Out of the abundance of the ocean

The ocean is not a barrier to humanity’s survival; rather, it is a vast highway that holds immense potential for those who seek to tap into its abundant mineral and natural resources. Covering two-thirds of the Earth’s surface, the oceans play a crucial role in both planetary and human health, including the fight against climate change. In fact, approximately 80% of the world’s mineral and natural resources can be found within the oceans.

The ocean is the heart of the planet and it produces about 70% of the oxygen we breathe. It provides us with food, jobs, life, entertainment and sailing. Without the oceans, we can barely survive. The ocean is man’s only hope for survival and they are humanity’s best friend. We’ve got to treat the ocean well for healthier marine life, better fishing and increased carbon absorption. Humanity has a lot to benefit from the oceans of the world and that is why some countries are looking at the Blue Economy.

The ocean is man’s only hope for survival and they are humanity’s best friend.

Focusing on the concept of Blue Economy is one of the ways that the Federal Government (FG) wants to diversify the economy of Nigeria. Even some coastal states in the country are looking at ways of using the same Concept to boost their economy. That is good but it’s not straightforward. Apart from private investors, a lot needs to be done by those with constitutional authority before the country can reap the benefits of the Concept.

The focus of governments at sub-national and national levels is to shift from a crude oil-dependent economy to a blue economy. There are a number of ideas in the public domain on how to run a Blue Economy. These ideas are to be married together and converted to achievable actions. Time is of the essence. We must start mapping out our strategies as to how we want to use the resources at sea to benefit our economy, to improve the lives of the people and to ensure that pollution is reduced to the lowest possible level.

“The blue economy concept always emphasises “sustainability” of the oceans, even as we exploit it for economic benefits. The economic activities in the traditional sector include fisheries, coastal leisure and tourism, ship and boat building, seawater desalination, offshore oil and gas, and shipping (marine transportation).”

“However, more recently, emerging sectors include blue carbon sequestration, aquaculture, seabed extractive activities, offshore renewable energy, deep sea mining, and biotechnology with opportunities for training and employment.”

On a global scale the Blue Economy, according to StatiSense, is estimated to be worth US$ 1.5 trillion per annum, providing 30 million jobs and supplying vital sources of protein to over 3 billion people worldwide. The African Union(AU), according to reports, estimates that the blue economy can generate about $300 billion for the Continent, creating 49 million jobs in the process. Nigeria, South Africa, Madagascar, Kenya, and Somalia are the five African countries with blue economic potential. Other countries that are carrying out economic reforms along the lines of the Blue Economy include India, Indonesia, China and others.

In a nutshell, the Blue Economy is about improving the quality of life of the people using the resources available at sea without destroying the maritime ecosystem. The maritime industry is a capital-intensive sector with a high entry barrier. So, firms operating and aspiring to operate in the maritime industry must have sufficient capital.

Despite all efforts at government and firm levels in the maritime industry last year 2023, The Leadership Newspaper had the caption: “MARITIME SECTOR CONTRIBUTION OF 1 % TO GDP”

Our lawmakers in the National Assembly (NASS) expressed discontent about the poor performance of the nation’s maritime industry. The lawmakers lamented that: “The Maritime sector is expected to deliver 20 percent of our GDP but presently, it is doing one per cent or less.”

In order to create conditions required to significantly raise the contributions of the Marine and Blue Economy sector to the nation’s GDP, the following needs consideration:

Legal and regulatory:

Nigeria has recently received approval from the United Nations to extend its Exclusive Economic Zone (EEZ) by 20 nautical miles (nm), bringing the total to 220 nm. This expansion grants Nigeria the right to exploit minerals and natural resources within this area. However, it is important to note that there are legal and regulatory implications associated with this development. Specifically, maritime boundary delineations between Nigeria and neighbouring countries must be clearly defined by all parties involved. Additionally, coastal states within Nigeria must address political and legal issues pertaining to inland waterways. It is crucial for all legal and regulatory frameworks to be resolved before the Federal Government and governments of coastal states can fully benefit from the Blue Economy. Furthermore, it is necessary to remove the waiver clause of the Cabotage Law.

Ports:

It is crucial to prioritise seaport reforms to ensure competitiveness, especially within the West African sub-region. Our goal should be to complete these reforms as quickly as possible and eliminate congestion in our seaports. It is essential to acknowledge that if our seaports do not operate effectively, it will significantly hinder the development of a thriving Blue Economy. To enable the Blue Economy to flourish, we must ensure that call-up systems, road networks, and rail networks to seaports are functioning optimally. Additionally, dredging the channels leading to our seaports is necessary for smooth operations.

It is unfortunate that Nigerian ports have been labelled as the least efficient in West Africa, according to public intellectuals. However, for the Blue Economy to thrive, this narrative needs to change. The emergence of a few deep seaports, such as the Lekki Deep Seaport, has the potential to be a game changer. However, for this to happen, port workers need to have a positive attitude towards work, and the necessary infrastructure must be provided to support port activities.

The Nigerian Ports Authority (NPA) has consistently expressed its dedication to eradicating systemic corruption and other criminal practices at the country’s seaports. This is the necessary path forward. Many Nigerians believe that those in positions of authority should follow through on their promises by eliminating systemic corruption and other criminal activities in our seaports.

Maritime Security:

Maritime security is essential to safeguard our oil and gas infrastructure. It is crucial to ensure that private security firms operating in our waters do not conflict with the security agencies established by acts of parliament and whose roles are clearly defined in the 1999 Constitution (As amended). Transparency, accountability, and the elimination of duplication of functions and rivalries between agencies and departments are necessary.

It is crucial to curb poaching, smuggling, sea robbery, and piracy in our waters to create a safe environment for Nigerians to contribute to the development of the maritime industry.

Shipbuilding and Ship Repair:

Shipbuilding and ship repair activities need to be elevated to the highest standards within the country. It is essential for local shipbuilding to be competitive with foreign counterparts. However, if the majority of ships operating in our coastal waters are manned by foreigners and require repairs outside of our shores, the realisation of a thriving Blue Economy will remain a distant dream.

Data:

To ensure the success of the Blue Economy, it is crucial to have access to oceanographic data. Fortunately, we have government institutions that are capable of providing the necessary oceanographic and hydrographic data.

Pollution:

In order to prevent the spread of diseases and other harmful environmental hazards, it is imperative to significantly reduce pollution in our oceans. It is high time we take decisive and effective actions against these pollutants.

Final Remarks:

We should not fail in dealing with criminal activities and corruption in the maritime industry. If we do, the nation will forever suffer from its weight. As long as our seaports remain inefficient and the maritime business environment is unfriendly for whatever reasons, there is a cost implication to the inefficiency – depriving the maritime industry of necessary contributions to the nation’s GDP.

Thank you.

MA Johnson, Rear Admiral (Rtd)