Following the erroneous media reports that companies are compelled to pay high charges at the Free Trade Zone of the Lagos Deep Offshore Logistics Base (LADOL), the management of the zone has faulted the claim, saying that all charges levied in the Free Zone, are statutory.
Speaking to newsmen in Lagos on Tuesday, Amy Jadesimi, managing director of LADOL, said that all tariffs levied at the zone, were mandated by Federal Government policy and were subsequently issued within a transparent framework.
According to her, the recently referred 1 percent charge on the Egina FPSO vessel currently being integrated at LADOL FTZ was also legal and initially agreed on by parties involved, at the beginning of the project.
“There was nothing that was not known at the start of the project. For instance, within the approved tariff, we have 1 percent management charge which is statutory and it is the cost of the product when it leaves the Free Zone. Obviously, it cannot be calculated till the end of the project. It is not unique to the Egina project.
“No Enterprise operating in LADOL has ever been charged any amount by management or the authority, that was not on the Government approved tariff schedule for Free Zones,” she added.
Continuing, she disclosed that: “Enterprises operating within LADOL Free Zone and their related parties have met and discussed these charges with government in detail. This was not a unilateral action, and for any party to state otherwise, is incorrect.
She however advised that to operate within a Free Zone, companies must meet certain legal criteria that include complying with FTZ regulations on employment, working conditions, as well as rules and laws of the Federal Republic of Nigeria.
On the benefits of operating in Free Zones in Nigeria, she said that FTZ offers investors peaceful, safe, and cost-effective environment, with minimal bureaucracy.
“By design, the benefits foreign companies enjoy in Free Zones far outweigh the statutory charges levied by the management of the zones. The charges are known and required to maintain the zones,” she added.
Under the Federal Government’s ‘Ease of Doing Business’ regime, Jadesimi said that operating in LADOL results in real local content, which in turn means real cost savings for the companies in the Free Zone and the creation of thousands of jobs for Nigerians.
On the sailing of the vessel to the Egina oilfield, Jadesimi said that it was a technical matter, which Total will decide because is not under the control of LADOL.
“Egina is a massive project and all the work that was done in LADOL really exceeded expectations and has gone really smoothly. LADOL has almost completed her role in the project but obviously, we will have an on-going role in the maintenance and operation of the FPSO vessel,” she added.
Recall that Samsung Heavy Industries (SHI), in partnership with LADOL executed over $3.6 billion Egina FPSO vessel project, presently being integrated at LADOL base in Lagos for Total. SHI is the technical partner while LADOL is the Local Content partner in the project.
AMAKA ANAGOR-EWUZIE
