BIG STORY
Governors, Ministers Meet Today To Stop Planned Hunger Protest
Published
4 months agoon
The Federal Government has announced its willingness to engage in dialogue with the organizers of the planned nationwide protests, scheduled to take place from August 1 to 10.
In an effort to address the concerns of the protesters, all federal ministers have been directed to visit their respective states between July 24 and August 1.
Additionally, select ministers will meet with state governors at the 143rd session of the National Economic Council on July 25 at the Aso Rock Villa in Abuja.
This decision was made during an emergency meeting between the Secretary to the Government of the Federation, George Akume, and all ministers in Abuja on Wednesday morning.
The government aims to resolve the issues peacefully and prevent potential violence or disruption of public order.
A circular making media rounds on Tuesday evening showed that Special Advisers to the President on Policy and Coordination, Ms. Hadiza Bala-Usman; Information and Strategy, Bayo Onanuga and former Minister of Youth and Sports, Sunday Dare, were among those invited for the meeting convened to discuss the ‘Planned Nationwide Protest.’
The circular read, “I am directed to invite you to attend a meeting with the Secretary to the Government of the Federation on the above subject slated as follows:
“July 24, 2024, Time: 10 am Prompt, Venue: Office of the Secretary to the Government of the Federation Conference Room. Attendance is mandatory. Please accept the warm regards of the Secretary to The Government of the Federation.”
The meeting came amid calls for nationwide protests from August 1-10 against the rising cost of living and the harsh conditions as Africa’s most populous country faces what has been described as its worst economic headwinds in a generation.
The protest tagged ‘EndBadGovernance’ has gained traction on social media and has been scheduled to hold across all 36 states and the Federal Capital Territory. However, its organisers have remained largely anonymous as no group has come forward to take responsibility.
Upon assuming office 14 months ago, President Tinubu announced an end to petrol subsidies, which he said would save the government monies for infrastructural expansion. He also unified the foreign exchange rates to curb currency arbitrage.
However, these moves sparked collateral slump in the value of the Naira as food prices soared. More so, widespread insecurity in many farming communities has displaced farmers, contributing to higher food prices.
Although journalists were not granted access to the SGF Conference Room, the venue of Wednesday’s meeting, sources privy to the discussions told one of our correspondents that a planned nationwide broadcast by President Bola Tinubu was part of the issues discussed.
The source said, “All ministers were present. They suggested that there should be a national address. It was suggested that the President himself should do it. But the suggestion will have to reach the President first.
“They also asked ministers to put together three key achievements they have made in the past year. They will compile these achievements and present them to Nigerians.
“In fact, tomorrow (today), the Minister of Finance will be briefing the media on the state of the economy. But those achievements will be compiled for a separate presentation.”
The source added, “The government stands for dialogue. They will get the leaders (of the protest) to meet with the government for discussions.
“All the ministers will also go back to their states to engage their people so they won’t be misled into joining the protests. That is between now and the protest date.
“Some have been engaging their people before. But this time, everyone has been asked to go back there.”
According to The Punch, another source privy to Wednesday’s meeting outcome under anonymity, said that some ministers, such as those of Finance and Budget and Economic Planning, who sit on the National Economic Council, will attend its 143rd meeting on Thursday to appeal to state governors to dialogue with their constituents.
NEC, a statutory body mandated to advise the President on the nation’s economic affairs, comprises the Vice President, Governors of the 36 states of the federation, Governor of the Central Bank of Nigeria, the Minister of Finance, and other stakeholders.
“There will be a NEC meeting tomorrow (today). So, they will be going there to get the buy-in of the governors. They will use NEC to get the governors’ support for the plan.
“The government is extending the dialogue to NEC to allow governors to join what it is trying to do.
“The way the government sees this protest is that it is not just a protest against hardship or Tinubu. Some people want to use it to undermine the Nigerian state and bring it down and target some class of people entirely,” said the source.
The August 1 protest comes on the heels of similar demonstrations in Kenya, from which experts say Nigerians may have drawn inspiration.
Kenyan youths staged massive protests for weeks, forcing President William Ruto’s government to backtrack on tax hikes. Organisers used social media platforms like X and Instagram to mobilise millions of young Kenyans for protests—a similar strategy deployed on Nigerian social media space.
In October 2020, Nigeria experienced massive protests nationwide when thousands of young people demonstrated against police brutality.
The protests, which were later hijacked, turned violent, with billions of naira worth of property destroyed amid bloodshed, which organisers blamed on security forces, who denied using live rounds.
- Reps Preach Dialogue
Meanwhile, the minority caucus of the House of Representatives on Wednesday advised the Federal Government to interface with the intending protesters in order to find a lasting solution to the issues raised by the latter.
The caucus made the demand as part of its resolution at the end of its special meeting/dinner in Abuja on Monday night.
A statement on Wednesday by the media team of the caucus quoted the chairman, Kingsley Chinda, as saying, “We appeal to the government to dialogue with the planned protesters and also look at some of the messages they are raising, the critical areas that need government intervention.
“We are not going to encourage the protesters because in the past we observed in most cases that even peaceful protests were overtaken by hoodlums and with the insecurity in some parts of the country, you may not have the control of the gathering of people. So, some unscrupulous people may use the opportunity to create chaos.”
The group also called on the government to create means to ensure citizens were self-reliant in a bid to tackle the economic challenges in the country.
“We acknowledged in our discussion that there is hunger in the land and we appeal to the government not only to be giving palliatives but to create ways and means whereby people can be self-reliant,” Chinda added.
- Governors Condemn Rally
Ogun State Governor Dapo Abiodun and his Imo State counterpart Hope Uzodimma on Wednesday appealed to the youths to shun the planned nationwide anti-hunger protest.
Abiodun made the appeal during a meeting with a coalition of youth organisations in the state at the Governor’s Office, Oke-Mosan, Abeokuta.
The governor, who recalled the destruction of lives and property occasioned by the EndSARS protests across the country in 2020, said, “And yet again, there are calls for mass protests across the country, and the first thing that agitates one’s mind is, is that the way to present our case to government?
“Young men and women, you have no other country than this country. Let me assure you that I have travelled far and wide. I am sure, like many of you, that there is no country in the world where you can walk like your own, and that country is Nigeria.
“There is a Yoruba proverb that says ‘beheading is not the solution to a headache.’ If there are issues, let us discuss them, let us find a way around them, let us manage and correct them. Let us not cut off the head or attempt to cut off the head because of a headache. That will amount to decapitation.”
On his part, Imo State Governor and Chairman of the Progressives Governors’ Forum, Uzodimma, said the planned nationwide protests were coming at the wrong time.
Uzodimma also cited the EndSARS movement of 2020, and emphasised the planned protest hijack by criminals.
Speaking with State House correspondents on Wednesday after meeting with President Bola Tinubu, the governor urged Nigerians to protect the nation’s stability and avoid actions that could worsen the economic hardships.
“I think it is the wrong time for anybody to protest because the implication of doing that, if care is not taken, is that it may be hijacked, like the #EndSARS experience, where criminals hijacked an innocently conceived agitation by young Nigerians.
“So, this is another kind of temptation that I think those behind the protests because they have not been able to come out openly to say they’re behind it, there is a motive that is yet to be unravelled.
“I think that we are not in support of the protest; we are not going to support any protest that has no programme, that is not discussed, that nobody knows what the problem is. Okay, if you are protesting, what do you want the government to do because the reason for protests is that they want an issue to be addressed. What are the issues?” he said.
Uzodimma said the protest could “overheat the polity and put our people in a position that the hardship is further worsened.”
“So, I advise against the protests,” he added.
Also, the Bauchi State Government says it won’t allow the protest hold in the state.
The Secretary to the Bauchi State Government, Ibrahim Kashim, made the disclosure at a press conference at the Banquet Hall of the Government House on Wednesday.
Kashim said, “Anybody planning any protest in Bauchi should better think twice. If he must protest, then he must be ready to go and organise it somewhere else but not in this state.
“The government has completely disassociated itself from any protest. Bauchi is not aware of it and it’s not going to happen in Bauchi State.”
In Edo State, the Oba of Benin, Ewuare II, urged organisers of the planned protest to shelve the idea, urging them to give the Federal Government enough time to implement its economic policies.
The Oba stated this in a statement signed by his Chief Press Secretary, Osaigbovo Iguobaro, on Wednesday.
He stated, “I appeal to aggrieved Nigerians to give the Federal Government enough time to implement its economic policy, which is expected to alleviate the present hardships being experienced by Nigerians.
“For things to get better, it has to be tough for a while. I appeal to the Federal Government to intensify efforts in the implementation of its economic and security policies.”
- President Tinubu Reacts
Reacting to the planned protest on Wednesday, President Tinubu said he was unopposed to protests, but added that he was against violence and anything that could negatively impact the well-being of Nigerians.
The Minister of Information and National Orientation, Mohammed Idris, who disclosed this on Wednesday, assured that the Federal Government would uphold the right to protest while ensuring public order.
Idris, in a statement by his Special Assistant Media, Rabiu Ibrahim, on Wednesday said, “While the government of President Tinubu acknowledges the rights of every Nigerian to engage in protests, it is equally committed to ensuring that these activities do not disrupt public order or violate the rights of others.”
The minister, while also speaking during a courtesy visit from the Charismatic Bishop Conference to his office in Abuja, said the government was aware that some individuals might attempt to hijack the planned protest and inflict violence on innocent Nigerians.
He stated, “The government of President Bola Ahmed Tinubu believes in the freedom of everyone within the confines of the law to do what he thinks is right for him. Therefore, the President is not an opponent of protest of any kind but the President is an opponent of violence and anything that will negatively hamper the wellbeing of Nigerians. He believes and he has always been saying that within the tenets of democracy, you have every right to do whatever you want to do provided that right does not infringe on another persons’ right.
“Why everybody is very cautious and very wary of this national protest is because we have seen what has happened around the world. We know that it’s almost impossible to hold this protest and then have peace at the end of the day. We cannot do that because some people are waiting to take the laws into their own hands.”
The minister also mentioned that in an unprecedented move Tinubu was developing a policy to provide stipends to unemployed university and polytechnic graduates until they secured formal employment in any sector of the economy.
“But beyond that, there is also another new policy that the President has formulated, which will begin to be seen very soon and that is that all young men and women who have finished universities and polytechnics and have certificates and have completed their mandatory NYSC programme and have not been able to get jobs, will have something from the government to keep them afloat until the time they get jobs,” he added.
Idris explained that because of the President’s commitment to the welfare of Nigerian workers, even after the Tripartite Committee on the National Minimum Wage concluded its assignment and submitted its report, the President sustained his engagement with the Organised Labour Unions until an amicable resolution was reached, which gave birth to the N70,000 national minimum wage.
He added that the introduction of the Compressed National Gas policy by the President was a game changer in the country’s economy because of its ability to bring down the cost of transportation by about 60 percent, thereby providing a viable alternative for petrol and diesel.
- Various Groups Shun Protests
Several religious and ethnic groups have distanced themselves from the planned rally.
The women’s wing of Islamic society, Nasrul-Lahi-l-Fatih, on Wednesday urged Nigerian youths not get involved in acts capable of creating chaos and violence, following the harsh economic conditions.
The National Women Affairs Secretary of NASFAT, Alhaja Ganiyat Babalola, made this call on Wednesday, during a press briefing at NASFAT Mosque, Ijemo, Abeokuta to herald the society’s eighth Biennial Women’s Conference.
She said, “There is this e-flyer designed by our leaders in NASFAT that has been in circulation for some time to enlighten the people.
“We must talk to our youths to thread softly, there is no need to embrace violence to tackle our challenges, we can always find better ways to go about the changes that we want.”
The President-General of the Charismatic Bishops Conference, Archbishop Leonard Kawas, during a visit to the Minister of Information and National Orientation, Mohammed Idris, on Wednesday, dissociated the conference from the planned national protest, saying they had been approached by some groups to join the protest.
“Recently we received some calls from some other religious organisations and other organisations asking us to join in preparation for a nationwide protest, which would start from 1st August 2024. We are here to let you know that we do not think the same. That we have rather decided to go all out and call for a truce. We have decided to sue for peace and humbly request that our brothers and sisters who are aggrieved in one way or the other, should give us some time while we continue to communicate and negotiate with this government on areas that are pertinent to them,” he said.
The Yoruba community in the Northwest called on its members to shun calls for the nationwide protest and warned against a repeat of the EndSars protest.
“To be sure, we understand the grievances, we acknowledge the concerns and frustration which is the driving force for the planned protest, the economic depreciation has bitten everyone very hard, but we appeal to the public to give the present administration a chance to continue the process of economic recovery,” Chief James Olorunfemi, the body’s Deputy President-General, said in a statement.
“EndSars protest should be a chilling reminder for us on what a protest of this nature can cause and the possibility of being hijacked by disgruntled elements to cause mayhem.”
The Rebuild Arewa Initiative for Development on Wednesday also said it recognised the constitutional rights of Nigerians to protest but noted that the idea of a nationwide protest would not provide the needed solution.
“In essence, we want to use this opportunity to caution our fellow countrymen and women, especially the younger generation, that at this very critical time, protest is not the answer to the lingering problem of our nation, that peaceful but intellectual approach, especially by the right minds, is much more needed in order to firstly understand the terrain and proffer lasting solutions. Commitment from the side of the government is what would drive us to the Promised Land and clear path for the future of this country,” president of the body, Balarabe Musa, said at a press briefing in Abuja.
The National Association of Nigeria Nurses and Midwives (Gombe State Council) stated that despite the inadequate manpower and hardship occasioned by lack of implementation of agreements by the state government, its members would not be part of the protest.
The group, in a letter obtained on Wednesday by our correspondent, which was signed by its chairman; Jonathan Lanipi, and secretary Ribanre Machoko, said, “There is a gross shortage of manpower across the state facilities. Nurses and midwives run double and triple shifts and some, at some instance, are alone on a shift, which is bad for a life saver at the point of duty.
“In view of these demands we call on all nurses and midwives not to join the nationwide protest but to remain in their duty posts or at home.”
- NLC Says Protest Not Ours
Meanwhile, the Nigeria Labour Congress said it was not part of the organisers of the planned protests.
NLC president, Comrade Joe Ajaero, in a statement, disclosed that reports of the congress’ withdrawal from the protests were untrue.
“The truth is that the Nigeria Labour Congress cannot withdraw from a protest that it did not organise. It is only the organisers of the speculated national protest that can decide to pull out or continue with the protest,” Ajaero said.
He added, “Yet, the fact that the Nigeria Labour Congress is not the body organising the protest does not mean that organised labour is oblivious of the dire living conditions Nigerians have been subjected to by the harsh economic policies of government.”
Ajaero called for dialogue between government and the intending protesters, advising that using force to suppress the move might be counter-productive.
He added, “Pursuant to proactive engagement with the issues canvassed by the protest organisers, we have called on President Bola Ahmed Tinubu to invite the leaders of the protest movement to dialogue on their demands.
“We have advised that it would be counter-productive for government to meet the widespread anger in the land with brute force.
“We implore the Federal Government and the sub-national governments to listen to the cries of the Nigerian people and do the needful. After all, it is said that the voice of the people is the voice of God.”
- APC To Meet On Friday
The ruling All Progressives Congress on Wednesday called on parents to watch the movements of their wards to prevent them from being recruited for violence ahead of the nationwide planned protest, adding that its leadership would meet to find ways of resolving the issue.
The warning comes in the wake of Tuesday’s threat by the Inspector-General of Police, Kayode Egbetokun, that security operatives wouldn’t hesitate to make arrests if the demonstration turned violent.
Egbetokun announced that measures were in place to avoid a repeat of the EndSARS protest by ensuring that hoodlums who disguised as protesters were apprehended.
Addressing newsmen after its 153rd National Working Committee meeting, the National Secretary of APC, Senator Ajibola Basiru, said,
“The meeting urged parents and well-meaning Nigerians to monitor the movement of their children/wards so that they will not be used in causing chaos in the country.
“We noted that since coming on board in 2023, the government met quite a number of challenges, especially economic challenges, and Mr President is gradually implementing programmes and policies that would in the nearest future bring succour and relief to the citizens.
“We therefore urge all those planning the protests to have confidence in Mr President’s relentless efforts at repositioning the economy, while assuring Nigerians that the challenges will sooner or later come to pass.”
Basiru added that an emergency meeting of all chairmen of the APC in the 36 states and the FCT had been called for “further discussions.”
It was gathered that the state party leaders would meet with the national leadership of the ruling APC at the Abuja secretariat on Friday.
“Yes, the meeting is scheduled for Friday. It’s for that issue (protest), of course, and the state of the nation,” APC National Deputy Organising Secretary, Nze Chidi Duru, confirmed this to newsmen.
- NSCDC Plan
Meanwhile, the Nigeria Security and Civil Defence Corps stated it would deploy its undercover operatives to forestall a breakdown of law and order if the proposed nationwide protest held.
NSCDC spokesperson, Babawale Afolabi, disclosed this in an interview with one of our correspondents on Wednesday.
He also said the NSCDC would deploy personnel to secure critical national infrastructure to prevent it from being vandalised during the protest.
Afolabi said, “In response to the proposed nationwide protest, the Nigeria Security and Civil Defence Corps has the mandate to safeguard all critical national assets and infrastructure. We will not relent in the deployment of personnel to secure government critical national assets and infrastructure to avert vandalism. Our undercover operatives will be out to gather actionable intelligence to forestall the breakdown of law and order.”
Afolabi added that deployment would also be made to locations the NSCDC had mapped as flashpoints.
He said, “Our men would be deployed strategically to identified flashpoints. In view of the foregoing, the NSCDC Commandant-General, Dr Ahmed Audi, has directed all Zonal Commanders, State Commandants, Component Commanders and Special Forces across all formations to be on red alert. Civilians are enjoined to desist from any act of vandalism, disruption of peace, law and order.
“Our synergy with other sister security agencies remains strong and undiluted as we continue to ensure the peace and stability of the nation without compromise.”
Also, the pastor in-charge of Youth Province 12, Redeemed Christian Church of God, Winners Embassy, Osogbo, Osun State, Bola Soyinka, urged Nigerians not to risk their lives while protesting against the economic hardships in the country.
Speaking at a press conference on Tuesday in Osogbo, as part of activities lined-up for this year’s Impact Conference organised by the church, Soyinka questioned the effectiveness of previous nationwide protests like the #ENDSARS.
He said, “How effective have these protests been? The last one was # ENDSARS; either we like it or not, some people died, some relocated outside the country; have things changed?
“There are several ways you can protest and show your grievances, but risking your life isn’t one of them. You do not make a change from outside; you make it from inside. So the best thing we can do is to orient and encourage youths to get involved in politics. If they are not involved in politics, they cannot make a change.”
Credit: The Punch
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BIG STORY
Port Harcourt Refinery: Marketers Threaten Boycott As NNPCL Juggles Petrol Price
Published
4 hours agoon
November 28, 2024- Dealers Insist PMS Must Be Cheaper Than Dangote’s.
- NNPCL Delays Price Portal Opening, Restricts Product.
Oil marketers have outlined the conditions under which they would consider patronizing the newly rehabilitated Port Harcourt Refinery Company (PHRC) in Rivers State. They stated that the refinery, managed by the Nigerian National Petroleum Company Limited (NNPCL), must offer its refined petroleum products at prices lower than those set by the Dangote Petroleum Refinery.
In response to claims made on Wednesday that its petrol was being sold at approximately N1,045 per litre, the NNPCL clarified that the refinery had not yet released its prices. According to the company, products from the refinery are currently being supplied only to NNPCL-owned stations.
Olufemi Soneye, the spokesperson for NNPCL, explained that the company is still reviewing its pricing structure and has not yet begun bulk sales, as its purchasing portal remains closed.
In related news, it was reported on Wednesday that oil marketers had imported a total of 105.67 million litres of petrol into the country within a span of five days.
Marketers confirmed that NNPC was selling petrol at N1,045/litre, stressing that they may be compelled to opt for petrol importation as a means of meeting local demands.
According to The Punch, a total sum of 78,800 metric tonnes representing 105.67 million litres of petrol was imported into the country in the last five days spanning November 23 and November 28.
On Tuesday, the 60,000-capacity Port-Harcourt refinery resumed operations after years of inactivity, drawing initial praise from Nigerians and industry stakeholders.
The NNPC said the newly rehabilitated complex of the old Port Harcourt refinery, which had been revamped and upgraded with modern equipment, is operating at a refining capacity of 70 per cent of its installed capacity.
NNPC added that diesel and Pour Fuel Oil would be the highest output from the refinery, with a daily capacity of 1.5 million litres and 2.1 million litres, respectively.
This is followed by a daily output of Straight-Run Gasoline (Naphtha) blended into 1.4 million litres of Premium Motor Spirit (petrol), 900,000 litres of kerosene, and low-pour fuel oil of 2.1 million litres.
It was stated that about 200 trucks of petrol would be released into the Nigerian market daily.
However, claims that the national oil firm’s PMS price was higher than that of Dangote triggered diverse reactions from marketers.
The National Publicity Secretary of the Independent Petroleum Marketers Association of Nigeria, Chinedu Ukadike, told one of our correspondents that though NNPC had yet to release any price for the products from the refurbished Port Harcourt refinery, a high price would discourage marketers.
Dangote currently sells his petrol at N970/litre, while imported petrol is around that price.
Ukadike, however, noted that there was the possibility that the NNPC would review its prices downward when the Port Harcourt refinery comes fully on stream.
He confirmed that the state-owned oil company sells a litre of PMS at N1,040 or N1,045 while the Dangote refinery just reviewed its price from N990 to N970 for marketers buying a minimum of two million litres.
Ukadike did not mince words when he said independent marketers would only buy from the NNPC if its price is cheaper than that of Dangote or vice versa.
“With the Port Harcourt refinery now working, we are anticipating that any moment from now, NNPC will give us its price. Once NNPC releases its price, we will start loading from NNPC. That is subject to if it is cheaper than that of Dangote.
“The last NNPC price was N1,040 and N1,045 per litre. But I know there will be a review of prices because there has been a crash in prices globally. So, we are expecting a review. Once that review is done, I will be able to give you the actual price. I know they are reviewing it. They are on top of the matter,” the IPMAN spokesman said.
The latest development also indicates that oil marketers may commence the importation of fuel if the prices set by both domestic refineries surpass their profit margins, thereby making it more financially viable for them to rely on imported fuel rather than locally produced stock.
The National Public Relations Officer of the Petroleum Products Retail Outlets Owners Association of Nigeria, Dr Joseph Obele, had earlier said NNPC petrol was N75 higher than the N970/litre offered by Dangote refinery.
However, PETROAN’s President, Billy Gillis-Harry, in a statement denied the claim, stressing that no price has been released by the national oil firm.
He explained that members of the association bought PMS based on the old pricing structure and are still waiting for the updated prices.
The statement read, “The National Headquarters of Petroleum Products Retail Outlet Owners Association of Nigeria, PETROAN Abuja would Like to Inform the media and the general public that no new price for PMS has been released by the NNPC port Harcourt refinery.
“Members of PETROAN only bought PMS with the old pricing template awaiting
new prices. We are excited that the production and loading of refined petroleum products have commenced at the Port Harcourt Refinery and we are expectant that soon the price of PMS will be stated by NNPC to the benefit of Nigerians.”
- NNPC Reacts
But in a message sent to journalists on Wednesday night, the NNPC spokesperson said the national oil firm had not started selling its products from the Port Harcourt refinery to other oil marketers.
He was reacting to an earlier claim by the Petroleum Products Retail Outlets Owners Association of Nigeria that the newly rehabilitated Port-Harcourt refinery was selling at N1,045/litre to oil marketers.
He noted that only NNPCL retail stations are receiving products from the refinery.
He said, “We have not yet commenced bulk sales, and we have not yet opened the purchase portal as we are still finalizing the necessary processes.”
He further stated its current stock was procured from the Dangote Refinery and includes fees and levies.
“At present, the products we are selling are what we bought from the Dangote Refinery, which includes NMDPRA fees. The product from PH is currently for our retail stores. Our prices are regularly reviewed and adjusted as required.”
- PMS Imports
Meanwhile, fresh findings (by The Punch) have revealed that a total sum of 78,800 metric tonnes representing 105.67m litres of petrol have been imported into the country in the last five days spanning November 23 and November 28.
The product was conveyed in four vessels with the latest to be received today (Thursday, November 28, 2024), according to documents obtained from the Nigerian Ports Authority on Wednesday.
An analysis of the document showed that 38,500 metric tonnes of petrol imported on Monday, November 25 berthed at the Lagos Apapa port (Bulk Oil Plant).
Similarly, a Bedford ship conveying 10,000mt of PMS will berth at the Ebughu jetty, Calabar port in Cross Rivers on Thursday, November 28.
Two vessels that arrived on Saturday, November 23 is still waiting to berth. The ships are carrying 30,300mt of fuel.
It also revealed that 11,000 metric tonnes of base oil was imported while the 20bn Dangote refinery received crude oil worth 133,986 metric tonnes on Monday, November 27, 2024.
Last week, oil marketers and the NNPCL had stated plans to stop the import of fuel to focus on off-taking from domestic sources.
This was a fallout from a high-level meeting organised by the NNPC Group CEO Mele Kyari, and the Nigerian Midstream and Downstream Petroleum Regulatory Authority. In attendance were representatives of the Major Oil Marketers Association of Nigeria, Depot and Petroleum Products Marketers Association of Nigeria, and key stakeholders from companies such as 11 Plc, Matrix, and AA Rano, among other stakeholders at the NNPCL towers in Abuja.
The meeting was in growing confidence in Dangote Refinery’s ability to meet the nation’s domestic fuel demand and the need to cut fuel imports.
Credit: The Punch
BIG STORY
Reps To Probe N8.4tn Allegedly Withheld By NNPCL
Published
4 hours agoon
November 28, 2024On Wednesday, the House of Representatives instructed its Committees on Finance, Petroleum (Upstream and Downstream) to investigate reports from the Revenue Mobilisation Allocation and Fiscal Responsibility Commission “alleging that the NNPC (now Nigerian National Petroleum Company Limited) withheld N8.48tn as claimed subsidies for petrol.”
The House also emphasized that “the investigation will address the NEITI report stating that NNPC (now NNPCL) failed to remit $2bn (N3.6tn) in taxes to the Federal Government.”
The committees were tasked with verifying the total cumulative amount of unremitted revenue (under-recovery) from the sale of petrol by the NNPC between 2020 and 2023.
Meanwhile, the House approved the 2025-2027 Medium-Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP) ahead of President Bola Tinubu’s presentation of the 2025 Appropriation Bill to the National Assembly next week.
The MTEF is a multi-year plan for public expenditure that sets targets for budget spending and fiscal policy, ensuring these goals are met throughout the budget process.
The FSP outlines a country’s fiscal policy and medium-term macro-fiscal framework. It is a critical part of the annual budget process and the Medium-Term Budget Framework.
President Tinubu had transmitted the MTEF/FSP to the National Assembly on Tuesday, November 19, 2024, following the approval of the Federal Executive Council.
The Tinubu administration set the oil benchmark for 2025 at $75 per barrel, with oil production projected at 2.06 million barrels per day. The government also pegged exchange rate parameters at N1,400 per dollar, with a projected Gross Domestic Product growth rate of 6.4% per annum.
During the Committee of Supply meeting to consider the report of the Committees on Finance and National Planning and Economic Development, presiding officer and Deputy Speaker Benjamin Kalu expected the usual “carried” chorus from members when he began the clause-by-clause consideration of the 15 recommendations. However, the Minority Leader of the House, Kingsley Chinda, changed the tone of the discussion.
- Oil Benchmark Controversy
Chinda spoke out on the $75 oil benchmark, suggesting that the 2025 figure should reflect the 2024 benchmark, pointing to the higher prices reached in early 2024.
He said, “Because of the importance and sensitivity of MTEF, I will advise that we consider it thoroughly before we pass. This is one of the most important bills this parliament will ever pass. They recommend a $75, $76.2, and $75.3 benchmark per barrel of crude for 2025, 2026, and 2027 respectively.
“We are aware that for 2024, what we recommended was $77.96, which is the current budget. Today, it is about $85 per barrel. That is, in the first quarter of 2024, we achieved $85 and it increased further. If we are recommending $75 for next year, which is one month away, against the $77 we recommended for this year, I will advise that we retain the minimum we adopted for this year.
“Rather than increasing, we are reducing. I am not unaware of the issue of moving to gas-propelled vehicles, leaving fossil fuel. I am aware that the world is moving that way, and reliance on crude may be a bit reduced, but going for $75 might be a bit too low,” he said.
In response, the Chairman of the House Committee on Finance, Abiodun Faleke, defended the $75 per barrel benchmark as “responsible.”
He stated, “Crude oil prices in the international market are not controlled by any country. In 2024, we were fortunate that crises in some oil-producing countries led to higher prices. In 2025, there is likely to be more stability. If you set the benchmark too high, it bloats expectations. Today, the price has crashed to $74. I think our benchmark is reasonable.”
Ibrahim Isiaka, the member representing Ifo/Ewekoro Federal Constituency, Ogun State, supported this view, saying, “If we pass this MTEF today and there is a need for amendment, this House can sit and do the necessary review. There was a time when crude sold for $120 per barrel and a time it sold for $20. Let us see this as a working document subject to review.”
At the conclusion of the debate, the $75 benchmark was adopted.
- Oil Production
Another contentious point was the significant increase in domestic crude oil production, projected to rise from 1.78mbdp in 2024 to 2.06mbdp, 2.10mbdp, and 2.35mbdp in 2025, 2026, and 2027, respectively.
Chinda questioned the rationale behind the 2025 projection of 2.06mbpd, saying, “We are making projections for domestic crude oil production from 1.78mbpd in 2024 to 2.06, 2.10, and 2.35mbdp for 2025, 2026, and 2027. If you look particularly at the social media, they will tell you that we are producing about 2mbpd, but the truth is, we are not. Although there is improvement, as of yesterday, the volume was 1.05mbpd.
“These are the things that will help us in proper planning so that the government does not have to always come to the National Assembly for borrowing, which also exposes us further to criticisms by Nigerians.
“We must be critical about how we set our benchmark. Our target has always been to produce 2mbpd. OPEC’s quota for us is 1.8mbpd. Putting this ambitious target of 2.06mbpd and 2.35mbpd, we might not really achieve it. If we don’t achieve it, we know we will be tightening our belts. We are already projecting that we will sell 2.06 million barrels, and if we sell less, we will get less funds. Let us reduce our target rate to 2 million barrels per day, which has always been our target,” Chinda argued.
Faleke defended the recommendation, stating, “As of today, production is close to 2mbpd. It is getting better. Operators of NUPRC gave us the details. If you put a lower projection, you are indirectly telling the operators not to work hard. Let us push them to work harder and get more funding for our country. There was a time during the era of Goodluck Jonathan when we were around 2.5mbpd. Mind you, this 2.06 projection includes all the concentrates. It is not just crude oil alone.”
Regarding the proposed exchange rate of N1,400 to the dollar for the next three years, a lawmaker from Nasarawa State, Gbefwi Gaza, said, “In the past few years, we have seen the volatility in our currency. In this country, virtually everything we do is pegged to the dollar. If we don’t have a very good proposed rate, what that means is that we have to increase our borrowing for any deficit.
“What do we have on the ground to make the naira stronger and make the dollar weaker? Yes, we have the Dangote Refinery, but we are in a phase of energy transition. We are going to the era of using more batteries and fewer fossil fuels; yet, fossil remains our main source of income.”
The House also adopted inflation rate projections of 15.75%, 14.21%, and 10.04% for 2025, 2026, and 2027, respectively.
Additionally, the House agreed that “The 2025 Federal Government of Nigeria budget proposed spending of N47.9tn, of which N34.82tn was retained. New borrowings stood at N9.22tn, made up of both domestic and foreign borrowings.”
Capital expenditure is projected at N16.48tn, with statutory transfers at N4.26tn and sinking funds at N430.27bn.
BIG STORY
30-Year Experience Prepared Me For COAS Job — Olufemi Oluyede
Published
5 hours agoon
November 28, 2024The acting Chief of Army Staff, Lt. Gen. Olufemi Oluyede, appeared before the two chambers of the National Assembly on Wednesday for screening, asserting that he is well-experienced and qualified to lead the Nigerian Army. While the Senate conducted the screening behind closed doors, the House of Representatives held the exercise in an open session.
President Bola Tinubu appointed Oluyede as acting COAS following the passing of the late Lt. Gen. Taoreed Lagbaja, who died recently.
Addressing the House of Representatives Joint Committee on Defence and Army, Oluyede said, “I humbly appear before you today to be confirmed as the 24th Chief of Army Staff of the Nigerian Army simply because tragedy befell our Army and the Armed Force when the 23rd Chief of Army Staff, Lt. Gen. Taoreed Lagbaja, passed after a brief illness.”
Reflecting on his military career, Oluyede spoke about his extensive experience. “I have served this great nation as an officer of the Nigerian Army for over 30 years. My exposure to national security issues at the junior, middle, and senior cadres of the military profession has prepared me adequately for the assignment I am being screened for here today.”
He continued, “In the past five years or thereabouts, I have operated at the senior operational and management levels of the Nigerian Army, and I have somewhat been part of the running of the service in its entirety. Thus, I cannot completely distance myself from the successes or setbacks of our great Army in the past couple of years. However, I see my nomination as the Chief of Army Staff as a privileged opportunity to be in the driver’s seat and bring about more positive changes to the Nigerian Army to enable it to fulfil its constitutional responsibilities.”
“If confirmed by this joint committee and given the common mandate to lead the Nigerian Army during this period, I promise to do my best to justify the confidence reposed in me by the appointing authority, which is His Excellency Asiwaju Bola Tinubu, the confirming authority which is you members of the National Assembly and the generality of Nigerians,” Oluyede added.
He emphasized the need for aircraft to support the Army’s operations in addressing security challenges. “The Nigerian Army requires aircraft for its operations to combat the challenges of insecurity,” Oluyede stated.
The Chairman of the House Committee on Defence, Babajimi Benson, affirmed that Nigeria had the resources to tackle its security challenges.
Meanwhile, the Senate Committee on Army, chaired by Senator Abdulaziz Yar’Adua, conducted Oluyede’s screening in a closed session in Room 211 of the Senate New Building at the National Assembly Complex.
In his opening remarks, Senator Yar’Adua welcomed committee members and stakeholders, emphasizing the importance of the screening as a critical legislative function. He referenced the letter from President Bola Tinubu, Commander-in-Chief of the Armed Forces, nominating Oluyede for confirmation as Chief of Army Staff.
“The nomination complies with Section 18(1) of the Armed Forces Act, Cap A20, Laws of the Federation of Nigeria, 2004,” Yar’Adua said.
He further explained, “The National Assembly is constitutionally vested with the power to ensure peace, order, and good governance of the country. This screening exercise is a demonstration of our commitment to upholding the laws of the federation and the constitutional principles guiding national security.”
Highlighting the nation’s security challenges, Yar’Adua acknowledged the ongoing threats, including terrorism and criminal activities, and commended the armed forces for their efforts in combating these threats.
“This screening aims to evaluate the nominee’s professional skills, strategic security vision, and ability to address the country’s pressing security issues. We will also assess his proposals for improving military funding and the welfare of personnel,” Yar’Adua noted.
Due to the sensitive nature of the proceedings, Yar’Adua explained that the screening would be conducted behind closed doors. He encouraged Oluyede to share his vision for strengthening Nigeria’s security sector and addressing both internal and external threats.
The committee then moved into a closed-door session for the screening. The committee is expected to submit its report and recommendations to the Senate after deliberations.
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