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Reading: FEC approves three PPP projects for NIMASA, targets $1.1bn revenue – ICRC
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Nigeria

FEC approves three PPP projects for NIMASA, targets $1.1bn revenue – ICRC

The Nigerian Maritime Administration and Safety Agency will carry out three Public Private Partnership (PPP) Projects that have been authori...

Chima Joseph Ugo
Chima Joseph Ugo - Editor-in-chief December 23, 2022
Updated December 23, 2022 at 12:56 PM
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FEC approves three PPP projects for NIMASA, targets $1.1bn revenue – ICRC
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FEC approves three PPP projects for NIMASA, targets $1.1bn revenue – ICRC

The Nigerian Maritime Administration and Safety Agency will carry out three Public Private Partnership (PPP) Projects that have been authorised by the Federal Executive Council (FEC) (NIMASA).

This information may be found in a statement released by the Infrastructure Concession Regulatory Commission's acting head of media and publicity (ICRC).

According to Manji Yarling, under the ICRC's regulatory direction, the projects were expected to bring in more than $1.1 billion for the federal government throughout the concession term.

The Eastern Offshore Waste Reception Facility, Central/Western Offshore Waste Reception Facility, and a Floating Dry Dock, according to her, were among the projects.

Yarling said that the projects received FEC approval after the ICRC, the PPP regulatory authority, issued a Full Business Case Certificate of Compliance (FBC).

She further stated that the FBCs for the Offshore Waste Reception Facilities (OWRF) projects were granted by ICRC Director-General Michael Ohiani.

She cited Ohiani as saying that the action showed the government of President Muhammadu Buhari's dedication to the environmental security of offshore fishermen and coastal communities.

“The essence of the approvals by FEC is for the OWRF to put in place a standard facility for use in Nigeria’s international waters, in compliance with the International Convention for the Prevention of Pollution from Ships (MARPOL) 1973/1978.”

Ohiani said the goal of the proposed partnership was to protect the offshore environment and provide a visible deterrent for offshore polluters from a surveillance point of view.

He said it was also to reduce the current pollution level to benefit offshore fishermen and coastal communities.

The director-general said the OWRF projects would essentially help keep the seas and oceans clean.

“Each facility, when completed, would be adequate to fully meet the needs of ships and other installations regularly making use of the facilities and contributing to improving the marine environment.

”They will allow for the ultimate disposal and discharge of wastes from ships and other installations in an environmentally friendly way,” Ohiani said.

He said more details on the Eastern OWRF showed that the Design, Finance, Build, Operate, Maintain and Transfer (DFBOMT) PPP model would be adopted with XPO Marine Services Limited as the concessionaire for an initial period of 10 years.

“The projected revenue from Eastern OWRF for the entire concession period due to Federal Government based on revenue sharing ratios is 279.4 million dollars.

“The projected total revenue for the entire concession period from the Central and Western zones due to Federal Government, based on the revenue sharing ratios, is 765.2 million dollars.

“The concessionaire for the Central and Western OWRF is African Circle Pollution Waste Management Limited, and the concession period is also 10 years.”

He said that also approved by FEC was the management contract to Operate, Maintain and Transfer (OMT) the Floating Dry Dock (FDD) of NIMASA.

”The FDD is for the repair of cabotage vessels.

“The concessionaire, J. Marine Logistics Limited, is to manage the Modular/Floating Dry Dock for 15 years.

“Total revenue accruing to NIMASA for the 15 years concession period is 65.6 million dollars (N27.2 billion).

The project is expected to create over 800 direct and indirect jobs.”

Ohiani said beyond revenue generation, the project was also expected to create jobs, develop capacity and provide maintenance facilities for ships and boats.

He said FEC also approved a PPP project in Ikeja Lagos, for the Federal Radio Corporation of Nigeria (FRCN) to develop a commercial mixed-use complex.

Ohiani said that the complex would comprise houses, hotels, recreational facilities, and an office complex.

‘The FRCN PPP project was approved for a concession period of 55 years with expected revenue put at N14.9 billion while the concessionaire is Fish Valley Investment & Property Limited.

Tags: Nigeria

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