The Board of Directors of the Nigerian Ports Authority (NPA) has approved the concession of Terminal B, Warri Old Port, to Ocean and Cargo Services Limited.
The announcement was made at a meeting chaired by Emmanuel Adesoye, chairman of the Board in Lagos on Wednesday.
According to a statement issued by the NPA, the approval is part of the port reform process initiated by the federal government in 2006, through the Bureau of Public Enterprises (BPE).
In April, Ocean and Cargo Services Limited emerged from seven pre-qualified bidders who responded to a request for proposals (RfPs) issued by the Bureau of Public Enterprises (BPE) on September 27, 2017.
The concessionaire, according to the statement, will “operate the terminal which has been abandoned for the past ten years in a concession agreement for a 25-year term”.
“Within this period, the concessionaire would rehabilitate infrastructure at the terminal and deploy modern technological infrastructure with the aim of making the facility competitive,” the statement read.
The concession idea which was initiated in 2003 by the federal government was an attempt to improve efficiency at the port through the landlord port model. By this model, certain aspects of ports operations were concessioned to private operators, which saw a total of 26 terminals concessioned to 20 terminal operators.