A revived dispute between BUA Group and the Nigerian Ports Authority (NPA) under Hadiza Usman casts new light on unresolved power struggles in Nigeria’s business environment
[dropcap]N[/dropcap]early seven years after it first erupted, a port concession row between Nigerian conglomerate BUA Group and the Nigerian Ports Authority (NPA) has resurfaced, exposing enduring questions about transparency, due process, and power dynamics in Nigeria’s business environment.
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The dispute, long thought resolved during the administration of former President Muhammadu Buhari, was brought back into public focus on 29 May 2025, when BUA Chairman Abdul Samad Rabiu referenced it in an article marking the second year of President Bola Tinubu’s administration.
In the piece, Mr Rabiu recounted how, in 2019, the NPA abruptly terminated BUA’s lease agreement for Terminal B at the Port Harcourt Port, threatening a \$500 million investment and over 4,000 jobs.
He accused the then-NPA Managing Director, Hadiza Bala Usman, of acting arbitrarily and alleged her actions were influenced by personal relationships rather than public interest.
“One day, we woke up to a letter stating that the concession had been revoked… no prior warning, no issue, no conflict,” Mr Rabiu wrote.
“Later, we discovered that the MD of NPA at the time closed the business simply because our operations were competing with those of her friend.”
Although Mr Rabiu did not name Ms Usman directly, the timeline and context made the target of his claims clear.
Now serving as President Tinubu’s Special Adviser on Policy Coordination, Ms Usman swiftly refuted the allegations.
She described Mr Rabiu’s claims as “blatant falsehoods” and stated that BUA received multiple warnings for failing to meet contractual obligations under the 2006 concession agreement.
“The record clearly shows that due process was followed,” she said.
His actions undermined the rule of law and violated the spirit of transparency that must govern public-private partnerships.
“Contrary to Mr Rabiu’s claims, the decision to issue a termination notice was not arbitrary, but the culmination of years of documented default.”
Ms Usman insisted BUA failed to rehabilitate the terminal’s berths for over a decade, prompting notices of default in February and August 2016, and a formal termination notice in November that year.
She added that these events occurred before she assumed office in July 2016.
She also accused Mr Rabiu of misusing his access to former President Buhari to secure political intervention and override institutional processes.
“His actions undermined the rule of law and violated the spirit of transparency that must govern public-private partnerships,” Ms Usman said.
BUA Group responded by asserting that Ms Usman ignored key obligations under the lease agreement.
The company alleged that she failed to honour requests for remedial works approval and neglected vital infrastructure responsibilities—such as dredging and securing the berths—which hampered BUA’s operations.
“Her actions were motivated not by due process, but by personal animosity and abuse of office,” BUA stated.
BUA revealed it had obtained a Federal High Court injunction in January 2018 halting the termination and later participated in arbitration proceedings initiated by the NPA.
However, it claimed Ms Usman still decommissioned the berths in breach of court orders and the agreement’s dispute resolution clause.
The company argued that had Buhari not intervened—after a legal review by the Attorney General confirmed unlawful termination—it would have set a dangerous precedent for the sanctity of contracts in Nigeria.
The dispute has reignited scrutiny of Ms Usman’s controversial tenure at the NPA, which ended with her 2021 suspension over alleged unremitted funds—claims later dismissed by an administrative panel.
Her media adviser, Niran Adedokun, dismissed BUA’s latest allegations, saying the company delayed its obligations for over a decade.
He also noted that BUA berthed over 100 vessels between 2018 and 2019—proof, he said, that the NPA complied with court orders.
“It is interesting that BUA proudly states it began a project due in 2006… in 2022,” Mr Adedokun added.
Despite differing accounts, the revived row underscores persistent concerns about the rule of law, regulatory overreach, and investor confidence in Nigeria.
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“This matter goes beyond BUA. If such actions had been allowed to stand, it would have sent a disastrous signal—that contracts in Nigeria are worthless, court orders optional, and public agencies above the law.”
