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Buhari regime approves PPP projects for NIMASA, targets $1.1 billion revenue

  • Business

The Federal Executive Council (FEC) has approved three Public Private Partnership (PPP) projects to be executed in the Nigerian Maritime Administration and Safety Agency (NIMASA).

This is contained in a statement by Manji Yarling,  spokesperson for the infrastructure Concession Regulatory Commission (ICRC).

Ms Yarling said the projects, under the regulatory guidance of the ICRC, were projected to generate over $1.1 billion for the federal government during the concession period.

She said the projects included the Eastern Offshore Waste Reception Facility, Central/Western Offshore Waste Reception Facility and a Floating Dry Dock.

Ms Yarling said the projects were approved by FEC following the issuance of Full Business Case Certificate of Compliance (FBC) by the PPP regulatory body, the ICRC.

She said the director-general, ICRC, Michael Ohiani, issued the FBCs for the Offshore Waste Reception Facilities (OWRF) projects.

According to her, Mr Ohiani said the move demonstrated the commitment of President Muhammadu Buhari’s administration to the environmental well-being of coastal communities and offshore fishermen.

Mr 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 levels to the benefit of offshore fishermen and coastal communities.

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

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 total revenue from Eastern OWRF for the entire concession period due to the federal government based on revenue sharing ratios is $279.4 million.

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

“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 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).

When fully implemented, the project is expected to create over 800 direct and indirect jobs.”

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