NIMASA To Appeal Federal High Court Judgement NLNG


The Director General of the Nigeria Maritime Administration and Safety Agency Dr. Dakuku Peterside has expressed the Agency's dissatisfaction with the judgement of the Federal High Court by Justice  M.B. Idris delivered yesterday in a case between NIMASA and the Nigeria Liquefied Natural Gas (NLNG).

Consequently, Dr. Dakuku had stated the Management's intention to appeal the judgement. He noted"the Agency's legal team are waiting for the certified true copy of the judgement which we will study and respond as appropriate."

NIMASA had in 2013 requested the NLNG to pay all statutory levies accruable to the Agency including the 3 per cent levy on gross freight on inbound and outbound international cargo, 2 per cent Cabotage and Sea Protection levies stating the NLNG is not exempted from payments of statutory levies after its tax holiday ended many years ago.

Section 2 (1) of NIMASA Act states that, "This Act shall apply to ships, small ships and crafts registered in Nigeria and extended to ships, small ships and crafts flying a foreign flag in the Exclusive and Economic Zone, Territorial and Inland Seas, Waterways, and in the Ports of the Federal Republic of Nigeria."
The only vessels exempted from levies under the NIMASA Act are ..."warships and military patrol ships" Section 2 (2).

NIMASA has portfolios of statutory revenues it collects from shipping companies/ship operators, manning agents and seafarers:this the Agency pays into the coffers of the government. It is within these funds generated the agency develops and polices the maritime sector. NIMASA does not receive any government allocation.

The honorable court had in 2013 ruled on the agreement by both parties which stipulated that NLNG would pay outstanding levies and will also continue to pay all applicable levies in line with the NIMASA mandate.

Isichie Osamgbi,
Head, Corporate Communications.


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