In a bid to address concerns surrounding the inadequate execution of the Coastal and Inland Shipping Act 2003, popularly known as the Cabotage Act, the House of Representatives has initiated an investigation.
The Cabotage Act, designed to curtail the utilization of foreign vessels in domestic coastal trade and thereby promote the growth of domestic shipping, has allegedly resulted in an annual loss of $100 billion for Nigeria due to its poor implementation.
The House’s commitment to probing the underperformance of this critical legislation was officially confirmed following the endorsement of a motion presented by Awaji-Inombek Abiante, a member of the People’s Democratic Party (PDP) representing Rivers state, during a plenary session on Tuesday.
Abiante, in his motion, emphasized that the primary goal of the Cabotage Act is to safeguard the interests of indigenous shipping companies and stimulate economic growth while providing employment opportunities for Nigerians within the maritime sector.
Regrettably, despite two decades since the Act’s enactment, foreign-owned vessels continue to dominate the nation’s shipping trade, raising significant concerns about the Act’s efficacy.
To address these issues, the House has delegated the relevant committee with the task of investigating the Act’s inadequate implementation.
The committee has been given a four-week window to complete its inquiry and submit its findings to the House for further legislative action.