…Stresses the need for timely disbursement of N44.6billion CVFF***

Highly revered Nigerian Maritime Lawyer, and Senior Advocate of Nigeria (SAN), Mike Igbokwe has urged the Nigeria Maritime Administration and safety Agency (NIMASA) to partner with ship owners and relevant association in the industry to evolving a more vibrant merchant shipping and cabotage trade regime.

Igbokwe gave the counsel during his paper presentation at the just concluded two-day stakeholders’ meeting on Cabotage waiver restrictions, organized by NIMASA.

“NIMASA and shipowners should develop merchant shipping including cabotage trade. A good start is to partner with the relevant associations in this field, such as the Nigeria Indigenous Shipowners Association (NISA), Shipowners Association of Nigeria (SOAN), Oil Trade Group & Maritime Trade Group of the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA).

“A cursory look at their vision, mission and objectives, show that they are willing to improve the maritime sector, not just for their members but for stakeholders in the maritime economy and the country”.

Adding that it is of utmost importance for NIMASA to have a through briefing and regular consultation with ships owners, in other to have insight on the challenges facing the ship owners.

“It is of utmost importance for NIMASA to have a thorough briefing and regular consultations with shipowners, to receive insight on the challenges they face, and how the Agency can assist in solving them and encouraging them to invest and participate in the maritime sector, for its development. 

“NIMASA should see them as partners in progress because, if they do not invest in buying ships and registering them in Nigeria, there would be no Nigerian-owned ships in its Register and NIMASA would be unable to discharge its main objective.

The Maritime lawyer also urged NIMASA  to disburse the Cabotage Vessel Financing Fund (CVFF)that currently stands at about N44.6 billion.

“Lest it be forgotten, what is on the lips of almost every shipowner, is the need to disburse the Cabotage Vessel Financing Fund (the CVFF’), which was established by the Coastal and Inland Shipping Act, 2003. It was established to promote the development of indigenous ship acquisition capacity, by providing financial assistance to Nigerian citizens and shipping companies wholly owned by Nigerian operating in the domestic coastal shipping, to purchase and maintain vessels and build shipping capacity. 

“Research shows that this fund has grown to about N44.6billion; and that due to its non-disbursement, financial institutions have repossessed some vessels, resulting in a 43% reduction of the number of operational indigenous shipping companies in Nigeria, in the past few years. 

“Without beating around the bush, to promote indigenous maritime development, prompt action must be taken by NIMASA to commence the disbursement of this Fund to qualified shipowners pursuant to the extant Cabotage Vessel Financing Fund (“CVFF”) Regulations.

“Indeed, as part of its statutory functions, NIMASA is to enforce and administer the provisions of the Cabotage Act 2003 and develop and implement policies and programmes which will facilitate the growth of local capacity in ownership, manning and construction of ships and other maritime infrastructure. Disbursing the CVFF is one of the ways NIMASA can fulfill this mandate.

“To assist in this task, there must be collaboration between NIMASA, financial institutions, the Minister of Transportation, as contained in the CVFF Regulations that are yet to be implemented”, the legal guru highlighted further. 

He urged the agency to create the right environment for its stakeholders to build on and engender the needed capacities to fill the gaps; and ensure that steps are being taken to solve the challenges being faced by stakeholders.

“Lastly, which is the main reason why we are all here, cessation of ministerial waivers on some cabotage requirements, which I believe is worth applause in favour of NIMASA. 

“This is because it appears that the readiness to obtain/grant waivers had made some of the vessels and their owners engaged in cabotage trade, to become complacent and indifferent in quickly ensuring that they updated their capacities, so as not to require the waivers. 

“The cessation of waivers is a way of forcing the relevant stakeholders of the maritime sector, to find workable solutions within, for maritime development and fill the gaps in the local capacities in 100% Nigerian crewing, ship ownership, and ship building, that had necessitated the existence of the waivers since about 15 years ago, when the Cabotage Act came into being. 

“However, NIMASA must ensure that the right environment is provided for its stakeholders to build and possess the needed capacities to fill the gaps; and ensure that steps are being taken to solve the challenges being faced by stakeholders. Or better still, that they are solved within the next 5 years of its intention to stop granting waivers”, he further explained. 

…As Valles Steamship Orders 112,000 dwt Tanker from South Korea***

A wind farm supply vessel and a cargo ship collided in the Baltic Sea on Tuesday leaving 15 injured.

The Cyprus-flagged 80-meter general cargo ship Raba collided with Denmark-flagged 31-meter wind farm supply vessel World Bora near Rügen Island, about three nautical miles off the coast of Hamburg. 

Many of those injured were service engineers on the wind farm vessel, and 10 were seriously hurt. 

They were headed to Iberdrola’s 350MW Wikinger wind farm. Nine of the people on board the World Bora were employees of Siemens Gamesa, two were employees of Iberdrola and four were crew.

The cause of the incident is not yet known, and no pollution has been reported.

After the collision, the two ships were able to proceed to Rügen under their own power, and the injured were then taken to hospital. 

Lifeboat crews from the German Maritime Search and Rescue Service tended to them prior to their transport to hospital via ambulance and helicopter.

“Iberdrola wishes to thank the rescue services for their diligence and professionalism,” the company said in a statement.

In the meantime, the Hong Kong-based shipowner Valles Steamship has ordered a new 112,000 dwt crude oil tanker from South Korea’s Sumitomo Heavy Industries Marine & Engineering.

Sumitomo is to deliver the Aframax to Valles Steamship by the end of 2020, according to data provided by Asiasis.

The newbuild Aframax will join seven other Aframaxes in Valles Steamship’s fleet. Other ships operated by the company include Panamax bulkers and medium and long range product tankers.

The company’s most-recently delivered unit is the 114,426 dwt Aframax tanker Seagalaxy. The naming and delivery of the tanker took place in February 2019, at Namura Shipbuilding’s yard in Japan.

Maritime Executive with additional report from World Maritime News

…As North Korea is trying to protect nuclear, missile capabilities: UN report***

Saudi Arabia and its coalition partners have transferred America-made weapons to Al Qaeda-linked fighters, Salafi militias and other factions waging war in Yemen, in violation of their agreements with the US, according to a report by CNN.

The weapons have also made their way into the hands of Iranian-backed rebels battling the coalition for control of Yemen, exposing some of America`s sensitive military technology to Tehran and potentially endangering the lives of US troops in other conflict zones, the report based on an investigation said on Tuesday.

Saudi Arabia and the United Arab Emirates (UAE), its main partner in the war, have used the US-manufactured weapons as a form of currency to buy the loyalties of militias or tribes, bolster chosen armed actors, and influence the complex political landscape, according to local commanders on the ground and analysts. 

By handing off this military equipment to third parties, the Saudi-led coalition is breaking the terms of its arms sales with the US, according to the Department of Defence. 

In response to the report, a US defence official confirmed that there was an ongoing investigation into the issue.

Previous investigations had established that US-made weapons were used in a series of deadly Saudi coalition attacks that killed dozens of civilians, many of them children.

The Abu Abbas brigade, a militia group linked to the Al Qaeda in the Arabian Peninsula (AQAP), possesses US-made Oshkosh armoured vehicles, which they had paraded in a 2015 show of force through the city.

Abu Abbas, the founder, was declared a terrorist by the US in 2017, but the group still enjoys support from the Saudi coalition and was absorbed into the coalition-supported 35th Brigade of the Yemeni Army. 

In 2015, Riyadh launched the coalition to oust Iranian-supported Houthi rebels from Yemen`s capital city of Sanaa and reinstate the internationally recognised government of President Abdu Rabu Mansour Hadi. 

The war split the country in two, and with it came the weapons — guns, anti-tank missiles, armoured vehicles, heat-seeking lasers and artillery, report said.

Since then, some of America`s military equipment has been passed on, sold, stolen or abandoned in Yemen.

Arms markets are illegal in Yemen, but they still operate openly in the mountainous city of Hodeidah located in the country`s southwest.

To one side hang veils, abayas and colourful dresses for sale; to the other are pistols, hand grenades, and US assault rifles available on special order, according to the report.

The US is by far the biggest supplier of arms to both Saudi Arabia and the UAE, and its support is crucial to the Saudi-led coalition`s continuing war in Yemen.

US lawmakers are trying to pass a resolution ending the Trump administration`s support for the coalition. 

In the meantime,  North Korea`s nuclear and ballistic missile programs remain intact and the country is working to make sure those capabilities cannot be destroyed by any military strikes, according to a confidential report by UN sanctions monitors.

The report to a 15-member UN Security Council sanctions committee, seen by Reuters on Monday, comes ahead of a second planned summit between US President Donald Trump and North Korean leader Kim Jong Un later this month. They initially met in June 2018 and Kim pledged to work towards denuclearization. 

While Trump has hailed “tremendous progress” in his dealings with North Korea, the UN report found that Pyongyang “is using civilian facilities, including airports, for ballistic missile assembly and testing with the goal of effectively preventing `decapitation` strikes” on a smaller number of identified nuclear and missile assembly and manufacturing sites.”

The report said it “found evidence of a consistent trend on the part of the DPRK to disperse its assembly, storage and testing locations,” using the abbreviation for North Korea`s official name, the Democratic People`s Republic of Korea. 

The North Korean mission to the United Nations did not immediately respond to a request for comment on the 317-page UN report, which was submitted to Security Council members on Friday. 

The UN Security Council has unanimously boosted sanctions on North Korea since 2006 in a bid to choke funding for Pyongyang`s nuclear and ballistic missile programs, banning exports including coal, iron, lead, textiles and seafood, and capping imports of crude oil and refined petroleum products.

INEFFECTIVE SANCTIONS 

“The country continues to defy Security Council resolutions through a massive increase in illegal ship-to-ship transfers of petroleum products and coal,” the sanctions monitors found. “These violations render the latest UN sanctions ineffective.”

The monitors said they had evidence of one unprecedented prohibited petroleum product transfer of more than 57,600 barrels, worth more than $5.7 million. 

They said the case highlighted “new sanctions evasion techniques that defeated the due diligence efforts of the region`s leading commodity trader, as well as the U.S. and Singaporean banks that facilitated the fuel payments and a leading UK insurer that provided protection and indemnity cover to one of the vessels involved.”

The report accused North Korea of also violating a UN arms embargo and attempting “to sell a wide range of military equipment to armed groups and governments in the Middle East and Africa,” as well as small arms and light weapons to Libya, Sudan and the Houthi rebels in Yemen.

The UN monitors also noted “a trend in the DPRK`s evasion of financial sanctions using cyber-attacks to illegally force the transfer of funds from financial institutions and cryptocurrency exchanges.”

North Korea is subject to a ban on luxury goods and the monitors said they are investigating the public appearance of a relatively new Rolls-Royce Phantom limousine in Pyongyang on Oct. 7 last year, which usually sells for hundreds of thousands of dollars. 

Russia and China suggested the Security Council discuss easing sanctions after Trump and Kim met for the first time. But the United States and other council members have said there must be strict enforcement of sanctions until Pyongyang acts. 

Zee News