Measurement of Efficiency Level in Nigerian Seaport after Reform Policy Implementation. Case Study of Onne and Rivers Seaport, Nigeria

Abstract

This paper focuses on the impact of reforms on port performance using Onne and Rivers ports as a reference point. It analyses the pre and post reform eras of the ports in terms of their performance. The reforms took effect from 1996 after the Federal Government of Nigeria concessioned the ports to private investors. Parameters such as Ship traffic, Cargo throughput, Ship turn round time, Berth Occupancy and personnel were used as variables for the assessment. Secondary Data were collected from the Nigerian Ports Authority and Integrated Logistic Services Nigeria (Intels) for the period 2001 to 2010 and analyzed using Data Envelopment Analysis to assess the efficiency of the port. Analysis revealed a continuous improvement in the overall efficiency of both Ports Since 2006 when the new measure was introduced. Average Ship turnaround time improved in the ports due to modern and fast cargo handling equipment and more cargo handling space which were provided. There is an increase in Ship traffic calling at the ports, resulting in increased cargo throughput and berth occupancy rate at ports of Onne and Rivers. The reform also led to more private investment in the ports' existing and new facilities and the introduction of a World Class service in port operation. This study concludes that the Ports of Onne and Rivers are performing better under the reform programme of the Federal Government of Nigeria. It finally recommends the urgent need for a regulator to appraise the performance of the reform programme from time to time as provided by the agreement and for the full adoption and utilization of management information system (MIS) to aid performance efficiency.