By KUNLE KALEJAYE

The row over the payment of levies between the Nigerian Liquefied Natural Gas Company Limited, NLNG, and the Nigerian Maritime Administration and Safety Agency, NIMASA, took a new dimension at the weekend, as the latter served a detention order on vessels belonging to NLNG for none compliance to pay $20 million outstanding debts.

Deputy Director/Head, Public Relations of NIMASA, Mr. Isichei Osamgbi, said in a statement that this became inevitable following NLNG’s refusal and failure to abide by the outcome of the negotiated settlement of the debts arrived at through a mediation process it willingly agreed to.

The order came even as the NLNG also said in a statement last week that it had filed a case in the Federal High Court, Lagos, against NIMASA, seeking judicial clarity and interpretation on the legality or otherwise of the various levies imposed on it by NIMASA.

It insisted that it is complying under protest with the Government’s directive to pay the said levies, but NIMASA, however, denied knowledge of any court order or any suit brought by NLNG against it.

General Manager, External Relations, NLNG, Mr. Kudo Eresia-Eke, in the statement said following the blockade incident, a series of meetings were held in the past few weeks after which the company was subsequently directed by the Federal Government to pay the NIMASA levies.

He explained that NLNG has thus commenced installment payments under protest to NIMASA, in compliance to the Government’s directive, but without prejudice to its right to seek judicial interpretation in the court of law.

“It is instructive to note that Nigeria LNG Limited and its shareholders still firmly believe in the rectitude of their earlier position that NLNG is duly protected by the provisions of the NLNG Act against the payment to NIMASA of the Sea Protection Levy, the 3 per cent freight levies on cargo exports shipped by NLNG, and that the 2 per cent Cabotage Levy on LNG carriers is inapplicable because NLNG’s LNG vessels are not involved in coastal trade or cabotage.

“NLNG is a Nigerian company involved in almost exclusively, international export business and is thus subject to all relevant national and international laws, standards and ethos with which it must comply.

“This, amongst others, requires that all its dealings are governed and premised on the universal principles of the rule of law to which the Nigeria Government also affirms its commitment.

“The company has often clarified that the issues it has with payment of any levy, charge or impose has little to do with the amounts involved, but more with the principle of the rule of law, so that it can safeguard its international business which rests squarely on its reputation as a law abiding company, as well as Nigeria’s reputation in the global community.