The Nation Newspaper

Tag: GOVT

  • ‘Govt hopes on Dangote Refinery to end fuel import’

    ‘Govt hopes on Dangote Refinery to end fuel import’

    The Federal Government is waiting on the completion of work on Dangote refinery to fulfil its promise to Nigerians to end fuel importation by December 2019, Minister of State Petroleum Ibe Kachikwu, said yesterday.

    He spoke during a visit to the Dangote Oil Refinery site at the Lekki Free Trade Zone in Lagos. According to him, the government was ready to play its part to assist in making sure the project is completed on schedule.

    The minister said: “It is good to say that private sector is the answer to Nigerian’s problems with a project as big as this. The challenge I will give you today is that of time, I see your time for completion is 2019 December but I am sure you will understand my greed if I tell you that the refinery component of this project should come earlier than the set date.

    “I have made very firm commitment to Nigerians that I must stop the importation of petroleum products by 2019 and I am going to keep to it. It is absolutely important that we do this early and given the feat that we have achieved in terms of speed of construction and I urge you to do all within you to achieve its completion before the due date.”

    Dangote said he had accepted the challenge and would do all possible to achieve the feat.

    “We are going to make it by the grace of God. I am sure the minister will support us to make sure that we meet his challenge.

    “What the minister is trying to do is the best so far for our country, his own version is that Nigeria should not think of exporting crude, you know the problem we have in Africa is that we only export raw materials, not finished goods, so he is saying that, look, we should all do this by adding value and I pray that even at 2.5million barrels, we should not export much, in terms of the crude.

    “We will go back and see what to do to make this happen by fast tracking our processes since the Minister has assured of government’s cooperation and support”

    Dangote explained that his group was building the world’s largest single line Refinery, Petrochemical Complex and the world’s second largest Urea Fertiliser plant. The Refinery, according to him will have the capacity to refine 650,000 barrels of crude oil per day.  The Petrochemical Plant will produce 780 KTPA Polypropylene, 500 KTPA of Polyethylene while the Fertiliser project will produce 3.0 million metric tonnes per annum (mmtpa) of Urea.

    “In addition, we are also building the largest sub-sea pipeline infrastructure in any country in the world, with a length of 1,100km, to handle 3 billion SCF of gas per day. We also plan to construct a 570 MW power plant in this complex. As a matter of fact, gas from our gas pipeline will augment the natural domestic gas supply and we estimate an additional 12,000MW of power generation can be added to the grid with the additional gas from our system.

    “We will be adding value to our economy as all these projects will be creating about 4,000 direct and 145,000 indirect jobs. We will also save over $7.5billion for Nigeria annually, through import substitution and generate an additional $5.5billion per annum through exports of the refined petroleum products, fertilizer and petro chemicals. We envisage that these projects, which would cost over $18billion, would be completed in 2019.”

  • AU, UN, ECOWAS back govt

    The the United Nations (UN),  the African Union (AU), and the Economic Community of West African States (ECOWAS) at the weekend “unequivocally condemned and deplored” the Boko Haram terrorists ambush in Maiduguri on July 25 against a convoy of Personnel of the Nigerian National Petroleum Company (NNPC) accompanied by geologists, under military escort. Different sources revealed that around 50 persons were killed during the attack.

    In a joint statement, the international agencies reaffirmed “their support to the people and the Government of the Federal Republic of Nigeria in their implacable struggle against terrorism.

    “The AU, UN, and ECOWAS reiterate their support to all ECOWAS states to fight against terrorism, by encouraging them to implement the ECOWAS counter-terrorism strategy aimed at eradicating this menace in the region.

    “The AU, UN, and ECOWAS sincerely wish the injured a swift recovery and express their deepest condolences to the victims and their families, as well as to the people and Government of the Federal Republic of Nigeria.”

  • TSA: Govt saves N4b bank charges monthly

    TSA: Govt saves N4b bank charges monthly

    The Treasury Single Account (TSA) policy has enabled the Federal Government to save N4billion monthly from charges that banks collected on its numerous accounts, it was learnt at the weekend.

    Besides, more than N7 trillion has been remitted by banks to the government’s TSA account in compliance with the policy.

    The figure,  as at March, showed that the TSA had been able to consolidate all inflows from government agencies using a single account-Consolidated Revenue Account (CRA), at the Central Bank of Nigeria (CBN).

    The TSA is a bank account or a set of linked bank accounts through which the government transacts all its receipts and payments and gets a consolidated view of its cash position at any given time.

    The implementation of TSA was a nightmare for government until September 2015, when SystemSpecs deployed Remita, locally developed payment software, to drive the policy execution.

    Before TSA, every organisation that collects money payable to the Federal government stacked cash in Deposit Money Banks (DMBs) where they were left to yield interest over the years for faceless individuals and groups while the Federal Government was starved of funds meant for developmental projects.

    The Federal High Court in Lagos two weeks ago, ordered seven commercial lenders to temporarily remit a total of $793.2 million allegedly hidden by them in contravention of the TSA policy.

    Justice Chuka Obiozor ordered the banks to remit the various amounts allegedly being kept illegally in their custody to the designated Federal Government’s asset recovery dollars account domiciled with the apex bank.

    The concerned banks are United Bank for Africa Plc, Diamond Bank Plc, Skye Bank Plc, First Bank Limited, Fidelity Bank Plc, Keystone Bank Limited and Sterling Bank Plc. However, the lenders have all denied keeping such funds, insisting they have remitted the cash to the regulator.

    Head of Treasury at Ecobank Nigeria, Olakunle Ezun, said the TSA has remained a major challenge for most banks, especially smaller lenders.

    He said the TSA has reduced banks’ balance sheet positions and income.

    Ezun said: “TSA remains a minus for banks, and plus for government,” he disclosed.

    He said: “A lot of banks did not honour their obligations, because of liquidity problems. But after a while, some banks met with the CBN and asked to pay gradually. The CBN later gave them forbearance, but increased liquidity in the system, I think they are now expected to remit the cash,” he said.

    Ezun said TSA remains a minus for banks, and plus for government, adding that the affected lenders will have to source the dollar from the parallel market because the law does not allow them to bid at the official market for such funds.

    “A lot of the affected banks will have to source for the funds at the parallel market,  if they do not have the required cash. The banks that were caught in the web were those facing foreign exchange crisis, which made it difficult for them to remit in totality to the CBN,” he said.

    Defending the initiative, Executive Director, SystemSpecs, Adermi Atanda, said the TSA is just a concept, a way and means of banking.

    He said: “So, TSA is just set of arrangements of knowing where your funds are, aggregating them for optimum benefits to the economy. So, that in itself, does not make it threat to banking in any way. It is just that government needs to get more efficient by leveraging on technology, and it goes beyond the banks. It touches how people are able to relate with governments, the ease of payment, delivery of service, accountability of government revenues, taxation and making funds available for national development,” he said.

  • Workers urge govt to vote more funds for infrastructure

    Workers in the construction sector have appealed to the Federal Government to allocate more funds for infrastructure development.

    National Union of Civil Engineering, Construction, Furniture and Wood Workers (NUCECFW) President Amechi Asugwuni  made the appeal when the Nigeria Labour Congress (NLC) leaders toured  some  affiliate unions.

    NLC leaders, led by its President, Comrade Ayuba Wabba, were on a tour of affiliate unions to partner and find solutions to their challenges.

    According to Asugwuni, infrastructure development is slow and any country that does not build its infrastructure, the growth and employment creation will be stagnated.

    He advised the government to ensure the establishment of a fund for infrastructure development and fast track the construction of roads and other infrastructure.

    He called on the government to pay employers in the sector money owed them.

    The NLC President, Mr Ayuba Wabba, said the construction sector was the pillar of every economy, adding that, no country could develop without adequate infrastructure in place.

    “How can we encourage small and medium scale enterprise if there is no steady power supply and good road network? The cost of doing business in Nigeria is higher than any other country.

    “The conditions of the roads are a nightmare, especially from Lagos to the Southsouth, and Southwest and the North. They are all in dire need of rehabilitation,” he said.

    Wabba said it was sad that the government did not prioritise development of infrastructure in spite of deficit in the budget.

    He said labour was focused on social justice in the system because without it, workers would not have decent lives.

    He said the NLC would ensure that the government committed enough resources to building important infrastructure in the country.

  • Group urges govt to boost organic food

    Group urges govt to boost organic food

    The Federal Government should increase organic foods, members of the Association of Organic Agriculture Practitioners of Nigeria (NOAN) have said.

    They spoke at the National Organic Agriculture Business Summit in Awka, the Anambra State capital.

    The event with the theme, “Global organic agriculture development: Unbundling abundant entrepreneurial opportunities for Nigerian youths” was sponsored by the Ecological Organic Agriculture (EOA) Initiative.

    NOAN, which drew about 120 participants from Nigeria and a delegate each from Kenya, Ghana, Uganda and Tanzania, said the organic products market stood at $80b.

    Its President, Prof  Victor Olowe, said: “Organic agriculture has been adjudged the fastest-growing sector in agriculture in the world and presently, the global market for organic products stands at $80 billion. So, Nigeria must not be left out.”

    He said there were opportunities for youths in organic agriculture business.

    ‘’We must tap into direct and indirect organic agriculture value chain systems benefit for food security and job opportunities, and thus contribute to a healthy environment, and boost varieties for domestic and export trades.”

    Declaring open the summit, the Minister of Agriculture and Rural Development, Chief Audu Ogbe, represented by the Southeast Regional Director in the ministry, Dr. Nnamdi Ibezim, said Nigeria must maintain standards to enhance the export of its produce to other countries.

    He said for Nigeria to sustain the feat it achieved with the yam export to Europe and America, it must imbibe best practices.

    “Nigeria has what it takes to produce the best, and as well be the best,” he said.

    He, however, urged the group to follow the rules in the practice, regulation and use of organic agriculture products and produce.

    The Country Coordinator, Ecological Organic Agriculture (EOA) Initiative, Nigeria, Dr. Olugbenga Ade Oluwa, urged Nigerians to focus on organic farming.

    “We are what we eat; this is why the (EOA) Initiative in Nigeria is using every opportunity to support and promote organic agriculture, to make sure that the health of Nigerians and its environment are safe.”

    He said the theme of the summit was to stress that the youth have significant roles to play in organic agriculture to ensure job opportunities for them to contribute to national development.

    “Engaging youths in organic agriculture can also help address food insecurity and contribute to improving the livelihoods of the stakeholders in the organic agriculture value chain,” he said.

    Anambra State Governor Willie Obiano, represented by the Commissioner for Agriculture, Mechanisation, Processing and Export, Afam Mbanefo, said everything was being done to make the state an organic food dependent one.

    “Anambra State is the front runner in terms of organic agriculture and that is why we are the first state in the country to start the export of organic vegetables.”

    Resource persons at the event included President, African Organic Network (AfrONet), Mr. Jordan Gama;Dr Casmir Ifeanyi of the Faculty of Veterinay Medicine, University of Abuja, Ms. Catherine Kibarah of Kates Organic, Kenya, Mr. Mohammed Oyelami of Ajibode Organic Farmers’ Group, Ibadan.

  • Govt urged to boost oil production for growth

    The Federal Government will generate enough revenue to implement the budget and meet other fiscal responsibilities when it ramps up oil production, stakeholders have said.

    The Chief Executive Officer, Abuja Power Station, Mr Jameel Jammal and the President, International Institute of Energy and Law, Prof Wunmi Iledare, who spoke to The Nation, said with increased oil production, government would be able to get enough money to implement the budget.

    They said if the government would be able to meet 80 per cent to 90 per cent of its targeted oil production, it would be able to get money to drive the economy.

    Jammal said sustained peace in the Niger Delta region is necessary if the government wants to achieve meaningful economic growth. He said it is through the region that the economy derives the highest percentage of its earnings. The country would stop contending with bad economy once crude oil production improves significantly. Meeting fiscal responsibilities would not be difficult once the production of crude oil peaks, he added.

    Iledare said happenings in the region go a long way in determining the outlook of the economy. He said Nigeria depends on crude oil for sustenance, therefore, it needs to foster growth in the Niger Delta region.

    According to him, growth in the nation’s petroleum industry is dependent on the twin issues of peace in the Niger Delta and increased oil production, adding that once peace is sustained in the region, the government will be able to achieve its goal of having improved revenue from crude oil.

    He said: “No doubt, the industry is facing the twin problems of reduction in the production of crude oil and violence in the Niger Delta.  The issues have impacted negatively on the industry and the country, which relies on oil for sustenance. Now that the price of crude oil is appreciating, the Niger Delta people must allow peace to reign in order to achieve optimal production.”

  • Pensioners hail govt for releasing N740b to pay arrears

    Pensioners hail govt for releasing N740b to pay arrears

    The Nigeria Union of Pensioners (NUP) has lauded the Federal Government for releasing N740 billion for the settlement of outstanding pension liabilities and promotion arrears of federal workers.

    It asked its members nationwide to take advantage of the voter registration exercise and equip themselves with voter cards to enable them vote out politicians, who have displayed anti-worker and anti-pensioners tendencies during the 2019 elections.

    In a statement issued in Abuja by its General Secretary, Actor Zal, the union said the Pension Transitional Arrangement Directorate (PTAD)) has assured that all pension arrears will soon be liquidated by the government and appeal to its members nationwide to exercise a little more patience.

    The union said the government will facilitate the payment of entitlements in due course through the treasury bills and bonds.

    According to the statement, payments of the arrears of 33 per cent pension increase (18 months for civilian pensioners and 39 months for police pensioners) as well as the arrears of gratuities that were owed pensioners since 2001 will also be liquidated.

    The statement added: “PTAD will equally commence the verification of pensioners from the Southwest and Northcentral zones within a few weeks from now. The dates and venues of the exercise will be announced as soon as funds are released through print and electronic media by PTAD accordingly.”

    It said the union was appreciative “of the efforts of the Chairman, House Committee on Pension, Hon. Hassan Shekarau and the Executive Secretary of PTAD, Mrs. Sharon Ikeazor, for their frantic and unshakeable efforts in this regard. We call on them and all other well-meaning Nigerians to join hands with the Federal Government to ensure that this payment is done without further delay so as to assuage the pains and sufferings of our senior citizens, who had worked selflessly for a greater and indivisible Nigeria.

    “May we equally use this medium to direct all our members from the states, LGAs and parastatals across the country to take advantage of the on-going voters registration exercise towards equipping themselves with voter cards in readiness for the 2019 general election so as to cast their votes for those who have been treating them fairly and against those who have been treating them with disdain and levity.”

  • Govt seeks apology from protesting pensioners

    The Osun State government yesterday insisted that a group of protesting retirees in the state must apologise to residents of the state for misleading them over the London-Paris Club loan refund.

    Some pensioners had a month ago accused Governor Rauf Aregbesola of diverting the second tranche of the loans’ refund.

    The Federal Government on Tuesday announced the disbursement of N243.7 billion to the 36 states and the Federal Capital Territory (FCT), out of which Osun got N6.134 billion.

    In a statement by the Director, Bureau of Communication & Strategy, Office of the Governor, Mr. Semiu Okanlawon, the government demanded an unreserved apology from the retirees for wrongly accusing the governor.

    The statement entitled: “Protesting group of pensioners must apologise to Osun people for misinforming them over Paris Club refunds a months ago”, said: “The attention of the Government of Osun has been drawn to another in the series of protests by a group of pensioners who have filed out again today (Wednesday) July 19, 2017 for reasons best known to them.

    “It is interesting to note that about a month ago, this same set of pensioners accused Governor Rauf Aregbesola of collecting and diverting the second tranche of Paris loan refund, which they claimed had been released to Osun State by the Federal Government.

    “As they have come out today, they have a duty to actually apologise not only to Aregbesola’s government, but also to the good people of Osun State for misinforming, confusing and creating tension in the state through their false claim that the governor had received the second tranche of Paris loan refund about a month ago.

    “Like we have said, Osun State government, with its commitment to transparency under the leadership of Governor Rauf Aregbesola made the announcement yesterday (Tuesday) to confirm the receipt of 6.314billion as the second tranche of Paris loan refund from the Central Bank of Nigeria (CBN).

    “The money was paid into the account of the state government on Monday and we duly made the announcement yesterday, informing the public that Osun has got the second tranche of Paris loan refund.

    “In line with our government’s promise to utilise the resources of this state in the best interest of our people, we hereby restate our commitment to this promise as we begin shortly transparent deployment on our commitments to the concerned stakeholders.”

  • Govt to replace kerosene with gas, says NNPC boss

    The Federal Government is planning to make liquefied petroleum gas (LPG) the primary domestic fuel for cooking.

    The aim is to de-emphasise the use of firewood and kerosene and reduce the health risks of the two traditional sources of cooking.

    The government is relying on the Nigerian National Petroleum Corporation (NNPC) and the Nigeria Liquefied Natural Gas Limited (NNLG) to achieve this goal.

    In a statement, NNPC’s Group Managing Director Dr Maikanti Baru said the need to replace firewood and kerosene with LPG was imperative to reduce health hazards and death.

    The corporation, he said, would  leave no stone unturned in increasing the use of cooking gas by individuals and industrial concerns.

    He said Indonesia had succeeded in kerosene substitution, stressing that NNPC is looking forward to cooperating with Indonesia to achieve a similar feat.

    Baru said: “The Nigerian National Petroleum Corporation will also like to partner with Indonesia and other countries in the area of bio-fuels production in order to diversify the nation’s energy mix for growth. Already, the Corporation has launched a campaign on deforestation  to reduce tree felling and its attendant depletion of the ozone layer.”

    At a stakeholders’ forum in Abuja, NLNG’s Managing Director, Mr. Tony Attah, said the company was planning to increase LPG to increase the product’s accessibility.

    He said Nigeria LNG would increase the penetration and market share of LPG by 32 per cent from 400,000 metric tonnes per annum (MTPA) to three million MTPA in five years, as part of efforts to make more Nigerians use the product.

    A study by the company showed that the country must increase LPG production by 32 per cent, adding that given the right condition, the firm would achieve this goal soon.

    “It is expected that an aggressive and well-coordinated market expansion strategy should lead to the growth of the Nigerian LPG market at annual rates of up to 32 per cent from the current level of over 400,000MTPA to over  three million MTPA in five years with a potential increase in per capita consumption from approximately 2kg to over 12kg, well above the sub-Saharan average of 3.5kg per capita,” Attah said.

    The NLNG chief said the gas giant had taken up the drive to improve LPG use in Nigeria, adding that its efforts must be complemented by the government to ensure the market peaks in line with the estimate revealed by its study.

    On the subsector’s problems, Attah said dearth of investments in LPG reception facilities and supply infrastructure, onerous fiscal regime and regulatory environment, such as the imposition of Value Added Tax (VAT) on LPG produced in the country, among others, were inhibiting the growth of LPG ‘ market.

    He urged the government to remove fiscal and regulatory bottlenecks to create a conducive business environment for private sector investment in all segments of the value chain.

    “The removal of VAT on LPG as well as taxes and duties, concessions for LPG equipment and cylinders must be at the top of the priority list for the government,” he said, adding that more people would use LPG in the country when these problems are resolved.’’

  • Experts to govt: engage us in tackling disasters

    Experts to govt: engage us in tackling disasters

    •Lagos NIESV inaugurates exco

    Experts have called on the government to engage their services in tackling challenges confronting the nation. An instance is the flood that has ravaged some states.

    The professionals, who spoke at the investiture of officials of the Nigerian Institution of Estate Surveyors and Valuers (NIESV), Lagos State branch in Ikeja, were unanimous that the flooding was not unsurmountable, urging the government to do the needful.

    A professor of Land Economics, Modupe Omirin, said the government should establish the office of the Valuer-General, like it is in Australia and other parts of the world. This, she noted, will serve the purpose of quality delivery, standardisation and improve the work of valuation within the government business.

    Besides, such issues as the recent flooding in the Lekki-Ajah axis, and across the country could be solved with mechanical engineering techniques, which would ensure that drainages are channelled in such a way that water will flow freely, she said.

    “Amsterdam is several measures below sea level. However, they have managed to use engineering expertise to control the flow of water in such a manner that they hardly experience flooding,” she said.

    Omirin, who was the Chairman at the event, therefore, charged the new executives, led by Mr. Olurogba Orimalade, to educate government officials on the need to consult estate surveyor and valuers on issues that are the exclusive preserve of the professional body as it affects valuation. “Valuation of properties is the exclusive preserve of NIESV; it is wrong for any government or anybody to hire a person that is not an Estate Surveyor & Valuers to carry out such duty. But because they (government) don’t have the understanding, they give it out to other professionals because everybody is competing to make money,” Omirin said.

    A past president of NIESV, Mr. Bode Adediji, advised the government to approach flooding from a professional perspective. He regretted that the problem had persisted for too long without any solution and called on the public to “hold the government responsible for the tax you have paid to them”.

    Adediji observed that the flooding in the island would have a dramatic impact on land value distribution.

    “I cannot imagine people now calling for higher value in an area already notorious for perennial flooding and those on the mainland will not be expected to keep the value of their properties cheap. So there will be a paradigm shift,” he explained.

    Vice President, International Real Estate Federation (FIABCI), Nigeria chapter, Mr. Adeniji Adele, urged government to review its master plan because most of the areas designated as residential has been turned to commercial area. He also advised the government to do a follow up check on approvals given for construction to ensure strict adherence and compliance to terms of approval. Drainages, he advised, must be cleared regularly to get rid of all blockades, while the activities of cart pushers and illegal dredgers must be stopped.

    Orimalade, in his welcome address, observed that the group had never witnessed a time like this where almost every aspect of the profession was being challenged by non-professionals.

    He noted that technology was shaping the way professionals do their business. For instance, the era of making use of measuring tape was gradually giving way to laser tapes, among other technological tools, he said.

    “From the days of the professional valuer making use of Parry’s valuation tables to aid his valuation, we now have valuation software, which gives you your values once the relevant data is imputed within seconds,” Orimalade said.

    The new Chairman, who is also the Principal Partner, Rogba Orimalade & Co., acknowledged the efforts of the Lagos State Government for gradually trying to make the state take its place among the most advanced cities in the world by the use of technology to effectively run the state’s operations and thereby increase the state’s internally generated revenue (IGR).

    “Just some days ago, I had the opportunity to grace the opening of the digitalised and upgraded Land Registry at Alausa. From a touch of a button on the computers at the Registry, you can now carry out searches easily for any property title in the state. The whole process now could take you less than five minutes,” he said.

    He reiterated that with the  advancement in the state’s information technology and developmental strides in urban renewal and infrastructure, it was critical for the NIESV Lagos Branch to quickly evolve to a more active stakeholder in the built environment because it is these rapid changes in technology and incessant encroachment by non-professionals in the profession that has given rise to his vision tagged “Contract with NIESV.’

    He said the “contract” which he categorised into five key areas- Branding, Strategic engagement (public and  private sector), Public Enlightenment, Membership expansion and training, will establish the right frame work and structures for a functional and effective branch that would be able to meet the yearnings of members.