[size=14pt]Nigeria: Warri Park - Spearheading Delta's Economic Diversification[/size]
By Crusoe Osagie, 17 April 2012

With Nigeria now being tipped as the third fastest-growing economy in the world, Delta State Government, through its Warri Industrial Business Park, is positioning and priding itself as the place where most of the economic prospects reside in Nigeria, Crusoe Osagie reports

Economic Diversification

Any Nigerian who has not began to imagine Nigeria without crude oil may be leaving too much to chance.

Delta State Government, one of the most prolific states in the country with respect to crude oil occurrence has already started to plan for a future without the crude oil, the commodity with the most economic value in the planet at the moment.

One initiative, which Delta state easily puts forward as a testimony of its commitment to economy diversification, is the Warri Industrial Business Park (WIBP).

The WIBP Project

According to the state, WIBP is an integrated park, comprising a mixed project of industrial, commercial and residential developments.

The park is expected to host a cluster of heavy industries, light industries/terrace factories, warehouses, office complex, commercial retail outlets, hotels, residential apartments and recreational facilities.

It is a planned eco-friendly park intended for the business community (oil and gas, manufacturing, commercial, service companies among others). Green infrastructure such as clean water, healthy soils, recreational parks and adequate shading and shelter within the park, help support the park's long term sustainability goals.

The project would operate as a Free Trade Zone, with a full range of infrastructure and services that would be independent of the public supply. The Free Trade Zone status would offer businesses operating within the park security, tax incentives and labour benefits, which will reduce their business cost considerably.

The project sited on 329 hectares of land, which has been acquired for its development, is located in Edjeba, Warri, Delta State, in the midst of the nation's oil wealth.

Strategic Advantages of WIBP

It is strategically situated within various states and national road and rail networks and is 5km away from the Warri International Airport and 12km from the Warri Seaport.

The location was carefully selected based on business considerations including: proximity to both gas supply and a pipeline network to facilitate the distribution of gas to power industries; presence of a strong industrial and commercial sector with many national companies maintaining local operations targeted at servicing the needs of the vibrant oil and gas sector.

There is also access to a wide range of geographical markets due to its strategic location and the fact that Warri has a strong Oil and Gas presence with many of the oil majors such as Warri Refinery, Shell, Mobil, Total and Nigeria Gas Company well represented with exploration / production and other operating facilities.

Other advantages to WIBP include the availability of skilled labour driven by high literacy levels in Delta State at 85 per cent (national average 71 per cent). Also, 64 per cent of its population in the working class is higher than the national figure of 50 per cent.

There is also the presence of critical infrastructure like the power stations and the gas pipeline that would support the park; the state has a multi modal transportation system to move people and goods, this include national rail network, local and international airport, several seaports and network of roads.

Also, Delta state is home to a rich mix of agricultural and natural resources, which service the raw material needs of many industries. This acts as a pull for many industries with a need to operate close to the source of their critical raw materials. Some of the most common agricultural and natural resources available in Delta State include crude oil, rubber, oil palm, timber, etc.

Features of WIBP

According to the Delta government, WIBP would offer unique investment opportunities in free market environment. Incentives that will be available to local/foreign investors include competitive development cost; plots of land available for long leases; industrial leases; office land leases; commercial building leases.

There will also be pre-built units and common facilities; gate access with on site security (24 hour electronic surveillance); full complement of infrastructure including a state-of-the-art telecommunication system; immediate access to major highways to Warri Port, Osubi Airport and highway linkages to Benin, Ughelli, Asaba and Port Harcourt and design control to maintain the quality of development of the park.

Infrastructure

The government said the park's goal as a service oriented park was to enable hassle free operations right from statutory clearance, construction and throughout the operation of your business in the park.

"As a result of this, our infrastructural facilities and amenities are intended to provide world-class services such as uninterrupted power supply directly from the grid; 100 per cent up-time on power with a 110KV substation; abundant supply of potable water from both ground water and surface water sources; state of the art IT/Communication infrastructure with over 50,000 telephone lines; dedicated telephone exchange.

"Cable and satellite links; high quality internal road system of primary, secondary and local distribution roads; solid waste disposal system; on - site sewage treatment plant and waste disposal system; efficient storm water drainage system; fire fighting facilities; on site gas supply; water treatment plant to treat water to World Health Organisation standards; helipad; private jetties and friendly/flexible policies", it added.

Rate of Accessibility

WIBP's accessibility to commercial and trading centres in Nigeria is one of its distinct advantages.

It is located in Warri, which is an area that has over the years become known for its singular ability to attract significant numbers of Global/Foreign investors and investments; such as Shell, Chevron, and British Petroleum among others.

The ongoing Government-initiated economic and infrastructural development projects would go a long way to position Warri as the preferred location for new investments in Africa.

The state says, in comparison to most industrial parks in the world, WIBP's cost per square foot would enable its tenants maintain and increase their bottom line.

"Warri Industrial Business Park recognises the current difficult economic environment and as a result of this, it tries to adapt its lease contracts to support the requirements of its potential tenants. The Industrial Business Park is designed to be the preferred choice for global business Interaction and a friendly business environment for investors and tenants."

http://allafrica.com/stories/201204170281.html

Good. So when exactly can we expect work to be completed? When will the park open for business?