Peterside warns IOCs on compliance

The Director-General of the Nigerian Maritime Administration and Safety Agency (NIMASA), Dr. Dakuku Peterside has hinted that the agency would no longer tolerate the disregard for Cabotage and environmental laws by International Oil Companies (IOCs) operating in Nigeria.

Dr. Peterside, issued the warning during a meeting with representatives of the IOCs in Lagos on ways of fostering a closer synergy towards Nigeria’s economic development, “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.

“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.

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

“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.

The DG highlighted areas of interest to NIMASA to include the flouting of Cabotage law, negative impact to the environment from oil exploration activities, none payment of statutory levies due to the government and inadequate information sharing.

Peterside reiterated 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.

The DG noted that the era of some of the IOCs carrying out their businesses in violation of Nigeria’s laws especially as regards Cabotage and the environment is over stressing that “we will not fold our arms and watch while you do damage to our environment because environmental pollution is life threatening.”

He further 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.