The Nigerian Shippers’ Council has saved the Nation over N406m (Four hundred and six million) naira in demurrage and storage charges on National Grid Equipments abandoned by Transmission Company of Nigeria, (TCN) and Niger Delta Power Holding Company of Nigeria (NDPHCN) since 2012.
According to a formal letter of complaints by the Managing Director/CEO, Transmission Company of Nigeria (TCN）MR. Chiedu Ugbo and the Management of Niger Delta Power Holding Company（NDPCN) requesting the Nigerian Shippers Council’s intervention for waiver on demurrage and storage charges on the abandoned national power project containers, the NSC swiftly moved in and resolveded the matter in 2022.
However, in a quest to amicably resolve the matter to enable the TCN & NDPCN take delivery of the consignments, the Complaints Unit organized series of tripartite meetings with all the parties involved where it holistically x-rayed the quantum of indebtedness to five Shipping Ccompanies involved in the ocean transportation of the cargoes.
The Shipping Line Agencies involved are: Maersk Line, CMA-CGM, Hapag-Lloyd, MSC and Lagos & Niger Shipping.
The TCN was represented at the meeting by the Executive Director （Finance & Accounts, Mr. Babayo Shehu, accompanied by Messrs Labaran Yusuf, Deputy General Manager, headquarters, Logistics, Increase Egbuche, Assistant General Manager, Expertise and Betty Ogueche, Aassistant General Manager, Legal.
Similarly, for the storage charges, the Terminal Operators involved include; West African Containers Terminal, Onne (WACT), Ports & Cargo Handling Services (SIFAX) Mitchelle, Sapid & Tin Can Island Container Terminal (TICT) with over N2 Billion indebtedness in storage charges.
The ombudsman in port operations expressed dismay over the negligence exhibited by those involved in the clearing process on behalf of the Government in releasing the Power Projects Equipments and warned that it will not tolerate such act of sabotage.
On the abandoned MSC containers, the Complaints Unit of the Council observed that NDPH abandoned the containers with the following Bill of Lading numbers: MEDUM11350874, MEDUIN592015, MEDURP437730 & MEDUL166795.
The Port Economic Regulator objectively intervened where management of MSC on its own granted 50% waiver to NDPHCN out of the accrued demurrage of N57,736,800.00 only.
In a related development, the same NDPHCN abandoned another 69 containers belonging to MSC that contained power projects equipment’s which accrued demurrage valued at N655,466,867.00 but the Shipping Company due to the Council’s intervention granted 80% waiver.
The Council was however unhappy over the demurrage owed Maersk by NDPHCN on its only 1X40FT, amounting to N16,815.000.00 but have agreed to offer 50% waiver on the total sum.
The Council further frowned over another abandoned 20 containers which belongs to CMA-CGM containing National Power Projects Equipment’s that accrued demurrage valued at N201,801.338.80 only, the Shipping Company has graciously granted 60% waiver to enable them take delivery.
However, in one of the tripartite meetings, the same NDPHCN was reported by Hapag-Lloyd to have abandoned 6 (six) containers at the ports which eventually attracted demurrage of N209,778.559.79 only, but they promised to get back to the Council after contacting their principal, if there could be any waiver.
While Safmarine & Michelle Terminal reported NDPHCN over abandonment of three (3) of their containers at different ports which attracted storage of N175,507,200.00 and N39,888.000.00 only, but was granted 50% waiver because of the Council’s intervention.
The NSC however, reiterated that as a referee in the industry, we strongly discourage waiver requests from any non compliance stakeholder, especially when the charges are not as a result of operational inefficiency on the part of the service provider, adding that this is because the Service Providers are to make profits, pay all the statutory taxes, pay their employees, which we also believe will enhance the ease of doing business in the Country.
The Council further warned Freight Forwarders handling government cargoes to do the needful and always exhibit professionalism in handling their beat, particularly in cases that have to do with the image of the Federal Government of Nigeria on its effort in enhancing National Power Plants and distributions across the Country.
“As a result of the interventions, the Council was able to save the National Economy over N406M （Four Hundred & Six Million Naira) only excluding inconclusive complaints that emanated from Port Harcourt and Hapag Lloyd.”
Expressing their appreciation to the Council, the management of TCN & NDPHCN thanked the NSC for its interventions which according to them, will facilitates the successful execution of all power projects across the Country.
