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Tag: Fed Govt

  • Fed Govt, governors, firm meet over $4.5b Chinese agric loan

    The Federal Government has met with some governors and a Chinese company, YTO China-Africa Machinery Corporation (CAMACO), to fine-tune the implementation of the $4.5 billion agriculture infrastructure loan agreement with the Peoples Republic of China.

    The Chinese government had, during President Muhammadu Buhari’s visit to China last year, promised to support agriculture in Nigeria with machinery, including tractors and irrigation infrastructure.

    Nigeria Governors’ Forum Chairman Alhaji Abdulaziz Yari of Zamfara State, Alhaji Badaru Abubakar (Jigawa) and Chief David Umahi (Ebonyi) and representative of Governor Abiola Ajimobi of Oyo State attended the meeting.

    The governors harped on the quality of the equipment, adaptability to weather and technical maintenance, among others.

    Umahi warned against low quality equipment and asked for detailed specification of what would be supplied to avoid bringing in machinery that may not be suitable for Nigeria’s hot weather.

    Minister of Agriculture and Rural Development Chief Audu Ogbeh said the government would not accept any low quality equipment, urging the Chinese firm to work out how it would assemble in Nigeria and, eventually, manufacture some of components locally.

    Ogbeh  noted that the government would not take loans without designing the means of repayment.

    “We are negotiating the interest rate, telling them to produce here when our steel mill comes on stream. We are harping on specification. We are also discussing how to pay back the loan, through export of agriculture produce,” Ogbeh said.

    The governors agreed to meet with the technical committee to identify agriculture produce in the states that could be exported to China.

  • Fed Govt owes oil marketers N300b subsidy

    The Federal Government is owing oil marketers N300billion in oil subsidy, Group Chief Executive Officer (GCEO), Forte Oil Nigeria, Akin Akinfemiwa, has said

    Akinfemiwa spoke before the Hon. Abdullahi Mahmud Gaya-headed House of Representatives Adhoc committee investigating alleged huge debts and criminal,act of sabotage by major oil marketers in connivance with  Products Pipeline Marketing Company (PPMC).

    He told the investigative hearing committee that his firm is being owed N13.8 billion and owes PPMC N5.9 billion from the oil lifted.

    He said:  “From our records, as at January 31, out indebtedness was to the tune of N5.995 billion . But we’re being owed N13.8 billion from subsidy. This is part of the over N300 billion the government is owing different oil companies.”

    The Forte Oil boss said government is however trying to,settle the debt.

    He said: “So far, the government, led by the Chief of Staff to the president invited us to a meeting with other stakeholders to address two issues. One was to continue petrol supply and two was for Federal Government to pay its debts.

    “Under the debts, a committee was set up to settle them. The total stands at over N300 billion. Right now, we can’t even do much, but we don’t want a situation where there will be queues in the country.

    “If you look at the N13.8 billion, we’re the ones being owed about N8 billion. We have also written to the Senate in recent times where we asked them to assist us with the payments of subsidy. The banks are not even borrowing as at now. We even paid about N5 billion as at the end of December.”

    In line with the mandate given the committee by the House, which is to recover the huge debts oil markers owe the government, the committee  wanted to know how and when the N5.9 billion Forte Oil is owing the government would be paid

    Bode Ayorinde, a member of the committee said: “ From this paper, you’re owing N5.955 billion. Did your agreement give room for debts? What’s the circle of the debts? What is the security for the debts? What is the interest agreed to be paid on outstanding debts? Do you sell on credits to those who buy from you?”

    Henry Nwaoba, also a member of the committee said in order to verify Forte Oil’s claims, t here is need to,have the details of the company’s credit dealers.

    “Do you have bank loans taken to assist you do retail business?” He asked.

    Akinfemiwa told the lawmakers that there was a 15 days debt payment agreement on oil lifting.

    He said: “Even if you lift N500 billion worth of oil, you need to pay within 15 days. Ideally, we should have reviewed the agreement terms after the fuel price increase from N87.5 to N145.”

  • Amnesty accuses Fed Govt of media crackdown, rights abuses

    Amnesty International (AI) has accused the Federal Government of embarking on a media crackdown and gross human rights abuses.

    AI reported that last year witnessed a disturbing rise in arrests and intimidation of media professionals and activists in Nigeria.

    It claimed 11 journalists and bloggers were arrested. The human rights body alleged the deaths of 240 people in Borno and 177 pro-Biafran protesters.

    Media Manager at Amnesty International Nigeria Isa Sanusi stated that the Federal Government responded to legitimate dissent with extreme measures that had devastating impact on the civic space.

    AI, in its annual 2016 to 2017 report, titled: ”The State of the World’s Human Rights”,  highlighted how the Federal Government responded to legitimate security fears with human rights violations, such as alleged tortures, forced disappearances and extra-judicial killings.

    The organisation, at the presentation of the report yesterday in Abuja, warned that 2017 will see crises exacerbated by a debilitating absence of human rights.

    “The politics of ‘us vs them’ is also taking shape at the international level, replacing multilateralism with a more aggressive and confrontational world order,” the organisation alleged.

    The human rights organisation, in its report stated: “The past year has also seen a disturbing rise in arrests and intimidation of media professionals and activists in Nigeria. At least 10 journalists and bloggers were arrested in 2016, some for alleged connections to Boko Haram, in a crackdown that appears to have been orchestrated to suffocate freedom of expression.

    “In January, members of the Nigerian army raided the editorial offices of Premium Times and arrested journalists Dapo Olorunyomi and Evelyn Okakwu. They were subsequently released but the move sent a clear message to intimidate journalists and the media.

    “In Nigeria, it highlights how government responded to legitimate security fears with gross human rights violations, including torture, enforced disappearances and extrajudicial killings.

    “2016 was the year when the cynical use of ‘us vs them’ narratives of blame, hate and fear took on a global prominence to a level not seen since the 1930s. Across the world and in Nigeria specifically, we witnessed governments responding to legitimate dissent with extreme measures that had devastating impacts on the civic space.

    “In Southeast Nigeria, security forces led by the military, embarked on a chilling campaign of arbitrary arrests, extrajudicial executions and enforced disappearances. Many individuals are still being detained incommunicado while state security agents have killed at least 150 peaceful pro-Biafra protesters.”

    It added: “In Nigeria’s Northeast, the ongoing conflict between the Boko Haram armed group and the country’s security forces has affected more than 14 million people, with two million in need of urgent humanitarian assistance.”

  • N200b blown on special intervention in 2015, says Fed Govt

    N200b blown on special intervention in 2015, says Fed Govt

    Over N200 billion was “recklessly disbursed” as special intervention fund to few beneficiary institutions in 2015, the Federal Government has said.
    Executive Secretary, Tertiary Education Trust Fund (TETFund) Abdullahi Baffa said this at a briefing on Monday after meeting with Vice Chancellors, Reactors and Provost of all Public Universities, Polytechnics and Colleges of Education in Abuja on the disbursement of 2016 intervention funds.
    He said the agency was able to save N74 billion of the N200 billion blown by the past administration following the decision of President Muhammadu Buhari to cancel the 2014/2015 special intervention.
    Baffa said only N50 billion of the entire funds allocated in 2015 was shared as normal intervention among all the beneficiary institutions.
    TETFund Executive Secretary explained that Buhari cancelled all provision for special intervention following past abuses of the funds and ordered an investigation on how the funds were misappropriated in the past.
    “President Muhammadu Buhari while approving the 2016 budget exclude any provision for special intervention due to its abuse in the past. In the recent past, special intervention fund was turned into something else. The fund was recklessly abused and it was hemorrhaging, begging to be saved because the priorities were inverted. Rather than spending bulk majority of the money on normal intervention, it was turned upside down.
    “In 2015 for example, over N200 billion was recklessly disbursed, allocated as special intervention to very few beneficiary intervention while the normal intervention that is to be shared among all the beneficiary institutions, only N50 billion was shared. This is a case of inverting priority or a case of the tail-wagging the dog.
    “Where you take N200 billion and allocate based on discretion. The law says all institutions must be treated equally – all polytechnics must be treated equally and all colleges of education must be treated equally.
    He added: “We are very happy that the President came in quickly and cancelled all special intervention for 2014/2015 for which money has not been drawn and we were able to save almost N74 billion out of the more than N200 billion. And we are also very appreciative of Mr. President’s approval that the special intervention for 2014/2015 for which money has already been paid should be investigated.
    “That investigation is going to commence soon. We cannot afford, for a fund like this that holds a lot of promise, that has done too much and the very people that are entrusted with the business of protecting the trust will be the very one that will mercilessly abuse that trust.
    “We thank God that it is not going to go quietly, it is not going to be buried under the carpet, it is not going to be forgotten. We will continue to pursue that this recklessness is investigated, and any wrongdoing, any waste of public fund and any misappropriation of public fund be brought to book.”
    Baffa added that the Federal Government would spend N213 billion under the 2016 intervention in tertiary institutions this year.
    According to him, each of the 40 Federal universities and 34 states universities would receive N1 billion while 54 public polytechnics would receive N691 million and 55 public colleges of education would receive N679 million.

  • Fed Govt, China in talks over N900b loan

    Fed Govt, China in talks over N900b loan

    The Federal Government and the Peoples Republic of China have commenced talks on a N900 billion ($4.5b) loan to facilitate the production of agricultural machineries for large scale farming in selected states across the country.

    The Minister of Agriculture and Rural Development, Chief Audu Ogbeh during a meeting with representative of China-Africa Machinery Corporation (CAMACO), in Abuja said the loan will also ensure some of the machineries are assembled in Nigeria rather than being directly imported from China.

    Ogbeh explained that the China Development Bank (CDB) and China Export and Import Bank (EXIMBank) are to fund CAMACO, in accordance with agreed terms with interested state governments, adding that the development was part of proceeds of President Muhammadu Buhari last visit to China.

    According to Ogbeh, the agriculture machineries will accelerate agricultural and agri-business development in the country with a loan repayment of 20 years.

    During the inauguration of the Project Management Committee at the minister’s office, about four state governors from Zamfara, Ebonyi, Kebbi and Jigawa discussed on modalities of repayment with the investors.

    The minister discussed with the investors on possibilities of exporting agricultural produce to China as part of repayment method.

    Ogbeh said: “The Chinese will give us a loan. We need things from them; we need to be clear on what we want; we need the right quality and quantity. So we are negotiating the interest rate and we are telling them you must assemble here with a view to producing these machines here when our steel industry when our steel industry comes alive.

    “You don’t just sign agreements and begin implementation. We both have interests and some of their equipment may not be suitable to our weather. We are taking all these into account before we commit ourselves to a loan of $4.5 billion.”

    The technical committee is expected to establish a joint working group whose responsibilities shall include among others daily monitoring and tracking of activities at project sites and reporting same to the committee.

    Ogbeh further said there will be thorough assessment of any equipment or machineries that would be purchased with the fund to ensure that no sub-standard machine are imported into the nation.

    The governors, speaking through the Chairman of the Governors Forum, Alhaji Abdulaziz Yari, identified the need to dispatch the nation’s quality control team to supervise the production.

    He requested for prices of the equipment to enable them determine what machinery to import.

    “Eight-man committee should be set up as technical committee for standard; we are looking at the submission given to us so far and to make sure that the qualities are not compromised. In the event that they don’t have the equipment that we are requesting for, they have promised that they would liaise with their sister companies and we want to see their brochures also to see if it is to the best of the quality we wanted.” Yari said.

     

  • Fed Govt to decide on VP’s residence, says Presidency

    Fed Govt to decide on VP’s residence, says Presidency

    •Osinbajo: Aguda House okay for me

    Acting President Yemi Osinbajo said yesterday that the Federal Government is to decide what to do with the new Vice President’s House under construction.

    A statement by Senior Special Assistant on Media and Publicity Laolu Akande quoted Prof. Osinbajo as saying that “he is satisfied with living in Aguda House,” the official residence of the vice president.

    The statement said the new house for the vice president which already has 14 buildings almost completed was not the idea of this administration.

    He said: “For the umpteenth time, we like to clarify that the proposed plan of the immediate past administration to build a new official residence for the occupant of the Office of the Vice President, including the controversial gatehouse preceded  this administration.

    “The project which started in 2010, was initiated and funded by the immediate past administration,  but had never featured in the two budget proposals of the Buhari administration: neither in the 2016 nor the 2017 spending plans.

    “Any suggestion therefore that this project benefits our administration or that it reflects our spending style or preferences is not only misleading but blatantly false.

    “Besides, the incumbent Vice President, Prof. Yemi Osinbajo, SAN, has said publicly that he considers Aguda House, which he currently occupies, a befitting official residence for the Vice President and sufficient for his needs.

    “While the project  is now about 85 per cent complete, the Federal Government, in the circumstances, will decide at the appropriate time what is the best use for the 14 buildings already on the project site.” he said

  • Fed Govt owes 105, 920 retirees N705b, says PenCom

    Fed Govt owes 105, 920 retirees N705b, says PenCom

    Fed Govt owes 105, 920 retirees N705b, says PenCom

    The Federal Government owes 105,920 retirees about N705 billion, the National Pension Commission (PenCom), has said.

    It urged the National Assembly to intervene by appropriating the needed fund to enable the government to meet up its obligations to its former employees.

    In a memorandum submitted by the Director-General, National Pension Commission (PenCom), Ms Chinelo Anohu-Amazu, to the National Assembly Joint Committee on Appropriations, the organisation said the Federal Government owes its 2016 retirees N73.1 billion while  N113 billion is required for the 2017 retirees.

    “It also owes pension increase of 79,961 pensioners who retired under the CPS from 2004 to 2014 the sum of N79.2 billion, the sum of N10 billion being the Federal Government’s statutory contribution to the funding of the Pension Protection Fund and the sum of N440 billion being the shortfall in the retirement benefits of 24 retired Heads of Civil Service of the Federation, Federal Permanent Secretaries and 16 Federal Permanent Secretaries.”

    According to the DG, the most critical challenge of the implementation of the CPS in Nigeria today is the non-payment of retirement benefits of Federal Government employees who retired in 2016 due to insufficient appropriation and late release of appropriated funds for payment of accrued pension rights.

    She made a case on the need for adequate appropriation of funds for the payment of the Federal Government’s pension liability under the Scheme.

    She also sought appropriation for overhead and capital subvention to facilitate the Commission’s operations in 2017.

    She urged the Joint Committee on Appropriation to consider, approve and release of the sum of N73 billion to pay January to December 2016 retirees of the Federal Government;

    She also sought the appropriation of N113 billion for 2017 retirees of the Federal Government, as determined by PenCom pursuant to Section 39(3) of the Pension Reform Act (PRA).

    Giving a summary of Federal Government pension liability for the year 2017, she stated that N72 billion is needed for 16,267 civil servants are expected to mandatorily retire in 2017 inclusive of 1,569 Civil Servants who retired before 2017 but had not been provided for previously.

    She also said that N19.1 billion is needed for 9,652 estimated death claims and N21.1 billion for an estimate of employees yet to be enrolled by the Commission

    She said: “Also, our prayers to the National Assembly is to ensure adequate appropriation under the Federal Government’s Recurrent Expenditure in order to facilitate the implementation of the new 18 percent pension contributions rate; to ensure the appropriation of the sum of N79.2 billion for payment of pension increase for the 79,961 pensioners who retired under the CPS from 2004 to 2014 and ensure the appropriation of the sum of N10 billion being the Federal Government’s statutory contribution to the funding of the Pension Protection Fund.

    “We also pray that the National Assembly should ensure the appropriation of the sum of N440 billion being the shortfall in the retirement benefits of 24 retired Heads of Civil Service of the Federation and Federal Permanent Secretaries that had earlier enrolled with the Commission and 16 Federal Permanent Secretaries scheduled to retire in 2017; and ensure the appropriation of the total sum of N5 billion as Overhead and Capital subvention to facilitate the Commission’s activities in 2017.”

  • Activists hail Fed Govt for renovating Abuja airport

    A Non-Governmental Organisation, the Initiative for Leadership and Economic Watch in Nigeria (ILEWN), has lauded the Federal Government for renovating the Abuja Airport runway.

    It urged Nigerians to be patient with the exercise.

    The group lauded the courage and foresight of President Muhammadu Buhari, Minister of State for Aviation Hadi Sirika, and Managing Director of the Federal Airport Authority (FAAN), Saleh Dunoma, in renovating the dilapidated runway.

    At a news conference yesterday, ILEWN’s Executive Director Splendour Agbonkpolor, said the group is sure the painful sacrifice by Nigerians, both rich and poor, will give Nigeria’s capital city a world class airport that guarantees the safety of all.

    His words: “We urge Nigerians and foreigners alike to remain calm as the security agencies have been duly mobilised with a clear brief to maintain law and order and to protect lives during this period of increased traffic.

    “FAAN should extend same courtesy of standardisation to all the airports in Nigeria to ensure seamless flow of traffic, both within Nigeria and internationally.

    “Nigeria will come out of this phase the better for it, as we will continue to hold our government to their mandate of working to deliver the best possible services to our people.

    “We also praise FAAN for working with security agencies to ensure maximum security of life and valuables on the Kaduna-Abuja Expressway.”

  • NLC, TUC alert Fed Govt to new trade union

    NLC, TUC alert Fed Govt to new trade union

    The Nigeria Labour Congress (NLC) and Trade Union Congress (TUC) have alerted  the Federal Government to the existence of a new labour union.

    Their letter dated January 19,  was signed by the NLC President, Comrade Ayuba Wabba and his TUC counterpart, Comrade Bobboi Kaigama.

    Titled: Need to avert anarchy in the industrial relations system in the country: Mushroom/Shell trade unions and addressed to the Minister of Labour and Employment, Dr Chris Ngige, the two leaders  said they were constrained to bring the issue to the minister’s attention because of the damage the new union could cause to the labour movement.

    They said the new union’s  leaders, after failing in their bid to lead the NLC, following the successful conduct of the rescheduled election at the 10th delegates’ conference of the congress last March, set up the union.

    The letter reads in part: “Some of our colleagues have been making concerted efforts to destabilise the industrial relations space in the country. This started with the effort to fractionalise the NLC, which failed after almost two years of trying. In their desperation, they have now purported to float a new trade union centre with the name United Labour Congress of Nigeria. In the last couple of months, they have collected forms for the registration of dozens of some trade unions without membership.’’

    It said all the unions being wooed by the splinter faction are  adequately covered by existing unions.

    “One expects that people who operate at our level will know the relevant provisions of the Trade Union Act, but perhaps we are assuming too much. The Trade Union Act CAP T14, LFN, 2004, Section 3(2) provides thus: “But no trade union shall be registered to represent workers or employers in a place where there already exist a trade union,” the letter said.

  • June digital switch over unrealistic, says Fed Govt

    June digital switch over unrealistic, says Fed Govt

    • MTN’s N34b spent

    The Federal Government yesterday said the June 2017 digital switch over (DSO) date is no longer feasible. This shift marks the third time the date is shifted since 2015.

    The government also said it would no longer provide set-top-boxes (STBs) for individual households in the country.

    The box is at the centre of any successful transition to DSO.

    Minister of Information, Lai Mohammed, who appeared  before House of Representatives  ad hoc committee on the process of DSO said the process was being funded with N34billion realised from the sale of spectrum  to MTN Nigeria in June last year.

    According to Mohammed, of the 13 licences issued for manufacturers of STBs, only four are operational, the initial monetary proposal of N60 billion for the project has been affected by foreign exchange and inflation.

    It was in veiw of this that the Federal Government is planning to collaborate with states and local governments in ensuring that the project is not stalled again.

    He also said efforts aimed at accelerating the harmonisation of the  process has commenced as meetings with the governments of Cameroon, Niger Republic, Chad and Benin Republic are underway.

    Speaker Yakubu Dogara, who was represented by the Chief Whip, Alhassan Ado Doguwa, while declaring open the hearing, said there have been allegations that the DSO process was characterised by procedural irregularities, inconsistencies, and misappropriation of funds.

    He said: “I have heard from different quarters that the DSO will re-position the broadcast landscape architecture in Nigeria.

    “We should use all legislative tools at our disposal to ensure its success; our aim is to ensure that Nigerians benefit maximally from this novel modernisation.

    “We will strive to avoid a situation where the country becomes a dumping ground for all forms of digital equipment.”

    On his part, Committee Chairman Sunday Katung regretted that majority of Nigerians are unaware of the switch over despite the launch of the pilot project in Abuja and Jos.

    “Yet, the success story of most countries that have successfully digitised, is hinged on effective public awareness.

    “The June 2017 deadline seems aggressive and unachievable, caution is required here to avoid being victim of our own exaggerated competence.

    “Having missed the deadlines twice, it is important that the DSO transition in Nigeria should not be a political expediency as it is currently viewed, but should be thoroughly reviewed and implemented, taking into the view our current economic realities,” Katung said.