Nigeria’s maritime and port regulatory institutions are increasingly shifting from governance to a revenue-driven culture, a trend that has triggered rising tariffs, multiple agency checkpoints, duplication of documentation and escalating logistics costs across the port system.

The development has also increased the diversion of cargo to neighbouring ports in Cotonou, Lomé and Tema, weakened investor confidence in Nigeria’s port corridors and compounded the already high cost of doing business while escalating inflation.

This was contained in a policy review by the Sea Empowerment and Research Centre (SEREC), which examined revenue-driven distortions within Nigeria’s maritime governance architecture.

The report, signed by the Head of Research, Dr Eugene Nweke, warned that the growing focus on revenue generation could undermine efforts to transform the sector and make the ports competitive.

SEREC’s review covered key agencies such as the Nigerian Maritime Administration and Safety Agency (NIMASA), Nigerian Ports Authority (NPA), Nigerian Shippers’ Council (NSC), Nigeria Customs Service (NCS), Standard Organisation of Nigeria (SON), National Agency for Food and Drug Administration and Control (NAFDAC), National Environmental Standards and Regulations Enforcement Agency (NESREA) and the Council for the Regulation of Freight Forwarding in Nigeria (CRFFN).

It noted that the primary statutory responsibilities of these agencies include safety regulation, infrastructure management, trade facilitation, environmental compliance and professional oversight, rather than revenue maximisation.

The research centre warned that when between 65 and 70 per cent of institutional focus shifts toward revenue generation, it leads to increased costs of doing business, inflationary pressures, extortion practices, cargo diversion and weakened institutional credibility.

SEREC’s report said regulatory and technical agencies are increasingly evaluated and driven by revenue-generation benchmarks rather than statutory mandates, adding that this trend risks turning regulation into taxation, compliance into negotiation and governance into extraction.

In its assessment, SEREC noted that NIMASA’s core responsibilities include maritime safety administration, flag and port state control, cabotage enforcement, seafarers’ certification and marine pollution prevention.

However, the body warned that revenue-targeted enforcement could distort safety inspections into punitive revenue tools rather than mechanisms for compliance assurance.

The centre also highlighted concerns over the NPA’s Act mandates for the agency to oversee port infrastructure development, channel maintenance, marine service provision and landlord port administration, warning that tariff increases could result in higher terminal handling charges, rising shipping line tariffs and escalating logistics costs.

SEREC warned that revenue pressure could compromise the NSC, which serves as the port economic regulator and protector of cargo owners as well as mediator of trade disputes. It warned that the pressure could undermine its neutrality in mediating trade disputes and safeguarding shippers’ interests.

SEREC also cited the NCS mandate, which includes revenue collection, trade facilitation, border security and anti-smuggling operations, but raises concern that the aggressive revenue benchmarks have contributed to frequent valuation disputes, cargo reclassification controversies, post-clearance demand notices and delays that create compliance fatigue among importers.

According to the centre, the situation contradicts global best practices and undermines Nigeria’s credibility within international trade frameworks, including the World Trade Organisation’s Trade Facilitation Agreement and the governance principles of the International Maritime Organisation.

Other agencies such as SON, NAFDAC and NESREA were also flagged with concerns ranging from overlapping inspections, quality assurance and prevention of substandard imports, certification charges, to multiple inspection regimes and duplicated environmental fees.

SEREC stressed that standards enforcement, public health regulation and environmental compliance should remain technical and risk-based rather than revenue-driven.

Also identified is the CRFFN with a core mandate, including professional regulation of freight forwarders, registration and certification/ licensing and industry capacity development/ advancement.

The body expressed concerns over levy enforcement controversies, trust deficit between regulator and practitioners and the perception of revenue prioritisation over professional development.

The report also identified systemic drivers behind the trend, including fiscal deficit and pressures on government revenue, central remittance benchmarks, treasury-driven governance culture, weak harmonisation of port operations and the absence of a unified port cost rationalisation framework.

SEREC called for immediate policy recalibration, noting that Nigeria must choose between short-term revenue optics and long-term maritime competitiveness.