Disappointment, Dismay As Stakeholders Assess Marine, Blue Economy Ministry

On 21st August, 2023, when President Bola Tinubu created the Marine and Blue Economy ministry from the ministry of Transportation, there was excitement in the marítime sector with stakeholders describing it as a step in the right direction.

Stakeholders had believed that with the creation of the separate ministry, the federal government would be able to harness the over N7 trillion potential inherent in the nation’s blue economy.

Local shipowners who have had the Cabotage Vessel Finance Fund (CVFF), not disbursed, believed it would be done by the minister. They believed that their fortunes will change as they will have capacity to lift Cabotage cargoes thinking his tenure would put an end to granting of waivers to foreign shipping companies to operate on our waters.

On the Waterways, boat operators and commuters thought that the creation of the agency would be the end of boat mishaps, overloading, night voyage, illegal dredging and other anomalies ravaging the sector but, all to no avail.

Also, freight forwarders who had expressed their excitement that the ministry would ensure 24 hours cargo evacuation, seamless port operations among others but still there is no difference.

However, sources have outlined some of the minister’s achievements to include developing guidelines for the implementation of Limitation of Liability for Maritime Claims (LLMC) Convention in the country; finalising and gazetting the Inland Waterways Transportation Regulation (2023) for safety on the inland waterways; commencing the implementation of Nigerian Ports Process Manual (NPPM) on Joint Boarding of Vessel, Joint Cargo Examination and Operation Free-the-Corridor Programme.

Others are, a comprehensive four-year Key Performance Indicators (KPIs) Implementation Plan was developed to guide the Ministry and its Agencies; adopting the National Joint Industrial (NJIC) Collective Bargaining Agreement on Conditions of Service for Nigerian Seafarers in Coastal Sector 2023 and carrying out Joint international compliance inspections with American and EU scientists on Nigerian fishing companies and vessels amon

However, despite the listed achievements, stakeholders’ have wished it away, expressing disappointment, unfulfilled promises, dismay, dissatisfaction and describing the last one year under Oyetola as much motion without movement in the sector.

Even though they expressed optimism that the minister can still turn the table around in the remaining years of the current administration, they advised him to collaborate and engage  with stakeholders’ to achieve the ministry’s goals and objectives.

For instance, they expressed dismay that mishaps are still occuring unabated on the nation’s Inland waterway.

According to data available to LEADERSHIP, over 100 persons lost their lives in various waterway accidents in the first quarter of 2024. Stakeholders’, however, lamented the absence of concerted efforts between government agencies and boat operators to enforce safety regulations effectively, thereby safeguarding lives and preserving the viability of the industry.

Accessing the minister’s performance in a chat with LEADERSHIP, the former chairman, Nigeria Marítime Expo, Prince Ayorinde Adedoyin, acknowledged Oyetola’s ambitious vision for the blue economy, but pointed out the persistent challenges that have hindered the anticipated progress.

Adedoyin lamented the absence of adequate collaboration between the minister and Maritime stakeholders, saying only collaboration l between the government and private sector will unlock the full potential in the blue economy sector.

“Oyetola came into office with a clear vision to transform Nigeria’s marine sector. His emphasis on sustainability and economic diversification through the blue economy is commendable. However, the lack of adequate funding and bureaucratic bottlenecks have slowed the implementation of some of these initiatives,” Adedoyin noted.

When asked if he sees the controversial Cabotage Vessel Financing Fund CVFF being disbursed under this minister, Adedoyin expressed scepticism, even as he questioned its purpose and impact. “Even we, the ship owners, have we cleaned our house to make it even suitable enough for us to get the disbursement?” he asked.

Also speaking, another shipowner; Otunba Sola Olatunji and a member of Nigeria Indigenous Shipowners Association, expressed scepticism about the future of the Marine and Blue Economy Ministry, predicting that little would change without deliberate government intervention.

“In terms of operational mileage, intervention, and development of shipping as the core mandate of the ministry of Marine and Blue economy, nothing has changed in the last one year.

“We have had a couple of stakeholders meeting with robust conversations, but we have yet to see changes in the policy direction of the ministry.  Nigerian Shipowners Association members are yet to feel any positive impacts of their policy in the last one year,” he said.

The pioneer President Nigeria Shipowners Association (NISA), Chief Issac Jolapamo, stated that he has become so disillusioned with the state of the industry that he has adopted a “siddon look” approach.

“The problem of the industry is foundational, and unless there’s a holistic approach where the government confronts it frontally, the problem will still be there,” Jolapamo said, reflecting on over 60 years spent in the sector.

Jolapamo voiced doubts about the current minister’s capacity to address the deep-rooted issues facing the industry. “I don’t really know the capacity of the minister if he could resolve the issues in the maritime industry. I have since stopped worrying myself about the happenings in the industry because that will evoke bad memories which could hurt me, and I don’t want to get hurt.”

He also lamented the lack of focus on acquiring vessels and training seafarers, essential elements for a thriving maritime industry. “If you don’t have ships, you cannot say you are practising maritime. If you cannot go to the sea, whatever you do, it is peripheral. Unfortunately, we are not addressing the issues like how do we acquire vessels where we can train our upcoming seafarers.”

Also speaking, Capt. Tajudeen Alao, President of the Nigerian Association of Master Mariners, (NAMM) provided a nuanced perspective on the challenges and expectations surrounding the new ministry. He acknowledged that the first year was a challenging period for the Minister, especially considering the responsibility of driving a new ministry that stakeholders had long been agitating for”.

He highlighted that the initial year involved laying the groundwork to drive the ministry effectively. According to him, the blue economy is not just a Nigerian initiative; it is an international calling, referencing the Rio Assembly in 2000 and 2020. “It’s an international approach to create this ministry. And we have done that in Nigeria; we ratified and have put it to effect. And we are driving it.”

Capt. Alao also pointed out that while the progress might appear slow to those on land, it is not necessarily so, given that Nigeria is venturing into areas that were not previously sustainable. He emphasised the need for proper guidance to ensure the sustainability of activities such as fishing and sand mining, which had been ongoing, but without a sustainable framework.

“I believe in another year; we should be on the right path. We have been in the maritime business, but we were doing it in an unsustainable way. Now, we are tasked to do it sustainably,” he stated. He also expressed optimism that the maritime industry should experience positive growth in the near future, rather than wait till the end of the minister’s tenure.

However, Capt. Alao acknowledged the challenges the Ministry faces in positioning Nigeria for international recognition, such as achieving Category ‘C’ status in the International Maritime Organization (IMO). He noted that while the Minister is eager to take on this responsibility, gaps remain that need to be addressed, particularly in areas like security.

On the part of the freight forwarders, Emenike Nwokeoji, President of the Association of Nigerian Licensed Customs Agents (ANLCA), offered a supportive perspective, emphasising the need to give the minister more time to build the newly-created ministry.

He acknowledged the challenges Oyetola faces, as he did not inherit an established ministry, but rather had to create it from scratch. Nwokeoji suggested that the focus in the second year should be on clearly defining the ministry’s role and expanding its functions to harness the full potential of the blue economy for Nigeria’s economic growth.

“I think it’s too early to start rating him. He did not inherit a ministry. Rather, he’s the ‘foundation’ minister of that ministry. There were a lot of things. Nothing was in place. It must have taken a lot of time to harmonise things between that ministry and other ministries like transport, you know.

“So, let’s give him some time to build. It’s not easy. I believe that the first of all, it’s a welcome idea, the ministry, creating that blue economy ministry.

“But I think the area they need to focus on this time as they move into the second year is to let the people know actually what the ministry stands for. Blue economy encompasses a whole lot of things. The people are wealthy.

“And they should expand that ministry because it’s a ministry that will play a major role in turning the economy around if the proper setting is, or the proper things are done.

“Rather than just concentrating on existing functions, let them open up that ministry, so that areas that have been silenced can contribute meaningfully to the growth of this economy. So, I think that should be their focus for the second year” he said.

Speaking also, NAGAFF general secretary Kingsley Igwe, shared that while the minister, Adegboyega Oyetola, might have the capability, the policy direction of the Ministry of Marine and Blue Economy remains unclear, particularly concerning freight forwarding.

Igwe emphasised that he has not seen any significant changes that could impact the industry positively. He expressed disappointment in the lack of a regional vision or strategy, especially in light of the African Continental Free Trade Area (AfCFTA).

He believes that Nigeria has the potential to be the regional logistics hub of West Africa but that this requires the ministry to work closely with the Ministry of Trade, Industry, and Investment.

Igwe drew parallels with the Asian region, where countries like Singapore and Malaysia aggressively positioned themselves as logistic hubs through infrastructure development and policy initiatives.

He stressed the importance of Nigeria capitalising on its strategic position and extensive hinterland, which includes access to landlocked countries like Niger and Chad, to attract international shipping and logistics businesses.

He also pointed out the need for liberalising cargo destinations and origins to enhance the nation’s competitiveness.

Igwe also discussed the broader potential of the marine and blue economy beyond transportation, highlighting opportunities in resource extraction and sustainable economic activities.

He called for policies that encourage local and diaspora investments, citing examples like Singapore’s approach to incentivising its expatriates to return and contribute to the national economy. Igwe concluded by stating that while he does not advocate for a change in leadership, the minister must assemble the right team and formulate effective policies to make a meaningful impact,” he stated.