Senate Committee Angry over Influx of Illegal Vessels on Nigeria’s Waters
Members of the Joint Senate Committees on Local Content, Downstream Petroleum and Legislative Compliance are bitter over the influx of foreign vessels operating illegally on the nation’s territorial waters.
Chairman of the Local Content Committee, Senator Teslim Folarin said this ugly development was the reason for the invitation of the Transport Minister, Hon Rotimi Amaechi, the Minister of State for Petroleum, Timipre Sylva and the Group Managing Director of the Nigeria National Petroleum Corporation (NNPC), Mele Kyari to answer questions on the issue.
The Senate Joint Committee based on a motion is carrying out investigation on the abuse of Nigerian laws, particularly on the Coastal and Inland Shipping (Cabotage) Act 2003 and the Nigerian Content Act 2010 by foreign shipping lines who deploy vessels illegally on the nation’s coastal waters.
Most of the vessels are involved in petroleum products affreightment for either the NNPC and oil majors.
Though cabotage Act provides for waivers, allegation by Nigerian shipowers is that this is being abused by those saddled with this responsibility.
Folarin explained that the invitation of Amaechi was in consideration that the Ministry was responsible for the issuance of waivers.
The Minister is expected to appear before the Senate once the Upper Chamber of the House returns on recess.
Stakeholders have over the years cried out that indigenous shipping companies do not benefit from cabotage policy as NNPC and oil majors allegedly prefer to award contract of petroleum products transportation from one point to the other in coastal waters to foreign vessels illegally.
Chairman of the Local Content Committee, Senator Teslim Folarin said this ugly development was the reason for the invitation of the Transport Minister, Hon Rotimi Amaechi, the Minister of State for Petroleum, Timipre Sylva and the Group Managing Director of the Nigeria National Petroleum Corporation (NNPC), Mele Kyari to answer questions on the issue.
The Senate Joint Committee based on a motion is carrying out investigation on the abuse of Nigerian laws, particularly on the Coastal and Inland Shipping (Cabotage) Act 2003 and the Nigerian Content Act 2010 by foreign shipping lines who deploy vessels illegally on the nation’s coastal waters.
Most of the vessels are involved in petroleum products affreightment for either the NNPC and oil majors.
Though cabotage Act provides for waivers, allegation by Nigerian shipowers is that this is being abused by those saddled with this responsibility.
Folarin explained that the invitation of Amaechi was in consideration that the Ministry was responsible for the issuance of waivers.
The Minister is expected to appear before the Senate once the Upper Chamber of the House returns on recess.
Stakeholders have over the years cried out that indigenous shipping companies do not benefit from cabotage policy as NNPC and oil majors allegedly prefer to award contract of petroleum products transportation from one point to the other in coastal waters to foreign vessels illegally.
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