The Nation Newspaper

Category: Business

  • DPR moves to transform operation

    DPR moves to transform operation

    •Shell, Chevron, Total, Dubri licences for renewal

    The Department of Petroleum Resources (DPR) has begun the deployment of equipment and strategies that will enhance its operation and make it compete effectively with other oil industry regulators in the world.

    The Director, DPR, Mr Osten Olorunsola, said the Department is deploying new approaches and equipment to ease and standardise its operation.

    These include the introduction of gas network code, deployment of remote systems, offshore personal accountability system, trucking policy, and marine locator device.

    The new introductions are part of the Olorunsola’s transformation plan to move the Department to the next level. He said the new ideas and applications have become imperative because the DPR personnel would not be everywhere at the same time to monitor activities.

    He also said the regulator is focusing on renewal of expired licences of shallow offshore assets of some oil companies having done that of ExxonMobil early in the year.

    He said: “One of the core things we are looking at this year was to renew expired licenses, especially in the shallow offshore. We have concluded for ExxonMobil early in the year. We are doing the same for Shell Petroleum Development (SPDC), Chevron, Total as well as Dubri.

    “Gas is becoming a very exciting place both in terms of development and for revenue generation. We are actively working toward what we call – a gas network code – which is purely a protocol that will regulate how the players as well as the molecules interplay within the pipelines. We will also regulate that, and we are just trying to conclude the code tighter with the Nigerian National Petroleum Corporation (NNPC) and the industry.

    “We are increasingly investing in real time monitoring systems because we cannot be everywhere. Facilities are around the whole country and rather than just keep them or keep people there on permanent basis, which is also not the right thing to do, we are investing quite a lot in remote systems where we can actually monitor them right from the office.

    “We have been able to install in five locations along the area to monitor the Escravos-Lagos Pipeline System as far as gas production and transmission is concerned. We have commenced implementation of the offshore personal accountability system, which is a device to make sure we have firm control on all personnel that go offshore. Without data there is no way you can own regulator control. This is our first attempt and it is a global best practice to make sure we have the right equipment and protocol – managing all those who go for offshore activities. We will also introduce the marine locator device – specialised equipment that I can call a departure from manual safety jacket to intelligent jacket because if anything happens, it would be save you.

    “For instance, recently there was a helicopter that dished in the North Sea and the 19 people on board of the craft that were coming from a rig were all saved and it was because of the intelligent jacket they all had. It not just nice to have it, it is the way to go.”

    Olorunsola also said the Department is progressing in the implementation of the trucking policy following a successful pilot last year. He said expressed excitement over the drop in flared gas..

    He said gas flaring as at end of September dropped to 1.4 billion cubic feet per day, which is 18 per cent of total gas produced as against 25 per cent by end of last year. This is a reduction of about 5.7 per cent from volume flared last year. He said gas utilisation has risen in excess of 80 per cent of total production.

  • Currency in circulation down by N19.3b

    Currency in circulation down by N19.3b

    Currency in circulation has fallen by 1.4 per cent from N1.368trillion in August to N1.348 trillion by September this year, data obtained by The Nation has shown. The latest money and statistics obtained from the Central Bank of Nigeria (CBN) indicated that currency in circulation fell by N19.3billion.

    Also, currency outside banks dropped from N1.076trillion in August to N1.070 trillion in September, showing a difference of N6.4billion. This represents a reduction of 0.6 per cent.

    Analysts have attributed the fall in money in circulation to the persistent mopping of funds from circulation by the CBN. They said CBN’s decision to reduce the money in circulation by way of issuing Treasury Bills (TBs) at its Open market Operation (OMO) accounted for this development.

    A Senior lecturer, Lagos Business School, Dr Austin Nweze, said the development is part of the deliberate attempt to contain inflation to the barest minimum level. Nweze said the apex bank is desirous of containing inflation, hence the continuous review of the monetary policies.

    He said: “The Monetary Policy Rate has been adjusted several times, until recently it hovers around 12 per cent. Now, interest rate is a little above 12 per cent. What this implies is that banks lending would be curtailed. When this happens, individuals and corporate organizations would have less to spend on.

  • Experts seek management of health care waste

    Experts seek management of health care waste

    Unprofessional handling of  health care waste has remained a  major cause of  environmental risks and related infections in the country, experts have said.

    They spoke at a two-day National Healthcare Summit in Abuja, entitled: Sustainable healthcare waste management: Our collective and shared responsibility organised by the Federal Ministry of Environment, the Federal Ministry of Health and the Lagos State Waste Management Authority (LAWMA).

    Over 100 experts, with a select few who presented papers on how to protect the populace in health care waste management, attended the event.

    The organisers said the idea behind it was to create awareness on healthcare waste management in the country and explore best practices and available technologies to ensure that health care waste is managed in an environmentally sound and sustainable manner.

    In her keynote address, the Minister of Environment Hajia Hadiza Ibrahim Mailafia, said the partnership among the stakeholders would further strengthen collaboration on issues relevant to sound management of health care wastes in the country.

    She spoke on the  need for other players to complement government’s commitment, stating that Public-Private-Partnership in medical waste management can bring greater efficiencies in the sector and improve quality of service.

    The minister, who was represented by the Director, Planning, Research and Statistics, Mrs. Olabisi Jaji, revealed that the  Federal Ministries of Environment and Health have developed a draft National Healthcare Waste Management Policy and Strategic Plan in consultation with stakeholders to provide guidance and standards for the management of healthcare wastes in the country.

    She expressed the hope that the event would inspire policy makers and the legislature to design proactive policies and laws that will assist in managing healthcare waste in a sound environment.

    Earlier in his welcome address, the Permanent Secretary, Federal Ministry of Environment, Mr Taye Haruna, highlighted the importance of  waste health care waste and the on-going government policy initiatives targeted at addressing its challenges.

    The Permanent Secretary, who was represented by Director of the Pollution Control & Environmental Health Department, Mrs. O. O. Babade, said unsafe healthcare waste management practices remains a major cause of human exposure to environmental risks and other infections in the country.  Goodwill messages were presented by the Managing Director of Lagos Waste management Authority(LAWMA), Mr Ola Oresanya; representative of the Chairman, House Committee on Environment, Dr. Edemma Udoh, Commissioner of Environment for Plateau State, Mrs. Sarah Yusuf and Country representative AIDSTAR-One, Dr. A.O. Sowande.

    At the end of the event, they commended the Federal Government for providing incinerators in tertiary health institutions to boost their health care waste management  capacities.They decried the dearth of national legislative framework on waste management in Nigeria and  the delay in finalising the adoption of the draft National Health Care Waste Management Policy and Strategic Plan.

    They recommended the establishment of national inventory on health care waste management to support evidence-based interventional scheme implementation in addition to asking that the summit be organised in the six geopolitical zones to stimulate participation by states and other relevant health care waste management sectoral players in collective decision making.

    They urged the government to integrate sound healthcare waste management into the national school curricula to promote information and knowledge sharing in the society.

  • Govt to boost non-oil export

    Govt to boost non-oil export

    The Federal Government has set up structures to boost trade between Nigeria and other African Countries.

    The Minister of Trade and Investment, Mr. Olusegun Aganga disclosed this during the opening ceremony of the 3rd Nigerian Non-Oil Export Conference Exhibition and Awards, in Abuja stating that the government will formalize data capturing of the country’s non-oil exports to ECOWAS counties.

    He said, ‘’This will make the country’s trade move from the current 10percent to 50percent in the next three years as part of efforts to improve regional trade.

    “One of the initiatives, which the Nigerian Export Promotion Council has done is the data capturing of the informal trade between Nigeria and other countries.

  • Jonathan orders ceasefire in Soku oil wells dispute

    Jonathan orders ceasefire in Soku oil wells dispute

    Disturbed by the continued media war of words between Bayelsa and Rivers states over the Soku oil wellls, President Goodluck Jonathan yesterday ordered an immediate stoppage of all acrimonious public comments over the issue.

    Besides, the Presidency is of the opinion that the escalating media war could hinder and negate efforts already initiated by Jonathan to achieve an amicable resolution of the dispute in the best interest of the affected communities, the two states and the nation.

    The Presidency therefore requested the Governors of both states to facilitate and help to create the right atmosphere for the successful conclusion of the peace process.

    Meanwhile, the President has scheduled a meeting for Friday with the Governors of the two states, leaders of the affected communities and all concerned stakeholders.

    The ceasefire order was announced in a press statement issued yesterday by the media aide to the President, Dr. Reuben Abati.

    According to the statement, Jonathan noted with concern the rather unbecoming, unnecessary and unhelpful media war between the Bayelsa and Rivers state governments over the rightful ownership of some oil wells.

    The statement reads:

    “The Presidency has noted with concern the rather unbecoming, unnecessary and unhelpful media war between the Bayelsa and Rivers state governments over the rightful ownership of some oil wells.

    “The Presidency believes that this media war which appears to be escalating with each passing day can only hinder and negate efforts already initiated by President Goodluck Jonathan to achieve an amicable resolution of the dispute in the best interest of the affected communities, the two states and the nation.

    “President Jonathan therefore requests the Governors of both states to facilitate and help to create the right atmosphere for the successful conclusion of the peace process by ordering an immediate stoppage of all acrimonious public comments against each other over the dispute.

    “Having already had very useful discussions with the Rivers State Governor and Kalabari elders over the weekend, President Jonathan intends to take the process forward at another scheduled meeting at 11 am at the Presidential Villa on Friday, November 9, 2012 with the governors of the two states, leaders of the affected communities and all concerned stakeholders.

    “President Jonathan consequently urges the two governors and leaders of the affected communities to ensure that no further spiteful or inciting comments are made against each other to pollute the right atmosphere for constructive dialogue and brotherly reconciliation which he is striving to promote for the amicable resolution of the dispute.

    “He looks forward to receiving the Rivers and Bayelsa State delegations in Abuja on Friday.”

  • Report on Ports Reform ready

    Report on Ports Reform ready

    The report of the Presidential Committee on Ports Reform is ready, The Nation has gathered.

    The committee was set up after a retreat summoned by President Goodluck Jonathan last July to find ways to boost economic development in the maritime sector.

    Disturbed by the slow space with which the Nigerian Ports Authority (NPA) and the Nigerian Maritime Administration and Safety Agency (NIMASA) were carrying out their responsibilities, the committee, according to information has given matching orders to the management of the two agencies to perform.

    The committee, investigation revealed, is not happy that despite the huge budgets approved for NPA and NIMASA in the last two years, the management of the two agencies did not do enough to improve the ports.

    Investigation also revealed that the committee, headed by the Minister of Transport, Senator Idris Umar and assisted by the lawyer, Mr Olisa Agbakoba, also identified the key problems facing the sector.

    Sources close to the committee told The Nation last weekend that the report of the committee, which may be submitted soon, focused on safety and security of the nation’s waters, efficiency at ports, increasing local participation in shipping business and implementation of Cabotage Act. Other areas it dwelt on are completion of the reform of the ports, maximising revenue potential of the port industry and creation of jobs for the youth from the maritime sector among others.

    The report, sources said, also noted the views of stakeholders who attended the retreat by identifying the key problems facing the maritime sector and proffering solutions.

    The role of the committee, the source said, was to come up with initiatives that can be implemented by the Federal Government over the next six to 18 months to allow Nigerians to harness the opportunities in the maritime sector.

    “The laws governing ports operations in the country are outdated and ineffective. You can imagine a situation where the Ports Act provides only a fine of about a N100 for anybody who encroached into the ports’ land.

    “For almost six years, the ports have been in the hands of private operators, but there is no law empowering any of the government agencies, such as the NPA, NIMASA, or the Nigerian Shippers’ Council (NSC), to regulate the activities of the conces-sionaires. These are some of the issues the report will look into,” he said.

    It was learnt that there are some aspects of the nation’s laws that impact on the maritime sector.

    “For instance, the reason the Cabotage Act was formulated is well known to those in the industry. But the truth is that successive governments have failed to implement the Act despite the fact that the country loses over N2 trillion annually in capital flights to foreign countries because of the inability of the indigenous ship owners to participate in the lifting of the over 150 million tonnes of cargo from the country, and that is one of the major areas which the report of the committee also focused on,” the source said.

    The source said the high level of insecurity in the Gulf of Guinea, which the country is a major stakeholder has steadily risen from 45 per cent in 2010 to over 65 per cent in 2012. This, the source said, is another area where the report looked into because sea piracy has created a major economic problem for the country and it is threatening the nation’s over $600 million fishing business.

    President Jonathan, the source further said, is passionate about the development and transformation of the nation’s seaports to make them viable and competitive. The source said that was why the port reform agenda was embarked on.

  • Iberia upgrades Lagos-Madrid service

    Three months after increasing the number of Lagos-Madrid flights from three to four per week, Iberia has announced additional enhancements to the service connecting Nigeria and Spain, including more convenient flying times and improved entertainment options.

    This schedule is more convenient for passengers staying in Madrid and those bound for any of Iberia’s more than 40 destinations in Europe, 30 in the rest of Spain, and 22 in the Americas; in fact, some 60 per cent of Lagos-Madrid passengers fly to other cities, which shows the importance of this time change.

    In addition, Business class passengers will be offered iPads to access Iberia’s wide range of in-flight entertainment options, which improves the quantity and quality of this service to our highly valued Iberia business class Passengers.

  • Beyond Third Mainland Bridge opening

    Beyond Third Mainland Bridge opening

    The Third Mainland Bridge, Lagos opened to traffic last Tuesday after four-month repairs on its eight damaged joints. The reopening has, however, thrown up issues on the state of the nation’s roads and bridges.While some observers commended the Federal Government for completing the repairs before the scheduled date, others stressed the need for repairs of other threatened bridges and roads, especially as the yuletide approaches. OKWY IROEGBU-CHIKEZIE reports

    The repairs on the Third Mainland Bridge, which started in July, began after heightened fears by residents that the bridge might collapse due to cracks and shaking as people drive on the bridge.

    While the repairs lasted, the bridge was partially opened to users at stipulated hours of the day except for days that it was fully closed for major works to be undertaken by Borini Prono, the contractor.

    Minister of Works, Mr Mike Onolememen, had pledged at the inception of the contract on the commitment of the government to do a thorough job on the bridge due to its strategic nature. This, he also said, informed the choice of the contractor because of their proficiency and track record on bridge construction.

    The minister explained that the contractor employed hydro demolition technique with high pressure water jet to remove the concrete around the joints, a technology  that was not readily available in the country.

    He also said one of the unique things about the repairs is that it was not only completed in 10 days ahead of schedule but also within budget.

    The reopening of the bridge came as a welcome relief to motorists and commuters, who have had to connect Lagos Island, Victoria Island, Lekki, Ajah and Epe from different parts of the mainland through Western Avenue due to restriction of vehicular movement on the bridge from noon to midnight, though opening for movement to the mainland within the same time. While the repairs lasted, commuters suffered the ordeal of long traffic snarl with loss of business, especially for traders on the Lagos Island as most people avoided  going there.

    A trader at Apagbon, Mr Uke  Okechukwu, said his business suffered a great deal during the course of  the bridge repairs  as  his customers failed  to come  and patronise  him fearing the traffic gridlock.

    He hailed the quick intervention on the bridge, especially as the yuletide is fast approaching. According to him, it will be boom time again for customers.

    For Mrs. Atinuke Ajose, the completion of the bridge, has brought a lot relief  to her and others, who need to come to the island. She commended the repairs done but asked that other bridges  and highways  should also be investigated  and worked on to ease both human and vehicular movement.

    A bus driver, who plies from Berger to Obalande, Mr Hafis Ismail, also lamented how much he lost during the repairs  due to traffic snarl and diversions. He said though the cost and sacrifice was much on the part of transporters who make a living daily by taking people and goods from one point to the other. He, however, said it was worth it as he feels safer driving on the bridge now than before due to the heightened fear of collapse of the bridge.

    But an inter-state transporter Mr Goodness Igbenedion, tasked the Federal Government on the need to put pressure on the various contractors on the nation’s highways to sped up action on the various  road projects they are handling to alleviate the sufferings of people on the road, especially as Christmas is fast approaching.

    He cited the Lagos-Ibadan expressway, Abuja-Lokoja, Port Harcourt-Enugu, the River Niger Bridge, among others.

    Responding to the apprehension of the public, the minister promised that the government would move to other bridges and roads that require immediate attention to   alleviate the sufferings of the people. He commented on the completed of the Third Mainland Bridge. “There is a need for the laid pipes to be strengthened so that the street lights could work. Indeed, the Federal Government would take a step further and rehabilitate the street lights as quickly as possible”.

    Some analysts had frowned at the fact that the light on the bridge is  not working; that it is exposing the public to danger at night  due to the nefarious activities of armed robbers on the bridge.

    The minister said: “The ministry would now move to the Marine Bridge in Lagos, Murtala Muhammed Bridge in Lokoja and other bridges requiring attention across the country before the end of the year, to make travelling easy.”

    Keen watchers of the industry are, however, optimistic that with recent developments, the public may be in for  a good time as far as the highways and bridges  are concerned in the future.

  • Demolition: FCTA, REDAN begin talks

    •Set-up committee to verify documents

    A ray of hope came the way of developers on the Lugbe/Airport road in Abuja at the weekend as the Federal Capital Territory Administration (FCTA) and the Real Estate Developers Association of Nigeria (REDAN) agreed to work out modalities to resolve ongoing estate demolition crisis in the area.

    FCTA had declared all estates on the road illegal and earmarked no few than 37 of them for demolition.

    However, at a forum organised by REDAN and the Department of Development Control, the parties set-up a 13-member committee that would verify the status and documents of each estate along the route and make recommendations to them.

    The committee comprises representative of some Department under FCTA, Development Control, Urban and Regional Planning, Survey and Mapping, Land and the Abuja Geographical Information System, FCT Urban & Regional Planning Tribunal, Abuja Municipal Area Council (AMAC) and REDAN.

    It was further agreed that the committee, which is expected to begin work immediately, would, at the end, come up with reports and recommendations that would be submitted to the National Assembly Joint Committee on FCT.

    It would be recalled that the National Assembly had waded into the matter following the controversies generated by the demolition of over 500 houses in three estates- Minanuel, Oluyole and Geofra estates – in the area.

    The Acting Director, Department of Development Control, Mr Hamza Madaki, said: “ If we have problem, it is only by telling ourselves the truth that we can move forward. It is not about trading blames. The National Assembly has given a directive that we should suspend demolition and fashion a way to get to the root of the matter and that is the whole essence of this meeting.

    “We are not happy in removing anyone’s building. We are not callous but we did what we did because it was necessary. Our intention was to remove all the estates. We only started with Minanuel Estate and the other two, until the National Assembly waded in. It is our hope that setting up this committee will enable us to find a lasting solution.

    “The truth must be told. What happened is that the government did not envisage any estate on the airport road. If it would be any layout, there is no one that would be done outside the Department of Urban and Regional Planning. There is no way AMAC would have its own layout outside what had earlier been laid out.

    “This is why we say, the approvals they gave for the estates are fake. Approving estates by AMAC is not even part of their schedule. AMAC couldn’t have given approval because they don’t have the professional competence to do such. Maybe there are syndicates in AMAC doing this and this is why we must get to the root of the matter. We must investigate.

    Honestly, it is a big problem. We must fight and this is why we must fight it. Not only in Lugbe, this issue of forgery is everywhere in Abuja and this is why we must fight it. We are not contending that any allocation in AMAC is fake because we are aware they give some allocations. But it is advisable that when dealing with AMAC, you write and get response in writing because a staff member in AMAC can deny giving such documents.”

    Earlier, Hamza, who led the team from Development Control, noted that the government did not envisage any estate development on the airport road, particularly because of its strategic location and AMAC has no authority to grant building approvals for estate development. Though AMAC is an extension of FCDA, it doesn’t have the power to approve estates.

    Speaking on behalf of developers at the forum, the National President of REDAN, Chief Olabode Afolayan, said this was one of the right steps to find a lasting solution to the problem, assuring the public that the outcome of the decision reached would be in their interest.

    Addressing the issue of fake land documents, Afolayan said it had been agreed that the committee would fish-out those responsible for the illegal act, adding that finding a solution to the Lugbe crisis was paramount to REDAN and as such, the association was ready to support the government on the matter.

  • Ondo threatens to sack road contractors

    Ondo State Government has threatened to sack contractors who are delaying the completion of  on-going road projects  in the state.

    There had been criticisms from various quarters on the poor condition of roads in the state, particularly in Akoko area of the state.

    The state Commissioner for Works, Gboye Adegbenro, gave the warning during a meeting with consultants and contractors handling major road projects in the state.

    He directed the contractors to take the advantage of the dry season to move their equipment, materials and personnel to their various sites for serious business.

    He said: “We are using this opportunity to advise all contractors to maximise the advantage of the current dry season to deliver their projects as schedule because the state government will not hesitate to sack any erring contractors”.

    He said the administration has been living up to its responsibilities by paying contractors promptly whenever their certificates are raised and duly certified by the consultants and government officials.

    The Commissioner said there should be no excuse for any contractor not to perform by delivering projects being handled by them to alleviate the pains and sufferings of people who are plying the roads.

    He maintained that the Mimiko administration would not deviate from delivering quality service, urging contractors to adhere strictly to the specifications while executing the projects.

    Adegbenro reiterated the commitment of the state government to complete projects as scheduled and promised that the administration would deliver more dividends of democracy to the people of the state in its second term.

    He said his ministry will, in the next few days, embark on site inspection and that the contract of any contractors whose job was considered unsatisfactory, would be reviewed.

    Some representatives of the various firms handling road projects in the state, who spoke on the occasion, commended the state government for the prompt payment of their bills.

    They pledged to move more personnel and equipment to sites immediately to maximise the advantage of the dry season.