The Nigerian Ports Authority (NPA) has remitted N45.08 billion into the Consolidated Revenue Fund (CRF) in the last few months, out of which N26.83 billion was for its 2022 operational remittance.
For the NPA, the improved revenue generation came as a result of cost cutting measures and sustained debt recovery by its new management led by its Managing Director, Mohammed Bello-Koko.
Buhari had in February approved the appointment of Bello-Koko as the substantive Managing Director of NPA.
Confirming the improved remittance yesterday, Bello-Koko said that his background as a banker played a major role in the success of his effort to put port managers on their toes to ensure revenues due to the Federal Government were paid as and when due.
He said: “The first thing we did was to improve the collection mechanism. We held the port managers responsible for revenue generation and we are holding regular virtual meetings, but what we now did was that they needed to pay us on time, pay us or we stop services and, then, we minimise cost.
“Cost minimisation was very key. The idea is if you reduce cost, you are increasing the likely surplus that you will transfer to the government.
“However, we didn’t minimise cost in areas that were relevant and necessary. We cut down on places we felt are not very important. We started prioritising more, we always prioritise, but there is more prioritisation this time around. So we pay attention to spending on things that will also increase revenue.
“Also, there is less debt now than what it used to be, because we are all getting personally involved in terms of collection. I call the port managers in the morning, in the afternoon, to ensure that we are on the same page.”
He noted that NPA had been able to recover legacy debts owed it by NNPC and the international oil companies (IOCs).
Bello-Koko added: “The IOCs and other debtors have started paying their debts. NNPC alone owes NPA over N30 billion and this month we forced them to pay N7 billion. So NNPC has this rebate, 50 per cent rebate, and we do reconciliation and then they paid us.
“Since 2019 NNPC hasn’t paid us, but we have pushed them and made them know they have to pay or we stop service.
“We have become more aggressive, holding regular meetings and there are no formalities, you just pick the phone and call the port manager and say, where is the money.
“We made it clear to NNPC that they need to pay, some of them just paid and the IOCs have been paying for so long, Chevron and co. We have made it very clear that we have become more aggressive in our revenue collection and we have blocked leakages also where we are telling the IOCs that for service boat they cannot be the operator and also the agents.”
Apart from improvement in revenue generation, Bello-Koko said NPA had in the last 100 days, since his appointment, made giant strides in every facet of its operations.
According to him, “We have done a lot and key observers are testifying to this. In just 100 days, we rehabilitated and commissioned our Port Training School (PTS), furnished and equipped our control towers at the Lagos Port Complex (LPC) and TCIP.
“We have also deployed newly acquired pilot cutters and patrol boats to eastern ports, established and licensed 10 export processing terminals, established Standard Operating Procedure for barge operators and acquisition and deployment of motor cycles to monitor and enforce traffic regulations along Apapa corridor.
“Others are commencement of mapping and surveying of Warri-Koko-Sapele cannel, commencement of Escravos dredging, commenced design (repair) of the breakwater at Delta Ports, commenced rehabilitation of road D Federal Ocean Terminal, Onne, establishment of an IFRS complaint Assets Register, payment of gratuity arrears to retirees, payment of promotion arrears to serving employees.”
Bello-Koko stressed that under him, NPA had obtained ISO certification for operational areas, commenced remittance to the Sinking Fund for the takeoff of Lekki Deep Sea Port, commenced rehabilitation of ports administrative buildings at TCIP, Warri, and Rivers ports, equipped Rivers port, procured radio communication equipment for use at various signal stations, and commenced the construction of a control tower at Takwa Bay.
On NPA’s effort to prioritise export, he said the authority had created a dedicated lane for export products, adding that export has improved at Onne.
He said NPA had made effort to drive the eastern ports and would soon introduce incentives to encourage shippers to use the ports.