The Nigerian Ports Authority (NPA) says it has valid reasons for delaying the renewal of port concession agreements. According to the NPA, a careful and comprehensive review is necessary to improve investor confidence and reduce the chances of future disputes.

Speaking to maritime journalists, the NPA Managing Director, Dr Abubakar Dantsoho, explained that the government is not rushing to renew agreements without fixing structural issues in existing contracts. He said approving a flawed agreement quickly could end up causing more harm later—especially if it faces legal challenges.

Dr Dantsoho acknowledged concerns from terminal operators about uncertainty, but stressed that legal clarity matters more than speed. He noted that investors are more likely to commit funds when the legal framework is strong and predictable.

He also said both the NPA and concessionaires have raised issues about unmet obligations in some agreements. Those issues, he argued, must be addressed before any extension is considered.

In addition, Dantsoho warned operators of inland container depots and bonded terminals to adjust their business models. He pointed out that congestion levels are declining, meaning strategies that worked during busier times may no longer be effective. The NPA’s position is that these operators must rethink and re-strategise for the new market reality.

Overall, the NPA believes the review process could lead to better agreements and potentially attract new investors—particularly if some existing operators decide not to continue.