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BIG STORY

Marketers To Engage Dangote On Fuel Distribution Plan

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Members of the Major Energies Marketers Association of Nigeria plan to consult with the Dangote Petroleum Refinery to gain a clearer understanding of its strategy to begin direct fuel supply to filling stations across the country.

The Executive Secretary of MEMAN, Clement Isong, made this known during a webinar hosted by the association on Thursday.

Isong explained that the marketers also intend to engage the Nigerian Midstream and Downstream Petroleum Regulatory Authority along with other key stakeholders as they work to understand the details of the new distribution model introduced by the Dangote refinery.

“At this point, we are watching the market, trying to understand it. We have read it in the news. We need to understand exactly where it impacts and what it impacts before we can have some clarity as to how far it will go in terms of impact.

“And that requires a lot of discussion; discussion with Dangote himself, discussion with the authorities, discussion with other stakeholders. At some point in time, we shall engage and do what is necessary to protect the market should we have to do so. But for now, we are trying to understand exactly what this initiative is and how it will impact the market.

“It would be irresponsible of us to say anything before being clear as to exactly what it means. We are not clear, for instance, whether it means that there is an equalisation policy, whether it means the same price everywhere in the country, we don’t know. Until we have clarity as to exactly what the initiative is, before we can engage,” he said.

Nonetheless, Isong acknowledged that the refinery’s proposal to use Compressed Natural Gas-powered trucks for fuel distribution is a promising development, although he noted the current limitations in infrastructure.

“CNG is a policy of the government. It’s a policy still in implementation. We do not have enough CNG infrastructure in place. So, a lot of planning has to be done to be able to implement it. Bold companies are companies that will take advantage of available opportunities. So, distribution by CNG trucks is one of the available opportunities, so far as you’re able to make it work for you,” he said.

Addressing concerns over possible market dominance and anti-competitive practices, Isong emphasized the importance of regulatory oversight in distinguishing between innovation and harmful dominance.

“It is a continuous debate, a continuous engagement that we all have to help them to find the balance, the equilibrium, and what is best for the market. But we have consistently asked for deregulation, we’ve consistently asked for open market competition, and we’ve consistently said it would bring innovation. This innovation, that is transportation by CNG, is one that we have identified, and we have encouraged our members to take advantage of,” he added.

On Sunday, Dangote refinery announced it would begin the direct delivery of petroleum products to filling stations and stakeholders nationwide. The initiative is set to launch on August 15 using 4,000 brand new CNG-powered trucks.

BIG STORY

Trump Hits Nigeria With 15% Tariff In Revised Global Trade Blitz

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Nigeria, along with several other African nations, has been subjected to a 15 percent import tariff following a broad executive directive issued by United States President Donald Trump.

The White House disclosed the updated reciprocal tariff framework on Thursday.

Back in April, Trump had introduced extensive tariffs on various international trade partners, placing a 14 percent duty on Nigeria.

The implementation of these “reciprocal” tariffs was initially delayed for 90 days to allow time for bilateral trade negotiations, with the new deadline set for August 1.

Despite the extensions, most discussions did not lead to any new trade arrangements, prompting the enforcement of higher tariffs as part of Trump’s updated global trade strategy.

Across Africa, the United States was unable to finalize a single trade agreement, despite considerable efforts made by officials from both sides.

While countries explored options to navigate the tariff challenges, Trump also placed travel bans on multiple African nations.

Nigeria was not part of the original list, but was eventually included as the policy developed further.

Yusuf Tuggar, Nigeria’s minister of foreign affairs, mentioned that West African countries had intentions to enhance trade relations with the US but saw the travel bans as a major hindrance.

Here is the breakdown of the revised tariff categories:

10% – Falkland Islands, United Kingdom, and all other nations excluded from the executive order
15% – Afghanistan, Angola, Bolivia, Botswana, Cameroon, Chad, Costa Rica, Côte d’Ivoire, Democratic Republic of the Congo, Ecuador, Equatorial Guinea, Fiji, Ghana, Guyana, Iceland, Israel, Japan, Jordan, Lesotho, Liechtenstein, Madagascar, Malawi, Mauritius, Mozambique, Namibia, Nauru, New Zealand, Nigeria, North Macedonia, Norway, Papua New Guinea, South Korea, Trinidad and Tobago, Turkey, Uganda, Vanuatu, Venezuela, Zambia, Zimbabwe
18% – Nicaragua
19% – Cambodia, Indonesia, Malaysia, Pakistan, Philippines
20% – Bangladesh, Sri Lanka, Thailand, Taiwan, Vietnam
25% – Brunei, India, Kazakhstan, Moldova, Tunisia
30% – Algeria, Bosnia and Herzegovina, Libya, South Africa
35% – Iraq, Serbia
39% – Switzerland
40% – Laos, Myanmar (Burma)
41% – Syria

China, which remains in a prolonged trade dispute with the United States, is still actively negotiating with the Trump administration.

Canada received a 35 percent tariff, while Mexico was hit with several levies including 25 percent on fentanyl, 25 percent on automobiles, and 50 percent on steel, aluminum, and copper, all of which will take effect in 90 days.

Brazil was initially given a 10 percent tariff.

However, an additional 40 percent duty was introduced on Thursday, raising Brazil’s total tariff rate to 50 percent.

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BIG STORY

Army Lacks Funds To House 13,000 New Recruits — COAS Oluyede

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Olufemi Oluyede, chief of army staff (COAS), has stated that the Nigerian Army does not have the financial capacity to provide accommodation for incoming recruits.

According to Punch, Oluyede made this known on Thursday in Abuja during a visit by the senate committee on army to the army headquarters.

While expressing appreciation to the committee for their support, he pointed out that the current method of funding, particularly the envelope budgeting system, falls short of meeting the army’s operational demands.

He appealed to the committee to consider allocating special funds outside the envelope budgeting model so the army can effectively deliver combat support and provide necessary welfare infrastructure.

“As we speak, the army is still challenged in terms of operational efficiency. This year alone, we are expecting about 13,000 new personnel, but there are no corresponding resources to provide accommodation for them,” the army chief said.

“We still have soldiers not being accommodated, and that number will continue to grow.

“We are not only looking at maybe insecurity within, but what if someday we are challenged from outside?

“So, I want to pray that you please look at that, and at the same time, look at how we can get special funds to provide accommodation for our soldiers. It’s very critical.”

Abdulaziz Yar’Adua, who chairs the senate committee, acknowledged the financial limitations the army faces and assured that the panel would push for enhanced funding.

“The Nigerian Army and Armed Forces should be removed from the envelope budgeting system so they have more funds to carry out their mandate. We’ve seen the need during our oversight visits,” Yar’Adua said.

“We want to assure the chief of army staff of our continued support and collaboration with the executive to ensure the army is adequately funded.”

He added that the committee had been divided into two teams to inspect army bases in Borno, Katsina, Sokoto, Kebbi, and Lagos states.

He explained that the inspection is in accordance with the constitution and senate procedures to guarantee proper use of approved funds.

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BIG STORY

No Region Left Out In Tinubu’s Infrastructure Revolution — Works Minister Dave Umahi

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Dave Umahi, the minister of works, said every part of Nigeria is included in President Bola Tinubu’s infrastructure agenda, and he promised to make public the full list of ongoing projects nationwide.

Umahi made this known in Abuja on Thursday following the weekly federal executive council meeting chaired by Tinubu.

“Mr. President has done extremely, very, very well in both urban and rural infrastructure,” he said.

“I’m going to publish all the projects—over N10 billion—across the entire country. I’m trying to be correct, and that will be next week.”

He explained that 118 km of roads in Abuja cost N286 billion, with N75 billion (30%) already disbursed, and over half the work completed.

The second phase of the project spans 164 km at a cost of N502 billion, with N150 billion (30%) released so far.

For the Abuja–Kano road, covering 72 km and valued at N450 billion, N135 billion (30%) has also been paid to the contractor.

He added that the Abuja County application project, worth $22 billion, had received 30 percent payment for ongoing construction.

Discussing regional infrastructure, Umahi noted that funds were disbursed for all four parts of the Bauchi–Gombe road, and Sukuk bond funding is backing projects in Gombe, which are now underway.

He said the Nembe Bridge project received 30 percent of its N156 billion funding, highlighting that the bridge would eliminate the need for expensive airboat travel to oil rigs.

“I’ve always said that when a road is not connected, you can’t move from one state to the other,” Umahi stated.

“It’s tantamount to being in prison because your movement is restricted… Projects bring down costs; the GDP of states is being improved.”

The minister also mentioned that the Lagos–Calabar coastal highway is 85 percent completed, having positively impacted Lagos’s GDP.

He said the Adamawa project, which was originally awarded in 2020 for 45 km, had now been extended to 61.76 km on the Biu–Newman road.

On the Lagos–Shagamu–Ijebu Ode–Ore road project, which began in 2018 and was revised in 2023, he said it is 25 percent complete and recently received an additional N11.423 billion.

He noted that the Niger State project was adjusted to include a binder crossing and a new bridge, which increased the cost by N8.94 billion.

He stated that the second section of the Sokoto–Badagry corridor was awarded for 228 km of three-lane road construction at N961 billion, with 120 km already completed in Sokoto.

Umahi expressed sorrow over the Keffi Flyover accident, which claimed three lives, saying the government had settled with the victims’ families and reconstruction had started.

He said the bridge remains closed to vehicles and that there are no unresolved legal matters related to the incident.

Umahi reaffirmed that the administration is dedicated to transparency and accountability.

“Anytime, any day, I would like to have a debate with anybody that wants more knowledge in terms of our ongoing infrastructure,” he said.

“That will come next week, and you will be able to see the great things that Mr. President is doing.”

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