For first time in 32 years NPA gets approval for tariff increase

The Nigerian Ports Authority (NPA) has secured approvals to increase its tariffs by 15 percent, marking the first adjustment since 1993.

The decision, backed by necessary approvals, aims to address aging infrastructure, obsolete equipment, and slow port expansion, which have weakened Nigeria’s port competitiveness.

Abubakar Dantsoho, the managing director of the NPA, said the tariff review will fund port reconstruction, modernisation, and the deployment of an Information and Communications Technology (ICT) backbone crucial for the Port Community System (PCS) and National Single Window (NSW).

Increased revenue is also expected to support maintenance works, including the reconstruction of the Escravos Breakwaters and upgrades at Rivers, Onne, and Calabar Ports.

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Stakeholders acknowledged the need for the increase, citing inflation, which is currently at about 34.8 percent, and rising operational costs.

Joshua Asanga, a former NPA general manager affirmed the necessity of improved port infrastructure, tugboats, and ICT systems, while another stakeholder urged investments in jetties like the Kirikiri Lighter Terminal.

Globally, port authorities rely on operational revenue to sustain infrastructure, dredging, navigation aids, marine craft procurement, automation, and security.

Industry experts argue that despite widespread belief, NPA tariffs remain among the lowest in the region, with inefficiencies such as bureaucratic bottlenecks and the absence of a PCS inflating overall port costs.