The Nation Newspaper

Tag: losses

  • Reps panel seeks urgent overhaul of security systems to tackle oil theft, losses

    Reps panel seeks urgent overhaul of security systems to tackle oil theft, losses

    The Chairman of the House of Representatives Special Committee on Oil Theft/Losses, Hon Alhassan Ado-Doguwa, has called for an urgent comprehensive review and overhaul of the county’s surveillance and security measures.

    Ado-Doguwa said this in his closing remarks during a visit to the Chief of Defence Staff, General Christopher Gwabin Musa, in Abuja at the weekend.

    The lawmaker, who said this against the backdrop of the recent apprehension of the vessel MT Kali, laden with over 200,000 liters of illicitly acquired crude oil, noted that this incident has not only intensified concerns but also brought to light the depth and complexity of such criminal activity

    He said as the Chairman of the vital Special Committee of the House, it was his solemn duty to address this pressing matter regarding the escalating issue of crude oil theft in Nigeria.

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    He sought the support and cooperation of the Chief of Defence Staff to facilitate this critical mission.

    He lauded the prompt and decisive action taken by the Chief of Defence Staff to initiate an in-depth investigation into this case..

    Ado-Doguwa said this proactive response is a testament to President Bola Tinubu‘s administration’s unwavering commitment to confronting and eradicating the problem from the nation.

    He said, “Our Committee, instituted by the Speaker of the House, Rt. Hon. Tajudeen Abbas, Ph.D., on the 22nd of November, is entrusted with the thorough investigation of the intricate web of oil theft and losses within our nation’s oil and gas sector.

    “This task extends to scrutinizing the involvement of various elements, ranging from illicit entities and local communities to corporate employees and security forces.

    “Our immediate plan includes an investigative visit to the site of this incident in the Southern Ijaw Local Government Area of Bayelsa State and the Delta state location where the vessel is secured.

    ” In this regard, we earnestly seek the support and cooperation of the Chief of Defence Staff to facilitate this critical mission.

    “We laud the prompt and decisive action taken by the Chief of Defence Staff on the 17th of January 2024, directing the Chief of Defence Intelligence to initiate an in-depth investigation into this case.

    “This proactive response is a testament to President Tinubu administration’s unwavering commitment to confronting and eradicating this plague from our nation.

    “However, the emergence of this theft has raised several alarming questions. The journey of MT Kali, spanning from Lagos to Bayelsa, and its ability to operate undetected on Nigerian waters for such an extended period despite our advanced surveillance systems, namely the Navy’s Falcon Eye and NIMASA’s Deep Blue Project, is deeply concerning.

    “The security risks and implications of such an incident cannot be overstated. This scenario points to the urgent need for a comprehensive review and overhaul of our surveillance and security measures. It also underscores the importance of unraveling the intricate networks involved in these illicit activities, which seem to include international collaborations.

    “As we embark on this vital mission, guided by sections 62, 88, and 89 of the Nigerian Constitution, we call upon the Chief of Defence Staff, all security and law enforcement agencies, stakeholders in the oil and gas sector, and every patriotic Nigerian to join hands with us. Your support and collaboration are indispensable in our quest to bring an end to this menace.

    “In conclusion, let us remember that we are one Federal Government, with three arms working in harmony to ensure the welfare and security of our people. This challenge requires a united front, and I am confident that together, we can decisively tackle and resolve this issue for the greater good of Nigeria.”

  • ‘Protect data centres to minimise cost, losses’

    Information and communication technology (ICT) experts have advised data centre owners to protect the facility to reduce operational costs as well as preventing data loss.

    CEOs and boards of directors must recognise their responsibilities to protect the information assets that reflect their good stewardship.

    In his presentation, titled: Disaster Recovery, an expert in disaster recovery and representative of Firelock, Gerald Nichol, said loss of vital records can result in severe legal penalties.

    He noted that successfully managing the modern world of risk means that vital information must be protected and accessible at short notices.

    Nichole said: “It is important to understand that in these times, there is a need for contextual protection of information in its entirety. In terms of the possible legal consequences, the loss of even a part of your critical information due to improper storage could be damaging, to say nothing of the reduction costs associated with returning your digital information to a usable condition.

    “Unfortunately, these issues are compounded by the  fact that even business that understand the need to protect their backup data mistakenly assume that concert vaults that that protect paper documents will also protect digital media.”

    Also speaking, Cyber Security Risk Manager at PwC, Alfred Yar’Adua, pointed out that human error could cause data section disaster, adding that organisations are exposed to risk daily.

    Yar’Adua pointed out that the modern day economy is referred to as data based economy which is practically driven by data.

    He explained that organisations should adopt zero based architecture for data security, adding that this kind of framework does not give room for data loss, should any mishap occurs.

    He regretted that many firms avoid building robust resilience into their business due to potential high cost.

  • Airlines count losses as bad weather disrupts flights nationwide

    Airlines count losses as bad weather disrupts flights nationwide

    Inclement weather occasioned by the harmattan haze has forced many domestic carriers to cancel flights from the Lagos Airport into Port Harcourt, Enugu, Calabar, Uyo, Benin, Warri, Asaba , Ibadan and Ilorin.

    The harmattan haze resulting in poor visibility is preventing airlines from operating flights into airports less than 800 meters approved weather minima by aviation regulatory agencies.

    Airports in South South and South East are worst hit by the inclement weather. Airlines are losing revenue.

    Air Peace and Arik Air, the biggest operators by volume of flights, are hugely affected.

    Air Peace Corporate Communications Manager Mr Christian Iwarah told The Nation that the airline was badly affected by the weather; it cancelled six flights on Wednesday.

    Iwarah said the cancellation of flights into Benin, Calabar, Uyo, Enugu, Port Harcourt and Akure has hugely complicated its schedules with the attendant revenue loss and fidelity to on time performance.

    He said most passengers have refused to show understanding that the delays and cancellations are beyond the airlines but forces of nature.

    He said :” The inclement weather is seriously affected our operations . We have no choice but to either delay or cancel some flights because we will not fly into any airport below the approved weather minima.

    “This is forcing us to lose money and our name because passengers will not understand . This could even force some passengers to attack our staff, we think the relevant security agencies should provide security for our workers and equipment .

    “Whatever has happened, we are Lodi g heavily on all sides. How do we handle the backlog of passengers, issues about refund and other challenges.”

    He said airline only operated flights today into Lagos , Accra, Owerri, Abuja and Port Harcourt.

    On his part, Arik spokesman, Ola Adebanji said the airline could not operate flights into Asaba, Benin, Warri , Ilorin and Ibadan.

    He said :” This poor visibility is impacting negatively on our flights because the airline is loosing revenue.”

    DANA Air spokesman Kingsley Ezenwa said though the airline operated flights , but it had to monitor the prevailing weather that it meets the prescribed minima.

    He said: “Though DANA Air did not cancel any flights, but we experienced a lot of delays .”

    Investigations reveal that many passengers remain stranded at airports waiting airlines to announce boarding for flights.

    Some domestic and international airlines yesterday delayed or cancelled flights at the Nnamdi Azikiwe International Airport, Abuja, due to adverse weather conditions.

    The News Agency of Nigeria (NAN) reports that the affected flights involved Air Peace, Dana Air, Arik Air, Azman and Air France.

    NAN reports that the affected cities are Port Harcourt, Owerri, Enugu and where both out-bound and in-bound passengers are currently stranded nationwide.

    The Nigerian Meteorological Agency (NiMet) had on Tuesday predicted that dust haze weather conditions in horizontal visibility range of one to three kilometres would prevail over most parts of the county on Wednesday.

    NiMet also predicted a reduced localised visibility of less than 1000m over many cities throughout the forecast period.

    When NAN visited the airport yesterday, there were series of flight announcements on either cancellation or delay of different flights.

    At about 10 a.m. it was announced that Dana flight to Port Harcourt had been cancelled due to prevailing bad weather conditions across the country.

  • Wema Bank plans capital reduction to write off retained losses

    Wema Bank plans capital reduction to write off retained losses

    Wema Bank’s Board of Directors at the weekend indicated that it has called an extraordinary general meeting of shareholders of the bank to consider a comprehensive capital reduction exercise that will lead to a write off of accrued legacy losses in the bank’s balance sheet.

    Under the capital reduction exercise, the bank will create a capital reduction account to charge off impaired assets and legacy losses while simultaneously moving the equivalent amount from its share premium account to effectively close the entries. The capital reduction will, however, have no impact on the shareholdings of the bank.

    Shareholders are expected to meet next week to consider and vote on the capital reduction scheme. If approved, the bank will subsequently apply to the Federal High Court for the approval of the scheme in line with extant laws.

    In a regulatory filing signed by the Company Secretary/Legal Adviser, Wema Bank Plc, Mr Oluwole Ajimisinmi, the comprehensive capital reduction represents an holistic approach that will enable the bank to position its balance sheet for improved efficiency.

    The bank noted that while it has emerged stronger and more profitable, negative earnings that arose from legacy losses prior to June 2009 have continued to undermine the bank’s ability to pay dividends while restricting the ability to raise new capital.

    “Though the bank has since returned to profitability in the last four years, the impaction of negative retained earnings and other impaired assets is that, the bank, by regulation, is precluded from providing necessary returns by way of dividends to shareholders and most importantly, restricts the ability and cost to raise new capital,” the bank said.

    Wema Bank’s capital reduction plan comes on the heels of plan by another quoted company, Prestige Assurance Plc,  to cancel about 1.6 billion ordinary shares out of its issued and fully paid up share capital under a share reconstruction that seeks to write off accumulated losses.

    Under the share reconstruction proposal, Prestige Assurance is seeking to reduce its share capital from N2.685 billion or 5.370 billion ordinary shares of 50 kobo each to N1.909 billion or 3.817 billion ordinary shares of 50 kobo each in the issued and fully paid up ordinary shares of the company.

    This will lead to reduction of N776 million or 1.55 billion ordinary shares. “The share capital so reduced will be applied in writing off the capital of the company, which is lost or unrepresented by available assets,” according to a regulatory filing on the reconstruction.

    Prestige Assurance stated that the essence of the capital reconstruction is to enable it wipe out its accumulated retained losses of N776.511 million.

    The company noted that the reconstruction will reposition it on a trajectory for subsequent accumulated retained profit while creating more value to its shareholders.

  • Five years of e-commerce: Nigerians count losses

    Five years of e-commerce: Nigerians count losses

    Five years after e-commerce vendors, especially foreign-owned online shopping portals, set up shops in the country, Nigerians, who have had unpleasant experiences, in this report share their pains and agonies with TONIA ‘DIYAN

    n the beginning

    t’s been five years since Nigerians started shopping online but everything seemed not to have gone on well with the business. Between 2010 and 2011, when e-commerce started on a large scale across the country, the conversation was really on educating people about how to shop online and getting them ready for e-commerce.

    Thus, most online platforms introduced the pay-on-delivery method to reassure customers that they will get the right products and right quality when they shop online. There were customers who worried then that their payment details would be compromised, if they shopped and paid online; therefore, paying cash on delivery was the preferred choice.

    Today, shopping online has become a lifestyle for most Nigerians as many are accustomed with the trend. Visits to local supermarkets have reduced in most cases and people are more comfortable paying online before their goods get to them because online stores have succeeded in winning their trust via good and reliable service delivery.

    To ensure that Nigerians get involved in the trend, aggressive marketing, constant education through various channels (particularly social networks), increased brand awareness and offline activations including offline sales gained traction as a business model.

    Text messages and emails are constantly sent to people so that they can track online activities, and be the first to know of amazing deals and bargains as soon as they come up.

    Amid these achievements, one area where the online business has failed woefully is that of employment. Findings have it that usually 90 percent of online workers can be laid off at once. When these online firms enter the country, they recruit young Nigerians and fresh graduates who are energetic and can drive the business. When these young chaps are a year or two old on the job, they are kicked out without any benefits.

    Bankole Idris is a victim. He said: “I feel used and dumped because my lay off wasn’t justifiable at all. I don’t want to mention the name of the company I worked for, but I toiled for them for two years since they opened shop. Other young Nigerians and I were used as the face of their business to gain the hearts of Nigerians, and all of a sudden, we were dumped  for  fear that we might steal the business from them.

    “Most of the people in charge of getting investors  into this line of business are Nigerians and are not always truthful. When they employ, they make people believe the business is theirs or they have the larger percentage of the investment just to keep the mind of the job seeker at peace. They later turn around to bite you hard. They inflate the number of people who will use the online platform and concentrate on how soon they will get returns on their investments. But when that time comes and they can’t get any more, it becomes an issue, funds dry up and workers get laid off at will.”

    For Ngozi Okorie, the use of Nigerians as a front for online business is to show investors how accepted the business is in this part of the world and how there are local hands to run it successfully. But, in the end, the Nigerians in charge of the investors dictate what goes on and who gets fired without reasons nor benefits. “It’s just a suffer head job,” she said.

    Echoing similar sentiments, Orekunrin Temidayo, said: “The online businesses in Nigeria are owned by foreigners. Statistics showed that Africa is a new frontier for development and since we have business-friendly policies, they come here to invest. They use Nigerians to front their online business to get the approval of their countrymen and women who intend to work with them, and also Nigerians they are trying to gain their trust. At the end of the day, we find out they do not really need us. That is why it is always easy for them to lay off at will. There are some ogas at the top that are benefitting from them instead.”

  • Capital Oil workers fear job losses

    Employees of Capital Oil and Gas Industries Ltd have urged the Federal Government to release their Chairman, Dr Ifeanyi Ubah, who is in the Department of State Services (DSS) custody.

    The workers urged Acting President  Yemi Osinbajo, Senate President Bukola Saraki, House of Representatives Speaker Yakubu Dogara and the Minister of Labour, Sen. Chris Ngige to intervene so that the over 2,000 Capital Oil and Gas workers will not lose their jobs.

    A statement by the Manager, Distribution, Capital Oil & Gas, Mr. Saturday Igbarease, said Ubah’s continued detention has resulted in the shutdown of operations, with staff on the verge of losing their jobs.

    Worried about not receiving salaries this month, they urged the Federal Government not to allow them and their families starve.

    “The injustice meted on Dr Ifeanyi Ubah is negatively affecting over 2,000 workers of Capital Oil. The Federal Government should be mindful of the implications on our families who are gradually been forced to starve,” he added.

    The DSS had arrested the businessman over allegations of “economic sabotage” and alleged diversion of petroleum products to the tune of N11 billion.

    The Service last Thursday obtained an order from a Federal Capital Territory High Court to detain him for 14 more days.

    The same day, Federal High Court in Lagos also ordered DSS to release him within 48 hours or charge him to court.

  • Efficient transport system‘ll reduce post harvest losses, says NIRSAL MD

    An efficient transportation system put in place by the Federal Government would help farmers reduce post harvest losses, Managing Director, Nigerian Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL), Mr .Aliyu Abdulhameed, has said.

    He also said that efficient transportation system was critical to increasing the contribution of the agriculture sector to the economy and reducing poverty in the country.

    Abdulhameed said that an integrated cargo-based national transportation would help achieve this by reducing post harvest losses and improving the income of farmers across the country thereby giving them a greater incentive to produce more.

    According to him, having in place a low cost and efficient transport system that will help reduce post-harvest loss enhances the ability of farmers to repay their loans and further increases NIRSAL’s capacity to even guarantee more loans to more farmers.

    This, he said, would help to boost food production and food security for Nigeria.

  • Rains may increase crop disease outbreak, losses

    Rather than help crops to grow, the rains may lead to their destruction this year, experts have warned.

    According to the experts, several plant diseases are more common during wet season.

    They said favourable conditions for infection and plant damage include wet and compacted soils.

    From findings, it has been confirmed that pathogens (disease causing micro-organisms, such as bacteria, fungi, and viruses)  are widespread and persistent in field soils during the season.

    The experts said, seedling diseases could begin after the planting of the seed and  continue for several weeks. One clue is reduced emergence and other clues are seedling death, yellowing, or stunting. The problems, they said, might start when the soil is wet, although may be delayed a week or more after wet conditions occurred.

    Senior Lecturer, Department of Crop Protection, Faculty of Agriculture, University of Maiduguri, Prof. Dan Gwary explained that seedling diseases occur as excessive rainfall and fluctuating temperature create excellent conditions for them.

    Gwary said wet and flooded soils produced after heavy rains are favourable for  soil borne, moisture-loving fungus and diseases.

    He said they damage seedlings and even mature plants. To prevent this, he advised farmers to check fields for seedling disease, and efficacy of seed treatments.

    A former dean, Faculty of Agriculture, University of Ilorin, Prof Abiodun Adeloye, said  normal rainfall would be good, and more would be better, but too much at the wrong time could damage or kill certain plants.

    He said farmers are at risk when there is above-normal rainfall.

    He urged farmers not to expose their farms to floodwaters.

    He advised farmers to observe basic farm safety and sanitation practices to avoid nurturing platforms for the spread of diseases.

  • Forex speculators count losses on CBN measures

    Forex speculators count losses on CBN measures

    There are strong indications that the efforts of the Central Bank of Nigeria (CBN) to stabilise the naira may have started yielding results.

    Feelers from two officials of the apex bank, who pleaded anonymity, indicate that the deployment of a number measures by the bank may have turned the tide in the foreign exchange (forex) market and led to losses suffered by currency hoarders and speculators.

    The CBN had accused speculators of being behind the market burble since the upper week which led to the value of the naira whcih crashed to an all-time low of N400 to the U.S dollar.

    The CBN Governor, Godwin Emefiele, accused speculators of conniving with bureau de change (BDC) operators to undermine the efforts of the bank at propping up the naira and warned that such speculators would eventually be punished by the market.

    On Wednesday, the naira at the parallel market exchanged for about N295, a further improvement on the N305 to the dollar the day before, garnering over N100 gain on the panic by speculators struggling to cut their losses.

    Some parallel market operators said they bought from sellers at the rate of N272 and sold at N295. A good number of the sellers who had suffered huge losses confessed that they had bought at N380 hoping to sell at N400 before the sudden turn in fortunes.

    Industry analysts say a number of measures taken by the apex bank lately might have led to this improvement.

    One is the decision to publish all forex sales from the inter-bank market to make for transparency. The second said the mop-up operations of the CBN, which had reduced the excess liquidity behind the high speculation of the upper week.

  • ‘How job losses in oil sector ‘ll be tackled’

    ‘How job losses in oil sector ‘ll be tackled’

    Worried by increasing rate of job loss in the oil and gas industry and its ugly effects on the economy,  the Petroleum and Natural Gas Association of Nigeria (PENGASSAN) and the Nigerian Union of Petroleum and Gas Workers(NUPENG) have mapped out strategies to check the ugly trend.

    Part of the strategies include monitoring the activities of oil firms and their subsidiaries, with a view to preventing them from throwing their members into the labour market unnecessarily, collaborating with them on issues relating to employment and improving condition of services of employees, embarking on strike, if the need arises, among others.

    PENGASSAN’s President, Francis Olabode Johnson, in a statement said the body would not condone or tolerate any activities that  is capable of making its workers redundant in the industry.

    He said: ‘’We have resolved that no process of redundancy shall be undertaken by any management without the involvement of the National Executive Council (NEC) of PENGASSAN.

    “Also, the council has resolved that any decision taken by any companies’ management on redundancy without engaging the national secretariat of our association shall be of no effect and shall be resisted.’’

    Olabode said the body is making efforts to speed up the process of dispensing justice on issues relating to disengagement of oil workers.

    He said the National Industrial Court (NIC) frustrate oil and gas workers, by not hearing their cases as at when due.

    He said, as a result of this development, many workers were in the labour market, without any means of seeking redress.

    Olabode said PENFASSAN and NUPENG have frowned at the idea of making their workers, adding that the bodies are not ruling out the option of industrial actions in order to force management of companies to acquiesce to their demands, if the trend continues.