The Nation Newspaper

Tag: Bill

  • Senate urged not to pass Arbitration Regulation Bill

    Senate urged not to pass Arbitration Regulation Bill

    The Section on Business Law (SBL) Unit of the Nigeria Bar Association (NBA) has urged the Senate not to pass the National Arbitration Regulatory Commission Bill.

    SBL’s Chairman, Mr Gbenga Oyebode, made the call in Lagos at a briefing to announce the Seventh Yearly conference of the section scheduled for between June 17 and 19, 2013 at Eko Hotel, Lagos.

    The Bill, which has been passed by the House of Representatives, is awaiting its concurrent passage by the Senate.It seeks to subject  arbitration practice in Nigeria to government regulations.

    The SBL has made its opposition to the bill known in a letter sent to the Senate’ s President, David Mark, detailing reasons why the Bill should be rejected.

    Oyebode said the SBL opposed the Bill because it is not constitutional and for the fact that it infringes on the rights of people to practice arbitration.

    The SBL Chief added that arbitration by its nature does not need to be subjected to government legislation because of the confidentiality of clients and for the fact that the industry itself is self regulatory.

    On the forthcoming conference of the SBL,with the theme: The legal profession in an emerging economy, Oyebode said the SBL has decided to choose a prominent  Indian lawyer, Harold Paisner, to speak on the theme to underscore the need to tap  from  jurisdictions that share common practice with Nigeria.

    He listed other important dignitaries expected to  attend the conference to include the Chief Justice of Nigeria, Justice Mariam Aloma Mukhtar, The Attorney- General of the Federation Bello Adoke (SAN) and the Lagos Chief Judge, Justice Ayotunde Phillips.

    The governors of Lagos, Ekiti, Akwa Ibom, Bayelsa states, are also expected as special guests at the event.

    Apart from the main theme, he listed other issues to be discuss at the two-day conference to include the Niger Delta amnesty programme and the Power sector reforms.

    Oyebode, who said the SBL has a focus on continuous legal education through its various committees, said the event would be rounded off with the chairman’s dinner.

     

  • Long overdue bill

    Long overdue bill

    • It is time for the National Assembly to give Lagos a special status

    The proposed bill for a special status for Lagos to be presented to the National Assembly is long overdue. The bill, reportedly the handiwork of Senators Ganiyu Solomon, Oluremi Tinubu and Gbenga Ashafa representing Lagos West, Lagos Central and Lagos East, respectively, should be pursued to a logical conclusion.

    Before the latest attempt to give the demand a legal garb, notable indigenes of the state have in the past 14 years been in the forefront of the agitation for a special status for Lagos State. Former Governor Bola Tinubu, Alhaji Femi Okunnu (SAN), an elder statesman and former Federal Commissioner for Works, as well as Oba Rilwan Akiolu, the Oba of Lagos, have been unrelenting in their calls on this issue.

    More importantly, Governor Babatunde Raji Fashola (SAN) has shown unwavering resolve at every opportune time to demand this special status for the state. He stated unambiguously during last November’s Senate constitution review public hearing for the South-West geo-political zone at the Lagos Airport Hotel, Ikeja: “If Lagos does not prosper, prosperity will be difficult for other parts of Nigeria.”

    Since 1976 when the Justice Akinola Aguda committee recommended Abuja as the future Federal Capital Territory (FCT), successive federal administrations immediately placed high premium on the new FCT, to the detriment of Lagos. By December 12, 1991 when the seat of federal power moved and Abuja officially gained its status as the capital of Nigeria, Lagos was completely abandoned by succeeding governments at the centre.

    The Federal Government seems to have forgotten that Lagos will for long remain Nigeria’s economic focal point, generating a significant portion of the country’s Gross Domestic Product (GDP). Furthermore, most commercial and financial businesses are still carried out in the state’s Central Business Districts on the island and Ikeja, where leading banks and numerous major corporations and business concerns have their headquarters.

    More interestingly, Lagos remains a repository of the nation’s diversities. The state witnesses, on a daily basis, the influx of the rich, poor, educated and un-educated, and of mostly the youths seeking greener pasture, from different parts of the country. This is because though the FCT might be the centre of gravity for policy formulations and decision making, including contract awards, the nation’s main industrial and commercial activities and the people have stayed back in Lagos because of its strategic location.

    For sure, the demand for special status for Lagos is not gormless. Despite Lagos’ astronomically increasing population since the movement of the seat of power, the state’s successive administrations have been sustaining this ever-increasing population. The implication is that over time, the infrastructural facilities have become inadequate because the state government alone cannot cater to the needs of the people in the state. How can it, with Lagos remaining an attraction and host to over 85 per cent of ambitious youths; over 80 per cent of the country’s intelligentsia and above 85 per cent of the country’s critical industrial and commercial hub? There is no doubt that the state inevitably deserves the special status now more than ever before.

    Therefore, the Lagos special status bill must be supported by all Nigerians who truly want the country to develop economically and industrially, irrespective of ethnic or tribal affiliations. The National Assembly members must not dilly-dally once the bill is presented before it. It is in our collective interest to get this status for Lagos.

     

  • PIB: North’s senators give fresh condition to pass bill

    PIB: North’s senators give fresh condition to pass bill

    Senators from the North are pushing for a fresh condition for the passage of the Petroleum Industry Bill (PIB) into law even as the stage is set for zonal public hearings on the contentions bill.

    They want the 10 per cent provision for Host Community Fund to be extended to all communities hosting oil wells, farm tanks, pipelines and depots.

    Ahead of the presentation of the new condition, the Federal Government has started lobbying senators on the merits of the bill.

    Some forces in government are pleading with Northern senators to give the PIB a chance.

    The senate is expected to conduct public hearing in Lagos, Abuja, Port Harcourt and Makurdi.

    But a major controversial area in the bill is the allocation of 10 per cent of the nation’s oil revenue to host communities.

    It was gathered that the senators are weighing a fresh option on the Host Community Fund.

    A source said: “I think there is a clearer picture to some extent. Senators from the North are saying that the 10 per cent Host Community Fund should not be limited to any region.

    “They want befitting communities to be those hosting oil wells, farm tanks, pipelines and depot installations.

    “The misconception before is that only communities with oil wells will benefit from the Host Community Fund

    “We have resolved that if this new condition is acceptable to the Federal Government and oil producing states in the Niger Delta, we will pass the PIB.

    “The argument of the senators is that all parts of Nigeria are exposed to oil exploration, refinery and distribution hazards.”

    Another source added: “The PIB is structured in such a way that oil producing states will be earning between 35 and 40 per cent derivation to the disadvantage of other parts of the country.

    “This is why we are insisting that the clause on Host Community Fund be an all-inclusive thing. Every state with oil installations or facilities must benefit from the 10 per cent fund.

    “This is the only condition for the passage of the bill.”

    A third source said: “We are also opposed to the discretionary powers given to the Minister of Petroleum Resources. Those powers are unnecessary because they will make a sitting oil minister more powerful than the President. The ball is in the Federal Government’ court to accept these conditions or not.”

    The Senate might hold public hearing on the PIB in Lagos, Abuja, Port Harcourt and Makurdi.

    Although some senators from the North prefer Kaduna, but others settled for Makurdi because of the security challenges in the former capital of the defunct Northern Region.

    A senator said: “Lobbyists from government have been desperately trying to woo North’s senators to ensure the passage of the bill.

    “They are saying that the Host Community Fund is harmless but North’s senators see it as a booby trap to get additional 10 per cent derivation for oil producing states, especially those from the Southsouth.

    “It is left to the government to allay the fears of the North in the bill in order to move forward.”

    The Northern States Governors Forum (NSGF) last week rejected 10 per cent vote of the nation’s petroleum income to host communities.

    The Forum said the creation of Host Community Fund is a ploy to give more revenue to oil producing states.

    The governors made their position known in a memoranda to the House of Representatives ad-Hoc Committee on PIB.

    The memo, signed by the Chairman of the Forum, Governor Babangida Aliyu, reads: “The most controversial provision of PIB 2012 is the introduction of the Host Community Fund which is creating a fourth tier of Government in the sharing of the revenue of the Federation.

    “Whereas the constitution of Nigeria recognises only three tiers of government in directly accessing the Federal Reserve and the Niger Delta Development Commission (NDDC) is meant to take care of the special needs of the host oil-producing communities.

    “The PIB does not state exactly what constitutes a Host community or how funds will be conveyed to the community. The provisions of the PIB 2012 relating to the Host Community Fund touches on the question of the revenue allocation and utilisation in a federation such as Nigeria.

    “The constitution already allocated 13 per cent of the Petroleum income as derivation precisely to cater for the special needs of petroleum producing communities; the 10 per cent Host Community Funds in PIB 2012 is merely an attempt to extend this through an act of the National Assembly without the required constitutional amendment.

    “In other words, the issue of derivation has already been exhausted in the constitution. What is rather needed to be done is improvement on the present derivation factors and formulas to correct disparity and open other opportunities for other part of the country.”

     

  • Govt approves Land Use Charge bill

    Govt approves Land Use Charge bill

    Lagos State government is taking a new approach to the delivery of Land Use Charge bills.

    According to the head of the Land Use Charge Team, Mr Omodele Ibrahim revealed this during a media briefing in his office. He said that the new approach is taking the form of making the property owner or occupant acknowledge the receipt of the bill by filling delivery form, and afterwards demand notice delivery handbill. The bill is then pasted on the wall of the property and photographed by the bill delivery service official of the team for further storage in their data bank for future reference and retrieval.

    In a situation whereby there is no one to receive it; the bill and the demand notice delivery handbill are placed on such property with sealant for easy retrieval by property owner or occupant.

    According to a source, the new move stemmed from claim by some property owners that they were not liable to payment of penalty charges on the Final Reminder Notice, since they did not receive the First Demand Notice.

    According to the Ikeja Zonal Manager of the team, Abolade Omiyale, before now the bill delivery exercise was being undertaken on contractual basis by courier service company.

    While the contractual delivery of the bill lasted, many property owners have complained about the non-receipt of the bill, hence the new approach.

    “Besides, estimations of these properties are done by us and we are familiar with locations of properties, property owners and occupants. We believe that with these advantages, we can handle the delivery of the bills more efficiently and satisfactorily,” he added.

    During the delivery and monitoring exercise of the bill carried out on some streets in Ikeja, copies of the Demand Notice handbill that reads: “Lagos State Government. Land Use Charge 2013 Demand Notice DELIVERED,” were seen either removed or torn.

    Commenting on this, Omiyale appealed to property owners and occupants not to see it as suggestive implicating or default notice, rather as a notice of demand of civic responsibility.

    He in the meantime counseled property owners and occupants having accumulated bills to make payment based on the current (2013) bill; adding that 15% discount is applicable on any payment made within 15 day of the delivery of the demand notice.

  • Mark insists on Bill against same sex marriage

    Mark insists on Bill against same sex marriage

    President of the Senate, David Mark, has insisted that the Bill prohibiting same sex marriage is irrevocable.

    Mark spoke while addressing Catholic faithful and guests at the civic reception in honour of the Cardinal John Olorunfemi Onaiyekan in Abuja at the weekend.

    He said the Bill would be passed into law irrespective of pressures from some sections of the international community and human rights activists demanding the legalization of same sex marriage in the country.

    Besides banning the same sex marriage, Mark said it is now a criminal offence punishable by imprisonment of not less than 14 years.

    He added that in spite of the pressures from some quarters, the law has come to stay.

    He said: “We will not compromise on this. I want to invite you all to join the crusade of decency in our society.

    “There are many good values we can copy from other societies but certainly not this one (same sex marriage).

    “We have to prove to the rest of the world, who are advocates of this unnatural way that we Nigerians promote and respect sanity, morality and humanity.

    “Every individual is a product of the union of a man and woman.”

    He acknowledged the cordial relationship between the Nigerian State and the Church and pledged that the National Assembly would continue to do all within the law to ensure religious freedom and peaceful co-existence in the country.

    He added that the National Assembly would continue to support religious programmes that have positive bearing on Nigerians but was quick to condemn religious intolerance or extremism.

    He enjoined spiritual leaders to continue to pray for good governance, peace and security which are major challenges in the country today.

     

  • North rejects oil Bill

    North rejects oil Bill

    •Document suffers setback at Senate

     

    The North has rejected the Petroleum Industry Bill (PIB) – the much vaunted magic pill that is expected to clean up the oil sector.

    The bill contains some provisions, which are against the North’s interest, according to the Northern Governors Forum, senators and members of the House of Representatives from the region.

    They also protested against the establishment of the Host Community Fund and asked the North to use its majority in the National Assembly to scrutinise the bill and protect the North’s interest.

    The planned debate on the bill suffered a setback at the Senate yesterday.

    Other key grouses of the North border on the new institutional structure being proposed for the country’s oil and gas industry; the fiscal provisions; divestment of equity and gas supply to the North and alleged arbitrary discretion given to the Minister of Petroleum Resources to determine royalty

    The grouses of the North are contained in a document prepared for the Northern Governors Forum, Northern Senators Forum and Northern Caucus in the House of Representatives.

    The document, which was obtained by our correspondent, showed that the North is angry that the PIB’s provision for divestment could “lock the people of the region out” of ownership of oil and gas resources.

    The North said any plan to divest equity in the new National Oil Company and the National Gas Company may favour the South because most businesses and communities in the North are not active players in the Nigerian Stock Exchange (NSE).

    The three key bodies also alleged that the establishment of the Host Community Fund is being skewed to give oil producing states, especially those from the Southsouth, more revenue than all the 19 Northern states.

    They added that the PIB does not create a framework for any serious or effective exploration for hydrocarbons in the frontier acreages of the country’s six sedimentary basins, four of which are in the Northern sections of the nation.

    The document reads in part: “On top of the 13.5 per cent statutory derivation from the Federation Account, the mandatory Federal budgetary allocation to the Ministry of Niger Delta, the Niger Delta Development Commission (NDDC) levy of 3 per cent of oil operations and the massive amount of Federal funds being spent on the Niger Delta Amnesty programme, the new PIB is adding 10 per cent of the profit of all oil and gas companies to the Niger Delta States and Communities.

    “Currently, without this new addition, four states (Akwa Ibom, Bayelsa, Delta and Rivers) earn more than the 19 Northern states combined. One wonders what kind of federation we would end up with, if this situation is escalated by the new PIB. In any case, what really is the constitutional standing of this particular provision in the Bill?

    “These and many other issues in the Petroleum Industry Bill need very close scrutiny by the Northern Governors Forum. Without this exercise, it is very possible for the states in the region to be legally short-changed through the process of legislation despite having the majority membership in the two chambers of the National Assembly.

    On plans to divest equity in the proposed new National Oil Company and the National Gas Company, the Northern leaders said there is no provision for safety net to protect the interest of the region.”

    They said the PIB ought to protect the North’s right to invest in these two companies because of its low participation in the Nigerian Stock Exchange.

    The document said: “The plan to divest equity in the new National Oil Company and the National Gas Company is not in itself an issue, the problem is to implement this provision of the law without any safeguards for equity and national spread.

    “The communities and businesses in the Northern States are not very active players on the Nigerian Stock Exchange. In this regard, simply off loading the equity of these national assets on the stock market could lock the people of the region out of ownership of these critical resources.

    “The region must, therefore, insist on legislating guarantees for equity and national spread on whatever divestment plans there are for oil and gas assets.

    “The new institutional structure being proposed for country’s oil and gas industry does not create a framework for any serious or effective exploration for hydrocarbons in the frontier acreages of the country’s six sedimentary basins, four of which are in the Northern sections of the nation.

    “The New Petroleum Technical Bureau to be located in office of the Minister of Petroleum, which takes over the responsibilities of NNPC’s Frontier Exploration Services, cannot really be a substitute for the National Frontier Exploration Services (NFES) that was earlier proposed in the version of the Bill sent to the National Assembly by the late President Umaru Musa Yar’Adua.

    “While the need to attract the required investment into the sector through the fiscal device must be recognised, it should not be at the expense of an appropriate and legitimate Government take of the total petroleum income.

    “The scaling down of the Hydrocarbon Tax and the reinstatement of many incentives and allowances, among other things, would certainly impact negatively on the inflow into the Federation Account and further stress the already overburdened treasuries of the State Governments.”

    The North also faulted the PIB for leaving the issue of royalty to the discretion of the Minister of Petroleum Resources.

    They said such a discretionary power will breed corruption.

    The document said: “Of great concern, however, is the issue of royalty or lack of it in the Bill. Leaving the question of the determination of royalties to the regulatory discretion of the Minister of Petroleum is not only dangerous for the nation, but also an open invitation for phenomenal corruption in the future.

    “One of key challenges in the management of the Petroleum Industry in Nigeria is the consistent inability to prioritize gas supply to the North. While many of the other sections of the region enjoy the benefits of cheap, clean and effective energy source, the North continues to wallow in extreme energy poverty.

    “For instance, out of the sixteen thermal power stations in the country only one (Geregu) is located in the region. The Ajaokuta – Kano gas pipeline has consistently remained in the back burner of all gas utilisation plans in the country.

    “The only way to ensure that gas supply to the North is prioritized over more export oriented gas projects by operators in the industry is ensure that the terms of the Domestic Supply Obligations and Pricing Regulations signed by the late President Umaru Yar’Adua administration are incorporated in the new Petroleum Industry legislation.”

    They queried why all the states were not consulted for broader input before the bill was drafted.

    The document said: “The new Petroleum Industry Bill (PIB) that was recently forwarded to the National Assembly by the Presidency is one piece of legislation that would impact on the constituents’ part of the federation in a very profound manner. It is, in fact, truly remarkable that a key legislation that only affects assets of the whole federation, but would also seriously impact on the inflow of revenue into the Federation Account could be drafted and forwarded to the National Assembly without the input of, or due consultations with, the federating states.

    “More specifically, there are many provisions and issues in the document that should be of serious concern for the Northern States in particular.”

     

  • Customs Reform Bill scales second reading

    Customs Reform Bill scales second reading

    A Bill which seeks to reform the administration and management of the Nigeria Customs and Excise, scaled second reading in the Senate yesterday.

    Entitled, “A Bill for an Act to repeal the Customs and Excise Management Act, CAP.C45 of the Federation of Nigeria, 2004, and Other Customs and Excise Laws; to establish the Nigeria Customs Service; Reform the Administration and Management of Customs and Excise in Nigeria and for Other Related Matters, 2012,” was sponsored by Senate Leader, Senator Victor Ndoma-Egba.

    In his lead debate, Ndoma-Egba noted that Customs administration is globally recognised as a key indicator driving economic growth by facilitating trade between countries.

    He said the administration of Customs occurs in a complex national and international legal regulatory environment that influences the form and content of the national Customs laws or regulations.

    He noted that Nigerian Customs Service is unarguably one of the oldest institutions of government with a history spanning as far back as 1891.

    Ndoma-Egba said as one of the frontline organisations that contribute to national security and economic growth, the Service’s functions of collection of revenue and curtailing smuggling have remained crucial to the security and development of Nigeria.