Sunday, November 16, 2025
25.1 C
Lagos

FG Cancels NPA, Intels Agreement on Pilotage

The federal government has cancelled the pilotage monitoring and supervision agreement between Nigerian Ports Authority (NPA) and Intels Nigeria Limited for violating the Constitution and the Treasury Single Account (TSA) policy of the government.

Mallam Abubakar Malami, the Minister of Justice and Attorney-General of the Federation said:

“The inherent illegality of the agreement as formed has since been expounded by the TSA policy issued by the Head of Service of the Federation on behalf of the Federal Government of Nigeria directing all ministries, departments and agencies to collect payment of all revenues due to the federal government or any of her agencies through the TSA.

“The objective of the presidential directive (TSA policy) in exercise of the executive powers of the president under Section 5 of the 1999 Constitution (as amended) was in furtherance of the spirit and intent of Sections 80 and 162 of the constitution and to aid transparency in government revenue collection and management.

“NPA being an agency of the federal government is bound by the TSA policy and has not howsoever been exempt therefrom. Due to the constitutional nature of the TSA, where there is a conflict between the TSA and the terms of the agreement, the TSA shall prevail.

“Therefore all monies due to the NPA currently being collected by Intels and any other agents/third parties on behalf of NPA must henceforth be paid into the TSA or any of the sub-accounts linked thereto in the Central Bank of Nigeria (information of the account will be communicated in due course) in accordance with the TSA policy.

“For the avoidance of doubt, the agreement for the monitoring and supervision of pilotage districts in the Exclusive Economic Zone of Nigeria on terms inter alia that permits Intels to receive revenue generated in each pilotage district from service boat operations in consideration for 28% of total revenue as commission to Intels is void, being a contract ex facie illegal as formed for permitting Intels to receive federal government revenue contrary to the express provisions of Sections 80(1) and 162(1) and (10) of the 1999 Constitution of the Federal Republic of Nigeria (as amended), which mandates that such revenue must be paid into the Federation Account/Consolidated Revenue Fund.

“In the premise of the above, the conflict between the agreement and the TSA policy presents a force majeure event under the agreement, and NPA should forthwith commence the process of issuing the relevant notices to Intels exiting the agreement which indeed was void ab initio.”

spot_img
spot_img
spot_img

Hot this week

How Access Bank is Supporting Women Driving Africa’s Growth Story

Across Africa, women are fast becoming the heartbeat of...

Fidelity Bank Grows Gross Earnings by 46% to ₦748.7 bn for H1 2025

Fidelity Bank Plc has announced its audited financial results...

COP30: Green Digital Action Hub to Accelerate Innovation for a Sustainable Future

A coalition of international partners announced the creation of...

FG Reassures Investors, Pledges Balanced Capital Gains Tax Outcomes as NGX Lists MREIF

Nigerian Exchange (NGX) today hosted the Minister of Finance...

Polaris Bank Wins MSME Digital Bank of the Year Award for Inclusive Growth

L-R: Ladi Ene Garba, Head, Commercial Banking, Polaris Bank;...

Topics

Post-recession Nigerian Economy and Export Diversification – By Bashir Wali

‘Neither government agencies nor private sector businesses can do...

Unity Bank Champions Digital Literacy, Innovation for Youth Empowerment 

In line with its commitment to supporting youth empowerment...

Global Airlines Financial Monitor: September 2016

The latest financial results indicate that industry profitability...

VFS Global wins Global Visa Contract for The Netherlands

The Ministry of Foreign Affairs of the Kingdom of...

SAFER LAGOS INSURANCE: Lagos Partners NIA on Insurance of Public Buildings

KEYNOTE ADDRESS OF THE DIRECTOR GENERAL/CEO OF THE LAGOS...

Union Bank Partners NCF to Commemorate World Environment Day 2023

As part of its continuous efforts to champion environmental...

WIMBIZ Co-Founder Charges Olashore School Graduates on Excellence

The Co-Founder of Women in Business, Management, and Public...

How African Alliance Paid N1.3bn Claims in Oct/Nov 2020

Mrs. Joyce Ojemudia Managing Director/Chief Executive Officer African Alliance Insurance Plc African...
spot_img

Related Articles

Popular Categories

spot_imgspot_img