Category: Business

  • Stakeholders trade words over collapsed buildings

    Stakeholders trade words over collapsed buildings

    ARTISANS, professionals, some government agencies and manufacturers are trading words over frequent building collapses.

    Speaking at a workshop for concrete managers and artisans in Lagos, the stakeholders said if the decisions reached earlier by them were implemented, the nation might have experienced fewer cases of building failures.

    Several cities in the country, including the Federal Capital Territory (FCT) have witnessed building collapse, but Lagos probably because of its large size, seems to have more cases.

    This, perhaps, was why the workshop for concrete managers and artisans was organised by the Building Collapse Prevention Guild (BCPG) and the Lagos State Ministry of Physical Planning & Urban Development.

    BCPG Chairman, Mr Kunle Awobodu, said the collapse of buildings under construction and older buildings indicated a lag between the rate of development and monitoring and an evidence of dwindling observance of standard practice and dominion of quacks in the sector.

    He observed that though Lagos has been in the forefront of confiscating land of collapsed buildings to serve as a deterrent to reckless developers, the government also witnesses collapse in its own government buildings.

    Noting that the negative attitude that leads to the collapse of buildings owned by individuals also exists in the government system, he called for a closer working relationship between professionals in public service and those in the private sector to achieve desired results.

    He called for the recognition of concrete workers, saying though they occupy an important position in the sector, they are not well paid.

    He said a day of massive concrete at site could be a nightmare for the site manager and client as some of the concrete workers are intractable, difficult to control, behave irrationally and prone to violence.

    A former lecturer in the Department of Building of the Yaba College of Technology (YABATECH), Mr Siraj Bokini, said blamed artisans for buildings collapse, saying they have no liability except to the contractor who employed them.

    He also blamed clients, who insist on half measures and some professionals who compromise their ethics in a bid to make make extra cash.

    He observed that some people build without taking into consideration weather conditions, site communication, mixing rate, design interpretation.

    President, Nigeria Institute of Architects (NIA), Mr Haruna Ibrahim, said 10 years ago, there were fewer cases of collapsed buildings. He called for the reduction of cement price and the auditing of the structural integrity of buildings. The NIA boss called for the punishment of building control contraveners to serve as deterrent to others.

    In an address, the Commissioner of Physical Planning & Urban Development, Mr Toyin Ayinde, said the government has structured the monitoring of the physical development of the state into 57 sectors.

  • Who owns GAT, FAAN or Bi-Courtney?

    Who owns GAT, FAAN or Bi-Courtney?

    •Row over airport terminal deepens

    The war of attrition between the Federal Airports Authority of Nigeria (FAAN) and Bi-Courtney Aviation Services Limited over the ownership of the remodelled General Aviation Terminal (GAT) at the Murtala Muhammed Airport, Ikeja, Lagos, is still raging . According to FAAN, the truth has not been told about the status of the terminal.

    faan, according to its spokesman, Mr Yakubu Dati, explained that it is imperative to explain the ownership status of the terminal following what he calls misrepresentations by Bi-Courtney. The firm, which manages the MMA2 terminal, is claiming ownership of the facility.

    dati was reacting to a statement by the firm’s spokesman Mr Steve Omolale-Ajulo, that the terminal does not belong to FAAN.

    dati said: “ It is an open secret that Bi-Courtney, in a desperate bid to also deceive unwary Nigerians, has taken it upon itself to engaged in a campaign of calumny against both the Federal Ministry of Aviation and the Federal Airports Authority of Nigeria for standing up against the company’s well-known penchant for taking undue advantage of its business partners, especially government agencies.

    “This has been done through several sponsored articles using different channels to propagate lies to the public. Other times it had gone overboard to sponsor faceless individuals to do its bidding.

    “We know that the case between FAAN and BASL has not been finally decided by the judiciary, so we will limit our response to his article and present facts that will debunk the lies and expose the mischief contained so that the public is not deceived.

    “The pertinent question remains, agreement approved by who? Does the Ministry of Aviation and FAAN have the authority to cede government property to a third party or concessionaire, without the approval of the Federal Executive Council, which approved the initial concession in the first place?

    “It should be noted that it is not in all the cases that a minister’s action receives the approval of Mr President and some ministers have been relieved of their portfolios or meted with stricter measures because of such illegal or irrational actions.

    “The fact is that the draft agreement for the Build, Operate and Transfer (BOT) of the Domestic Terminal 1 was for a total cost of N3.9billion and the tenure of the agreement was 12 years, dully approved by the Federal Executive Council. This is the only authentic agreement.

    “Immediately after this agreement, Bi-Courtney organised a consortium of banks and got a loan facility to the tune of N38billion contrary to the terms of the agreement which pegged the cost at N3.9billion. Bi-Courtney then proceeded to build a different design that was not agreed nor approved by FAAN. This was the genesis of Bi-Courtney’s predicament.

    “The company after realising its folly now approached a consultant KPMG on how long it would take to recoup the N38billion. The consultant findings revealed that it would take 36 years.

    “Their co-travellers at the Ministry also got another consultant, who recommended 45 years! Realising this dilemma, they started various divisive antics on how to get an elongation of tenure of the initial agreement through their connections at the helms of affairs at that time.

    “They approached the former President, the late Alhaji Umar Musa Yar’Adua, to authorise an elongation; predictably, he out-rightly refused them because it was not in the overall interest of the nation.

    “They again went back to a former Minister of Aviation, and persuaded one of his Personal Assistants contrary to government’s regulation who gave them a purported letter of approval extending the tenure to 36 years. It is this fraudulent and criminal document they have been brandishing around as official approval for this bogus project.

    “Furthermore, the company got another purported approval from a former Attorney-General, who set up a committee, got people who are not staff of FAAN to be the members of the committee, to extend the tenure to 36 years.

    “All the so-called approvals were without any FEC approval. There was none, whatsoever from DPP, ICRC and other mandatory organs. We challenge Bi-Courtney to produce any formal approval, for extension of the tenure of agreement by FEC, and bring this out to the public domain.

    “The purported approvals are not in the best interest of the nation and people who ought to be in jail are busy misinforming the public in pursuit of greedy, selfish interest.

    “Bi-Courtney is the one talking about its predicament so, the onus is on it to justify this so-called predicament imposed by government, by publishing the document signed by the same government granting it a 36-year concession and the ownership of GAT.

    “If Bi-Courtney does not take up this challenge, it is an admission that the company is suffering from a self-imposed predicament, engendered by greed and insincerity, to say the least.

    “Nigerians should appreciate this government for deciding to put an end to the discrepancies and criminal tendencies associated with many concession agreements of the past, no matter who is involved in these concessions.

    “The overall best interest of the country should override the narrow and parochial interests of a few self-serving government officials and fraudulent investors.

    “In the words of Abraham Lincoln: ‘You can fool some of the people all the time, but you cannot fool all the people all the time.’ The game is up for Bi-Courtney.”

    •Dati is General Manager, Corporate Communication, FAAN

  • ‘How to achieve stable power through reduced system collapse’

    ‘How to achieve stable power through reduced system collapse’

    System collapses have been responsible for some of the power outages experienced and once it occurs, it affects a substantial number of areas and customers across the country. What are the causes and way forward? EMEKA UGWUANYI, Assistant Editor (Energy) examines the development.

    Background

    The power supply chain consists of generation, transmission and distribution but customers of the Power Holding Company of Nigeria (PHCN) oftentimes blame power outage on the distribution companies, which however, is the nearest of the chain to them but a chunk of the outages were as a result of system collapse from the transmission division.

    The transmission arm of the power supply chain is very vital because it is responsible for taking electricity to various parts of the country, homes and offices. Unlike the generation and distribution segments, which alternatives can easily be provided when they develop faults, the transmission is not so in view of the grid system Nigeria runs. Therefore, whenever there is partial or total system collapse, substantial number of customers and areas are affected.

    To buttress how strategic the transmission division is to the power supply value chain, the former Minister of Power, Prof. Barth Nnaji, had in April last year, sacked three top officers of PHCN including the former Managing Director, Transmission Company of Nigeria (TCN), Akinwumi Bada; alongside Head, Operator of the Nigerian Electricity Market, Uzoma Achinanya; and Executive Director, Human Resources, PHCN, Olushoga Muyiwa.

    The TCN was sacked on accusation that there were several and consecutive system collapses within the period, which regularly threw the country into darkness. It was believed that there was connivance among the top officers in sabotaging government’s efforts to fix the power sector.

     

    Causes of system collapse

    The Executive Director (System Operator), Transmission Company of Nigeria (TCN), Mr Jonathan Ndiagwalukwe, an engineer, who spoke at a power summit in Lagos highlighted the importance of transmission arm of the electricity supply chain.

    In his paper entitled: Frequency control and grid stability, he said transmission originated disturbances like the tripping of critical tie-lines, wiping out of distribution loads during rainstorm, which result in high system frequency, inadequate transmission network redundancies for parallel and alternate power flows, major equipment failure that sometimes result in loss of part or the entire system, inadequate available generation for scheduling, sudden shutdown of generating units on fault or fuel (gas) supply problem, and inadequate or total absence of Spinning Reserve (unused capacity of generating units, which can be delivered without manual intervention) can cause system collpase.

    Others include absence or insufficient number of machines with functional Automatic Governor Control, poor SCADA/IED coverage of the grid, absence of protective earth wire on major load lines owing to vandalism and little maintenance coordination between generation, transmission and Nigeria Gas Company

    He maintained that supply of power at the right quantity helps maintain stable frequency while otherwise would cause system collapse. He also noted that a well maintained distribution network which ensure that the facilities are not overgrown by vegetation which can lead to snapping of wires if branches of trees fall on them (lines) and poles not destroyed by the slightest rainstorm, among others would ensure stable frequency.

    He said: “The quality of electric power supply is defined within the permissible variation in the statutory requirements of frequency and voltage. System stability is a subject of great interest to the system operator because it affects electricity supply quality and reliability.

    “Frequency is a measure of the speed of the generating unit’s shaft (rotor). It is measure in cycles per second. A 2-pole generator, for example, producing an output frequency of 50Hz, has an engine speed of 3,000 revolutions per minute (rpm). For a generating unit the revolution per minute (N) of the prime mover for a given system frequency f is given by N=120f/P where P is the number of poles.

    “An electric power grid is a system of electric power generation and transmission equipment/devices, including the lines – interconnected in a mesh (network) for efficient delivery of electricity. Power systems are often interconnected to: improve reliability and quality of power supply, reduce the spinning reserve requirement of individual systems and utilize the synergy offered by grid control and optimization devices.

    “In power systems, generation, transmission and distribution are interconnected at their interface points and frequency is common throughout the interconnection. If load and generation are matched, frequency is 50Hz. If load exceeds generation, frequency is below 50Hz and if generation exceeds load, frequency is above 50Hz and any large interconnected power system is composed of several generators synchronously connected.

    “Therefore, a perfect real or active power balance: is active generation equals active demand including losses. This ensures constant speed and frequency of operation but unfortunately, the load impressed on the system does fluctuate, more so, in a random fashion. It is, therefore, virtually impossible to accomplish equilibrium of active generation and active demand.

    “An excess or deficiency in active power generation will always manifest. This mismatch normally results in frequency fluctuation which could culminate in system instability.

    “In practice, we seek to achieve this balance through manual load shedding, generation scheduling or by the appropriate application of frequency relays. At steady state system, frequency is 50Hz in Nigeria and most countries of Africa and it is 60Hz in some countries, for example, the United States of America. Frequency control objective revolves around maintenance of the equilibrium between generation and load. This, in system operation parlance, is termed power balance.”

    On frequency operating limits, he said that the Grid Code stipulates the following: Nominal Frequency: 50Hz and Steady State: 50Hz +/- 0.5% [49.75Hz – 50.25Hz] and Under System Stress: 50Hz +/- 2.5% (48.75 – 51.25 Hz).

    He said that if there high frequency, it damages apparatus and customer equipment, causes generator over speed hazard and also injurious to transformer because (volt/Hz ratio exceeded).

    He said that a power system operates in normal state when system frequency and voltages are close to their nominal values, while maintaining scheduled load flow profile. “In this mode of operation, control is required to: maintain scheduled voltages and frequency, maintain scheduled tie line flows and obtain economic generation. He also explained the alert mode, emergency mode, and restorative mode

     

    System stability

    He said that a system that is able to develop restoring forces sufficient to overcome the disturbing forces – and restore equilibrium – is said to be stable. A system is termed insecure when this capability does not exist. Power system stability problems are commonly classified into two categories: Steady state and Transient.

    Steady state frequency controls take care of minor disturbances (variations) in the generation-demand equilibrium. System is in a steady state when all the required parameters impacting on System Operations exist like adequate generation, operating reserves and healthy transmission network.

    Transient stability problems deal with the effects of large, sudden system disturbances such as: Line faults, sudden switching of lines or the sudden application or removal of loads, loss of a major generating unit at a power station.

    Spinning reserve, he reiterated, is one key tool for managing system frequency and keeping the system stable. Experience from the operation of the Nigerian Grid between 15th January 2011 and February 2012 when there was reasonably sufficient Spinning Reserve clearly showed that. He said that Spinning Reserve should be taken seriously as a tool in managing system frequency for the attainment of a more stable grid.

     

    Solution

    Ndiagwalukwe said that although the Nigeria power system is without doubt problematic but there are ways to ensure more stable and secure grid. These include reduction in tripping of critical tie lines by having a well maintained transmission line trace as well as properly coordinated and discriminative line protection schemes.

    Others are replacement of vandalized sky wires that expose the lines to lightning strikes and replacement of obsolete transmission equipment to reduce the incidence of equipment failure to the barest minimum.

    He said well maintained distribution network with properly tensioned lines, free from over grown vegetation, broken wooden cross arms replaced and lean poles stood erect would forestall sudden large scale loss of distribution loads at the slightest rainstorm with its attendant high system frequency.

    He added that sudden shutdown of generating units on loss of gas pressure can be checked by developing robust and well maintained gas supply system

    According to him, deployment of spinning reserve on units that have been identified to have functional automatic Governor Controls are vital adding that power stations capable of doing this are those at Egbin, Ughelli, Olorunsogo NIPP and Kainji.

    He noted that the on-going SCADA reactivation, which would be completed soonest, would help to avail the System Operator the benefits of Energy Management System (EMS) and effective use of Automatic Generation Control (AGC), which can only be offered by a fully working SCADA system.

    He said also vital is a coordinated maintenance programme involving the Nigerian Gas Company (NGC), generation and transmission divisions as well as construction of additional relief/redundancy lines to the critical 330Kv Onitsha – Benin and Alaoji – Onitsha single circuit lines.

    The creation of more loops in the grid, such as Alaoji – Ikot Ekpene – Ugwuaji – New Heaven 330kV loop, are important, he said, adding that these projects, which are on-going, will, on completion, make the grid more robust, flexible and resilient to system instability.

    He noted that building power stations in the North would improve both voltage stability in the area, especially the Northeast.

  • Customs introduces new cargo clearance method

    Customs introduces new cargo clearance method

    To facilitate cargo clearance at the ports, the Nigerian Customs Service (NCS) has adopted the Pre-Arrival Assessment Report (PAAR).

    Customs went for PAAR following the expiration of the contract given to service providers by the Federal Government on Risk Assessment Reports (RAR).

    PAAR, it was learnt, will be one single document for clearing goods.

    Customs, sources said, would hold sensitisation workshops for those that will implement PAAR.

    PAAR, it was gathered, would aid the 48-hour clearance of goods policy.

    The workshops for customs licensed agents, will dwell on the new clearing procedures, classification of goods and the time-tested valuation of goods’ processes. The workshops are expected to start soon.

    Young graduate officers, have been recruited and trained abroad and they will be deployed in the ports for intelligence gathering under PAAR, a source said.

    PAAR, the source said, would use pre-classification and prevaluation mechanisms to facilitate the importation of goods and enhance Customs efficiency.

    There will be an integrated Risk Management Platform to be shared by Customs, National Agency for Food Drug and Administration Control (NAFDAC), National Environmental Standards and Regulations Enforcement Agency (NESREA), Standards Organisation of Nigeria (SON), among others, to ensure consistency and make cargo clearance easy under the new regime.

    It will also have a web-based system, using recent technologies to ensure a faster and more accurate service and generate PAAR not later than five working days for shipments by sea and two working days for shipments by air/land after receipt of documents (based on Import guidelines.

    President, Association of Nigerian Licensed Customs Agents (ANLCA) Olayiwola Shittu, said the initiative is good, expressing hope that it would be well-implemented.

    While calling on the Federal Government to review the number of agencies at the ports, Shittu said PAAR would boost efficiency at the ports.

  • Emirates offers ‘special‘ 2013 fares

    Emirates Airlines is welcoming 2013 aboard by offering attractive fares for quick-acting customers. Whether your New Year’s resolution is to spend more time with family and friends or visit a dream destination Emirates’ Economy class deals, currently available for early bookers, offer something for everyone.

    The special fares apply to more than 120 destinations across the Emirates’ network when booked between December 26, 2012 and January 2013.

    “With our excellent on board product and a long list of exciting destinations – from Buenos Aires and San Francisco in the west to Tokyo and Auckland in the east – there are already many reasons to experience Emirates,” said Thierry Antinori, Emirates’ Executive Vice President – Passenger Sales Worldwide. “Now, we are injecting even more value into Economy Class fares, while giving a warm welcome to 2013. We urge customers to move quickly to secure seats at the best price,” added Mr Antinori.

    The raft of savings means that passengers can fly, for example from Nigeria to other Middle East destinations for as little as US$989, to Dubai from US$956. Prices to India and South East Asia starts from US$840, fares to South East Asia begin from $1,103, China and Japan starts from $998 while Australia and New Zealand can now be reached from $2,415. All the prices quoted are inclusive of taxes and fuel surcharges.

    Emirates’ world has grown rapidly in 2012, with the launch of 15 new destinations, bringing new countries, cultures and experiences for customers to explore.

  • ConocoPhillips continues assets divestment in Africa

    Barely one week the American oil giant, Conoco Phillips, sealed deal with Oando Energy Resources (OER), an affiliate of Oando Plc, to ConocoPhillips to acquire its entire business interests in Nigeria for a total cash consideration of $1.79 billion plus customary adjustments the company has also agreed to sell its Algerian business unit to Indonesian state energy company PT Pertamina for $1.75 billion, plus customary adjustments, as part of its ongoing asset-disposition programme in Africa.

    ConocoPhillips Algeria Limited, according to Dow Jones Newswires, holds interests in three major onshore oil fields that averaged 11,000 barrels of oil equivalent per day through October. ConocoPhillips said the net carrying value of its Algerian assets was roughly $850 million as of October 31, 2012.

    The report said that ConocoPhillips expects to close the transaction by mid-2013 adding that the Houston-based energy company is in the midst of a three-year repositioning aimed at improving its balance sheet and focusing on more profitable, less risky unconventional fields in North America. ConocoPhillips has sold or plans to sell more than $7 billion in assets in 2012, including a $5 billion sale of its stake in Kazakhstan’s Kashagan field in the Caspian Sea announced last month. The company also spun off its refining arm earlier this year to Phillips 66.

    Oando, during the transaction said, in a statement by its spokesman of Oando, Mr Meka Olowola, that the transaction includes the intended purchase of Phillips Oil Company Nigeria Limited, which holds a 20 per cent non-operating interest in Oil Mining Leases (OMLs) 60, 61, 62, and 63 as well as related infrastructure and facilities in the Nigerian Agip Oil Company Limited (NAOC) Joint Venture.

    He also said the other partners are the Nigerian National Petroleum Corporation (NNPC) with a 60 per cent interest and NAOC (20 per cent and operator); and Phillips Brass Limited, which holds a 17 per cent shareholding interest in Brass Liquefied Natural Gas (LNG) Limited, which is developing the Brass LNG project, a Greenfield project to develop a two-train, 10 million ton per year liquefied natural gas facility in Bayelsa State, Nigeria. The other partners in this project are NNPC (49 per cent); Eni (17 per cent) and Total (17 per cent).

    In the offshore business arm of the deal, Oando said it would also acquire ConocoPhillip’s’s 95 percent interest in OML 131 in which Medal Oil owns five per cent; and ConocoPhillip’s 20 per cent non-operating interest in oil prospecting licence (OPL) 214.

    The other partners in OPL 214 are ExxonMobil (20 per cent and operator), Chevron (20 per cent), Svenska (20 per cent), Nigerian Petroleum Development Company (15 per cent) and Sasol (five per cent).

    Pursuant to the proposed acquisition, Oando will purchase all of the issued share capital of ConocoPhillips’ onshore and offshore affiliates in Nigeria. Upon closing, the effective date of the proposed acquisition will be today.

    According to Olowola, in connection with the proposed acquisition, Oando has retained The Petroleum and Renewable Energy Company Limited (Petrenel), OER’s independent reserves evaluator, to prepare a report on the reserves and resources of OMLs 60, 61, 62 and 63, which are onshore and OML 131 and OPL 214, which are offshore assets, proposed to be acquired under the proposed acquisition.

    Oando has got approval from Security and Exchange Commission (SEC) to raise N54.6 billion through right issue, which opened on December 28 and would close on February 6, 2013.

  • UK agency lifts construction  with  £3.5m

    UK agency lifts construction with £3.5m

    Construction Ideas Fund, a United Kingdom Department for International Development (DFID) project, has opened its second funding round for the construction and real estate sector in Nigeria under an agency, Growth & Employment in States (GEMS 2).

    The funding is aimed at promoting economic growth within the sector, and also support changes by encouraging innovative ways that businesses can work with and for the poor.

    The Team leader, Paul Wejiers, told The Nation that CIF is a funding mechanism, which shares the financial risk of innovative projects within the construction and real estate.

    He said the Fund welcomes innovative ideas for projects which meet its core objective of increasing employment and incomes in the construction and real estate sector.

    “If a Nigerian business or organisation has an idea that not only improves her business, but can also be shown to have a lasting positive impact on the sector, particularly in terms of increased income and employment opportunities for low-income groups, then such business or organisation can access the fund upon satisfying the eligibility criteria”, he said.

    According to him, a company or business is deemed eligible if it is commercially-oriented and has its operations in the FCT, Lagos, Kaduna or Kano State, adding that other non-commercial oriented (not for profits) organisations can partner with their commercial counterparts to be eligible.

    “Ideas that can be co-financed by the fund may be a wide range of areas in the construction and real estate sector, such as production of input supplies based on local content.

    Others are skills training for artisans, strengthening business and trade associations, empowering women in construction, improving systems for labour recruitment”, he said.

    Wejiers said application to the fund could be made through its five funding windows, which focus on empowering more women economically and encouraging relevant training and skills acquisition.

    Application, he added, could also focus on establishing sustainable channels of recruitment; improving the services offered by Business Membership Organisations (BMOs) and trade associations, and improving the quality of input supplies and construction materials.

    He disclosed that the grants available range from £25,000 to £250,000 while an applicant is expected to make 25-50 per cent equity contribution.

    “CIF is one of many DFID motivated funds that are globally applied to inspire innovation in key sectors in developing economies. Popular business concepts across Africa are aided by such funds,” he said.

    He cited the MPESA mobile money concept in Kenya, an idea that was born through similar funding opportunity, as one of the Fund’s many interventions.

    These funds, he explained, are managed by different international development programmes or projects and are known in different names and parlances. “In the construction sector in Nigeria, it is known as the CIF”, he said.

    He listed some of the roles of the fund as stimulating and encouraging business innovation, and providing access to low cost funds for investment in innovative projects.

    Others are providing an opportunity for private sector participation in sector development, promoting sustainable business projects with pro poor objectives, and stimulating the provision of services/products which otherwise would have been neglected by the private sector.

  • ‘Govt must implement policies to encourage new refineries’

    ‘Govt must implement policies to encourage new refineries’

    For sustainable growth of the petroleum industry, the Federal Government must not only put in place policies but ensure they are effectively implemented to bring efficiency and profitability in the refining industry, Prof Yinka Omoregbe has said.

    Omoregbe, who spoke in Lagos, said to achieve this, the government should also shun every interest that is politically motivated, ensure the continuity and reliability in the operation of the present refineries to make them reach the expected life span as stipulated by international standard.

    Prof Omoregbe , a lawyer and consulting lecturer at the University of Ibadan, said though enabling statutes were well spelt out in the various legislations, but effective implementation of the policies had been the major problem confronting the industry.

    According to her, government policies and their implementation are the most important factors in the refining industry, because government policies shape the demand and distribution of petroleum products, price and other economic indices of the country.

    Omoregbe said the status of the four government refineries, compared to the rapid growth in consumption of petroleum products have necessitated the establishment of more refineries by the government, local and foreign investors.

    She said: “The ever increasing consumption of petroleum products and inability of the existing four government refineries to meet the local demand necessitate the need for new refineries to be established.”

    She said the deregulation of the downstream petroleum industry with the attendant investment opportunities, business potential and incentives therein, has made private initiatives an inevitable option to meet the local demand and also open up avenue for export of refined petroleum products in a foreseeable future.

    The establishment of new refineries, she noted, would further boost the export potential for refined petroleum products to the international market including the Economic Communities of West Africa (ECOWAS) and the sub-Saharan Africa.

    The development, she added, would in addition create opportunities for employment, technology transfer, human capital development and capacity building, local utilisation of the crude oil endowment with backward integration for value chain investment opportunities and rapid transformation of the operating environment.

    She noted that the business opportunities for investment in the oil and gas industry in Nigeria are diverse adding that the appropriate laws stipulating the conditions and guidelines for the establishment of a refinery by any person or company in any part of the country are quite open.

    She, however, noted that the government had encouraged the establishment of export-oriented refineries in the export-processing zone (EPZ) through the enactment of the oil and gas export free zone decree.

    The free trade zones, she said, offer a lot of incentives to both local and foreign entrepreneurs including the exemption from taxes, levies, surcharges, import and export, duties, repatriation of foreign capital investment, and technology transfer among others.

    Omoregbe also said the benefits of the passage of the petroleum industry bill would far outweigh the challenges to be encountered by the organised private sector adding the implementation of the harmonised bill would rather bring about equity, fairness and overall development of the oil producing communities.

  • Four students win in Nigerite competition

    Three architecture students of the University of Lagos (UNILAG) and another from an unnamed insitution have won the overall prize of $3,000 in a competition instituted by the African Union of Architects and funded by Nigerite Limited, manufacturer of roofing products and accessories.

    The winners are Adedoyin Babalola, Akinyemi Olalekan and Ordia Efosa Babalola and Olalekan.

    The Young Architects and Students Competition on Beyond Housing received entries from 19 individuals/groups in five African countries.

    Malawi, Uganda, Cote d’Ivoire, and Kenya had an entry each while Nigeria had 15 entries.

    President, African Union of Architects, Mr Tokunbo Omisore, at the presentation of award, at the weekend in Lagos, said: “Entries submitted by most of the competitors were quite commendable. A technical report will follow in the New Year. For now, the panel can safely state that we are pleased with the level of competence as it portrays a bright future for the level of design and communication in our continent.”

    The organisers said the marks scored by the participants were close and that there was a winner and five consolation prizes in the first competition.

    They winners were led to the cheque presentation by Head of Department, UNILAG, Mike Adebamowo, an Associate Professor of Architecture.

  • NIQS chief seeks review of abandoned projects, other policies

    HOUSING policies on contract administration and procurement and abandoned projects, among others, should be reviewed, President, Nigerian Institute of Quantity Surveyors (NIQS), Mr Agele Alufohai, has said.

    He spoke during the Mandatory Leadership Development Programme (MLDP) workshop and Annual General Meeting (AGM) of the body.

    The theme of the workshop was: Corporate transformation and leadership challenges: The construction Sector within the Federal Government transformation agenda.

    He said the profession and issues of importance were becoming known and should be understood by professionals in the industry and public.

    Alufohai said the body has developed a new constitution. He advised that the profession should be better placed to play roles in national development for the benefit of the nation.

    He said NIQS had used advocacy tools, such as media interviews, seminars, advertisements and statements to promote its programmes.

    On affordable housing for all or housing for those who can afford it, Alufohai explained that housing is an important factor in national life and that the money spent on and the proportion of the financial system connected to housing construction and real estate make housing a dominant part of the economy.

    He added: “Housing policy is simply to assist people live in safe and healthy accommodation that they can afford. It will help individuals acquire their own houses. It will enable others to spend as little as possible of their income on paying rent. It will also enable others who might be too poor to pay for any type of accommodation to have a shelter over their heads’.

    He, therefore, urged the Federal Government to concentrate on long term mortgages, which will become the means through which the majority of Nigerians, especially those in urban centres, can acquire homes and also build a system of urban development that is integrated with the construction of low-cost housing.

    To address affordable housing problems, the NIQS boss said contributions by government housing bonds, financial institutions, international sources and good roads should be incorporated.