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FG, firm sign $100m concession agreement for Warri Port Terminal

Spurred by the desire to boost efficiency in port management, the Federal Government and Ocean & Cargo Terminal Services Limited, on Tuesday, signed a concession agreement for Terminal B of Warri Old Port.

This is sequel to the National Council on Privatisation’s approval of the technical and commercial bid of $100.78m submitted by Ocean & Cargo Terminal Services Limited on June 18, 2018.

Mr Alex Okoh, Director-General of the Bureau of Public Enterprises, noted that the objective of the Federal Government in port concessioning, was to achieve efficiency in the country’s port management, with the ultimate aim of improved service delivery.

The BPE boss who signed the document on the government’s behalf also observed that the process was geared towards the modernisation of port facilities, while achieving reduction in the cost of shipping and clearing goods, an arrangement that would relieve the government of the encumbrances of financing the sector.

Okoh said, “In fact, the concession of the seaports in Nigeria represents one of the success stories of the privatisation and commercialisation programme in Nigeria.

“The concessionaire is expected to focus on these objectives as they perform their business. The government expects nothing less than strict adherence to the terms of the concession agreement from the concessionaire.”

“Consequently, the pursuit of your business objectives must be tailored in a way that will also assist in the realisation of these objectives,” he told the concessionaire.

Dr. Taiwo Afolabi, chairman, Ocean and Cargo Terminal Services, however, expressed his happiness as he signed on behalf of his company, the PUNCH reports.

Ms. Hadiza Bala Usman, Managing Director, Nigerian Ports Authority (NPA), who was present during the ceremony also expressed delight at the conclusion of the concession of the terminal, noting that the concession of the port ‘is an important milestone in the economic development of the country.’

This crucial development once again reiterates the federal government’s unwavering commitment to the development of the Niger-delta, a region, which president Buhari’s administration has accorded great importance and initiated many critical projects.