The federal government has extended the concession periods of two terminal operators at the Tin Can Island Port Complex (TCIPC), Lagos by five years each.
The extension was granted during the first meeting of the National Council on Privatisation (NCP) for the year which was presided over by Vice President Namadi Sambo at the Presidential Villa, Abuja.
The director-general of the Bureau of Public Enterprises (BPE), Benjamin Dikki, told journalists at the end of the meeting that the extension of concession period was granted based on an application by the concessionaires, Joseph Dam Port Services Nigeria Limited and Five Star Logistics.
He explained that when the lease was granted to Joseph Dam, there was a court case that dragged on for over four years that restrained the firm from taking over and conducting its obligations of the contract.
In the case of Five Star Logistics, he said that at the time Five Star Logistics got its lease of the RORO Terminal within the TCIPC, there were other obligations that government was committed to like dredging of the ports and mending of some of the collapsed parts of the ports which have not been done.
“The National Council of Privatisation reviewed the matter holistically and has graciously granted a five-year extension to Five Star Logistics in respect of the RORO Terminals in Tin Can Island,” Dikki said.
