The Nation Newspaper

Tag: Fed Govt

  • Fed Govt appoints liquidator for NITEL, M-tel

    Fed Govt appoints liquidator for NITEL, M-tel

    The Federal Government yesterday appointed a liquidator- Olutola Senbore and Co., for Nigerian Telecommunication Limited. (NITEL) and its GSM subsidiary, M-tel.

    The Minister of State for Finance, Yerima Ngama, said the move is intended to prepare both firms for their eventual sale. He spoke alongside the Director-General of the Bureau for Public Enterprises, (BPE), Benjamin Dikki at at the 5th meeting of the National Council on Privatisation (NCP) chaired by Vice President Namadi Sambo..

    He explained that the liquidator for NITEL, M-tel was picked at the end of analysis done on the five prequalified candidates, who were picked from the initial eight candidates that submitted bids.

    Ngama said: “We are also happy to announce that at last, a liquidator has been appointed for NITEL and M-tel after several bids were received from about eight companies.

    He also disclosed that the Council has approved the BPE to set aside N59.55 billion out of the proceeds of the sale of Egbin Power plant for some of the activities of both the bulk trader and BPE itself.

    “For the bulk trader, N50 billion has been set aside and this will be the guarantee for the signing off of the power purchase agreement so that the generating companies will feel comfortable that they will have money to actually pay them. And also to proceed further with the privatization of the Power companies, the BPE also needs some money to continue with the several consultancy work, the sum of N9.55billion has been set aside to meet these expenses.” he stated

  • Fed Govt targets 4,000MW from coal

    Fed Govt targets 4,000MW from coal

    The Minister of Power, Prof Chinedu Nebo, at the weekend inaugurated a committee to develop a framework for coal as a means for generating power.

    The minister said the utilisation of coal for power would fetch Nigeria an excess of 4,000 megawatts (MW) of electricity.

    He said the Ministry of Mines and Steel Development was conducting explorations in the Nigerian coal belt to identify and quantify the feasibility and viability of the coal sills in the country.

    Nebo said: “Nigeria is blessed with an abundant array of deposits of coal spread in 13 states of the federation. Significant and commercial quantities are evident in the belt spanning Enugu, Benue, Kogi, Nasarawa and Gombe states. Nigeria’s proven coal reserve is about 639 million tonnes and inferred reserves are in the region of 2.75 billion tonnes.

    “This shows you how important it is that a good work of exploration to quantify these coal sills is done. “The Federal Ministry of Power and the Federal Ministry of Steel are working together to ensure that not only is coal mined from our coal deposits but that our coal is also converted to power. When that is done, it is most likely that this coal belt, when utilised, can give us in excess of additional 4,000 MW of electricity.”

    The minister also said Nigeria’s generation mix consists of 70 per cent thermal plants and 30 per cent hydropower.

    Thermal plants, he explained, are based on natural gas as fuel.

    Rolling out the world average generation mix, Nebo said coal contributes 41 per cent; gas, 21 per cent; hydro, 16 per cent; nuclear, 13 per cent and oil, five per cent

    In his analysis of the contribution of coal to power, the minister said coal contributes 93 per cent to South Africa’s power generation.

    He noted that China generates 79 per cent of its power from coal while it is 87 per cent in Poland.

    According to him, Australia and the United States generate 78 per cent and 45 per cent of their electricity from power.

  • Fed Govt releases N2.9billion as constituency fund

    Fed Govt releases N2.9billion as constituency fund

    The Federal Government has released N2.8billion as constituency projects fund for legislators wishing to undertake poverty eradication activities in their individual constituencies through the National Poverty Eradication Programme, NAPEP.

    In a statement, NAPEP said the agency has begun monitoring of the 36 states on the implementation of the 2012 constituency projects, stating that NAPEP will continue to monitor progress made on improving the lives of the less privileged.

    “These projects cover critical poverty reduction activities and targeted at creating employment for the teeming unemployed young men and women through capacity acquisition and resettlement after training.

    “The North East Zone Monitoring Committee was in Bauchi, Gombe, Borno and Yobe states where members visited some beneficiaries and some sites to assess the level of implementation.

    “It is for this reason that political leaders in both the executive and legislatives arms of government were working together to bring succour to the poor and the under privilege.

    “The National Coordinator, Mallam Murkhtar Abubakar Tafawa Balewa, has sent monitoring teams to inspect the level of implementation under the 2012 constituency projects.”

    In Bauchi, it was discovered that some poverty eradication activities as constituency projects were successfully concluded while some are at various stages of accomplishments.

    A federal legislator from Gamawa Constituency, Ahmed Madaki Gololo, is executing poverty alleviation through the distribution of some machines for sewing, grinding and ICT. Similarly, Senator Ibrahim Adamu Gumbe of Bauchi South is currently training 100 young men and women in his constituency in areas like GSM repairs, tailoring and modern techniques of wielding. They are to be resettled after the training.

    In Gombe State, Senators Saidu Ahmed Alkali and Mohammed Danjuma Goje are executing large poverty eradicating projects which the team will conclude inspections in the nooks and crannies of their constituencies by the weekend.

  • Fed Govt saves N25b under growth scheme

    Fed Govt saves N25b under growth scheme

    About 10 million farmers are to benefit from the Federal Government Growth Enhancement Support (GES) scheme, in this session, it was learnt.

    The Nation learnt that the farmers will be those who participated in the just concluded nationwide farmers’ registration exercise undertaken by the Federal Ministry of Agriculture and Rural Development.

    A document obtained by The Nation showed that genuine farmers will be separated from those described as political farmers.

    It reads : “We registered about 10 million farmers for the 2013 GES programme which took place across the country.

    “With the GES scheme government has ended four decades of corruption in the seed and fertiliser sectors within 90 days.”

    It said the Federal Government saved N25 billion last year through the scheme.

    “About N15 billion worth of fertiliser was sold directly to farmers via e-wallet system. N1.5 billion worth of seeds was sold directly to farmers via the e-wallet while commercial banks lent N3.7 billion to seed companies and agro-dealers,” the document said.

    Under the scheme farmers get fertiliser, improved seeds, farm mechanisation service as well as free weather information to promote good farm yields.

    Participating farmers pay 50 percent cost of input after receiving an alert through their mobile phones and Cellulant, while the Federal and state governments provide the remaining 50 per cent. But, with the security situation in Yobe, Adamawa and Borno states, there are indications that the scheme may not achieve expected results.

    Residents of the states are predominantly farmers made up largely of women and children.

    The Minister of Agriculture and Rural Development, Dr. Akinwumi Adesina said “the exercise would be jointly supervised by him and the Minister of State for Agriculture and Rural Development, Alhaji Bukar Tijani.”

    No fewer than 4.5 million farmers were registered under the scheme last year.

    The government plans to register 20 million farmers by 2015. While these farmers are to benefit from various farm inputs, the Ministry is expected to add additional 20 million metric tons of food to local food production.

    During a briefing on Fertilizer Delivery to Small Holders Farmers last year in Abuja, Adesina said the support was aimed at achieving food sufficiency and national security.

    “This scheme is designed as a vital component of the Agricultural Transformation Agenda (ATA) and it seeks to achieve at the micro level, food security for the farmer and national security at the micro level,” he said.

  • Fed Govt to sign off on $3b Chinese loans

    Fed Govt to sign off on $3b Chinese loans

    President Goodluck Jonathan will travel to China next week to sign off on $3 billion in Chinese loans to build the country’s infrastructure, the finance minister Okonjo-Iweala has said.

    The agreed loans according to Reuters, will come from the Chinese government and will be based on interest rates of less than 3 per cent over a 15-20 year period, the minister of said.

    The deal underscores increasing Chinese interest in Africa and its resources – Nigeria is the continent’s top oil producer – in competition with Western powers.

    Okonjo-Iweala estimates the country needs $10 billion a year of investment to improve infrastructure like roads and electricity to keep up with a rapidly growing population, already some 170 million, and to sustain economic growth at around 6-7 per cent.

    US President Barack Obama launched a $7 billion initiative last Sunday to help Africa with electricity shortages but this is dwarfed by the $20 million in loans China has promised the continent. Obama did not visit Nigeria.

    “We know that China fuelled its growth by really keeping one step ahead in terms of infrastructure … we need roads, we need power, we need help on aviation, agriculture,” Okonjo-Iweala told Reuters at the presidential villa in Abuja.

    China has made a string of cheap loans in the past few years to countries in Africa, a continent which supplies oil and raw materials such as copper and uranium to Nigeria, which is the second-largest economy in Africa.

    The loans to Nigeria include $500 million to build airport terminals in Lagos, Abuja, Port Harcourt and Kano; and over $700 million to build a hydroelectric power plant in Niger State.

    It also includes $600 million to build a light railway in Abuja, most of which has already been invested on a project due to be completed early next year.

    Lending at below market rates to fund infrastructure projects using Chinese firms has enabled Beijing to cement relationships in Africa while subsidising its construction industry.

    The Central bank governor Lamido Sanusi warned African governments in March that China’s pursuit of raw materials and markets for its manufactured goods on the continent carried “a whiff of colonialism” similar to that introduced by Europeans in centuries past.

  • Adoke: Fed Govt has recovered £22.5m stolen assets abroad

    Adoke: Fed Govt has recovered £22.5m stolen assets abroad

    THE Attorney-General and Minister of Justice, Mr Mohammed Adoke (SAN), said yesterday the ministry has recovered over 20 million pounds allegedly stolen from Nigeria’s coffers.

    The minister also gave reasons why the death penalty could not be abolished in the country.

    Adoke spoke at this year’s Ministerial Platform in Abuja.

    He noted that the stolen money was recovered from a man he named as Raj Arjandes Bhojwani, an Indian and associate of the late Head of State, Gen. Sani Abacha.

    The minister said the assets were recovered in 2011, adding that the ministry also recovered and repatriated the money following its negotiations with the Island of Jersey.

    Adoke said: “During the period under review, the ministry intensified its efforts to trace and repatriate Nigeria’s stolen assets abroad.

    “In this connection, we have maintained effective liaison and communication with targeted jurisdictions to keep pace with assets recovery proceedings in those jurisdictions.

    “In 2011, our close liaison and negotiation with the Island of Jersey led to the recovery and repatriation of £22.5 million confiscated by the Royal Court of Jersey from Raj Arjandes Bhojwani, an Indian national and associate of Gen. Sani Abacha, on account of his money laundering transactions from Nigeria.”

    The minister also said the Principality of Liechtenstein recently confiscated 175 million Euro from the Abacha family and associate companies in Liechtenstein.

    According to him, although Nigeria has not recovered nor repatriated the money following an appeal by the companies involved, the ministry would ensure the repatriation of the money.

    “We continued the liaison and negotiations with the Principality of Liechtenstein, which recently confiscated 175 million Euro from the Abacha family and associated companies in Liechtenstein, following a confiscation order by the Supreme Court of Liechtenstein.

    “However, the companies involved have lodged an appeal against the decision before the European Court of Justice in Strasburg.

    “As soon as the appeal is concluded, firm arrangements consistent with the asset recovery provisions of the United Nations convention against corruption would be made to repatriate the forfeited sums to Nigeria.”

    On death penalty, the minister said global debate on its desirability or otherwise, as well as its abolition had not assumed a momentum to command a global agreement.

    He noted that even if death penalty was to be abolished, it should be done by the states, because most capital offences that attracting death sentences are state offences.

    Adoke said since Nigeria operates federalism, the Federal Government cannot compel states to do away with death penalty.

    He hoped that when the time comes, the laws would be amended to provide an alternative to the death penalty.

    Also, the Federal Government has prosecuted 75 suspects for terrorism and Boko Haram insurgency between 2011 and 2013 Adoke said yesterday.

    He said 16 of the cases had been concluded with eight convictions while 35 cases were struck out.

  • Fed Govt, states partner on food security

    Fed Govt, states partner on food security

    The Federal Government has said it is commited to food security through partnership with state governments and the private sector.

    The Permanent Secretary, Federal Ministry of Agriculture and Rural Development, Mrs. Ibukun Odusote, spoke yesterday at the beginning of the meeting of the 40th National Council on Agriculture (NCA) in Abeokuta, the Ogun State capital.

    She noted that realising the value-chain programme of the Agriculture Transformation Agenda (ATA) would pave the way for increased productivity and enhance easier management of farm input.

    The permanent secretary said the meeting would review past policies on agriculture as well as develop a new framework to enable the nation realise its agricultural programme.

    The NCA is the highest policy-making body on agriculture and rural development. It is an avenue for the Federal Government, states, the private sector and other stakeholders to review and direct agricultural policies to ensure food and nutritional security.

    Mrs Odusote said: “This meeting is coming at a time when the Federal Government is pursuing a robust transformation agenda in the agricultural sector.

    “Accordingly, the task before us at this meeting is enormous, as we gather in the next five days to share experiences arising from the policy implementation and chart a new course for the sector.”

    The permanent secretary noted that the challenge before the sector is more daunting but exciting because the Federal Government has taken some far-reaching policy decisions through its stakeholders to ensure the success of food security in the country.

    Mrs Odusote added: “The meeting is, therefore, expected to develop an implementation action plan towards actualising the agenda and realising the government’s short, medium and long-term food security goals…”

  • Fed Govt, stakeholders move to check oil theft

    Fed Govt, stakeholders move to check oil theft

    The Federal Government has launched a fresh initiative to stop crude oil theft in the country, Petroleum Minister, Diezani Alison-Madueke has announced.

    President Goodluck Jonathan met with stakeholders in the oil sector in Abuja on Thursday night to set out the framework for the initiative.

    Over the next 10 days the stakeholders will brain-storm to work out details of the agenda.

    Governmet has identified oil theft as one of the biggest monsters threatening the nation’s economy.

    Mrs.Alison-Madueke told State House correspondents at the end of the Thursday’s meeting that the country has had enough of the adverse effects of oil theft on the economy, particularly revenue generation from the oil sector.

    “We are continuing with what has been done, but we are becoming much more aggressive. We met with a number of the multinationals. We have come up with various pointers which must be addressed in an in-depth manner over the next ten days,” she said.

    “A technical team is going to meet across all the stakeholders. They will break into various committees.As I said, it is a many-pronged issue and must be addressed by a multi-prong pushback.

    “So, over the next 10 days, we will form the relative committees. They will meet and then we will move to implement very aggressively.

    “Our intent is that we focus even more robustly in many different ways in trying to come to terms and to beat this issue which is a many-pronged issue. It is a very complex issue at many levels and we are going to come up with solutions which will address the issue at the various levels both at the short and medium term at this time,” she stated

    Governor Emmanuel Uduaghan of Delta State, who was also at the meeting, was optimistic that the initiative would help in checking the oil theft problem.

    He said: “After this meeting, we should look forward to reduction in the quantity of oil that is being stolen from Nigeria. The challenge we have now is that a lot more oil is being stolen than we used to have and that is affecting the economy of the country; less fund coming in as revenue.

    “You know our economy is still dependent on oil. Until we move it away from oil… that is why some of us are emphasizing creating an economy beyond oil.”

    He cited the “Delta beyond oil” programme introduced by his administration aimed at generating money from sources other than oil.

    “It is a problem that involves the local community to the international community and from that local community to international community, we have a lot of stakeholders and everybody has to be involved,” he said.

  • ‘Fed Govt has a lot to learn from Ekiti on health’

    The Federal Government has been urged to learn from the Ekiti State Government, if it is serious about repositioning the health sector to meet global standard.

    A former Chairman of Ekiti West Local Government, Mr. Tajudeen Akingbolu, spoke yesterday at the venue of the free medical mission organised by Senator Babafemi Ojudu (Ekiti Central District) in Aramoko-Ekiti.

    Akingbolu said besides the state United Drug Revolving Fund Initiative, which has been adopted by 17 states, the “Operation Renovate All Hospitals in Ekiti”, which is the latest, is the first in Nigeria.

    He said the renovation was not just about physical structures, but a complete overhaul of hospital equipment.

    Akingbolu said: “Although, most of the hospitals are already well-equipped, Mr. Governor is always striving to bring Ekiti at par with advanced countries. Having worked closely with him, I know nothing satisfies him like the best.”

    The lawyer described Ojudu’s free health mission as the first by any lawmaker in Ekiti Central, adding that the senator is responsive to the needs of his people.

    Yesterday, the United States (US)-based medical team was welcomed to Aramoko by a crowd.

    Some people were seated under a tent provided by Ojudu while others queued up to be attended to.

    The first person that was attended to, Ilesanmi Babawande, said he was involved in an accident three days ago and was treated in a hospital around the scene, but pus was coming out of the wound.

    Babawande, who looked weak, prayed that God would strengthen Ojudu to do more for his constituents.

    Leaders of the medical team, Dr. Rasheed Abass, who attended to Babawande, said the drugs given to him were not on sale in Nigeria. He said if taken as instructed, Babawande would be well in a few days.

    A fresh graduate, Mr. Oluwafemi Kasali, said he was not surprised as nobility begets responsibility.

    He described Ojudu as a noble man, who has always made responsibility and responsiveness his watchword.

    Kasali urged the people to continue to support the Governor Kayode Fayemi administration and Ojudu.

  • Fed Govt retires matured bonds to curb local debt

    Fed Govt retires matured bonds to curb local debt

    The Federal Government has retired matured bonds and plans to cut domestic borrowing to 500 billion naira ($3.1 billion) next year as part of a move to reduce growing debt, Finance Minister Ngozi Okonjo-Iweala has said.

    This year’s domestic borrowing target of N577 billion is expected to decrease next year as the government retreats from the height reached in 2010, when it exceeded a target of N867.5 billion and sold N1.1 trillion of bonds.

    The Federal Government “for the first time” retired 75 billion naira of maturing bonds in February and will continue to do so to reduce debt, Okonjo-Iweala said in an e-mailed statement.

    “No one in government is supportive of a Nigeria that returns to a high state of indebtedness,” she said. “Our current approach balances Nigeria’s needs for investment in physical and human infrastructure with a strong policy to limit overall indebtedness in relation to our ability to pay.”

    Nigeria depends on crude oil exports for about 80 per cent of government revenue and 90 per cent of foreign income, according to the Central Bank. The benchmark interest rate has remained at a record high of 12 per cent since October 2011, as the Central Bank tries to curb inflation and support the naira, helping spur bond demand.

    Local debt has grown since the government liquidated a foreign debt of $30 billion in 2006 by paying $12 billion and getting forgiveness for $18 billion in a deal negotiated by Okonjo-Iweala.

    Domestic debt stood at 6.1 trillion naira at the end of March while foreign debt stood at $6.7 billion, according to the Debt Management Office.

    Under a strategy to run from this year, the Federal Government plans to increase foreign borrowing to about 40 percent of total debt from current 14 percent, Minister of State for Finance Yerima Ngama said on May 15. The government will opt for cheaper, longer-term foreign loans and reduce short-term domestic borrowing, he said.