Admiralty

Naval Clearance, a Constraint to Petroleum Products Availability

The practice of issuance of Naval clearances to vessels engaged in loading or discharge of petroleum products at the country’s oil ports has been blamed for huge delays and losses in the petroleum products supply chain. Speaking at the recently concluded Oil Trading and Logistics Conference, OTL 2007, the Chairman of Integrated Oil and Gas, and Managing Director of Genesis Worldwide Shipping, Capt. Emmanuel Ihenacho noted that commanding officers in charge of issuing naval clearances frequently travel out of their stations without delegating authority as to the issuance of naval clearances or making provision for the administration of the clearance process in their absence. He argued that in actual fact in a democratic society, the Navy has no business issuing clearances for vessels to participate in the operation of legitimate maritime transport activities, particularly with the existence of a Harbour Master’s office that retains responsibility for protecting the economic interests of their country through appropriate professional intervention in the administration of the calling, dwell and departure of ships from their ports. Echoing the same line of thought, the conference delegates in their communiqué, called on the government to coordinate and streamline various clearances including naval clearance, DPR clearance, customs clearance, immigration and NPA clearances to increase efficiency and reduce delays in the supply of petroleum products.

The Conference Director and Chief Executive Officer of Admiralty Resource Services, Mr. Emeka Akabogu noted that the essence of the conference was to ensure that operators in the high value economic sectors of petroleum and marine logistics leverage on their respective strengths and networks to create wealth and increase operational efficiency. The conference, which was declared open by the Hon. Minister of State for Water Transportation, Prince John Okechukwu Emeka, had more than a hundred delegates from within and outside Nigeria including oil traders, offshore exploration and production companies, downstream operators, marine logistics support services, financial institutions, petroleum depot owners and government regulators.

Shipping and Marine Logistics, Strategic to National and Global Economy says Minister

The role of shipping and marine logistics has been identified as crucial to national development if fully harnessed. This submission was made by the Honourable Minister for (State) Marine Transportation, Prince John Okechukwu Emeka in his keynote address at the recently concluded two-day Oil Trading & Logistics Conference, OTL 2007 held in Lagos.

According to him, “the Nigerian economy depends largely on oil and gas, yet it is the transport and logistics component that serves as the interface between the oil and gas buried in our soil and the oil and gas users all over the globe that enhances the value of the sector.”

He maintained that the marine transportation and logistics services component of the petroleum industry had for a long time being neglected, this according to him led to foreign dominance of the sub-sector. He however asserted that the Federal Ministry of Transportation was poised to effect the necessary changes. “The Federal Ministry of Transportation is fully determined to challenge this notion and tap abundant economic benefits in the haulage of oil and gas for the advantage of the Nigerian economy.”

Speaking through his Special Assistant (Special Duties), Dr. Mike Anyaduno, Prince John Emeka said that the Ministry’s key concern would include achieving the twin goals of empowering Nigerians in support of vessels’ acquisition and maintenance, in addition to entrenching efficiency in the operations and procedures of such operations.

The Conference Director and Chief Executive Officer of Admiralty Resource Services, Mr. Emeka Akabogu noted that the essence of the conference was to ensure that operators in the high value economic sectors of petroleum and marine logistics leverage on their respective strengths and networks to create wealth and increase operational efficiency. The conference had more than a hundred delegates from within and outside Nigeria including oil traders, offshore exploration and production companies, downstream operators, marine logistics support services, financial institutions, petroleum depot owners and government regulators.

Source: OTL 2007.