By Steve Agbota
The Nigerian Maritime Administration and Safety Agency (NIMASA) has promised that the Federal Government will disburse the Cabotage Vessels Financing Funds(CVFF) before the end of President Buhari’s administration on May 29, 2023.
According to the agency, this becomes necessary as the nation plans to quickly transit from crude oil to blue economy by using monetary incentives to encourage indigenous ship owners.
The agency also said this remains part of good governance around ultilisation of water so that the blue economy can strive through key infrastructural development within the sector.
Director-General, NIMASA, Dr. Bashir Jamoh, who delivered the maiden annual lecture of the Institute Maritime Studies, University of Lagos, with the theme, “From Crude To Blue-Nigeria’s Blue Economy: The Imperative of Maritime Domain Awareness and Good Governance”, stated this in Lagos, yesterday.
Meanwhile, the lecture seeks to address the role every stakeholder in the maritime sector can play to enable the country to leverage its maritime domain.
However, he said for the nation to maximise the ocean blue economy, issues of security to counter piracy, illegal oil numbering, arm running, pollution, kidnapping, encroachment must be dealt with.
He revealed the agency is doing a lot to procure special mission aircraft and vessels to and sea monitoring vehicle to deter those posing threats to the nation’s blue economy.
“NIMASA will bring 50 per cent to the fore and by the guidelines the private lending institution will have to provide 35 percent and then the ship owner will have to provide 15 percent making 50 per cent.
“So if we have $350 million as 50 per cent contribution for NIMASA, then we are expecting another $350 million from the private lending institutions and private ship owners, that means $750 million. Now with this we expect to give N25 billion to each ship owner to purchase the ship.
“That capacity of ship, direct job alone can provide not less than 71 individuals. If you divide 25 by 700 his many ships can you provide? Under the government ship financing alone. So you can see the jobs that CVF alone can provide. I have somebody here that used to be a time he alone owned 25 ships, so you can imagine if each ship on average provided maybe 200 employment direct and indirect;then how much jobs we can be able to provide. So the issue of insecurity and employment, definitely the blue economy will have to provide it if we are serious about it.
“Let me assure you today that before the end of this administration we will start to disburse the funds which is testament to good administration of the government towards supporting the sector,” he said.
To him, for the nation to tap its marine resources that span from Badagry to Bakassi security of this maritime dorman remains critical.
“Considering the changes ahead with wind and renewable energy as emerging trends globally, Nigeria must begin to move away from crude economy. Nigeria must digitalise its economy through sustainable ocean resources for economic growth, improved livelihood and jobs, while preserving ocean ecosystems. We are making an effort to procure necessary equipment to protect our waters.”
For the host and the Vice-Chancellor, University of Lagos, Professor Folashade Ogunsola, the maiden lecture provides the school opportunity to interact with industry leaders as they strive to train industry-ready students.
“We want to use this opportunity to tell all industry leaders present today that our door is open to welcome you as we are ready for public-private partnership in the sector.”
The event attracted various maritime players in the industry with the Minister of State for Transportation, Ademola Adewole Adegoroye in attendance and other key members of the ministry.