Lawyer blames INTELS for creating cargo monopoly at port

Femi Atoyebi, counsel to the Seaport Terminal Operators Association of Nigeria (STOAN), has accused operator of the Onne oil and gas terminal, Intels Nigeria Limited, of trying to undermine the effort of the Federal Government to create a level playing field for all terminal operators.

“The attention of STOAN made up of 26 concessionaires has been drawn to an article published in a national daily, which debunked the allegation that INTELS is creating monopolistic environment in cargo handling,” Atoyebi said in a position paper made available to newsmen at the weekend.

According to the paper, INTELS coined the nomenclature “oil and gas cargo” and has insisted that such cargo must be handled at its terminals in Onne, Calabar and Warri.

“The cargoes include pipes, dismantled rigs, which fall under the category of general cargoes. Vessels carrying pipes and related cargoes that are supposed to call at another terminal have been diverted to INTELS’ terminals,” the paper said.

“The definition of general cargoes in the Concession Agreement between the government and all other parties, which binds all concerned, does not admit of the definition INTELS is trying to smuggle into it. It is apposite to state that the operations of free zones relate to the manufacture, re-configurations and provisions of services for export and it has nothing to do with ports and their functions,” it further said.

Atoyebi insisted that there must be a level-playing field for all investors and terminal operators at all the seaports across the country.

“Every port terminal operator has made and continues to make huge investments in their respective terminals. Expertise must thereafter be left to be determined by the shipper who has an inalienable right and freedom to choose his port of discharge. This is not a subject of negotiation as it is exclusively a business decision for commercial expediency and convenience,” he said in the paper.

He further advised INTELS to stop the campaign of monopoly and allow peace to reign in the port industry, adding, “One of the objectives of the ports reforms is to increase efficiency of our port operations through competition. Our clients consider that INTELS is only afraid of competition.”

It would be recalled that the Nigerian Ports Authority (NPA) whose responsibility it is to delineate terminals in 2004 to be known container, bulk multipurpose or general cargo terminals. This was handed over to the terminals in 2006 to further execute the Concession Agreements, which are still extant.