NIMASA DG issues stern warning to international oil companies

chika ebuzor

August 4, 2016 4:54 PM

Peterside also said the Agency will no longer tolerate the disregard for Cabotage and environmental laws by the IOCs.

Dr. Dakuku Peterside, Director General of NIMASA addressing the representatives of the International Oil Companies (IOCs) operating in Nigeria at an engagement at Eko Hotel Lagos.

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He said this while meeting with representatives of the IOCs in Lagos, to discuss ways to foster a closer synergy towards Nigeria’s economic development.

The NIMASA DG said the agency will henceforth ensure that the cabotage law is strictly adhered to, environmental best practises are carried out during oil exploration activities, statutory levies due to the government are paid, there is a proper communication channel between NIMASA and the IOCs to foster effective information sharing.

Peterside said “By our laws, FPSOs and other offshore platforms are Cabotage vessels that are subject to NIMASA’s regulation and payment of statutory levies.

“The spirit of the Cabotage Act is not to generate revenue in terms of waivers but to build the requisite capacity for indigenous players which will, in the long run, generate wealth and create employment for Nigeria’s teeming population."

Speaking on the need to build the capacity of indigenous operators, he said “You must give us ample notice of vessel requirements so that we can engage indigenous operators who have the capacity to do the job instead of giving it to foreign operators."

Peterside who commended the IOCs for their compliance level with payment of statutory levies so far, however noted that the argument on the payment of Cabotage levies on Floating Production Storage and Offloading (FPSOs) facilities and other offshore platforms is unnecessary.

He also promised to work closer with the IOCs, adding that NIMASA will also partner with the Nigerian Content Development and Monitoring Board (NCDMB) for the benefit of indigenous operators in Nigeria’s maritime environment.

According to NIMASA Head of Corporate Communications, Hajia Lami Tumaka, Peterside also said "Whether you are into shipping or shipping related business, NIMASA has a role to play in ensuring that the business is done seamlessly without security risk and not at the detriment of the Nigerian state. Therefore there is the need for you to cooperate with NIMASA especially in the area of information sharing."

Adding that "the new NIMASA under his watch is committed to raising a high level of service delivery and that there is the need for all key players to cooperate with the Agency by sharing relevant information that would assist the Agency in carrying out its statutory responsibilities.

“We will not fold our arms and watch while you do damage to our environment because environmental pollution is life threatening."

Dr Dakuku Peterside, recently announced that NIMASA is determined to ensure that the Cabotage Act is implemented to the letter.

The Cabotage Act 2003, was established to restrict the use of foreign vessels in domestic coastal trade and to promote the development of indigenous tonnage and to establish a cabotage vessel financing fund and for related matters

chika ebuzor