Tag: Private

  • Private poly opens in Offa

    IN September, the first private polytechnic in Northern Nigeria, Graceland Polytechnic, will come on board, its proprietress Mrs Ayodele Oyeleke has said.

    Addressing the 10 graduating pupils of Oyeleke Memorial College Offa, Mrs Oyeleke said this year’s set of graduands will be the last to graduate from the present site as the institution will be converted to a private polytechnic following an approval from the National Board for Technical Education (NBTE), the regulatory body for polytechnics.

    She added that existing pupils of the full boarding school will be moved to a facility in the Government Reservation Area (GRA) Offa which, would henceforth be the new abode of the college.

    Mrs Oyeleke, who said she would also be the proprietress of the new institution, thanked parents and workers for supporting the college in the 2012/2013 academic session. She charged the graduating pupils to be well behaved, godly and good ambassadors of their alma mater.

    The guest speaker, Prof Abimbola Adesanoye advised parents to give Sex Education to children to reduce the menace of H.I.V/Aids and unwanted pregnancy. He urged parents not to shy away from this subject as ignorance on the part of many school children has been claiming their lives.

    Adesanoye also advised the parents to visit the school regularly so they can contribute significantly to the academic progress of their wards.

    “They must not leave their responsibilities for the school to perform,” he said.

    Adesanoye also said since the upbringing of the children is a shared responsibility, the government, parents, teachers, churches and peer-groups all have important roles to play in the training of the children.

    According to him, It is also important for government to fund education properly and pay teachers promptly and adequately. He urged teachers to be committed to their duty, show deep interest in the academic progress of the children, and update their knowledge constantly.

     

  • Private sector leads in pension contributions

    Private sector leads in pension contributions

    The private sector has surpassed the public sector in pension contributions, FBN Capital report has shown.

    It indicated that the private sector contributes about 60 per cent of the N3.4 trillion pension assets under the management of Pension Fund Administrators (PFAs).

    The research firm said data released by the National Pension Commission (PenCom) showed that as at end of March, this year (when pension assets were N3 trillion), the private sector contributed N1.8 trillion to the scheme. Also, the public sector’s contribution from ministries, departments and agencies (MDAs) of the federal and some state governments, was N1.2 trillion. This, it said, was a marked change from its composition in 2004 when the Act kicked off.

    FBN Capital said the increase to N3.4 trillion as at the end of May was largely due to the filing in of 12 states into the contributory pension scheme, although only six states had collected and remitted contributions in compliance with the provisions of the Pension Reform Act (PRA) 2004.

    It said the number of registered contributors has grown to 5.5 million with an average monthly contribution of N30 billion.

    “Given that only seven per cent of the nation’s 80 million workforce has joined the scheme, there exists a huge potential for growth in the coming years,” it said.

     

  • Succession battle at private schools

    Succession battle at private schools

    In public schools, nobody talks about succession because they are government owned. So, the issue does not arise. The schools, be they primary, secondary or tertiary are run by the government, which could be the local, state or federal. Primary schools are owned and run by local governments; secondary schools and tertiary institutions are owned and run by either the state or Federal Government. The schools are taken over by succeeding governments.

    In the case of private schools, the issue is a bit complicated. They are schools owned by individuals. Some are run by the owners; others are managed by administrators appointed by the proprietors. The wish of many business owners is that they should be succeeded by their offspring, especially the first child. For school owners, getting their children to take over their business after their death is becoming a thorny issue. The administrators seem not ready to hands off after the proprietors’ death.

    While the proprietors worry about what becomes of their legacy after they are gone, the administrators are concerned that the owners’ offspring may jeopardise their position.

    It is common these days to witness a clash between the owner or his/her heir and the school administrator.

    At a seminar for Heads of School (HOS) organised by Edumark as part of its Total School Support Education (TOSSE) fair, school administrators hotly debated this issue. A HOS, faulted what she calls the practice by proprietors of bringing their young children in as directors to breathe down on the necks of “hardworking” administrators who may have faithfully contributed to the school’s success over the years.

    Responding, the facilitator, Dr Mary Iyayi, urged the administrators never to fight their employers or their children since they own the school. She also advised school owners to consider making long-serving administrators part owners of their schools.

    “Do not fight your proprietress. You have to accept that she owns the school. However, school owners could make those who have worked in the school for a long time part owners of their schools as an incentive,” she said.

    However, many proprietors prefer to hand over their schools to their children.

    A proprietress, Mrs Temitayo Ola-Kolade, is worried about the fate of her school. She said her children do not seem to be interested in managing it after her.

    “My daughter for example is 11 years, but she doesn’t want to be a teacher or an educationist but a Medical doctor. I have three children and none of them has shown interest in the school or education line. I know that I cannot totally leave the school in the hands of a stranger irrespective of whether he or she is the head or school (HOS) or an educationist,” she said.

    Hajia Aminat Suleiman, who runs Lufaloy schools in Kano, also wants her daughter to succeed her. Right now, she said is doing all she can to learn how to effect a smooth transition.

    “I will continue to attend seminars and workshop because I want my daughter to take over my school from me. I believe the question of confusion between HOS and owners’ children should not arise at all because we are all Africans and we all know that whatever you do you want your child to take over,” she said.

    Some school owners, especially those with grown children, incorporate them into the management of the school during their lifetime. This practice is recommended by many experts and educationists who advise school owners to prepare their heir – apparent for the role rather than foist them on the school overnight.

    When asked of her succession plans, Mrs Abimbola Fisayo, proprietress of Christ The Cornerstone (CTC) International School in Ikeja, Lagos, her daughter, the current Nursery Supervisor of the school, would take over the school. Her daughter, she said has been in training for more than seven years.

    “I did not force my daughter to study Education, but having seen me here, she decided to read education. When she got the degree she came back here to become a teacher. I didn’t make the head of school all of a sudden just like that. She worked as a teacher for seven years and in the eighth year there was a new development and I made her the head of Nursery section. In fact, she started as a boarding house mistress in the secondary school but she still taught English and literature. She grew through the rank; she was able to interact with the teachers and others.

    “I do not believe in the suddenness because it cannot work. I believe in the American method. When you are bringing your child into a business that you set up, they must come in at the beginning. You will be surprised that in America the person that becomes the chief executive will start as a cleaner. If you put the children from the top they will be arrogant; they will not know how the other workers feels because nobody can tell you. Well, it is part of my regret that I didn’t allow my daughter to be a cleaner. She should have washed the toilet, swept the compound; there is no big deal about it as it would have enriched her in experience.”

    Education Director of Mind Builder’s School, Mrs Bolajoko Falore said her children are also in training.

    “I have told my children that once I am 60, I will be at the background and they will be at the forefront because age is not on my side and I cannot continue. I have trained a lot of my staff so that without me, the school will still run. For instance, I travelled and came back just before the graduation. When I came, I just put some finishing touches and that is all. But I am training three of my daughters. They are professionals in their own fields. The first is an accountant and she will manage the adminstration; the second one is an education; she read psychology, and she has gone for Montessori courses. She is now doing her masters in Leadership and Administration. The third is a lawyer, so the three are involved,” she said.

    While some school administrators have accepted that it is inevitable for schools to pass on to the owners’ offspring, others would rather the children have nothing to do with the schools.

    Mrs Christianah Oyekanmi, HOS, Mandate Private School in Akesan, a Lagos suburb, is not in favour of children coming around to disrupt her work in the school.

    “The children should not be involved because they would want to run the school their own way. They will not give the HOS the room to run the school the way it has being. The owner should run the school or hand everything over to the HOS. The only way should be for the children to have their office elsewhere so they will just be coming in once in a while,” she said.

    Other administrators think it is foolhardy to believe school owners will not involve their children, advising that the HOS should be willing to work with the younger generation.

    Mr Mordi Ignatius, who is the Administrator of Grandmate School in Okota, Lagos suburb, said once a HOS knows his role, he can even mentor the proprietor’s heir.

    He said: “Since Africans believe in heredity, eventually everything you earn while working as a human being is for your children in case you pass on. Whoever is being employed should know this. People see it as ridiculous when you teach a child and that child later becomes the owner of the school where you are head and you start answering Sir or Ma to the child. But if there is mutual understanding; if that child knows that this is my boss and he should be boss at all time, there will be no problem. Like in my school, the owner has children and he is already training them to take over from him so we will be with the children and work together with them; so we have to train them on the job.”

    But expertd say school owners should not always insist on their children being their successors. Rather, their focus is to ensure that whoever takes over is good for the job.

    Speaking on “Identifying and Grooming your Successor” at the maiden conference of the Association of International School Educators of Nigeria (AISEN) Mrs Ndidi Nwuneli, founder of LEAP Africa, advised proprietors to have a clear succession plan. She advised them to create a governing board for the school, considering people that will help the school to survive for generations, not just because they are family members.

    She also told them to be willing to hand over their schools to non- families members.

    Founder of S.T.T and Regency School in Ikeja, the Lagos State capital, Ms Maggie Ibru, agrees with Mrs Nwuneli that the successor should be anyone who is capable.

    “If the person is loyal and good it can be anybody from anywhere. Then you should have a board of governors and board of trustees that can oversee the running of the institution because it would out live you,” she said.

    Another speaker at the AISEN conference, Mr Jeff Bradley, an American said to pick a successor, one should look for leadership quality, someone who shows imagination, passion, knows how to connect, is good at building alliances, and commands respect, and definitely not learners.

  • NASD to trade in private placements, delisted securities

    The NASD – the over-the-counter (OTC) trading platform for unquoted securities such as equities and bonds, whichstarted trading yesterday, would trade in all securities including shares that were issued through private placements and unlisted public offerings.

    The NASD would also offer trading platform for shares of companies who voluntarily delisted their shares or were compulsorily delisted by the Nigerian Stock Exchange (NSE).

    The Nation gathered that the OTC said it would create a liquid and transparent secondary market for shares in private limited liability companies and public limited liabilities companies which had balked at listing on the NSE after initial promises of listing.

    During the 2005-2008 market boom, several private limited liability companies had converted to public limited liability companies, and floated IPOs to raise funds from the capital market with assurances that they would list their shares after the conclusion of the offer. While some have listed, many companies that floated IPOs have backed down from listing their shares.

    Retail investors have said the non-listing of the shares of the companies, which had undertaken IPOs during the stock market boom have locked down their funds without any verifiable means of accessing such funds.

    Shareholders said the non-listing of the shares was a breach of agreement, noting that this has not only denied them the opportunity of knowing the current worth of their investments but they have also been unable to retrieve their funds.

    National President, Nigeria Shareholders Solidarity Association (NSSA), Chief Timothy Adesiyan, noted that several shareholders were lured into buying the IPOs due to the promise of public listing and resultant opportunity to trade on their investments.

    According to him, it was unbecoming of the companies to raise funds from investors and refuse to subject themselves to public scrutiny by listing their shares.

    Investors also have some N300 billion stuck in several delisted companies. The NSE had delisted not less than 44 companies since 2009 largely due to failure to meet listing requirements for the main board. Many companies had however opted for voluntary delisting including Nigerian Bottling Company (NBC).

    The NSE had in several batches invoked compulsory delisting to clear what it considered as irredeemably inactive companies. Some of the delisted companies included Okitipupa Oil Palm, Grommac Industries, Incar Nigeria, Intra Motor, Rietzcot Nigeria, Albarka Air, Aviation Development Company, Ceramic Manufacturers Nigeria, Wiggins Teape Nigeria, Onwuka Hi-Tek, Beverages West Africa, Ferdinand Oil, Foremost Diaries, Tate Industries, Footwear and Accessories Manufacturers, Aboseldehyde Laboratories, BCN, Christlieb and Maureen Laboratories.

    Others included Epic Dynamics, Liz-Olofin and Company, Nigerian Lamps Industries, Niyamco, Oluwa Glass Company, West Africa Glass Industtry, Aba Textile Mills, Asaba Textile Mill, Enpee Industries, Flexible packaging, Krabo, NewPak, Nigercem and Tropical Petroleum.

    Most of the companies had attracted substantial secondary market values in spite of absence of fundamental figures to back their operations.

    Formerly known as the National Association of Securities Dealers, NASD Plc is a registered over-the-counter (OTC) trading platform for unquoted securities including equities and bonds. NASD is owned by several investment and financial institutions as well as strategic investors. NASD is registered by the Securities and Exchange Commission (SEC) as an organised trading platform for unlisted securities.

    Speaking on the immense potential of the OTC market, managing director, NASD Plc, Mr. Bola Ajomale, said the emergence of NASD would give investors the opportunity to buy and sell unquoted securities in an organised and transparent market, which will enhance the liquidity of shares not listed on the NSE.

    According to him, investment instruments approved by SEC could be traded on its platform including shares of unlisted multinational companies.

    “We will open up with equities and bonds many of which are currently being traded on the black or grey market in the first phase,” Ajomale said.

    He added after the initial formative period, the NASD will move to trading on commercial papers and then other complex instruments like derivatives and options.

    He pointed out that as an OTC market, the NASD would not have a trading floor like the traditional exchange but rather trading will be done through the internet and a hosted platform leased from the NSE.”

    He added that the company had developed an integrated market system made up of the Central Securities Clearing System, six settlement banks and some registrars to ensure smooth operations while 40 brokers have been registered to trade on the market.

    “Our vision is to create a market that is accessible throughout West Africa. We intend to become the hub of first call for capital formation in West Africa and we are guided by the principles of Integrity, Performance and transparency in all our dealings with every point of contact- be they investors, issuers, regulators business partners and especially your good selves,” Ajomale said.

    He enthused that NASD would fuel economic growth in the West African sub-region by developing and operating active markets that adhere to the highest standards of performance and principles of integrity while also creating value for its stakeholders and the investing public.

    According to him, by offering more liquidity in investment instruments to the Nigerian capital market, NASD will play a crucial role in the ability of Nigeria to sustain a real growth rate of above seven per cent per annum and ensure that desired capital intensive projects can get cheaper and faster access to funding.

    On the modus operandi or trading, Ajomale said that there would no circuit breaker on pricing of equities as they would be priced based on performance and available information in the market.

  • In the world of private schools

    In the world of private schools

    Many parents prefer private to public schools because they believe things are better there. Their children will be well taught and they will get value for their money, they claim. But how really good are private schools? Do they meet parents’ expectations? KOFOWOROLA BELO-OSAGIE, ADEGUNLE OLUGBAMILA and MEDINAT KANABE report.

     

    It is an endless debate among parents and other stakeholders in the education sector. Which is better, private or public schools? To some, private schools are better; but others feel otherwise. The latter believes that public schools have all it takes to give a child quality education. Because of this belief, many parents are not ready to touch private schools, even with a 10-foot pole.

    Advocates of private schools believe that there is a rot in the public school system which has affected the quality of education. They argue that government’s failure in other sectors is reflected in public schools. But do private schools really have what it takes to fill the gap? The answer, to some parent, is no. Why? They say the schools are not run ethically.” They cut corners and circumvent the rules in order to make money and retain pupils,” some said.

    “What many of the schools do that is annoying is that they award marks to pupils who fail and that is unethical,” says a parent, who pleaded not to be named. The schools too blame parents for not paying attention to their children because they have sent them to school. According to some teachers, that should not be the case. “Parents,” they say, “should complement what we do as teachers.” What is the way out? Should there be a summit on education where parents and teachers should meet to rub minds? “Yes,” say some teachers. “It is high time we met with parents to iron out these grey areas in the interest of these pupils and their future,”a teacher said.

    A guidance counsellor, Dr Ibilola Amao, believes parents with children in private schools must do more in terms of giving them quality education. From organising one-week residential science camp retreats for secondary school pupils over the years as part of her Vision 20: 2020 Career Counselling, Industry Awareness and Youth Empowerment Initiative, Mrs Amao said the improved performance of public schools in the retreat shows that parents with children in private schools are neglecting their duties.

    In an interview with The Nation, Mrs Amao said during last year’s edition of the summer camp at the Dowen College, Lekki, Lagos public schools’ pupils performed better than their private schools’ counterparts in every department. They were also better behaved, she added.

    She urged parents who are paying so much in private schools to check the privileges their children are getting that distracts them from focusing on their education.

    She said: “I have enlightened them and educated them that other people’s children who go to public schools are doing better. They wake up at 4.30 in the morning, they do some home chores and some serious work before they go to school. They don’t wake up grudgingly at 6.30 and expect to get to school. State secondary school science students out-performed those from the private secondary schools and that is the fact. And they were even the best behaved children as well during our camp. So, I cannot imagine what the so-called leaders, captains of industry and what we call ourselves can boast of. Parents need to take away the video games, blackberry, i.pads and all the things that do not make the children to focus on their books.”

    Some other parents and teachers agree with her. They insist that it is foolhardy to expect the schools only to educate and instil discipline in pupils. “What are the parents doing that they cannot monitor the education of their children?” they wondered.

    A mother of three and a teacher Mrs Erica Chikwendu said parents should ask questions about expected learning outcomes to enable them know whether their children are learning.

    “As a teacher, I must say that parents have a lot to do.  You should insist that your child’s school gives you expected learning outcomes and you should be able to know what your child should achieve after a certain class. Usually, schools have a term plan.  It is divided into weeks.  You should insist on knowing each topic from each subject and you follow up.  Bringing up a child is not just a school’s duty but many parents are leaving it to the school and that is why they do not know what their children are doing in school.

    “But, if you are involved, you will know when they are not doing well; when their mates are doing better than them.  And you can enforce it because some teachers tend to be lazy.  Not all children have the same intelligent quotient (IQ) to grab fast so you have to do your own job as a parent to make sure that the school does its own.

    “I go back to the school and tell them my son came back and could not do his home work because he does not know what a verb is.  That is like checking the school so for me they are on their toes with me.  I don’t know about other mothers,” she said.

    A businesswoman, Mrs Bosede Alabi, also says she is a frequent visitor at her children’s school to ensure they are learning properly.

    “I am a business woman.  I go to my children’s school three to four times a week because it is still the same way I take to my shop.  I go there and ask questions because, with most schools now, if you trust the proprietors or owner of the school, what about the teachers?” she said.

    But not all parents are that committed, says Mr Sunday Ayo (not real name) a teacher, in a private school in Ojo, Lagos suburb.  He said with this kind of attitude, parents are not able to check on whether the schools are doing well and what the pupils are failing to do.

    Ayo does not deny the directive given by the management to “conjure marks” for pupils in his school, particularly those who underperformed during terminal examination, to give the impression that the pupils did not fare too badly.

    He said: “They (parents) don’t have private audience with their children. Some parents, once they fix their children in a private school, simply go to bed believing the often good results their children bring home at the end of the term are testimonies of the high amount they pay as school fees on them.”

    His colleague who does not want to be named, complained that many pupils do what they like when they know their parents don’t check.

    He said: “I have on countless times, caught some pupils in my class playing with handsets or reading sports magazines. Come to our Staff room and you will see the number of handsets we have seized. We sent for some of the parents but they hardly come around. There was a particular student that we have seized over three handsets from, yet he keeps buying another .  We have caught some of them smoking or sneaking alomo (a strong liquor) to school and send them home but their parents will come back begging, and that ends it.”

    According to Mr Bob James, it was when he began to monitor his children’s school work that he started noticing gaps in their education.  He said that was when he realised that the N80,000 he was paying as school fees per term did not match the quality of education they were getting.

    “When my four-year-old boy, Tom, could not read ABC coherently, I began wondering how he came about the high marks the school was giving him. I went to the school and approached the proprietor, I was told she did not come to work and that was when one of the teachers gave me a shocker. She confessed most of the teachers are not trained. To my surprise, he said some of them were even still studying for their degrees. The teacher then advised me to look for a qualified teacher for private teaching for my twins if I want them to improve.”

    Another teacher who crossed over from a school in Ipaja, a Lagos suburb, that was once listed as one of the top schools in the 2006 West African Senior Secondary School Examination (WASSCE), said the school was less than transparent with the way it prepared its pupils for the exam.

    “Don’t be fooled by their result, he said.  “I taught there. I know what they used to do,”the teacher said.

    The lies the schools tell parents on the performance of their children are blamed on the parents, who many teachers say only want to see their children excelling.  If the children fail, rather than address the cause of failure, parents change school as a quick fix measure,” a teacher said.

    This is well captured by what happened in a particular school in Isolo, a Lagos suburb.  A teacher there told The Nation that she reported the underperformance of a particular boy in the last terminal examination to the proprietor, who instructed the teacher to fail the pupil accordingly to get the parents’ attention to the boy’s education.  However the reverse was the case.

    “When the boy failed, his parents came to question why and they took him to another school.  They did not even wait to discover the reasons and what they could do about it.  Our proprietror insisted on the result so he was withdrawn,” she said.

    Mrs Onyeka Ogoma, chairperson, National Association of Proprietors of Private Schools (NAPPS), Mushin chapter, confirmed the failure-then-withdraw practice by parents.  Nevertheless, she said her school fails pupils when necessary.

    She said: “The parents are watching us so if the child is not doing well, they will know and withdraw the child. We ensure we teach the children well and give them serious check. I have a family of six in my school, five of them failed and repeated in different classes in the same year and their father was happy. He said he didn’t know that people still have schools like this.”

    Mr Alex Oni, former deputy chairman, Nigerian Union of Teachers (NUT), said the failure-withdrawal syndrome was the reason some private schools do not grade pupils according to their positions in class.

    “They know that if they ask a child to repeat, the parents may withdraw the child. That is one of the reasons they don’t use positions anymore; they know that using positions can annoy the parents. They are money centred,” he said.

    Despite the shortcomings of private schools, many parents still prefer them to public schools, which they claim lack care monitoring.

    Mrs Popoola Ajayi, a parent, said she cannot patronise public schools for these reasons.

    “The government schools cannot help us. They don’t pay attention to the children. It is embarrassing to come to a school and find a child who should be studying selling things for her teacher,” she said.

    To make public schools more attractive, another parent, Mrs Cecilia Oluchuckwu, who says two of her four children attend public schools, urged the government to address the problem of overpopulation.

    “Governments should do something about overpopulation, she said. “I realise that my two children that attend public schools are more disciplined than the other two. Except for too many students crammed in poor classrooms, poor laboratories, and all that, I believe there is a future in public schools,” she said.

     

  • Private jets in Nigeria worth $3.75b, says GTBank CEO

    Private jets in Nigeria worth $3.75b, says GTBank CEO

    The Managing Director of Guarantee Trust Bank Mr Segun Agbaje, has said private jets in Nigeria are worth $3.75 billion. He added that there are over 150 private jets owned by high networth individuals in the country.

    Agbaje said each category of jet costs $25m, which carries both local and international registrations.

    He spoke at the Nigerian Business Aviation Conference 2013 with the theme: ‘The Emerging Market in Business Aviation organised by the Evergreen Apple Nigeria in Lagos.

    Agbaje said the most popular jets among Nigerian billionaires are Gulfstream, Bombardier, Global Express, Hawker Legacy and Dassault Falcon.

    Most of the jets, according to Agbaje, are imported from the United States of America, Canada, Europe, Brazil and South Africa.

    He noted that banks in the country are yet to invest in aviation industry because of attendant risks involved with commercial aviation.

    He added: “Aircraft financing is a way to deepening banking relationship with top private banking customers and corporate organisations, but there are some challenges in the financial institutions as most of us don’t realise yet the importance of support for the industry. Nigeria provides a huge opportunity for development in aircraft manufacturing industry.

    “Risks and problems associated with commercial aviation is one of the problems confronting the sector. However, most financial institution will prefer to support business aviation at the expense of commercial aviation. Business aviation has less risks when compared to commercial aviation.”

    The International Sales Manager, Trevor Esling, described the Nigerian market as a big one in the global aviation industry, saying that the industry is developing at a very high speed.

    Esling said just like other aircraft manufacturers in the globe, Gulfstream was in the country to tap into the potential in the sector with the supply of good and modern aircraft to interested parties in the sector.

    The Vice-President, Sales and Marketing, Embraer Aircraft Manufacturing Company, Colin Stevens, said the company was already carrying out training for some Nigerian engineers.

    He said this was meant to support the industry and operators of their aircraft.

    He exuded confidence in the Nigerian aviation industry, stressing that the optimism of Embraer management prompted it to invest in the sector.

    “We are very optimistic of the Nigerian market, which is why we are investing in it. This is a market that has potential to grow,” he said

     

  • Fed Govt, private sector plan 18 cassava processing firms

    The Federal Government is to collaborate with the private sector to establish 18 cassava processing firms with machines that can process 240 tonnes of cassava per day.

    President, Nigeria Cassava Growers Association (NCGA), Olusegun Adewunmi, told The Nation that this was in line with the Agricultural Transformation Agenda of President Goodluck Jonathan’s administration. The processing industries, he said, would create a market for cassava.

    The objective of the agenda was to generate employment and transform the country into a leading player in the global food market to grow wealth for millions of farmers and make the agricultural sector a business project to promote private investment.

    The partnership, he said, would also execute integrated projects through value chain processes, generate employment and transform Nigeria into a net exporter of agricultural commodities.

    He said cassava growers would have to work hard to meet the requirement of the processing industries, especially as the country has started exporting cassava grits and chips to China. He commended the Federal Government for designing the agricultural transformation agenda.

    The agenda, Adewunmi said, has made farmers to partner with banks, and not a master-servant relationship, like it used to be in the past.

    “For the first time, a farmer can sit down and make a programme of his own and it is acceptable to the bank and to the government. In the past, it was the ministry that will make the programme, but we are glad it is no longer so. The agenda is working; it is giving us freedom,” he said.

    Adewunmi, who observed that the membership of the association has increased to more than one million farmers, said the membership would be more than 10 million in the next six months, adding the issue of cassava glut was also being addressed by the Federal Government’s agricultural programme.

  • Govt frustrates private refineries take-off, says APRON

    Govt frustrates private refineries take-off, says APRON

    The Federal Government has been accused of frustrating the take-off of private refineries by introducing policies that are not favourable to the project.

    Chairman of the Association of Private Refinery Owners of Nigeria (APRON), Justice Samuel Ilori, who made this known in an interview with our correspondent, said the government keeps putting obstacles in the ways of private refiners to ensure none of them takes off.

    Ilori, a retired Chief Judge of Lagos State, said those in power are keen in ensuring that no new refinery springs up in the country because they are benefitting from fuel subsidy.

    He said: “For the past five years, the association has been lobbying the Federal Government to guarantee the investment of our foreign partners as demanded by them but to no avail.

    “Each licensee has gone abroad to look for creditors and are spent a lot of money in searching for foreign partners, which we eventually found. But they are not willing to release money to us because we failed to obtain government’s guarantee as a condition for investing.”

    Eight years ago, the government granted licences to 18 private firms to build and operate refineries. They paid $18 million to the government being the mandatory $1 million deposit each as stipulated in the guidelines. Besides, each of them had spent between two to three million dollars on site development. Their licensees have been revoked by the Department of Petroleum Resources (DPR) for failing to meet the 18-month deadline to build the refineries.

    Ilori described the fiscal incentives rolled out by the DPR as half measures. For instance, the DPR stated that international market price shall be maintained for Nigerian crude that may be procured by a refiner – meaning that crude oil price discount shall not apply to the local refiners. The APRON leader considers this policy as discriminatory because, according to him, those who buy crude oil in Nigeria get discount, therefore, why must local refiners buy at international price, he asked.

    He also criticised the crude oil allocation formula, which stipulates that “government will guarantee crude oil requirement of refineries up to the maximum turn down ratio, that is, 60 per cent processing capacity of the plant to the extent that crude is available.” He argued that it should be 100 per cent to serve as incentive to private refiners. To ask them to source for 40 per cent of their crude needs may be problematic, he said.

    The APRON Chairman said because of the state of insecurity in the country, the foreign investors are asking for sovereign guarantee from the government and a guarantee that their investments would not be nationalised.

    Ilori, who is also the chairman of Atlantic Petroleum Limited, one of the licensed private refineries, disclosed that his company has spent $3.8 million on the project. In spite of the obstacles in the ways of private refineries, he assured Atlantic is still pursuing the project.

    He said: “We have foreign investors who are prepared to give us $500-600 million. But the state of insecurity in Nigeria is drawing them back. The last time they (investors) came to Nigeria, they were worried about the problem of kidnapping. One of them told me his wife warned him against travelling to Nigeria for security reasons. Unfortunately, after two days of their arrival, there was a news break on television that two foreign oil workers were kidnapped in the East. On hearing this, they immediately packed their things and left the country. All pleas that kidnapping is alien in Lagos could not persuade them to stay on.

    “Our refinery, which is to be located in Badagry will on completion have capacity to refine 100,000 barrels per day. We have attained the kick off stage. The report on preliminaries before the building starts is ready. What we are waiting for is offshore survey of the ocean to know the behaviour of the ocean. It is quite expensive but we have got a company to do it for us.

    “Because guarantee from government is not forthcoming that is why the investors are not willing to release their money. We have arranged for a bridging loan of about $130 million to kick-start the project hoping that would encourage the foreign investors to come and participate.”

    On frustration by the government, he said: “Government does its own thing without really considering our association or taking cognisance of the individuals involved. Recently, a government panel invited us to Abuja, which we honoured. We were in Abuja a day before the meeting. We were responsible for our transportation, accommodation and feeding. On the day of the meeting we waited for the panel at the venue for more than five hours only for one young man to come and tell us that the panel cannot attend to us again.

    “The panel wrote us again for a meeting in Lagos. It seems to me that members of the panel did not understand the nature of their assignment. They asked if we have renewed our licences. I told them we will do so when we are ready to take off. The panel just dismissed us without asking what we have on ground. The panel displayed arrogance of power. Nevertheless, I dropped our files with them so as to let them know the progress we have made on the project. That is almost four months and we are yet to hear from them. People in government and civil servants in the country have created a culture of impunity, which is not good for the nation.

    “In the past eight years, the government has announced to the whole world that it was going to build three Greenfield refineries in different locations and not a single one has taken off. Is it that the government lacks fund or technical facility?

    “To build Greenfield refinery of 100,000 barrel per day, you need at least $3 billion. How many Nigerian entrepreneurs can stick out their necks and go into it without foreign partners. Once the government agrees to guarantee foreign investment, foreign investors will come.”

     

  • Economy should be private sector-driven

    The Lagos Chamber of Commerce and Industry ,LCCI, has said the economy should be driven by the private sector

    Speaking with The Nation, LCCI’s Director-General, Mr Muda Yusuf said the private sector is the engine of growth in advanced economies and the only solution to the challenges of the economy.

    “The Federal Government should work to make the private sector to run the economy, while it focuses on making and enforcing economic policies and collection of taxes.

    “The private sector seems to operate consistently because the regular government changes makes policy inconsistency and implementation challenges prevalent,” he said.

    Muda said government should focus on creating an enabling environment for the private sector to lead business growth in the country.

    He said the private sector had the capacity to accelerate industrialisation process and open up access to capital for entrepreneurs.

    “Ordinarily, non-national banks are mainly interested in using customers’ deposits to assist businesses to grow, “ he said.

    He said the activities of banks in the economy could be effectively influenced by the private sector operators.

    “Government should only be concerned about taxes to provide the necessary infrastructure and create the ambience for enterprise to thrive,” he said.

     

  • Of private jets and men of God

    Of private jets and men of God

    SIR: Let the truth be told, there is absolutely nothing wrong in acquiring a mere means of transportation like aircraft that will enhance the productivity of divine assignment of men of God. The plain truth is that these aircraft are not acquired for pleasure as insinuated by uninformed minds but primarily to enhance performance of these ministers.

    Take for instance, the Redeemed Christian Church of God presently in over 130 nations of the world; Living Faith Church and Word of Life Bible Church also have branches in many nations of the world.

    The schedule of General overseers of these ministries cannot be handled by public or commercial airlines. Most airlines in Nigeria service several airports. So one can see that there is an urgent and inescapable need for airplanes by these ministries. It is complete fallacy and reasoning borne out of sheer ignorance to insinuate that the men in charge of these ministries are enriching themselves at the expense of the members of their congregations.

    As a matter of fact, to the best of my knowledge, these amazing men are living sacrificial lives to better the lots of members of their congregation and humanity in general, through provision of hospital and basic needs of lives, scholarship to indigent students, community development projects like road construction, repairs, boreholes, entrepreneurial skill acquisition, donation of school buildings to public schools, donation of food and clothing materials and so on.

    David Oyedepo Foundation for instance has been giving scholarships to countless indigent young men and ladies up to university level across the length and breadth of this nation. Let us face the facts and let nobody distort the truth, these ministries are not part of the problem of this nation, they are rather the solution to most of her problems. Consequently therefore, the argument of Mr. Femi Falana, SAN published in Thisday November 30, that resources used in buying these jets could have been made available to poor members of the church is uncalled for. These men do not need counseling on how to minister to the poor, it is what they teach, live and do almost everyday.

    Is it not “busybody” to be speaking on behalf of members of these ministries that have best of brains in the world that their general overseers are exploiting and cheating them? Not one member of these ministries have expressed displeasure about this development of acquiring airplane for the work of the ministry.

    Let those critics of ministers of the gospel watch it. They may be treading a dangerous path without knowing it. If not for the intercessory prayers of these amazing ministers of the gospel Nigeria will not be standing as a nation today.

    Furthermore, let them also make proper investigation about the stories behind the glory of these ministries before rushing to express their views in the public, otherwise an unenlightened mind may be misled to mistake agents of genuine national transformation as cheats.

    Finally, we should not become soulish and technical in our minds and start neglecting to appreciate the roles spiritual watchmen are playing in our quest for national development and nation building.

     

    • David Owaboye

    Aguda – Surulere, Lagos