APFFLON backs Nigerian Shipping, Port Economic Regulatory Agency Bill
By Seun Ibiyemi
The Africa Association of Professional Freight Forwarders and Logistics of Nigeria (APFFLON) has highlighted the clear tariff regulation, penalties for defaulters, and licencing regime as commendable aspects of the new bill to replace the Nigerian Shippers’ Council (NSC) Act and the Nigerian Shipping and Port Economic Regulatory Agency Bill.
The President of the Association, Mr. Frank Ogunojemite, made these observations on Tuesday in a press statement where he identified commendable aspects of the new Nigeria Shipping and Port Economic Regulatory Agency bill.
According to the group, the bill makes clear provisions for the agency to issue guidelines for operators to determine and publish charges and rates within the shipping sector
“When you look at the shipping sector in Nigeria, one of the biggest challenges is the arbitrary increase in charges by operators without prior notification or consultation with regulators. The new bill takes care of that problem.
“Section 37, subsection 1, stipulates that: The Agency shall, to the exclusion of any other body or authority, (a) issue guidelines on the determination and publication of tariffs, rates, charges, and/or regulated services. (b) publish, periodically, tariffs, rates, and/or charges payable by regulated service users,” Mr Ogunojemite stated.
The group also commended the clear penalties for defaulters spelt out in Section 37, Subsection 2, which states that any person or service provider who publishes tariffs, fees, rates, or charges in contravention of this section commits an offence.
“A first offender, upon conviction, in the case of clearing and forwarding agents, shipping agents, cargo consolidators, hauliers, jetty operators, warehouse operators, logistics service providers other than shipping companies, and seaport terminal operators, will be fined not less than N2,000,000.00 or imprisoned for a term of not less than six months or both.
“In the case of shipping companies, seaport terminal operators, inland dry port operators and any other regulated service provider, will be fined not less than N20,000,000.00 or imprisoned for a term of not less than two years or both.
“But, for any subsequent conviction, the offender shall be liable to a fine not less than twice the fines or imprisonment provided for the first offence,” the statement read.
According to APFFLON, this portion of the bill, when enforced, will bring a new level of sanity, transparency and accountability in the shipping sector.
The group equally expressed delight that, from the commencement of the bill, every regulated service provider would have to file its tariffs or range of tariffs to the regulator
Noting the possibility of conflicts with other regulators in the maritime domain, APFFLON also expressed satisfaction with the provisions in Section 4, Subsection 3, which state that in case of conflict between the agency and any other legislation on the economic regulatory functions and powers of the agency, the provisions of this Bill shall prevail.
The group, however, encouraged the legislators and other port stakeholders involved in the process to expedite the process for the benefit of the port industry and the nation at large.
