Tag: Executive Order

  • President issues executive order

    President issues executive order

    President Muhammadu Buhari yesterday signed Executive Order 5 to improve local content in public procurement with science, engineering and technology components.

    The Executive Order is expected to promote the application of science, technology and innovation towards achieving the nation’s development goals across all sectors of the economy.

    In the proclamation entitled ‘‘Presidential Executive Order 5 for Planning and Execution of Projects, Promotion of Nigerian Content In Contracts and Science, Engineering and Technology,’’ the President also directed Ministries, Departments and Agencies to engage indigenous professionals in the planning, design and execution of national security projects.

     

  • Buhari signs executive order to improve local content in procurement 

    Buhari signs executive order to improve local content in procurement 

    President Muhammadu Buhari on Monday in Abuja signed Executive Order 5 to improve local content in public procurement with science, engineering and technology components.

    The Executive Order, according to a statement by the Senior Special Assistant on Media and publicity, Garba Shehu, is expected to promote the application of science, technology and innovation towards achieving the nation’s development goals across all sectors of the economy.

    The President, pursuant to the authority vested in him by the Constitution, ordered that all ‘‘procuring authorities shall give preference to Nigerian companies and firms in the award of contracts, in line with the Public Procurement Act 2007.’’

    The Executive Order also prohibits the Ministry of Interior from giving visas to foreign workers whose skills are readily available in Nigeria.

    It, however, notes that where expertise is lacking, procuring entities will give preference to foreign companies and firms with a demonstrable and verifiable plan for indigenous development, prior to the award of such contracts.

    In the proclamation entitled ‘‘PRESIDENTIAL EXECUTIVE ORDER 5 FOR PLANNING AND EXECUTION OF PROJECTS, PROMOTION OF NIGERIAN CONTENT IN CONTRACTS AND SCIENCE, ENGINEERING AND TECHNOLOGY,’’ the President also directed Ministries, Departments and Agencies to engage indigenous professionals in the planning, design and execution of national security projects.

    It added that ‘‘consideration shall only be given to a foreign professional, where it is certified by the appropriate authority that such expertise is not available in Nigeria.’’

  • How ‘Executive Order’ can boost local manufacturing, trade volume

    How ‘Executive Order’ can boost local manufacturing, trade volume

    The recent Federal Government’s Executive Order directing MDAs to grant preference to local manufacturers in their procurement of goods and services, observers say, could have far-reaching positive outcome for manufacturers and the economy, Assistant Editor OKWY IROEGBU-CHIKEZIE writes.

    It is encouraging to note that the Federal Government is currently working on plans to promote the production and consumption of local products. Aside providing solutions to the unemployment problem in the country, encouraging the production and consumption of local products could usher the country into the path of the much desired economic prosperity. This is the secret behind the rising profiles of the now prosperous Asian tigers. Nigeria’s ability to achieve similar feat will depend on her capacity to harness human and material resources towards the promotion of made-in-Nigeria goods that can compete in both local and international markets.

    The time has come for the country to encourage the development of local industries in the country as a way of promoting the patronage of locally made goods and products. The country’s reliance on crude oil as the primary export commodity and foreign exchange earner has, no doubt, worsened the situation of local industries in the country.

    Fortunately, Nigeria has an amazing advantage in our size. Conservatively, the country’s population is put at over 175 million. It is variously touted that out of every five blacks, four are Nigerians. Our population is therefore a major source of strength and it behoves on us as a nation to leverage on this factor to promote the Nigerian brand in terms of products and services as this remains the only means through which sustainable employment can be guaranteed. Nigeria is in a position to play a strong continental and global role because it benefits from a large population of energetic, educated and entreprising people, as well as from an abundance of natural resources.

    Industry players agree that for local goods to enjoy sufficient patronage from local consumers, there is need for the National Assembly to come up with a local patronage bill that would ensure that made-in-Nigeria goods and local producers are protected.

    They lamented that a situation where Nigerians depend solely on imported goods is unhealthy for the nation’s economy and that the idea of patronising made-in-Nigeria goods should be encouraged and viewed as a call for a nationwide partnership to develop the kind of collective commerce pattern that would have a positive bearing on national development.

     

    Government position

    Minister of State, Industry, Trade & Investment, Mrs. Aisha Abubakar, said the nation’s abundant natural resources can only be relevant when exploited, lamenting that though we have abundant natural resources, they’ve  not been adequately deployed to benefit the citizenry. She called for a holistic overhaul of our importation policy to discourage items that can be manufactured locally.

    Speaking on the ‘campaign for patronage of made-in-Nigeria products and services’, she said the inward looking initiative of the administration is expected to boost the nation’s economy, by reviving the local industries to produce quality products of international standards. She said the nation has comparative advantage in textile, furniture, food and drinks, as well as leather and its bye products, saying if exploited, this will lead to generation of massive employment, boosts the culture and tourism sector, create wealth, reduce poverty and increase the foreign exchange earnings’ capacity of the country.

    Mrs. Abubakar said: “The promotion of made-in-Nigeria products and services will also stimulate growth and promote innovation in our Medium Small & Micro Enterprises (MSMEs). In addition, it will boost financial inclusion and overall security of the country, two key elements essential for sustained economic prosperity and development.”

    She said the Federal Government has set in motion plans to translate MSME’s into bigger platforms, stating that although many of the operators are small, they are churning out quality products. She said they have not only improved their quality and standards, but also packaging over time. Mrs. Abubakar said government is prepared to group the small businesses into clusters, boost them financially and also offer advisory services in the areas of marketing.

    Minister of Information & Culture, Alhaji Lai Mohammed, said the ‘Executive Order’ is expected to boost the patronage of locally produced goods and services, saying the new procurement policy makes it compulsory for MDAs to patronise locally made goods. He encouraged manufacturers to continuously work to improve their goods quality and also deploy Information technology in marketing their products.

    Also the Lagos State Governor,  Akinwunmi Ambode said the citizenry’s unchecked alure for foreign goods and services brought the country to its current situation. He urged the federal government on the need to stimulate export and encourage the consumption of locally produced goods with innovative policies. While commending the ‘Executive Order’ and the need to have policies that will stimulate locally made products, Ambode said the state’s partnership with Kebbi State  in rice production, has resulted in sharp drop on rice importation and the conservation of the nation’s foreign exchange.

    He said: “As a state, we have encouraged the growth of several MSMEs through various capacity & empowering programmes, in addition to ensuring supportive investment matching of small businesses in the state. This has encouraged employment generation and wealth creation for entrepreneurs in the state. Our belief is that the nation cannot grow sustainably, except non oil export is encouraged”.

    Director-General, Raw Materials Research and Development Council (RMRDC), Dr. Hussaini Doko Ibrahim, said the Council primarily serves the interest of the Organised Private Sector (OPS), especially the  MSMEs, which form the bulk of resource-based manufacturing in the nation. He said the Economic Recovery and Growth Plan (ERGP) of the Federal Government is based on optimising the use of local content in empowering local businesses.

    Ibrahim said RMRDC is committed to providing opportunities for synergy among stakeholders in the raw materials value chain, aimed at enhancing sourcing of local raw materials for manufacturing.

    He said: “We have to showcase available industrial raw materials in the country, as well as the efforts of our scientists, technologists, engineers and fabricators in raw materials production, processing and utilisation for the benefit of the manufacturing sector of the economy,” saying more than ever before, it is now possible for industries to secure high quality starch, glucose syrups and extracts, fruit juice concentrates,  besides creating a platform for highlighting the challenges to local sourcing of gypsum as cement industries now source it from local miners.

    The RMRDC boss decried the poor linkage between the researches, prospective investors and entrepreneurs to commercialise these innovations.

    On how to address the challenge, Ibrahim canvassed the need for manufacturers to get involved in Research & Development (R&D) for the development of local raw material substitutes to imported ones, new technologies in raw materials processing, or new products development for the local market.

    He urged manufacturers to venture into R & D so as to stimulate the sector and also take advantage of the incentivised tax laws for the manufacturing sector.

     

    Private sector thinking

    Managing Director, Automacs Nig Limited, manufacturers of cars and Industrial filters,  Obiora Ogonsiegbe, said his organisation is in support of plans by the Federal Government to discourage the importation of certain items the country has the potential of producing locally.  He said: “We need to embrace attitudinal, structural, and cultural change that would enable major stakeholders to modify their outlook towards made-in-Nigeria goods. In our drive towards a varied and dependable economy, it is vital that we build internal structures that will establish it as an independent commercial hub wherein our position will be strengthened in the course of international collaborations and our negotiation powers leveraged by a culture of home-grown technical expertise”.

    He urged government on the need to implement extensively the ‘Executive Order’ noting that made-in-Nigeria goods will boost the nation’s manufacturing sector and by extension create more jobs. According to him it is through this that indigenous firms can take advantage of bigger markets at regional, continental and global levels. It is important for the country to appreciate its fundamental dynamics by making policies that will ensure sustainable economic development.  He added that advocating and supporting made- in -Nigeria goods is a sure way to turn around our dwindling economic fortune.

    He advised Nigerians on the need to encourage indigenous entrepreneurs by patronizing locally produced goods and services. Reiterating his conviction on the need to develop and transform local industries, he said: “There is no country that has managed to transform itself without adequate industrial growth or wholesome dependence on imported goods. Therefore, we need to empower local industries, and this could only be done by embracing locally made goods. Recent giant strides in the cement industry have sufficiently demonstrated that local industries could act as catalysts for economic growth if only the needed impetus for growth and development are put in place”.

    He called on the Bank of Industry (BOI) to intensify efforts on her support for the Small & Medium Enterprises (SMEs) with more robust products without stringent conditions. He further canvassed for more banks and financial institutions to buy into the ‘made –in-Nigeria’ vision in order to ensure enhanced and sustainable industrial growth in the country.

    On the draw backs for the realisation of the ‘Executive Order’, he stated that it is the all important question of stable power supply.  He said: “Presently, the power situation in the country is epileptic and, nobody would be encouraged to venture into local entrepreneurship in view of the high cost of sustaining alternative power source. It is not enough that the power sector has been deregulated to encourage private investors, much still need to be done for us to have a reliable power sector that could drive the local industries”.

    He advised that there are immense benefits in supporting and embracing locally made goods as it remains one of the sure ways to fully realise our potential as a nation and possibly one possible way out of the current economic dependency and poverty.

    Managing Director  Nestle  Nig Plc, Mr. Mauricio Alarcon have said that their backward integration policy and the use of more familiar and common ingredients has not only improved the nutritional profile of their products  but also has built the nation’s   local economies. He said they have over 4,000 farmers.

    At the launch of their new variant of  their seasoning called Maggi Naija Pot in Sagamu, Ogun State, he said the new seasoning helps families cook better-tasting wholesome Southern dishes with less effort while delivering the delicious’ bottom of the pot taste ‘. He said the raw material used is 80 per cent locally sourced which has helped them in their factory expansion.

    He said: “Most consumers want minimal processes but desire adequate nutritional needs from any purchased products. With that in mind we fortified our Maggi Naija pot with iodine and other essential nutrients.  We have further trained over 1,600 farmers in local technology using soya beans with over 7,000 local Maggi traders. In doing this we have not only increased our capacity but is also creating wealth.”

     

    Advocacy groups & multi-lateral agencies

    The Lagos Chamber of Commerce & Industry (LCCI) in their remarks commended the  Executive Orders  signed into law by the then Acting President, Prof. Yemi Osinbajo, geared towards changing the ways government business and operations are conducted.

    In a statement former LCCI President, Mrs. Nike Akande, maintained that the three main pillars of the executive orders namely promotion of transparency and efficiency in the business environment, support for local contents in public procurement by the Federal Government, and efficient operation and implementation of the federal budget, have been key focus areas of LCCI advocacy campaign over the last few years.

    She argued that the executive orders will impact the ease of doing business, fast-track budgetary administration as well as promote made in Nigeria products. She urged the government to ensure that stipulated timelines are strictly adhered to by all the parties affected by the order.

    She further asked for continued consultations and engagement with the business community and the bureaucracy in building understanding and buy-in of all stakeholders.

    She pledged the preparedness of the advocacy group to track the compliance with these orders by relevant Ministries Departments and Agencies (MDAs) with follow up compliance and report outcomes and feedback from private sector players on an ongoing basis.

    Urging government to support Micro Small & Medium Enterprises (MSMEs) in her bid to ensure the success of the ‘Executive Order’, Akande  asked government to rekindle efforts at reviving growth in the non-oil sector which she described as a guarantee for a more sustainable growth beyond the volatility of oil prices in the international market.

    She said: “This opinion was confirmed in the World Bank report that opined that in the 1960s, Nigeria was a major producer of palm oil, cocoa and rubber and agricultural exports generated about 75 per cent of its foreign earnings. Taking a cue from its history, agriculture is again expected to play an important role in Nigeria’s growth story.”

    Akande said MSMEs have challenges stalling their growth ranging from lack of appropriate bankable business plans, competitive marketing strategies, standard accounting systems and dearth of technical abilities.

    However, she expressed the belief that Nigerian entrepreneurs were resourceful and have the capacity to aid the economic recovery process.

    She said: “There is need for a stable policy and regulatory environment that supports the reforms on the ease of doing business in Nigeria. Issues of taxation, trade and foreign exchange policies should be managed in line with international best practices. This should consider policies that facilitate trade, attract foreign investment and protect businesses from avoidable regulatory pressures.”

    For the Country Director, United Nations Information Center (UNIC) Ronald Kayanja, efforts  driven at inclusive socioeconomic growth may not yield desired results without institutional support for Micro, Small and Medium Enterprises (MSMEs). He said businesses within the cadre efficiently respond to immediate societal needs and contribute a significant quota to income generation as well as poverty alleviation, particularly in rural communities.

    He urged policy makers and finance groups to help materialise the sustainable development goals of eliminating poverty and hunger, through expansion of finance portals with  flexible modalities for MSMEs.

    “Although MSMEs generate the most new jobs, they face many challenges which access to finance is often cited as primary obstacle. Financing constraints are also magnified for informal firms which tend to be small in size by contribute significantly to economic activity. The banking institution and the financial sector in general should create a tailor-made intervention for MSMEs to get funds. They need to be encouraged as they are keys to inclusive sustainable development,” he said.

    Lagos State Coordinator, Small &Medium Enterprises Development Agency of Nigeria(SMEDAN)Coordinator, Mr. Yinka Fiicher stressed the need for the government to engage in critical infrastructural development concurrently with the course of easing business environment, describing it as  cardinal for productive economy.

    He said SMEDAN has earnestly empowered fresh entrepreneurs in the country through its Industrial Training Centres (ITC), revealing various technologies are made available for advancing vocational and technical knowledge

    President, Manufacturer’s Association of Nigeria (MAN), Dr. Franks Udemba Jacob hailed government’s decision and efforts at pulling the economy out of recession.  While commending the Economic Recovery and Growth Plan (ERGP) and the ‘Executive Order’ aimed at deepening the diversification and backward integration of the economy, he also commended the establishment of the Presidential Enabling Business Environment Council (PEBEC) with the mandate to improve the Ease of Doing Business (EOBD). He stated that it will among other things enhance productivity and overall performance in the manufacturing sector.

    Commending the government actions further, Jacob revealed that an assessment and verification of the performance score card of the Presidential Enabling Business Environment Council (PEBEC) and the 60-Day National Action Plan showed that 70 per cent of its 7 points objective modeled after  the World Bank Indices of Ease of Doing Business (EODB) has been achieved within the set timeline.

    He said: “The Council scored above 60 per cent performance on six objectives and only one recorded a low score of 33 per cent. Overall, the performance of the Council is an indicator of other developments that would come from the Council. We are hopeful that the processes and procedures required to fully actualize these objectives would be effectively implemented so as to permanently remove constraints to the EODB and improve the global ranking of Nigeria by the World Bank”.

    Udemba advised the government to sustain and consolidate all the achievements recorded within this short period by removing all trade facilitation constraints and attract foreign capital inflow to the country.

    He also cautioned that government should also ensure that other aspects of the objectives that are currently Work-In-Progress are properly implemented with a view to improving Nigeria’s competitiveness. He pledged the preparedness of the Organised Private Sector (OPS) to   continue to encourage her members and other investors to take advantage of the various initiatives to increase their investments.

    He however, pointed out that to enable the private sector to effectively key-in and benefit from an over-all lower cost business environment, there is the need for the government to expand the scope of the programme and take cognisance of other constraints to businesses.

    On the constraints to businesses, Udemba said they include but not limited to the cumbersome procedures and exorbitant administrative charges of regulatory agencies, harmonise multiple taxes and levies across the three tiers of government and to encourage ministries, departments and agencies (MDA’s).

    Others are to deepen the existing reforms by including indices that will effectively enforce the reduction in the cost of doing business, develop other easily verifiable platforms for the simplified VISA on arrival programme. He regretted that what is currently available is just an e-mail address which is not sufficient for effective performance evaluation.

    The MAN boss also asked for  the expansion of the  set objectives under “getting electricity” to include those that would address the challenges of electricity inadequacy, improper pricing and metering and the need to examine the performance level  of the special funding windows provided by government for businesses with a view to addressing the current poor access to credit.

    He further asked for the elimination of all forms of road blocks set up by commissioned revenue collection agents of government in active connivance with security agencies on the highways, improve on the websites that are currently not operator-friendly and make them more interactive. He implored government institutions such as Transmission Company of Nigeria (TCN), GENCOs and Nigerian Electricity Regulatory Commission (NERC) to resolve the dispute between manufacturers and the Distribution Companies (Discos) to avert the failure of the Nigeria Electricity Supply Industry.

    Finally, he called for the review and effective monitoring of the implementation of all activities under “trading across borders” which he said operators have confirmed is yet to be implemented.

  • FG warns Security Agencies against flouting Executive Order

    FG warns Security Agencies against flouting Executive Order

    The Federal Government Thursday warned all security agencies in the country against flouting its Executive Order which directed Ministries, Departments and Agencies of Government (MDAs) to give priority to local industries in their procurement.

    The Permanent Secretary, Ministry of Defence, Ambassador Danjuma Sheni, sounded the warning at the first army seminar on procurement with the theme,”Enhancing Nigerian Operations Through Effective Procurement System”.

    Sheni who spoke at the Nigerian Army Resource Centre, Mambilla Barracks, Abuja, said the federal government had recently prohibited officers of other cadres from the procurement functions, noting that the seminar was quite timely for the Nigerian Army and the services in building the capacity of its procurement cadre.

    The Permanent Secretary, represented by Director Procurement in the ministry, Engr. Michael Chukuma, said before the current government took over office in May, 2015, defence procurement process were ad-hoc and unpredictable which led to the setting up of the presidential committee on the Audit of Defence Equipment Procurement from 2007-2015.

    He said :”I will like to place on record that with the able leadership of President Muhammadu Buhari, the procurement procedures in the ministry and indeed the services are now re-organised and designed to follow due process in line with the provision of the Public Procurement Act, 2007 and other government directives,”

    The Chief of Army Staff, Lt. Gen. Tukur Buratai who was represented by Chief of Policy and Plans, Maj Gen Chris Jemitola said when they were appointed in July, 2015 that there were serious allegations against the Nigerian Army in its procurement of its platforms and logistics.

    Buratai noted that they had to streamline the procurement process in line with the public procurement Act, 2007 to international best practices and other sundry government policies relating to procurement.

    According to him the army’s equipment profile has tremendously improved and as can be noticed in our recorded successes in various operations especially in operation Lafiya Dole.

    “This is to keep up with President Muhammadu Buhari’s administration determination to stamp out corruption and irregularities in the Nigerian public service and other areas.

    “Our approach to procurement in army headquarters has made a real difference to our operations across the nation and peace support operations outside the country,” he said.

  • Executive order: NPA begins single interface examination of cargoes

    The Managing Director of the Nigerian Ports Authority (NPA), Hadiza Bala Usman, has directed immediate implementation of the single interface examination point for cargoes at all ports across the country.

    The decision followed a meeting held yesterday by the Implementation Committee on the Executive Orders recently issued by the Acting President, Prof. Yemi Osinbajo.

    It was in conformity with Executive Order 22.

    A statement signed by the Principal Manager Public Affairs of the NPA, Ibrahim Nasiru said with the take-off of the policy, all agencies of government required to operate and domicile in the ports would embark on their activities in designated locations only as there will be no other form of examination outside of that single interface.

    According to the statement, “every agency will develop their backend office operations to streamline what they require to support any historical structure they may have. But no agency would operate outside that interface at any of the port terminals.

    “All agencies of government that are not domiciled in the ports but are required to provide services should liaise with the lead agency on the modalities to perform their operations when they are required.

    “For record purposes, only the Nigerian Ports Authority (NPA), Customs and Excise, Nigerian Immigration Service, Department of State Services (DSS), Port Health, Nigerian Maritime Administration and Safety Agency (NIMASA), National Drug Law Enforcement Agency (NDLEA) and the Nigerian Police, which were part of the presidential approval in 2011, are permitted to domicile within the ports. All other agencies must come in only when they are required.”

    The Managing Director expresses the gratitude of the management of the NPA to all government agencies and stakeholders who have collaborated with the Authority to ensure the implementation of Executive Order 22 ahead of deadline.

    She also assured that the doors of the Authority are open to receive suggestions or complaints about challenges that are encountered in the implementation of the new policy.

    She asked for continued support of all stakeholders towards repositioning port operations in Nigeria.

  • Executive Order: New dawn at airports

    Executive Order: New dawn at airports

    The implementation of the Executive Orders on Ease of Doing Business may have ushered in a regime of efficient service delivery at the airports. The results of the orders have started manifesting. The orders have reduced the turnaround time for passengers, airlines and redesigned airport security architecture by restricting some security agencies to some parts of the terminal. But it is all at a price, reports KELVIN OSA OKUNBOR.

    When Acting President Yemi Osinbajo signed  three Executive Orders aimed at facilitating the ease of doing business, many did not envisage that the results would start manifesting so soon.

    Although, the Orders essentially sought to save time and cost, promote transparency and efficiency in the business environment, some  critics  of the administration, including the oppistion, were not convinced that a new order wasi n the offing.

    However, develoments at the nation’s airports where the implementation of the  Orders has begun, may have proved such them wrong. The directive, The Nation learnt, has ushered a new regime of efficient service delivery at the airports.

    For instance, in compliance with the orders, the authorities at the nation’s airports have since introduced new check-in procedures. The move, which was in accordance with global standard in check-in procedures for passengers, was sequel to the introduction of a central screening and check-in point for passengers, irrespective of the airlines they are travelling with.

    Consequently, all customised check-in counters used by airlines have been removed at the Lagos International Airport. This was to improve passengers’ profiling and check-in processes in line with globally accepted operational standards. The development, described as a win-win for passengers, airlines and security agencies, was a clear departure from the past.

    It will be recalled that a long table allegedly used by officials of Nigeria Customs Service (NCS), National Drug Law Enforcement Agency (NDLEA), Quarantine Service, Nigeria Immigration Service (NIS) and other agencies to extort money from passengers under the guise of checking passengers’ luggage was strategically placed beside  airlines’check-in counters.

    According to sources conversant with the arrangement, the table was ‘christened’ the ‘Dash Table’, which in local parlance means table for extortion.  The arrangement, it was gathered, was responsible for the unnecessary delays in passengers’ check-in, which sometimes ran into several hours.

    This was at variance with what obtained in other parts of the world where it takes less than 20 minutes for passengers to complete their check-in and screening procedures.

    The security architecture at the airports has also been redesigned, following the implementation of the executive order. This was after the Federal Airports Authority of Nigeria (FAAN) notified stakeholders, including airlines, passengers and the public, to ensure compliance.

    FAAN’s spokesperson, Mrs. Henrietta Yakubu, said under the new security arrangement, NIS, NCS, and NDLEA officials, who work at either the departure or arrival halls, must appear in uniform with undetachable name tags when interacting with passengers.

    Yakubu said: “Please note that NIS, Customs and NDLEA must always appear in uniform and with undetachable name tags; DSS is for intelligence gathering while the Nigeria Police Explosive Ordinance Disposal Unit (EODU) will only function on call at the baggage hall.” He also said FAAN has directed airlines and the affected security agencies to remove, forthwith, physical check tables at the departure hall of the terminal.

    Also, desks belonging to Customs and NDLEA have been removed, as officials of FAAN security are now the only authority mandated to carry out the last screening on passengers. This has significantly reduced the turnaround time for passengers and airlines.

     

    Agencies, foreign airlines kick

    The new operational procedure at the airports has not come without controversies. Investigations by The Nation show that the emerging order at the airports has not gone down well with officials of some of the affected security agencies.

    Before the new arrangement, some security agencies are alleged to have been extorting passengers under the guise of screening their documents or luggage at the departure halls. But the redesigned security architecture may have finally put an end to such extortion, which was why the affected agencies are kicking.

    Some foreign carriers are also said to be reluctant to comply with the abolition of physical screening of passengers’ luggage. For instance, American carrier Delta Airlines recently expressed mixed feelings about government’s directive to abolish physical screening of passengers and their luggage.

    This was when officials of the airline recently clashed with Nigerian aviation security personnel over the implementation of the Executive Order as it affects manual checking of passengers luggage at the Lagos International Airport.

    The airline specifically claimed that such directive was not entirely in tandem with the operational procedures prescribed for its operations by the United States Transportation Safety Administration (TSA).

    Delta Airlines argued that the US agency provides some level of manual checks by any airline flying to the US. It insisted that its staff would manually check some of the passengers. It even threatened to stop the boarding of Nigerian passengers from the airport.

    FAAN Managing Director Saleh Dunoma however clarified that Delta Airlines did not entirely violate government’s directive to stop manual checks on passengers’ luggage at the Lagos Airport, but only insisted on carrying out some checks.

    Dunoma said: “It is not anything peculiar. They (Delta Airlines) want to do certain checks; we will tell them where to do the checks. We are not stopping anybody from checking anything, so long as it is in line with global standard of practice. The Executive Order does not stop that. We will handle Delta Airline issue.”

    But the Director-General of Nigerian Civil Aviation Authority (NCAA), Captain Muhtar Usman, was not swayed by Dunoma’s position on the matter. Apparently worried by Delta Airlines’ non-compliance, Usman sought and had a meeting with a team from the US’s TSA.

    The meeting, which held in Lagos, according to sources, was to clear the grey areas on the airlines’ operations in Nigeria as they affect check-in procedures at the airports. The US team was led by its TSA Attache, West African Region, Mr. Gary Pleus. He was accompanied by the Economic officer of the US Consulate General, Mr. James Plasman.

    At the meeting to explore ways of resolving the impasse, the airline was said to have explained that it had no plans to violate the implementation of the Executive Order by the Nigerian Government as it affects check-in procedures at Nigerian airports.

    Delta AirLines said: “Delta Airlines works closely with aviation authorities around the globe. Delta Airlines is actively working with both the authorities in Nigeria and the US to understand the new presidential directive and ensure we remain compliant with the respective authorities.

    Delta is subject to US Government and Nigerian Government security regulations. The safety and security of Delta’s customers and crew is the airline’s number one priority.”

    While the furore generated by the Delta Airlines perceived refusal to comply with the directive was yet to settle, another foreign carrier from Europe was also said to be bent on manual check-in of its passengers departing Nigeria.

    A reliable source hinted that the European airline had officially written to the NCAA and its logistics company in Lagos, insisting that apart from the machine screening of passengers, the law required it to also conduct manual screening randomly on some of its passengers.

    The airline based its argument on the US’s TSA, which says that at least 25 per cent of luggage or persons travelling to the US must be checked manually by any carrier operating to US.

    The Nation, however, learnt that the airline failed to carry out manual check-in of any of its passengers for two weeks following the removal of the check- in tables used by both the airline and security agencies by FAAN.

    Apart from check-in procedures at the airports, some aviation agencies including the Nigerian Airspace Management Agency (NAMA) have also been affected by the implementation of the Executive Order.

    For instance, following the directive, NAMA has updated its website to allow airlines and passengers get acquainted with the requirements, conditions and procedures for doing business or obtaining services from the agency.

    These include NAMA’s fees and timelines necessary for the processing of applications for services. The agency is also collaborating with other agencies including FAAN, NCAA on how to harmonise operational processes in order to achieve the single user interface at airports as directed by government.

    The agency has also gone a notch higher, charging airspace managers across Nigerian airports to ensure strict and unhindered compliance to the implementation of the Federal Government’s Executive Orders.

    Its Managing Director, Capt. Fola Akinkuotu, gave this charge in a keynote address at an enlarged management meeting with the nation’s airspace managers, which held in Lagos, recently.

    The NAMA boss said:  “We must individually and collectively, in our operational and administrative procedures, resolve to make the Executive Orders successful as it gives us the opportunity to correct our shortcomings, perfect the system and also set the template about what excellent service delivery  should be.”

    Akinkuotu urged airspace managers to ensure that staff under their different jurisdictions is conversant with the spirit and letters of the Executive Orders to ensure seamless implementation nationwide.

    He expressed optimism that acceleration of approvals and permit processes as contained in the Executive Orders would significantly increase revenue, attract investment and boost economic activities in the country.

    He warned that there will be no room for wilful or deliberate negligence of established procedures, as defaulters must be ready to face appropriate sanctions. He expressed gratitude to them for their collective effort at ensuring safety of air travel within their domains.

    The NAMA boss called for synergy of operations among departments in the agency and even agencies within the sector. According to him, “it is only when there is unity of purpose, teamwork, harmony and co-operation at all levels that the agency can realize its cardinal vision.

     

    FAAN, operators comment

    Commenting on the compliance with the new check-in procedures, Dunoma said: “Desks that have been there for manual search are no longer there. The checks are being done at appropriate locations and this has created a tidy departure hall.

    “This has improved the ambience of the departure hall. Of course, we have some issues that have to do with the first day normally in any operations. We are trying to resolve that.”

    He advised passengers to come in good time, so they can accomplish the process as scheduled. “There are some new locations and process of screening, so the earlier they come the easier for stakeholders especially the airlines and the security agencies,” Dunoma said.

    On his part, an Aviation Security Expert and Managing Director of Centurion Securities Limited, Group Captain John Ojikutu (rtd), commended government for the new regulations, noting however, that there is still room for improvement.

    Ojikutu said the removal of check-in tables was in line with the agitation of industry experts, who have, for many years, called on government to redesign the security procedure for passengers check-in at airports.

    Similarly, aviation industry think-tank, Aviation Round Table Safety Initiative (ART), praised government for the bold steps aimed at addressing administrative and safety issues at airports.

    In a statement by its President, Gbenga Olowo, the ART said: “The ART unequivocally commends the Presidency for the recently issued Executive Orders designed to facilitate the ease of doing business in the aviation sector of the economy.

    In furtherance of this unique presidential initiative, our body also appreciates the dismantling of the “dash table “at our international airports, which has improved passenger facilitation.

    “FAAN, NAMA and trade unions should desist from embarrassing the country with acts of barricading Check-in-Counters of airlines in order to collect outstanding payments.”

    Olowo urged the agencies to develop efficient and effective ways of collecting dues, rates and remittances from operators in the industry rather than strong arm tactics that could lead to break down of law and order in the airport environment.

    He also said that the internal communication system among all agencies involved in the management of the air navigational services should be immediately overhauled for a  modern technology driven with accurate and effective communication system to promote aviation safety.

    The ART President observed that the communication gap between airline operators and Air Traffic Controllers often result in air & ground returns, abortion/cancelation of flights, which jeopardises flight safety and results in financial losses to airline operators.

    “The agencies should diligently discharge their duties to operators in the industry by ensuring that air navigational services and ground handling services both at the point of departure and destination are more efficient in order to prevent incidences of flight clearance /approval at departure and denial of landing rights at destination, Olowo said.

    He added that agencies that render services at a fee should also be insured, while also compensating for financial losses resulting from negligence and failure to discharge responsibilities to operators, clients or passengers. This is the hallmark of corporate governance and ease of doing business,” Olowo pointed out.

    “ART assures the general public of its preparedness to support all measures by government and its agencies in the promotion of flight safety and passenger convenience towards the revival of the Nigerian economy and the ease of doing business,” he concluded.

    The Group Managing Director, DANA Air, Mr. Jacky Hathirami, praised aviation agencies for the commitment they have so far exhibited in implementing the directive.

    He said: “Apart from the fact that aviation industry is critical to the economy, I believe the executive order will remove unnecessary bureaucracies at the airport, provide solutions to a lot of anomalies in the system and open a vista of opportunities not just in the industry but all sectors.

    Hathirami said there was need to commend aviation agencies for their swift reaction in carrying out the order. He said what was left was to see how these changes in airport check-in procedures will have positive impacts on domestic airlines.

    “We are committed to offering the best services to the flying public with the support of aviation agencies in tackling the multiple challenges affecting the sector,” the DANA Air boss assured.

    Perhaps, to underscore the new dawn that has come in the wake of the executive order, a US bound passenger, identified as Mrs. Margaret Bolurin, a fortnight ago, forced officials of Nigerian Agricultural Quarantine Service (NAQS) at the Lagos Airport to issue her a receipt for the money paid for obtaining a screening certificate at the terminal.

    Her insistence on the receipt from NAQS officials was sequel to her suspicion of under hand dealings by the agency, which kept intending passengers waiting for hours to manually check their luggage.

    Bolurin said the conduct of the NAQS officials, who asked her to pay N2, 500 as certification fee for the ground pepper, melon and dried bitter leaves, did not align with the new screening and check-in procedures.

    Bolurin said: “Some officials here at Lagos Airport are not happy over the implementation of the Executive Order, because it is going to block their habit of extorting passengers under any guise.

    “Image officials of NAQS asking me to pay N2, 500 for travelling with grounded pepper, melon and dried bitter leaves. I complied, insisting that the payment must be receipted. They tried to kick, but I insisted. Ultimately, they had no choice but to issue me a receipt.”

    The US bound passenger wondered how this will facilitate the ease of doing business. She asked, “Is this how to ensure passenger facilitation at our airports and bring it to global standards?

    Why are they keeping their receipt and screening certificates at the sixth floor of the terminal building and extortion is going on at the first floor? Where is seamless facilitation here?”

    While insisting these are questions the authorities must provide answers to, Bolurin, however, said the implementation of the Executive Order has restored sanity to Lagos Airport. She, therefore, urged FAAN to ensure continuity.

    The overall objective of the Executive Orders signed into law by the Acting President was to stimulate a rebound of an economy severely battered by recession and also fast-track Nigeria’s transition to a non-oil economy.

    The stipulation of sanctions and punitive measures meant to address violations of the Executive Orders was seen by private sector operators as indication that a new dawn was in the offing.

    Interestingly, there are indications that the new order may have started manifesting, at least, at the nation’s airports. The consensus, however, is that sustained implementation is the only way to ensure the success of the orders.

  • NPA automates operation to fulfil Executive Order

    NPA automates operation to fulfil Executive Order

    The Nigerian Ports Authority (NPA) has “fully automated” its operations nationwide in its bid to fulfil the Executive Order on Ease of doing Business, its Managing Director, Ms Hadiza Bala Usman, has said.

    Speaking at a meeting with stakeholders in Lagos, on the implemen-tation of the order, Ms Usman said NPA would continue to introduce initiatives in line with best practices to ensure that it remains efficient, transparent and accountable.

    She also promised that a new platform would be created to accomo-date all government agencies at port for easy transaction.

    The stakeholders also urged the Federal Government to give maximum support to the Authority in its bid to enforce the Executive Order  by the Acting President, Prof Yemi Osinbajo, on 24-hour port operations.

    NPA, it was gathered, will double its revenue next year, after achieving 90 per cent of its target in the 2015 and 2016 budgets.

    A senior official of the Federal Ministry of Finance, who craved anonymity, said at the weekend that things were expected to look up with the NPA’s implementation strategy on 24-hour port operations.

    The official said NPA had fashioned a robust template for operations at the ports. Under the new arrangement, revenue leakages will be blocked while improving operational revenue.

    With government support, NPA will be able to monitor activities of other agencies, including terminal operators, to track revenues through the unified automation platforms to be set up by its finance department, the official said.

    With the introduction of 24-hour port operations and the coordinating role of its leadership, NPA will be able to block leakages. Findings however revealed that a major impediment to NPA’s revenue drive is trade facilitation, while the management is working towards making the sea ports a hub in West Africa.

    “To double its revenue and surpass the budget target, what NPA needs  is the trade facilitation role of other government agencies. NPA has put its house in order with the calibre of the people that are currently leading the agency. But there is need for the Federal Government to ensure that the role of other agencies makes it easy for any of the land-locked countries in West and Central Africa to know that the cost of the goods that are passing through Nigerian ports are reduced, safe, secured and will be delivered wherever they are needed on time,” the official said.

    NPA’s Principal Manager, Public Affairs, Ibahim Nasiru, told The Nation after a meeting with stakeholders that NPA launched the Electronic Payment System and the Electronic Ship Entry Notice (E-Sen), last year as a first step towards full automation of its processes, pointing out that this has tremendously improved efficiency in port operations, as well as added value to stakeholders.

    “The Revenue Invoicing Management System and Customer Portal which we have just introduced are fully convergent and real time platforms for our processes, which will lower operational cost and shorten the time for documentation,” Nasiru said, adding that these platforms are fully integrated to the electronic flow of information for business–to–customer and business–to–business with higher availability and flexibility.

    He said the platforms are fully integrated with all our existing solutions such as Oracle Financials, Oracle Human Capital Management, NPA Pay Direct via Inter switch and Electronic Ship Entry Notice (eSEN).

    “The introduction of this system has the potential to improve our service offering, improve our relationship with stakeholders, create efficient payment method, maximise revenue and minimise losses associated with fraud and revenue leakage.

    “The Customer Self Service Portal (CSSP) on the other hand, provides a platform for our customers to initiate and conclude their business process with us and also communicate with NPA,” the Public Affairs chief said, adding that the benefits accruing from this portal, include improved customer service delivery;  easy access to customer accounts status; view of all transactions and status in respect of bills; electronic upload of manifest; e-invoice and e-receipt generation.

    “Similarly, our Billing Applications which are already operational in all port locations will soon proceed to the next stage. Currently, it covers payment processes in areas such as Lease Fees, Service Boats, Passenger boats, General Bills (Jetties and Trawlers), and Oil Terminal Dues (OTD)/Compulsory Pilotage Rates (CPR).

    Nasiru said: “The introduction of these measures has facilitated business growth with high performance and unlimited scalability of the operations of the authority. This is evident from statistics which have shown that cargo throughput increased from 46,150,518 metric tonnes in 2006, to 86,603,903 metric tonnes in 2014, indicating an 87 per cent increase during that period which is due in part to continued efforts at improving processes.”

    He said the Executive Order issued by the Acting President will improve cargo-based revenue by 52 per cent within a year and 65 per cent subsequently.

    Nasiru said the e-ship entry notice initiative introduced by NPA has improved Gross Tonnage (GRT) based revenue by 38 per cent between 2014 and 2015.

    His words: “The deployment of e-SEN and RIMS Solution by NPA has blocked all leakages in our operational activities by 95 per cent and the remaining five per cent would be blocked upon the launch of a command and control centre which is expected to go on stream by the end of November, this year.”

    He said before the end of this year, “operational leakages would be a thing of the past in all the nation’s seaports as NPA plays its coordinating role in the implementation of the Executive Order’’.

    The Association of Nigerian Licensed Customs Agents (ANLCA) National President, Prince Olayiwola Shittu, said the body was happy with the giant stride so far taken by the NPA in the implementation of the Executive Order.

    “Nigerian Shippers, Cargo owners and shipping lines have a lot to benefit from the coordinating role the NPA is playing in the execution of the order issued by the Federal Government on 24-hour port operation. Its appointment as the coordinating agency is an excellent initiative of the government to improve efficiency and save so much time and costs. NPA, we believe, is up to the task,’’ he said.

  • Delta Airlines flouts implementation of Executive Order at Lagos airport

    Delta Airlines flouts implementation of Executive Order at Lagos airport

    Crisis was averted Tuesday at the departure hall of the Murtala Muhammed International Airport (MMIA), Ikeja, Lagos between officials of Delta Airlines and aviation security personnel over the implementation of Executive Order at the airport.

    The cause of the crisis it was learnt was the insistence of physical screening of passengers and their luggage by Delta Airlines, a development that contradicts the directive of government on the implementation of Executive Order.

    The Federal Government as part of the implementation of Executive Order had directed all airlines to remove screening counters at the airport for the profiling and screening of passengers.

    A source hinted that aviation security personnel belonging to the Federal Airports Authority of Nigeria (FAAN) confronted officials of Delta Airlines on why they will not comply with the directive of government.

    A source hinted that Delta Airlines officials held their ground insisting the physical screening of passengers and their luggage by the airline was a directive from the home office in Atlanta.

    The airline it was learnt threatened to stop processing boarding protocol for Nigerian passengers if they are not allowed to carry out physical screening of passengers.

    Confirming the development, FAAN, spokesperson, Mrs. Henrietta Yakubu said airport officials and Delta Airlines are meeting to resolve the impasse.

    She said though it is mandatory for all airlines operating in Nigeria to comply with the implementation of Executive Order, she wondered why Delta Airlines will insist on the physical screening of passengers.

    Yakubu said even with the Executive Order, manual screening of passengers cannot be totally eliminated at the airport.

    Meanwhile, Federal Airports Authority of Nigeria (FAAN) Tuesday commenced the implementation of executive order issued by the Acting President, Yemi Osinbajo.

    With the implementation, the agencies have now harmonized their screening at the airport departure hall.

    Managing Director of FAAN, Engr. Saleh Dunoma, who spoke after a meeting with all the agencies at the international wing of MMA.

    He said there would be no more multiple checks and that is why we have come together.”

    Osinbajo had last month issued the executive order that would enhance ease of doing business at ports of entry.

    The FAAN MD said all the agencies had stuck together to effectively and seamlessly implement the order without compromising on security procedures at the airport.

    He said henceforth agencies would check luggage of passengers at designated areas and not within the departure halls as was the case before.

    Dunoma stated that the authority had chosen to commence the implementation with MMA which is the busiest and the most visited airport in the country, adding that the implementation would be extended to other airports.

    He said, “Everybody is ready to key into this committee that is set up for the implementation and everybody is contributing positively. From all indications, all hands are on deck to make sure that the executive order is implemented.

    “I don’t envisage any problem in its implementation. We will support the agencies when the need arises by giving them additional facilities depending on what they are requesting for.

    “I just came out of the meeting. I heard some of the things they are talking about, issues being raised as a result of the implementation of the executive order. I gave them my words that I will support them with whatever issues they might have as a result of the implementation. I also emphasized that as a result of the implementation of the executive order there would be no compromise”.

    In a related development, Nigerian Civil Aviation Authority (NCAA) said Tuesday that it has put in place adequate measures to ensure full and sustained compliance with the Federal Government’s Executive Order (EO) at our airports.

    On its part, NCAA has prepared a standard document outlining its core functions and services, appropriate charges, fees, licenses, waivers and other tax-related processes in adherence to the Executive Order (EO).

     

  • Executive order to promote made in Nigeria, says minister

    •Mohammed hails Innoson Motors

    Minister of Information and Culture Lai Mohammed has reaffirmed the Federal Government’s commitment to promoting Made in Nigeria products.

    Mohammed said one of the executive orders signed by Acting President Yemi Osinbajo is aimed at giving preferences to local manufacturers of goods and services.

    The minister, who spoke yesterday after inspecting Innoson Vehicle Manufacturing Company, a local automobile factory in Nnewi, Anambra State, said the measure was part of the efforts to diversify the economy.

    “The Federal Government’s commitment to diversifying the economy is unwavering. On May 18, 2017, as part of the Ease of Doing Business Initiative, Acting President Yemi Osinbajo signed three Executive Orders. One of the three is called the ‘Support for local contents in public procurement by the Federal Government’.

    “A key provision of this is that all ministries, departments and agencies of the Federal Government shall grant preferences to local manufacturers of goods and service providers in their procurement of goods and services,” he said.

    Explaining the gains of the executive order, he said:  ”Specifically, it says Made in Nigeria products shall be given preferences in the procurement of items, including furniture and fittings, pharmaceuticals, construction materials, ICT, uniforms and footwear, food and beverages and motor vehicles.”

    On the recent collaboration between the Ministry of Information and that of Ministry of Industry, Trade and Investment to roll out the National Media Launch of the Made-in-Nigeria Campaign, the minister said: “The campaign is to let Nigerians know that the Federal Government is notjust paying lip service to this whole issue of Made in Nigeria.”

    He stressed that Innoson and other local manufacturers would be the biggest beneficiaries of the campaign.

    The minister said the campaign, which will also be launched in other parts of the country soon, “will surely boost the patronage of local manufacturers, including Innoson Motors”.

    The minister described the motor vehicle manufacturing company as a trailblazer in the automotive industry and a shining example of what Nigeria is capable of achieving, if it looks inwards and taps into the boundless energy and ingenuity of its people.

    “True to its name, Innoson is a manufacturing company, not an assembly plant. It is exactly what the brains behind the National Automotive Industry Development Plan have in mind when they rolled out that policy, which is to curtail dependence on imports and ensure the growth of the automotive industry, using local resources.

    Innoson is living up to what the policy aims to achieve – creation of jobs, conservation of foreign exchange and acceleration of technical development,” he added.

    Chairman/Chief Executive Officer, Innoson Vehicle Manufacturing Company Chief Innocent Chukwuma said the mission and vision of the company was in line with the Federal Government’s plan to make Nigeria one of the world’s top 20 industrialised nations in the year 2020.

    Chukwuma reassured the minister that Innoson was prepared to contribute towards the attainment of that goal.

    He said the company, which has been in operation since 2009, has manufactured about 11,000 vehicles.

    He added that Innoson has the capacity to manufacture about 10,000 vehicles annually.

    The industrialist, however, said the company has not enjoyed enough patronage from the three tiers of government.

    He said the firm will need more capital injection to make the company further increase production capacity.

    Chukwuma explained that if the company can have access to more capital, “we can produce vehicles at a cheaper rate that will not only be used in Nigeria, but will also be exported to other African nations, thereby increasing the inflow of foreign exchange.”

     

  • Executive Order goes into effect at airports

    Executive Order goes into effect at airports

    The Federal Airports Authority of Nigeria (FAAN) has initiated the implementation of the Executive Order issued by Acting President Yemi Osinbajo.

    FAAN Managing Director Saleh Dunoma, according to  a statement by the agency’s spokesperson Mrs Henrietta Yakubu, said machinery had been  put in place to ensure a successful implementation of the executive order which he would supervise himself.

    According to him, the importance of the executive order would  strengthen the nation’s fight against terrorism and eliminate unnecessary bureaucracy that impedes business activities at the airports.

    He said it would also improve safety, security and passenger facilitation within and around the airports.

    Dunoma urged passengers, airport users and the general public to cooperate with FAAN officials carrying out their responsibilities.

    The News Agency of Nigeria (NAN) reports that Osinbajo recently issued the executive order which is aimed to ” ease doing business in Nigeria”

    The order states among others that :” There shall be no touting whatsoever by official or unofficial persons at any port in Nigeria.

    ” On-duty staff shall be properly identified by uniform and official cards. Off-duty staff shall stay away from the ports except with the express approval of the agency head.

    ” The FAAN Aviation Security (AVSEC) and Nigeria Ports Authority (NPA) Security shall enforce this order.”

    It further directed that all non-official staff should be removed from the secured areas of airports.

    “No official of FAAN, Immigration, security agency or Ministry of Foreign Affairs (MoFA) or any other agency is to meet any non-designated dignitary at any secure areas of the airport.

    “The official approved list of dignitaries that have been pre-approved to be received by protocol officers shall be made available to AVSEC and other relevant agencies ahead of their arrival at the airport,” it said.

    Also, according to the executive order, any official caught soliciting or receiving bribes from passengers or other port users shall be subject to immediate removal from post and disciplinary as well as criminal proceedings in line with extant laws and regulations.