Lekki Deep Seaport will be game-changer in port operations – MD NPA, Bello Koko

Managing Director of the Nigerian Ports Authority (NPA), Mohammed Bello-Koko, has expressed confidence that the commencement of commercial activities at the Lekki Deep Seaport would change the face of port operations in the entire West African sub-region.

Bello-Koko who spoke on Thursday on the occasion of a retreat organized by the League of Maritime Editors in Lagos, also allayed fears that the Lekki Deep seaport would pose a big threat to the existing Apapa and Tin Can Island ports.

In his paper  titled: “Lekki Deep Seaport: Gains, Challenges and Potential Threat To Lagos Port,” the MD described the new deep seaport as changing the landscape of port operations even with constraints of hinterland connectivity.

Bello-Koko who was represented by the NPA’s Assistant General Manager, Operations, Mr. Ayo Durojaiye, said : “It is worthy of note that with the level of preparedness for the take-off of Lekki Port and the commencement of commercial operations in Q1 2023 would be a game changer in port operations not only in Nigeria but West Africa sub-region.”

He identified the key features of the seaport as having berth depth of 16.5m, which according to him was the deepest in the sub-region.

He also said the seaport would be hosting Post-Panamax vessels with “deployment of the state-of-the-art modern cargo-handling equipment including six (6) Ship-to-Shore Gantry Cranes with a reach of 21 Containers and twin-lift capability, modern scanners to entrench trade facilitation ideals.

He explained that the implication of the above developments means that the “level of efficiency would be very high and with the hosting of Post-Panamax vessel. Consequently, the cost per Container Box would be very low compared with the existing Ports in Lagos thereby leveraging on economies of scale. These Liners would be encouraged to use Lekki Port as they seek to minimize operational costs to maximize their profits.”

Bello- Koko said the Lekki Deep Seaport would be positioned to function as hub for container traffic both in the sub-region and for LPC and TCIP, which would eventually be hosting feeder vessels for Container traffic coming to Lagos areas.

He added, “Linked to above is that the expected Cargo Throughput in Lekki Port would be high given its role as a hub which comes with double handling operations.

“Reduction in the cost of doing business owing to benefit of economies of scale accruable.

“Nigerian port system would ultimately be mainstreamed into global port system given the competitive advantage it offers.

“There seems to be morbid fear by stakeholders that the emergence of Lekki Deep-sea Ports may signal the death or possibly turn the existing ports in Lagos area to tourist site. This is simply a fallacy.

“The Deep-sea port operates by principle of Hub and Spoke. As a derivative to this, the existing port will simply function as a Feeder port i.e when big vessels call at Lekki, other ports would be fed with their own market share. In other words, the existing port would function as regional port to serve destination cargo of their catchment area.”

Also speaking, Spokesman of the Seaport Terminal Operators Association of Nigeria (STOAN), Dr. Bolaji Akinola, said that the newly-completed Lekki Deep Seaport must be provided with adequate infrastructure for rail connectivity, for effective functionality of the Port, owing to traffic gridlock in the axis.

Akinola lamented that it took commuters between 3 and 4 hours to arrive at their destinations within the axis.

He pointed out that if this was the case now that the seaport is yet to start full cargo operation, it could worsen in future.

He maintained that what could address the situation was rail connectivity and use of barges.

Akinola who represented the Chairman of STOAN, Princess Vicky Haastrup, said, “The Lekki port without rail evacuation is a disaster in waiting for traffic operations along the Lekki-Epe expressway. I go to the Pan Atlantic University in Ibeju-Lekki from Ikoyi once a week. Every time I go towards that axis, I spend three hours on the road, stuck in traffic, going to Lekki, and another three hours coming from Lekki to Ikoyi.

“This is currently the situation even when we don’t have large numbers of trucks on that road because Lekki port has not commenced operations. By the time Lekki port commences operations and about a thousand trucks besiege Lekki roads, traffic along that corridor will be a disaster.

“Unless cargoes are evacuated through other means like barges, the commencement of Lekki port which will invite large numbers of trucks to that corridor will lead to another traffic gridlock along that axis.”

The Comptroller General of Nigeria Customs Service (NCS), Col Hammed Ali (Rtd), in his speech, said the choice of the topic handled by Bello-Koko was very apt and coming at the most auspicious moment when it has become necessary to decongest the existing ports.

Ali who was represented on the occasion by the Assistant Comptroller General of Customs, ACG Adeyanju Aremu , said when completed the Lekki Deep Seaport would position Lagos as a new maritime logistics hub in West Africa while also helping Nigeria to maintain full economic leadership in the African Continental Free Trade Area Agreement.

“It will also directly benefit local communities by creating massive jobs and enormous revenue in the coming decades,” he said.