Private Sector Response
The Private sector has clearly demonstrated its willingness to take up the challenge and opportunities offered by the Free Zone.
REALISATION OF GOVERNMENT’S OBJECTIVES:
Investments & Capital:
- More than $300m has so far been invested by the Private sector into the Free Zone.
- Ministry of Commerce’s direct investment within the Free Zone is less than $12m.
- Port Authority’s considerable investment in the new facilities completed in the last six years, have all been self-financing.
- More than 4,000 people are now employed by the private sector, Free Zone Licensees, at Onne.
- More than 700 public servants are working at Onne for government agencies and authorities.
Skills and Transfer of Technology:
- Several of the Free Zone Licensees have taken the Onne Free Zone opportunity to transfer to Nigeria some of the activities previously performed overseas.
- Such transfers have thereby contributed greatly to the increase of “local content” within the Oil Industry.
- These include: equipment stockist; pipe coating; cement plants; waste management; dry dock; specialised maintenance services.
- Cost of Oil –indirect, but very substantial, revenue savings by government.
- Made through large savings in the cost of Logistics in the exploration and development of Nigeria’s oil fields.
Port Authority Revenue:
- Substantial revenue generation for NPA. Including the creation and control of new sources of revenue within the Oil Industry.
- These are self-financing all NPA infrastructure improvements and developments at Onne.
Customs (NCS) Revenue:
- Improved control and revenue “facilitation” for the Nigerian Customs Service.
Free Zone Management Revenue:
- Progressively increasing, enabling the Free Zone Management to be self-financing by 2003.