Opinion
Fuel price hikes: NNPCL’s antic to sabotage Dangote, Nigerians
By Ehichioya Ezomon
Nigerians have lost count of the number of times that the Nigerian National Petroleum Company Limited (NNPCL) has increased the price of petrol (premium motor spirit, PMS) since on May 29, 2023, when President Bola Tinubu, during his inauguration, took the nation by surprise and declared that, “fuel subsidy is gone.”
Coupled with subsequent floating of the Naira, to find its “true value” within the vagaries of market forces, and other crunchy policies that his administration has introduced, such as the hike in electricity tariffs – all subject to removal of subsidies – Nigerians’ social and economic lives have changed for the worse from the day of the Tinubu sceismic inaugural speech at the Eagle Square in Abuja, Nigeria’s capital city.
Prices of goods and services have not only skyrocketed, but manufacturers have embarked on shrinkflation (reduction in size or quantity) and skimpflation (reduction in quality) of their products, even as prices keep increasing amid a hyperinflation and low or none purchasing power that’s caused unprecedented hunger and anger across the country.
Exacerbating Nigerians’ dire straits is the propensity of the NNPCL for incessant increases of the price of petrol, which the so-called state-owned enterprise raised from N184 to N577 per litre moments after Tinubu announced the removal of the fuel subsidy in May 2023, and to N617 and then N897, sparking nationwide outrage, and protest.
The case has always been that each new fuel price increase comes at an inauspicious time when Nigerians are settling down, and coming to terms with the previous hike, with the latest on October 29 jerking up the prevailing price from N998 to N1,025 per litre in Lagos, and from N1,030 to N1,060 per litre in Abuja.
Between September and October 2024, the pump price has increased from N897 to N998, and to N1,025 per litre at the NNPCL mega filling stations in Lagos. It now sells in Port Harcourt, Rivers State, at N1,040 per litre, between N1,020 and N1,030 in Lagos, N1,060 in Abuja, and up to N1,350 in far-flung northern States. And it continues to climb, with industry watchers predicting that it could hit N1,500 per litre by Christmas 2024.
Meanwhile, the NNPCL, which often surreptitiously introduces new fuel prices, has undisguisedly dabble in the affairs of the privately-funded and owned Dangote Petroleum Refinery, which Nigerians have long expected would bring succour and free them from the stranglehold of the NNPCL that’s never served their interest even under the alleged corruption-ladden fuel subsidy regime dominated by frequent hikes in pump price, and induced scarcity of the product, especially during festive seasons.
From deliberate dithering to supply crude to the multibillion dollar 650,000bpd capacity Dangote Refinery, to fighting to be its sole PMS off-taker, and to continue to import fuel on the pretext that the refinery isn’t meeting its daily requirements, the NNPCL has retained its power to fix prices in a deregulated oil sector that’s supposedly open to willing sellers and willing buyers.
Lately, the monopolistic tendency of the NNPCL has constrained it to withhold a princely N40bn that members of the Independent Petroleum Marketers Association of Nigeria (IPMAN) have reportedly paid through the company (NNPCL), to enable them lift fuel from the Dangote Refinery.
Reacting to the claim by the refinery’s owner and Chairman of the Dangote Group, Mr Aliko Dangote – that marketers were avoiding his refinery in favour of imported petrol – IPMAN’s President, Abubakar Garima, revealed on Channels Television’s ‘Sunrise Daily’ on October 30 that the IPMAN members were eager to purchase fuel from the refinery if allowed to do so directly.
“We have over ₦40bn in outstanding debt with the NNPCL. I was surprised when Dangote said he has over 500m litres of PMS. We are ready to buy the product from Dangote if he is ready to sell it to us directly,” Garima said, adding that his members weren’t importing petrol, contrary to Dangote’s suggestion, and urged the refinery to register independent marketers directly, and bypass the NNPCL, to allow for easier loading.
“If he (Dangote) can sell the product directly to us, we can buy because we pay upfront before loading. Currently, we have ₦40bn with the NNPCL, yet we can’t access the product. Recently, some marketers were sent to load at the Dangote Refinery but were unable to load even after waiting four days with their trucks,” Garima said.
Noting that IPMAN represents over 20,000 marketers, Garima suggested that, “if the Dangote Refinery allows independent marketers to lift petrol directly, similar to the NNPCL arrangement, Nigerians will likely a reduction in pump prices.” VANGUARD reported on the story.
On October 30, Aliko Dangote, along with the Minister of Finance, Wale Edun and NNPCL’s Group Chief Executive Officer, Mele Kyari, met with President Tinubu in Abuja, and announced that he had over 500m litres of petrol in storage at his refinery, but that marketers weren’t using his facility – perhaps to remind the president that all his efforts to ensure that the refinery came on stream, and enough crude supplied to it daily in Naira equivalent, was falling through by no fault of the refinery.
Debunking IPMAN’s claim, Dangote Refinery’s Group Chief Branding and Communications Officer, Anthony Chiejina, stated on October 30: “The Dangote Petroleum Refinery wishes to clarify that it has not received any payments from the Independent Petroleum Marketers Association of Nigeria (IPMAN) to purchase refined petroleum products.
“Although discussions are ongoing with IPMAN, it is misleading to suggest that they (IPMAN members) are experiencing difficulties loading refined products from our Petroleum Refinery, as we currently have no direct business dealings with them. Consequently, we cannot be held responsible for any payments made to other entities.
“The payment in mention has been made through the Nigerian National Petroleum Company Limited (NNPCL), and not us. In the same vein, NNPCL has neither approved, nor authorised us to release our Premium Motor Spirit (PMS) to IPMAN.”
Emphasising that the refinery can meet Nigeria’s demand for all petroleum products, including petrol, diesel, and aviation fuel, Chiejina said: “At present, we can load 2,900 trucks per day and we have also been evacuating petroleum products by sea. We advise IPMAN to register with us and make direct payment as we have more than enough petroleum products to satisfy the needs of their members.”
He appealed to “all stakeholders to refrain from making unfounded statements in the media, as that could undermine the economic re-engineering efforts of His Excellency, President Bola Ahmed Tinubu. Conducting business through public speculation is counterproductive and unpatriotic.”
“In the interest of our country, we encourage all stakeholders to collaborate and heed the advice of President Tinubu, while promoting a unified approach, rather than engaging in media conflicts and needless propaganda,” Chiejina said.
The foregoing illustrates the fact that, if the IPMAN didn’t cry out over its members’ inability to lift fuel they’d paid for from the Dangote Refinery, and the later didn’t rebut the IPMAN claim of its members paying the huge sum into its coffers, the NNPCL would’ve withheld – if it’s still not withholding – the N40bn, ostensibly to trade and earn illegal bountiful commission on the money, and retain both its sole off-taking of fuel from the Dangote Refinery, and the power to dictate its price in the Nigerian market.
The NNPCL’s antic is a “financial sleight of hand of the worst sort,” and a brazen act of corruption that embodied the subsidy regime that Tinubu’s vowed to eliminate. But what Nigerians have seen over the past 18 months is that the more things change under the Tinubu administration, the more they remain the same!
Which begs the question: Does Tinubu really want to tame the octopodal corruption in governance, and particularly in the oil sector managed and manipulated by the NNPCL, or he’s part of the system, and has ascended the presidency to protect it? As the Minister of Petroleum Resources, why is it difficult for Tinubu to combine that pedestal with the almighy powers of the presidency to conquer the “cabals” in the oil industry that the NNPCL seems to be holding their forte?
The clock is ticking, and the time is running for the Tinubu presidency! The moment has come for him to declare that “enough is enough,” and use his political platform’s “broom” to sweep the NNPCL clean as the starting point of his government’s much-hyped reforms in the oil sector.
Whether Tinubu’s involved or not in the shenanigans going on under his nose, and on his watch, he should realise that the deliberate stoking of the anger of Nigerians with incessant increases in the price of petrol won’t bode well the next time Nigerians themselves declare that “enough is enough.”
Indeed, as the Chairman, Centre for Accountability and Open Leadership, Debo Adeniran, noted, as reported by PUNCH on October 30, the decision of the government could “stoke the embers of discord and unleash the people’s anger against the government.”
Adeniran added: “What the government is doing is to stoke the embers of discord. Of course, the administration is losing support daily, and it will get to a stage whereby nobody will be able to stop the people’s anger. And when the people’s anger is unleashed on the government, we can’t predict what will end it.”
Patriotic, concerned and rifgt-thinking Nigerians hope and pray that the fuel situation, and its attendant ramifications won’t get to that stage. But as the saying goes, “A stitch in time saves nine.” President Tinubu should act now!
Mr Ezomon, Journalist and Media Consultant, writes from Lagos, Nigeria
Opinion
BENUE 2027:The Apa/Agatu Quest for Equity
By Tunde Olusunle
It may be well over two years to the next cycle of general elections in Nigeria. For the people of Apa/Agatu federal constituency in *Benue South, however, the measure of their participation and integration into the governance scheme will be defined in the run-up to the general polls that year. Nine local government areas make up the predominantly Idoma country of Benue State also labelled Zone C in the senatorial tripod of the geo-polity. The zone is also home to the Igede ethnic stock and the Etulo. Local government areas in “Benue Zone C” include: Apa, Agatu, Oju, Obi, Ado, Ogbadibo, Okpokwu, Otukpo and Ohimini. The other zones, Benue North East and Benue North West, are wholly dominated by the Tiv nationality, striding across 14 local government areas. They are christened Zone A and Zone B in the local political scheme of the state. Federal constituencies in Benue South are: Apa/Agatu, Oju/Obi; Ado/Ogbadibo/Opokwu and Otukpo/Ohimini.
The subjugation of groups and ethnicities considered demographically smaller, by the larger groups which has dominated Nigeria’s politics over time, has not been any different for the Idoma of Benue State. Until the circumstantial emergence of a Yahaya Bello from the Ebira ethnicity in Kogi State in 2015, the Igala had the relay baton of governorship of Kogi State, in rounds and succession. The Ebiras and the Okun-Yoruba zones in the state could only aspire to be serial deputies or Secretaries to the State Government. This political template was virtually cast in stone. The Ilorin people of Kwara State have similarly wholly warehoused the gubernatorial office, sparingly conceding the position to other sociocultural groups in the state. The only exception was the concession of the seat to a candidate from Kwara South, in the person of Abdulfatah Ahmed, by his predecessor, Bukola Saraki in 2011. Even at that, there were murmurs and dissent from those who believed Ahmed came from a community too close to the Ilorin emirate to be of genuine Igbomina stock, which prides itself as the pure Yoruba species in Kwara State.
Twenty-six years into the Fourth Republic, the maximum proximity of the Idoma to Government House, Makurdi, has been by the customary allocation of the Deputy Governor’s slot to its people. Ogirri Ajene from Oju/Obi, the charismatic blue-blood of blessed memory, was deputy to George Akume, incumbent Secretary to the Government of the Federation, (SGF), from 1999 to 2007. Akume it was reported, genuinely desired to be succeeded by Ajene who exhibited competence and loyalty and could build on their legacies. The Tiv nation we understand, shot down the proposal. Gabriel Suswam succeeded Akume and had the urbane multipreneur, Stephen Lawani from Ogbadibo as deputy. Samuel Ortom, a Minister in the Goodluck Jonathan presidency who took over from Suswam opted for Benson Abounu, an engineer from Otukpo as running mate, while Hyacinth Alia, the Catholic priest who succeeded Ortom, also chose as deputy, Samuel Ode, who was also a Minister in the Jonathan government, from Otukpo. Arising from this precedence, Apa/Agatu has not for once, been considered for a place in Government House, Makurdi.
In similar fashion, the position of Senator representing Benue South, has repeatedly precluded Apa/Agatu federal constituency. David Alechenu Bonaventure Mark a former army General from Otukpo, took the first shot at the office in 1999. He was to remain in the position for five consecutive times, a distinctive record by Nigerian standards. Mark would subsequently become President of the Senate and the third most senior political office holder in the nation’s governance scheme for a string of two terms between 2007 and 2015. He was replaced by Patrick Abba Moro, who hails from Okpokwu and was a former teacher, in 2019. Abba Moro who previously served as Minister of Interior in the Jonathan government from 2011 to 2015, won a second term at the 2023 general elections and remains substantive Senator for “Benue Zone C.” He is indeed incumbent Minority Leader of the Senate, and thus a principal officer in the leadership scheme of the “red chambers.”
While Moro is barely two years into his second term, there are suggestions that he is interested in a third term which should run from 2027 to 2031! This is the core issue which has dominated contemporary political discourse in Benue South, especially from the Apa/Agatu bloc. For Apa/Agatu, it is bad enough that they are repeatedly bypassed in the nomination of deputy governors in the scheme of state politics. It is worse that they are equally subjugated by their own kinsmen within the context of politics in *Idoma and Igede land.* This is particularly worrying when both local government areas constituting the Apa/Agatu federal constituency, Apa and Agatu, are not in anyway deficient in human resources to represent Benue South. Names like John Elaigwu Odogbo, the incumbent *Och’Idoma* and respected clergy; Isa Innocent Ekoja, renowned Professor and Librarian; Sonny Togo Echono, FNIA, OON, Executive Secretary, Tertiary Education Trust Fund, (TETFUND), and John Mgbede, Emeritus State Chairman of the Peoples Democratic Party, (PDP), Benue State, readily come to mind.
Major General R.I. Adoba, (rtd), a former Chief Training and Operations in the Nigerian Army; Professor Emmanuel Adanu, former Director of the Kaduna-based National Water Resources Institute, (NWRI) and the US-based specialist in internal medicine, Dr Raymond Audu, are eminent Apa/Agatu constituents. There are also Ada Egahi, long-serving technocrat who retired from the National Primary Healthcare Development Agency, (NPHDA), and Super Eagles forward, Moses Simon, (why not, hasn’t the retired soccer star, George Opong Weah just completed his term as President of Liberia)? The Member Representing Apa/Agatu in the House of Representatives, Godday Samuel Odagboyi, an office previously held by Solomon Agidani, as well as Adamu Ochepo Entonu, is, like his predecessors, a prominent figure from the resourceful Apa/Agatu federal constituency.
The Olofu brothers, Tony Adejoh, a retired Assistant Inspector General of Police, (AIG), and David, PhD, a renowned management and financial strategist, who is also an Emeritus Member of the Benue State Executive Council during the Ortom dispensation, are from the same federal constituency. So is Abu Umoru, a serial entrepreneur who represents Apa State Constituency in the Benue State House of Assembly. The continuing intra-zonal alienation of Apa-Agatu from the politics of Benue Zone C, remains a sore thumb which must be clinically diagnosed and intentionally treated in the run-up to 2027.
If previous top level political office holders from Idomaland in general and Apa/Agatu in particular, had diligently applied themselves to tangible, multisectoral development of the zone and constituency, the present clamour for inclusiveness would probably been less vociferous. *River Agatu* which flows from Kogi State, and runs through Agatu before emptying into *River Benue,* is a potential game changer in the socioeconomy of Apa/Agatu, Benue South and Benue State in general. Properly harnessed, it can revolutionise agriculture and aquaculture in the state, beyond subsistence levels which are the primary vocations of the indigenous people. Rice, yam, guinea corn, millet and similar grains, thrive in the fertile soils of the area. These can support “first level” processing of produce and guarantee value addition beneficial to the primary producers, before being shipped to other markets. River Agatu can indeed be dammed to provide hydro-electricity to power the entire gamut of Idomaland.
The infrastructure deficit in Benue South with specific reference to Apa/Agatu is equally very concerning. A notable pattern in Nigerian politics is its self-centeredness, the penchant for political players to prioritise their personal wellbeing and the development of their immediate space. This has accentuated the ever recurring desire of people to ascend the political pedestals of their predecessors if that is the principal window by which they can also privilege their own primary constituents. Motorable roads are non-existent, seamless travel between communities therefore encumbered. Expectedly this has been a major impediment to subsistent trade and social engagements between constituents and their kinsmen. Primary health facilities are almost non-existent, compelling people to flock to Otukpo, headquarters of Benue South, for the minutest of medical advice and treatment.
Apa/Agatu pitiably bleeds from the relentless and condemnable activities of vagrants and bandits who have reduced the constituency into a killing field. Reports suggest that in the past 15 years, no less than 2500 lives were lost to the vicious attacks of marauders and trespassers in the area under reference. This unnerving situation has compelled engagements between concerned Apa/Agatu leaders, and the leadership of the Nigeria Police Force, (NPF). The prayer is for the swift establishment of a mobile police outpost in the troubled sub-zone to contain bloodletting. The proposal, anchored by AIG Tony Olofu, NPOM, (rtd), and Echono, has received the blessings of the police high command. At the last update, a commander for the outfit had been named, while the deployment of personnel had begun in earnest.
It is very clear that in the march towards 2027, Apa/Agatu will refuse, very vehemently, to be sidelined and trampled upon in the political scheme of their senatorial zone. Abba Moro may desire a third term in the Senate, but the people of Apa/Agatu are quick to remind him that his curriculum vitae as a politician is sufficiently sumptuous for him to yield the seat in the “red chambers” and sit back like an elder statesman. They remind you that for a man who began his working life modestly as a lecturer in the Federal Polytechnic, Ugbokolo in 1991, Abba Moro has done extremely well for himself in Nigerian politics. For reminders, Abba Moro was elected Chairman of Okpokwu local government in the state as far back as 1998. Ever since, he has remained a permanent fixture in Nigeria’s national politics.
The people of Apa/Agatu will put up a determined fight for the Benue South senatorial seat in 2027, and no one should begrudge them. They are the proverbial ram which was pushed to the wall, which must of necessity push back with angered horns to liberate itself. They are already engaging with their kith across “Benue Zone C” to ensure that intra-zonal equity, fairness and justice, prevails in communal politics.
Tunde Olusunle, PhD, Fellow of the Association of Nigerian Authors, (FANA), teaches Creative Writing at the University of Abuja
Opinion
The Prince Adebayo prescriptions for ease of doing Business: 15 Take-Aways
By Dr. Ag Zaki
On Thursday, 9 January 2025, Prince Adewole Adebayo presented a keynote address at the Radisson Blu Hotel, Ikeja, Lagos. The occasion was the annual conference of a group of professionals, business executives and experts codenamed J9C for January 9 Collective. The theme of the Conference was “Business and Policy Strategy: Examining the Role of Reform in enhancing the ease of doing business in Nigeria.” Prince Adebayo is a versatile cerebral man of many parts, a lawyer, a multimedia practitioner, a real estate investor, a large-scale miner, a philanthropist, a community developer, and the 2023 Presidential Candidate of the Social Democratic Party (SDP). The organisers of the J9C conference introduced him as an intercontinental lawyer because he currently practices law in over sixteen countries.
The full speech of Prince Adebayo at the occasion is available online and can be accessed by clicking at this url: https://youtu.be/SsHkcJbVNRg?si=ebvoOVqGh0zVOsnt or by scanning the QR code above. However, we are presenting the salient take-aways from this most incisive keynote address below for the convenience of interested persons and for the public good.
THE TAKE-AWAYS
Preamble
1. Not every change of policy or programme is a reform. A reform is a fundamental change in the activities, programmes, and policies structured to cause improvement. Genuine government reforms are people oriented and so citizens can interject, comment or contribute.
2. Reform may be internally motivated, externally forced or imposed, or technological driven.
3. The government of Nigeria must first reform itself to be able to implement development-oriented reforms to improve the country’s economic performance.
In general terms
4. Fiscal and monetary reforms are critical and are urgently required in Nigeria. While government can freely control its fiscal reforms, it must be bound by market forces for realistic and realisable monetary reforms.
5. Economic reforms must positively affect developmental policies, programmes and projects to engender economic growth, increase in efficiency, and lead to stability. Economic and political reforms must be implemented pari-passu for untainted policies and programmes.
6. Urgent structural reforms are required in areas of legal reforms, laws on banking controls and regulations, lending and borrowing as well as land matters.
In specific terms
7. Reforms which are aimed at targeting ease of doing business must be aligned with the Malam Aminu Kano maxim that “all civil servants should abstain from contracts or business”.
8. Nigeria must break the current odious and unwholesome conspiracies between policy makers, civil servants, and contractors, which can lead to irreversible endemic corruption, long foreseen by the revered Malam Aminu Kano, and which can permanently damage the economy.
9. Structural reforms must ensure that land laws open up maximum benefits and potentials of the land, encourage labour productivity and efficient and transparent entrepreneurship rules including registration, capital and lending matters.
10. Tax reforms should be broad-based, not about sharing of revenue but promoting productivity and competitiveness in all aspects of endeavours and infrastructure reforms should make transportation of people and goods safe and cost effective.
11. Monitoring economic crimes must be thorough and should go beyond arresting of “Yahoo boys” and those spraying Naira notes, but those devaluing the Naira and abusing economic rules and regulations.
Warnings
12. Adebayo left some stern terse warnings for the business sector and for the government of Nigeria.
13. Business executives and professionals should not ask or encourage government for specific reforms but for general broad-based reforms as firm-specific reforms can enhance operations of specific firms or business in the short term but will ultimately kill the industry.
14. Government should not meddle into business or be guided by partisan businessmen; government should meet business only at the junction of regulatory framework.
15. Government should be selfless and honest in carrying out reforms, incorporate measurable performance indices and ensure that reforms are implemented in a way not to inflict pains or punishment on the people.
# DrZaki25, 903 Tafawa Balewa Way, Abuja
Opinion
Governor Monday Okpebholo: A Blessing to Edo State
By Eigbefo Felix
His Excellency, Senator Monday Okpebholo, the Executive Governor of Edo State, has demonstrated that he is a blessing to the state through his policies, appointments, initiation of road construction across the three senatorial districts, and his deep love for the people of Edo State.
Governor Monday Okpebholo has begun fulfilling the five-point agenda he promised the good people of the state since his inauguration.
In the area of security, he has shown total commitment. He assured the people of Edo State that he would ensure their safety, and true to his word, the state remains peaceful, which has brought joy to its residents. He has provided the necessary support to security personnel.
The governor increased the subvention for Ambrose Alli University (AAU) from ₦40 million to ₦500 million. He also promised to address the issues facing AAU medical students. Additionally, he has started renovating primary and secondary schools across the state, underscoring his understanding of the importance of education.
The agricultural sector has taken a positive turn as Governor Okpebholo has allocated ₦70 billion to the sector. Recognizing agriculture’s importance to both the state and the nation, he is positioning Edo State to become the food basket of the nation with his investments in the sector.
During the electioneering period, Senator Okpebholo promised to create 5,000 jobs within his first 100 days in office. He has already begun the process, and soon, the people of Edo State will benefit from these employment opportunities. Unlike in the past, he will not rely on MOUs before making appointments. Furthermore, he has started appointing Edo State indigenes, rather than outsiders, to various positions.
Governor Okpebholo has commenced road projects across the state, from Edo South to Edo Central and Edo North. He believes that when roads are motorable, the prices of goods in the market will automatically reduce.
He has also begun investing in the health sector, understanding its critical importance to the people of Edo State.
Governor Monday Okpebholo’s initiatives and actions affirm his dedication to transforming Edo State for the better.
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