The Nation Newspaper

Tag: stability

  • Rigging, deterrence and stability

    Nigerians  go to the polls today in a determined  manner that  finally they will  vote  today  and not be told  the  polls  have been postponed  by  INEC, as it happened  last  Saturday, February 16. Today Nigerians  head  to the polls  not because the INEC  boss  said  only an act  of God  can stop  the polls today  but  because  of  the threat  of  death for  riggers  and vote snatchers  issued by no less a person  than the man in charge  of the security of the Nigerian nation, President  Muhammadu  Buhari, also  a candidate  for re-election  in today’s  presidential  election.  To  Nigerian, his call to arms on riggers  and democracy  saboteurs  is more credible

    than any  assurances  from INEC,  which  has acquired very  quickly, a reputation for  bungling  and postponing  much  awaited elections at  the dying ,  last  minutes  of commencement  of  voting.

    To  non Nigerians  or even  the foreign  election  observers  it  may  seem perfect  that  a presidential  assurance of security  to be provided by a sitting government should  be taken  for granted  but  such assumption is  a simple demonstration of  ignorance  of  the political  culture  of Nigeria.

    The  fact  of  the Nigerian political  way  of life is that  rigging is so  common  in our politics, such  that  even  in safe areas, overzealous  politicians still mobilise  their  supporters  to illegally  thumbprint several  ballot  papers  to  make  assurances  of victory  doubly sure. Which  often  times lead to counted votes being more  at times  than registered voters in various  voting localities.

    So  Nigerians go to the polls today  under a cloud  of  deterrence that  those who  rig must  pay  with their lives  for  their fraudulent  political  crime.  Again  the lame duck  INEC  has said election laws  must  be followed. But  did  the president ask  that riggers  be shot  at  sight? Definitely not. Did the electoral laws  deter riggers before the presidential  threat?  Definitely  not.

    Which  then  means that  the  strength  of  this threat has  sunk in with  those who make an ass  of  the law by rigging during elections.  So  if  indeed  some people think  a  dark    cloud or threat    is  hanging over  today’s  election, I say  every  cloud has its  silver  lining.  The  silver  lining is the deterrence of elimination  for  riggers  and unless  for  those who  have suicidal tendencies, I  see  rigging  at its  minimal in this election  as I do  not think  that  even  the threat  on  life  will  eradicate rigging  completely  from  our  political  culture.  This  is because  rigging  like corruption  is very  much  an  established way  of life in Nigeria.

    Now  let  us look  at today’s  elections and the chances  of the two presidential  candidates  and the two  leading  parties APC  and  PDP. We  must  also  take a position  on INEC’s  credibility  and capacity  to  conduct  a free  and fair  election. We  assume  that at  the end of  the day  the parameters for  a level  playing  ground have    been laid in spite  of all  the odds showing,  and pray  that no  act of  God  will  truncate  the polls  today  as again unnecessarily  observed  by the INEC boss.

    I  think  the postponement  has created  new  challenges  for  both candidates. For  President  Buhari  it  has exposed  him  to charges of trusting everything  to  INEC and  he must  accept  responsibility for  INEC’s  shoddy  performance  which  the postponement  of  the presidential  elections  represents. If  anything  the INEC Chairman Professor Mahmood  Yakubu  has  not shown  requisite competence and maturity  for  the job. Without  any prompting  he said  the polls  will  never be postponed  and he postponed it. Now for  today  he said only an act of God  will make that possible. Why is he obsessed with postponement?. It  shows  an inherent lack  of confidence  and capacity to execute  his mandate.

    This  has  riled the president who  appointed  and trusted him  hence the threat  to riggers  which  goes beyond INEC but  is really  the saving grace for the president’s reputation  for toughness  and integrity. That threat  is similar  to US  President Trump’s  obsession  to build  his wall  against  drug smugglers and  illegal  immigrants  and ensure the safety  and security  of  all Americans.  It  is similar  to that of  the Phillipines  President order  to  shoot  drug smugglers.

    Human  rights  champions  may  condemn  such  aggressive  leadership styles  but  they  deter potential  fraudsters  who  violate  state laws  and security  and enrich  themselves  at  the expense of innocent  citizens.  The  threat  has strengthened the hand of the Nigerian  president  and will greatly  affect  his  chances  for re-election  quite  favorably.

    Similarly  the postponement  has thrown  the ball  into  the court of the PDP with  regard  to charges  of  rigging.  How  can  the PDP deny  it has no plan to rig when it is condemning a leader who  has sworn that those who rig will pay with their lives? The  PDP  should have  publicly accepted the challenge and offer  to play  ball so that we can, if possible  have a  free and  fair  election  which was the objective of the voter deterrence issued  by the president.

    I  know  this threat  will  not deter Igbo  solidarity  and support for  Atiku  presidential  ticket  because  of his running  mate  Peter Obi. But  the postponement has stretched  the resources  and anxiety of PDP  as a party  and it  is as if the party had prepared  for  a 100  meter  race  which  the postponement  has now turned into a marathon,  with  attendant  negative consequences  to maintain the momentum of  support  for its  ticket  made,  make or break,  for last  Saturday.

    One  can  only  pray  for  a peaceful  election  and  no further bungling of postponement  by  INEC on  today’s  election.  It  is nice  to know that  the army and the military  through  their leadership  have pledged  loyalty  to the Nigerian state in securing these  2019  elections.  Some  how  I  think  Nigerians  believe them.  This  is because what  is uppermost  on the minds of most Nigerians  is  to  have  the opportunity  to  show  what  they want by  voting the leader of their choice as well  as  the party of  their choice into  power. That  really  is the essence of  democracy, regardless  of  unwanted postponements  and planned  or  cultural rigging.  Once  again long live  the Federal  Republic  of  Nigeria.

  • ‘TCN has achieved grid stability’

    To Transmission Company of Nigeria (TCN) Managing Director, Mr. Mohammed Gur Usman, the commission has achieved stability in power transmission. But distribution has been epileptic, according to him, because distribution companies (Discos) were sold to inexperienced operators. He speaks with John Ofikhenua and Moses Emorinken on this and many other issues.

    Can you give us an update on the affairs of the West African Power Pool (WAPP) after your meeting in Abuja last month?

    I am the Chairman of the West African Power Pool (WAPP). I believe the last meeting we had in Abuja was on the frequency control because the Transmission Company of Nigeria (TCN) wrote to WAPP and asked for the synchronisation of the network so that power can flow in these three islands. We have three islands now where the power are landed because of the problem of frequency, and  that was why we wrote to WAPP and asked them to synchronise. WAPP sought and got the support of the World Bank to finance a committee that would do the synchronisation programme. They organised series of workshops. One of the workshops was what took place here in Abuja. It was sometime in December. At that workshop we took a decision to take all the steps that we needed to ensure that we have a synchronised grid. That will require us to meet the frequency control of the WAPP  standard, which are 49.2Hz and 50.2Hz. The intention is that if the utilities can achieve 60 per cent of that standard, then we can synchronise. At the point of the meeting, Ghana and other islands, which involves Côte d’Ivoire, have met that standard. We could have synchronised with them if we also achieved the standard. A day after the workshop, I set up a committee, which reported directly to me and charged them to work towards the achievement of the WAPP standard. I am happy to tell you that, if you look at the frequency control, from three weeks ago till date, the frequency is between 49.8Hz and 50.2Hz for 75 per cent of the time, which is far above the Ghana signal. This is the best in West Africa so far now. We have never achieved this in the history of Nigeria. So, what  we are working on is not only to expand the grid, but to ensure that there is stability of the grid. So, that is what we achieved in the last workshop, which held here in Abuja.

    What is your  relationship with supply of power to neighbouring countries? Has there been a review due to non-payment of outstanding bills?

    Our relationship is that we wheel power across and outside the country. We take energy outside Nigeria. Currently, we have two or three points where we supply energy to Niger from the Northern part. One of them is through Maiduguri to Damasai and then through Doso. That one is not working now because the network was destroyed by the terrorist element of Boko Haram. The supply is done at the level of distribution companies (DisCos). It is not at our level. It is Yola DisCo that supplies that energy. The next one is the one we supply to Niger through Katsina. It goes to a town called Maradi and Doso. That one is 60Mw of electricity that we send on a daily basis to Maradi and Gazawa. The next one is the one from Birnin-Kebbi to Yamai and this is 120Mw, and on a daily basis we send this energy to those places. The other point where we send energy to outside Nigeria is through Ikeja west to Sakete. For this we are sending the following power: 200Mw to  Community Electric du Benin (CEB) under the agreement we have signed with them, which is a bilateral agreement between the government of Nigeria and the government of Benin and Togo. The other one is the 60Mw that we send to Societe Beninoise d’Energie Electrique (SBEE). SBEE is the electric distribution company of Benin Republic. We have been sending it on a consistent basis. Concerning the issue of payment, I think we have very little problem with Niger, their payment is always up-to-date. Where we have significant problem is on the CEB side, but we have agreed with them on how they are going to liquidate the payment, and I think they are making serious efforts to make all the payments. The one that is Paras Energy is the bilateral agreement between Paras and SBEE. As far as I am concerned, I believe the payment is up-to-date, because Faras is not owing TCN for the payment of transmission charges. So, that is where we are now as far as international customers are concerned.

    Sometime in 2017 you sent a request for an increase in extraordinary tariffs to the Nigerian Electricity Regulatory Commission (NERC), what do you think is responsible for the delay in approval, and how has it affected TCN’s operation ?

    When we newly came in , we did a presentation to Nigerian Electricity Regulatory Commission (NERC), with a compelling reason that showed that TCN is underfunded. The NERC agreed that we should come and present a case for extra-ordinary tarrif review, this was in 2017. We sought and got the support of Power Africa, which gave us some consultants that support our staff to prepare the case for extra-ordinary tariff review, which we did. We submitted to NERC, and there was a tentative agreement with NERC that our tariff is low and that it should go up. There were a few points of disagreement, but since that time we have not heard anything from NERC.

    I think it will be interesting if you can go and speak to NERC why they have not done it. We need extra-ordinary tariff review to be able to operate TCN and to meet our own liability. If you remember, the Transmission Expansion Rehabilitation Programme under which we sought and got support from international donors, TCN is going to repay all those loans, and we are going to pay it through the wheeling  charges that we have. So, definitely, we require the NERC to act on this. If you look at the industry now, there is none that is as hard working as the TCN. TCN’s engineers are the most hardworking staff you can see. We have become the game changer. Remember, this is the same TCN that was believed that you need to bring foreigners to manage it. Manitoba Hydro was brought here to manage this place, and in four years that they were here, Manitoba did not bring a single investment into TCN. Nigeria (officially) paid Manitoba Hydro $32million for managing TCN. For the four years that they managed TCN, they did not carry out a single audit of TCN. For the frequency control I just told you, one of them has sent an email to me to congratulate us for achieving it, saying that this is something they contemplated of achieving, but they could not. They could not even come close to it.  So, all these things we are doing, I think there should be some motivation on the side of government and the regulator. But if you look at it now, TCN is the least paid in the industry. I don’t think it makes sense because we operate high voltage. Look at it from the point of risk, TCN is exposed to more risks than anyone in the sector. I think I will be happy if from your side you can put pressure on the government, the regulator and find out from them why they are not approving our extraordinary tariff review.

    What is TCN’s wheeling capacity?

    You have to give credit to this government for some of the actions they took, including reconstituting TCN management. I remember that they inherited all those structures from the previous government and some of the decisions they took, including bringing someone like me to come on board to see how we can fix the power sector. When we came in February 2017, the capacity of TCN was around 5,000Mw. As at December 2017 when we simulated the grid, it was 7,124Mw. The last simulation which we did in December 2018, the capacity of the grid was 8,100Mw. We are on track to moving the grip to at least 20,000Mw by 2021. These are some of the achievements that we have recorded. Also, we have installed more transformers in the last one and half years to two years, more than what was done in previous 15 years. How did we do it? We met stranded containers of about 800 at the port; some of them had been there for over 15 years. Some of them had been auctioned. Manitoba was just looking at those things and did nothing to them. As at now, we have recovered 708 of the 800 containers, and we have also come up with strategies to remove the remaining ones.

    Some of the equipment recovered will encourage TCN engineers to do the installations themselves. In many cases, the TCN engineers do the installations at the rate of 10 per cent of the time that we normally spend on contractors, and at the rate of about 10 per cent of the money that we normally spend on contractors. This is where we achieve so much more than what has been achieved in the past. I can tell you that it is sustainable, and they are not doing below standard work. In reality what we discovered is that most of the contracts executed in the past  were done by TCN staff. So, we decided to empower them directly, and because they are using TCN engineers, who work for TCN most of the time, they don’t work on weekend and public holidays. That is why it takes long time for them to finish the job. But now they are doing it directly and we are achieving a lot of results. We have also decided to support contractors that are doing well, and are willing to work with us and are not willing to fight us. We enter and  support them to complete the project and pay whatever we owe them. But we have stopped variation of that kind of contracts. That is how we were able to finish Kukwaba here in Abuja. That is how we were able to finish the first segment: Katsina, Daura 132kv line and several others. Last week we entered Gagarawa and we are going to complete Gagarawa like that.

    There are some contractors that don’t want to cooperate with us. They want to continue to stay in the old regime. For your information, before the coming of Buhari administration, most of the contracts given in the power sector were not given with the hope of completing them. The objective was to empower people and make them rich. And that is why capacity and experience do not matter. You see some people, who have never done the project they give them. Some of those projects have been funded 100 per cent, LC money removed from them and you cannot see the material commensurate with the money that has been paid: no erection, nothing.  I can give you example of one of these.

    For example, the 330 KV line from Alaoji to Owerri, Owerri to Ihiala, from Ihiala to Onitsha was given like that, and there is nothing on ground now. Now, the government is going to borrow to build that line again after it was given to some people and they abandoned it. Such contractors that have refused to complete their work, we sometimes enter forcefully, take over the job and complete it. I, also can tell you that no contractor took us to court and succeeded because we are very good in project management. We understand how to intervene, and how to enter and take over. So, when we are cancelling such contracts that have such problem we don’t validate them. We leave them where they are. When we are cancelling we say we are not understanding so there is no contract for you to see us for. This is how we were able to forcefully take over Damaturu. Precisely, Damaturu was awarded in 2006, with a completion period of 24 months. As at last year up to June, Damaturu was not completed; so we forcefully entered and completed the project. It is supplies at 330KV now. Invariably, by completing Damaturu, Maiduguri, which  was actually completed but because Damaturu was not completed was not supplied, Maiduguri got supply. I can tell you in the Northeast now the government of President Muhammadu Buhari  has put 100 per cent capacity of power in the Northeast. Before now, the whole of Northeast had only two 330KV substation in Yola and Gombe. Now, we have another 330KV in Maiduguri and Damaturu. We also took over Wudil and completed it. Next week we are going to commission it. We also took over Yauri. It is going to be completed in the next one or two weeks. They have started the pre-commissioning test. We have forcefully taken over Nineth Mile in Enugu State and we are going to complete it. So, this is how it is. I can tell you that no contractor holds us to ransom now. I can also tell you that TCN engineers are building a 132KV substation in Lagos on an island called Ilase; they are the one carrying every equipment to the sea and the job is 98 per cent completed.

    Is your penchant for engaging in-house engineers generating any bad blood in the industry?

    Why should it generate bad blood? When contracts are not working, there are people benefiting from it. Those people who are benefiting from it would be angry, of course. If a system is not working, it is the majority of the people that will suffer. So, you have included those few people who are not benefiting and supported the majority of the people that are benefiting.

    There was an assessment pool done by either China, where they did a population poll; more than 70 per cent of Nigerians say their lives have improved with the improvement of power supply. I think it is important. What is more important is that we have created a system where TCN engineers are testing their capacity. No nation should be depending on foreigners and other people. So, we are building the capacity of our people.

    Why is distribution still low (between 4,000Mw to 5,000Mw) despite the increase in generation between 7,000Mw and 8,000Mw?

    I will tell you that the kind of privatisation that was done by the previous government has never been done in any part of the world. If you ask the people who did the privatisation, they will tell you that they used the Indian model. The Indian privatisation model is such that they privatised one state called the state of Orisa. It is the experience from the state of Orisa that they used to privatise Delhi. In the industry, the most important segment you have to work properly is the distribution because they are the one that collect the money. It is the money from distribution that is supposed to go to all other places. So, they  privatised state of Orisa and the experience learnt from it is what they used for Delhi. Nigerians have this report, but we went and sold everything at the same time and put a continual  liability of $5.4 billion. So, what most people don’t know is that when they are gauging Buhari administration, they are gauging it from the point of what it has achieved. Nobody is looking at the hole that the previous administrations put Nigeria into. This is what this government has inherited. Now the option of cancelling the privatisation is the option of paying $5.4billion

    I agree with this government that they didn’t tamper with the reform of previous government, if they had done that, it will also send a wrong signal to the international community that the government is against reform. But the government has done a lot of work. The privatised segments are generating but   generation is no longer a problem. Transmission was the weakest link in the power value chain. It was also the biggest problem in the power value chain. But today, it is no longer the problem. We are not saying transmission has solved all its problems, but anywhere we have problems, at least, we have a plan to fix it. We are working on putting nil contingency across the country; meaning any part of Nigeria where one line or equipment goes out, it should not affect the supply. That is consistent with the transmission expansion programme that we are doing, and that is the standard worldwide and we are on track.  What remains is the last mile, which is the Discos. If you remember, the government also came out with N72billion investment in DisCos, which TCN is in charge of managing the investment. We are actually working to stabilise the DisCos. I also want to assure you that every step to stabilise the DisCos is being taken by this government and I am telling you that in the next level that is where we are going to fix it.

    Are you still calling for the recapitalisation of the DisCos?

    Of course, that is what is required. Government has recapitalised TCN; we have raised $1.623bn so far in investments in transmission, so DisCos need to recapitalise. There is need for them to find the regulatory and policy environment that will force this recapitalisation of the DisCos. Let me tell you why the DisCos have to recapitalise. When we did the simulation with the Transmission Expansion Rehabilitation Programme, we also simulated up to 33KVA network, and the finding is that for the DisCos to pick successfully the load we have and put all the required protection, they need at least $4.2bn worth of investments for them to successfully take the power. Where will that money come from? The money is supposed to come from recapitalisation. I also want to tell you that some of the mistakes we have made in the past. Infrastructure financing requires long term finance. Part of the problem we have with the DisCos is that most of the funding that they have came from  commercial banks, which are short term in nature and very expensive. We need funding that will have repayment period of at least 10 years moratorium period; you can’t get it from financial market. So, we are not talking about recapitalisation by bringing all those short-terms. Short terms are expensive and they will not be able to build the infrastructure successfully. If you look at our interface now, we have 738 interfaces across the country. Out of these 738 interfaces we have only 421 that are fully protected. What do I mean?  Only 421 are the distributions that have their own injection substations. You know the power industry works with what you call protection and that is why if you go to your house you have what is called ELCB. If you have a problem in your house it will trip. That is the nature of power work. If your house doesn’t trip it will  burn the transformer. So, all of them need to work and if they don’t work there is going to be a problem.  The remaining interfaces, some  have protection, some don’t have. For the balance of 179 there is no protection at all. In recent times we have been having problems with our transformers in some stations. In Abuja, in Karu we lost one transformer, we have replaced it. In Kubwa, we also lost a transformer. In Benin we had two not too long ago. We have one in Onitsha. All are those networks that are not protected meaning faults in people’s house can come and hit our transformers. So, that requires investments. They have to put investments to be able to do this. This is the existing infrastructure and we are moving it from 8000mw to 20,000Mw. So, even TCN investments cannot be protected if we don’t have significant investments in DisCos.

    What is the level of demand for power?

    The fact is that transmission has a capacity of 8,100Mw, and generation has a capacity of 7,500Mw, and the DisCos can pick only 4,000Mw – 5,000Mw. That is what you will generate; you can’t generate more than that. So, we need to fix the last mile to ensure that we optimise the use of electricity and all the efforts are being made. We are expanding generation and we have  every plan to make generation work. Most of these power plants, we are rehabilitating their capacities. Mainstream is expanding Kainji and Jebba. So, they are putting what is called floating solar. You know about Zungeru, it is going to be completed before the end of this year or early next year, and that is 700mw.  Mambilla, which we have been talking about for several years has been resolved. We also have to give credit to this government. Any other thing you read in the papers are all lies. We have got approval to evacuate Mambilla through the Eastern Backbone. You heard about the QIPP, you heard of Agip, it is doing phase two, which is going to be about 510mw.  All these are coming on board. Transmission is outstanding. We are building network. We are even building a cord line, which has never happened in the history of this country. That is going to be double of the circuit line.

    Benin Electricity Distribution Company (BEDC) says its problem with its customers that are complaining has to do with TCN. What do you say to this?

    I don’t know which location they are saying but you know that Benin DisCo admitted that one of the last transformers that got spoilt in Benin was caused by them. They even wrote to us to say that they are willing to fix it. The point is that do you fix a transformer in one day?  So, we have to carry a transformer from somewhere and fix it. The problem we have with most of the distribution companies is that we sold our companies mostly to those that have no experience.   And they don’t have capacity to raise enough investments. Of course, there are also some issues that   have to do with tariff which the government has not completely fixed.  But I can also tell you that many of them are operating auto-closers, where they are also keeping people outside the supply. Except you can tell me which specific place. But I can tell you generally that we have enough supply that Benin is not taking.  As I told you, it is not as if there are no places we have problems. There must be one or two places where we have problems. But I told you anywhere we have a problem we have a plan of fixing it. So passing the buck like that doesn’t make sense. If there are specifics let us know. I can tell you we are on top of our plans.

  • Oil price stability raises hope for budget

    The relative stability in the prices of crude may have allayed fears over how the Federal Government will get the cash to fund this year’s N8.3trillion budget, it was learnt at the weekend.

    Prices of crude have hovered between $61.17 and $62.29, a development, which suggested that the country has made extra $2.90 above the $60 benchmark of the budget.

    Former Managing Director, Nigerian Liquefied and Natural Gas (NLNG) Limited,  Mr Godswill Ihetu, said the development suggests that the country would not have problems meeting its budgetary benchmark of $60 per barrel, in the event that prices of oil continue to rise in the international market.

    He said the situation is better, following slight recovery enjoyed by prices of  oil in recent times, adding that it would have been terrible, if the prices had fallen below the $60 budget benchmark.

    Ihetu, who spoke in a telephone interview, said the Organisation of Petroleum Exporting Countries (OPEC) hopes to achieve stability in the production and prices of crude oil this year, as contained in the latest edition of its market reports.

    He said it is a good development for OPEC members, especially Nigeria, which relies on crude oil exports to sustain its economy.

    He said the country would not find it difficult increasing oil production once internal issues are dealt with.

    ‘’What Nigeria wants are increased exploration and production of crude; favourable price mechanism and demand for the product. Once these happen, financing budgetary allocation would not be a problem. The country needs good price, which is looking up relative to the situations in the global oil market,’’ he said.

    It would be recalled that the Minister of States for Petroleum Resources, Dr Ibe Kachikwu, said the country’s crude oil production is expected to increase from current average of 2 million barrels per day to 2.5million   barrels per day by the end of 2019. He also said that the country intends to further grow crude oil production to 3 million by 2020. According to him, the county’s crude oil reserves are expected to hit 40billion barrels by 2020 raising its from current 37.2 billion barrels.

    Similarly, OPEC is targeting global oil to rise to 1.29million barrels per day. Based on this, total oil demand is projected to reach 100.08 million b  arrels per day for 2019.

  • Strengthen political institutions for stability, Buhari tells African leaders

    PRESIDENT Muhammadu Buhari yesterday called on African leaders to support processes that will ensure stronger political institutions across the continent.

    Only strong political institutions, he said, would guarantee stability, peace and economic progress.

    He spoke while receiving Letters of Credence from the Ambassador of the Republic of Guinea, Siaka Cissoko, at the Presidential Villa, Abuja.

    Buhari, in a statement by the Senior Special Assistant on Media and Publicity, Garba Shehu, said political reforms in African countries could only be sustainable when they reflect the will of the people and work towards improving their lives.

    “I congratulate your President for the progress he is making politically and economically in Guinea. Nigeria will be most willing to render support for your forthcoming elections, where it is needed,” he said.

    The President urged the ambassador to work towards improving the bilateral relations between both countries, with focus on exchange of ideas and manpower for the exploration of mineral resources in Guinea.

    “I believe we are cooperating well at the sub-regional and continental level for political stability. And I hope your country plans to develop its mineral resources in partnership with its neighbours. Nigeria already has lots of experience in gas exploration and pipeline construction, and we can support your government,” he added.

    The Ambassador, in his remarks, noted that President Alfa Conde is in full solidarity with President Buhari, who had been championing reforms in ECOWAS and the African Union (AU).

    “My President, your brother, has mandated me to convey  his greetings and similarly mandated me to strengthen the bilateral relations by pooling resources together for the development of our countries,” he said.

    Also receiving Letters of Credence from the High Commissioner of the Republic of Kenya to Nigeria, Dr. Wilfred Gisuka Machage, Buhari said he was happy with the political maturity that trailed the conclusion of the elections in the country.

    “I have written him formally to congratulate him for winning the elections. I am happy he has settled down to work,” the President noted.

    Machage assured the President that he would pursue the details of discussions and agreements between both countries, especially on promotion of agriculture.

    Also yesterday, Buhari congratulated the Ambassador of Poland to Nigeria, Joanna Magdalena Tarnawska, while receiving her Letters of Credence.

    He urged her to work towards improving the close ties between both countries.

    The President, who visited Poland in December, said he was delighted with the outcome of COP24 in Katowice and recounted his visit to Auschwitz-Birkenau Memorial and Museum, in Oswiecim, Poland.

    The Ambassador of Poland noted that she would prioritise on improving relations, particularly on trade and commerce and defence and security.

    “Mr. President, I am wishing you and the entire country peaceful elections, prosperity and stability,” she added.

  • ABCON: $3.1b sale to BDCs sustains naira stability

    Association of Bureaux De Change Operators of Nigera (ABCON) said there was 163 per cent increase in dollar sales to bureaux de change (BDCs) to $3.1 billion in the first half of the year. It said it helped to sustain exchange rate stability and protected 25,000 jobs in the subsector.

    Its President, Alhaji Aminu Gwadabe stated this while commenting on the half year (H1’18) economic report released by the Central Bank of Nigeria (CBN) last week.

    The report among other things showed that CBN  dollar sales to BDCs  rose by 163 percent to $3.1 billion in the first half of the year (H1’18) from $1.2 billion in the corresponding period of 2017 (H1’17).

    The report read: “The significant increase in BDC sales, reflected the bank’s policy to increase the supply of foreign exchange to small end-users.”

    The CBN had on May 27, 2018, increased weekly dollar sales to each BDCs by 50 per cent to $60,000 per week from $40,000 per week.

    Gwadabe noted that the 163 percent increase in foreign exchange sales to BDCs is attributed to the success recorded in the Investors and Exporters (I&E) window introduced by the CBN and the transparency in the forex market, facilitated by www.naijabdcs.com,  the live exchange rate platform introduced by ABCON.

    He added that the development enabled the apex bank  to empower  BDCs in achieving sustained exchange rate stability, convergence of exchange rates which by extension  discouraged rent seeking and other  speculative tendencies in the market.

    On the impact of the increased forex sales to BDCs, Gwadabe said: “The overall impact in the economy includes employment generation of over 25,000 in the BDC sub sector and enhanced investors’ confidence.”

    He added that the recent efforts of the association to automate operations of BDCs will help to consolidate on these gains.

    “The ABCON automation drive of BDCs operations designed to enhance their visibility and attractiveness is already giving them an information technological (IT) edge  in the quest to become direct agents of international money transfer operators,” he said.

  • We remain committed to stability of West Africa, says Buhari

    PRESIDENT Muhammadu Buhari has said his administration will continue to work with Economic Community of West African States (ECOWAS) countries to ensure stability in the sub-region as cross-border crimes pose more challenges to people and governments.

    “ECOWAS is doing its best, and as you know, Nigeria is fully involved in the process of restoring stability in Guinea Bissau,” Buhari told the Ambassador of Guinea Bissau, Mr. Henrique Andriano Da Silva, at the State House, Abuja yesterday after receiving his Letter of Credence.

    The President, in a statement by the Special Adviser on Media and Publicity, Femi Adesina, said the relationship between Nigeria and Guinea Bissau had always been healthy, noting that as the country regains its stability, there would be more room for improvement.

    Buhari, who also received the Letter of Credence from the Ambassador of Thailand, Mr. Wattana Kunwongse, said Nigeria and Thailand had a lot to share in the ongoing effort to diversify the economy, with focus on the agricultural sector.

    “Our relationship has been very long and very commendable. We appreciate the help we get in agriculture from Thailand and we will keep working together,” he said.

    The Ambassador of Guinea Bissau said his country remains grateful for all the support it received from Nigeria during the prolonged political crisis.

    “We are very grateful for your commitment to ensure peace in Guinea Bissau and your soldiers have been in our country to ensure stability,” the ambassador said.

    The Ambassador of Thailand said Nigeria’s position as a “regional power” puts it in the spotlight for the recovery and stability of Africa.

    “Under your leadership and guidance, we believe the economy will recover and the entire country will be strengthened,’’ he said.

     

  • ‘We ‘II restore stability in Edo Assembly’

    ‘We ‘II restore stability in Edo Assembly’

    Hon. Osagboivo Iyoha is the lawmaker representing Oredo East Constituency in the Edo State House of Assembly. In this interview with OSAGIE OTABOR,  he rules out any further change of the Speaker.

    What can you say about the current Assembly making history by having four Speakers within two years?

    It is the beauty of democracy. What is constant in life is change. We have four Speakers in two years because of the situation we find ourselves. We realised that, base on the political tripod, the slot is zoned to Edo Central. If you look at the dynamics of politics, Edo Central among the three senatorial districts is the most disadvantaged, in terms of the lawmakers we have in the APC from that zone. There are three members of the ruling party from Edo Central in the House. In Edo South, all the lawmakers are from the APC. In Edo North, we have almost 100 percent lawmakers. There are limitations in the choice of candidates we can pick from Edo Central. In the scenario, there is bound to be issues.

    Why the use violent means?

    This is parliament. There is nothing that happened there that is out of the ordinary. We have had worst fights in other assemblies. Fighting in the Assembly happens across the world. It is bound to happen where you have people from diverse areas coming together. In democracy, minority will have their say while the majority will have their way. It is normal.

    There are allegations that the constant leadership change was as a result of the new lawmakers like yourself who want to make quick money and not to serve the people.

    These are the figment of the imagination of whoever is propelling that analogy. Before veering into politics, I am a business man. This Assembly has the highest number of people that already carved a niche for themselves either in business or politics. It is not a case of the new lawmakers coming in to enrich themselves. The new lawmakers did not get elected to make billions of naira. The House of Assembly is not where you expect to make money. It is about sacrifice. Nobody has come into the Assembly to make money. This new Assembly has men who came to serve after establishing themselves. You know we have 24 lawmakers. We did not expect to have four speakers within two years. I am a businessman before coming into politics. I believe in firing an employee that did not meet up to standard. You keep on firing until you get the right person.

    Are there plans to succumb to the agitation to return the Speaker’s seat to an Esan lawmaker?

    I believe this will be the last leadership by this Assembly because you have to worry about public perception. You don’t have to be the head of an organisation to change the lives of the people of Esanland. I believe there are other ways. We are 24 members. We are all qualify to become Speaker as majority of us are members of the ruling party. Nobody was elected as a speaker. The issue to worry about is not about balancing of power but impacting on the people of Esanland. I do not think the people will be too worried if without being Speaker they can get the dividends of democracy. We are here as lobbyist trying to drag projects to our people. It is good we have a stable house. We are here to make laws for them and not for rancour. Under the new leadership, we will make sure we impact on their lives with good laws. We just wanted to make sure our House is the type that can work with the executive. The present administration is focused on delivering the dividends of democracy to the people. Governor Obaseki has spent barely eight months in office and you can see the kind of project he has embarked on. The people are already feeling him. If we have such a leadership with a corrupt House of Assembly, we will never be able to fully transmit the vision of the governor to the people. We are the first representatives of the people. We are in constant touch with the people. The last leadership was self serving. If the people are happy with the governor, for what reason will the lawmakers said they are not happy.

    Why was Okonoboh removed from office?

    The former Speaker, Okonoboh, was removed for abuse of office. He allowed himself to be used by other principal officers. He was grossly incompetent. Our procurement laws in awarding contracts were abused. A lot really went bad under Okonoboh. If you are managing 24 people, you should be able to leave above board. There was a vote of no confidence on the past leadership. The issues are now before a committee.

  • Of five percent and political stability

    If on current speculations are to be taken seriously, any moment from now we shall witness a cabinet reshuffle at the federal level. Given that not long ago, the acting President, Professor Yemi Osinbajo returned from consultations with President Muhammadu Buhari, it is possible that they would have agreed on the scope and details of the reshuffle. Even at that, in the light of the fact that Osinbajo had sworn in two new ministers without assigning them portfolios, it is obvious that the reshuffle will be done in the absence of the President. We therefore join other patriotic Nigerians in praying for the speedy recovery of the President so that he can return to full time duties at home.

    Well, a cabinet reshuffle is not a surefire panacea to the problems of the country. Yet, there is no doubt that re-jigging the cabinet can add new energy to the administration; it can lead to better deployment of human resources in which case round pegs are put in round holes; it can even lead to a cutting of cost if, for instance, reshuffling is accompanied with a reduction in the number of portfolios. Whatever the case, Nigerians expect that the government will be rejuvenated to give a new impetus to the implementation of the change agenda of the administration.

    In carrying out any reshuffle, it will be useful to highlight the imperative of a political re-engineering process that recognizes the need to douse the tension in the land and reassure those who feel excluded from the power matrix. Those who tend to dismiss the current political imbroglio as a façade that will soon fade away must learn from the currents of history. If the truth must be told, the seething angst in the land, the polarization of every facet of national life, with the attendant distractions, definitely undermines any collective effort at governance.

    Government is about solving problems; not ignoring or compounding them. Though it is not necessarily the ultimate panacea to the current agitation in the South-east, nothing will be lost if the government takes advantage of the reshuffle to address some of the genuine misgivings of the zone. For instance, as I have argued in the past, the position of Secretary to Government of the Federation (SGF) can be ceded to the South-east. I am not oblivious of the argument that the position ought to be reserved for the North-east since Babachar Lawal comes from the zone. But the same argument is defeated by the fact that we have not always gone that route. A good example is the case of the former Director General of the Pensions Commission, PENCOM, from the South-east who was replaced with a candidate from another geo-political zone. And that was done in complete contravention of the Act establishing PENCOM which specifies that in the event of the premature departure of the CEO, his/or her tenure would be completed by another candidate from the person’s zone.

    We can even stretch the argument further by looking at the federal character principle, the diversity management principle which often times calls on people from some zones to sacrifice merit so that others can be accommodated. A very good example of this is in the area of university admissions. It can be argued that just as some candidates with better JAMB results have to sacrifice their university places for candidates with poorer results from other zones, the North-east or any other zone for that matter can equally pass up a political position if, by so doing, we can advance the course of national stability and unity. After all, what is good for the goose is also good for the gander.

    To put the matter in perspective, it is important to recall that, at the first caucus meeting of the APC, the position of SGF was explicitly zoned to the South-east. The imperativeness of that decision became inevitable given that the failure by the party to produce a senator from the zone had robbed it of the position of Senate President which would have come to it by virtue of the party’s zoning arrangement.

    In this regard, the matter of political inclusion cannot be properly disposed of if politicians do not discard the nebulous and dubious argument over the level of support the President received in the South-east. Time and again, the performance of the President in the South-east in 2015, the celebrated “five percent” factor, has been stridently cited as the argument for denying the zone some strategic appointments. What exponents of this argument have failed to realize is that President Buhari actually won the 2015 elections because of what happened or did not happen in the South-east. Let us look at it this way: In 2011, the South-east gave President Goodluck Jonathan about five million votes, a feat it could not repeat or perform in 2015. If the zone had repeated the 2015 feat, it would have cancelled out the electoral armada that took place in the north in favour of then candidate Buhari thereby paving the way for Goodluck Jonathan’s re-election. After all, the vote difference with which Buhari rode into power was just about 2.4 million votes-the difference in margin is even lower than 2.5 million between South-east votes of 2011 and that of 2015 for President Jonathan leaving a difference of about 100, 000 votes in favour of the later.

    Now, even if we are to ignore the above points, we are still left to wonder whether the ruling All Progressives Party, APC, wants to position itself as a serious contender for electoral victory in the South-east come 2019. Or has the party given up on the zone? I am inclined to posit that the APC will be sending a dangerous signal to the South-east if it does not take advantage of any reshuffle to reassure the restive voters of the zone that they are still part of its calculations for electoral victory at future elections! That will be unfortunate indeed.

    Besides, such indiscretion will rob most Buhari die-hards and APC loyalists such as Minister of Science and Technology, Ogbonnaya Onu and Labour Minister Chris Ngige of much of the political capital they had acquired over the years. To put it starkly, it would be likened to a betrayal of sorts if immediate steps are not taken to redress what is seen as some imbalance in the present set up. The south-east zone argues, correctly, that it has not been properly represented in the top decision-making echelon of the administration. Take for instance the fact that such a large and important ethnic group does not head any of the security outfits in the country: the Army, Navy, Air Force; Police, Customs, Immigration, Civil Defence, Nigeria Intelligence Agency (NIA), etc, even if we were to allocate the positions by zone. Consider again that there is no former head of state from the zone on the Council of States. Yet these are fora or entities that determine the deployment of security agencies for elections and other strategic uses. Is it surprising therefore that agitation for inclusion is most strident from that zone?

    Luckily, the south east zone, like any other zone, has a surfeit of qualified candidates for the position of SGF. These include Ngige (Anambra), Onu (Ebonyi) and a number of others political heavyweights who have paid their dues and are ready to serve. However, given the political exigencies of the moment, it is my considered opinion that the incumbent minister of labour, Senator Chris Ngige, is the most suitable to be considered for the position of SGF. Though diminutive in size, he stands head and shoulders taller than any other person because of his disposition as an avowed nationalist and a dogged political realist whose commitment to Nigeria is unimpeachable. Besides, he is a team player with a track record of administrative, legislative and political exposure, qualities that equip him to serve as the clearing house of governmental administration at this critical watershed in the history of Nigeria.

    APC leaders had better make haste while the sun shines for 2019 is already here; it is no longer far away for that will be the year of reckoning of reckoning

    Agu, is former managing director/editor-in-chief of Champion Newspapers Limited.

  • Buhari excited over forex stability, says CBN

    Buhari excited over forex stability, says CBN

    The Governor of the Central Bank of Nigeria (CBN), Godwin Emefiele, yesterday in Abuja,  briefed President Muhammadu Buhari on the stability in the foreign exchange (forex) market and other activities of the apex bank.

    Speaking with State House correspondents at the end of the closed door meeting, Emefiele said the president was delighted over the stability in the forex market.

    He explained that the parallel market is currently stabilising at between N380 and N385 against one US dollar.

    He said: ‘`Basically, as it is expected, what we normally do is from time to time to brief the president about activities about the CBN particularly at this time as it relates to the efforts that the bank is  making to stabilise the forex market

    “We briefed him regarding the activities so far and he was very delighted to hear that the market is stabilising at the level that it is right now and I am saying the parallel market which currently stabilises at between N380 and N385,’’ he said.

    According to him, the sudden rise in crude oil production and the subsequent increase in export of the commodity are the main factors responsible for the stability in the forex market.

    He said  the crude oil prices which have been oscillating between $50 and $56 per barrel, have helped to boost the nation’s revenue position and also provided some ammunition for the CBN to defend the currency.

    He said: “Given what we have right now, the fact that the revenues are looking good, the state of the economy is good and I believe that we are going to pull out of the problem in due course.’’

  • New measures of strong leadership, stability and certainty

    Britain’s PM Theresa May stunned the British people and the world at large in our global village by calling for a most unexpected election on June 8 this year after having said earlier at a program long forgotten that she would not call for an election until 2020.

    Her announcement coming just after the power consolidation referendum won narrowly in Turkey by President Recep Tayyip Erdogan, and the French presidential elections this weekend threw our mind back to the importance of elections in any democracy.

    Elections simply the all important democratic ritual needed to take or reclaim power or lose it totally in that simple political process of seeking power from the wishes of the voters or electorate and that really, is the essence of democracy. Theresa May has therefore thrown hat into the ring and is challenging all other political parties to accept the challenge to compete and grapple for power on June This is because she is confident the time and the mood of the British nation is ripe for her to consolidate a good majority for her party, the Conservative Party.

    She did not mince words in saying that the leadership of the major opposition Labor Party is in shambles and cannot lead Britain confidently into a post – Brexit future. However it is the language and words that she used in her new election announcement that shall command our attention today.

    In her speech at 10 Downing Street, she said Britain needed stability, certainty and strong leadership to see Brexit through and she needed a fresh mandate to provide the strong leadership to accomplish that. Which I found very brave and see as a sign that she believes her party and herself have done enough to be returned massively to power and Parliament in the June 8 elections.

    Which is also a great gamble but based on a very educated guess which I hope may not misfire as the Brexit vote did to her predecessor who had to relinquish power because of the failure of the Remain campaign on which he had based his political life and office.

    He lost both, and his successor is now making even a greater gamble based on her party’s reading of the mood of a rather moody British electorate now even edgier and more nervous after the harsh reality that Britain has indeed parted company with the EU.

    All the same I find Theresa May’s confidence of chances of renewal of power in a fresh mandate admirable and commendable. That to me is the stuff of leadership based on performance and delivery on promises made to the electorate.

    Certainly no leader or politician who has failed to live up to the expectations of the electorate will abandon the safety and security of tenure of office and power to risk such power in an election at which anything can happen. is in that light that we look today at the concepts of stability, certainty and strong leadership used by the British PM to sell her leadership and party to the British electorate in the forthcoming June 8 elections in Britain .

    We shall look at what these concepts mean nowadays and what they portend in the face of the contemporary challenges facing our world today. In short for Britain what do they mean in the context of migration, security and ultimately Brexit as well the long shadow of Donald Trump’s recent emergence as US president ?.

    In Turkey, what do they mean in the face of Turkey’s role stemming the flow of migration to Europe from the Middle East and that nation’s long application to join the EU . In Nigeria what are their import in the quest to defeat Boko Haram, fight corruption and keep the nation united and on the path of growth the face of a nagging recession ?.

    Also what do they mean for the French as they elect their president tomorrow and the polls show that Marine Pen would at least would qualify on the first ballot. Giving the jitters to Muslim French citizens that anti migration policies would take the front seat in French politics if she wins in a France that has largest Muslim population in Europe.

    Starting with ‘Britain Labor Leader Jeremy Corbyn has already taken on a quaint Trump disposition and mantle of being anti-establishment and has raised the spectre of political correctness that Trump used successfully to defeat Hillary. Corbyn has boasted he will win against the ‘rigged system ‘in favor of the rich on the simple reason that the Conservatives and the media don’t expect him to lead Labour to victory because he is not one of them.

    That doesn’t sound like a strong and confident leader certain of victory on June 8 or his leadership of his party thereafter. But Donald Trump looked and sounded like that at the outset of his campaign. For now that leaves Britain without a credible and alternative leadership in the elections and puts Scotland which is at odds with Brexit in a quandary on dealing with Theresa May’s stance on no going back on Brexit. It also firmly places the issues of migration, integration and multiculturalism on the laps of the Conservatives to deal with as they seem fit and that is something someone like the Mayor of London, a Muslim would never find palatable.

    Such problems need to be nipped in the bud in this coming election before they bring the British political system, anchored on political stability by its ageless constitutional monarchy with the saying that -with the Queen in Buckingham Palace, every Briton sleeps well I in his bed, to its knees. After last week’s victory, Turkey’s President Erdogan appears the quintessence strong leader of modern times trying to garner political stability for his nation.

    But he has used strong arm tactics to mobilise for power in a democracy and has no succession plan or second in command, in case anything happens to him. That means that Turkey’s political stability is personal to him being alive long enough. The military in Turkey however bears him a grudge on secularity and their eroded role as guardian of Turkey’s democracy. Erdogan must perpetually watch his back as he has murdered sleep in Turkey and cannot like Macbeth, sleep again. Turkey’s history is revealing on that score.

    The Turks took over the Muslim Caliphate even from the Arabs because they are a highly militaristic people. According Gibbons‘ Fall of the Ancient Roman Empire‘ the Turks took over the Ottoman Empire because as the Caliphate leadership became military and the Turks were militaristic in nature, they dominated and took over the leadership of the Ottoman Empire and Caliphate. That is some piece of history for Erdogan to ponder on as he reconsiders Turkey’s membership of the EU and hopes to return the death sentence, which EU membership forbids.

    For now he holds the ace on the EU, especially Germany on the threat of flooding Europe with desperate migrants if Turkey’s membership resolved immediately. But Turkey is still a member of Turkey’s generals hold important positions in that military and institution. It remains to be seen how they react to their new president while they retain their positions and all important military arrangement now threatened with political contrivance.

    For now Turkey may look stable, strong but its future under Erdogan is dicey with the moody the military casting a long shadow that is quite ominous least. In the French elections of tomorrow if Far Right Marine to the next round it would mean that France will eventually of Brexit and Trump. That would be sad for a France that of Liberty, Freedom and Equality and the French Revolution which taught the world a bitter lesson that the rich should poor too far behind if they hope to survive. But then the the U-turn would be obvious.

    The first is terrorism , then then lack of integration and the growing political power French citizens and most importantly unemployment. Both socialists and communists have proffered political solutions over but those have not deterred terrorists enough to guarantee and security of French citizens. Le Pen offers a strong leadership to control influx of foreigners to make France safe Trump promised and won on the promise to make again in the last US elections.

    The signs are very much there highly egalistic France has become so security conscious that seeking refuge in a xenophobic future and a strong state and Pen , albeit a woman , may be the choice of the French solution in this 2017 presidential elections starting tomorrow. Lastly we look at Nigeria in the context of these ideas so far in other lands. Undoubtedly Nigeria has a strong leader his earlier military leadership of the nation.

    Yet the nation fast enough on the path of stability and certainty. The reason difficult to see. Our President is sick and a sick president treated and healed to move the nation forward. That is not enough to say America’s FDR- Franklin Delano Roosevelt- on wheel chair when he led the US and the Allies to win World War. Even then, FDR was president from 1933 to had better health facilities even then than Nigeria today has no duplicate and our health facilities are poor Nigerian leaders have learnt to go abroad for treatment As late Bisi Onabanjo, a former governor said on a return overseas medical treatment, life has no duplicate. So we must president to be strong enough to finish Boko Haram enough to take on the Senate especially in the daily struggle separate powers between the executive and the legislature war on corruption afloat and going.

    The recent probe of NIA are signs that the Presidency is able and willing enough the war on corruption through. We wish the president the health because it is only when he is well that we can in our beds. Like the British have always said of their again, long live the Federal Republic of Nigeria. Our President is sick and a sick president needs to be treated and healed to move the nation forward.

    That is the truth. It is not enough to say America’s FDR- Franklin Delano Roosevelt- was on wheel chair when he led the US and the Allies to win the Second World War. Even then, FDR was president from 1933 to 1945, the US had better health facilities even then than Nigeria today and since life has no duplicate and our health facilities are poor and dormant Nigerian leaders have learnt to go abroad for treatment for dear life ’ ’ 08022467644