APM Terminals signs MoU with Nigerian Ports Authority on roadmap for electrification

APM Terminals’ West African Container Terminal (WACT) in Onne and the Nigerian Ports Authority has entered into a strategic partnership to accelerate decarbonisation across Nigeria’s port and transport ecosystem. The agreement was formalised on Monday September 22 at the Dutch Consulate in New York, during the week of the Global African Business Initiative, where both parties signed a memorandum of understanding (MoU). The MoU establishes a roadmap for electrifying containerised freight, in line with the policies of the Federal Ministry of Marine and Blue Economy in the country.

“We believe that Nigeria is ideally situated to lead West Africa’s transition to low-carbon logistics by electrifying its container transport sector,” said Frederik Klinke, CEO of APM Terminals Nigeria. “Nigeria is Africa’s largest economy and trade hub, and our research shows us that the country can leapfrog fossil-fuel infrastructure and adopt proven electric technologies. We are therefore very optimistic about our joint plans to develop a phased roadmap towards an electrified future for container logistics”.

Reacting to the MOU-signing, the managing director of the Nigerian Ports Authority Dr. Abubakar Dantsoho said: “By this development, the Onne Port will be the first green port in Nigeria and will thereby be promoting the decarbonisation efforts within the transportation ecosystem. This will also make Nigerian ports the leaders on the continent in terms of sustainable port operations.”

While congratulating APM Terminals on the collaboration, which will be wholly funded by APM Terminals to the tune of 60 million USD, Dr Dantsoho expressed his hope that this agreement would become a model that other African countries can replicate.

The agreement builds on a study APM Terminals presented to the Vice President of Nigeria at the Decarbonising Infrastructure in Nigeria Summit in Abuja in July. The study concluded that moving from fossil fuels to electrified container freight could lead to private investment, create skilled jobs, and deliver a more reliable energy supply. Achieving this transition, however, will require strong coordination across sectors and close collaboration between public and private partners.

“For APM Terminals, partnerships are key to generating long-term growth and value in the countries where we operate,” said Jeethu Jose, Managing Director of WACT. “Our investments are for our shared future and for the people of the region. We look forward to driving this project alongside our stakeholders in the port industry.”