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EU seeks NSC’s feasibility, partnership in €150b Africa transport infrastructure project

* To boost LASWA’s OmiEko with €411m investment

Metro File by Metro File
June 25, 2024
in Business
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EU seeks NSC’s feasibility, partnership in €150b Africa transport infrastructure project
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  • Executive Director, Human Resources, Nigerian Shippers’ Council (NSC), Ms. Ada Okam (right), presenting a plaque to the Team Lead, Regional Cooperation, EU Delegation, Abuja, Celine Lhoste, during the EU Commission’s visit to the agency in Lagos…Monday

By Anthony Nwachukwu

The European Union (EU) Commission has requested from the Nigerian Shippers’ Council (NSC) an appraisal and possible priority areas in its planned €150 billion investment in African trade and transport infrastructure development on the Lagos-Abidjan corridor. 

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It is also partnering the Lagos State Waterways Authority’s (LASWA) ‘Omi Eko’ in an estimated €411 million project aimed at reducing congestion on the Lagos roads, cost and delays for residents.  

Speaking during their visit to the NSC in Lagos Monday, the Team Lead, Regional Cooperation, EU Delegation, Abuja, Celine Lhoste, said the project is part of the EU’s Global Gateway Initiative to mobilise €150 billion for investments across Africa. 

She disclosed that the EU was “looking at possible investments to facilitate trade and transport along the corridor and in Lagos. The investment package under the Global Gateway Initiative seeks to use various funding sources, including private sector contributions and grants, to lower the cost of investments.” 

According to Lhoste, the Commission prioritises supporting trade and efforts at decongesting the ports by developing the Abidjan-Lagos transport infrastructure, including facilitating coastal shipping between Cotonou and Lagos ports to improve trade between Nigeria and Benin.” 

The EU, she further stated, was also discussing with the Port of Antwerp to explore the use of barges to ease congestion and improve connections between seaports and hinterlands in Nigeria. 

About the EU’s readiness to partner the NSC in improving regional trade and investments in the transport sector, Lhoste said the body also wants to meet the NSC and the various agencies and partners “to know the strategic planning for shipping and improvement of transportation within the Lagos area, across the nation and for the region.” 

Stating that the EU prioritises support for transportation and trade through the Lagos-Abidjan corridor, Lhoste said “we are supporting Lagos, but we aren’t just looking at an improvement in transportation of people and goods within Nigeria but also across the neighbouring countries.” 

On OmiEko, she explained that the intervention, to be supported by the European Union, together with the Agence Française de Dévelopement (AFD) and the European Investment Bank, would start “in a couple of months after all documents have been signed.  

“We are meeting with LASWA and all necessary agencies to sort out the different agreements. We also want to meet the various agencies and partners, like NSC, to know the strategic planning for shipping and the improvement of transportation within the Lagos area, across the nation and for the region.” 

According to Lhoste, the EU prioritises support for transportation and trade through the Lagos-Abidjan corridor, and the Omi Eko project. Therefore, “we are supporting Lagos, but we aren’t just looking at an improvement in transportation of people and goods within Nigeria but also across the neighbouring countries.” 

On his part, the Transport Officer, EU Directorate General International Partnership, Jesus Gavilan, expressed concern at the many checkpoints hindering smooth transport between Benin and Nigeria. 

Stressing the need for unhindered trade on the Abidjan-Lagos corridor, Gavilan noted that “when you move from the Benin border to Lagos, you can be stopped at least 20 times with 80 checkpoints. This is a big barrier for transport between the two countries.” 

He said the EU was working on a one-stop border post between Benin and Nigeria to streamline the passage of goods, noting that the border post has not been fully operational, with a lot needed to be done for smooth passage.

He requested the NSC to advice the team on necessary intervention areas and, where possible, provide available feasibility documents, adding that the EU Team would provide financial support for research if required. 

Earlier, the NSC Executive Secretary, Mr. Pius Akutah, said the agency’s commitment to port efficiency and trade facilitation are manifest in the setting of tariffs and handling charges to reduce cargo abandonment, curtail arbitrariness, as well as monitoring the joint boarding of ships by examination agencies to aid quick vessel turnaround time.

Following the EU Team’s request for priority areas in the planned transport intervention, Akutah, who was represented by the Executive Director, Human Resources, Ms. Ada Okam, urged the EU to invest in the development of such key transport infrastructures that ease port and road congestion, like Inland Dry Ports (IDPs), Vehicle Transit Areas (VTAs), barging and rail transportation.

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