BIG STORY
APC: Fresh Intrigues Threaten Convention
Published
3 years agoon
Intrigues over zoning arrangements, concerns about the planned imposition of candidates, the insoluble controversy over consensus adoption of chairmanship candidate and ultimately the confusing status of the secretary of the All Progressives Congress (APC) Caretaker/Extraordinary Convention Planning Committee (CECPC), Senator John James Akpanudoedehe, currently combined to threaten the conduct of the party’s March 26 national convention scheduled for Abuja.
With the vacation of the court order stopping the national convention and the reconciliation of the disturbing leadership crisis rocking the party, everything seems to be falling in pleasant places for the party ahead of the convention.
For close to two weeks, the ruling party has been in turmoil and practically a house of commotion over the confusing status of the chairman APC Caretaker/Extraordinary Convention Planning Committee (CECPC), Mai Mala Buni, replaced by Governor of Niger State, Sani Bello, while he was on a trip for a medical trip outside the country.
The hostile situation resulted in the security agents occupying the party’s national secretariat, it came with apprehension, confusion, mistrust, intrigues, and more importantly palpable doubts over the possibility of the convention holding.
But, with the directives from President Muhammadu Buhari for the warring factions to return to status quo ante, and the peace meeting among the gladiators after Buni’s return from his medical trip, normalcy apparently seems to have returned to the party.
However, the confusion trailing the micro-zoning of the national offices in almost all the geopolitical zones, the bile against the speculated consensus arrangement for the national chairmanship position, the alleged imposition of candidates and the status of the Secretary Caretaker Committee, Senator John James Akpanudoedehe, currently pose fresh challenges to the conduct of the convention.
Conflicting letters and reactions to authenticate the future of the party’s chief scribe, Akpanudoedehe, had taken the centre stage within the week. While the ten-member CECPC claimed that he has been sacked after the overwhelming vote of no confidence passed on him, he had insisted that he is still in charge, going by the President Buhari’s letter for status quo ante to be maintained.
Governor Sani Bello-led ten-member CECPC had claimed, in a letter, that full quorum of the Committee, 2/3rd requirement, had passed a vote of no confidence on him, urging him to steps aside as the Secretary of the Committee and stop forthwith all activities and duties associated with the office.
“We, the members of the CECPC of the APC as duly constituted on the 25th of June, 2020 by the National Executive Committee (NEC) of our great party, and sitting in our regular meeting on the 8th day of March 2022, hereby unanimously resolved and adopt a motion of No Confidence on the Secretary of the Caretaker Committee of the APC.
“We direct that from today henceforth, he steps aside as the Secretary of the Committee and stops forthwith all activities and duties associated with the office.
“The undersigned is a full quorum of the Committee of the 2/3rd required. Governor Abubakar Sani Bello, Senator Ken Nnamani, Sen Yusuf Abubakar Yusuf, Prof Tahir Mamman, Sen Abba Aji, David Lyon, Hon Akinremi Olaide, Mrs. Stella Okotete, Barr Ismaeel Ahmed and Dr. James Lalu,” the letter read.
However, responding to the purported vote of no confidence, Akpanudoedehe, while dismissing it, declared: “I am still the secretary of the Caretaker Committee.”
Reacting equally to the development, former APC spokesperson, Hon Yekini Nabena, argued that the CECPC lacked the power to take such sensitive decisions.
The intrigues surrounding the status of Akpanudoedehe, whose signature is required to authenticate the correspondences between the party and the Independent National Electoral Commission (INEC) have not only stopped the proposed emergency virtual NEC meeting but also pose a threat to the convention.
But the leadership crisis may presumably be a child’s play to the controversy over the consensus adoption of chairmanship candidates, planned imposition of candidates, and the confusion over the zoning arrangements.
Within the week, the erstwhile Director-General APC Progressive Governors Forum (PGF), Salihu Lukman, raised alarm over an alleged plot by one of the legacy parties that formed the APC, the Congress for Progressive Change (CPC) to impose candidates on the party.
In a statement released to newsmen in Abuja, the APC chieftain claimed that the political associates in the old CPC should refrain from acts that will undermine the authority of the President as the leader of the party.
Part of the sentiment being used by the London lobby team, comprising Sen. Sirika, Mallam Malami, Mallam Adamu, and Hon. Aliyu, according to Lukman, was to ensure that the old CPC leaders are not ‘marginalized’ in the new APC leadership to emerge from the March 26 national convention.
His words: “There were many instances leading to the imposition of candidates during elections, which undermined the electoral viabilities of parties associated with the President. From the ANPP in 2003 and 2007 to CPC in 2011, this has been the reality. Often, individual politicians with these self-serving agendas have used them to impose themselves on party members as candidates for elections.
“Although there are many instances whereby imposed candidates win elections, there are also many instances when acts of imposition destroyed the electoral advantages of the parties leading to the loss of elections. This was partly the reason for the large-scale defeat of the CPC in the 2011 election in Kano, Kaduna, Bauchi, Katsina, and many states.
“Perhaps, it needs to be highlighted that while the team of ‘CPC London lobbyists’ used the CPC sentiment to push for the anointment of Hon. Aliyu as Deputy National Chairman North, they were not interested in the reversal of the speculated anointment of Sen. Adamu as the President’s choice for the National Chairman in favor of Sen. Umaru Tanko Al-Makura, who is by far the most qualified former CPC leader aspiring for the position of National Chairman.
“Noting that Sen. Adamu was never a member of CPC, unlike Sen. Al-Makura who was the only elected CPC Governor in the country between 2011 and 2013 when CPC was dissolved into the current APC, why shouldn’t any CPC lobbyist prioritize the case of national chairman over and above a deputy national chairman?
“This partly highlights the limitations of all the scheming influencing many of the President’s decisions to reverse decisions he took around all the leadership contestation in the party. Why should the President endorse Sen. Adamu over Sen. Al-Makura as the National Chairman of the APC? Didn’t Sen. Al-Makura defeat Sen. Adamu, which made the CPC have the only state, Nasarawa, it won in 2011?”
Expressing disappointment over the zoning arrangements, the party stakeholders from the southeast geopolitical zone, have rejected the position of Deputy National Chairman (South) zoned to it, preferring the position of National Secretary.
A member of the South East party caucus told Saturday Sun that though the five states in the zone have settled the micro-zoning arrangements among them, they are still desirous of the position of the party’s chief scribe.
“We have finished allocating the positions zoned to the South East, with Enugu to produce the Deputy National Chairmanship, but as you know, nothing is still cast in stone until President Buhari endorses them. Everything, including the position of the chairman, is still subject to change. The South East is still hopeful of getting the position of National Secretary,” our source maintained.
Corroborating the stand of the South East party caucus, former Zamfara State governor, Abdulaziz Yari, defied the APC zoning arrangements to pick the nomination forms for the vacant chairmanship position.
Speaking on behalf of the pro-Yari group after purchasing the form, Senator Tijani Yahaya Kaura, claimed that he jettisoned the zoning arrangement for the national chairmanship position since it is zoned to the Northern region.
Reminded that the position is reserved for the North-Central geopolitical zone, Senator Kaura argued that his group was not aware of the decision, adding that the issue of zoning was yet to be totally resolved.
“We have just purchased the form for Sen Abdulaziz Yari to contest for the position of the party’s national chairmanship. As far as we are concerned, there are contending issues concerning zoning. First, we are fully aware that the national chairmanship has been zoned to the north and the presidency has been zoned to the South.
“As you are aware that all positions of the party that was hitherto in the south will go to the north. Zamfara being in the north is well qualified. We are very ready for the convention to come on March 26. Yari, being one of the founding fathers of this great party, has contributed immensely and greatly to the betterment and welfare of this party.
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BIG STORY
Dismissed Edo Policewoman Threatens To Kill Self, Children
Published
2 hours agoon
November 25, 2024Inspector Edith Uduma, a former police officer in Edo State, is facing a tough situation after exposing a colleague, Sergeant Abraham, for allegedly raping a 17-year-old girl at the police station, she was dismissed from the police force.
Uduma claims the dismissal was unfair and that the public hasn’t heard her side of the story.
The incident was captured in a viral video she took in October, showing Sergeant Abraham in a compromising position with the minor.
The situation has taken a drastic turn, with Uduma threatening to harm herself and her children.
It was learnt from the police that both officers were later dismissed following an orderly room trial.
The Edo State Police Command, in a statement released in November by its Public Relations Officer, Moses Yamu, alleged that Uduma conspired with her husband, Inspector Ibrahim Mohammed, to extort N1m from Abraham to cover up the incident. When Abraham reportedly offered N45,000 instead, the video was leaked online, the police claimed.
The command said, “That, contrary to reports from certain quarters, the said female police officer, AP/no 228719 Insp. Edith Uduma, was the Charge Room Officer on October 7, 2024, the night F/No. 504694 Sgt Abraham allegedly raped a female suspect in the station.
“The female officer, instead of reporting the incident to the Divisional Police Officer or the Incident Duty Officer as the case may be, for disciplinary actions to be initiated against the erring officer, took advantage of the situation to enrich herself by calling her husband, AP No. 228652 Insp. Ibrahim Mohammed, whom she conspired with to unlawfully demand the sum of N1m from the sergeant to assist him in concealing the matter.
“Following these events, an orderly room trial was initiated against all the officers, which led to the dismissal of Sgt. Abraham and Insp Edith Uduma.”
Uduma’s husband was also demoted to the rank of Sergeant.
However, Uduma denied the allegations in an interview with PUNCH Metro on Saturday, insisting she never extorted money and that she was not given a fair hearing. She alleged that her dismissal was orchestrated because she lacked influential connections.
Uduma who threatened to kill herself if she didn’t get justice said, “What the Edo Command is saying is not what happened. They know I have no rank or support to fight back,” Uduma said.
She further revealed that the Force Headquarters in Abuja was still investigating the matter only for the Edo command to hurriedly dismiss her.
“I want justice. My dismissal is unjust,” she said tearfully.
She said her husband who was also sanctioned had no connection to the matter.
“He (my husband) used to bring something for me to eat. He brought food that time to the station.
“If Nigerians refuse to listen to me – because my husband has been in detention, and they have been looking for me to arrest me, to charge me to court – if Nigeria refuses to listen to me, I will just poison all my children and myself. I will die. Because I’m just stranded like this,” she said, noting she had been in hiding and had not seen her children in a long time due to the incident.
She alleged that the DPO at the station prompted her to ask Sergeant Ibrahim for the N1m for negotiation when the sergeant reportedly disappeared after the incident, noting that this was to lure the suspect to show up.
According to her, she is surprised how the DPO and other officers allegedly turned the matter against her.
“If the police force can do this to a police officer, how much more to the innocent and civilians?”
The spokesperson for the Edo command, Moses Yamu, has not responded to calls and a text message put across to him on Sunday.
It was gathered that the then Divisional Police Officer of the station at the time the incident occurred, SP Lilian Osemwegie, has now retired.
A call was put across to a number said to be hers but a woman who responded after a question from our respondent, said, “Wrong number, wrong number.”
In a statement made available on Friday, a human rights group, Take It Back Movement, petitioned the Inspector General of Police, Kayode Egbetokun, over what it described as the unjust dismissal of the female police officer and reduction in rank of her husband for reporting the alleged rape case.
The petition titled, “Petition For Review and Reinstatement, Unjust Dismissal From Nigeria Police Force” was released by the TIB Abuja branch and signed by the Federal Capital Teriitory Coordinator of the group, Robert Ande.
“We humbly submit this petition to seek your intervention in the gross injustice perpetrated against Mrs Edith Uduma and her husband (Mohamed Ibrahim) with Force No.: AP/NO 228652 by the Edo State Police Command.
“Her dismissal from the Nigeria Police Force and the deduction of the rank of her husband from (Inspector to CPL) was unjust, and we request a thorough review of her case,” the petition read in part.
“Instead of commending her actions, she was dismissed, and her husband, Inspector Ibrahim Muhammad, was arrested and detained,” the group added, adding that the command’s action was capable of “hindering investigations and protecting the perpetrator of the rape.”
Credit: The Punch
BIG STORY
Discos May Move Three Million Subscribers To Estimated Billing Over Failure To Upgrade Prepaid Meters
Published
2 hours agoon
November 25, 2024Unless there is a last-minute intervention, approximately three million electricity customers could face estimated billing or even power outages due to their failure to upgrade their prepaid meters.
A consumer group has estimated that half of the 5,993,340 metered customers will be affected by the government’s policy.
However, another group argued that anyone who has not upgraded their meter by now is likely one of those Nigerians who tend to display a lackadaisical attitude towards government policies, noting that the upgrade process began last year.
Over the past 10 days, the Nigerian Electricity Regulatory Commission has consistently reminded Nigerians about the importance of upgrading their meters.
“Have you updated your meter yet? From November 24, 2024, you may not be able to recharge your meter without updating. However, updating is easy and free.
“DisCos have already commenced issuance of two free Key Change Tokens which will update your meter.
“The update will not affect the units in your meter, nor will it make your meter run faster than usual. Contact your DisCo for more information,” the NERC said in a post on its handles.
As the NERC continued to sensitise consumers to the meter update, most of the distribution companies appeared unbothered until the exercise elapsed on Sunday.
As of yesterday, there were various complaints from customers who have yet to update their meters.
While some customers said they encountered technical glitches in their efforts to update their meters, others complained of a lack of electricity and many said they got feedback that their meters could not be updated and they had to be replaced.
Earlier, the distribution companies in Lagos told their consumers that all Unistar meters would be phased out by November 14 2024 due to Token Identifier rollover.
Customers using Unistar meters were asked to pay for the replacement of their meters, sparking outrage from affected customers.
The Unistar meter producers denied claims that their meters are outdated. They stated that their meters utilising the card meter technology are fully upgradeable and compatible with the STS meter technology.
The Federal Competition and Consumer Protection Commission also intervened, urging the DisCos to halt their replacement of Unistar prepaid meters.
The FCCPC’s Executive Vice Chairman and Chief Executive Officer, Tunji Bello, at a recent meeting held at the FCCPC headquarters in Abuja and was attended by representatives from the NERC, the Nigerian Electricity Management Services Agency NEMSA, various electricity distribution companies and Unistar Hitech Systems Limited, expressed concern over practices that require consumers to pay upfront for meters without reimbursement, calling it a direct violation of the NERC Meter Asset Provider and National Mass Metering Regulations 2021.
He also noted that DisCos frequently places consumers with faulty meters on estimated billing, saying this is prohibited under NERC’s regulations.
Bello cited an example of a complaint received by FCCPC from an Ikeja Electric customer, who had expressed frustration at being asked to replace a functioning meter at a significant personal cost.
To prevent potential exploitation, FCCPC directed that all meter replacement processes be conducted transparently, with costs borne by the DisCos and not passed on to consumers.
Bello stressed that FCCPC would enforce strict compliance with these regulatory requirements to protect consumers from arbitrary charges and estimated billing.
The NERC’s Order mandates that DisCos must prioritise metering for unmetered customers under the National Mass Metering Programme and follow strict guidelines for replacing faulty or obsolete meters.
“Furthermore, DisCos are prohibited from placing customers on estimated billing due to delays in meter replacement, as new meters must be installed immediately upon removing any faulty or obsolete unit,” the FCCPC boss said.
However, it appears the DisCos did not heed the FCCPC’s directive FCCPC as complaints abound from customers about being asked to pay for the replacement of meters that cannot be upgraded.
Reacting to this, the NERC issued a statement warning DisCos to desist from asking customers to pay for meter replacement.
The commission said no customer should be made to pay for the replacement of any faulty or obsolete meter.
According to a statement last week, the regulator said it was aware that some DisCos had instructed their customers to pay for the replacement of their faulty or obsolete meters.
“The Nigerian Electricity Regulatory Commission is aware that some Distribution Companies have instructed customers to apply and pay for the replacement of faulty and obsolete meters within their franchise areas. This instruction contravenes the Commission’s Order No. NERC/246/2021 on the Structured Replacement of Faulty and Obsolete end-use Customer Meters in the Nigerian Electricity Supply Industry,” the NERC said.
According to the regulator, the order states that no metered customer should be forcefully migrated to estimated billing.
It was also emphasised that any customer’s meter adjudged to be obsolete or faulty must be replaced free of charge by the DisCo, provided the damage was not caused by the customer.
“The Order clearly states that no customer with a meter should be forcefully migrated to estimated billing. If any customer’s meter is adjudged by any DisCo to be obsolete or faulty, it is the responsibility of the DisCo to replace the meter free of charge, provided that the fault was not caused by the customer,” it was stated.
The Vice Chairman of NERC, Musiliu Oseni, stated that meters that are not upgradable will need to be phased out.
“Operationally, if they say some meters are not upgradable, they can decide to phase them out. But as they remove the meters, based on the rule, they must replace them. It is the responsibility of the DisCos to replace them,” he said.
He emphasised that during the phase-out process, no customer should be placed on estimated billing or be denied access to electricity.
He pointed out that if customers were asked to purchase meters under the MAP framework, DisCos must provide a clear mechanism for refunds, as they are obligated to refund the customers.
However, customers who spoke to our correspondent lamented that the DisCos have been doing the contrary.
A customer of the Ikeja Electric complained of how five meters were phased out in a property of eight flats and the flats were placed on estimated billing, with each asked to pay N268,000 per month.
“In a property I manage at Ikeja, a block of eight flats, IKEDC began by phasing out meters. Five meters have been phased out, and the trend continues. They asked individual flats to apply for direct connection to the pole with monthly estimated bills. Then, each flat should apply and pay for new meters they never brought. The estimated bill now charged for one month per flat is N268,000. How come a three-bedroom flat will consume N268,000 per month? Some don’t even have an air conditioner.
“Three tenants each just received the same bill this week, regardless of their consumption. They went to the IKEDC office to complain, and the officials told them to go and pay their bills,” the property manager complained.
Speaking in an interview (with The Punch), the Executive Director of the Electricity Consumer Protection Advocacy Centre, Princewill Okorie, expressed displeasure over the number of consumers that would be plunged into estimated billing over the meter upgrade.
According to Okorie, more than half of the current metered customers would lose their meters and join the over 7 million unmetered ones.
“More than half of metered customers will be subjected to estimated billing by this policy. The same meter that people are crying for so that they can know what they are consuming, you want to frustrate them with this strategy. You want to bring this strategy to make more consumers go into estimated billing. Are the DisCos obeying the estimated billing methodology approved by NERC?
“So, this is an indirect way of putting Nigerians underestimation. And I know that, without a meter, whether you use light or not, they will give you a bill. There was a grid collapse for about five days; the moment light came, those unmetered consumers were made to pay as if there was an electricity supply for 24 hours. It is wickedness against the poor,” Okorie lamented.
The consumer rights activist wondered what the FCCPC is doing to ensure electricity consumers are protected from all forms of exploitation.
“As far as I am concerned, the government should take decisive steps to protect Nigerians against the exploitative tendency of the distribution companies and NERC. The regulator should be investigated, and if possible, sanctioned.
What is the FCCPC doing? Are they aware that consumers are about to be subjected to this? How is the FCCPC protecting consumers? Was it not the consumer protection commission that spoke the other day, and the DisCos said they have suspended it, now that they want to do this, what is the commission saying? How many metered and unmetered consumers do the FCCPC know?” he queried.
- Customers Share Experience
A customer of the Ikeja DisCo, Dare Oguntuase, reported to NERC, his unsuccessful efforts to retrieve his meter allegedly taken away by the DisCo in September.
“NERC should do more than advocacy. Our Discos are irresponsible, fraudulent, and highly unpatriotic. Ikeja Electric is the worst. I have been in the darkness for 63 days now and still counting. My meter No. 47001599126, was retrieved for repair/replacement since 20th September,” he said.
Esther Madu, an X user, said her meter was not accepting the token for the upgrade.
“Someone please help me. I have recharged more than N8,000 on my prepaid meter but my meter has been rejecting the token since Monday. Therefore, I haven’t been able to use electricity in my home since Monday,” she cried out.
A customer of the Port Harcourt DisCo, Engr Gabby, reported, “My meter is rejecting the KCT given to me and I have dropped a complaint to the PHED, to date, no solution.”
Patrick, also under the Port Harcourt DisCo, pleaded with the regulator to extend the deadline, saying his area has been out of power supply due to vandalism.
“Our transformer armored cable was vandalised. PHED refused to fix it. We are contributing N6,000 each to replace the cable. Try to extend this deadline,” Patrick told NERC on X.
Olutosin Runsewe queried why old meter users cannot upgrade their meters.
When asked if she had been able to upgrade her meter, Runsewe replied, “No, they said Unistar meters can’t be upgraded.”
Another customer of the IKEDC, Ikhade Agboghayemeh, shared his chat with the company, which told him to request a meter replacement when he sought information on how to update his Unistar meter.
A customer of the Abuja DisCo simply identified as Austine reported that his faulty meter was not repaired almost a year ago.
“Please intervene in my case with the Abuja Electricity Distribution Company. My meter has been faulty for almost a year now. All my efforts to get them to repair it have failed,” Austine begged NERC.
Replying to calls for an upgrade, an electricity customer said, “You guys are funny, still not enough houses metered. You want to out-date existing meters after upgrading without any plans of replacement. The DisCos are making customers pay through their noses for meter replacement. If you don’t pay, they don’t change it or they place you on estimated billing.”
Also, a consumer identified as Mathew CB, voiced his frustration in Enugu.
“How do we upgrade the meter when we don’t have light here in Emene Enugu State for weeks? You can find out from Enugu DisCo why they’re frustrating people living in this part of Enugu State,” Mathew stated.
Alabi Alapa was concerned about whether or not the illiterates understand the process of meter upgrade, asking, “Do you mandate the DisCos to educate all these old women who live alone and are illiterate?”
In his case, another electricity user, Ayo Olaleye, noted that the response he got while trying to update his meter said, “Your meter is not qualified for TID Rollover.
- Meter replacement may continue till March 2025 – DisCos
The Executive Director, Research and Advocacy, the Association of Nigerian Electricity Distributors, Sunday Oduntan, in a recent interview, assured Nigerians that the DisCos would replace their obsolete or faulty electricity meters at no cost to them.
“Any meter that has lost its integrity, either by way of being obsolete or by way of it not conforming to our system. We will need to remove, retract, and replace those meters. The issue of cost is what I now have to make very clear. For Nigerians, be assured that when we come to your doorstep, we retrieve your meter, we shall replace it at our own cost and at no cost to you,” Oduntan disclosed.
He added that this became necessary for cost recovery.
“One of the reasons why we want to retrieve some meters and replace them is because they are making us lose a lot of money. In a particular Disco, we have 10,927 of those meters. Over time, only about 3,200 of them came out to buy credit. The others, we don’t know where they are. That’s a case of serious bypass. Any meter that makes it easy for my customers to bypass and steal energy, I will remove and replace it.
“What Nigerians don’t want is for me to give them further burdens. So, let it be a matter between me and my regulator. My regulator said, ‘Replace those meters at your cost.’ No problem. When I sit down with my regulator, what I need to ask is, I’ve replaced those meters, so what happens? Because I’m not the one that produces or supplies meters. The suppliers need to be paid, and to pay them, somehow the cost has to be recovered,” he posited.
Oduntan revealed that the meter replacement exercise would be done between now and the first quarter of 2025.
He emphasised that it is not in the interest of the DisCos to put customers on estimation because it leads to arguments between distributors and customers, who he also accused of wasting energy when not metered.
- Customers Blamed
Meanwhile, the National Coordinator of All Electricity Consumers Forum, Adeola Samuel-Ilori, said anyone who has not updated his meter should have himself to blame.
Samuel-Ilori said the upgrade of meters started last year and all consumers should have upgraded their meters by now.
According to him, an extension was done through his group’s continuous engagement with NERC.
“I believe with the type of engagement and enlightenment on it to consumers since last year, many ought to have done it without any hassles.
“If any customer has not done the upgrading till now, it may be out of the lackadaisical attitude of some Nigerians who like to wait till the last minute or until punitive measures are taken before they do the needful.
“I will not fold hands and watch the DisCos do anything that will tamper with consumers rights, even if it means approaching the court of competent jurisdiction. But this meter upgrade is not about sending many to the estimated billing system,” he stressed.
Contacted, a Senior Public Relations Officer at the Federal Competition and Consumer Protection Commission, Nicholas Utsalo, told our correspondent to send an official email, which has not been responded to since Saturday.
Our correspondent learnt that those whose meters were not updated would either choose to be in darkness or revert to the estimated billing system if they cannot wait till the day their DisCos will consider them for a new meter.
Likewise, individuals may decide to buy their own meter if it is taking too long to get a free device from their utility companies.
Credit: The Punch
BIG STORY
Reps May Clash Over President Tinubu’s $2.2bn Fresh Loan Tuesday
Published
2 hours agoon
November 25, 2024A showdown is expected in the House of Representatives this week between lawmakers from the ruling party and their opposition counterparts over President Bola Tinubu’s $2.2 million (N1.77 trillion) loan request.
Deputy Spokesperson of the House, Mr. Philip Agbese, has stated that there will be no difficulty in approving the external borrowing request from President Tinubu.
The loan request was presented in a letter sent to the parliament and read aloud by the Speaker of the House of Representatives, Tajudeen Abbas, during Tuesday’s plenary.
If approved, the President said the loan would fund the N9.7tn deficit in the 2024 budget.
The Senate has already approved the loan request, with the House expected to debate same ahead of its approval later in the week.
Speaking (exclusively with The Punch) on Sunday, the Benue lawmaker who doubles as the Deputy Chairman, the Committee on Media and Publicity, advanced reasons the House will not hesitate to follow the footsteps of the Senate in granting the request of the President to borrow externally to fund the budget deficit.
According to him, the House will approve the loan request as long as it is meant for the execution of capital projects across the country as stipulated in the letter transmitted to the National Assembly by the President.
“The Tinubu-led government has been prudent with our resources. We will approve the loan request without hesitation,” he said, adding that the request will be treated in conformity with standing procedures.
“I can tell you that the relevant Standing Committees have commenced scrutiny of the loan request ahead of the consideration by the House. But I assure Nigerians that as their representatives, we will abide by strict standard procedures in doing our job as far as this request is concerned,” he said.
- Debt Burden
Although Nigeria’s total public debt currently stands at N136tn, Agbese justified the President’s quest to borrow more, saying, “The kind of critical infrastructure we have seen the current government investing their scarce resources on are encouraging. From the Honourable Minister of Finance to the Accountant General’s Office, we have seen fiscal policies that aim to safeguard taxpayers’ resources.”
He added that just as past approvals by the parliament were done in line with due consultation with other relevant stakeholders and experts, “The situation would not be different this time.”
On what has changed since the inauguration of the incumbent All Progressives Congress-led administration, Agbese who represents Ado/Ogbadibo/Okpokwu Federal Constituency of Benue State, noted that “the executive is enhancing our budget system in terms of priorities.”
While declaring that “it may not be far from the truth that past administrations took foreign loans to spend on disposables,” he insisted that “the 10th parliament is carrying out its oversight functions to see that every penny counts in the overall interest of our people.”
- ‘Governors Change Stand’
Reacting to an exclusive report by The PUNCH quoting some lawmakers saying that some state governors appeared to have changed their rigid stand on Tinubu’s tax reform bill, now before the parliament for consideration, the lawmaker added that the resilience of legislators may have informed the development.
“Many (governors) are doing so because they have seen the resilience of the parliament to do what is right for Nigerians. This is what you get where there’s patriotism above personal and selfish interest of just a few entities.
“The House of Representatives under the leadership of Rt Hon Tajudeen Abass has done something novel and Nigerians are equally commending his leadership. There’s no doubt that our approach to inviting the key drivers of the tax reforms in Nigeria and doing so at the same time with our in-house experts, has changed the narrative completely in Nigeria,” he added.
In a veiled jibe at former Vice President Atiku Abubakar, who in July described the National Assembly as an enabler of executive recklessness, Agbese said Nigerians “don’t take him seriously, so, the parliament won’t be bothered about his opinion which was probably expressed from abroad or somewhere in Dubai.
“The only time that politician won an election was when another candidate from the south carried him on his back as a running mate. The only thing he sees about Nigeria is when an election will take place.”
The lawmaker assured Nigerians that when granted, the loan would be used for the intended purpose, saying, “The House of Representatives will ensure that such monies if approved are not diverted. What we understand the President is doing is repositioning critical institutions for optimum performance as well as delivering on infrastructure that will stand the test of time.
“It’s possible to extend the lifespan of the 2024 budget to ensure that ongoing critical projects receive the desired attention and are completed.”
Also speaking, an APC lawmaker from Imo State, Chike Okafor, said the loan request by the President was in order.
He said, “Our country in the past years suffered from under-investment in the very critical sectors that stimulate the economy. How much of our resources go to funding/financing infrastructure in such critical things like roads, health, education, and agriculture? Any economy that fails to sustain good investment in the above critical sections of the economy is creating short and long-term deficits in those areas.
“What do you do if/when your current revenue and receipts are inadequate to fund the necessary and required investments necessary to sustain the stimulation of your commerce and economy? You resort to borrowing, especially if/when you reserve the capacity to do so.”
He added, “What I do not support is borrowing to fund ordinary appetite. By this, I mean borrowing just to fund recurrent expenditures. Once a borrowing is geared towards the funding of critical capital items, then we’re moving in the right direction.”
- Minority Caucus Warns
Meanwhile, the minority caucus of the House of Representatives has warned that the provision for deficit financing in the 2024 budget is not automatic, adding that borrowing should be the last option rather than the first resort.
Speaking on Sunday, the leader of the Minority Caucus in the House, Kingsley Chinda, said, “We no doubt provided for the executive to borrow in the 2024 budget, but it’s not automatic. Borrowing should not be the first resort. It should be the last option, particularly when borrowing with interest.”
Chinda, who represents Obio/Akpor Federal Constituency of Rivers State, added that in activating the loan option, some questions need to be asked.
“What did we get as income, and how was it applied that we required borrowing? What efforts have we made to raise funds without borrowing and what are the results? Is the borrowing very necessary?”
He added, “What are the specific projects you intend to fund with the money? What are your repayment plans? This information must be cogent and verifiable.”
The Peoples Democratic Party lawmaker noted that “it is only when these questions are answered positively that we can consider the loan,” or else, “The loan will be an additional burden on the government, and the people of Nigeria and should be avoided as a fish should avoid a bait.”
On his part, the Chairman of the Public Accounts Committee, Bamidele Salam, gave a condition to support the loan approval.
“I personally think that the best approach is to scrutinise the loan request. I will only support it if the loan terms are favourable and only if the money will be spent on urgent critical infrastructure for which funding cannot be sourced elsewhere,” he said.
- Debt Profile Worrisome
On his part, a Labour Party federal lawmaker from Anambra State, Afam Oghene, also expressed worry over the nation’s growing debt profile.
He told The PUNCH, “Many Nigerians are worried about the Presidency’s repeated requests for loan approvals, as well as the country’s growing loan profile. The concern is not just about the loans themselves, but also about the transparency and integrity of how the funds are being deployed and the projects they are attached to.”
Oghene, who represents Ogbaru Federal Constituency of Anambra State, stated, “As of June 30, 2024, Nigeria’s total public debt stock stood at N87.38tn ($113.42bn). This is a significant increase from previous years, and it is understandable that many Nigerians are uneasy about the trend.”
He added that the opposition would continue to ask relevant questions in relation to the demands for good governance.
“The opposition parties are right to question the propriety of these loans, especially given the country’s economic difficulties. But you know that in a democracy, the majority always has its way. Regardless, it is crucial that the government exercises prudence and discipline in handling public funds and ensures accountability and integrity in managing the country’s wealth.
“Ultimately, however, it is up to the government to address these concerns and provide transparency about the loans and how they’re being used. As citizens, it is essential to continue demanding accountability and ensuring that the country’s resources are being managed in the best interest of the people,” he stated.
Oghene added, “As it stands today, it is the President Tinubu-led administration that exercises the mandate of the people until 2027, and all we can do, as opposition political leaders, is to offer alternate viewpoints regarding government policies and actions, so that the citizenry would, going forward, be in a position to make informed decisions when the next election cycle comes.
“In the Labour Party, we have always propagated the concept of borrowing for productive purposes, rather than for consumption. For instance, what specific projects are the latest borrowing plans tied to? In the face of the current hardship occasioned by the subsidy removal regime, would the people be subjected to further impoverishment, or will the loans be channelled to the economic rejuvenation of the country?”
Credit: The Punch
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