Ports constitute an important economic activity in coastal areas. The higher the throughput (the volume of goods that pass through a port) of goods and passengers year-on-year, the more infrastructure, provisions and associated services are required.
A well-optimized system will bring varying degrees of benefits to the economy and to the country. Nigeria is blessed with an array of ports spread across the southern part of the country.
Some ot these include: the Igbokoda, Warri; Port Harcourt and Calabar Ports, Tin Can Island Port, Calabar Port Complex, Rivers Ports Authority, Delta Port, Onne Port and the soon to be commissioned Lekki deep seaport.
Although, it has been projected that if all these ports were fully functional- at least thre-quaters the functioning capacity of the Apapa port, there would be less pressure on Apapa and this will stir positive ripples across the city of Lagos socioeconomically.
The plot twist
In the wake of the frequent delibrations on the upgrade and outright turnaround of ports situated outsite Lagos, the Federal Government recently approved the sum of $2.9 billion for the development of Badagry Deep Seaport in Lagos State.
Ministers of Transport, Muazu Sambo, and that of Federal Capital Territory (FCT), Mallam Muhammed Bello disclosed this on Wednesday in Abuja, according to NAN.
The Minister stated that the Badagry project will be executed under a Public Private Partnership (PPP) scheme, citing the private sector will inject money into the port and manage it for 45 years.
Sambo’s word, “I presented a memo at the council, with respect to the development of the Badagry Deep Seaport, under the public-private partnership arrangement, where the private sector will inject money for the development of the port and at the end of the concessionary period, the port reverts to the Nigerian government through the Nigerian Ports Authority.
“The project approved by the council based on the final business case which was approved earlier by the Infrastructure Concession Regulatory Commission in line with extant laws stands at $2.59 billion.
“It is to be developed in four phases and the concessionary period is 45 years.”
Sambo also added that the port would further the FG’s goal of making Nigeria the maritime hub of the West and Central African regions. It will also help Nigeria generate total revenue of 53.6 billion dollars over the concession period, as well as create jobs and attract foreign direct investments, culminating with an enhancement of the wellbeing of Nigerians.
Important takeaway
Mr. Micheal Ohiani, the Acting Director-General, Infrastructure Concession Regulatory Commission (ICRC) said that the Badagry Deep Seaport when operational, will generate the sum of $2.6 billion and create 5,000 jobs.
