Connect with us

News

Dubai sues China’s Merchants Port || By Paul Nyakazeya

Published

on

UNITED Arab Emirates’ (UAE) DP World Limited and its subsidiaries has taken legal action against China for building an international free zone on a terminal being disputed with Djibouti.

The lawsuit was filed in the High Court of Hong Kong for unlawfully procuring and inducing the Republic of Djibouti to breach various agreements between the African country and DP World.

In the lawsuit, DP World sought damages, interest, and a declaration that China Merchants unlawfully procured and/or induced Djibouti’s breaches of its agreements with DP World.

When the contract between DP World Limited and the Republic of Djibouti was signed, both parties seemed happy and satisfied with the business deal and pledged to respect the terms of the agreement.

Under these agreements, Djibouti granted DP World Limited exclusive rights over port and free zone facilities within Djibouti, including container handling facilities, and DP World constructed, developed, and managed a state-of-the-art container terminal at Doraleh (“Terminal”) that is jointly owned by DP World (33,34 perent) and a Djibouti state-owned entity, PDSA (66,66 percent).

In 2013, China Merchants bought 23,5 percent of PDSA from Djibouti.

China, which has the only foreign military base near the Red Sea terminal,  developed and financed the free trade zone as it considers Djibouti an important part of its $1 trillion “Belt and Road” global investment initiative.

DP World said its concession agreement over the terminal “remains in force” and warned that the “illegal seizure of the facility does not give the right to any third party to violate the terms of the concession agreement.” DP World Limited, operates 78 ports in more than 40 nations.

UAE ports operator DP World Limited has vowed to continue defending its rights as a shareholder in Djibouti’s Doraleh Container Terminal, after it was nationalised.

In a statement the government of Dubai said: “DP World will continue to pursue all legal means to defend its rights as a shareholder and concessionaire in Doraleh Container Terminal in the face of Djibouti’s blatant disregard for the rule of law and respect for commercial contracts.”

The president of Djibouti enacted a decree on September 9 purporting to transfer the private entity Port of Djibouti’s shareholding in the Doraleh terminal to the country’s government.

The move to nationalise the terminal and escalate the battle with the UAE company comes after a UK tribunal ruled that Djibouti’s cancellation in February of DP World’s contract to run Doraleh terminal was unlawful.

On August 31, the High Court of England and Wales issued an injunction against the Port of Djibouti ordering it not to wrest control of the terminal from DP World, or act as if the joint venture agreement with the port operator had been terminated.

DP World said the transfer of ownership to the government of Djibouti appeared to have been made in an attempt to “flout” the injunction.

“Investors across the world must think twice about investing in Djibouti and reassess any agreements they may have with a government that has no respect for legal agreements and changes them at will without agreement or consent.” said the Dubai company.

In ‘violation’ of DP World’s exclusivity rights, Djibouti has in recent years partnered with China Merchants to construct, develop, and/or operate six new ports and free zones within Djibouti.

Comments

News

Published

on

Swegop to Politicians: Stop Mudslinging, Fix Roads

The South West Guild of Online Publishers (SWEGOP) has urged politicians to stop mudslinging and focus on issues affecting Nigerians, while calling on the Federal Government and state governments to declare a state of emergency on roads ravaged by rainfall.

The guild said political campaigns should be centred on policies, development plans and practical solutions to the people’s problems, rather than false information, unsubstantiated allegations and personal attacks.

The position was contained in a statement signed by the guild’s Acting Chairman, Chief Tunde Busari, and Publicity Secretary, Mr Remi Oladoye.

SWEGOP warned that spreading misinformation during political campaigns could erode public confidence in the democratic process, urging politicians to tell the electorate what they intend to do and how they plan to deliver on their promises.

It called on political actors to embrace responsible communication and constructive engagement, stressing that campaigns should provide voters with clear choices on policies and programmes capable of improving their lives.

In a related development, the guild called on the Federal Government and state governments to urgently address the worsening condition of roads following damage caused by rainfall in several areas.

It expressed concern that some roads had been washed away or rendered impassable, making movement difficult for motorists and other road users.

The guild urged the relevant authorities to prioritise the rehabilitation of damaged roads, improve drainage systems and implement lasting solutions to prevent recurring damage, particularly during the rainy season.

It warned that the deteriorating road network posed risks to road users and could disrupt the movement of people and goods, with consequences for commercial activities and the wider economy.

SWEGOP stressed that emergency repairs must be backed by proper drainage, effective maintenance and coordinated action by the different levels of government to prevent the problem from recurring.

The guild maintained that responsible political campaigns and urgent action on failing infrastructure were both necessary to address public concerns and improve the lives of Nigerians.

Continue Reading

News

2027: Alli, Oseni Tour Ibarapa, Seek Support for APC Candidacies

Published

on

Governorship, Oyo South senatorial candidates meet traditional rulers, religious leaders and community groups

The All Progressives Congress (APC) governorship candidate in Oyo State, Senator Sharafadeen Alli, and the party’s Oyo South senatorial candidate, Hon. Remi Oseni, have toured Ibarapa North, Central and East Local Government Areas to seek stakeholders’ support for their 2027 candidacies and other APC candidates across the ballot.

The two-day tour, which took place on Monday and Tuesday, covered Igangan, Tapa, Ayete, Idere, Igbo-Ora and Eruwa, where the candidates met traditional rulers, religious leaders, community groups and other stakeholders to discuss the area’s development challenges and solicit their backing ahead of the 2027 general elections.

During the engagements, Alli outlined his priorities for Oyo State, promising to prioritise the reconstruction of the Ibadan-Ibarapa road, extending to Igangan, improve the education sector, revive public water supply and strengthen local government administration if elected governor.

The delegation visited the palaces of the Asigangan of Iganganland, Oba Rafiu Adeniyi; the Asawo of Ayete, Oba Emanuel Ewuola Okeniyi; the Elempe of Tapa, Oba Sunday Oyekanmi Titiloye (Abioje I); the Olu of Igbo-Ora, Oba Jimoh Olajide Titiloye (Asoroolu Ayinla V); and the Eleruwa of Eruwa, Oba Samuel Adebayo Adegbola (Ajobo Olurin I). The team was also hosted by Dr. Olusola Ayandele Eruobodo at his residence on Monday evening.

Speaking during the meetings, Alli identified effective local government administration as critical to grassroots development, noting that local councils must be empowered to deliver meaningful improvements to their communities. He pledged to work towards a functional local government system that would make development more visible at the grassroots.

On education, the APC governorship candidate expressed concern about the standard of learning in the state and proposed limiting class sizes to a maximum of 30 pupils to improve teaching and learning outcomes.

He also promised to ensure that Oyo State’s financial resources, including federal allocations, translate into tangible improvements in infrastructure and public services. As part of his plans to improve residents’ welfare, he pledged to work towards reviving the state water corporation to ensure a more reliable supply of clean water across the state.

On infrastructure, Alli reiterated his commitment to reconstructing the Ibadan-Ibarapa road, extending to Igangan. He also promised to create greater opportunities for indigenous construction firms in the award of public contracts, while engaging external contractors for projects beyond the capacity of local companies.

The APC candidate also criticised the reported N5.5 billion expenditure on a stadium, questioning whether the facility met international standards and adequately served the needs of the state’s football clubs, particularly Shooting Stars Sports Club (3SC).

He cited difficulties faced by the club in arranging matches, including playing several away fixtures within a week and receiving a hostile reception at its temporary home ground in Ogun State. He attributed these challenges to the stadium facility’s reported failure to meet the required standards.

Also addressing the gatherings, Oseni, who is seeking election to the Senate to represent Oyo South Senatorial District, highlighted his contributions to the development of communities across Ibarapa and appealed to residents and community leaders to support his senatorial ambition.

He urged stakeholders to support APC candidates across the ballot, arguing that stronger cooperation between the state and the Federal Government could improve Oyo State’s access to federal opportunities, resources and development initiatives.

At a meeting with the League of Imams in Igbo-Ora, Alli acknowledged that disunity within the Muslim community might have affected communication with political leaders. He assured the religious leaders that his administration would not marginalise any religious group and appealed for their support for his aspiration and those of other APC candidates.

The tour was attended by APC leaders and campaign officials, including the Director-General of the Sharafadeen Alli Campaign, Hon. Yemi Aderibigbe; the Director-General of the Remi Oseni Campaign Council, Chief Lowo Obisesan; and the APC Deputy National Auditor, Hon. Gbenga Ariba, alongside other party leaders from across Oyo State.

Continue Reading

News

Watchdog Alleges Pressure on Oyo LG Chairmen, Warns Against Releasing N2.57bn for election

Published

on

Group questions budgetary provision, cites pending court cases

The Watchdogs for Good Governance has warned the 33 local government chairmen in Oyo State against releasing council funds for the planned December 29 local government election, questioning the legality and financial implications of a proposed N4.28bn funding arrangement.

The group alleged that the councils were being pressured to contribute N2.57bn towards the exercise despite claims that no provision was made for the expenditure in their 2026 budgets.

Under the proposed arrangement announced by the state government, the local governments are expected to bear 60 per cent of the election cost, amounting to N2,566,800,000, while the state government will contribute the remaining 40 per cent, or N1,711,200,000.

The controversy followed an announcement by the Commissioner for Information, Prince Dotun Oyelade, that the State Executive Council had approved funding for the Oyo State Independent Electoral Commission to conduct the election scheduled for December 29.

But the Watchdogs for Good Governance, in a statement issued on Tuesday and signed by its convener, Comrade Ahmed Adeyemo, questioned why the councils should commit billions of naira to the election when, according to the group, the expenditure was not captured in their approved budgets.

Adeyemo argued that the proposed spending could further limit the resources available to local governments to address pressing needs in their communities, including bad roads, inadequate infrastructure and poor access to primary healthcare.

“Where is the budgetary provision for OYSIEC? Why resort to milking the councils dry when grassroots communities are grappling with bad roads, lack of basic infrastructure and poor access to quality primary healthcare?” he asked.

The group also raised concerns over pending court cases challenging the conduct of the election, warning that the councils could face financial consequences if the exercise were subsequently nullified.

According to Adeyemo, at least three suits had been filed by members of the Allied Peoples Movement over the election, including grievances relating to the selection of chairmanship and councillorship candidates across the 33 local government areas.

He maintained that proceeding with the election while the cases remained pending raised questions about the prudence of committing such a substantial amount of public money to the exercise.

“Spending billions on an election that is sub judice and may be voided by the courts is the height of administrative irresponsibility and financial recklessness,” Adeyemo said.

The group further alleged that council chairmen were under intense pressure from the state government to release their respective contributions, although it did not provide documentary evidence to substantiate the claim.

It consequently urged the chairmen not to authorise any transfer of council funds for the election without addressing the budgetary and legal concerns it had raised.

Adeyemo warned that any chairman found to have improperly diverted public funds for the exercise should be held accountable, insisting that local government resources should be used to meet the needs of residents.

“The funds belong to the people of Oyo State for development, not for funding an election whose legality is being contested,” he said.

The group called on the relevant authorities to clarify the financial arrangements for the election and address the concerns surrounding the pending litigation.

Efforts to obtain reactions from the affected council chairmen as of press time were unsuccessful.

Continue Reading

Trending