However, every country from time to time needs international capital and private investment in order to supplement domestic savings. Investment helps countries reach their economic potential by providing capital to finance new industries and enhance existing industries, boosting infrastructure, productivity, and employment opportunities in the process.
The higher growth supported by investments pays dividends for all increasing tax revenues to the Federal government and State governments, thereby increasing the funds available to spend on schools, roads and other social amenities. By bringing in new businesses with connections in different markets, it encourages competition and increased innovation by bring in new technologies and services to the market.
There are quite a number of small scale and large scale businesses in the maritime industry which have yet to be properly cultivated and developed. In my opinion, this is due to the fact that not a lot of people are in the know of the workings of the maritime industry and its importance in our country. The most practical ones are outlined below in regards to the issues and affairs presently faced in maritime:
INVESTING IN WRECK REMOVAL
In the UK Merchant Shipping Act 1894, "wreck" is defined as including "... jetsam, flotsam, lagan, and derelict in or on the shores of the sea or any tidal waters". Going deeper, 'jetsam' refers to goods thrown into the sea to lighten the vessel. 'Flotsam' refers to goods which float when a ship sinks. 'Lagan' on the other hand refers to goods from sunken ships heavier than water which has been buoyed to prevent it from sinking. 'Derelicts' refer to the ship itself if it is not in the possession or control of its owner.
Apart from the problem of marine pollution, which is presently a serious problem the Federal government needs to counter, it is important that the territorial waters are liberated from harmful objects and debris especially now that the government has intentions of investing in a National Liner.
A project as responsive as building ships and reviving Ship Liners in Nigeria (which is the latest concern of the Federal Ministry of Transport hence the recent Nigeria Ship Finance Conference held on the 31st of October) places on all concerned, the duty of making sure that it is executed accordingly. This will require first and foremost a non-hazardous marine environment in order to launch the sea going vessels.
To be honest, wreck removal could be expensive depending on the nature of the wreckage. If the wreckage is afloat then it could be easy for tug boats employed for sanitization to pick them up and take them ashore. However, if the wreckage is sunken, heavy or is seen to be an outright threat to navigation, it could sometimes involve cutting the hull into easily handled sections or refloating the vessel and scuttling it in deeper waters.
After the Exxon Valdez tragedy in 1989 which stands as the most expensive wreck removal operation in all of history, the recent ship wreck of MSC Napoli stands as the second most expensive at a cost of 120 Million Pounds. However, if investments are channeled towards this area in maritime, it is sure to establish a system of wreck removal guaranteed to develop over the years. As opposed to our reactive way of dealing with issues, maybe for the first time in a while, we would develop proactive measures on how to handle and maintain a sanitized marine environment free of wreckage.
On the international plane, Nigeria was the eighth country to ratify the Nairobi International Convention on the Removal of Wrecks (Nairobi Convention) which entered into force on the 14th day of April, 2015. The Convention is not yet in force in Nigeria and it must be domesticated to fit into the judicial system and the body of laws in Nigeria.
However, the Nairobi Conventional does provide the fundamentals which could constitute an action or place a responsibility on the Coastal State to act. The following represents a logical series of issues which a government and those representing an owner's interests would need to consider:
- Is the reported wreck located within the area covered by the Convention? Article 1 of the Convention defines what it calls the "the Convention area" as being the exclusive economic zone or an area beyond and adjacent to the territorial sea but not extending more than 200 nautical miles from the coast excluding territorial waters.
- Is the sunken or stranded ship a 'wreck' within the meaning of the convention? The resulting definition of endless debates at Legal Committees concerned with wreckage includes sunken or stranded ships or any parts thereof as well as things washed off ships including cargo.
- Is there an obligation to report that a maritime casualty has occurred and that the vessel has become a wreck? Article 5 of the Convention places an obligation on the master and operator of a ship to report when a maritime casualty has occurred and that the vessel has become a wreck as a consequence.
- Does the wreck represent a hazard to the coast? If a wreck is determined to be a hazard, then various rights and obligations arise. If not then the Convention does not apply. Article 1(5) of the convention defines a hazard as any condition or threat that poses a danger or impediment to navigation or may reasonably be expected to result in major harmful consequences to the marine environment, or damage to the coastline or related interests of one or more States.
- If the wreck does indeed represent a hazard, then what rights and obligations arise? In this case, the Affected State has an obligation to ensure that all reasonable steps are taken to mark the wreck in conformity with the internationally accepted systems of buoyage. There is a further obligation on the Affected State to to publish, for the benefit of all mariners, particulars of the marking of the wreck (Article 8).
The costs of being held liable for an action or responsibility can run down and affect the economy of a State negatively if not properly handled. More than ever, now is the time to invest in wreck removal services when it is still in its developmental stage. The Nigerian Ports Authority is responsible for all wrecks blocking the access channels of navigation while the Nigerian Maritime Administration and Safety Agency (NIMASA) is responsible for the wrecks outside the access channels.
The sooner the government is able to set up an efficient wreck removal system or better still, let the services out to private individuals and investors so as to open doors for job opportunities and provide excellent services to ship goers, the better the growth in the industry. The Federal Government NEEDS to domesticate the Nairobi Convention because a system without a stable legal frame work will not hold. Appropriate policies can encourage participatory, demand driven and sustainable development. The Merchant Shipping Act (2007) has made provisions here and there that addresses certain issues pertaining to wreck removal but a concise legal framework centrally dedicated to this field will go a long way in establishing a well rooted system of wreckage removal.
