Weak Infrastructure Threatens Nigeria's Smart Port Transition, Experts Warn
Weak Infrastructure Threatens Nigeria's Smart Port Transition

Stakeholders in the Nigerian maritime industry have warned that without coordinated investments in logistics infrastructure, reliable power supply, and technology-driven operations, the country may struggle to achieve growth and meet global trade competitiveness in its transition to smart ports.

They stressed that achieving a fully functional smart port system requires collaboration among experts from finance, technology, telecommunications, and energy sectors to strengthen maritime development. This was stated at the sixth edition of the JournalNG Port Industry Town Hall Meeting held in Apapa, themed, 'Towards a Regime of Smart Ports in Nigeria'.

Power Supply and Cross-Sector Collaboration

Dean of the School of Eloquence and founder of Blue Economy TV, Ubong Essien, emphasised the need for reliable power supply, telecommunications infrastructure, and cross-sector collaboration to support Nigeria's transition to smart ports and a sustainable blue economy. Essien stressed that reliable electricity supply remains central to the success of smart port systems, urging greater involvement from power sector stakeholders such as the Eko Electricity Distribution Company and other energy providers. He noted that without stable electricity, digital port operations, cargo processing systems, and smart logistics platforms would struggle to function effectively.

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Urgency of Digital Transformation

Head of Research at the Sea Empowerment and Research Centre (SEREC), Dr Eugene Nwake, underscored the urgency of transitioning Nigeria's seaports into smart ports, warning that failure to embrace digital transformation could further widen the nation's competitiveness gap in global trade. Nweke lamented the widening performance gap between traditional ports and technologically advanced smart ports such as the Port of Rotterdam and Port of Singapore, which have leveraged automation, artificial intelligence, and real-time data systems to significantly reduce vessel turnaround time.

Nweke said average cargo dwell time in Nigerian ports still ranges between 18 and 24 days, compared to the three to eight days in fully digitised ports. He added that logistics costs in Nigeria account for nearly 30 to 40 per cent of total trade costs, far above the global average of eight to 12 per cent, attributing the disparity to manual processes, fragmented systems, and limited interoperability among agencies.

National Smart Port Strategy Needed

Director General of the International Maritime Institute of Nigeria (IMION), Rear Admiral Thaddeus Udofia (rtd.), stressed that Nigeria must urgently transition to a smart port regime, as inefficiencies can raise logistics costs by between 30 and 40 per cent, translating to higher prices for goods and reduced economic opportunities. Udofia, who was represented by the Executive Director, Finance, IMION, David Ajiboye, called for the immediate development of a national smart port strategy, the rollout of pilot projects, and the scaling of successful models across Nigerian ports. He urged stakeholders to benchmark Nigeria's progress against leading global ports such as the Port of Singapore, Port of Rotterdam, Tanger Med Port, and Port of Tema.

Technology-Driven Operations

Registrar, Council for the Regulation of Freight Forwarding in Nigeria (CRFFN), Kingsley Igwe, said personnel expenses account for between 60 and 70 per cent of operational costs in most organisations, making technology-driven systems essential for reducing overheads and improving efficiency. Igwe identified key technologies driving smart port development to include artificial intelligence, Internet of Things (IoT), blockchain systems, big data analytics, and reliable high-speed internet connectivity. The CRFFN Registrar said the economic benefits of smart ports include improved throughput, reduced yearly financial losses caused by delays, and an increase in national revenue through more efficient logistics operations.

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Marine Operational Components

Former General Manager of the Nigerian Ports Authority, Iheanacho Ebubeogu, emphasised that smart port development must also incorporate critical marine operational components, including Vessel Traffic Services (VTS), fire protection systems, and electronic harbour management. Ebubeogu highlighted the importance of establishing a Port Marine Information System, which would enable harbour masters and pilots to communicate electronically with incoming vessels, improving navigation safety and operational efficiency. The maritime expert also stressed the need for seamless collaboration between port authorities and digital system operators to ensure the success of Nigeria's National Single Window initiative.

Future of Port Operations

Speaking earlier, the Convener of the event, Ismail Aniemu, stressed that the adoption of a smart port regime is a critical step towards enhancing efficiency, reducing human bottlenecks, and creating new employment opportunities in the maritime sector. Aniemu emphasised that smart ports represent the future of port operations globally, driven largely by technology and automation, while relying on robotics, artificial intelligence, and other modern tools that will significantly reduce delays associated with human interface and enhance operational efficiency, transparency, and productivity across the maritime value chain. Addressing concerns from labour unions over potential job losses, Aniemu dismissed such fears, noting that technological advancement would instead create more specialised roles for skilled professionals.