Nigeria’s Minister of Marine and Blue Economy Gboyega Oyetola, has said the Federal Government requires $1.1 billion reinvestment in the nation’s ports to renew the concession agreement.
He stated this while appearing before the House of Representatives Committee on Privatisation as part of investigation into port concessions agreements in the country.
Oyetola said the current delay in the concession of the ports is to enable the government to finalise its reinvestment plan and to renovate the ports.
According to the minister, “under the modernisation programme of the Port, the Ministry is envisioning a major reinvestment in the port system to meet expected service delivery.
“The current situation at the port does not meet the required standard. The investment quantum that is expected to be invested in the port will require a major rethink of the concession of the ports.
“As a result of that, the Ministry, in concert with the agency, the NPA in particular, has begun a process of reinvestment package for the port.”
Also speaking, the Managing Director of the Nigeria Ports Authority (NPA), Mohammed Koko, explained that the proposal to renew the concession agreement for the ports was presented to the Federal Executive Council in February 2023.
Koko said that the FEC put the renewal on hold, demanding additional information, adding that one of the issues raised by FEC was investment as it relates to existing infrastructure at the ports.
