Anxiety As NPA Shops For Atiku’s Intels Replacement

There are indications that Nigerian Ports Authority (NPA) may be set to source for another concessionaire to replace services rendered by oil and gas logistics giant, Intels Nigeria Limited at the Onne Port in Rivers State.

 

The company, co-owned by former Vice President Atiku Abubakar, provides comprehensive integrated logistics services for the Nigerian oil and gas industry and has 30 years of experience in port management and support services in shore bases across Nigeria.

 

The NPA has engaged the terminal operator in a running battle for close to two years over cash remittance to the federal government coffers.

 

According to an interview with “The Nation Newspaper “, Managing Director of the NPA, Hajia Hadiza Bala Usman, said the authority would advertise for a replacement company that would offer such services at a cheaper cost because Intels is charging the Nigerian government 28 percent for revenue collection instead of 10% to 15%.

 

She explained that the decision to terminate the services of Intels was informed by the latter’s inability to remit over $140 million to the federal government’s coffers, being the accumulated revenue it generated for a period of time.

 

She said: “Following the agreement, Intels has been very difficult in making payments to us. They owe us over $140million that they have not remitted. So, we felt such non-compliance and such level of impunity should not be accepted, hence we issued a notice of termination to them.

 

The MD was quoted that : “We are going to advertise for a replacement company that would offer such services at a cheaper cost because Intels is charging the Nigerian government 28 percent for revenue collection and typically such commissions are limited to 10-15 percent”,

 

While explaining why it would terminate the services of Intels Nigeria Limited from the eastern ports of Calabar, Delta and Port Harcourt, the NPA M.D stressed that : “Intels was providing a service of collecting revenue for port operations and they were not remitting as and when due,” she alleged.

 

She recalled that after she came on board as NPA MD, she signed “a supplementary agreement which required all revenues generated to be paid into the single treasury account (TSA).”

 

Usman said Intels, however, reneged on the agreement it had with the NPA and the corporation was left with no option than to cancel the contract outright.

 

“You hardly see where an agency is charging 28 percent. So, we have issued a notice of termination and we are also going to court to ensure that those monies not credited by Intels are paid back”.

 

Recall that Management of Nigeria’s oil and gas logistics giant, Intels Nigeria Limited said it is not indebted to the NPA, but rather NPA owes it more than US$750 million.

 

The company, in May issued a statement in response to the termination of its boats pilotage monitoring and supervision agreement by NPA, said while it is open to an amicable resolution of the contract dispute with NPA, it is willing to proceed in all appropriate directions to protect its interests and its 5,000 employees.