In a historic 5-2 split decision delivered today, Nigeria’s Supreme Court has fundamentally altered the nation’s maritime landscape. The apex court ruled that the Federal Government lacks the constitutional authority to control or regulate inland waterways that reside entirely within the borders of a single state.
By nullifying Sections 12 and 13 of the National Inland Waterways Authority (NIWA) Act, the court effectively ended decades of federal encroachment. The justices declared these provisions unconstitutional, asserting that they illegally stripped states of their residual powers to manage local aquatic infrastructure and commerce.
This landmark verdict serves as a massive economic win for coastal hubs like Lagos. For years, the Lagos State Waterways Authority (LASWA) has been locked in legal battles with NIWA over ferry licensing and revenue collection. States can now exclusively manage their own water transportation without federal interference or the burden of double taxation on operators.
Significantly, this ruling narrows a previous January 2024 judgment that favored federal dominance. While the Federal Government retains control over interstate and international navigable routes, the most “intra-state” distinction now provides a clear constitutional shield for state-led resource management and urban planning.
Legal experts view this as a major boost for Nigerian federalism. By decentralizing control, the court has paved the way for increased investment in water transport, as investors no longer face the risk of conflicting regulations from two levels of government.
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