The squabbles in Nigeria’s free trade zones have been described as clear acts of economic sabotage, which the government would no longer condone.
The Senate Committee on Trade, Industry and Investment has called for an end to the disagreements between the Nigeria Export Processing Zones Authority and the Onne Oil and Gas Export Free Zone Authority.
Senator Francis Fadahunsi, the Chairman of the Committee, who carried oyt an oversight function to some to some free trade zones in Lagos advised the agencies to push for the amendment of their establishing Acts.
The Acts should better clarify functions of the agencies.
The advice of Fadahunsi is contained in a statement by the Head, Corporate Communications, NEPZA, Mr Martins Odeh, titled, “NASS urges NEPZA to push for amendment of its Act without delay”.
Fadahunsi added that according to the NEPZA Act 63 of 1992, the Authority has the sole mandate of regulating Nigeria’s Free Trade Zone Scheme, which implies that it is a regulatory body.
While OGEFZA was established to operate as a zone in the downstream sector in Onne and Okpokri in River State and has never been a regulatory agency.
The statement read in part, “Going by NEPZA Act 63 of 1992, the Authority is bestowed with the sole mandate of regulating Nigeria’s Free Trade Zone Scheme. NEPZA by this Act is a regulatory body’’.
“The chairman of the committee, however, explained that OGEFZA was also a creation of the parliament in 1994 with a clear mandate to operate as a zone in the downstream sector in Onne and Okpokri in River State.
“If the agency wanted to enlarge its powers to cover the entire country, the operators should also come up with a bill seeking amendment of the Act. OGEFZA has never been a regulatory body,’’ Fadahunsi said.
“He said the committee was more concerned with the two agencies performing their duties to grow employment and revenue for the government, adding that the regular squabbles were clear act of economic sabotages that government would no longer condone.”
Fadahunsi expressed satisfaction with the huge contributions of zones and their enterprises to the national economy, adding that the new NEPZA management had brought a return of confidence and passion to the operators of the scheme.
He noted that, while the committee will insist on the operators remaining faithful with payment of levies to the relevant agencies of government, it will, however, ensure that the business environment is more conducive to operate in.
Fadahunsi urged the zones and enterprises to frequently adopt back-up integration where local partnerships were encouraged for speedy transfer of technology and economic growth.
Other members of the committee on the trip were Sen. Ishaiku Clinton Abo and Sen. Tolulope Adebiyi.
The two senators also expressed confidence in the scheme, describing it as a worthy business model that could truly fast track the country’s industrialisation if maintained diligently.
On his part, NEPZA’s Board Chairman, Adamu Fanda, said the agency would perform better if placed under the supervision of the presidency, stating that was the position in all of the countries where the scheme had succeeded.
He, therefore, called on the government to consider ceding the operation of the scheme to the private sector while still reserving its regulatory powers.
Meanwhile, NEPZA Managing Director, Prof. Adesoji Adesugba, said the Authority was working to empower the scheme to deliver the quantum of deliverables commensurate with government investment in the sector.
The free zones visited by the committee are Quits Aviation, NAHCO, ASL, Pan African, LADOL and Snake Island Integrated FZ.
The committee is scheduled to continue the tour of Lekki FZ, Lagos FZ, Dangote FZ and Eko Atlantic FZ between Wednesday and Thursday respectively.
