$195m Deep Blue Project: NIMASA Vows To Review Agreement With Navy Over Visibility

The Nigerian Maritime Administration and Safety Agency (NIMASA), on Tuesday, disclosed plans to review its Memorandum of Understanding (MoU), with the Nigerian Navy on the $195m Integrated National Security and Waterways Protection Infrastructure project otherwise known as the Deep Blue project.

LEADERSHIP reports that a frontline indigenous Shipowner and former president, Nigeria Shipowners Association (NISA), Aminu Umar, said due to insecurity in the Niger-Delta region, indigenous Shipowners engage private security guards on their vessels.

“Deep Blue Project have made an impact but today, no vessel can move from Lagos-down South without security guards. We need to see deep blue visibilities so that there can be confidence, so that our ships can see them and feel secure and we don’t need more Security guards when going down South the country,” Umar stated.

However, reacting to Umar, over poor visibility of the deep blue assets on the nation’s coastal water at the 2024 Stakeholders’ Engagement on enhanced activities in the Blue Economy sector, organised by the ministry, the DG of NIMASA, said the review of the MOU with the Nigerian Navy was to enhance the visibility of the deep blue assets on the nation’s waterways.

Dr Mobereola explained that talks will be held with the hierarchy of the Nigerian Navy to better improve the Deep Blue assets.

“Since my assumption as the DG of NIMASA, I have met with the Chief of Naval Staff three times on this particular Deep Blue project. I can assure you that very soon, we are going to have a new MoU that will make the Deep Blue project more impactful and visible.

“The new agreement will ensure the project is directed to the agenda and purpose behind its creation, that is, our waters should be safe.”

On the charging of war risk surcharges on Nigerian bound cargoes by foreign insurance underwriters, the NIMASA DG explained that the federal government will meet with foreign insurance firms to know why war risk premiums are being charged on Nigerian cargoes when the nation is not at war.

“The last time Nigeria was at war was in 1966. We will all be meeting with the foreign insurance underwriters to know why we are still paying this premium,” the NIMASA DG added.
Giving his opening remarks, the minister of Marine and Blue Economy, Adegboyega Oyetola, said the ministry is exploring fiscal and trade policies to promote greater participation of Nigerians in the shipping industry.

Oyetola who was represented by the ministry’s permanent secretary, Oloruntola Olufemi, said the ministry is committed to unlocking the Cabotage Vessel Finance Fund (CVFF) for disbursement to support the growth and development of shipping businesses in the country.

According to him, the attention of the ministry to the shipping industry is holistic, encompassing investments in fleet, improvement of regulatory frameworks, upscaling of local manpower and capacities.

“Our efforts to enhance efficiency, transparency, and competitiveness in the sector are already yielding positive results. The Nigerian Maritime Administration and Safety Agency (NIMASA) Act has promoted safety standards, enforced regulations, and boosted investors’ confidence. We are exploring fiscal and trade policies to promote greater participation of Nigerians in the shipping industry. A major part of the plan is to unlock the Cabotage Fund for disbursement to support the growth and development of shipping businesses in the country. The Ministry is committed to delivering this soonest.

“Our attention to the shipping industry must be holistic, encompassing investments in fleet, improvement of regulatory frameworks, upscaling of local manpower and capacities, fine tuning of operational efficiencies, and of course increasing turnover and revenue. We must work together to reverse unfavourable terms of trade in the sector for the benefit of our economy.
Moving forward, our collective resolve must be to foster collaboration among regulators and stakeholders to streamline processes and enhance efficiency.”

The minister who is the former governor of Osun State, revealed that the government identified the maritime sector as a pivotal area of focus, and the ministry is committed to creating an enabling environment for business to thrive.

“As we navigate the complex waters of global trade and economic uncertainty, we must recognize the significance of the marine and blue economy sector in stimulating national economic growth and development. The government has identified this sector as a pivotal area of focus, and we are committed to creating an enabling environment that supports your businesses and promotes the growth of the sector as a whole.

“Ship owners and operators are the backbone of the maritime sector, contributing to trade, transportation, and job creation. We acknowledge the challenges you face, from safety and security concerns to regulatory hurdles and market fluctuations. It is the resolve of government to address these challenges and foster a conducive environment for your operations,” he stated.