The House of Representatives has granted its support to the Nigerian Maritime Administration and Safety Agency (NIMASA) for the disbursement of the Cabotage Vessel Finance Fund (CVFF) amounting to $360 million to eligible Nigerian shipowners.
Following an investigation led by Hon. (Barr.) Legor Idagbo, the committee of the House has approved the disbursement of the fund. In its report, the committee outlined its findings, which included a request for detailed information from NIMASA and the Ministry of Transportation regarding the total accumulated amount in the Fund and the disbursements made since its establishment.
The Committee in its report said it made the following findings: “The Committee requested the Nigerian Maritime Administration and Safety Agency and the Ministry of Transportation to provide detailed information on the total amount accrued to the Fund and disbursements since inception.
“The Committee met with the Minister of Transportation and the Director-General of the Nigerian Maritime Administration and Safety Agency (NIMASA) on Thursday, 11 May 2023 to find out about the details concerning the matter.
“After a thorough analysis of the various submissions, coupled with the explanations given by the Ministry and NIMASA, the Committee discovered that due process was followed in the planned disbursement of the Cabotage Vessel Finance Fund.
The Committee lauded the Nigerian National Petroleum Corporation Limited (NNPCL) for its dedication to granting shipping contracts to domestic companies that have developed the necessary capabilities to successfully fulfill these contracts.
In response, Director General of NIMASA, Bashir Jamoh, expressed gratitude to the lawmakers for their interest in verifying the Agency’s adherence to proper procedures.
Jamoh conveyed his optimism that the NNPCL’s commitment to awarding maritime contracts to indigenous companies would reinforce the Cabotage regime advocated by the Agency while reiterating NIMASA’s unwavering commitment to transparency in all aspects of its operations.
The Director General further appealed for increased support from stakeholders, emphasizing that the CVFF (Cabotage Vessel Financing Fund) would generate greater benefits for more Nigerians and contribute to the growth of per capita income and the Gross Domestic Product (GDP) of Nigeria through the maritime industry.