By Steve Agbota, [email protected]
Since the creation of Ministry of Marine and Blue Economy, maritime stakeholders have intensified their advocacy for the deployment of the N50 billion modular floating dock yet to be put into operations.
They aregued that the deployment of the modular floating dock will augment the blue economy agenda of the Federal Government to diversify the nation’s economy.
Ironically, they had argued that the deployment of the modular floating dock will save Nigeria capital flight of over N300 billion on yearly basis, generate approximately N1 billion monthly and create over 800 direct and indirect jobs.
Beyond revenue generation, the floating dock is also expected to develop capacity and provide maintenance facilities for ships and boats in the country and other countries alike.
The modular floating dock was acquired in 2018 by the Nigerian Maritime Administration and Safety Agency (NIMASA) to boost the nation’s ship repair capacity and transform Nigeria’s maritime industry for wealth and employment creation.
Since the arrival of the asset in 2018, the modular floating dock has been enmeshed in controversy having not been put into use since then.
With an average of 5,000 ships calling at the Nigerian ports annually, 400 active coastal vessels and several fishing trawlers, the demand for ship repair and maintenance facilities can only be on the rise. Before now, the dry-docking of vessels operating in Nigeria was done outside the country, with huge implications in terms of foreign exchange costs running into several millions of dollars yearly.
Currently, there are no serious dry-docking facilities in Nigeria. This is why many Nigerian shipowners go to countries like Ghana, South Africa, Senegal, and Namibia among others to repair their vessels in line with the international law as specified by the International Maritime Organization (IMO), which requires every vessel to dry-dock once in three years in order to retain their safety classification and insurance cover.
It is estimated that Nigeria will be saving about N300 billion in losses to capital flight on yearly basis if the floating dock is eventually put into operations.
Putting the floating dock into use will provide a lot of benefits to the maritime industry. This ranges from conserving foreign exchange to providing employment and boosting indigenous capacity, developing shipping, and providing training exposure for students of the Maritime Academy of Nigeria, Oron, and the Maritime University, Okerenkoko.
According to shipowners, putting the floating dock into use holds serious positive economic implications for the nation’s shipping business, which presently depends on other countries to dry-dock both Nigerian and foreign-flagged vessels that do business on Nigerian waters.
Shipowners said that it costs between $1.5 million to $1.8 million to tow a vessel to countries like Singapore for repair while it costs between $300,000 and $500,000 to dry-dock a vessel in the international market, hence the need for more dry-docking facilities in the country.
There are a lot of business opportunities for the private sector partner that would take charge of managing the floating dock. Currently, Cabotage vessels and other vessels flying Nigerian flags take their ships abroad for repair. But with the coming of a dry-docking facility that is in-country, owners of such vessels would jump at servicing their vessels in Nigeria. To put the asset into use, NIMASA seems set to deploy the asset five years after it was acquired, as it recently takes over areas leased to it by the Nigerian Ports Authority (NPA) at the Continental Shipyard for the operations of the modular floating dock.
The areas include but not limited to the dolphin jetty, waterfront of the jetty adjourning the slipway, an administrative block, a construction, welding and mechanical workshop and a civil maintenance workshop, among others. During the handover of the facility, the Director General of NIMASA, Dr. Bashir Jamoh, said that handover of the Continental Shipyard to NIMASA marks the final lap in the quest of the Agency to deploy the modular floating dockyard.
He assured stakeholders that the modular floating dockyard would soon be deployed since all grey areas between NIMASA and the NPA have been cleared.
“The Modular Floating Dock is a national asset and now that all grey areas between the NPA and NIMASA have been addressed, we are very close to the deployment of the Modular Floating Dock.
“Our goal is to domicile dry-docking of vessels in the country thus saving the nation foreign exchange currently expended on dry-docking vessels outside the shores of Nigeria. The floating Dock will also provide both direct and indirect employment to Nigerians with a multiplier effect on capacity development,” said.
He said the Infrastructure Concession and Regulatory Commission (ICRC), had issued a certificate of compliance for an Outline Business Case (OBC) for the operation of the floating dock, while also describing it as bankable and sustainable. He noted that the modular floating dock, which has the capacity to handle up to 10,000 metric tonnes vessels, would be run on a Public Private Partnership arrangement. While handing over the Continental Shipyard to the technical partners, Jamoh, emphasised the need for them to review the action plan in the light of realities on ground with detailed deliverables, and key performance indicators with clearly stated timelines.
“Nigerians eagerly await the deployment of the Modular Floating Dock. This is a national asset, which has potentials to boost maritime trade, create jobs, develop skills, by providing training avenues to various maritime training institutions in Nigeria, while also attracting foreign investment and preventing capital flight, thereby generating revenue. We hope to have students from the Maritime Academy of Nigeria and the Maritime University Okerenkoko amongst other maritime institutions come for practical time”, the DG said.
However, a Nigerian registered company, Melsmore Marine Nigeria limited has concluded plans to relocate the Modular Floating Dock from the Naval Dockyard to the waterfront of the Dolphine Jetty at the NPA Dockyard, which used to be the Continental Shipyard.
While engaging with NIMASA, the Managing Director, Melsmore, Mr. Danny Fuchs gave the assurance that the company is prepared to handle the movement of the floating dock from the naval dockyard to the Continental Shipyard for the commencement of full operations.
Danny noted that they are committed to executing their project of relocating the Modular Floating Dock.
“Our job is to move the Modular Floating Dock from the present location to the waterfront of the Dolphine Jetty at Apapa. THSD SEA LION, which occupied the leased area at the water front have vacated the jetty now. We have a commercial understanding with NIMASA on how to execute this project.
“We have submitted a feasibility study taking note of the Mooring system required to anchor the Modular Floating Dock at the Dolphine Jetty. The Mooring system supplied by the manufacturers of the Modular Floating Dock is made up of two steel piles of 36 meters Length, 2 meters in diameter and a weight of roughly 48 tonnes each. These massive piles need to be driven about 20 meters into the Seabed.
“We will bring our expertise to bear in carrying out this project. We also hope to invite the manufacturers, Damen Shipyard to join forces in achieving this relocation project. We will work with Damen Shipyard to ensure the Modular Floating Dock is seaworthy before the relocation. This is to commission the Modular Floating Dock before relocation,” he said.
Meanwhile NIMASA and the technical partners also agreed to invite manufacturers of the Floating Dock, Damen Shipyard to join in recommissioning the Dockyard, while site preparations are ongoing. This is to ensure the Floating Dock is deployed in the shortest possible time.