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Dubai sues China’s Merchants Port || By Paul Nyakazeya
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.
The Chairman of the House Committee on the Federal Road Maintenance Agency (FERMA) and representative of Ibarapa East/Ido Federal Constituency in Oyo State, Engr. Aderemi Oseni, on Saturday urged the community to unite in advancing key development projects aimed at transforming Ikogosi.
Speaking at this year’s Ikogosi Day celebration and the launch of a N1 billion development project in Ekiti, the lawmaker, who served as the Chairman of the occasion, emphasised the importance of unity and collective action.
He encouraged attendees to approach the celebration as a call to action for the betterment of their community.
“As we all know, Ikogosi is not merely a town; it is a treasured gem in the heart of Ekiti State and Nigeria as a whole,” he said. “Ikogosi, a historic and vibrant town, plays a vital role in the tourism and economic landscape of Ekiti State. Its rich cultural heritage and unique resources draw visitors and stimulate economic activities that benefit us all.”
“Today is not just a celebration; it is a call to action,” he continued. “Let us come together, united in purpose, to support these transformative projects that promise to uplift the Ikogosi community. I urge everyone here to invest their time, resources, and energy in this endeavor. Together, we can build a legacy of self-help and development that future generations will cherish.”
Reflecting on the broader challenges facing the country, Oseni encouraged the people of Ikogosi and all Nigerians to remain hopeful and resilient, assuring them of President Bola Ahmed Tinubu’s commitment to a brighter future for the nation.
“To the good people of Ikogosi and all citizens of Nigeria, I urge you to remain steadfast and hopeful. President Bola Ahmed Tinubu means well for all Nigerians. The APC-led administration’s Renewed Hope agenda holds the promise of a brighter future. Though the beginnings may be challenging, perseverance will guide us toward a prosperous new Nigeria,” he stated.
In a statement released by his media aide, Idowu Ayodele, the lawmaker lauded the Ekiti State government under Governor Biodun Oyebanji’s leadership for its transformative efforts in governance and development.
He acknowledged the strides made by the governor and praised his impactful initiatives, which have set Ekiti on a progressive path.
“First and foremost, let me commend the Ekiti State government under the leadership of His Excellency, Mr. Biodun Abayomi Oyebanji. The trailblazing development initiatives and effective governance during your tenure have not gone unnoticed,” Oseni remarked.
“Under your stewardship, we have witnessed remarkable progress and commendable governance that have undoubtedly made Ekiti State a shining example of peace and development,” he added.
The Nigerian Minister of Works, David Umahi, has ignited widespread public reaction following his response to recent criticisms by Engr. Aderemi Oseni, Chairman of the House of Representatives Committee on Federal Roads Maintenance Agency (FERMA).
Oseni, who represents Ibarapa East/Ido Federal Constituency in Oyo State, had accused Umahi of neglecting essential infrastructure needs, alleging that the minister has “no plan for the nation.”
At a committee oversight meeting last Thursday, the lawmaker expressed his frustration over the worsening state of roads across the country.
“You are not here to tell us what we already know in the area of resources,” Oseni stated. “If you are telling us the reason you have failed in fixing our road infrastructure is because of resources, don’t let me take you up on that, because you concentrated your energy as a minister on less priority issues.”
Hon. (Engr.) Aderemi Oseni, representing Ibarapa East/Ido federal constituency of Oyo state
In response, Umahi addressed a press briefing at the ministry’s headquarters in Abuja on Monday, dismissing Oseni’s comments.
He remarked that Oseni “had not attained half of what I have achieved in life” and added that he would “not join issues with the lawmaker” out of respect for the Speaker of the House of Representatives and the National Assembly.
Speaking further, the minister suggested that Oseni was representing contractors affected by recent reforms in the Ministry of Works.
“Let me say that I was not physically present at the meeting, nor was my permanent secretary,” Umahi said. “Nobody can talk to me like that in my presence. It’s not possible.”
Public Outcry: Nigerians Demand Accountability
Umahi’s remarks have drawn backlash on social media, where Nigerians urged him to focus on addressing their concerns about deplorable road conditions rather than deflecting criticisms.
Many expressed frustration with the state of federal roads, calling on the minister to prioritize solutions over defensiveness.
“Mr umahi, ur have actually abandoned our existing roads all over Nigeria and focusing on elephants projects”, commented Daniel Morgan. “Travelling from Southwest to Southeast is now by the special grace of God. Please do something and stop criticizing the messenger and look into the massage.”
Charles Anarado added, “No matter how one may look at this matter, Oseni stands on a sound good point that building a new stretch of road for N15trillion that is more than enough to fix all the bad major roads around the country seems indeed to be a misplaced priority. It’s just like parent using the funds meant for paying his children to school to buy a car to take them to school. His decision may seem good but paying school fees should certainly be his priority”.
Calls for Transparency and Priority on Repairs
Other Nigerians joined the conversation, with some social media users demanding more accountability from the minister.
Nnaemeka Mekah voiced frustration over Umahi’s response to criticism, stating, “This short man takes every criticism as a personal attack. Oga minister, MOST NIGERIAN ROADS ARE IMPASSABLE NOW, and you’re doing absolutely nothing about it. Dunno what else you claim to have achieved in life, but as far as Nigerian toads are concerned, you’re a monumental failure”.
Another user, Nanmah Fanto, supported Oseni’s criticisms, commenting, , “The Reps Committee Chairman, was absolutely correct 2 tell Umahi d truth about accountability n Umahi’s lack of given priority 2 existing bad roads, n concentrating on unimportant road construction. I used 2 think Umahi was wise, until that incident I realized that he wasn’t better at all, he’s also thinking of enriching himself at d detriment of fixing our bad roads. Now, I know better, he shouldn’t be given any more funds until he explains how judiciously he spent d #300 billion given to him”.
Meanwhile, Facebook user, Dapo Oyedele suggested a constructive approach, urging Umahi to respond with facts.
“It’s not about joining issues, it’s accountability. The truth is that federal roads are very bad. But your ministry is doing it’s best. The roads are many… Reply the honourable with facts and figures of what has been done in about one and half years and what’s are your plans to improve the situation of the roads as d minister”.
Nationwide Demand for Effective Solutions
Frustration over Nigeria’s roads continued to echo online, with many demanding that Umahi focus on repairing existing infrastructure.
Ogheneovo Peter William, another Facebook user remarked, “I will join issue Because na bitter the lawmaker tell you, Bad roads every, People are suffering from una bad policies, Them people go still suffer bad road”? he questioned.
“It is not about joining the issue with anyone. It is about fixing the existing roads that we have and stop this white elephant project of Lagos calabar costar road”, a user on Facebook, Sunday Adewuyi Adedokun said.
Continuing, Francis Azuka Obukwelu opined on the ‘blue App’, “He should say something about the bad roads in Nigeria”.
The Chairman, House Committee on Federal Roads Maintenance Agency (FERMA), Engr. Aderemi Oseni has made a donation of ten million naira (N10m) towards the Mogajis’ Ile Eke project in Ibadan.
Oseni, who also represents Ibarapa East/Ido Federal Constituency of Oyo State, said the donation is aimed at supporting the Mogajis assembly’s project that holds immense cultural significance for the wider Ibadan community.
According to him, the project will remain a testament to the cultural and historical legacy of Ibadanland as it is expected to preserve the historic relevance of the palace while enhancing its role as a cultural landmark.
In a statement released on Saturday by his media aide, Idowu Ayodele, and made available to newsmen in Ibadan, the lawmaker emphasised the importance of preserving cultural heritage and fostering unity within traditional institutions.
He highlighted that the project would not only elevate the status of the Mogajis’ assembly but also serve as a central hub for promoting Ibadan’s rich cultural history.
“It is a privilege that I was called to be part of the project. If I fail to support it, the project will still be successful, but I believe I have to contribute. My life is dedicated to serving God Almighty, the people, and humanity,” Oseni said.
He further stated, “As a son of the soil, it is my responsibility to contribute to the growth of our shared heritage – Ibadan and by extension, Oyo state as a whole. The Mogajis’ Ile Eke project symbolises our collective identity and unity as a people. This donation is my modest contribution towards ensuring that future generations can connect with their roots.”
