DG NIMASA, Dr Dayo Mobereola (second left) flanked by the Executive Directors of the Agency during the interactive session with the Media in Lagos, Monday.

The Nigerian Maritime Administration and Safety Agency NIMASA, the country’s Designated Authority DA is currently rallying the support of multi-lateral agencies including the United Nations and indeed the global shipping stakeholders towards ending the War Risk Insurance Premium imposed on vessels coming to the country’s seaports.

Meanwhile, the Agency has foreclosed the establishment of a government-owned shipping line with a national carrier status to replace the defunct Nigerian National Shipping Line NNSL, saying that the best it could do is to create the enabling environment for the private sector to establish such a shipping line that would have absolute control of the country’s cargo.

Recall that following the increase in piracy attacks in the Gulf of Guinea region some years ago, the western-based shipping lines and insurers, imposed the war risk premium, which is a type of insurance that covers damage due to acts of war, including invasion, insurrection, rebellion and hijacking on all Nigeria-bound vessels and crew.

Nigerian shipping experts and operators have however argued that there was no need for the continued retention of the controversial premium, which has led to an astronomic rise in the cost of shipping in the country, especially given that the introduction of Integrated National Security and Waterways Protection Infrastructure, also called the Deep Blue Project by the Nigerian government, has reduced piracy by over 95per cent across the Gulf of Guinea region.

Speaking with newsmen during an interactive session in Lagos, Monday, the newly appointed Director General of NIMASA, Dr. Dayo Mobereola, disclosed that the Agency has commenced wide range of consultations with strategic global shipping stakeholders including the UN with a view to ending the controversial insurance premium on the country’s shipments.

The DG disclosed that the primary objective of his recent visit to the Chatham House was to enlist the support of the United Kingdom government so that the issue of the retention of the outrageous insurance premium would be brought up before the UN Security Council.

He insisted that the cartel behind the premium might not easily give in unless very serious pressure is mounted on it, which is why the agency is currently rallying global support.

“There is a very strong cartel behind the premium and they make so much money from it and would not likely give in easily. Even if we have zero piracy attack for the next 10 years, we cannot win the fight alone. This is why we have decided to work with international partners, so we had to take the fight to the UN. One of the issues I raised during my visit to the Chatham House was how the War Risk Insurance placed on Nigerian-bound cargo can be removed”, he said.

The NIMASA-boss, who fielded questions from newsmen during the session, disclosed that the Agency has no plan to set up a National Carrier shipping line owned by the government, rather it will encourage Nigerian ship owners to acquire vessels that would be designated as National Carrier.

He also noted that the Agency under his watch is working towards boosting the country’s indigenous fleet while also encouraging other foreign ship owners to fly the country’s flag, adding that everything would be done to automate the country’s ship registry to make it attractive to foreign liners.