Port Economic Regulation: Why Shippers’ Council is Not a ‘Toothless Bulldog’, By Jime

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By Francis Ugwoke
The Executive Secretary of the Nigerian Shippers Council (NSC), Mr Emmanuel Jime, on Wednesday said that the ports economic regulator is not a ‘toothless bulldog’.
Jime said this was because the Council has ability to address wrongs using its enforcement mechanisms when the need arises.
He disclosed that so far, the Council has been able to shut down terminals and other stakeholders when it was clear there was violation against them.
He however admitted that the Council has a challenge and limitation in terms of the extent it can go in checking violations, noting that for instance the ports economic regulator does not have power to arrest.
He explained that this could be considering that the Council is operating in a commercial environment with the shipping industry as one of the most sensitive industries worldwide.
But Jime who spoke when members of the League of Maritime Editors and Publishers visited him in Lagos added that it was in consideration of Council’s limitations that led to the idea of partnering with the Federal Competition and Consumer Protection Commission (FCCPC) which can go into all sectors with powers of arrest.
He also pointed out that the Council has the Nigerian National Port Process Manual (NNPM), an inter-agency platform it leads to check stakeholders violating trade facilitation processes.
He said the point being made by those feeling that the NSC was a toothless bulldog “arises from the frustration that people feel that there is a lot that is going on that is not right” in the ports.
Jime told members of League, “On NSC being a bull dog, I find this very interesting responding to this all the time. I think it arises out of the frustration that people feel that there is a lot that is going on that is not right and that as economic regulator we should have the ability to address the wrongs. Do we have enforcement mechanism, yes we do. Our regulatory services using the instrument appointing us as economic regulator is able to, using the mechanism available to us, to shut down stakeholders. We have done that in a number of cases to shut down port terminals when it was clear there was violation but the question is really the extent…. that we are not really effective as perhaps would have served the purposes better. That is really is a challenge. Let me be honest to you. The existing legal framework of Nigerian Shippers’ Council does have some limitations and we are able to recognize that. It is in recognition of the fact that we have some limitations in our existing legal framework that recently, if you recall, that we went into partnership with the Federal Competition and Consumer Protection Commission . We went into a MoU with them, the reason is clear. In their own legal system, they have the ability to arrest, prosecute and ability to get somebody locked up for doing the wrong thing. The NSC law does not actually give us the power to arrest…
“So, what we can do because we are operating in a strictly commercial environment…. And I think there is wisdom that is the case. We are operating in a commercial environment, the shipping industry is one of the most sensitive industries worldwide.
“The moment you allow soldiers and police to go into any of the facilities locking down, you may achieve the objective in a short term but the long term implication especially to the whole of the industry will have ramification that may not necessarily be plausible. So, that is the constraint that we have but the FCCPC has wider powers. So, they can go into all of the sectors. The good thing is that the MoU we signed with them has limited their ability to just walk into the industry. They can only do that in partnership with us, because we are sector regulator. We have the information that they may not have. It is only when a matter has gone way beyond the capacity of the Shippers’ Council to actually address adequately. Sometimes we may have to resort to that partnership. There is also the NNPM which is our inter-agency platform the NSC is leading, we have NPA and other agencies. That is a very important platform. Now the impact of the NPPM is beginning to be felt. It is so much that we have expanded the scope of their work”



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