Nigerian Ports Authority Revamps Tariffs After 32-Year Hiatus

By Lod Onyeji 

In a bid to modernize Nigeria's ports and bolster their competitiveness, the Nigerian Ports Authority (NPA) has announced a 15% upward review of its tariffs, effective immediately. This revision marks the first adjustment to NPA rates since 1993.

The long-overdue revision aims to address the country's ailing port infrastructure, characterized by outdated equipment, inadequate capacity expansion, and inefficient services. These challenges have severely impacted Nigeria's ability to attract cargo handling business, resulting in significant economic losses.

Globally, port authorities rely heavily on revenue generated from operations to fund critical infrastructure development, maintenance, and upgrades. Nigeria's ports, however, have struggled to keep pace with international standards due to chronic underinvestment.

The NPA's tariff review is expected to have far-reaching benefits, including enhanced revenue generation, improved infrastructure development, and increased efficiency. Stakeholders have welcomed the revision, citing the need for increased funding to support port modernization efforts.

At a recent stakeholders' meeting in Lagos, Managing Director Abubakar Dantsoho emphasized the NPA's commitment to transparency and collaboration. Joshua Asanga, a stakeholder, endorsed the tariff increase, highlighting the erosion of NPA's purchasing power due to inflation and the need for improved port infrastructure.

The tariff revision has been hailed as a critical step towards revitalizing Nigeria's ports and enhancing their competitiveness. As the country seeks to reclaim its position as a regional trade hub, the NPA's efforts to modernize its infrastructure and services are seen as a vital component of this strategy.