NPA proposes N253.47 billion budget for 2022

—-eyes  N350.18 billion revenue

By our reporter

The Nigerian Ports Authority (NPA) has budgeted the sum of N253.47billion for the 2022 fiscal year.

The agency similarly projected to realise the sum of N350.18billion as revenue in the same year.

These figures were contained in the budget defence by the Acting Managing Director of NPA,  Mohammed Bello-koko before the Senate Committee on Marine Transport in Abuja.

Bello-Koko also told the lawmakers that inadequate funds  may harm some of the  capital projects of NPA in 2022, especially the rehabilitation and reconstruction of old and dilapidated Apapa port, Tin Can port, and Port Harcourt port complex.

While giving the budget defence, Bello- Koko told the lawmakers that the “cost to revenue” ratio not exceeding 50 percent in compliance with the provisions of the Finance Act 2020 will have serious consequences for the capital projects of the agency on 2022.

“The limitation of revenue available for spending in each fiscal year “ cost to revenue” ratio not exceeding fifty percent in compliance with the provisions of the finance act 2020 has serious downside risks to the authority’s 2022 budget projections in reconstruction and rehabilitation of old and dilapidated port infrastructure at Apapa, Tincan Island and Port Harcourt ports” the NPA Chief Executive lamented.

He added that as of the end of September 2021,  the NPA recorded a revenue generation of N256.28 billion as against the expected N214.65 billion (approved estimate N286.20billion).

However, in view of the complaints made by NPA, the Senate Committee advised its management to come up with innovative ways to increase its revenue generation to help reduce borrowing by the federal government.

The lawmakers further enjoined the agency to stretch its avenues of revenue generation that would enable it to get enough funds to carry out its proposed capital projects in 2022.