By Godfrey Bivbere

THE inclusion of the waiver clause and its non review five years after as stipulated in the Coastal and Inland Shipping (Cabotage) Act 5 of 2003,  is killing the development of shipping in the country, the National Council of Managing Directors of Licensed Customs Agents, NCMDLCA, has said.

The Council in a letter to President Muhammedu Buhari on the need to diversify the nation’s economy through the maritime sector, stated that sections 9, 10, 11, 12 and 13 of the Cabotage Act which empowers the minister of transportation to grant waivers to foreign ships/crew to operate in Nigeria has rendered the intention and purpose of the Act useless.

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The letter signed by the Council’s National President, Lucky Amewiro, pointed out that the inclusion of the waiver clause presently robs the nation of huge employment opportunities, allows for an unquantified amount of capital flight, continued domination of freight component by foreigners, lack of ownership of maritime infrastructure by indigenous operators and lack of skill due to the continued use of the foreign operators.

Amewiro said: “The waiver clause in sections 9,10,11, 12 and 13 of the Act allows the minister to issue a waiver on every component of the Cabotage regime, which reduces the participation of the indigenous operators in Cabotage activities and allows the continuous domination of foreign operators in both our waterborne commerce and Cabotage regime.

“The continued existence of the waiver clause in the Act will rob the nation of the following; domination of freight component by foreign operators, capital flight of huge transfer of foreign exchange out of the country due to dominant power as a result of the waiver, lack of employment of Nigerian operators due to non participation of indigenous operators as a result of the waiver, lack of ownership of maritime infrastructure by indigenous operators as a result of non-operation due to waiver  and lack of skill due to the continued use of foreign operators due to waiver.”

He noted that in addition to Cabotage Act, the Nigeria Maritime Administrative and Safety Agency Act No. 17 of 2007, and Nigeria Oil and Gas Industry Content Development Act No. 2 of 2010, if strictly implemented, would help in the diversification of the economy and employment of the nation’s youths.

Vanguard