Experts predict challenges for Deep-Seaports in Nigeria

ABIOLA Seun |

Stakeholders have urged the Federal Government to ensure perfect operations of Lekki deep seaports in the country to boost the nation’s economy.

Some of the factors expected to be properly shaped for efficient delivery at the seaport include; a well-articulated road and rail network; and utilization of inland waterways for efficient evacuation of cargoes that would be imported through the facility.

Experts who spoke on the imperatives of deep seaports in Nigeria (A case study of Lekki deep seaport) during training for journalists in Lagos described the $1.5 billion project as a noble idea, which would significantly boost the economy of the country.

A lecturer at Lagos Business School and Maritime expert, Frank Ojadi, said a deep seaport is essential because good nautical access is essential for maritime connectivity of ports.

He said: “Over the last decades, ships have rapidly become bigger and deeper: for example the draft of the largest container ships at this moment is approximately 14.5 meters, which is deeper than what most ports can accommodate. Port depth thus becomes a competitive advantage for attracting the largest ships and a challenge for many ports that are estuary ports and that have no direct deep sea access,”

Ojadi however noted that deep seaports would create opportunities for transshipment operations, generate more employment, promote local shipping business and boost trade in the country.

According to him, Panamax vessels make a direct port and discharge, and the bulk of their cargoes are delivered at a particular port while importers will have to move them to other destinations through feeder vessels, thereby emphasizing the need for transshipment.

The University Don however noted that the federal and state governments should begin to think of good road and rail networks as well as inland navigation to Lekki considering the huge traffic that would be created by the deep seaport and Dangote refinery among other major projects cited in that area.

He expressed worries that the Senate Committee on Ports Harbors and Waterways and the Nigerian Shippers’ Council have earlier identified this issue, but nothing concrete has been done.

Ojadi said the government has to do proper planning in order to guarantee the viability of the many deep seaports that are springing up around the country, citing a recent report by an international shipping consultant, Drewry that predicted a gloomy investment prospect for the seaports.

“The government is currently making efforts to develop
deep water ports in partnership with the private sector in: Lekki, Lagos State; Badagry deep seaport in Lagos State; Ibom deep water port in Akwa Ibom State; Olokola deep water port in Ogun/Ondo States; Snake Island Service Port; Onne Port extension; Bonny deep water port Port Notel; and Bakassi deep water port.

The key question is: Do we really need all these deep seaports?” he queried, noting that neighboring countries in West Africa are also planning new seaports, amid cargo limitations,” Ojadi said.

He expressed concerns that: “The degree of call frequency is always very low because they come with huge cargo and they spend a while which reduces the degree of frequency. And we have many deep seaports springing up across the country, which are likely to face ship call challenges,”

Another industry expert and Chief Executive Officer, Ships and Ports Communications, Bolaji Akinola, said the multi-billion dollar projects cited in the Lekki Free Zone corridor may face access challenges if the Federal Government does not immediately kick off plans for road and rail infrastructure to evacuate products from the refinery and seaport.

“Apapa will be child’s play, when the problem of accessibility begins to stare us in the face at Lekki. That area is highly congested already, so we can imagine what will happen when the trucks and petroleum tankers join the traffic,” he said.

“The record year for containers in Nigeria was 2014, and the container throughput was 1.6 million TEUs. That has been the highest so far in the history of this country. Since then we have had a plunge, but I see this year matching 2014 records.

The records are already there because the throughput in first quarter 2018 is as good what was recorded in the same period 2014, which means that our economy is rebounding.

Akinola said the Lagos ports are still very functional and there is no congestion as erroneously believed.

“There is nothing like congestion inside the port. The terminal operators can handle that 1.69 million TEUs conveniently and the capacity of container terminals in Nigeria today is about 2 million TEUs. If deep seaport is going to come up, we should be futuristic about it and we should also resolve the infrastructure problems around the existing ports,” he said.