The Nigerian Maritime Administration and Safety Agency (NIMASA) has said that reforming the nation’s ship registration office would attract funding from international financial organisations and reduce insurance premiums on vessels.
Its Director General, Dr Dakubu Peterside, who disclosed this at the handing over ceremony of the final report of the committee on the activities and operations of the Nigerian ship registration office, said the Nigerian ship registry would drastically reduce insurance premiums payable by vessels on the registry.
He added: “A ship registry gives access to funding in international financing space. If the vessel is registered in Nigeria ship registry and the ship registry commands respects, financial institutions can deal with the ship, when they know about the integrity of the Nigerian flag, they can transact and accept capital at a competitive and a relatively cheaper rate. There is funding, but if a vessel is not in a flag that commands respect, people will deal with the vessel with caution and be circumspect.
“If your vessel today is registered under the Nigerian flag, the insurance companies, P and I clubs in London will treat you with some caution. And if we enhance the quality of Nigerian flags, the insurance firms both in London and in any country, can deal with the vessels, knowing that they are technically solid, with good safety records and are bringing some values with insurance premiums coming down.
Dakuku, who was elated over the thorough job done by the committee, said a respected ship registry would enhance standard and provide seatime for Nigerian seafarers.
“The other thing is that a respected ship registry would attract the best hands to work for you. It enhances the standard of the Nigerian seafarers. So, if a ship is flagged in UK, then all the seafarers are found to be competent and once they leave, they can be employed anywhere because they have worked in a British flagged vessel.”