The Nation Newspaper

Category: Business

  • Starcomms to provide mobile broadband data service

    If the bid by Capcom to buy over the assets and liabilities of distressed code divison multiple access (CDMA) operator, Starcomms, sails through, the firm will be engaged in the provision of mobile broadband data services, Chief Executive Officer, Capcom International, Mr Ademola Elesho, has said.

    Speaking during an interactive session with the media in Lagos yesterday, he said the firm has concluded arrangements to inject a combination of cash and assets worth $210million into Starcomms as part of efforts to buy controlling shares in the ailing telecom firm, adding that the firm has opportunities to bounce back and play significant role in the market.

    According to him, the ailing telco will be made to attract more highly profitable data subscription in the short term through the launch of 4G mobile broadband or long term evolution (LTE) technology, adding that the availability of 20 MegaHertZ (MHZ) contiguous spectrum 1900MHz range, would allow the telco to do data very well.

  • NCF, Chevron others launch GIS

    Nigeria Conservation Foundation (NCF), Chevron and Birdlife International have launched the Geographic Information System (GIS) to create awareness for their activities.

    At the event, a scientist, Mr Ogunsesan Adedamola, described GIS as a computer-based tool for managing and analysing data that has a spatial or geographic dimension to aid work flow.

    Prof. Seyi Fabiyi said GIS helps in managing the security of data in a given area.He added that low internet density is a major factor militating against the country from benefiting from Geospatial technologies.

    The Managing Director of Chevron Nigeria Limited, who was represented by Mr Muyiwa Agboola, praised the initiative promising to do more.

  • ‘Only 2.5% of lands in Nigeria are registered’

    NOT more than 2.5 per cent of lands have been registered in the country, it was learnt.

    This means that about two million land titles have been registered against the over 150 million land titles.

    The Chairman, Presidential Technical Committee on Land Reform (PTCLR), Prof Peter Adeniyi, made this known in Abuja at the PTCLR Dialogue on legitimising Systematic land titling and registration in Nigeria.

    He expressed displeasure that Nigeria is ranked a dismal 180 on a scale of 183 countries in the world in terms of the ease of concluding land transactions for business and investment while Ghana is in the 36th position.

    It was against this that the Federal Government set up the PTCLR not only to collaborate and provide technical assistance to states and local governments to undertake comprehensive cadastral mapping nationwide and determine individuals’ “possessory” rights using the best practices and most appropriate technology: “but also to make recommendations for the establishment of (a) a national deposition for land title holdings and records in all the states of the federation and the Federal Capital Territory (FCT) and (b) a mechanism for land valuation in both rural and urban areas as well as other recommendations that will ensure effective, simplified, sustained land administration in Nigeria.”

    He said: “Since formal land registration commenced in the country in 1863, not more than 2.5 per cent of lands in Nigeria have been registered. In fact, in the whole country, well below two million land titles have been registered against the potential of over 150 million titles. It is no surprise; therefore, that Nigeria is ranked a dismal 180 on a scale of 183 countries in the world in terms of the ease of concluding land transactions for business and investment while Ghana is ranked number 36.”

    One of the steps being taken by the committee in pursuance of its task, Adeniyi said: “is the adoption of a systematic Land Titling and Registration System which is globally known to deliver secure titles to wide cross section of the population at reasonable cost to landholders. Its adoption however requires some legislations and regulations.”

    The main goal of the dialogue, he said is to identify and address legal issues and other constraints that may arise in or impede the process of implementing the systematic land titling and registration in Nigeria within the context of the Land Use Act and to proffer practical and programmatic solutions that will legitimize the process and the outcome.

    Minister of Lands, Housing and Urban Development, Ms. Amal Pepple acknowledged that the issue of land titling and tenure has been a major problem of land governance in Nigeria and vowed to ensure that right things are done to successfully accomplish the pilot systematic land titling and registration in Nigeria.

    She said the outcome of the dialogue could enrich the product of the council on the regulations as the Federal Ministry of Lands, Housing and Urban Development prepares to lay it before the Federal Executive Council (FEC) for consideration.

    Former Chairman of the PTCLR, Prof Akin Mabogunje advised the government to take land titling and registration more serious, urging stakeholders to contribute their quota to the success of the committee.

    Mabogunje said: “the present dialogue seeks to secure professional stakeholders support and experience in dealing with the numerous multifaceted problems that are bound to be encountered in the process of implementing and executing systematic land titling and registration all over the country.”

  • Gas: A window of opportunities

    Gas: A window of opportunities

    Utilisation of natural gas to power industries, such as steel,manufacturing and others has brought succour and reduced the cost of production, reports DANIEL ESSIET

    With good reason, investors continue to see gas as the Holy Grail of economic transformation. After all, historically it has been the one special engine that has powered the economic rise of nations. For this reason the government is placing high priority on further increasing its natural gas production in an attempt to boost foreign earnings. The government has been consistently encouraging its national oil and gas companies to invest and pursue opportunities in the gas markets.

    With this support, the nation has seen an influx of activity with more projects proposed, construction commenced, and pipelines commissioned.

    Speaking on the topic “Natural Gas: Sustaining Nigeria as a major player in the global gas business amidst competition from other energy players” at the just concluded 8th International Gas Conference and Exhibition in Abuja ,Managing Director/ Chief Executive, Nigeria LNG Limited, Mr Babs Omotowa,said the government is set to ramp up gas production by developing its huge reserves.

    He said overall level of economic activity, is driving long-term demand for natural gas. He said Nigeria is experiencing the benefits of a period of very high gas industry growth through the development of the LNG industry.

    He assured of more than enough gas to meet demand for both the export and domestic markets.

    Speaking on Nigerian content – Supporting Gas Development Through the Nigerian Content Act, Executive Secretary, Nigerian Content Development and Monitoring Board(NCDMB), Ernest Nwapa said the board is ready support gas development by providing technology, knowledge and skills to transform the nation’s fortunes.

    He said one way the government could build a strong and resilient economy that had the capacity to provide decent jobs with satisfactory remunerations, was to tackle the issue of youth unemployment using the oil and gas sector.

    The Managing Director,Total Nigeria Plc, Mr Guy Maurice, said the company has strong experience in operating large gas fields, LNG plants and gas storage.

    He said Total is one of the world’s largest energy groups with a strong presence in Africa including more than 4,700 service stations in more than 40 countries. According to him, the organisation owns and operates 5,000 km of gas distribution pipeline.

    He said gas utilisation represents another opportunity to bring technology and competences within the reach of Nigeria and its peoples.

    He said active partnerships between the investing companies, the Nigerian state, and the Communities are necessary if all actors are to derive maximum benefit from this influx of foreign investment and technologies. He said such partnerships would be enhanced through readiness of all parties to boldly listen and engage, mutually support and work inclusively to develop the society in sustainable ways.

    He said Nigeria can benefit from experiences from other lands, but Nigerians themselves would have to decide the pace, quantum, and impact they want the gas era to have in their nation.

    He said the way forward is to redefine regulations that foster active engagement of all parties across the gas value-chain.

    Domestic gas users had raised concerns about affordability and security of supply, in terms of securing medium and long-term contracts.

    In the communiqué was issued at the end of the conference and exhibition, the Nigerian Gas Association (NGA),it stated: With proven gas reseres of up to 187TCF and one-third of Africa’s gas reserves, Nigeria qualified to be in the league of nations which had achieved gas-driven industrialisation, but sadly, Nigeria has not fully exploited the opportunities to leverage these resources to achieve industrialisation through extensive domestic penetration and development of gas based industries and the establishment of additional export oriented projects. Although government had embarked on an extensive gas network infrastructure backbone across the east, west and northern parts of the country, the state of infrastructure and issues relating to fiscal, financing, pricing and regulatory framework were still major challenges to gas export, utilisation and penetration in the country.”

    The conference noted the emergence of other gas plants since NLNG such as Brass LNG and OK LNG even though the vision to have major LNG, export terminals in key coastal areas was yet to be realised. The commendable achievements being made in Nigerian content development, especially in job creation and human capacity development, since the enactment of the NCD Act and the creation of its Monitoring Board. Discoveries of large gas reserves in other African countries and the emergence of Shale gas is tightening the window of opportunity for Nigeria.

    In commending the Federal Government, led by President Goodluck Jonathan, for launching the Gas Revolution to make Nigeria a regional hub for gas-based industries, the Conference called on the Ministry of Petroleum Resources to provide leadership and ensure sustenance of the initial momentum and the federal Government to engage the Organised Private Sector and other stakeholders ( in the oil and gas sector) in a comprehensive, inclusive dialogue and negotiations of the contents, direction and intention of the PIB so as to address all differences and ultimately enact a law which would reflect national aspirations as well as protect all stakeholders’ interests.

    The conference, while expressing delight at the progress, made in the gas revolution, observed that a lot of work still needed to be done, especially against the background of intense global competition in the gas industry. It therefore recommended that government should expedite action.

     

    Concerns

    Ports accepting LNG tankers are large and capital-intensive.The receiving facilities must be operated for long periods to generate returns to investors. Moreover, there are those who believe such coastal facilities will have negativeeffects on the local environment.

    For watchers,the concerns is whether the discovery of oil will bring prosperity and hope, or a political and economic curse, as has been the case in so many countries.

     

  • Group urges developed countries to obey Kyoto Protocol

    Group urges developed countries to obey Kyoto Protocol

    A United Kingdom-based expert in social housing, Prof  Prince Efere, has said the Transformation Agenda of President Goodluck Jonathan will be incomplete without a sound social housing strategy.

    While the country’s housing deficit stands at 16 million, Efere noted that 17 million houses must be provided by 2020 for the country to meet its various developmental targets.

    Efere stated this in  Abuja while delivering a lecture at the Third Annual social housing seminar with the theme, Social housing: The business opportunities beyond shelter.

    According to him, President Jonathan must adopt a radical approach to the provision of social housing for Nigerians that will help Nigeria to build millions of homes for its citizens at no cost in real terms, as the government would recoup all its investments later.

    While advocating a self-build societies model of social housing for Nigeria, the expert explained that the self-build society could be a profit making company that is registered as such, in order to establish strategic partnership arrangement with the government at all levels and their agencies for providing social housing at rents below market rent.

    He said: “Nigeria urgently needs a proper social housing framework to help it tackle the acute housing shortage.social housing exists because some people in the society are poor or are on low incomes,thus, reducing poverty is the focal point in any social housing policy or strategy.

    “Social housing means the provision of subsidised housing for people on low or no income,that is housing for poor people.an alternative name for social housing is public sector housing.”

    The social housing expert also enjoined the National Assembly to make legislation that allows the registration of self-build societies that would partner with the government, in addition to framework of laws that would authorise or approve the creation of self-build societies at the Federal, state and local government levels.

    “Assuming the 774 local governments in Nigeria decides to build a minimum of 800 houses i.e 200 houses per annum,in four years, a total number of 619,200 housing units will be built by local governments in Nigeria.

    “In the same vein, a minimum of 148,000 houses would have been built in each state and Abuja in four years at 4,000 units each.

    “Since the Federal Government is richer than the State and the Local government councils,the Federal Government should build 4,000 houses in each states of the federation, which translates to extra 148,000.

    “Based on this analysis, a minimum of 915,000 social houses can be built in Nigeria in a specified period of time.

    “Besides, Jonathan must ensure that Nigerian citizens, especially the low income earners are adequately given comfortable housing as the government cardinal responsibility enshrined in the constitution of Nigeria for an affordable housing for all,” he added.

  • Lagos seeks NAPIMS’ partnership in oil and gas

    The Lagos State government is prepared to enhance its oil and gas sector by seeking partnership with the National Petroleum Investment Management Services (NAPIMS) to exploit the enormous opportunities in the sector.

    The state Commissioner for Energy and Mineral Resources, Taofiq Tijani, disclosed this during a visit to the management of NAPIMS.

    He said the state had made effort, through its numerous development policies to make its lofty oil and gas aspirations a reality.

    Tijani noted that the state believes that with the collaboration of stakeholders such as NAPIMS, it would be possible for Lagos to realise its vision of becoming a global economic and financial hub through the development of a sustainable energy strategy and safe exploitation of its hydrocarbon resources.

    The partnership, according to him, is to boost such areas as the power project, especially the NNPC/Chevron Agura IPP, gas delivery to power plants, possible marginal oil and gas field development as well as the corporate social responsibility by the NNPC subsidiary.

    He said the state through the ministry was prepared to encourage and support the development and production of oil and gas fields within onshore and offshore as indicated by the various exploratory works being carried out by some operators.

    While disclosing plans by the state to establish an oil and gas corporation to represent the interest of the state in all the industry opportunities, Tijani noted that effort would be intensified toward ensuring that the bill for the establishment of the corporation now before the legislature receives approval on time.

    Responding, the Group General Manager, Morris Fiddi said the company is impressed by the state’s exploits in oil and gas development promising to ensure that the partnership works so that achievements made in that sector can be boosted.

    He described the visit as home coming for the commissioner who had spent 15 years out of his 30 years meritorious service in NAPIMS. He added that being a thorough bred professional transforming the state’s oil and gas sector with his wealth of experience would definitely be within the realm of possibility.

    He promised that NAPIMS would continue to do much more than what it is currentlydoing in its corporate responsibility drive to ensure that communities get what is due to them in return for exploitation activities.

    “What most people dont realise is that we have been doing a lot in terms of corporate social responsibility. In fact, a lot of people do not know that anytime any of our joint venture partners carry out any CSR activities we play a major part in this exercise. The truth is that we contribute 60 per cent while the joint venture partner contributes 40 per cent. But it is the effort of our joint venture partners that is always feasible. This notwithstanding, we would continue to do our part and support whatever is going to make the society better. As for the state’s energy project, we promise we would there as expected,” he added.

    He said the company was also ready to provide clues on curbing the menace of cable theft that has become the lot of power infrastructure in the state.

  • ‘Nipco spends N17b on CNG projects’

    Nipco Plc, an integrated indigenous downstream operator, has injected over N17 billion in the provision of Compressed Natural Gas (CNG) infrastructure in a joint venture scheme with Nigeria Gas Company (NGC), a subsidiary of Nigerian National Petroleum Corporation(NNPC).

    The scheme resulted in the setting up of Green Gas Limited had inaugurated 8 CNG stations and three conversion workshops in Benin City while more outlets are under construction in other parts of the country.

    Managing Director, Nipco, Mr Venkataraman Venkatapathy, spoke at the Nigeria Gas Association(NGA) Eighth International Conference and Exhibition.

    He said over 1,500 vehicles had been configured to use CNG as vehicular fuel, which are capable of saving the nation huge a lot of money that could have been expended on fuel subsidy

    The Nipco boss explained that the GGL initiative, which is the first of its kind in West Africa, is ushering a new set of vehicles running on CNG in Nigeria with their attendant benefits.

    Venkatapathy listed other infrastructure provided by the JV Company to include the laying of over 50 km still pipelines for gas distribution to the inaugurated CNG stations Benin City to guarantee access to gas to the outlets.

    He said the conversion, which takes five hours has been very smooth since 2009 when the company inaugurated its first set of stations .

    Venkatapathy explained that after conversion the vehicle could run on petrol and natural gas, thus giving the motorist a tab switch between using CNG and petrol.

    The NIPCO helmsman said in to create more awareness on the benefits of powering vehicles with gas over petrol, GGL has showed cased CNG vehicles in exhibitions, including the NGA event to enable the public to see and experience vehicle that runs on petrol and CNG.

    He said the latest addition in the CNG revolution being undertaken by GGL is the conversion of tricycles popularly referred to as “Keke Napep” and Mass Transit buses in the fleet of Edo State government transport fleet popularly known as “Comrade Bus”.

    According to him, five Edo mass transport buses are running on CNG for the last six months while 25 more are being converted as a further boost to natural gas usage in the state and beyond.

    “The CNG initiative, which is the first of its kind in West Africa, is receiving a lot of support from both the Federal and Edo State government, a feat that is serving as good catalyst for GGL to pursue the dream with vigour and deep sense of responsibility, he noted.

    He reiterated that pioneering the project was a big challenge but the unwavering commitment of the Federal Government through the relevant agencies such as the NGC the JV partner, DPR etc have spurred them to redouble their efforts to enable the citizenry to enjoy the benefits of the environment friendly fuel.

    Group Executive Director, Gas and Power, NNPC, Dr David Ige said the GGL initiative was commendable and in line with the transformation policy of President Goodluck Jonathan, which harps on the exploration of the abundant natural gas reserves for the benefit of the people.

    “The initiative between NIPCO and Nigerian Gas Company (NGC) was to leverage Natural Gas in vehicular use as it is significantly cheap, environment friendly, safe and efficient in comparison to white products, especially in a deregulated fuel market,” he said.

    Ige maintained that over time, the 50 per cent savings enjoyed by taxi drivers whose cars run on CNG would be passed to passengers and make an average passenger in Nigeria move around at a relatively cheaper rate than they could with petrol.

    The NNPC chief assured that the government would continue to support initiatives of this nature, adding that of the three firms given the licence to pioneer CNG revolution in 2007, only NIPCO showed enough commitment.

  • ‘GE committed to sustainable development’

    General Electric (GE) Nigeria is committed to sustainable development of Nigeria, its President, Lazarus Angbazo, has said.

    He spoke at the on-going 18th Nigerian Economic Summit in Abuja.

    GE , according to a statement, said it has joined forces with the Federal Government in the private and public sectors to support sustainable development in Nigeria, adding that it is contributing to the economic development and improved quality of lives for Nigerians.

    Speaking on the alliance, Angbazo explained that the pact with the Federal Government, especially in the health, rail and power sectors, is aimed at delivering government priorities for vision 2020.

    “GE is a trusted and strategic partner to the Nigerian government and the people of Nigeria. Our commitment to grow in Nigeria with Nigeria is demonstrated by our holistic approach to investments in the country,” he said.

    Angbazo stated that in providing the infrastructural and technological needs in the power, healthcare and rail transportation sectors, the company’s diverse technologies are well positioned to help the country become a top 20 economy by 2020.

    “GE is committed to localizing global innovation capabilities, home grown solutions to Nigeria’s problems and collaborating with Nigerian stakeholders to broaden the innovation play whilst building strong partnerships.

    “Today, our electrocardiogram and ultrasound healthcare equipment helps Nigerian doctors with early detection of health risks, health maintenance and preventative health measures. Our rail locomotives are designed to use advance monitoring technology to move passengers and freight across Nigeria, reducing road and port traffic. In the power sector, our superior oil and gas compressors and energy power turbines are helping to boost Nigeria’s oil and power-generating capacities,” Angbazo reiterated while speaking on some of the activities of GE in Nigeria.

  • Arco seeks execution of local content law

    The Group Managing Director, GMD of Arco Petrochemical Engineering Company Plc, Mr. Alfred Okoigun has said the local content law will radically change the way business is being done in the oil and gas industry in Nigeria.

    In an interactive session with correspondents who covered the National Gas Conference in Abuja, Mr. Okoigun said that the law was like taking the bull by the horn. The law, he said, would reposition indigenous company in the oil and gas sector where their counterparts in other oil and gas producing countries of the world had long been functioning effectively.

    According to him, “The local content law in the industry will ensure that it is no longer business as usual as Nigerian companies should be able to penetrate the nooks and corners of the industry and prove their own mettle.”

    The Arcohelsman, however, warned that the law is not meant to offer blanket protection to local companies. He said it was enacted to ensure that competent Nigerian companies are not kept perpetually at the lower rungs of the ladder in the industry.

    He said: “They must enjoy the privilege to move up to the commanding heights of the industry without let or hindrance. The requirement is that such companies should be professional in its chosen field of operation.

    “There is no place for shoddy jobs in the oil and gas industry. You either know what you are doing or you are completely out of the industry. You will work with big time players and you better know your onions before you take jobs from them. As a matter of fact, they have the capability to cross-check your claims to competence and professionalism.”

    He referred to oil and gas producing countries that had removed the conventional industry restrictions on indigenous companies and the gains that had accrued from such measures.

    He said: “Countries that removed obstacles to the development and growth of local companies in the oil and gas industry opened avenues for indigenous skill acquisition, employment for the bright young ones who were jobless and created multiplier effects within the economy.”

    Alfred believes that the signs at the moment are that Nigeria is serious about the implementation of the law and those put in position of responsibility to make the law to work deserved the support of all the stakeholders in the industry.

    He congratulated the oil majors that have begun to take the initiatives of putting in place building blocks that will enable Nigerian indigenous companies to expand their business horizon in the industry as they believe that they stand to gain if they outsource many of the activities they had hitherto engaged themselves in.

    On the issue of gas revolution in Nigeria, Alfred wants the Federal and state governments to work together to ensure that the focus of the revolution is the ordinary Nigerian who needs a job or who wants power to run his or her business and above all looks forward to a secured future.

    He said that over a period of 30 years, his company had sponsored conferences, seminars and workshops solely on utilization of gas for optimal energy generation and export as well as the establishment of a variety of industries that would derive their raw materials from gas associated plants.

    “It should be a new dawn for Nigeria if all these activities are progressing in good speed and without break,” he said.

  • Group urges Kwara to expedite action on land policy

    Group urges Kwara to expedite action on land policy

    The Ilorin Solidarity Club, a sister organisation of the Ilorin Emirate Descendants Progressive Union (IEDPU), has urged the Kwara State government to expedite action on the abrogation of its land acquisition policy.

    The Land Acquisition Policy 2009 of the state government has pitched the state government against IEDPU.

    The union alleged that the state government had sold many customary lands in the state without informing or paying compensation to land owners.

    The group also condemned the urbanisation of native areas in Ilorin by the state government.

    IEDPU said abolition of the Act would check against indiscriminate acquisition of lands by government.

    This development caused the state House of Assembly to call for the suspension of the policy in the interest of peace.

    In a statement, the President of Ilorin Solidarity Club, Justice Saka Yusuf said: The “people of Ilorin, nay the entire people of the state, are only waiting for a more positive response that would lay the ghost of the land order in dispute to rest permanently. We do not believe in the prevailing peace of the graveyard.

    “We congratulate the IEDPU and commend the efforts of its leadership so far on the land acquisition policy of the Kwara State government. We support the union wholeheartedly as a sister organisation for every step taken on the vexatious matter till date.

    “We also express full appreciation to the Kwara state House of Assembly for its bold and admirable action in upholding the people’s wish, through its timely arrest of the grandstanding posture of the state government on the controversial policy ab initio.We hope it will maintain that stand and defend the cause of the people (the lawmaker’s constituency) till the end.”