Ship Owners call on government to incorporate PPP to help improve port services

By Benjamin Xornam Glover, TEMA The Ship Owners and Agents Association of Ghana (SOAAG) has observed said a public and private partnership arrangement could promote efficient port services delivery and also foster better relationship and high turn-out of goods and services at the ever-busy Ghanaian Port system. They have therefore called on called on the government to come out with innovative initiatives and measures that will attract increased investments from the private sector in port activities to help mobilize the needed revenue for the nation. The Vice President of SOAAG, Mr Adam Imoru Ayarna made the call on behalf of the association at a press soiree jointly organized by SOAGG and the Tema Chapter of the Ghana Journalists Association. Mr Ayarma explained that the private sector participation which could lead to some port services been could lead increase output, extended operational hours. He referred to some port systems, which has been concessioned to the private sector which is yielding results and is worth emulating The Apapa Port Story Citing the Nigerian Ports Systems where since 2005, parts of the Apapa Port has been concessioned, Mr Ayarna said Ghana stood to benefit if the private sector is brought on board to help operate the system He said under the Apapa Port experience, the average vessel wait time reduced from 14‐28 days during the pre-concession era to 0‐24 hours post concession. Additionally, he said the working days per week increased from 5 to 7 days, while the working hours move to 24 hours from 12 hours post concession. This, Mr Ayarna explained led to drastic increase in vessel productivity, increased throughput, reduced turnaround of vessels, extended operating hours for the container terminals. “All of the above will translate into reduced cost of doing business via Apapa port with direct positive impact on the economy” he said stressed on the need for Ghana to adopt a public private partnership to bring about the needed infrastructure development at the port. Challenges on imports He enumerated some of the challenges facing the Ghanaian shipping agent such as high cost of doing business congestion and delays at anchorage, adding that a day’s delay by a vessel costs the principal or carriers a minimum of $25,000 per day. Other challenges are detention long layover of containers with cargo as well as cumbersome procedures and demands on shipping agents. The rest are fictitious documentation presented by some agents and clients, imposition of charges by some regulatory bodies, in adequate security which has led to an increase in stowaways in teh recent past. Mr Ayarna disclosed that cargo due for auction are not auctioned but mostly left to go bad or a selective auction system is dome thereby further congesting the port and its attendant increasing cost to the shipping lines and agents. He said Reefer containers with poultry, meat and pharmaceutical products were also left plugged for 200 plus days, after which they are destroyed with a huge electricity burden on the Ghana Ports and Harbours Authority as well as cost to the shipping lines and agents who pay for the destruction. “Due to this situation in the past 5 month, vessels were not able to discharge all of their Reefer containers for lack of plugging points, making them return the boxes or keeping them on board” he said. Mr Ayarna also called for attitudinal change amongst stakeholders to ensure the smooth clearing of cargo at the Ports. GJA President The President of the GJA, Affail Monney described the interaction as very successful and called for more of such fora to highlight issues facing the shipping industry. “The greatest need of the journalist is not the fattest pay cheque or palatial home, but our greatest need is capacity building” He also said it is necessary for both the media and SOAGG to collaborate with the view of empowering their various stakeholders in the shipping industry in order to make a bigger impact on the economy of Ghana. Mr kwasi Afrifa, a member of SOAAG who chaired the function emphasised the need for journalists to take keen interest in the shipping industry which in his view is a crucial industry and controls worldwide 90 per cent of global trade. He commended the Ghana Maritime University for introducing a course in shipping and urged other universities to train more people in shipping. He also advised the journalists to develop keen interest in shipping to help remove some misconceptions by the shippers. -End-