Roles of Government Agencies (Feb, 13 2014)

Roles of Government Agencies

Role of the Federal Ministry of Transport

The Federal Ministry of Transport is a department of the Federal Government responsible for the formulation and implementation of polices regarding ports, shipping, waterways and rail systems.
It consists of the following parastatals:

  • Nigerian Port Authority (NPA)
  • Nigerian Maritime Administration & Safety Agency (NIMASA)
  • Nigerian Railway Corporation (NRC)
  • Nigerian Shippers Authority (NSC)
  • Inland Waterways Authority (NIWA)
  • Maritime Academy of Nigeria (MAN) Oron

The Federal Ministry of Transport through the activities of the Nigerian Ports Authority represents the second largest source of Federal Government revenue.

The Ministry recently was charged with the responsibility of implementing the Cabotage Act and the International Standard Port Security Code (ISPS Code).
The Ministry of Transport considering Federal Government and the Ministry of Trade and Investment, has approved further expansion projects in the Port of Onne and Eko Support Services Limited in the Port of Apapa, Lagos.
Onne Port Federal Ocean Terminal (FOT) Phase 4 – USD 430,000,000
Eko support Services (Port of Apapa) – USD 124,400,000
Furthermore the Hon. Min. is in process to approve a further development in Onne, FOT Phase 4B (a development of 5 – 6Msqm with 2km of new quay).

Role of the Nigerian Ports Authority (NPA)

The new executive management team has just been appointed. Its members are:

  1. Habibu Abdulahi: MD
  2. David Omonibeke: ED(M/O)
  3. Mohammed Sani Saleh: ED(E&TS)
  4. Olumide Oduntan: ED(F/A)

The NPA is managing and monitoring the following tariffs:

  • Port stevedoring fees through concessionary agreements and waterways pilotages fees through appointed agents;
  • Offshore stevedoring fees services through appointed agents.

The activities of Nigerian Ports Authority (NPA) are subject to the supervision of the Federal Ministry of Transport and comprise providing specific ports and harbor services for Nigeria’s maritime industry.

Functions of NPA include:

  • Providing and operating cargo handling and quay facilities;
  • Pilotage and towage services;
  • Supply of water and fuel to vessel at anchorage or mooring buoys;
  • Repair and maintenance of vessels;
  • Dredging and waterway dredging contracts;
  • Navigation lighting of the ports and waterways;
  • Industrial areas /warehousing /offices;
  • Special projects;
  • Investment in port and infrastructure;
  • Development of ports.

Role of the Nigerian Maritime Administration and Safety Agency (NIMASA) – Coastal Guard

NIMASA is a parastatal of the Ministry of Transport, responsible for implementation of maritime policies in the sub-sector of the economy. It generates revenue for Government by collection of a special levy imposed on all ocean going vessels that enter the country.Recently, it has been charged with the responsibility of implementing the Cabotage Act and the International Standard Port System Code (ISPS Code)
It has got capacity to add value to Government’s reforms agenda for the maritime sector.

Role of the Federal Ministry of Trade & Investment

The Federal Ministry of Trade & Investment (FMTI) is a department of the Federal Government of Nigeria. Business standards and practices, consumer protection, bilateral and multilateral trade relations and exports fall under its jurisdiction. The FMTI sees trade as the driving force behind the economy. It has a National Trade Policy with the aim of keeping up with global trends in international commerce while providing, in conjunction with the Ministry of Finance, detailed guidelines for importers and exporters.
It has the responsibility of providing the enabling environment and right incentives for investors.

The Ministry in Collaboration with Orlean Invest W.A Limited organized an Oil and Gas Trade and Investment Forum in Onne, Rivers State from 20th-21st September 2012. The 2 days event was aimed at showcasing the success storey of Onne Oil and Gas Free Trade Zone, and also to attract more domestic and Foreign Direct Investment in to the country. It was also aimed at promoting Public Private Partnership initiative and formation of Strategic alliances in driving the Economy in order to achieve the transformation agenda of Mr. President.
In consideration of the strategic importance and contribution of oil and gas to the Nigerian economy, Mr. President was invited as Special Guest of Honour and requested to graciously declare open the Business Forum.

Role of the Oil & Gas Free Zone Authority

Oil and Gas Free Zone Authority (OGFZA) was empowered by the Act No. 8 of March 29, 1996 and became operative in 2000.
Government has just effected a change in the leadership of the Oil & Gas Free Zone with the appointment of Mr. Victor Alabo as the new Managing Director.
Functions of OGFZA’s are:

  • Registration/Licensing
  • Establishment of bye-laws
  • Fixing tariffs
  • Tax-free benefits
  • Incentive packages
  • Free Zone administration
  • Free Zone development
  • Free Zone promotion
  • Liaising with other Government Agencies & parastatals on behalf of Free Zone Clients (one –stop-shop concept).
  • Resolution of any disputes between employees and employers in consultation with the Federal Ministry of Labor and Productivity
  • Ensuring that maximum Free Zone incentives and benefits are passed to the Free Zone registered companies

New Oil & Gas Free Zones

The Ministry of Commerce, following the success stories of the Oil & Gas Free Zone, Onne and the Calabar Free Zone, has obtained Presidential approval to create two new oil & gas free zones in the Port of Warri and in Eko Support Services Limited in the Port of Apapa, Lagos.

Role of the Ministry of Petroleum

The Federal Ministry of Petroleum is charged with the responsibility of formulating appropriate policies to regulate and efficiently supervise the Nigerian petroleum industry.

New Petroleum Industry Bill (PIB)

The Federal Ministry of Petroleum is charged with the responsibility of formulating appropriate policies to regulate and efficiently supervise and monitor the Nigerian petroleum industry.

Following the new PIB It supervises and co-ordinates the various parastatals in the oil & Gas sector for efficiency & smooth implementation of Government policies.

The Nigerian Senate is in the process of approving a new Petroleum Industry Bill. Such initiative will lead to a complete reorganization of the Nigerian Oil Sector, aiming at improving its activities and creating new opportunities.

The 2 chambers of the National Assembly are expected to pass the bill by the end of this year.

Role of the Ministry of Niger Delta

The Presidency has created a new Ministerial Role: the Ministry of Niger Delta. It must be emphasized that the establishment of the Ministry of Niger Delta Affairs is a bold attempt by the President to address the developmental problems of the Niger Delta. It is also to be noted that the President, being a listening leader, created the Ministry in response to the demands of well meaning Niger Delta leaders, that a separate Ministry be established to take care of the socio- economic needs of the people.

Manned by a Minister and a Minister of State both from the Niger Delta, the Ministry since its inception has met with relevant institutions and individuals to chart the way forward for the Niger Delta region and its people. With all the ten directorates already set up and functioning, the Ministry has been able to select consultants and has gone ahead to prepare the stage for more projects in the future.
It is expected that the country will create further opportunities and investments, also in conjunction with the Nigerian Content Development and Monitoring Board (NCDMB).

Role of the Ministry of Finance

The Federal Ministry of Finance is responsible for the formulation of fiscal polices in Nigeria. Although the OGFZ is exempt from legislative provisions pertaining to taxes, levies, duties and foreign exchange regulation rules, these may become applicable when goods transit from the Free Zone into the Nigerian market.

The Nigerian Customs Services (NCS)

The Nigeria Customs Service (NCS) is the parastatal of the Federal Ministry of Finance charged with the responsibility of duty collection and other charges applicable to goods passing into the Nigerian territory. The NCS is therefore strategically located at the border of Oil and Gas Free Zones to regulate the collection of duties of Nigeria-bound goods.
Other duties of the NCS in the Oil and Gas Free Zone include:

  • Granting of customs incentives to Oil and Gas Free Zone licensed companies;
  • Interpreting guidelines and H.S code for goods destined to the Nigeria customs territory;
  • Facilitating the internal transfers of Free Zone goods between the quayside/ international airports and Free Zone company facilities;
  • Checking any smuggling activities into the customs territory.

Role of the Ministry of Internal Affairs

The Ministry’s mandate is fostering and ensuring the maintenance of internal security and citizenship integrity for the promotion of good governance of the nation.

Nigeria Immigration Service (NIS)

The Nigeria Immigration Service (NIS) is a Federal Government paramilitary service subject to the Federal Ministry of Internal Affairs. Free Zones usually have their customized services for Free Zone visas and residence permits without any expatriate quota.
The NIS’s major functions include:

  • Facilitating the issuance of Free Zone CERPAC (Combined Expatriate Residence Permit and Alien Card);
  • Controlling the movements of expatriates in and out of the Free Zone;
  • Checking the influx of unregistered aliens into the country;
  • Tackling human trafficking, smuggling, piracy, etc.

Role of the National Assembly

The Nigerian parliament, called the National Assembly, is an American- type bicameral legislature. It is one of the 3 arms of government; the other 2 being the Executive and the Judiciary. It is made up of a 109-member Senate and a 360-member House of Representatives both of which must concur before a bill is passed in to law.
The National Assembly primarily makes and/ or amends laws, vets and approves budget as well as oversights the activities of government agencies and departments.
It generally enacts the legal frameworks for the running of all sectors of the national economy including the oil & gas industry, It is in exercise of its functions that it will consider and pass the all important Petroluem Industry Bill in order to introduce the much-needed reforms in the industry.

The Senate of Federal Republic of Nigeria

The Senate is the upper house of the National Assembly of Nigeria. It consists of 109 senators: the 36 states are divided into three senatorial districts, each electing one senator; the Federal Capital Territory elects only one senator. The President of the Senate is the presiding officer of the Senate, whose function is to guide and regulate the proceedings in the Senate. The current Senate President is Senator David Mark of the ruling People’s Democratic Party (PDP).

The House of Representatives of Nigeria

The House of Representatives is the lower house of the country’s bicameral National Assembly. The current House of Representatives, which was formed following the elections held in April 2011, has a total of 360 members who were elected in single majority (or first-past-the-post) system. Members serve four-year terms. The Speaker of the Nigerian House of Representatives is the presiding officer of the house. The current Speaker, elected on 06 June 2011 is Aminu Waziri Tambuwal. He is also of the ruling People’s Democratic Party (PDP).