Stranded power equipment worth significant public investment could soon return to use after President Bola Tinubu ordered the clearance of more than 300 containers held at Nigerian ports. Some of the shipments have reportedly remained at the ports for nearly two decades, despite their intended use in electricity infrastructure projects across the country.
The containers hold equipment imported under several government-funded power programmes, including the National Integrated Power Project (NIPP), Transmission Company of Nigeria (TCN) projects and the Presidential Power Initiative (PPI). However, administrative problems, incomplete import documents and disagreements over customs duties have prevented the materials from reaching their destinations.
The Minister of Power, Olasunkanmi Joseph Tegbe, disclosed the presidential directive after a Federal Executive Council meeting in Abuja. He said Tinubu had instructed the Ministry of Power to work with the Nigerian Ports Authority (NPA) and the Nigeria Customs Service (NCS) to resolve the outstanding issues and release the containers.
The development has renewed concerns about how government agencies manage public infrastructure projects, particularly when delays can prevent essential materials from serving their intended purposes.
Missing Documents and Customs Disputes Delay Clearance
Power sector experts have linked the prolonged detention of the equipment to weaknesses in procurement arrangements and poor coordination between government agencies.
Engineer Idowu Oyebanjo, a former Chief Technical Officer of the Presidential Power Initiative, explained that some contractors delivered imported equipment to Lagos ports without making adequate arrangements for customs clearance and transportation to project sites.
He said several shipments arrived without important import documents, including Form M, Pre-Arrival Assessment Reports (PAAR), SONCAP certificates and Import Duty Exemption Certificates (IDEC). These documents help authorities process imported goods and determine their eligibility for applicable duty exemptions.
Their absence created disagreements between the Transmission Company of Nigeria, the Ministry of Power and the Ministry of Finance. According to Oyebanjo, the agencies sometimes struggled to establish which department held the documents or had responsibility for approving the exemptions.
Meanwhile, shipping companies continued to charge demurrage as the containers remained at the ports. These charges increased the financial burden and made the clearance process more complicated.
Oyebanjo disclosed that one batch of 22 containers accumulated liabilities of about ₦483.88 million. He attributed the growing charges to prolonged delays and disagreements over the classification of the imported materials.
He also alleged that the situation created opportunities for an auction racket. According to his account, some overtime cargoes allegedly went to individuals at heavily reduced prices before they resold the materials to TCN. However, independent evidence has not established the allegation.
Government Plans Equipment Assessment After Release
Tinubu’s directive has raised expectations that the government could recover valuable materials for ongoing electricity projects. However, the release of the containers does not automatically mean that every item remains suitable for use.
Tegbe said technical experts would inspect the equipment after clearance. Their assessment will help the government identify materials that remain functional and determine how to handle obsolete items.
The containers reportedly hold important infrastructure materials, including large power transformers, gas-insulated switchgear spares and transmission line equipment. Some of these materials could support projects aimed at strengthening Nigeria’s electricity transmission network.
However, experts have warned that the government must address the problems behind the delays rather than focus only on releasing the existing containers.
Oyebanjo recommended that the government establish a dedicated customs desk for TCN imports. He also urged relevant agencies to approve duty exemptions and complete import documentation before contractors ship equipment into the country.
He further proposed changes to government procurement contracts. Under his recommendation, contractors should take responsibility for delivering imported equipment directly to project locations instead of leaving government agencies to manage clearance and transportation after shipments arrive.
The clearance exercise could help Nigeria recover equipment purchased for public electricity projects. Nevertheless, the government must ensure that the materials remain useful and reach their intended destinations.
More importantly, better coordination between ministries, customs authorities and contractors will be necessary to prevent similar delays from affecting future infrastructure investments.