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Tag: months

  • What Buhari has changed in 24 months

    What Buhari has changed in 24 months

    The last two years have been filled with ups and downs. OLUKOREDE YISHAU chronicles the things that have not remained the same since President Muhammadu Buhari took the saddle.

    Dynamites were thrown. Grenades caused chaos. Gunshots rented the air. The scenes were Niger Delta. The victims were not human-beings but oil facilities – strategic ones for that matter. And the effects on oil production and export were not only huge and scary, but  was costly. The economy bled and needed oxygen to be on the path of recovery.

    Settling down to business, President Muhammadu Buhari and his team put up their thinking cap. The grievances of those blowing up the pipelines must be addressed. His deputy, Yemi Osinbajo, a professor of Law and now acting President, went from one creek to the other, preaching peace.

    He visited oil-producing communities, listened to the people and spelt out the Federal Government’s commitment as captured in the ‘New Vision for the Niger Delta’. The vision has answers to the 16-point Demand Agenda submitted to President Buhari by the Pan Niger Delta Forum (PANDEF) in November, last year.

    Thanks to the New Vision, the Nigerian Maritime University in Delta State is set to commence operation, additional N35 billion was approved for the Presidential Amnesty Programme,  approval has been granted for the establishment of Modular Refineries across the nine Niger Delta states and work has resumed on abandoned projects in the oil-rich region, including the East-West Road.

    The engagements with the Niger Delta and the Organisation of Oil Exporting Countries (OPEC) have helped to raise oil revenues to the extent that external reserves have grown by about $7 billion in the last six months. Some $87 million have also been added to the Excess Crude Account and $250 million to the Sovereign Wealth Fund (SWF).

    The engagement with OPEC involved rallying the organisation and Non-OPEC members to discuss stabilisation of the global oil market in Doha and in Algiers. This led to an exemption from the OPEC production freeze and rise in oil prices to $55/pb, for the first time in 16 months.

     

    Unlocking the potentials

    The Buhari administration has leveraged on its goodwill to attract multi-billion investments and loans from China and Morocco. Buhari’s April 2016 visit to China unlocked billions of dollars in infrastructure funding and construction has started on the 150km/hour rail line between Lagos and Ibadan, the first major product of the collaboration.

    One other potential-unlocking strategy the administration has come up with is the National Economic Recovery and Growth Plan (NERGP). Launched in April, it charts a course for the economy over the next four years.

    The NERGP, according to the Federal Government, is to restore economic growth, invest in Nigerians, and to build a globally competitive economy. It plans to achieve these objectives by giving priority to agriculture, power, macro-economy, energy efficiency, transportation infrastructure and driving industrialisation through Small and Medium Scale Enterprises (SMEs).

    As part of efforts to unlock the country’s potentials, power reform is being done. This has led to the launch of the N701 billion Payment Assurance Programme to guarantee payments to generating companies and gas suppliers.

    The Power Sector Recovery Programme, which was launched in March, has been endorsed by the World Bank.

    Another potential of the country, which was held down for years, is the capacity of the refineries. It has received serious attention in the last two years. Now, the total amount of crude being refined by the three refineries in Port Harcourt, Warri and Kaduna is now 10 million barrels. It was eight million barrels in 2015.

    Agriculture and solid minerals have gotten their groves back. The sector grew by 4.11 per cent last year. Solid   minerals recorded a seven per cent increase. The contribution of the Ministry of Solid Minerals to the Federation Account tripled to about N2 billion in 2016 up from N700 million in 2015.

     

    Other positives

    Despite the low oil prices at the international market, the country’s external reserves have grown by $7 billion since October last year; the Excess Crude Account has seen an inflow of $87 million and $500 million has been added to the Sovereign Wealth Fund, which represents the first inflows since the original $1 billion with which the Fund started in 2012.

    The Anchor Borrowers Programme (ABP) of the Central Bank of Nigeria (CBN) and a soil map designed to aid fertilizer application has raised local production of grains. It has produced a model agricultural collaboration between Lagos and Kebbi states.  The country’s rice imports fell from 580,000 MT in 2015 to 58,000MT last year.

    A partnership between Nigeria and Morocco – Presidential Fertiliser Initiative – has resulted in the revitalisation of 11 blending plants. Through  the initiative, which involves Morocco, supplying the country phosphate, the country has recorded annual savings of $200 million in foreign exchange and 60 billion annually in budgetary provisions for fertiliser subsidies. Farmers now purchase fertiliser at N5, 500, 30 per cent cheaper than before.

    The administration is supporting MSMEs with $1.3 billion from the Development Bank of Nigeria (DBN). The cash was provided by the World Bank, German Development Bank, the African Development Bank (AfDB) and Agence Française de Development.

     

    Ease of Doing Business Reform Programme

    The Presidential Enabling Business Environment Council implemented its 60 National Action Plan between February and April. The plan has given willing investors the platform to search for company names on the website of the Corporate Affairs Commission (CAC). Such investors can upload their registration documents directly to the CAC website without hiring lawyers to prepare registration documents.  A single form has been created for company incorporation to save time and reduce cost. The Federal Inland Revenue Service (FIRS) e-payment solution has been integrated with the CAC portal to facilitate e-stamping. The country now has a simplified Visa on Arrival (VoA) Process.

    To also ease business, a joint physical examination of cargo has been directed to ensure one point of contact between importers and officials. The CBN, Customs and commercial banks have been compelled to process Net Export Proceeds forms within 72 hours and Pre-Shipment Inspection Agencies (PIAs) must issue Certificate of Clean Inspection (CCI) within three days.

    The number of documents required for imports has been reduced from 14 to eight. The ones for exports have come down from 10 to seven. Now, terminal operators are mandated to finish container’s examination in 12 hours.

    Acting President Osinbajo sealed the National Action Plan by signing three Executive Orders to improve efficiency in the business environment and promote local procurement by government agencies.

     

    Infrastructural development

    The Buhari administration is revitalising the country’s 3,500 kilometre network of narrow-gauge railway. A consortium led by General Electric and comprising Transnet of South Africa, APM Terminals of the Netherlands and Sinohydro Consortium of China, is working on the Lagos-Kano Railway narrow-gauge Line. The Abuja Light Rail system will also go into operation later this year. The first line to be launched will connect the city centre with the airport, with a link to the Abuja-Kaduna Railway Line. The test-run is scheduled for November. Full operation is planned for the first quarter of 2018.

    The reconstruction of the Abuja Airport runway was done within the scheduled six-week period (March to April 2017).

     

    Giving fillip to the economy

    The economy has been the major challenge of this administration. To get the country out of the economic quagmire, the CBN is reforming the forex regime and this has increased stability in the market.  The appetite for Nigerian stocks by foreign portfolio investors has also increased. Also, the Eurobond raked in more than $7.8 billion compared to a pre-issuance target of $1 billion. Analysts have described the trend as demonstration of the restoration foreign investor’s confidence in the economic reform agenda.

    The CBN has created a new forex window for investors and exporters. CBN’s date has shown that the window has attracted $1.4 billion in its first four weeks of operation.

    The apex bank has also reviewed the list of 41 items excluded from the CBN forex window, in line with a request from the Manufacturers Association of Nigeria (MAN). This is just as a Tariff-driven Tomato Policy has been introduced to promote local production.

    More funds in the hands of local contractors mean more strength for the economy. N1.2 trillion was released for capital expenditure in last year’s budget — the largest capital ever spent in a single budget in the country’s history. As a result of this, work has started on several projects, hitherto stalled. These cut across road, rail and power.

     

    Social Investment Programme

    Regarded as the most ambitious social safety net programme, the Social Investment Programme (SIP) has over one million beneficiaries. The 160,000 N-Power beneficiaries, who have had their details validated, receive N30, 000 monthly stipends. The validation of 40,000 others is ongoing.

    Significantly, 3,162,451 people in 26, 924 cooperative societies have been registered for the Government Enterprise and Empowerment (GEEP) Scheme. 57,234 interest-free loans have been issued in 28 states and Abuja, with women taking a chunk of 56 per cent.

    The administration is catering for 1,051,000 in 8, 587 primary school pupils through its Homegrown School Feeding Programme (HGSFP) in seven states. Over 11,000 cooks have been hired under the scheme.

    Through its Conditional Cash Transfer (CCT) scheme, 26,942 beneficiaries now get N5, 000 monthly stipend in nine states and 84 local government areas of Niger, Kwara, Ekiti, Kogi, Oyo, Osun, Borno, Cross River and Bauchi states.

     

    Cleansing budgeting process/ BVN/ Efficiency Unit

    The anti-corruption war of the current administration is one thing that is clear to all as one of the things that have changed in the last 24 months.

    Aside the activities of the anti-graft agencies, the Presidential Initiative on Continuous Audit (PICA) is one anti-corruption effort not known to many. It is to strengthen controls over government finances through a continuous internal audit of Ministries, Departments and Agencies (MDAs). Thanks to this initiative more than 50,000 ghost workers have been identified. N198 billion was saved as a result of this in 2016.

    The anti-corruption war has generated Budget Reforms, which made the President to direct all government agencies to prepare their budgets in line with International Public Sector Accounting Standards (IPSAS). A budget template was developed for this purpose.

    For the first time, this year’s budget was collated, using a web-based application developed by the Budget Office of the Federation (BOF). MDAs were compelled to upload their proposals on a portal.

    The Bank Verification Number (BVN) has also saved the government a lot of money. All payments are done only into accounts with verifiable BVN. This helped to detect the 50,000 ghost workers using the Integrated Personnel Payroll Information System (IPPIS) platform.

    Through the creation of Efficiency Unit (EU), efficient use of government resources has been promoted. This has resulted in saving N15 billion that would have gone into travel, sitting allowances and souvenirs.

     

    TSA/ Open Government Partnership  and whistleblowing

    On August 7, 2015, the President compelled MDAs to close their accounts with commercial banks and transfer their balances to the CBN on or before September 15 of that year. By this action, he gave life to a policy launched in 2012 but left unimplemented. This has resulted in the consolidation of over 20,000 bank accounts. An average of N4.7 billion is saved monthly in banking charges. Over N5.244 trillion is in the TSA.

    The era of some MDAs having idle cash in banks and still borrowed exorbitantly from banks is gone for good.

    The government keeps shutting corruption doors as they are discovered. One of such led to its signing on to the Open Government Partnership (OGP). Last year, President Buhari was at the International Anti-Corruption Summit organised by the Ubited Kingdom (UK) Government, where he pledged that Nigeria would join the international transparency, accountability and citizen engagement initiative. He fulfilled the promise last July when the country became the 70th  country to join the OGP.  This has led to an OGP National Steering Committee (NSC), which has developed a National Action Plan (2017–2019) to mainstream transparency in the management of public resources. The plan was submitted at the OGP Global Summit in Paris, France, in December last year.

    The anti-corruption drive has led to the Whistleblowing Policy which within its first two months of operation, yielded $160 million and N8 billion in recoveries of stolen government funds.

     

    A more transparent NNPC

    The Nigerian National Petroleum Corporation (NNPC) was indicted by independent global reports for being opaque.

    One of the first steps the administration took was to reconstruct NNPC’s opaque accounting structure. This led to the closure of more than 40 accounts. Now, NNPC publishes its financial reports monthly and the operational deficits have been reduced by not less than 50 per cent. NNPC outstanding Annual Audits from 2011 to 2014 has been conducted.

    The agency is also undergoing other forms of restructuring that will make it an effective entity. The restructuring, analysts said, promote competition, predictable revenue generation and compliance with global best practices.

    The administration has also resolved the shadowy oil swap deals that had cost the country billions of dollars and left it at the mercy of a few rich Nigerians. The government has also introduced third party financing to eliminate direct funding of cash calls.  The administration has also renegotiated existing service contracts under Joint Venture and Production sharing contracts (PSC) Operations by about 30 per cent leading to operational efficiency improvements and cost reductions.

    The administration has also eliminated the Offshore Processing Agreement (OPA) through the introduction of the Direct Sales and Direct Purchase (DSDP) scheme with reputable off-shore refineries. This has yielded annual savings of $1 billion.

    The Petroleum Industry Governance Bill (PIGB) put together the Federal Ministry of Petroleum Resources, has now been passed into law by the Senate, after 17 years of failed efforts.

    In 2016, the Federal Government exited the cash call arrangement with Joint Ventures (JVs) with International Oil Companies (IOCs), which put pressure on government’s finances. The failure to fully fund them resulted in more than six billion dollars arrears as at December 2015.

    A new funding mechanism is being introduced to free the government from the budgetary obligation of coming up with the cash calls and increase oil production to about 2.5 million barrels per day.

    The reforms have led to the negotiation of the debt arrears owed the IOCs to $5.1 billion and a long-term repayment plan has been agreed on.

     

    No longer a pariah state

    Unlike in the past, the international community warmed up to the Buhari administration in the last twelve months. The President has enlisted the support of multilateral institutions, such as the World Bank and IMF, security agencies, Western countries and other friendly nations to source, locate and repatriate stolen assets.

    At one of his international engagements, specifically the London summit on anti-corruption, Buhari announced that Nigeria would begin the full implementation of the principles of the OPEN contracting data standards.  This was in furtherance of his trips to the Middle-East, where he had gone to sensitise the governments on the need to repatriate stolen assets and hand over the looters for trial in Nigeria. In January last year, Nigeria and UAE signed Judicial Agreements on Extradition, Transfer of Sentenced Persons, Mutual Legal Assistance on Criminal Matters.

    The Federal Government and the Swiss Government in March last year signed a Letter of Intent on the Restitution of Illegally-Acquired Assets forfeited in Switzerland. Under the agreement, Switzerland will repatriate $321 million illicitly   acquired by the Gen. Sani Abacha family.

     

    Boko Haram: No longer the Lord of Sambisa

    One of the first things Buhari changed was the military structure, which led to the relocation of the Nigerian Military Command Centre to Maiduguri in May 2015. The results are glaring: Over 12,000 persons have been rescued by the troops, including 106 of the Chibok schoolgirls; since December 2015, all territories previously under Boko Haram control have been regained; by June 2015, Nigeria provided $21 million to the Task Force; and in June 2015, the United States (U.S.) announced a $5 million support for the fight against terrorism in the sub-region.

    The seriousness with which the administration has pursued the anti-terror war has also led to the U.S. government further announcing an additional $40 million for humanitarian assistance in the sub-region.

    Boko Haram’s operational and spiritual headquarters, “Camp Zero”, in Sambisa Forest, has been captured. The army has arrested Usman Mohammed, (a.k.a. Khalid Al Barnawi), leader of the Ansaru Terrorist group and one of the most wanted Terrorists in the world, on whose head the U.S. placed a $6 m bounty. Also arrested and being prosecuted is Amodu Omale Salifu, leader of an ISIS affiliate group active in Northcentral.

    Presidential aides are confident that the next one year would bring better goodies for Nigerians in the area of security and others. They said the government has laid a proper foundation capable of putting the country on the right footing. Nigerians are waiting.

  • Tears as Victor Olaiya’s niece Moji dies two months after childbirth

    Tears as Victor Olaiya’s niece Moji dies two months after childbirth

    Yesterday was a hard day for most stakeholders in the Yoruba section of the Nigerian film industry. Moji Olaiya, a popular cross-over actress had passed in faraway Canada. The mood around film locations in Lagos, Ibadan and Abeokuta was pensive. The loud wailing by some of the sympathizers foiled filming sessions; this was just as many stormed the actress’ UNILAG Estate home, Magodo to confirm with her aged mother. It was tears all the way.

    Moji, 42, niece to veteran highlife maestro Dr Victor Olaiya died two months after she had her second baby in Ontario, Canada. Although the childbirth was without complications, as the baby arrived two months earlier to her EDD, reports say the premature delivery saw the actress in and out of hospital for routine medical attention for mother and child.

    Irony however played a fast one on the thespian whose health condition appeared to have improved, as seen in a lively Instagram picture with her child two days earlier. She was thanking God for the gift of life.

    “Al-amdulilahi to you Allah I give all the glory for all you have done,” she wrote, adding that “I will forever praise and worship you. It’s not by power but the Grace of Allah. Thank you for the gift of life. Thanks also to all my friends, family and my fans for your support and prayers.”

    Moji’s blood pressure suddenly rose in the early hours of Thursday. And on her way to a Canadian hospital from a friend’s house in Ontario, she gave up the ghost.

    Notable film marketer and CEO of Okiki Films and Music Production, Mr. Esan Sunday who confirmed her death to The Nation spoke amidst tears. She was a regular cast in most of his films.

    22 hours to her death, she was on Apple Store, promoting Okiki. “Hello fans, Okiki App is now on Apple App Store… Watch movies from me and other great actors for free,” she wrote.

    11 weeks ago, the actress had also wrote for herself, glowing birthday wishes, accompanied with series of pictures.  “Happy Birthday to me! I wish myself many more years of joy, love, laughter, health and prosperity. I wish myself strength and wisdom for days to come and success with everything I do today and tomorrow.”

    Sources say that the last two months have been rough for the actress whose relationship to the father of her last child seemed turbulent, as the guy, identified as Femi is purportedly married to another woman.

    The actress was first married to Bayo Okesola in 2007, a relationship that produced Adunola, her 20-year-old daughter and student of Babcock University. She converted to Islam in 2014 when she met her new man, a relationship she had kept away from colleagues and the media.

    Described as a very strong woman, Olaiya is said to hardly fall sick, safe for cold which she suffered occasionally. Some of her colleagues insinuated that the premature birth of her last child could have triggered a blood pressure which led to her suffering a cardiac arrest.

    While it is sketchy whether the actress will be buried in Canada according to Islamic rites, Adunola is insisting her mother’s corpse be brought to Nigeria.

    “She must be brought back,” Adun said. “I don’t care what anybody says, I just want my mother’s body.”

    In a telephone chat with The Nation, filmmaker Abbey Lanre recounting how he met the actress some decades ago.

    “I knew her when she was still a student at Yaba College of Technology, (Yabatech). Then, we were shooting a film and she came on set as a makeup artiste for Bukky Wright. In the process, there was an opening so I asked her to do a scene or two. That was how she came into the movie industry. Since then we have been very close,” he said.

    He further confirmed that Moji Olaiya died of cardiac arrest. “I can confirm that. It is so possible that her death was linked to the fact that she just gave birth. The baby she delivered was premature so they were both receiving treatment together. She had a heart attack and died within an hour,” Lanre said.

    Another filmmaker, Yemi Amodu, commented on the actress’ amiable nature. “She was a very lovely person; so humble, and she was so committed to her career, she did everything possible to realise her career. Moji Olaiya lived so freely, she was a free giver too. However, definitely everybody must have their bad side, but I assure you that the good things I can say about her is about 90 percent,” he said.

    Corroborating Lanre on the actress’ journey into the movie industry, Amodu said “I was her first director; she came in as a makeup artiste for the company that was handling makeup for Bukky Wright. She then played a very minor role and that was where I saw the talent in her, and I took her up. One day, she was given the role of a maid in a Bukky Wright’s movie; I advised her to take the role and you won’t believe that it was in that film that Wale Adenuga saw her and engaged her in a Super Story series.

    “I and Moji have worked together a lot, in fact, I have a film I am yet to release where she played the role of Akintola’s wife, it’s a story about Awolowo and Akintola,” he disclosed.

    Moji Olaiya who is popular for her roles in films such as ‘No Pains No Gain’, ‘Nkan Adun’ and ‘Agunbaniro’ was born on February 27, 1975.

  • 55 people died in military detention centre in Maiduguri in 5 months—Group

    A human rights group, Global Amnesty Watch Foundation, has disclosed that 55 people died during the course of investigation of their alleged link with Boko Haram at the Giwa Barracks detention facility in Maiduguri between December 2016 and April 2017.

    Amnesty International has however described Giwa Barracks as a place of death where they accused Nigerian military of arbitrarily detention of Boko Haram suspects causing the death of over 240 people including about 29 children.

    The army has since denied the report. In a fact finding mission of human right violation by troops of Operation Lafiya Dole, the Country Representative of Global Amnesty Watch Foundation, Helen Adesola, in a press briefing in Maiduguri disclosed that 55 people died at the military detention camp in Maiduguri.

    According to her, those deaths occurred before 593 Boko Haram suspects were cleared and handed over to the Borno State government for rehabilitation at Bulumkutu rehabilitation centre. Mrs Adesola noted that their findings resulting to the causes of the death was as a result of “heat wave” instead of meningitis as was reported in the media.

    “Medically, the treatment and prevention for heat waves is the exposure of the detainees to fresh air and proper hydration. This the centre is doing as the detainees are being brought out into the open to sit under trees and adequate drinking water is being provided

    “The detention facility, like many other communities dealing with this kind of issues requires additional intervention to ensure that authorities are able to better cater for sick inmates,” Adesola explained She called on the Borno State government to be in the driver’s seat in the rehabilitation of over 593 cleared detainees who are mostly citizens and residents of the state, stressing that, “The Borno State government must not abandon them even though they are being held on the suspicion of their linkages with Boko Haram terror group,” .

    The Foundation, unlike Amnesty International which sees Nigeria military as huge violators of human rights at Giwa Barrack said the Nigerian Army, is doing all within its power to ensure the wellbeing of detainees in custody, but however express need for an improvement.

  • Nigerians and ‘ember’ months’ myth

    Recently, sorrow, tears and blood reigned supreme at the Lagos-Ibadan expressway as three lives were lost in a road carnage that led to the destruction of some articulated vehicles and a few cars. The sad incident would complicate the agonizing Lagos-Ibadan expressway traffic jam as movement along the road was at a standstill. Folks who live along the axis had to make alternative sleeping arrangement as going back home was definitely out of the equation. No thanks to the excruciating traffic jam occasioned by the horrifying road accident.

    As usual, many have attempted to explain the dreadful Lagos-Ibadan expressway disaster and similar others across the country in the characteristic ‘ember’ months’ tragic jargon.  In our country, the so called ‘ember’ months, which refer to the last four months of the year from September to December, are naturally regarded as tragedy prone period. This belief is so entrenched in the consciousness of the people that various religious groups and other relevant institutions regularly organize special prayer sessions and seminars with a view to minimizing ember months’ havoc.

    The reality, however, is that the so called ‘embers’ months are not really spiritually jinxed as many might want to swear they are. Tragedy occurs in ‘ember’ months just as it does in every other month of the year. Ascribing needless spiritual and mythical undertones to tragic happenings during the ‘ember’ months could just be the usual Nigerian way of trivializing issues. Rather than clothing the ‘ember’ months in a garb of gratuitous mystery, the pragmatic way of explaining dreadful events during these months is more human than mythological.

    The truth is that there is usually an increase in the tempo of public, private and corporate activities during this period.  Religious bodies are equally not left out of the frenzy of the season as they organize various events during the period. The ‘ember’ months are always the busiest on our roads for obvious reasons and the tumultuous air of festivity do not really help matter. It is a period when people are in so much haste to make all the money they have not made since the beginning of the year. Hence, commercial drivers, who usually embark on five trips per day, capitalize on the aura of festivity to go for 10 trips. This, naturally, comes with its fatal consequences. It is only logical that when there is a mass exodus of people from one place to the other, there is bound to be a measure of uncertainty and disorder.

    The bottom line, therefore, is that tragic occurrences are bound to happen during the ‘ember’ season because of the intensity of human activities. In a bid to be part of the various end-of-year activities slated for the period, a lot of people throw caution into the wind by disregarding critical safety issues. Vehicles are driven irresponsibly. Alcoholic drinks are consumed with reckless abandon while social outings are organized as if tomorrow will not come. The atmosphere, during the season, is often filled with unusual allure and jollity. It is in the midst of this hilarity that avoidable human blunders that result into diverse kinds of misfortunes usually occur.

    Hence, it is imperative for everyone to, first and foremost, have a changed perception of the ‘ember’ months. Hence, conscious efforts must be made to disrobe the months of every garb of unfounded mysticism. It is only when we are convinced that the dangers associated with the months are human rather than mythical that we could really make considerable progress in averting disasters during the months.

    Therefore, enforcement of existing laws and attitudinal change is central to making any progress. Sadly, law enforcement agents are also involved in the mad ‘ember’ months’ rat- race. In a bid to make some ‘extra’ buck to furnish special festive ‘necessities’ , they usually engage in treacherous compromise that encourages law breakers to go unpunished. The result, of course, is the continuation of avoidable circle of pandemonium and sorrow.

    Consequently, as we march towards the end of the year, we must modify our views on the ‘ember’ months. We must not get involved in any pointless extra-ordinary end of the year ‘rush’ that could endanger our lives and indeed those of others. Those who have to organize social events to correspond with this period should do so bearing all safety precautions in mind. Commercial drivers and other road users must respect the sanctity of the human life by observing required road safety measures.

    Perhaps, more importantly, relevant government agencies must step up enlightenment campaigns as well as enforcement strategies to guarantee that ‘ember’ months’ crashes and other related tragedies are reduced to the barest minimum. In this respect, the Federal Road Safety Corps, FRSC, and the Lagos State Traffic Management Authority, LASTMA, should be commended for their various ‘ember’ month’s safety strategies, in Lagos and adjoining states. However, there is a need for them to intensify efforts in this direction while more appropriate government agencies should also come on board the ‘ember’ months’ re-orientation and re-awareness project. Presently, the Lagos State Ministry of Information and Strategy is embarking on an ‘ember’ months’ responsiveness campaign across the state. The objective is to change the attitude of the people towards these months and offer key safety tips.

    As it has been previously affirmed, it is critical to re- affirm that tragic happenings during ‘ember’ months are promoted by reckless human actions. It is only in living modestly and responsibly that we could avoid the dangers and hiccups that are generally associated with ember months. If only we could rid ourselves of our usual ‘ember months’ excesses, we would discover that nothing is actually wrong with the months.

    Ogunbiyi is of the Features Unit, Ministry of Information and Strategy, Alausa, Ikeja.

  • IGI pays N1.2b claims in eight months

    IGI pays N1.2b claims in eight months

    Industrial and General Insurance Plc (IGI) has paid N1.2 billion as claims to its policyholders in eight months (January-August), this year. This brings the amount of claims paid by the underwriting firm since 2015 to N3 billion.

    This was contained in a statement made available to reporters by the firm. A breakdown of the eight months payments showed that the amount paid as claims under Individual life insurance amounted to N746.4 million while N157.2 was paid on Group life.

    Others include N273.5 million paid on General Business, consisting of N107.2 million on oil and gas insurance, N41 million on engineering and N56.5 million on motor insurance, among others.

    The firm further said the payments were in line with its resolve to settle all outstanding claims and obligations due to customers as quickly as possible.

    ‘’Our ongoing corporate transformation and restructuring makes prompt payment of claims inviolable. It is for this reason that, despite the current economic constraints, IGI will continue to pursue policies that gladden customers and strengthen public trust in the company, customers as quickly as possible,’’ it said.

  • Royal Exchange generates N8b premium in six months

    Royal Exchange generates N8b premium in six months

    Royal Exchange Plc has generated a gross written premium of N8.43 billion from its business activities in the first half of the 2016 financial year, representing an increase of 34 per cent over last year’s figure, which stood at N6.28 billion.

    Gross Premium Income also witnessed a growth of 17 per cent over the 2015 figure, with the 2016 figure standing at N6.46 billion, compared to the N5.50 billion generated in the corresponding period in 2015.

    Net Premium Income for the period amounted to N4.34 billion, with a modest growth of five per cent over that of half year 2015, which stood at N4.12 billion.

    Total Net Claims paid for the period under review amounted to N1.95 billion, an increase of 42 per cent from half year 2015, which was N1.37 billion.

    Group Managing Director of the company, Alhaji Auwalu Muktari, who made this known in a statement, said the half-year result on the top-line items witnessed significant growth, which showed that Royal Exchange as an insurance group, is focusing on its growth objectives set out at the beginning of the year, by participating in large-ticket financial transactions, as well as playing in the retail insurance market.

  • ‘Govt loses 560,000bbls, 109m litres of fuel in six months’

    ‘Govt loses 560,000bbls, 109m litres of fuel in six months’

    • Petroleum sector roadmap coming

    Over the past six months (January- June) this year, Nigeria lost 560,000 barrels of oil and 109 million litres of petroleum products to the activities of pipeline vandals, the Minister of State for Petroleum Resources, Dr Ibe Kachikwu said yesterday in Lagos.

    Speaking at the 2016 annual conference of the National Association of Energy Correspondents (NAEC) with the theme is: Low oil price: Impact and the way forward, where he delivered the keynote address, he lamented the huge impact renewed attacks on oil and gas pipelines this year has cost the Federal Government.

    Kachikwu said over 3,000 incidents were recorded from 2010-2015, resulting in loss of 643 million litres of products amounting to N51.28 billion, while between January and June this year, 1,600 incidents were recorded resulting in loss of 109 million litres of products and 560,000 barrels of crude meant for the refineries.

    Besides, he noted that for the Federal Government to meet its targeted annual production, it requires additional 1.1 million barrels per day from now to the end of the year. He also added that due to pipeline vandalism, about 850 million standard cubic feet per day (scf/d) of gas has been shut in with power outage exposure of 2,700-3,000 megawatts (Mw). In addition, he lamented that the Niger Delta crisis has resulted in loss of lives, high cost of operations, fuel shortage and environmental degradation.

    Kachikwu also stated that the Federal Government will unveil a petroleum sector roadmap next week as part of efforts to unlock the potential in the oil and gas sector, noting that five other regulations to provide clarity on the position of government with respect to the management and development of the sector are also to be rolled out by October.

    He said the roadmap is imperative now that investment capitals are shrinking globally. Such policies will remove obstacles and encourage the inflow of foreign direct investment (FDI) to grow the sector. The roadmap will provide comprehensive gas policy, unlock gas potentials, transit Nigeria from gas flare penalty regime to flared gas commercialisation and shift focus from government built to investor built infrastructure.

    The Group Managing Director, Nigerian National Petroleum Corporation (NNPC), Mr. Maikanti Baru lamented that the decline in oil prices from $110 per barrel in June, 2014 to $45 per barrel has adversely impacted government revenue earnings as oil sector accounts for approximately 90 per cent of the nation’s foreign exchange.

    “A major challenge, therefore, is securing the crude volumes to a level that ensures we deliver the revenue target.  We are working assiduously to resolve the security issues in the Niger Delta so that we can guarantee volumes,” he added.

  • Abia Poly to move in 30 months

    The Chairman of the newly-inaugurated Governing Council of the Abia State Polytechnic Aba, Abia State, Chief Chuku Wachuku has assured students, teachers and the state government that construction work at the permanent site of the institution would be completed in the next thirty months. It is located in Osisioma, off Enugu-Port Harcourt Expressway.

    Wachuku gave this assurance after paying an unscheduled visit to the permanent site with some members of the council.

    He allayed fears that the project would be stalled or abandoned as a result of drop in Internally Generated Revenue (IGR) and Federal allocation to the state, pledging to complete the campus in record time through Public, Private Partnership (PPP).

    He assured that the infrastructure would be built according to international standards such that they would promote teaching and learning.

    While thanking Governor Okezie Victor Ikpeazu for appointing professionals as members of the council, he praised the efforts of past governments and rectors in the development of the institution.

    Wachuku promised to work harmoniously with the management, staff and students of the institution to sustain the dignity of the school.

    He said his dream is to see that the school produces not only employable graduates who compete favourably at the global market with their contemporaries, but students that will create jobs.

    “We are going to transform the institution from what it used to be to a modern college of technology that brings out students who are not only employable, but would be able to create employment by being self employed. By the time we are through with this, we are going to encourage and insist on certifications so that we will be able to create manpower for both government and the private sector.

    “We are going to also form linkages. We are aiming to set a high standard because we want to make Abia Polytechnic and its products the best in the Southeast and the country as a whole and so, whoever cannot measure up or fit into this standard and vision would be shown the exit,” he said.

  • Oando records N4.1b net profit in three months

    Oando records N4.1b net profit in three months

    Oando Plc’s operational reports and audited financial statements indicate that the leading indigenous energy group recorded a net profit of N4.1 billion in the first quarter of this year.

    The three-month report  is for the period ended March 31, 2016. It was released at the weekend.

    The report raises hopes on the prospects of the energy group in the current business year, after global and domestic headwinds left the company in the red in the previous two years. Oando also released its full-year audited report and accounts for the year ended December 31, 2015.

    Flowing from the results, Oando’s share price rose by 2.92 per cent on Friday, the fourth highest gain in a trading session that saw average decline of 0.99 per cent at the stock market.

    The results were delayed, the company said, due to an exhaustive audit process overseen by external auditors, Ernst & Young. As a result, it an extension was sought and approvals received by Oando from the Securities and Exchange Commission (SEC) and the Financial Reporting Council of Nigeria (FRCN).

    Investors will be buoyed by the N4.1 Profit-After-Tax increase, representing a 120 per cent increase compared to this Q1 2015 figures. The company’s financial highlights also indicated that turnover decreased by 34 per cent, with N64 billion realised compared to N97.1 billion for the same period last year.Global crude pricing fluctuation has changed the corporate landscape for oil companies, and has had far-reaching economic implications on Oando and many other indigenous firms in the industry.

    The Group’s Chief Executive, Oando Plc, Wale Tinubu, said the first quarter performance demonstrated the group’s dedication to return to profitability by the end of the 2016.

    “We have implemented constructive corporate initiatives which are driving forces for our business in this new global reality of economic restraint and lower oil prices in our industry. The successful and ongoing implementation of these initiatives reiterates our strategy of growth, deleverage and a return to profitability by the end of 2016. As a group, we have placed our focus on growing our upstream higher margined business while still holding fundamental interests in the midstream and downstream sectors. We look forward to a rewarding year, where we solidify our aspirations and return to profitability,” Tinubu said.

    According to him, as oil prices gradually increased, Oando had commenced 2016 with a reinvigorated strategy hinged on key corporate initiatives to drive the company back to profitability and ensure fiscal efficacy, including optimisation of its balance sheet the company focused on aggressive debt reduction and recapitalisation.

    He noted that the group successfully restructured its existing debt through a N94.6 billion medium term note (MTN) with a local consortium with lower interest rates and a renewed five-year tenor, while its upstream subsidiary, Oando Energy Resources (OER), completed its 2015 year-end summary of reserves recording a six per cent growth in 2P net reserves from 420.3 mmboe to 445.3 mmboe. The increase is attributed to the recognition of reserves related with producible oil and gas volumes. 2C Resources also increased by 70 per cent from 122mmboe to 208mmboe.

    Official operational report showed that in the midstream, Oando Gas & Power (OGP) maintained its legacy of building successful pipeline businesses, generating returns and transferring on operatorship. The company successfully concluded the divestment of the Akute Independent Power Plant, a 12.15 megawatts power station servicing the Lagos State Water Corporation. OGP also signed a development agreement with TVER/ Micro LNG to develop a 20 mmscf/d Mini LNG plant in Ajaokuta, Kogi State, which will service a 1,000km radius in the Northern and Central regions of Nigeria. The facility is expected to commence operations in the second quarter of 2017.

    Also, Oando Downstream agreed on the terms for the sale of a N70.5 billion partial divestment to Vitol, the world’s largest commodities trader and Helios Investments Partners, a premier West African focused private equity firm. This alliance has been hailed as a testament of Oando’s legacy of building a successful downstream giant and a rejuvenation of Nigeria’s downstream sector through operational efficiencies and economies of scale.

    For the full year ended December 31, 2015, Oando recorded a net loss of N49.7 billion on a turnover of N381.7 billion as the global oil and gas industry struggled with historic slump. Oando’s 2015 losses were largely due to impairments and the acquisition cost and interest on debt facilities in Oando’s prolonged acquisition of ConocoPhillips Nigeria’s (COPN) onshore hydrocarbon assets.

    Tinubu recalled that 2015 was a turbulent year for the global oil and gas industry as traditional energy business operations had to be altered to enable industry players survive new reality, utilising cost optimisation systems, increased operational efficiency as well as lower capital expenditure budgets.

    “As the global economy returns to normalcy, we remain committed in our drive to building platforms for long-term sustained value creating businesses,” Tinubu assured.

    Official report meanwhile showed that in spite of the numerous challenges, Oando made significant achievements across the value chain last year. Oando Energy Resources (OER), increased its total production to 20 million barrels of oil equivalent (mmboe) in the period compared with 9.1 mmboe in 2014. The increase between the annual periods was primarily from the acquisition of OMLs 60 – 63 in H2 2014, as well as the commencement of production from the Qua-Iboe field in Q1 2015.

    OER also successfully realised a cash inflow of $234 million by resetting its crude oil hedge from the previously hedged average of $95.35 per barrel to a new price of $65.00 per barrel on 10,615bbls/day till July 2017, as well as an additional 1,553 bbls/day until January 2019. The proceeds of the hedge reset along with cash-in-hand were used to pay down substantial portion of the company’s debt.

    By December 2015, Oando Gas & Power (OGP) had completed 87 per cent of the Greater Lagos Phase 4 pipeline project which runs from Ijora to Bonny Camp in Lagos State. The Midstream subsidiary also commenced an 8.5km pipeline expansion project for the Central Horizon Gas Company, to increase CHGC’s capacity to 70mmscf/day.

    Oando Downstream successfully concluded tie-ins to third party terminals via a 2km Horizontal Directional Drilled pipeline. The jetty will alleviate delays associated with product delivery into the Apapa, reduce long term cost of operations, as well as provide possible revenue streams from excess capacity. In 2015, the marketing arm completed upgrading of its LPG plants, the Apapa LPG plantcapacity was upgraded from 15mt/day to 30mt/day, representing a 100 per cent increment, while the Benin plant was upgraded to include best in industry safety standards.

  • INEC conducts 127 elections in six months

    INEC conducts 127 elections in six months

    The Independent National Electoral Commission (INEC) has conducted 127 elections in the last six months.

    Its Chairman, Prof Mahmood Yakubu, said INEC has since the 2015 general elections conducted 50 re-run elections in 16 states in obedience to court orders. Seven by-elections, occasioned by death or resignation have also been conducted in five states, while two more elections were organised at the weekend in Kwara and Nasarawa states, due to the death of two elected individuals in the Kwara State House of Assembly and the Federal House of Representatives respectively.

    Yakubu, who spoke at a retreat organised by the Federal House of Representatives’ Committee on Electoral and Political Parties Matters in Abuja at the weekend, also said INEC did conduct three end-of- tenure elections in Kogi and Bayelsa states and the Federal Capital Territory (FCT) as well.

    He said: “In the case of the FCT, it was one election, but conducted in 68 different constituencies – six council chairmen and 62 councillors. In addition, the courts have so far upturned 23 constituency elections – House of Representatives and State Assemblies – and ordered the commission to withdraw certificates from candidates adjudged not to have been validly elected. We have since complied and issued certificates to the rightful winners from the 2015 general elections. We still have 31 more elections to conduct from the 2015 nullified elections, in addition to the forthcoming end of tenure elections for governorship in Edo (September) and Ondo (November) states.”