Monday

Nigeria Can be GREAT AGAIN.....

A former Nigerian President, Olusegun Obasanjo, says the oil-rich nation has a new opportunity to be great again under the leadership of the President elect, General Mohammadu Buhari.
He expressed this hope in a meeting with Women Leaders from the south-west states of Ogun, Oyo, Ekiti, Osun, Ondo and Lagos at his hilltop residence in Abeokuta, the Ogun State capital.
Mr Obasanjo, however, urged Nigerians to be patient with the administration, as it finds solution to those challenges facing the country.
The former President also asked all Nigerians to continue to pray and support the administration in its onerous task of rebuilding the nation’s socio-economic and political life.
The leader of the delegation of the Women, Mrs Alaba Lawson, asked the former President to continue to offer the leadership that would ensure the success of the new administration, especially in the task of ensuring growth and development in the face of the challenges facing Nigeria.
Addressing the delegation, Obasanjo asked Nigerians to be patient with the incoming administration and also urged General Buhari to take the right steps in the right direction, especially in his first three months in office, as Nigerians’ expectations are high.
While asking Nigerians to play their path in the development of the country, he, however, expressed his willingness to continue to offer support until his service is no longer needed.

He also asked the president-elect to leverage on his acceptability both at home and abroad by providing the much needed leadership and direction for Nigeria.opinionvoices.blogspot.com

NIGERIA FACES A FULL BLOWN NATIONAL CRISIS.

Nigeria is facing a full-blown national crisis as virtually all sectors of the economy has grounded to a halt as the fuel scarcity bites harder across the country.
As the economy races to breakdown, the Nigerian government appears helpless, with President Goodluck Jonathan merely counting days to hand over the problem to the incoming government of Muhammadu Buhari on Friday.
From the Federal Capital Territory, Abuja, to the 36 states of the federation, reports are that virtually all public and private institutions have shut down in the face of shortage of fuel to maintain normal businesses.
Worse hit are hospitals, schools, banks, transportation companies and telecommunication operators, which have either suspended normal operations or issued notices of closure or scaling down on full business hours for lack of fuel to power the engines that power their activities.
For most part of last week, several airline operators announced plans to significantly alter their normal flight schedules, blaming it on their inability to get aviation fuel for their aircraft.
“Due to the current scarcity of Jet-A1 fuel being experienced in the country, we regret to inform you that all our flights will not operate regularly as scheduled,” one of Nigeria’s premier arlines, Aero Contractors, informed its customers on May 22. “We regret any inconveniences the changes will cause. All efforts are being made to ameliorate the situation and revert to our regular flight schedule.”
At the airports in Abuja and Lagos, thousands of travellers were stranded as most airlines cancelled their scheduled flights.
Both MTN and Airtel, two of Nigeria’s major telecommunications operators, have all notices to their customers to inform them that their services might be disrupted till the fuel supply situation improves.
The text message from Airtel management to its customers on Sunday read: “Dear Valued Customer, this is to inform you that due to nationwide fuel crisis our services may experience some strain. We are doing everything possible to manage the situation. Thank you for understanding.”
In a similar message on Sunday, the management of GTBank issued notice of early closure of its branches nationwide.
“The current shortage of petroleum products in the country has limited our ability to supply diesel to all our branches, in order to continue normal branch operations.
“Due to this, we unavoidably have to close our branches nationwide at 1 pm, from tomorrow Monday, 25th May 2015,” the bank said in the text message.
In its own notice to customers, MTN announced that the intractable fuel shortage might force it to shut down some of its base-stations that are powered by diesel-operated generators.
“The management of MTN states that the current diesel scarcity in most parts of the Nigeria is posing threat to quality of services and the ability to optimally operate the network,” the company said in a statement released on its Twitter handle.
“MTN’s available reserves of diesel are running low and the company must source for significant quantity of diesel in the very near future to prevent a shut down of services across Nigeria. If diesel supplies are not available within the next 24 hours the network will be seriously degraded and customers will feel the impact.”
Car dealer, Cosharis Motors, has also warned buyers of its new BMW cars to park them until fuel is available, apparently in other to avoid using adulterated fuel purchased from the black market to run the vehicle that may cause serious mechanical damage in the cars. Experts say the new BMW cars have zero tolerance for adulterated fuel.
Throughout last week, as the fuel scarcity took its toll on businesses, parents experienced difficulties transporting their wards to school and back, as no filling station opened for business following the continued strike action oil workers.
Some schools’ management in Abuja and environs were compelled to order early closure of their schools for mid-term break, as most teachers and parents could not cope with the unprecedented pressure imposed on them by lack of fuel.
On Sunday, the Divine Scholars School in the Lekki area of Lagos informed parents it is closing for mid-term break till June 1, although insiders in the school said the forced holiday was caused by the biting fuel shortage
A visit to some public hospitals, including the National Hospital and Garki General Hospital, witnessed significant reduction in activities at the weekend.
Similarly, churches and other places of worship in the Federal Capital Territory also witnessed low turnout of the usual population of worshippers, most of whom found movement difficult.
At Jabi and other locations where there are motor parks, the usual hustle and bustle of activities by travellers were almost absent, as very few commercial transport operators were on duty.
The Lagos Chamber of Commerce and Industry (LCCI) on Sunday called on the incoming administration of Muhammadu Buhari to consider the deregulation of the oil and gas downstream sector as a priority on assumption of office.
The President of the Chamber, Remi Bello, said the current fuel scarcity and power supply situation in the country have grounded the economy
.
Mr. Bello said only the immediate deregulation of the sector would help resolve the recurring problem of scarcity of petroleum products in the country.
The Chamber identifies massive corruption in the fuel subsidy regime, collapse of the country’s refineries, dwindling investment in the downstream sector and loss of jobs as some the key challenges the sector was facing.
The current fuel subsidy regime and government’s direct involvement in the operations of oil and gas sector should be stopped if normalcy is to be restored in the nation’s economy.
Regardless, while the people continue to suffer untold hardship as a result of the fuel supply crisis, the oil marketers and the outgoing government continue to bicker in their unending blame game over unpaid subsidy claims.
The marketers, under the umbrella groups of Major Marketers Association of Nigeria (MOMAN), the Depot and Petroleum Marketers Association (DAPMA) and the Independent Petroleum Marketers Association of Nigeria (IPMAN), have continued to accuse government of refusing to pay outstanding claims of about N200 billion.
But the outgoing Minister of Finance, Ngozi Okonjo-Iweala, on Saturday accused the marketers of blackmail, claiming that government had agreed with marketers that N159 billion would be paid after a reconciliation by a committee constituted for that purpose.
Meanwhile, another systems collapse has been reported at Shiroro Power Plant on Sunday amid the worsening energy crisis.
The latest systems collapse reported at about 4.10 pm on Sunday by the Abuja Electricity Distribution Company (AEDC) said the development has left the zone with just 15 mega watts (MW) at about 5.05 pm.
The AEDC said at about 6.50pm, only sensitive installations within the Central Business District had electricity supply.
The Permanent Secretary, Ministry of Power, Godknows Igali, had on Friday reported that power generation nationwide had dropped from 4,800MW to 1,327MW, leading to the massive load shedding ongoing across the country.
The AEDC said it has sent alerts to customers in the FCT, Kogi, Nasarawa and Niger states to apologise to them for the difficult situation caused by the huge drop in power supply from the national grid, from about 450MW daily to less than 200MW in recent times.
The company said allocation to the zone for Friday, May 22 was 145MW, while allocation for both Saturday and Sunday, May 23 and 24, was 115.6MW.
“The situation has been worsened by the system collapse at Shiroro this evening, which brought our supply down to 15MW,” the company said in a statement.


Fuel crisis worsens nation’s power problems

The current nationwide scarcity of refined petroleum products has reached a crisis point with a litre of petrol selling for between N200 and N600 in many parts of the country, while diesel, household kerosene and liquefied natural gas have also become elusive.
Also, with power generation dropping to an all-time low of 1,327 megawatts, most Nigerian households are now living without electricity as they have also run out of fuel to power their generators.
Even before the dip in power generation, most Nigerian households have been relying on generators as the main source of their power supply while using the public power supply as a backup. However, the fuel shortages which started over a week ago, have made it impossible for households to even get fuel to power their generators.
Although, daily fuel consumption nationwide is about 40 million litres per day, it is estimated that a sizeable proportion of the demand goes into fuelling of generators.
“It is now impossible for me to get a four-litre fuel to run   my small generator,” a man who was in the queue in one of the filling stations, told one of our correspondents on Sunday.
Also, a resident of one of the upscale estates in Magodo,who identified himself as John Adebayo, told one of our correspondents that he had been unable to run his generator for three days because he could not get diesel to buy.
“I have money to buy diesel but it is just not available anywhere.   I can’t even pump water, it is really pathetic,”he lamented.
Already, the situation has started affecting companies with some firms like MTN and Airtel saying that they could not get diesel to run generators at base stations.
Unless urgent steps are taken by the Federal Government and all concerned stakeholders, many citizens will find it difficult to get to their various places of work and business as from today (Monday) due to the crippling scarcity of refined petroleum products occasioned by the refusal of marketers to import them and a strike by tanker drivers.
Our correspondents reported on Sunday that petrol had dried up in almost all the filling stations nationwide, while black marketers capitalised on the prevailing scarcity by selling the product in jerry cans for between N200 and N600 per litre in places like Lagos, Ogun, Osun, Kaduna and Oyo states, as well as the Federal Capital Territory.
The situation affected vehicular movements in many parts of Lagos and Ogun states on Sunday, with attendance at religious centres unusually low, while commercial transport operators raised their fares by over 300 per cent.
All the filling stations owned by major oil marketers visited by our correspondents were under lock and key. Majority of the independent petroleum products marketers were also not selling petrol on Sunday.
The very few independent marketers with petrol were selling the product for between N150 and N400 per litre, while black market dealers were selling for between N500 and N600 per litre in some of the stations visited.
A motorist plying the Berger-Mowe route traversing Lagos and Ogun states, who simply identified himself as Ola, expressed disappointment with the slow response of the government to the problem, adding that with the situation on the ground, workers would have to part with a lot of money to get to their offices on Monday (today).
A commercial transport operator in Ikorodu, Lagos, told one of our correspondents that he bought 30 litres of petrol for N12,000 instead of N2,610 at the regulated price of N87 per litre.
It was gathered that virtually all the filling stations in Osun State had run out of petrol as of Sunday, thereby forcing the residents to stay indoors.
A major petroleum products’ marketer told one of our correspondents that the Federal Government had refused to meet them to resolve the lingering issues surrounding the payment of the subsidy arrears owed the marketers.
The marketer, who pleaded anonymity, said since the last meeting they had with the Minister of Finance, Dr. Ngozi Okonjo-Iweala, on May 4, nothing had changed.
The Executive Secretary, Major Oil Marketers Association of Nigeria, Mr. Thomas Olawore, said though the marketers had reached out to the President-elect, Muhammadu Buhari, on the lingering fuel supply problems, they had yet to get a positive response.
He confirmed that the marketers were not importing petrol at the moment, because they did not have the wherewithal to do so.
The spokesperson for the Department of Petroleum Resources, Mr. Saidu Muhammed, said the product scarcity was primarily due to the ongoing workers’ strike in the NNPC.
He said, “Products are not coming out from the depots and there’s virtually nothing anybody can do for now. But hopefully, when they resolve the strike, things may become normal.
“The strike by the NNPC workers is affecting all the depots. And until the strike is called off, there will be no loading. There is no loading in almost all the depots across the country and so products are not coming out.”
Meanwhile, the Lagos Chamber of Commerce and Industry has noted with concern the current energy crisis facing the country, which it describes as unprecedented.
In a statement signed by its President, Alhaji Remi Bello, the LCCI called on President Goodluck Johnathan to bring a halt to the imminent collapse of economic and social life in the country.
Bello said, “There should be an immediate engagement of stakeholders in the petroleum industry to discuss the outstanding issues of indebtedness and related labour matters in the interest of the economy and the citizens. The situation should not be allowed to degenerate any further.
“The Lagos Chamber urges the incoming administration to immediately deregulate the oil and gas downstream sector on assumption of office in order to provide an enduring solution to the recurring problem of petroleum products’ scarcity, corruption inherent in the subsidy regime, the collapse of refineries, lack of investment in the downstream sector, loss of jobs and so on.
“Options available to the incoming administration in this matter are very limited. The current regime of subsidy and government’s direct involvement in the operations of oil and gas sector should be discontinued. Government needs to get out of the way, so that the sector and the economy as a whole can make progress. This will pave the way for the restoration of normalcy in the sector and attract private capital, boost investments and create jobs.”
Similarly, a Global System of Mobile communications provider, Airtel Networks Limited, said in a statement that its commitments to delivering best-in-class quality of service and seamless telephony experience to all Nigerians was being affected by its inability to procure diesel for its base stations.
The company stated, “While we are currently doing everything within our means as well as going the extra mile to ensure that all our base stations and switches are up and running, it is sad to note that it is becoming increasingly difficult to replenish current stock of diesel due to the lingering scarcity of the product.
“We are also concerned that, if the situation persists, it may have adverse effects on our network, impacting both voice and data services.”
MTN Nigeria had issued a similar statement on Saturday.
A faction of the Nigeria Labour Congress led by Mr. Joe Ajaero said on Sunday in Kaduna that the current fuel scarcity across the country was a war against Nigerians.
It, therefore, warned that should the scarcity persist, organised labour would have no choice than to embark on an indefinite strike.
This was contained in a statement by the factional Deputy President of the NLC, Alhaji Issa Aremu, which was made available to newsmen in Kaduna on Sunday.

Thursday

President Jonathan Settles His Political Rift With Obasanjo and others.

The trio were seen at the National Council of State meeting . After the meeting, they were seen at various times, separately though, chit-chatting,  which suggests they might have made peace.

According to The Opinionvoices, Obasanjo and Jonathan were seen laughing, shaking, back-slapping and holding hands after the meeting. The President, while waiting for the valedictory photo-session at the fore court of the Presidential Villa, shook hands with the governors around him, and when he saw Amaechi, he playfully hit him severally, while the Rivers State governor bowed, laughing and holding the President’s hand all the while, with the words “Your Excellency” coming out from his mouth.
Jonathan has been at loggerheads with the duo. Obasanjo had publicly tore his membership card of the ruling Peoples Democratic Party (PDP), while Amaechi is one of the aggrieved PDP governors who defected to the All Progressives Congress (APC).
Amaechi ended up as the Director-General of the Muhammadu Buhari Campaign Organisation. A team that defeated Jonathan in the presidential polls.
Amaechi has also had several political brush-up with Jonathan’s wife, First Lady, Dame Patience Jonathan over political issues in Rivers State where the first lady hails from.

Workers block entrance to NNPC headquarters


Wednesday

We’re Inheriting Nigeria’s Worst Economy In History – Vice President, Osinbajo

The Vice President elect, Prof. Yemi Osinbajo, on Wednesday revealed that the incoming Muhammadu Buhari administration will be inheriting a gross debt of $60 billion both foreign and domestic, with a 2015 debt serving bill of N953.6 billion, representing 21 per cent of the 2015 budget from the Goodluck Jonathan administration. 


Speaking at the opening of a two -day policy dialogue on the implementation of the agenda for change, in Abuja. His statement in parts: “We are concerned that our economy is currently in perhaps its worst moment in history. Local and international debt stands at $60 billion. Our debt servicing bill for 2015 is N953.6 billion, about 21 per cent of our Budget. On account of severely dwindled resources, over two-thirds of the states in Nigeria owe salaries. Federal institutions are not in much better shape. Today, the nation borrows to fund recurrent expenditure. “The figures of extreme poverty in our society- 110 million by current estimates- makes it clear that our biggest national problem is the extreme poverty of the majority. Thus, no analysis is required to conclude that dealing with poverty and its implications is a priority”
“In the course of the election campaign, we ran an issues-based campaign that identified certain areas of public policy as high priorities for propelling Nigeria forward. We addressed the challenges of the economy, insecurity, corruption and jobs creation. We spoke on the challenge of providing opportunities for self-actualization to millions of our young people who face an uncertain future with understandable anxiety” “Our goal this morning is to interrogate these positions and propositions before a wider audience and to launch a robust public conversation on policy directions and priorities that will help inform our administration’s approach in the next four years,” he added. Osinbajo said the forum exemplifies the sort of consultative and consensual approach to policy-making that the party and the new administration intend to model in.

Tuesday

MISSING OIL MONEY: Secret Investigation

According to the demand of Goodluck Jonathan, the Nigerian National Petroleum Corporation (NNPC) has made the full report on missing $20bn oil money investigation public.  
The president said that his government has nothing to cover on the matter. Jonathan also rejected accusations credited to the All Progressives Congress (APC) that his officials were boarding on last minute looting.  He reacted to the case via the statement by his Special Adviser on Media and Publicity, Reuben Abati.
The investigation titled “Auditor General for the Federation Investigative Forensic Audit into the Allegations of Unremitted Funds into the Federation Accounts by the NNPC”  has 3 main aims:
1. Analysis of remittance shortfalls from NNPC into the Federation Accounts;
2. Analysis of submissions made by key stakeholders in relation to these alleged shortfalls;
3. Producing an independent Forensic report detailing findings.
The Pricewaterhouse Coopers Limited which has prepared the report notes that authors provide no opinion,attestation or other form of assurance with respect to work or the information upon which their work was based.The Office of the Auditor-General for the Federation(AuGF) engaged PricewaterhouseCoopers Limited(PwC) to investigate any and all crude oil revenues generated by the NigerianNational Petroleum Corporation(“NNPC”)that was withheld or unremitted to the Federation Accounts between 1 January 2012 and 31 July 2013.

At the beginning of the report experts describe timeline of the allegations.
MISSING OIL MONEY: Secret Investigation

The report follows the timeline of events beginning with a letter in September 2013 by the former Governor of the Central Bank of Nigeria Sanusi Lamido to the President of the Federal Republic of Nigeria Goodluck Jonathan statin that from January 2012 to July 2013, NNPC had lifted$65bn worth of crude on behalf of the FGN but remitted only$15.2bn in to the Federation Accounts with$49.8bn as outstanding to the FGN.

In the result of investigation, the experts revealed a lot of serious violations:
1. Total gross revenues generated from FGN crude oil liftings was $69.34bn and NOT$67 billion as earlier stated by the Reconciliation Committee for the period from January 2012 to July 2013.

2. Total cash remitted into the Federation accounts in relation to crude oil liftings was $50.81 bn and NOT $47bn as earlier stated by the Reconciliation Committee for the period from January 2012 to July 2013.

3. NNPC has provided information on the difference leading to a potential excess remittance of $0.74 billion(without considering expected remittances from NPDC). Other indirect costs of $2.81billion which were not part of the submission to the Senate Committee hearing have been defrayed to arrive at this position.

4.The resulting potential excess remittance indicates that the Corporation operates an unsustainable model. Forty six percent (46%) of proceeds of domestic crude oil revenues for the review period was spent on operations and subsidies. The Corporation is unable to sustain monthly remittances to the Federation Account Allocation Committee (FAAC), and also meet its operational costs entirely from the proceeds of domestic crude oil revenues, and have had to incur third party liabilities to bridge the funding gap.

Furthermore, the review period recorded international crude oil prices averaging $122.5 per barrel (Average Platts prices for 2012). As at the time of concluding this report, international crude oil prices average about$46.07 per barrel, which is about sixty two percent (62%) reduction when compared to the crude oil prices for the review period. If the NNPC overhead costs and subsidies are maintained (assuming crude oil production volumes are maintained), the corporation may have to exhaust all the proceeds of domestic crude oil sales, and may still require third party liabilities to meet costs of operations and subsidies, and may not be able to make any remittances to FAAC.
The experts therefore recommend tha the NNPC model of operation must be urgently reviewed and restructured, as the current model which has been in operatiosince the creation of the Corporation can not be sustained.

The report reflects the fact that $3.38 billion was spent on DPK subsidy for the review period. It also confirmed using third party vessel tracking platforms that all vessels carrying NNPC cargoes arrived in Nigeria within the periods disclosed by PPPRA.

It is important to note that although PwC has reviewed documents submitted by the key stakeholders involved. Analysts stated that work was conducted independently, and findings are based on the review of documentation, analytically reviews of data, and interviews conducted.

Monday

Ambode extends hand of partnership to Agbaje, others

The Lagos State Governor-elect, Mr. Akinwunmi Ambode, has called on the Peoples Democratic Party governorship candidate, Mr. Jimi Agbaje, and others who contested against him to join hands with his administration to build the state.
Ambode spoke on Sunday while delivering his acceptance speech at the APC secretariat in Lagos shortly after he was declared winner of the governorship election.

Ambode was announced winner of the Saturday election after securing 811,994 votes against his PDP’s closest rival, Agbaje who scored 659,788 votes.
“To my main opponent, Mr. Jimi Agbaje of the PDP, I thank you for a keen contest and invite you, alongside other governorship candidates, to join hands with me in moving Lagos forward,” he said.
Ambode also promised Lagos residents  that his administration would build on the legacy and achievements of his predecessors, Gov. Babatunde Fashola and Chief Bola Tinubu.
“I am humbled that you have placed your trust and faith in me.
“The love of this state and our common belief in what we can accomplish, our belief in what this state already is, and in what it is destined to become binds us together in a social and moral contract of high purpose.
“I shall honour that contract with every fiber of my being.
“This day I pledge to you that I shall devote myself to bringing even greater prosperity, growth and development to every inch of this state.
“I also pledge that I shall build on legacy and progress of my predecessors,” Ambode said.
The governor-elect promised to bring the best of ‎Lagos into his government saying that the people would be proud and glad for choosing him as their governor.
“The people of Lagos have demonstrated that Lagos is not about ethnicity or religion but about a common desire to enthrone good ‎governance.
“Lagos under my watch will not discriminate. It has not in the past, and will not in the present; not even in the future, there will be no political victimisation.
“By affirming your faith in the APC and in me, you have, for the first time in 16 years, married progressive governance at the national level with progressive government at the state level,” he said.
Ambode noted that finally, Lagos  state government and the Federal government would be of one vision, one mind and one accord.
“The ramifications of this harmonious unity are completely positive.
“This is a chance that we have worked toward for many years.

“The joint infrastructural and employment projects and collaboration between the state and the federal will quicken the improvement of our roads, schools, power generation and the entire array of social services.
“This new era of cooperation between the state and federal government promises to be a golden period for Lagos and for all Lagosians to share equally therein,” he said.
Ambode said Lagos would enjoy optimal development and growth through APC governance working in tandem at the state and federal levels.
“This cooperation and enhanced policy harmony will surely pay handsome dividends,” he said.
Ambode congratulated INEC for a job well done and keeping alive Nigeria’s hope for a brighter democracy.