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Why Ships Owners Won’t Fight Amaechi – SOAN Boss

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The Arrowhead of the Ship Owners Association of Nigeria (SOAN), Engr. Greg Ogbeifun needs no introduction; CEO of the STARZS Group at home and an appointee of the Commonwealth abroad, the GC took 100 minutes, off his busy schedule, fielding questions; talking on NIMASA, ship building growing the economy, to not only why the newly created Shipping Forum has technically excluded none-ship owners, but also to why the Forum may not fight the Government! 

Excerpt please :-

 

 

Why did ship owners agree to come under one roof; is it because you were afraid of the Minister of Transportation, Rotimi Amaechi or the Government he represents? 

 

 

 

May be I should start by asking you: do you think it is a good idea for the fragments of ship owners to come together? The new body is not an association. It is a forum.

 

 

After the formation of the ship-owners forum, the qualification only says: Shipowners or ship owning members of the Nigerian Ship-owners Association (NISA) and Ship Owners Association of Nigeria (SOAN) , and then also, any ship owners who may not belong to any of those associations; but is properly registered with NIMASA.

 

 

I think that says if all. It’s not about NISA or about SOAN. It is all about ship owners. And that is just as simple as it is. Anybody who however decides to begin to make issues out of it is simply being mischievous.

 

 

The forum is not like “if you don’t belong to NISA or you don’t belong to SOAN, then you cannot be part of it. No.

 

 

It is about ship owners, and there are many ship owners in this country, who currently don’t belong to SOAN, nor do they belong to NISA; but who, are still operating their fleet, properly, efficiently; and making the industry proud in their own little endeavour.

 

 

You cannot disenfranchise them.

 

 

Greg Ogbeifun

Greg Ogbeifun

Now, to come to your question, the Hon. Minister in his own characteristic way, and in a desire to solve several problems in very short time, advised in this direction.

 

 

But why must the instruction come from the Minister? 

 

 

We, the ship owners are our own problem.

 

 

You must understand that some people had gone to the Ministry, to tell him that there is a problem amongst ship owners. And some of them are associated with the ship owning association. So, having duly poisoned the mind of the minister, through the Permanent Secretary, that there is serious division, it was subsequently, the wise thing for him to do, to say ‘Look, you people should get together, and speak with one voice’.

 

 

I think it is a very wise suggestion; otherwise, he would have a meeting with SOAN, and hear one thing; have another meeting with NISA, hear another different thing, have a meeting with another group, and hear totally another thing!

 

 

Under such regime, what counsel do you think he would take? So, from my own perspective, I think it was the best counsel; coming from the minister.

 

 

In any case, he was not the first person to suggest this. Do you know the elderly Capt. Adewale?

 

 

He called me once; and he said “Greg, all these happening is not in the industry’s overall best interest. Why don’t you people come together and speak with one voice?”

It is a very good counsel.

 

 

So, it was at the instance of the Minister’s counsel; Aminu Umar, the NISA Acting President was there; I was also there; Temisan Omatseye was there and Mrs. Orakwusi was there; Chief Jolapamo was there. Several of us were there.  And Jolapamo agreed that ship owners should come together.

 

 

It was there and then, that Aminu, myself and Temisan Omatseye told the Hon. Minister,  “there is no problem in the house”. It is merely a question of understanding. I wish my friend and brother, Capt. Labinjo was there too. We could have held hands in one accord to convince him there was really no problem.

 

 

But at that point, somebody stood up and told the Hon. Minister, “No, there is problem.” It was in bad blood. The remark took us to square one; and so, we agreed that those of us who were there should come together, and to convince the minister that all was well, we booked a hall, met and flagged off the current progress. The only condition however was that; if you are talking of ship owners, then, they have to be ship owners.

 

 

I have explained this before. The fundamental issue here or difference between SOAN, and NISA is that SOAN is exclusively, a ship ownership association.

 

 

If you don’t own ships, or have a trade record of owning or managing ships, or enjoy the good recognition of your clients, with evidence; then you just cannot come there.

 

 

It is not enough to merely buy a ship.

 

 

Conversely however, the NISA is an association of ship owners and none-ship owners!

 

 

The statutes forming NISA allows for that. But the statute forming SOAN does not allow for none ship owners to be members!

 

 

Now, there is no conflict between the two bodies. So, when subsequently that meeting was held; and the ship-owning members of NISA and SOAN members agreed ‘let’s come under one umbrella’. In the name of ship owners’ forum, it was collectively agreed. And it was also agreed that, the decision was without prejudice. So, that each association continues to exist, and operate according to the statutes that established them.

 

 

So, no one loses its rights of existence or identity, by belonging to forum. So, what it means is that if we are going to meet Government together, we can meet the Government- so that we can talk, without discordant tunes.

 

 

It would however be a matter for regret if any persons under the present, absolutely open situation, begin to read wrong meanings into it.

 

 

While the industry watchers may not be seeing any problems within the Ship owners Forum, the same cannot be said of NISA. So, how can you speak with one single, strong voice,  which was your original mission? 

 

 

 

Some of us have given counsel, to those of us we can talk with, including my friend, Labinjo. He is an elderly person. If an issue comes up, fortunately I do not know the details; what they should do, was lock themselves up in a room; talk about it, and solve it.

 

 

Honestly, this idea of coming out to wash the dirty linens outside before the public, doesn’t help the cause of the shipping industry or anybody. It doesn’t.

 

 

I know it doesn’t affect us directly; but we must recognize we are all friends and brothers!

 

 

So, if you perceived any dichotomy, it may be between a faction of NISA; and another faction of NISA. But then I may agree with you, that in view of our original mission, it is not good.

 

 

You are all professionals. Why should such a problem exist, especially in a sector so critical to the nation’s economy?

 

It is bound to exist. You cannot have a Nigeria Bar Association [NBA] which should be an association of lawyers, whose executives constitutes lawyers and none-lawyers! You can’t see it, anywhere in the world. And that is the problem with NISA.

 

In NISA, ship owners and none ship owners would sit together; and none Shipowners would be dictating and quoting statutes of what should happen in a ship owners’ association.

 

There is bound to be problem under such arrangements. it is a fundamental problems. And how it may be solved, I don’t know.

 

So, with that in mind, you can now have a better understand the genesis of the Ship owner’s Forum! And it is a good initiative for the purpose of ship-owners fruitfully engaging government in productive talks.

 

 Now, if the Minister of Transportation says  he wants everybody in one boat; and somebody outside the boat is attempting to pull out, another already sitting comfortably, what would the Forum do?  Would it simply pretend to be blind, deaf and dumb or protect the boat from going under?

 

If there is a wrong person in the boat, he should simply get out. But, if there is the right person in the boat, then there is no problem.

 

But then, why should anybody want to pull out? If you are not a ship owner, then you are not a ship owner!

 

Who is a ship owner? Or better put, how do I know a ship owner in Nigeria? 

 

You are a journalist. It is easy to check; go to NIMASA and ask for their records.

 

I am a ship owner and I’m a ship repairer. If you visit our platform, I can freely show you our structures and ships.

 

In fact, I will let you see what we are doing, including how much tax we pay over time. Our compilation shows that in the last five years, we have paid over N753million as tax alone, by our company, alone.

 

We have contributed almost $1m into the CVFF alone; we have a very robust cadetship training program; but then, that is the least we are supposed to do!

 

You cannot just be a ship owner on mouth. You must be employing people; you must be training; you must be contributing to industry progress!

 

That is why everyone agrees that the maritime and shipping industry add a huge economic advantage to every nation.

 

Britain said last year, that it’s maritime sector contributed £11bn to the British economy. How? It’s via your tax; and several other things like that.

 

So the only way we can be making our mouth that the shipping sector can do this, is if we individually come together as ship owners, collate what each shipping company have paid as tax over a period of time, say five years; identify the amount and confront the government with such realistic and verifiable figures to convince the government of our sector’s importance, through our financial contributions towards the economy!

 

I often laugh today when I read the papers and see the people shouting about the CVFF. They are often people who have not contributed one dime, into the CVFF Coffer!

 

So what we have done in SOAN, is to ask every member in SOAN to come up with statistics of our CVFF contributions, since that act was established, the amount of tax your company has paid in the past five years, the numbers of people you are employing; because as ship owners, you should be able to tell Government; look we ship owners are employing a hundred people; and thus, helping to reduce the unemployment situation in this country.

 

We should also be able to say; of the CVFF, this is what we have contributed. And of training; this is what we have contributed, look at the number of cadets we have trained; we should speak with statistics backedby verifiable data.

 

That is what in my opinion, we should be doing, so that the Government can take the body seriously.

 

I will advise the NISA group to do the same thing. Facts are sacred. We need to confront the government with such facts. And that may become our true strength! President Buhari will take us more seriously, if we are able to give a good figure, in terms of our paid tax, than mere talks! Right now, Government sees us as a people frequently blowing hot air!

 

—CONTINUES TOMORROW… Please

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WAIVER CESSATION: Igbokwe urges NIMASA to evolve stronger collaboration with Ships owners

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…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.

Mike Igbokwe (SAN)

“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. 

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Breaking News: The Funeral Rites of Matriarch C. Ogbeifun is Live

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The Burial Ceremony of Engr. Greg Ogbeifun’s mother is live. Watch on the website: www.maritimefirstnewspaper.com and on Youtube: Maritimefirst Newspaper.

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Wind Farm Vessel Collision Leaves 15 Injured

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…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

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