The Nigerian Shippers’ Council (NSC) has announced that it saved N31.1 billion in demurrage fees within the first six months of 2024, out of a total N50.8 billion requested. This remarkable achievement was highlighted by the Executive Secretary and Chief Executive Officer of the NSC, Pius Akutah, during the launch of the council’s new Electronic Regulatory Process Portal (ERPP) in Lagos.
The ERPP is a cutting-edge digital platform designed to enhance regulatory functions and streamline operations within Nigeria’s port sector. Akutah emphasized that this initiative is expected to significantly reduce foreign exchange outflows, curb capital flight, and prevent financial leakages, thereby strengthening the Nigerian economy.
During the unveiling, Akutah revealed that the NSC had undertaken a quality assurance test from January to June 2024 to verify the accuracy of demurrage applications. Of the N50.8 billion requested, only N19.6 billion was validated for payment, leading to savings of N31.1 billion—a 400 percent improvement in savings compared to the previous year, where only N6.7 billion was saved. He attributed this success to the council’s innovative automation solutions, which have greatly improved operational efficiency and cost management.
Akutah also highlighted that the ERPP was developed in-house by NSC staff, marking it as a significant milestone in the council’s journey towards modernization. Described as a “game-changer,” the ERPP offers a comprehensive platform for the submission, centralization, and electronic monitoring of operational key performance indicators for all regulated service providers in Nigeria.
The portal not only facilitates the management of annual tariffs, voyages, and airfreight cargo throughput data but also allows stakeholders to request reviews of tariffs, rates, and charges—all through a user-friendly online interface. Moreover, the ERPP integrates crucial applications for verifying the reasonableness of demurrage, freight rates, and charter party payments, supporting the Central Bank of Nigeria’s revised foreign exchange manual of 2018.
By eliminating manual processes and moving all calculations and approvals online, the ERPP is expected to yield substantial economic benefits, including an 80 percent reduction in foreign exchange outflows. Akutah stressed that this is more than just a technological upgrade; it represents a transformative shift towards a more transparent, efficient, and accountable port sector.
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As the NSC continues to innovate and adapt, Akutah expressed confidence that the Nigerian maritime industry is poised to become more competitive and resilient, driving national progress in the face of global challenges.
