The Nation Newspaper

Tag: Fed Govt

  • OAU crisis: Alumni hail Fed Govt’s intervention

    The national leadership of the Obafemi Awolowo University (OAU) Alumni Association has hailed the Federal Government for the quick resolution of the crisis occasioned by the appointment of a new vice chancellor for the institution.

    Addressing reporters after the association’s National Executive Council meeting at Timsed Holiday Resorts, Ijebu-Jesa, Osun State, its National President, Mr. Segun Oke, said the intervention came at the appropriate time to restore sanity to the university.

    He described the appointment of Acting Vice Chancellor, Prof. Anthony Adebolu Elujoba, as perfect.

    Oke, who expressed satisfaction on the choice of Prof. Elujoba, maintained that the intervention has brought the 54-year-old institution on the track of progress.

     

  • Fed Govt, states, local govts share N559.032b for June

    After many months of weak disbursements, the three tiers of government yesterday shared N559.032 billion for June.

    This is the first time the Federation Account Allocation Committee (FAAC) is sharing such an amount which the state governments said will allow them to pay salaries and meet other financial obligations.

    The federal, states and local governments had shared N305.128 billion for May and N281.5 billion for April.

    Minister of Finance Mrs KemiAdeosun told reporters at the end of the monthly Federation Account Allocation Committee (FAAC) meeting in Abuja that the appreciation in the money shared for June came in spite of the country’s technically entery into recession.

    A breakdown of the disbursements showed that from statutory allocation, the Federal Government received N199.754 billion, state governments N101.318 billion, local governments N78.112 billion and N17.124 billion was given to the oil producing states as 13 per cent mineral revenue derivation.

    For Value Added Tax (VAT) the Federal Government received N9.706 billion, states N32.353 billion and local governments N22.647 billion.

    MrsAdeosun attributed the increase in what was shared for June to improved collection performance by the Federal Inland Revenue Service (FIRS) and the Nigerian Customs Service (NCS).

    The improved performance from the non-oil revenue generating agencies, the minister said “shows that some of the reforms in revenue collection is improving significantly.”

    On the economy, MrsAdeosun reiterated her earlier remarks to the Senate that the country was technically into recession but assured Nigerians that there was no cause to panic as “the fundamentals remain strong and if we can be disciplined on what we spend money on; if we stick to the reforms, things will improve.”

    Adeosun also said N247.9 billion has so far been disbursed from the 2016 budget with an additional N60 billion to be disbursed this week. So far in the last two months, N74 billion has been given to the Federal Ministry of Works, N22.1 billion to Transport Ministry and N21.9 billion to the Ministry of Agriculture.

    Mrs Adeosun said the government was looking for money to fund the next batch of releases.

    The finance minister also announced that $3.094 billion is now left in the Excess Crude Account, an appreciation from the over $2 billion in the account last month.

  • Fed Govt’s $6b cash call indebtedness unacceptable, says Senate

    Fed Govt’s $6b cash call indebtedness unacceptable, says Senate

    • ‘$5.9b lost to oil theft’

    The Senate yesterday said the country’s current cash call indebtedness standing at over $6 billion is unacceptable.

    Senate President Bukola Saraki, stated this while inaugurating a public hearing on the urgent need for effective implementation of the Joint Venture Cash Calls Obligations by the Nigeria National Petroleum Corporation (NNPC) according to the appropriation of the National Assembly.

    The Joint Committee on Gas, Finance, Appropriation and Petroleum Resources Upstream was given the task of unravelling the operations of the NNPC Joint Venture Cash Call Obligations.

    Saraki noted that as part of the legislative agenda of the 8th Senate, it set among others, a mandate to block economic leakages, improve on constitutional powers of investigating Ministries, Departments and Agencies (MDAs) of government with a view to exposing corruption, inefficiency and waste in the conduct of government business.

    He said as a responsible arm of government with the hopes of millions of Nigerians resting on their shoulders, “we are disturbed with the frequent distortions that keep coming out of the oil and gas industry.”

    He said: “Despite the fact that NNPC has a larger amount of the proceeds from the joint venture, it worries the parliament to know that it has consistently been defaulting in payment of its own counterpart funding of projects.

    “There is no doubt also that there is still lack of clarity in the current financial regimes, royalties and taxes in the oil and gas industry.

    “The NNPC is expected to lead in public disclosures of financial dealings earned and its expended revenues.

    “This is vivid with the confusing and conflicting figures reeled out during reconciliation process among the agencies responsible for the receipts of funds meant for the federation accounts.”

    Saraki said at a period of disturbing and increased pipeline vandalism in the Niger Delta region, “the current cash call indebtedness standing at over $6 billion is a big problem staring at our economic health.”

    He noted that the 2013 Nigeria Extractive Industry Transparency Initiative (NEITI) report submitted to the Senate on June 15 this year clearly showed that the huge sums of money that were not remitted to the Federation Account between 2005 and 2013 by the NNPC amounted to about $12.9 billion.

    Meanwhile, the  Nigeria Extractive Industries Transparency Initiative (NEITI) has said over $5.9 billion was lost to oil thieves in 2013 alone.

    Its Executive Secretary, Mr Waziri Adio, who spoke in Abuja, lamented  that of this huge financial loss, $4.7 billion was lost to pipeline vandalism while another N20 billion was lost due to delay in payment made by the Nigerian National Petroleum Corporation (NNPC) and its subsidiaries.

    “NNPC and its subsidiaries were given 90 days to pay N20 billion, though they paid the amount but could not meet up with the credit grace period given to them by the government.

    “If we calculate all the money that the country lost and put in fixed deposit at 12 per cent rate in one transaction, the country lost N13 billion and N7 billion respectively,’’ he said.

    He also said  $600 million was under paid due to under assessment, as a result of non renewal of expired memorandum of understanding (MoU) with some oil companies.

    “We signed MoU with some oil companies that expired and because we did not renew the MoUs, the oil companies used a particular pricing methodology called realisable price.

    “Government wanted oil companies to use official selling price; if we calculate the difference between official selling price and realisable price, the country lost $599 million  in one year,” he told the News Agency of Nigeria (NAN).

    He said the money was lost due to under payment and under assessment because the oil companies were using realisable price instead of official price on expired MoUs.

    Adio also recalled that the country lost $5.18 billion to crude-for-product swap and oil shore processing arrangement in one year.

  • Fed Govt cancels second entrance exams into federal colleges

    Fed Govt cancels second entrance exams into federal colleges

    The Federal Government  yesterday announced the cancellation of National Common Entrance screening for admission into Federal Government colleges.

    The test for admission into FGC is usually conducted by the National Examination Council (NECO).

    Minister of Education Mallam Adamu Adamu announced this in a statement in Abuja by the Deputy Director (Press) of the ministry, Mr. Ben Bem-Goong.

    The statement said  the cancellation is with effect from the 2017/2018 academic year.

    The minister explained that the cancellation of the second NECO test was informed by the fact that this year’s exercise had been concluded.

    Adamu said: “Education Minister, Mallam Adamu Adamu has announced the cancellation of the second test, otherwise known as the National Common Entrance screening test conducted by the National Examination Council (NECO) for admission into Federal Government Colleges.

    The cancellation is with effect from the 2017/2018 academic year.”  Adamu, who described the second test as “unacceptable,” said the test had become an unnecessary additional financial burden on parents/guardians.

  • ‘Fed Govt can’t take state land without governor’s approval’

    Former Lagos State Solicitor-General Fola Arthur-Worrey has said the proposed Grazing Commission cannot vest the Federal Government with power to take over land in a state without the governor’s approval.

    Arthur-Worrey observed that the Bill, which has passed second reading at the House of Representatives, seeks to vest the proposed Commission with powers that appear to conflict with the Constitution and the Land Use Act of 1978.

    He said as the law stands, the Federal Government’s power is “reserved or limited to land acquired prior to 1978, such as land used for barracks or ports, etc. That’s essentially the legal structure. The bill seems to be in conflict with the existing state of the law.

    “The Federal Government can identify land that it desires and if it is outside of its own acquired land, it has to apply to the governor. The governor is at liberty to say yes, or no’’.

    Arthur-Worrey, former Executive Secretary, Lagos State Security Trust Fund (LSSTF), described as misinformed, fears that if the bill is passed by the National Assembly, it could be used by the Federal Government for ulterior motives.

    He said: “I think that the emotion does not rest on any legitimate fear. I get all manner of aggressive and emotive texts, for instance, that the Grazing Bill is a plan to Islamise Nigeria; most of them are misinformed.

    “I cannot make that connection; I just can’t make that connection, unless the Constitution is amended to remove the Land Use Act from its comforting embrace and unless the Land Use Act itself is then subsequently amended, I find it virtually impracticable for the Grazing Commission, as proposed, to exercise the powers that they put in it.’’

  • Probe TCN, group urges Fed Govt

    Probe TCN, group urges Fed Govt

    The Senior Staff Association of Electricity and Allied Companies (SSAEAC) has urged the Federal Government to probe the poor management of the Transmission Company of Nigeria (TCN) under Manitoba Hydro International Nigeria Limited (MHINL).

    SSAEAC President Chris Okonkwo said there has not been any improvement in power since MHINL took charge four years ago, stating that corruption and politicisation of the power sector have compounded the operational processes of TCN.

    “A look at the calibre and number of staff of MHINL evokes crass disdain for the quality of Nigerian professionals in TCN, who are subjected to  men and women who are mediocre in the core business of TCN and who use Nigerians to do the little that is recorded as success of the contract, with outrageously high fees paid to the MHINL for little or no work done,” he said.

    Describing the contract as political, Okonkwo alleged that from inception till date, Manitoba exploited the weakness in the system.

    “They (Manitoba) are morally and ethically bankrupt and should be investigated if the current war against corruption will have a meaning,” he alleged.

    He warned the Federal Government against another extension being pushed for by MHINL, saying it would lead to industrial action by workers.

    He said it was necessary for the government to look inwards by sourcing local contractors and professionals in the sector.

    Okonkwo also lamented that most of the firms who made a bid for stakes in the sector were insincere about their ability to inject funds into the sector.

    “When will the government open its eyes to see that the investors today are not real investors?” he asked.

    He argued that the investors, who should have brought in investment and engaged technical partners, turned out to be hiring them temporarily for the bidding purpose. This, he said, was why the so-called investors are left to do a business they knew nothing about.

  • Niger Delta coastal communities appeal to Fed Govt to check ocean encroachment

    Residents of communities located near the Atlantic Ocean and coastline in Niger Delta area have appealed to the Federal Government and relevant authorities to save them from the devastating effects of coastal erosion.

    The affected areas are Forcados and Ogulagha in Delta; Anibeze, Peremabiri, Famgbe, Anyama Ijaw, Anyama Ogbia, Twon-Brass, Sangana, Ekeni and Ezetu in Bayelsa.

    Also Kula, Soku and Bonny in Rivers; Queens Town in Cross River are being threatened by the menace of the Atlantic Ocean surge.

    Henry Otonye, an indigene of Sangana, said the community is gradually disappearing from the surface of the earth, while they have lost substantial part of their ancestral land to Ocean encroachment.

    Mr Alagoa Morris, an environmentalist and indigene of Southern Ijaw, in Bayelsa, warns that apart from the imminent disappearance of the communities, there is the threat of increased inter communal clashes due to scramble for space.

    “People are now relocating from most of these communities. Communities have lost roads, electricity generators, church buildings, school buildings.

    “When you go to areas on the fringes of the Atlantic Ocean such as Brass, Sangana, Odioma, Koluama, even graves and ancestral homes are now in the water.

    “Homes are being deserted. You can see that this can lead to communal crisis when people begin to shift inwards into lands where they are in contention with their neighbours,” Morris said.

    He called for concerted efforts to halt the encroachment of the Atlantic which is worsened by rising sea levels due to increased oil exploration activities.

    Princess Elizabeth Egbe, a human rights activist, said in spite 13 per cent derivation fund coastal communities were neglected.

    She decried the hazards faced by the people who are now at the mercy of Ocean encroachment and coastal erosion.

    Assembly sets up committee to look into pensioners’ problems in Akwa Ibom

    The Akwa Ibom House of Assembly at plenary on Wednesday set up an ad hoc committee to interface with stakeholders on the problems facing pensioners in the state.

    The 7-man committee, headed by House Leader, Mr Udo Kierian, was mandated to unravel the true situation of things surrounding pension matters.

    The intervention was sequel to a motion of urgent public importance moved by Mr Idongesit Ituen (PDP- Itu State Constituency]

    Ituen had informed the house of the protest carried out by Nigeria Union of Pensioners in the state on Monday, over non-payment of gratuity and pensions.

    He said the state government, at the inception of the current administration, cleared backlog of pensions and salaries.

    He added that the protest could put the image of the state in disrepute if not looked into.

    The committee had two weeks to submit its report to the house.

    The committee was directed to look into alleged non-refund of 7.5 per cent contributory pension to some category of workers in Akwa Ibom.

    The Speaker, Onofiok Luke, said the house would always defend the rights of the people.

    “It is our avowed commitment to always see to it that we defend the interest of the people and be seen at all times to be an unbiased umpire.

    “We must also be seen to be making decision from an informed position and appreciate the governor’s efforts in paying the backlog of arrears of pensions and salaries,’’ he said.

  • Fed Govt to build cattle ranches

    Fed Govt to build cattle ranches

    The Federal Government is to build ranches for herdsmen as part of measures to address perennial herdsmen/farmers’ clashes, it was learnt.

    It said park rangers, men of the Nigeria Security and Civil Defence Corps (NSCDC) and other security agencies, would be trained to protect the ranches from being looted by hoodlums.

    The Minister of Agriculture and Rural Development, Audu Ogbeh, spoke in Abuja yesterday at the inauguration of an inter-ministerial committee on Security.

    He said because of the  challenging times, the government would protect investments.

    Ogbeh said the government would curb herdsmen/farmers’ clashes to assure indigenous and foreign investors of the safety of their investments.

    His words: “The problem we are facing is the security of investment. We are inviting Nigerians and foreigners to invest, especially in the agriculture industry. The crime rate is soaring and sometimes, criminality is carried out because there is no credible intelligence.

    “We are planning to build ranches and bring our cattle rearers in manageable conditions, where herdsmen and farmers would no longer have clashes. We will encourage agro-investment and we assure investors; indigenous and foreign, that Nigeria is serious about investment and about protecting investors.”

    The minister said the committee would work out modalities for training and deployment of security personnel for the project.

    He cautioned the security operatives against abandoning their duties.

    “You should not become private bodyguards or errand boys,” Ogbeh warned.

    Minister of Interior Lt. Gen Abdulrahman Dambazzau (rtd) said investment protection was important ito increase investors’ confidence in the country.

  • Fed Govt urged to care for seafarers

    A cleric of Anglican Communion, Venerable Mike Gbadebo, has urged the Federal Government to provide jobs for seafarers.

    He said though the government had done a lot for seafarers, more still needed to be done.

    Gbadebo spoke yesterday in Lagos at this year’s sea Sunday service, organised by Seafarers Chapel of A Mission to Seafarers, an arm of the Anglican Communion.

    He said: “Though government has done a lot for seafarers by providing training and sponsorship for them, more still needs to be done on how to get them employed. When we send them for training and they come back, government needs to provide seafarers with jobs.”

    Gbadebo regretted that Nigeria did not have a national ship.

    The cleric urged the Federal Government to examine the possibility of floating a national shipping company.

    He hailed the Muhammadu Buhari administration for blocking wastage, saying the money saved from corrupt elements should be used to create jobs for seafarers.

    On the need for a Maritime University, Gbadebo said it was a good idea, though he noted that the providing jobs for seafarers should be the priority.

    The cleric said the aim of the service was to create awareness on the work and mission of seafarers.

    He said: “As we celebrate the 160th anniversary of Anglican Communion Mission to Seafarers, seafarers must know that God appreciates what they are doing: their time, leaving their families and going to far away places to move goods from one nation to another. Their sacrifices for the development of the country will be rewarded.”

    He said the Mission to Seafarers was aimed at sea visitation, finding solutions to seafarers’ problems and how to render hospitality – physically and in sharing the gospel.

    Gbadebo said: “We try to see to their needs, give them access to justice, care, support and see how we can help to solve their problems.”

    The mission’s Treasurer, Mr Igho Dafinone, called for more support for seafarers to enable them serve them and put smiles on their faces.

  • Citi presents markets outlook to Fed Govt

    Citi presents markets outlook to Fed Govt

    Citi International Bank has presented energy markets outlook to Federal Government’s Economic Management Team (EMT) led by the Vice President, Prof. Yemi Osinbajo.

    The presentation focused on the outlook for Energy markets including oil, gas, power and renewables, in the short, medium and long-term. The Citi delegation was led by Citi Nigeria CEO, Akin Dawodu. Other members of the delegation included Citi’s Global Head of Energy Strategy, Seth Kleinman, who was the lead presenter, Citi’s Chief Economist for Africa, David Cowan and Citi’s Regional Public Sector Head, Mrs. Funmi Ogunlesi.

    The presentation was designed to provide the government top economic managers with the forecast international market prices for oil and other energy sources such as gas.

    Following the presentation, Dawodu said: “It has been a great privilege to provide this key data and information to the top-tiers of government through the EMT as Chaired by His Excellency, the Vice President. We were honoured to have the opportunity and greatly impressed by the levels of engagement and focus of the members of the EMT.

    Kleinman also expressed the bank’s appreciation for the opportunity and stated that it represented a great honour for Citi, to have been have been invited to give this presentation.

    Nigeria remains a key focus country for Citi within Africa and the emerging markets. Osinbajo expressed his appreciation to Citi for the very timely presentation, which he said, would assist in future planning for the economy.