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The Minister of State for Transportation, Senator Gbemisola Saraki, has reaffirmed the position of the Nigerian Ports Authority for the total reconstruction of Quay walls of the TinCan Island Port Complex which have become weak due to age.
Speaking during her tour of the Lagos Port Complexes on Monday the Minister said “We cannot build on a weak foundation, it is vital that we get these two very important ports modernised and ready to berth modern vessels. The state of the Ports shows decades of neglect but it’s better late than never”.
The position is very much in harmony with that of the Managing Director of Nigerian Ports Authority, Mohammed Bello -Koko, who had allayed fears of the imminent collapse of the Tin Can Island Island Port Complex as the Authority is already at concluding stages of funding options which includes talks with competent multilateral funding institutions and the possibility of the Authority using a percentage of the revenue or transfers to Consolidated Revenue Fund to finance the reconstruction.
“Koko had on several interactions with the media drawn attention to the fact that “although the NPA had over the years been undertaking remedial works on the quays, the time has come for a holistic reconstruction and the Authority is working with the Federal Ministry of Transportation on the most prudent funding option”.
Bello Koko said “We are on the verge of concluding discussions with multilateral funding agencies to fund the reconstruction. The other option is to go to the government to request that the NPA be allowed to use a certain percentage of its revenue which is transferred to the consolidated revenue fund (CRF) on yearly basis to fund the reconstruction. We transfer about N60 billion a year and we can use about 50 percent of that to repair Tin-Can.
Another option is to do hybrid funding where NPA funds part and multilateral agencies fund the rest,” he said.
He said the final option is for the terminal operators to fund the reconstruction but the issue is that not all the terminal operators have the same financial capacity or will be able to source funds at the same time.
To him, the NPA does not want a haphazard reconstruction because starting Terminal A without Funding for reconstruction of terminal B may affect the safety and integrity of the berths neighbouring berth, adding that the process will be properly coordinated working with the Federal Ministry of Transportation to make a decision that would be taken at the right time and properly.
