the Western flank is the Lekki Deep Seaport which will come on stream next year.

“These port projects will usher in a new era of tremendous economic prosperity for our dear nation and further consolidate our position as the regional trade hub in West and Central Africa”, he said.

Speaking further on the uniqueness of the Bonny Deep Seaport, Koko said, “What is very striking is that we are having a new seaport that will be serviced by rail from the beginning. The reconstructed rail track between Port Harcourt and Maiduguri will have an extension to the Bonny Deep Seaport. It is about 56 kilometers. This will facilitate quick evacuation of cargo among other benefits. That means we will have a multi-modal arrangement in place from the go, unlike in our older ports that depend solely on road.

“In line with global trends, the railway link will fast-track the export of raw materials with value addition, as well as locally made finished goods. Nigeria will be having a world class seaport in every sense of the word”, he stressed.

“With a deep seaport like the ones to emerge from Lekki and Bonny Island, Nigeria will be able to attract transit cargo meant for our landlocked neighbours as well as retain her own captive cargo. There will also be a reduction with respect to ship-to-ship transfer activities taking place at nearby ports of Lome and Cotonou, for cargoes destined for the Nigerian market. The operation of a deep seaport in Bonny will enhance our maritime hub status in Africa”, he added.

 

Need to revive eastern ports

Bello-Koko reiterated that the NPA management would remain steadfast to the full revitalization of all the ports within the Eastern corridor of the country.

In his words, “A lot is being done to boost shipping and cargo traffic to our seaports outside the Lagos area.  Not too long ago, we reviewed downwards some of our charges to encourage shipping companies to utilize the ports in the East and we have seen a slight increase in cargo volumes from that axis. As a fact, we have seen a significant increase of port activities at Onne Port. I have recently been to Onne to observe what is going on there. One of the terminal operators there, West Africa Container Terminal (WACT) is expanding space for stacking of containers. They have brought in new cranes to improve their cargo handling operations.

“For the other ports in the East, we are equally witnessing increased activities. We have encouraged the use of flat-bottom vessels as a result of the draught limitation in some of our locations in that axis. Those ports have very long access channels; it means navigation into those locations takes a lot of time. There is also high siltation along the channels as well as the issue of security.

“While the ports in the West can operate 24 hours, the ports in the East, for security reasons, the captains are not able to bring in vessels from the fairway buoy down to the port-side or escort a ship to the fairway buoy after a certain time. These marine pilots are constrained to a window of eight to10 hours to bring in or escort vessels out of the port. This leads to an increase in ship waiting time and cost.

“However, more marine assets, including security patrol boats, have been deployed to these ports to enhance security and efficiency.

“The Calabar seaport has the longest access channel amongst all the ports in Nigeria. The channel has not been dredged for over ten years due to some litigation. Though it is quite expensive to dredge and maintain, serious efforts are on for a resolution and hopefully bring it back on track as the port is known to serve the 16 northern states of Nigeria, some of the major markets in the south east and Niger Republic.

“For the ports in the Warri area, the challenge has to do with the positioning of some Nigerian National Petroleum Corporation (NNPC) pipes along their access channel. I think it is about a depth of six meters to seven meters. So it makes it difficult to dredge lower than that area, except these pipes are relocated. Several discussions have been held between NNPC and NPA on the subject, we hope that the issue will be resolved soon.

“There is also the collapse of the Warri port breakwaters, studies are being carried out by Royal Haskoning to determine the best way to either rehabilitate or construct a new one”, Bello-Koko said.

 

Need for host community support

The NPA boss has also appealed to the people of the Niger Delta to support and own the Bonny Deep Seaport. He noted that the Federal Government and its partner will be deploying huge financial resources towards the construction of the new port on Bonny Island in appreciation that seaports drive economic development and create massive employment opportunities.

“I wish to call on our people, particularly the youths, to understand that they need to support the project. When government facilitates a major foreign direct investment such as this, the citizens or locals should welcome it rather than go blocking roads, or causing problems that discourage investors. Most of the jobs will be sourced from the local communities and the multiplier effect will be felt across the host communities, Rivers State and the entire country”, he entreated.

“With the rehabilitation of the Port Harcourt to Maiduguri rail track, it is expected that people of the Niger Delta will support the timely construction and protect the new deep seaport peacefully by becoming an integral part of the project.

“It has been acknowledged without iota of doubt that investments in deep sea ports will help to drive economic diversification, facilitate cross border trade, local content development and wealth creation for public good”, Bello-Koko said.

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