Shippers’ Council Suspends New Tariff Regime by Shipping Lines
Dr. Akutah
By Francis Ugwoke
The Nigerian Shippers’ Council (NSC) has given a directive to shipping lines to suspend the implementation of a new tariff regime.
The decision to suspend the implementation of the tariff regime may not be unconnected with protests from shippers through their freight forwarders.
The freight forwarders, including members of the Association of Nigerian Licensed Customs Agents (ANLCA) had on Monday staged a protest at the premises of one of the affected shipping lines, MSC, to drive home their anger against the hike.
In a press statement issued by the Head of Public Relations of the Council, Rebecca Adamu, the Council said all the shipping lines, shipping agents and terminals have been directed to suspend and refrain from implementing any review or upward adjustment of charges until full engagement with stakeholders.
The Council noted that the approval granted shipping companies was in accordance with its statutory mandate as an economic regulator, adding that tariff reviews were carried out in a transparent , structured and well defined regulatory process.
The ports economic regulator explained that the processes of the approval included detailed technical and consultative engagement with affected service providers, in a bid to examine the “cost drivers, operational realities, investment obligations, and regulatory compliance”.
However, the Council said the engagements did not constitute automatic approvals, observing, however, that these informed a broader evaluative process.
According to the statement, “Final determinations were reached only after rigorous internal, technical, and financial assessments guided by empirical evidence, regulatory benchmarks, and prevailing economic conditions.
“Notwithstanding, Shipping companies, agents, and terminal operators are hereby directed to suspend any intended review of charges until they have duly consulted and engaged their stakeholders. As the Port Economic Regulator, the Nigerian Shippers’ Council will wield the big stick against any port service providers disrupting port operations.
“The Council emphasised that transparency, fairness, and stakeholder participation are fundamental principles underpinning port economic regulation in Nigeria”.
The Executive Secretary of the Council, Dr. Pius Akutah was quoted as sounding a note warning that as the ports economic regulator, the Council has the power to apply appropriate sanctions against defaulting operators.
He said that this included enforcement measures covered under relevant regulatory frameworks.
The statement added, “He (Akutah) encourages constructive engagement, dialogue, and compliance. However, any service provider that proceeds with charge reviews without stakeholders’ engagement should be prepared to face decisive regulatory action.
”He assured that the Nigerian Shippers’ Council remains committed to protecting the interests of port users, promoting fair competition, and ensuring a balanced and predictable business environment within the Nigerian maritime industry”.
The Nigerian Shippers’ Council (NSC) has given a directive to shipping lines to suspend the implementation of a new tariff regime.
The decision to suspend the implementation of the tariff regime may not be unconnected with protests from shippers through their freight forwarders.
The freight forwarders, including members of the Association of Nigerian Licensed Customs Agents (ANLCA) had on Monday staged a protest at the premises of one of the affected shipping lines, MSC, to drive home their anger against the hike.
In a press statement issued by the Head of Public Relations of the Council, Rebecca Adamu, the Council said all the shipping lines, shipping agents and terminals have been directed to suspend and refrain from implementing any review or upward adjustment of charges until full engagement with stakeholders.
The Council noted that the approval granted shipping companies was in accordance with its statutory mandate as an economic regulator, adding that tariff reviews were carried out in a transparent , structured and well defined regulatory process.
The ports economic regulator explained that the processes of the approval included detailed technical and consultative engagement with affected service providers, in a bid to examine the “cost drivers, operational realities, investment obligations, and regulatory compliance”.
However, the Council said the engagements did not constitute automatic approvals, observing, however, that these informed a broader evaluative process.
According to the statement, “Final determinations were reached only after rigorous internal, technical, and financial assessments guided by empirical evidence, regulatory benchmarks, and prevailing economic conditions.
“Notwithstanding, Shipping companies, agents, and terminal operators are hereby directed to suspend any intended review of charges until they have duly consulted and engaged their stakeholders. As the Port Economic Regulator, the Nigerian Shippers’ Council will wield the big stick against any port service providers disrupting port operations.
“The Council emphasised that transparency, fairness, and stakeholder participation are fundamental principles underpinning port economic regulation in Nigeria”.
The Executive Secretary of the Council, Dr. Pius Akutah was quoted as sounding a note warning that as the ports economic regulator, the Council has the power to apply appropriate sanctions against defaulting operators.
He said that this included enforcement measures covered under relevant regulatory frameworks.
The statement added, “He (Akutah) encourages constructive engagement, dialogue, and compliance. However, any service provider that proceeds with charge reviews without stakeholders’ engagement should be prepared to face decisive regulatory action.
”He assured that the Nigerian Shippers’ Council remains committed to protecting the interests of port users, promoting fair competition, and ensuring a balanced and predictable business environment within the Nigerian maritime industry”.
About Post Author
