BPE Commends APM Terminal’s N126bn Investment in Nigeria
The Bureau of Public Enterprises (BPE) has expressed satisfaction with the level of compliance with the post-acquisition plan by APM Terminals and other terminal operators at the Lagos Port Complex, Apapa.
APM Terminals Apapa, which took over the concession at the Lagos’ Apapa Container Terminal in 2006, has invested a total of $350 million to date to develop infrastructure, acquire sophisticated cargo handling equipment, modernisation of the terminal, IT hardware and software systems, and additional capacity.
The investment has resulted in improvement in productivity, with zero waiting times for vessel berthing and a doubling of container volume.
BPE’s Director in charge of Post Privatisation Department, Mr. Yusuf Adamu who stated this after a monitoring the activities of the terminal operators at the Lagos Port Complex, Apapa, said the investments and revenue contribution by the port concessionaires to government in the last 13 years has been massive.
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He said, “Before the concession, this place was like a market, with uncontrolled movements of people leading to rampant thievery. Some of the quay areas you see now were taken up as residential places until after the concession.
“You can see the level of investments and expansion made by the concessionaires which is in millions of dollars, and these facilities will eventually revert to government at the end of the agreed period.
“This is outside their regular throughput and annual lease fees, which they have never defaulted since takeover in 2006, which is in millions of dollars. Meanwhile, before concession, these agencies that are now contributing revenue and employment generation were some of the drain pipes of the national treasury.”
The global terminal operator had in 2016 acquired four additional (Rubber Tyre Gantry cranes (RTGs), increasing the total to 14, which is the highest by any port operator in Nigeria.
In 2013, the terminal restored a regular rail service, running three times per week to the inland cities of Kaduna, 730km (455 miles) and Kano, 960km (600 miles).
In 2014, the terminal was named the “Most Environmentally Conscious Port Operator at the Lagos Port Complex” by the Nigerian Port Authority’s Environment Department of the Health, Safety and Environment Division. It has since maintained these high standards.
