NIGERIA · PORTS & SHIPPING REGULATION 

What the NPERA Act Means for Nigeria’s Ports 

A new statutory regulator, a wider regulatory perimeter, and a clearer test for tariffs — what the Nigerian Ports Economic 

Regulatory Agency Act, 2026 changes, and what it leaves open. 

By KON & Associates Shipping & Logistics Practice

IN THIS ISSUE 

• 1. Introduction — from the Shippers’ Council to NPERA 
• 2. A legislative response to the courts 
• 3. Scope of the NPERA Act 
• 4. Tariffs: a clearer statutory footing 
• 5. The question of institutional capacity 
• 6. So, what next? — an action checklist

Introduction 

Following Presidential assent to the Nigerian Ports Economic Regulatory Agency Act, 2026 (the “NPERA Act”), the Nigerian Shippers’ Council (NSC) has been replaced by the Nigerian Ports Economic Regulatory Agency (NPERA) as the statutory economic regulator of Nigeria’s ports. 

The significance of the new legislation, however, extends beyond the creation of a new government agency. It addresses a longstanding question about the legal foundation for economic regulation in the port sector, and introduces a broader regulatory framework with stronger enforcement powers. 

The Nigerian Shippers’ Council operated principally as a body concerned with the protection of shippers and the facilitation of engagement between stakeholders. Its statutory functions included providing a forum for the protection of shippers’ interests, encouraging the formation of shippers’ associations, assessing the adequacy of shipping and related services, advising government on freight rates and port charges, and negotiating with shipping lines, the Nigerian Ports Authority (NPA) and other relevant bodies. 

That position began to change in 2015, when the NSC was designated Economic Regulator of the ports. The designation, however, generated an important legal 

question: could an executive instrument confer substantive economic-regulatory powers on an agency whose enabling legislation did not expressly provide those powers? 

THE COURT’S ANSWER 

Alraine Shipping Agencies (Nig) Ltd & Ors v Nigerian Shippers’ Council & Anor — the Court of Appeal overturned a Federal High Court ruling that had upheld the executive appointment of the NSC as economic regulator, holding that an executive order could not validly displace the existing statutory position without legislative amendment. The Court also set aside a tariff notice the NSC had issued under its purported regulatory powers.

The NPERA Act represents a concrete legislative response to this uncertainty. 

A Legislative Response 

The new framework expressly establishes NPERA as the economic regulator of the port sector, repeals the Nigerian Shippers’ Council Act, and gives NPERA statutory powers relating to registration, tariff regulation, monitoring, investigation and enforcement. In this respect, the legislation is not merely an institutional rebranding of the NSC. 

It represents a shift from a predominantly consultative, shipper-focused model to an express economic-regulatory regime covering a substantially wider range of activities and market participants. 

Under the previous framework, the statutory functions of the NSC were largely expressed in terms of protecting shippers, facilitating consultation, making recommendations and advising government. The NPERA framework, by contrast, is designed around regulation of the market itself. Its stated objectives include establishing a legal framework for the efficient economic regulation of regulated services and related activities in Nigerian ports, while protecting the interests of shippers, providers and users of regulated services. 

Scope of the NPERA Act 

The new Act does not simply overhaul the existing regime to start from a fresh slate. Rather, it establishes NPERA as a continuance and extension of the functions, powers and obligations of the NSC. The scope of the new Act extends beyond traditional shipping activities to areas including cargo handling and storage, freight forwarding and clearance, stevedoring, haulage, cargo consolidation and brokerage, off-dock terminals, inland dry ports, seaport terminals and jetties, logistics services, and other services provided within the port or subsequently designated as regulated. 

This breadth means the practical impact of the Act will not be confined to shipping lines or terminal operators. Businesses operating across the wider port, cargo and logistics ecosystem will need to consider whether their activities fall within NPERA’s regulatory perimeter. 

The new institutional architecture also seeks to create a clearer distinction between economic regulation and port administration. The Nigerian Ports

Authority retains its role in relation to port infrastructure and landlord functions, while NPERA assumes responsibility for economic-regulatory matters including tariffs, registration, service standards, competition and commercial dispute resolution. NPERA is therefore intended to operate alongside, rather than replace or jostle with, the NPA. 

This separation has the potential to improve regulatory predictability. Businesses operating in the port sector require reasonable certainty about the rules governing prices, the standards applicable to service providers, and the consequences of non-compliance — and investors and operators making long-term commercial decisions are now better positioned with the advent of the NPERA Act. 

NPERA has also been given a broader mandate in monitoring the economic performance of the sector. Its functions include monitoring compliance with port concession agreements and service-level agreements, setting registration terms and fees, establishing and enforcing performance standards, advising government on freight rates and port charges, receiving complaints and disputes, mediating between providers and users, and collaborating with the relevant competition and consumer-protection authorities. This is particularly noteworthy because, in principle, a regulator with express responsibility for economic regulation can provide an institutional mechanism for addressing conduct that may undermine fair competition or disadvantage smaller market participants. 

TARIFFS 

REGISTRATION 

MONITORING 

ENFORCEMENT 

DISPUTES 

NPERA’s regulatory perimeter now spans registration, tariffs, monitoring, enforcement and dispute resolution 

NPERA Act & Tariffs 

Tariff regulation is an area where this change is likely to be felt most directly. Although the NSC had exercised economic-regulatory functions in relation to tariffs and charges following its designation as Port Economic Regulator, the 

NPERA Act places those functions on a clearer statutory footing and strengthens the consequences of non-compliance. 

Regulated service providers are required to file their tariffs with the Agency and cannot charge outside approved guidelines without the Agency’s consent. The Act also introduces a more extensive enforcement framework than existed under the repealed NSC legislation, including administrative sanctions, fines and other consequences for breaches. 

The Question of Institutional Capacity 

The introduction of the new Act, while a very positive step, does not mean the challenges of port regulation have been resolved by legislation alone. The effectiveness of NPERA will ultimately depend on its institutional capacity. Economic regulation of a sector as complex as the port sector requires more than a facelift and documentation — technical expertise, adequate staffing, reliable data, transparent procedures and sufficient resources to investigate and enforce

regulatory requirements are all necessary. It also requires the regulator to exercise its powers consistently and independently. 

The Act contains safeguards concerning funding and contributions from regulated entities, but the practical independence and effectiveness of the Agency will depend substantially on how its governance and regulatory processes operate in practice. 

There is also the important question of regulatory overlap. NPERA will operate within an existing institutional landscape involving the NPA, the Nigerian Maritime Administration and Safety Agency, the National Inland Waterways Authority, and the Federal Competition and Consumer Protection Commission, among others. The Act requires NPERA to exercise its functions without contravening legal instruments implemented by other government agencies, but the boundaries between some of these mandates may still require careful interpretation and coordination. 

AT A GLANCE 

New regulator: NPERA replaces the Nigerian Shippers’ Council as the statutory economic regulator of Nigeria’s ports. 

Wider scope: Coverage extends beyond shipping to cargo handling, freight forwarding, stevedoring, haulage, off-dock terminals, inland dry ports and logistics services. 

Tariffs: Regulated providers must file tariffs with NPERA and cannot charge outside approved guidelines without its consent. 

Enforcement: A stronger regime of administrative sanctions and fines applies for breaches. 

Open question: Effectiveness will hinge on NPERA’s institutional capacity, independence and coordination with the NPA, NIMASA, NIWA and the FCCPC. 

So, What Next? 

For businesses in the sector, the appropriate response is not simply to wait for the new regime to settle. The transition presents an opportunity to review existing regulatory arrangements against the NPERA framework. In particular, operators should: 

1. Assess registration requirements under the new NPERA framework. 

2. Review existing tariff arrangements, licences and approvals. 

3. Revisit contractual provisions dealing with regulatory changes and tariff variations. 

4. Confirm obligations to provide information to regulators. 

5. Evaluate potential exposure to inspections, sanctions and other enforcement measures.

Holding a license from another government agency does not necessarily remove the need to comply with separate NPERA registration requirements where the Act applies. 

Conclusion 

The NPERA Act is a significant development in the legal architecture of Nigeria’s ports. Its most immediate achievement is to provide a statutory foundation for economic regulation, replacing a contested regulatory arrangement with a framework expressly enacted by the National Assembly. More importantly, it creates the possibility of a port sector in which tariffs, service standards, competition and market conduct are subject to clearer and more predictable economic regulation. 

Whether that possibility becomes reality will depend on implementation. The legislation has settled the question of statutory authority that surrounded the NSC’s economic-regulatory role; the next question is whether NPERA will have the institutional capacity, resources and independence required to exercise that authority effectively. For market participants, the transition has already begun — and the prudent course is to understand the new regulatory framework and assess its implications before compliance issues become enforcement issues. 

Assessing what NPERA means for your operations? 

Our Shipping & Logistics practice advises port operators, terminal owners, freight forwarders and logistics businesses on registration, tariff filings, licensing and regulatory compliance under the NPERA Act. 

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