The Nigerian Ports Authority and and Integrated Logistics Services Nigeria Limited (Intels), Nigeria’s leading logistic firm for the oil and gas industry, are locked in a fierce business dispute, with the NPA threatening to terminate Intels’ port revenue collection contract.
Those familiar with the matter said the dispute, which has seen the two parties hold several tension-soaked meetings and exchange aggressive correspondences, arose from Intels’ alleged non-compliance with the Federal Government’s Treasury Single Account policy.
The two parties also appear to disagree over the funding of a key capital project the logistics company is handling for the NPA.
Intels was co-founded by former Vice-president and chieftain of the All Progressives Congress, Atiku Abubakar; and an Italian businessman, Gabriel Volpi, in the 1980s.
The Revenue Sharing, TSA face-off
On March 15, the Managing Director of the NPA, Hadiza Bala-Usman, wrote to Intels asking it to comply with government’s TSA policy, which demands that service boat revenues collected through commercial banks must immediately be swept into the relevant account in the Central Bank of Nigeria.
Ms. Bala-Usman had proposed a new arrangement for sharing the revenue stream. The company will receive 28 percent as agency commission from boats service revenues, while the remainder will be shared on a 30:70 percent ratio in favour of government and the company respectively.
The TSA was introduced by government to enthrone centralized and transparent management of all government revenues and plug leakages. Some analysts have criticised the policy saying the nation’s financial sector is under severe stress as the TSA policy starves commercial banks of cash.here
No comments:
Post a Comment