The Nation Newspaper

Tag: Fed Govt

  • Fed Govt  yet to disburse N971.13b subsidy to marketers

    Fed Govt  yet to disburse N971.13b subsidy to marketers

    The Federal Government is yet to pay oil marketers from the N971.138billion budget or subsidy in 2013, it was learnt yesterday.

    The Executive Secretary of the Petroleum Products Pricing Regulatory Agency (PPPRA), Mr Reginald Stanley, disclosed this at a meeting with the Senate Committee on Petroleum Resources (Downstream) in Abuja.

    However, the Chairman of the Committee, Senator Magnus Abe, warned that refineries should be allowed to function optimally to reduce importation of petroleum products.

    The Federal Government had allocated N971.138 billion for fuel subsidy in the 2013 budget.

    The sum of N888.1 billion was allocated last year.

    Stanley noted that the delay was due to failure to clear foreign exchange claims by the marketers at the Federal Ministry of Finance.

    The PPPRA chief said: “There has been no payment for any marketer importing petroleum products in 2013. This is caused by delays in the payment of subsidy claims by the Federal Ministry of Finance, resulting in interest as foreign exchange differential claims request by marketers.”

    Stanley also noted that though the Federal Government has spent a total of N3.7 trillion in five years, the agency has succeeded in reducing the number of oil marketers from 142 to 38 as at December 2012.

    He added that local consumption of Premium Motor Spirit (PMS) has also been brought down from 60.25 million liters per day in 2011 to 40 million litres per day.

    Stanley said: “Between 2006 and August 2011, total government expenditure on petroleum subsidy amounted to N3.7 trillion. Expenditure on subsidies increased from N261 billion in 2006 to N673 billion in 2010, which represents an increase of about 160 per cent.

    “Additionally, there have been unprecedented payments in 2011 that so far amounted to N1.4 trillion due, in part, to two key factors: increase in subsidy per litre as a result of rising global oil price, and large arrears due NNPC for household kerosene imports.

    “When we started, the chairman was very hard on us, but he’s objective. I asked for time that we will live up to the Senate’s expectation and I’m happy with this visit.

    “2011 was like a gold-rush where you had briefcase marketers. Local consumption rose to 60.25 million litres per day in 2011, but had dropped to 39.66 million litres per day in 2012.

    “Most of the international traders who did business with their Nigerian counterparts were also briefcase traders. They would sell and run away. That practice, I can tell you, has since been cancelled.

    “One of the biggest fraud in 2011 was “Bills for Collection”, which is used to trade for petroleum products. There has been a very dramatic transition from what obtained in 2011 and what we have today.”

    On some key challenges facing the PPPRA, Stanley said the agency was yet to clarify the status of kerosene; whether it has been deregulated or not.

    “There is lack of clarity on PPPRA and DPR roles in regulating the petroleum sector. Besides, there is lack of clarity on the subsidy status of household kerosene. We don’t know whether it has been deregulated or not.

    “All over the country, between January 1 and December 30, we go round to determine the stock … that was how we first got the figure of 40 million litres per day as our local consumption.”

    Senator Abe urged Stanley and the PPPRA not to relent throwing out “briefcase marketers,” adding that they are still lurking around, waiting to manipulate any loophole in the system.

    He urged the Federal Government to ensure the rehabilitation of existing refineries and building of new ones.

    Meanwhile, the management of the Nigerian National Petroleum Corporation (NNPC) has denied illegally giving directive for the allocation of kerosene to any person, group of persons or politician.

    It assured that ongoing maintenance on Warri Refinery would not upset supply of petroleum products to the country.

    Acting Group General Manager, Group Public Affairs Division of NNPC, Tumini Green, in a statement, said the NNPC has enough stock of products to keep the country well supplied for the period the refinery will be under repairs.

  • Poly workers accuse Fed Govt of insensitivity

    After more than one month of strike in the polytechnics to draw the attention of the Federal Government, workers of the Senior Staff Association of Nigeria Polytechnics (SSANIP) took to the streets of Lagos yesterday to protest government’s failure to implement the agreement it signed with the association in 2009.

    They accused the government of insensitivity to their plight.

    The workers, bearing banners, marched round the Yaba College of Technology (YABATECH) and environs.

    The National Secretary, Senior Staff Association of Nigeria Polytechnics (SSANIP), Comrade Monday Jegede, said at a briefing before the workers took to the street, that the Federal Government has ignored their demands since 2009.

    Prior to starting their indefinite strike on May 7, Jegede said the association had reviewed the situation at a meeting in Delta State between March 19 and 22, and given the government 21-day ultimatum which ended April 16.

    “Government is taking us for a ride. What we are clamoring for was approved in 2009 and NBTE just implemented few. Most of our members belong to the middle group. We have been writing, visiting and yet they are not prepared to release the circular. We are saying enough is enough; we are taking our destinies in our hand to make the government know that we have the right. If a presidential directive is been ignored, then where are we going to? Since we started the strike no government official has invited us for a dialogue. As a result of this, we need to do something for them to know that we have the right to protest. This struggle is for all of us even for our unborn children,” he said.

    Jegede noted that the agitation behind the strike was the full implementation and payment of arrears of the Consolidated Tertiary Institutions Salary Structure 15 (CONTISS), which he said was approved by President Goodluck Jonathan in 2009, but was implemented only for those in level 12 upwards by the National Board for Technical Education (NBTE) in 2010, exempting those in the lower cadre.

    “The financial implication of the full implementation is being captured in the national budget, the question now is, where is the money going to?” Jegede queried.

    According to Jegede, since the polytechnics started the strike, the Federal government had only made a feeble attempt to liaise with them.

    “We need to let the government know that we will not watch them take us for a ride and we intend to go on with the strike indefinitely until a favourable reply is gotten.”

  • Fed Govt moves to sell NIPP’s 10 power plants

    Fed Govt moves to sell NIPP’s 10 power plants

    The Federal Government has begun the process to divest 80 per cent interest in the 10 power plants built under the National Integrated Power Project (NIPP). Private sector operators will retain the remaining 20 per cent.

    The Managing Director of Niger Delta Power Holding Company (NDPHC), which manages the NIPPs, Mr. James Olotu, explained that the decision to privatise the power plants is to facilitate the injection of fresh funds into the projects and ensure efficient and transparent management.

    He said when the power sector is in the hands of the private sector, it would create more incentives for additional investment because investors would see the transparency and plug in wherever it suits them in the supply value chain.

    The company chief noted that with the privatisation of the power generating plants, the government can only play its role, where necessary, and focus on investing in transmission for the development of the economy.

    According to him, there is a direct correlation between power and degree of development of the country.

    Olotu said the roadshow for the privatisation of the assets will start tomorrow in Lagos and move to the United Kingdom (UK) and the United States (US), among other countries.

    The essence of the roadshows, he said, is to meet with prospective investors from Nigeria and other parts of the world, explain the state of the plants.

    The NDPHC chief said the privatisation process would not only follow due process but would also be transparent.

    He said the services of consultants, which include financial analysts and lawyers, among others, have been employed to evaluate the asset base of the NIPP.

  • Bola Ige’s daughter urges Fed Govt to tackle insecurity

    The daughter of the slain former Attorney General of the Federation, Justice Bola Ige (SAN), Mrs. Funso Adegbola, has urged the Federal Government to tackle insecurity.

    Her father was killed by gunmen in his Bodija, Ibadan, home on December 23, 2001. His killers are yet to be apprehended.

    Mrs. Adegbola spoke at the weekend at her school, the Vale College in Ibadan, the Oyo State capital, during the final selection of winners for the 10th annual scholarship award in memory of her mother, the late Justice Atinuke Ige.

    She described the declaration of a state of emergency in three northern states as a temporary measure and urged the government to find lasting solutions to insecurity in Nigeria.

    Mrs. Adegbola said: “Rather than paying lip service to the security challenges, the government should tackle the root causes of the problem.

    “As the chief security officer, the government has the responsibility of protecting the life and property of its citizens. It should take this seriously.

    “Youth restiveness, unemployment, poverty, imbalance in social class and corruption, among others, are among the major causes of insecurity. Until the government bridges the gap between the poor and the rich in this country, we may not experience peace.

    “Citizens also have a role to play by bringing up our children in the way of the Lord, so that in the future, they will be responsible people and not terrorists.”

    She said the government can solve security challenges through the use of modern technology, adequate remuneration and training of security operatives.

    Mrs. Adegbola said her mother sponsored the education of many children during her lifetime, adding that the annual scholarship award was to keep her memory alive.

    She said 89 pupils from 15 public secondary schools in Ibadan participated in the competition and 10 were shortlisted.

    The scholarship is worth N1 million a year for the ‘A’ Level programme at Vale College. It covers tuition, accommodation, books and uniforms.

    Any pupil that gets all ‘As’ in the ‘A’ Level examination would be sponsored to any government university.

    After the oral competition, three students were awarded scholarships at Vale College.

    They are: Ogunleye David from Alayande School of Science, Adeyanju Ololade from Wesley College of Science and Shuaibu Paul from Command Secondary School.

  • Emergency rule: Amnesty cautions Fed Govt against recklessness by security

    Emergency rule: Amnesty cautions Fed Govt against recklessness by security

    The Amnesty International yesterday asked the Federal Government to prevail on Special Forces in Adamawa, Borno and Yobe to stop killing and mass arrest of innocent citizens of innocent citizens.

    The AI said it has received report of mass arrests in Maiduguri, the Borno State capital and gross human rights violations in the three states where emergency rule is in place.

    The group made its position known in a statement by its Deputy Director for Africa, Lucy Freeman.

    The statement said: “Nigerian authorities must not use the state of emergency imposed in the North as an excuse to commit human rights violations, Amnesty International urged today as the military continued its assault on Islamist armed group Boko Haram.

    “Several people have reportedly been killed and hundreds arrested since a state of emergency was declared in the northern states of Adamawa, Borno and Yobe on 14 May. The military reportedly claim those targeted are suspected members of Boko Haram.

    “Some 2,400 people have fled the region for neighbouring Niger, according to a statement on Tuesday by the International Committee of the Red Cross.

    “Issues of national security and the state of emergency do not give the military carte blanche to do whatever they want.

    “The onus is on the state to prove that they are not using an emergency as justification to run roughshod over people’s human rights.”

    The AI alleged that in the last three years, it had documented some grave allegations against troops clamping down on Boko Haram.

    The statement added: “Over the past three years, Amnesty International documented grave human rights violations committed by security forces in their response to Boko Haram, including extra-judicial executions, enforced disappearances, indiscriminate torching of civilian housing and arbitrary detention.

    “In recent weeks, residents of Borno state in northern Nigeria have told Amnesty International that mass arrests in the state capital Maiduguri have increased.

    “Detainees continue to be denied access to lawyers and families and are not being charged with any crimes or brought before a court. Many people have spent more than a year in military detention without being tried or even charged with any crimes. Others have simply disappeared.

  • Fed Govt asks court not to stay senator’s trial

    A scheduled hearing of a motion by Senator Mohammed Ali Ndume seeking a stay of proceedings in his alleged link with terrorists was stalled yesterday before the Court of Appeal.

    The hearing was averted owing to the late filing of an objection to the motion by the Federal Government.

    Ndume is being tried on terrorism charges and accused of allegedly sponsoring the Boko Haram sect.

    He is also being tried for his alleged failure to disclose the mobile phone number of Ali Sanda Umar Konduga, a terrorist spokesman. The number is believed to be in his possession.

    The senator’s application seeks to stay his trial at the Federal High Court, Abuja pending the determination of his interlocutory appeal.

    In objecting to the application, the government argued among others, that it was a ploy by the senator to delay his trial.

    The three-man panel led by Justice Dauda Yahaya ordered the parties to file their written addresses and exchange same between now and October 2 when they will be adopted preparatory to ruling.

    In his appeal, Ndume wants the court to overturn the December 11 and 12, 2012 ruling by the trial judge, Justice Gabriel Kolawole of the Federal High Court.

    The judge had in the ruling admitted, as evidence against Ndume, alleged call logs from a telephone firm, which indicated that the senator had telephone conversation with one of the Boko Haram commanders, Ali Kondoga.

    Ndume wants the appellate court to invalidate the admitted evidence on the grounds that the trial judge erred in law when he admitted non-admissible documents, which the senator described as radical and fundamental against him.

    Justice Kolawole had, by the ruling, admitted in evidence certain DVDs containing call-data records, including findings based on investigations carried out by a Special Investigation Panel (SIP) of the State Security Service (SSS).

    The SSS operatives, who investigated that case, had earlier told the trial court that there were 73 communications between Ndume and the convicted spokesman for the Boko Haram sect, Ali Umar Konduga.

    A Nokia E7 phone allegedly belonging to Ndume, was said to have been used in communicating with Konduga, whose phone identity was given as Nokia 2700.

  • Fed Govt receives panel report on Bakassi

    The Federal Government yesterday received the report of the Presidential Committee on Bakassi with a promise to look into it and implement the relevant recommendations for the benefit of Nigerians.

    Vice President Namadi Sambo gave the assurance while receiving the report at the Presidential Villa yesterday from the committee chaired by the Deputy Governor, Efiok Cobham.

    According to him, the government was aware of the schedule of completion of the committees’ task later in the year and that the government was looking at the re-inauguration of the implementation committee.

    Promising that the government would look at the report favourably, Sambo thanked the committee for working diligently and in-depth in looking at the problems of the Bakassi people.

  • Fed Govt approves new aviation policy

    Fed Govt approves new aviation policy

    A NEW national civil aviation policy has been approved by the Federal Government as part of efforts to reposition the sector, it was learnt yesterday.

    Information Minister Labaran Maku broke the news to reporters yesterday at the end of the weekly Federal Executive Council (FEC).

    He was accompanied by his counterparts- Mrs. Stella Oduah (Aviation), Senator Idris Umar (Transport) and the Minister of State for the Federal Capital Territory (FCT), Ms Olajumoke Akinjide.

    Describing the sector as a strategic precision industry, Maku recalled that some actors in the industry had not kept faith with the rules of the game.

    Mrs. Oduah said it was regrettable that Nigeria, which has at least 100 jets, has no law guiding private jet operation.

    According to her, “the private jet owners are not paying what they ought to pay to the government and this is part of what the new policy aims to address.”

    Maku said: “We also debated extensively on a new National Civil Aviation Policy presented to the Council by the Minister of Aviation. As you recall, aviation has received special focus under the President Goodluck Jonathan administration. We have seen momentum in the aviation sector that has not been witnessed in the last 30 years.

    “The minister has come to the council again with a revised policy to ensure that the sector expands and meets the highest international standard to attract investments from the private sector both within and outside to further advance development in the aviation sector.

    “The policy covers the whole hub of the aviation sector, including a new proposal to start a new national carrier, driven especially by the private sector with government providing policy support.

    “The policy also included the enforcement of rule in this sector. We witnessed of recent a number of actors not committing themselves to the rules that apply in aviation and aviation is a very strategic precision industry where rules must be applied to enhance standard and efficiency.

    “We are convinced that the policy has tackled virtually all the key issues that are crying for support and for additional action in the aviation sector. We, therefore, approved this new revised national policy on aviation and the minister in the next couple of months will implement the policy with all the key actors in the industry.”

    Mrs. Oduah said: “In doing that, major highlights were general aviation. When we talk about general aviation, we are talking about the private jets.

    “Today, we have about a hundred of them and having them we have no law, no policy, no regulation to make sure that they are operating the way they should operate within ICAO laws and our aviation policy.

    “The question is not of taking advantages, it is a question of doing the right thing. Are they paying what they are supposed to pay? The response is no, they are not. But we want to make sure that they do pay what they are supposed to pay.

    “These are part of what the policy is addressing. We want to make sure that private jets are private jets and commercial jets are commercial jets and each will operate within the boxes they are meant to operate. So we don’t want to overcharge anyone, we don’t want to undercharge, we want to do what is global standard.

    “You must all agree with me that since then, several things have taken place. The security situation has changed and so the challenge has become more paramount that we must be in tune with the global standards.”

  • Fed Govt partners private sector on economic growth

    Fed Govt partners private sector on economic growth

    THE Federal Government is seeking collaboration with the private sector on the periodic assessment of the nation’s economic growth

    The organisations include the Institute of Directors (IOD), National Economic Summit Group (NESG), Manufacturers Association of Nigeria (MAN) and the Nigerian Employers’ Consultative Association (NECA).

    The government has directed its ministries and agencies to liaise with some sectors to move the business sector forward.

    Vice President Namadi Sambo, said during the IOD’s Convention and Exhibition in Lagos, that the country needs stakeholders who would contribute to the development index and ensure that such growth and development were sustained.

    Speaking on Optimising performance in a growing economy, Sambo, who was represented by the Head, Federal Civil Service, Buka Aji, said the Gross Domestic Product (GDP) of the country stood at 7.1 per cent last year, as against 7.4 per cent in 2011.

    He assured that the government would fast-track measures that would make the country become one of the most industrialised nations by 2025.

    “Like any other human problems, the government will be delighted to see that IOD and other well-meaning groups would forward proposals to us on how to better combat all the challenges facing the economic situation of the country,” he said

    The Chief Executive Officer, Nigerian Stock Exchange,Oscar Onyema, said good economic and corporate governance, including transparency in financial management were essential prerequisites for promoting economic growth and reducing poverty, promote market efficiency,as well as encourage private financial flow

    He said corporate governance practices in companies is at varied stages of implementation. He, however, added that registered companies should be accountable for their corporate practices, adding, the banking sector is leading in this regard.

  • Fed Govt, please listen!

    THE Academic Staff Union of Polytechnics (ASUP) is on strike over a number of issues. The Colleges of Education Academic Staff Union (COEASU) is threatening strike to go on from May 31. Ironically, both unions have similar grievances they want the government to address.

    Their demands border on an institutionalization of how the institutions are run – including a system to the appointment of provosts, governing council members, extension of retirement age to 65 years, among others.

    Two among the demands that interest me are the ones that deal with appointments of people that manage the institutions – the principal officers, and the governing council.

    Management slots in our educational institutions should not be used to reward party loyalists or godfathers. The appointment on governing councils of our tertiary institutions should not be viewed as an avenue for appointees to eat a portion of the national cake but to serve. That is why I think the Federal and state governments should listen to workers in our institutions who are demanding that seasoned academics, educationists, administrators and business men who are not hungry should be appointed on the councils. It is a call to serve, not one to extend ‘tunnels’ from the institutions to their private bank accounts.

    I will always remember the likes of Chief Afe Babalola and Chief Wole Olanipekun, both learned men, who served as the Pro-Chancellor and Chairman of Governing Council of the Universities of Lagos and Ibadan. They gave of their resources to improve both institutions. Chief Babalola donated his sitting allowances to the University of Lagos as part of an endowment fund for scholarships. He sponsored the construction of an auditorium, and attracted people to give to the university. Chief Olanipekun was bold to challenge anybody at the University of Ibadan to stand up and point out areas of corruption during his tenure.

    We need people like them, who seek the best for their institutions, not people that will award contracts to themselves. We need people who are literate, not those that need interpreters to participate in intellectual discourse that hold during council meetings.

    Regarding the appointment of rectors and provosts, we need qualified people, astute administrators, not yes men of the government.

    Our institutions are struggling already under the burden of under funding and other challenges. We should not add to their woes by appointing enemies of progress.