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The Federal Government on Tuesday hinted that independent marketers might be allowed to sell petrol above the current regulated pump price N145 per litre.

The Minister of State for Petroleum Resources, Dr. Ibe Kachikwu, gave the hint in a presentation at an investigative hearing organised by the Senate on the lingering scarcity of the product in the country.

He said the N26 differential between the current pump price and the landing cost of the commodity was caused by the rise in the exchange rate.

The minister recalled that naira was 285 to a dollar when the pump price was raised to N145 per litre, adding that the rate would have to drop to N240 to a dollar for marketers to be able to sell at the official price.

Kachikwu stated that the government had come up an 18-month emergency period within which issues affecting supply and pricing of the commodity should be solved.

The minister said the government was considering three models for the regulation of the pump price of petrol, one of which is a “plural pricing system” that would allow independent marketers to either stick with the distribution chain of the government and the official price, or sell the commodity based on the variations in the importation and landing costs.

The minister explained that while the government could retain the current official pump price of N145, marketers who were not okay with its supply chain could be allowed to import and distribute the product independently.

Kachikwu said, “We are looking at an 18-month emergency period. During this emergency period, we need to address the issue of pricing. There is price disparity between the landing cost and the cost of selling. If we must sell at N145 (per litre), we need to put mechanisms in place so that the private sector can go back to importation. We now have a committee that is looking at this and it will be subjected to review.

“The landing cost of the product today is about N170 or N171. The price that we should sell is N145. So, there is a disparity. What that means is that those individuals who are bringing in theirs will not be able to meet their obligations like the NNPC for commercial supply. We need to step back.”

The Chairman of the Senate committee, Senator Kabiru Marafa, who interjected Kachikwu at this point, said the minister had stirred the hornets’ net by the statement.

He asked, “Are you saying that the N171 is what an average Nigerian will pay at the filling station or what the marketer will lift from the depot or the cost of importation?”

Responding, Kachikwu said, “Our point is that there is a gap and we need to see how we can fill that gap. There are three mechanisms that we are looking at in dealing with that gap. Whatever we do, giving the constraints of the NNPC in handling 100 per cent of the supply, which may become an overriding burden on the corporation, we need to free the marketers to do their business. To do their business is to address the pricing issue.

“To address the pricing issue, we are looking at three models. When we got to N145, the exchange rate was N285 (to a dollar); today, it is at N305. Even at the minimum, there is a gap there. If you walk to the CBN to check the modulation of the exchange rate to sell at N145, the cost of purchasing it today is about N240; it is not N285 or N305.”

Listing the options available to the government to maintain the current pump price, the minister stated that one of the mechanisms being considered was to work with the Central Bank of Nigeria to create a forex policy for marketers to be able to sell at N145.

Another option, he said, was to relax some of the taxes imposed on the marketers in the importation and distribution chain, thereby reducing their running costs.

Kachikwu added, “We are also looking at the potential of – going theoretically to respect the N145 pump price – having a plural pricing system. The NNPC and all its stations, about 400 across the country, will sell at N145. At the same time, marketers are able to import the product at their own cost and sell. It will now be for the individual to stay with NNPC or not. It does not affect the Federal Government on what the NNPC is selling.”

The minister pointed out that unless the pricing problem was resolved, the issues would remain persistent.

A member of the committee, Senator Tayo Alasoadura, who is also Chairman of the Senate Committee on Petroleum Resources (Upstream), asked Kachikwu how the NNPC had been sustaining the pump price.

“We were told that the landing cost is now high, now at N171. The government had gone out with fanfare that subsidy (on petrol) had been abolished but within a year, we are now talking about a landing cost that is high. Did the government not do its homework properly before arriving at N145 per litre?” he said.

Another member, Senator Bassey Akpan, who is the Chairman of the Senate Committee on Petroleum Resources (Gas), also asked why the minister was considering pricing modulation and if he had the approval of President Muhammadu Buhari to modulate the petrol pump price.

Corroborating Alasoadura, stated, “Now that the NNPC is importing at a loss of about N800m to N900m daily, we need to understand how these losses are being treated. You have said you are doing away with subsidy and the NNPC has said tit imports 25 million on the average daily at N26 per litre loss. We need to reconcile that.”

A twist was, however, recorded in the probe when Kachikwu and Baru were about to answer questions posed to them by members of the panel.

Marafa, who had vowed that the Federal Government must explain alleged payment of subsidy without the National Assembly’s approval, asked that they ignore questions on subsidy payment.

He said, “Let me state one thing: there are questions asked about subsidy issues. I don’t want us to derail. The essence of this sitting is not on whether there is subsidy or no subsidy.

“Answer the questions on subsidy as far as it affects supply, which caused the fuel scarcity. I don’t want us to go into issues of subsidy for now at this meeting. The Committee on Downstream is going to pick on that matter immediately and look into it holistically. So, questions bothering on who is paying subsidy should be dropped for this purpose. I don’t want us to derail.

“What we want are issues of supplies, where the gaps are and why we have this crisis. These are the hallmark of this problem.”

Earlier in his presentation, Kachikwu described Nigeria’s inability to refine crude oil locally as “shameful” after operating a downstream sector for over 40 years, adding that the country could still not make petroleum products sufficient for the people despite having crude oil.

“For the long-term, finally, we must address the issues with our refineries. Like I said in the beginning, the solution to the problem must be the refineries. And whatever it takes, we need to put the refineries together. Once we do that, we are ready to go,” he stated.

The Director, Department of Petroleum Resources, Mr. Mordecai Ladan, stated that the NNPC did not have the capacity to be the sole importer and distributor of petrol.

“The situation is improving. The NNPC is doing its best. For now, the NNPC is the sole importer and almost the sole distributor of this product. The NNPC cannot do it alone. We want the independent and major marketers as well to please come in and assist in this current situation,” he said.

BIG STORY

65% Of Nigerian Households Can’t Afford Healthy Meals — NBS

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The National Bureau of Statistics (NBS) reports that food scarcity, insecurity, and high prices have led Nigerian households to reduce consumption, with 65 percent unable to afford healthy meals due to financial constraints.

These findings were released in the NBS’s latest General Household Survey Panel (Wave 5) report, conducted in partnership with the World Bank.

The report reveals that 71 percent of households were affected by rising prices of major food items, while food shortages impacted more than a third of households over the past year. These shortages were particularly severe in June, July, and August, worsening the food insecurity crisis.

As a result, 48.8 percent of households reported cutting back on food consumption, according to the NBS data.

“In the past 12 months, more than one-third of households faced food shortages, which occurred more frequently in the months of June, July, and August,” the report states.

“Price increases on major food items were the most prevalent shock reported by households, affecting 71.0 percent of surveyed households.”

“Households’ main reported mechanism for coping with shocks was reducing food consumption (48.8 percent).”

  • ‘62.4% Nigerian Households Secured Less Food’

The report also notes a significant increase in the number of households concerned about not having enough food to eat, with the figure rising from 36.9 percent in Wave 4 (conducted in 2019) to 62.4 percent in Wave 5.

According to the NBS, this surge reflects a rise in food insecurity, with more than half of Nigerian families struggling to meet their dietary needs.

“Approximately two out of three households (65.8 percent) reported being unable to eat healthy, nutritious, or preferred foods because of lack of money in the last 30 days. 63.8 percent of households ate only a few kinds of food due to lack of money, 62.4 percent were worried about not having enough food to eat, and 60.5 percent ate less than they thought they should,” the report adds.

“Furthermore, 12.3 percent reported that at least one person in the household went without eating for a whole day, and 20.8 percent of households had to borrow food or rely on help from friends or relatives.”

“In general, households in the southern zones report more incidents related to food security than those in northern zones.”

“For example, in the southern zones, the proportion of households reporting that they had to skip a meal ranged from 50.1 percent in South West to 62.4 percent in South East, while in the northern zones this share varied from 34.0 percent in North Central to 48.3 percent in North East.”

The report further highlights that residents in the south-south zone experienced the highest rates of food insecurity across five out of eight indicators. In contrast, the north-central zone had the lowest rates in six of the eight indicators.

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BIG STORY

POLITICS: Rest 31-Year Presidential Ambition — Bode George Tells Atiku Abubakar

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A former Deputy National Chairman of the Peoples Democratic Party, Chief Bode George, has advised former Vice President Atiku Abubakar to end his 31-year-long bid to be President.

Noting that Atiku’s bid to be President dated back to 1993, George said it was high time the former Vice President retired from such a contest, especially in the 2027 election.

Addressing a press conference at his Ikoyi, Lagos office, on Thursday, George urged Atiku to assume the position of an elder in the nation and leave his bid to posterity.

“To Atiku, my advice is this, you will be 81 years old in 2027, and you have been contesting for the presidency since 1993. This is the time for you to calm down and act like an elder. I appeal to you in the name of the Almighty Allah, that you serve, to take it easy and leave everything for posterity,” George said.

George decried that the PDP was on the verge of crumbling because people uplifted their personal interests and individual ambitions above national interest.

He criticised the “divisive, arrogant, haughty” members of the party romancing the ruling All Progressives Congress yet failing to defect from the PDP, describing them as cowards.

“We are where we are today because of a self-inflicted crisis; we should bury our individual ambitions now and not allow the PDP to crumble, please. Elders of the party should tell some of these funny characters to cool off and think of our national interest instead of their personal interest.

“Nigerians are angry and hungry. Instead of telling the APC the truth, some divisive, arrogant and haughty members are busy romancing the ruling party and they are quick to refer to themselves as elder statesmen. Instead of instigating a crisis in our party, why are they not bold enough to defect to the APC? Do they really fear God at all? No member is big enough to hold the party to ransom,” George added.

Particularly pointing to the crisis between Rivers State Governor, Siminalayi Fubara, and his predecessor and Minister of the Federal Capital Territory, Nyesom Wike, George urged Wike to immediately “cool off” from wanting to “bring down” Fubara.

George said it was worrisome that some party members, rather than bringing the two parties to mediation, further fuelled the Fubara/Wike crisis for their selfish interests.

“My advice to Wike is very simple. You are my political son. I am therefore appealing to him to cool off immediately. I know he was injured by friends during the last PDP presidential contest, but I am advising him as a father to please take it easy. Nobody is bigger than any party. Forget what happened in the past and let us work together in the interest of this party.

“I want to ask the elders at the helm of affairs of our party today, ‘What exactly is the offence of Governor Siminalayi Fubara of Rivers State?’ What exactly is the offence of this gentleman that some elders of our party are trying to throw him under the bus because of political expediency? What exactly is going on that some party members don’t feel bothered about the happenings in Rivers State? Governor Fubara was helped by Governor Wike to become the number one citizen of the oil-bearing state. The governor himself acknowledged this on several occasions.

“Must the governor now behave like a slave to his predecessor and other characters because of this concept of godfatherism which is a misnomer in our politics? Why are some party members encouraging his predecessor to bring him down? He is in Abuja; he wants to control what goes on in Rivers State.

“Did the governors before him behave this way? Why are the party leaders not eager to mediate and bring both groups to normalcy? The PDP cannot continue like this. Why can’t we learn from our past mistakes? Is our party jinxed? Why can’t we tell all these troublemakers to go and sit down if they don’t want this party to move forward?”

The National Assembly has amended the National Drug Law Enforcement Agency Act, prescribing life imprisonment for drug offenders and traffickers.

This decision followed the adoption of the harmonised report by the Senate and House of Representatives on the NDLEA Act amendment.

Presenting the report, the Chairman of the Senate Conference Committee, Senator Tahir Monguno, explained that the amendment sought to impose stricter penalties to deter illegal drug activities.

The amendment specifically stated: “Any person who unlawfully engages in the storage, custody, movement, carriage, or concealment of dangerous drugs or controlled substances and, while doing so, is armed with an offensive weapon or disguised in any manner, commits an offence under this Act and is liable, upon conviction, to life imprisonment.”

The Senate approved the recommendation through a voice vote during Thursday’s plenary, presided over by the Deputy Senate President, Barau Jibrin.

In addition to the NDLEA amendment, the Senate also passed a bill to empower the Revenue Mobilisation, Allocation, and Fiscal Commission.

The proposed legislation, known as the Revenue Mobilisation, Allocation, and Fiscal Commission Bill of 2024, sought to replace the existing RMAFC Act of 2004.

The updated law revises the commission’s composition and operational framework to ensure federal, state, and local governments receive constitutionally mandated resources to address governance and developmental challenges.

Presenting the bill, the Chairman of the Senate Committee on National Planning and Economic Affairs, Yahaya Abdullahi, highlighted the urgency of reforming the commission in light of Nigeria’s dwindling revenues and growing population.

Abdullahi explained that the bill aims to strengthen RMAFC’s mandate as the constitutionally recognised body responsible for monitoring revenue generation and ensuring its equitable distribution among the three tiers of government.

“The Act, last revised over 20 years ago, no longer reflects Nigeria’s evolving economic realities. This bill proposes additional funding and a restructured operational framework for the commission to improve its efficiency,” he said.

He further emphasised that adequate funding from the Federation Account was critical for RMAFC to perform its constitutional responsibilities effectively, noting that funding challenges had previously hindered its performance.

The Senate endorsed the bill following deliberations and a majority vote.

It now awaits President Bola Ahmed Tinubu’s assent to become law.

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BIG STORY

Man, Girlfriend Arrested For Kidnapping, Murder Of 70-Yr-Old Woman In Enugu

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A 33-year-old man, Ikechukwu Okoye, and his 39-year-old girlfriend, Juliet Ogbodo, have been arrested by the Enugu State Police Command for allegedly kidnapping and murdering a 70-year-old woman, Mrs. Mary Nwatu.

The suspects, both from Onuorie-Obuno in Akpugo Community, Nkanu West Local Government Area of the state, are accused of killing the victim and burying her in a shallow grave before demanding a ransom of N6 million from her children.

They were apprehended after receiving N20,000 from the family, ostensibly to facilitate a phone call with the victim.

In a statement issued Thursday night, the command’s spokesperson, DSP Daniel Ndukwe, revealed that the arrest was made by the command’s Anti-Kidnapping Tactical Squad, based on credible intelligence.

According to Ndukwe, preliminary investigations showed that Mrs. Nwatu was reported missing on September 15, 2024.

“On October 5, 2024, the principal suspect, Ikechukwu Okoye, who is also a kinsman of the victim, contacted her children, demanding a ransom of N6 million,” Ndukwe stated.

Okoye was later arrested and reportedly confessed to the crime.

“He admitted abducting Mrs. Nwatu on September 14, 2024, at about 8 am when she came to their house to look for his mother.

“He further confessed to killing her and burying her in a shallow grave inside an uncompleted building in the compound,” the police officer said.

The suspect also admitted to demanding a ransom from the victim’s children, initially requesting N6 million before negotiating it down to N3 million.

However, he accepted an initial payment of N20,000 on the condition that the family would hear their mother’s voice over the phone before making further payments.

Juliet Ogbodo, Okoye’s girlfriend, also confessed during interrogation that she was aware of the crime but claimed she did not report it to authorities out of fear.

The victim’s remains have since been exhumed and taken to a mortuary for preservation and autopsy.

Ndukwe assured the public that the suspects, along with any others found complicit, would be arraigned in court once investigations are concluded.

“The Enugu State Police Command remains committed to ensuring justice for the victim and her family,” Ndukwe said.

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