From Juliana Taiwo in Abuja, 06.26.2008 (THISDAY Newspapers)
president Umaru Musa Yar’Adua and the leadership of the Peoples Democratic Party (PDP) have waded into the move by the Adamawa State House of Assembly to impeach the state Governor Murtala Nyako.
PDP National Chairman Vincent Ogbulafor, who led the party leadership to a meeting yesterday with President Yar’Adua at the Presidential Villa, Abuja on the matter, said the impeachment move had been taken care of.
He described the problem between the House and the governor as a family affair.
“It is the party that intervened and we have solved the problem. It is a family affair and it’s been taken care of. We only went to brief the President what we did and the President is happy with the party. The governor and the Speaker are one and the same. Everything is over and we are happy,” he said.
The PDP Chairman described the allegations of the state legislature against the governor as “shallow” and according to him, arose from a mere misunderstanding which is normal in politics.
“The allegation is shallow. I think it is shallow but its just a misunderstanding which is normal in any administration. Politics is not like religion but even in religion they disagree, in church they disagree so there is bound to be disagreement.
“We listened to both parties and where there is need to apportion blame we did and both of them saw where they made mistakes. Nobody is above mistakes”, he said.
But the meeting may have ended in a deadlock.
The body language of the state House of Assembly Speaker James Barka and the moves by Ogbulafor and National Secretary Abubakar Kawu Baraje to sneak Nyako away from the press appeared to suggest all was still not well after the meeting.
Both men, the embattled governor and Barka, emerged from the two-hour meeting wearing long faces.
After the meeting, the Speaker walked away and it took repeated calls by Ogbulafor to have him reluctantly walk back to speak with State House correspondents.
When asked if he was satisfied with the outcome of the meeting, the unsmiling Barka answered in the negative, saying he would have to brief his colleagues first before making further comments on the issue.
“No. We have had a meeting and the chairman has said it all and I will meet with my members”, he said before walking away.
The meeting was adjourned so the Speaker would brief his colleagues on the decisions reached and thereafter return for another round of consultation to be presided over by Vice-President Goodluck Jonathan in the Presidential Villa but no date was fixed.
Nyako, on his part, kept mute despite repeated questions posed to him by reporters.
He however said he had reached out to the state House of Assembly.
On whether he saw the hand of former Vice-President Atiku Abubakar or former governor Boni Haruna in his impeachment move, he replied: “Do you mean physical hand or…” and walked away.
The Adamawa State House of Assembly had on Monday served Nyako an impeachment notice.
The governor was alleged to have committed 16 impeachable offences.
Nyako was returned to the governorship seat last April after a rerun poll.
In the six-page impeachment notice tabled before the House by the Deputy Speaker Aliyu Isa Ahmadu and signed by 20 of the 25 members of the assembly, the governor was accused of gross misconduct in the performance of his official duties and other unconstitutional acts.
In the notice of impeachment, Nyako was accused of obtaining a loan of $50 million or N6 billion with a repayment regime of 34 months at N248 million net per month.
This, according to the impeachment notice, amounts to N8,432,000,000, which has allegedly subjected the state to an unnecessary financial burden.
Nyako is also accused of unilaterally obtaining the loan without the assembly's approval as required by the Constitution of the Federal Republic of Nigeria.
According to the notice, the lawmakers said: "The interesting part of the loan is that the financier, the consultant and contractor for the projects selected for execution with the money is one and the same."
The assembly identified the company involved as Messrs SNECOU Group of companies Ltd, "a company with a share capital of only N1 million."
The lawmakers said the company did not have the capacity to handle such a transaction involving large sums of public money.
"There is also no evidence that the money was paid into any account which the Adamawa State Government operates. Meanwhile, repayment of the money has already commenced since May 2008 at the rate of N248 million per month," they said in the notice.
Nyako was also accused of obtaining another loan from a second generation bank to the tune of N5 billion with a repayment rate of N457,211,021.49 million per month.
The assembly disclosed that both loans were procured without the authorisation of the House contrary to Section 120 (2) (3) and (4) of the constitution of the Federal Republic of Nigeria 1999.
The governor was also alleged to have frozen the account of Mayo Belwa Local Government Council in the state.
This, the legislators insisted, took place with little regard for due process.
The legislators also accused the governor of authorising illegal deductions from the joint accounts of local governments thereby starving them of funds which they were to deploy in implementing their projects for the benefit of the people.
Thursday, June 26, 2008
Strike: Yar’Adua, Aja-Nwachukwu Meet over Teachers’ Pay
From Juliana Taiwo in Abuja, 06.26.2008 (THISDAY Newspaper)
President Umaru Musa Yar’Adua yesterday met behind closed doors with Minister of Education Igwe Aja-Nwachukwu to find a lasting solution to the lingering problem between the teachers and government over the payment of the harmonised salary across the states.
President Yar’Adua, THISDAY gathered directed the minister to explore all avenues to ensure that the looming strike was averted.
The National Union of Teachers (NUT) had on Tuesday fixed Tuesday July 1 for the commencement of an indefinite nationwide strike by all primary and secondary school teachers.
But Aja-Nwachukwu later declared that day that the Federal Government had agreed to implement the Teachers salary Structure (TSS).
Addressing State House correspondents after the Federal Executive Council (FEC) meeting, Minister of Communication and Information John Odey in company with the Minister of Health Hassan Lawal, however, reiterated that the Yar’Adua administration as a responsible one was willing to negotiate with all the stakeholders to ensure that there “is amicable resolution of the problem.”
“I shared your sentiments and as a responsible government, we are very very concerned about the welfare of workers, be they teachers or other workers. The case of the teachers’ demand is being looked at holistically,” Odey said.
He disclosed that negotiations were going on at all levels but warned that it would be impossible for the Federal Government to take decisions for the states and local governments on a uniform salary structure for the aggrieved teachers.
“Consultations are on with states and local government areas in order to arrive on a common solution that will cut across boards and not just in the federal schools alone,” he said.
Meanwhile, the Federal Executive Council (FEC) chaired by President Yar’Adua, has approved N331,824,047.10 for the completion of the laboratory complex at the National Institute for Pharmaceutical Research and Development (NIPRD) Idu, Abuja, abandoned since 1996.
Odey said the contract which was the only major decision taken at yesterday’s meeting was awarded in favour of Messrs Atidolf Nigeria Ltd with a completion period of 24 weeks.
He said the construction work of the laboratory complex was a five-storey block laboratory office, space, library and conference hall, adding that the need to complete the building and the significance to the expansion of the services and activities of the institute could not be over-emphasised.
“The National Institute for Pharmaceutical Research and Development, Idu is the centre for various pharmaceutical research works.
“Through research conducted at the centre, a lot of control measures have been instituted in the prevention of sickle cell anaemia, malaria, hypertension, diabetes etc.
“The scope of work required for completion of the laboratory complex include replacing the roof covering that was blown away by storm, plastering, metal and structural steel works, furnishing, external works, electrical works, glazing, painting, decorating laboratory fittings and fixtures, passengers lifts etc,” he said.
President Umaru Musa Yar’Adua yesterday met behind closed doors with Minister of Education Igwe Aja-Nwachukwu to find a lasting solution to the lingering problem between the teachers and government over the payment of the harmonised salary across the states.
President Yar’Adua, THISDAY gathered directed the minister to explore all avenues to ensure that the looming strike was averted.
The National Union of Teachers (NUT) had on Tuesday fixed Tuesday July 1 for the commencement of an indefinite nationwide strike by all primary and secondary school teachers.
But Aja-Nwachukwu later declared that day that the Federal Government had agreed to implement the Teachers salary Structure (TSS).
Addressing State House correspondents after the Federal Executive Council (FEC) meeting, Minister of Communication and Information John Odey in company with the Minister of Health Hassan Lawal, however, reiterated that the Yar’Adua administration as a responsible one was willing to negotiate with all the stakeholders to ensure that there “is amicable resolution of the problem.”
“I shared your sentiments and as a responsible government, we are very very concerned about the welfare of workers, be they teachers or other workers. The case of the teachers’ demand is being looked at holistically,” Odey said.
He disclosed that negotiations were going on at all levels but warned that it would be impossible for the Federal Government to take decisions for the states and local governments on a uniform salary structure for the aggrieved teachers.
“Consultations are on with states and local government areas in order to arrive on a common solution that will cut across boards and not just in the federal schools alone,” he said.
Meanwhile, the Federal Executive Council (FEC) chaired by President Yar’Adua, has approved N331,824,047.10 for the completion of the laboratory complex at the National Institute for Pharmaceutical Research and Development (NIPRD) Idu, Abuja, abandoned since 1996.
Odey said the contract which was the only major decision taken at yesterday’s meeting was awarded in favour of Messrs Atidolf Nigeria Ltd with a completion period of 24 weeks.
He said the construction work of the laboratory complex was a five-storey block laboratory office, space, library and conference hall, adding that the need to complete the building and the significance to the expansion of the services and activities of the institute could not be over-emphasised.
“The National Institute for Pharmaceutical Research and Development, Idu is the centre for various pharmaceutical research works.
“Through research conducted at the centre, a lot of control measures have been instituted in the prevention of sickle cell anaemia, malaria, hypertension, diabetes etc.
“The scope of work required for completion of the laboratory complex include replacing the roof covering that was blown away by storm, plastering, metal and structural steel works, furnishing, external works, electrical works, glazing, painting, decorating laboratory fittings and fixtures, passengers lifts etc,” he said.
Wednesday, June 25, 2008
Gambari Wants 90-Day Truce from Militants
From Juliana Taiwo in Abuja, 06.25.2008 (THISDAY Newspapers)
Chairman of the Steering Committee on the Niger Delta Summit, Prof. Ibrahim Gambari, has called on militants in the area to declare a 90-day truce to give the committee as well as next month’s summit the benefit of the doubt to bring lasting peace and development to the region.
Gambari, who addressed State House correspondents after his meeting with President Umaru Musa Yar’Adua and Vice-President Goodluck Jonathan, yesterday said his committee would reach out to all stakeholders with legitimate inputs to be made.
“Let us prove ourselves, judge by the results of our action and the process that we are going to put very much in place,” he said.
The United Nations (UN) envoy stated that the summit would be different from previous efforts because it would address the issue of the Niger Delta comprehensively.
He said it would also look at all aspects, the issue of decades of neglect, poor physical infrastructure, poor social infrastructure, education, health and environmental degradation.
According to him, the perception or the reality of marginalisation and economic development, particularly employment for the youths would be addressed.
He called on Nigerians to see the summit as a national issue rather than one organised by the Niger Delta for the Niger Delta, adding that the summit would comprehensive and address issues holistically.
“We hope to do a very good job because we want this summit to be different from the previous summits. We want a summit that will address the issue of the Niger Delta comprehensively, looking at all aspects, the issue of decades of neglect, poor physical infrastructure, poor social infrastructure, education and health, environmental degradation.
“This is a national summit, all Nigerians are stakeholders in the issue of the Niger Delta. It is not a Niger Delta problem, it is a national issue that manifests itself in a particular way in the Niger Delta and for durable solution. All of us Nigerians will have to be regarded as stakeholders.
“Beyond our shores, we also have the international dimension to the Niger Delta situation because for those of you following the event, you know that when you have an issue in the Niger Delta, it immediately reflects itself in the global oil prices which is therefore of concern to countries in our region and also even beyond.
“There is also the issue of small arms and light weapons and the militarisation of the area which further complicates the issue and we also add the national security dimension.
“So, that is the assignment. It is an honour and privilege as a Nigerian to be given this opportunity. Though we are yet to be inaugurated, I thought I should let you know that the process of consultation has started; is advancing and we hope at the end of the day we will produce a national summit that Nigerians will be proud of. The neigbouring countries will be happy with and international community will take due note,” he said.
On those to expect at the summit, Gambari said the committee would reach out to all stakeholders, both local and international, before reporting back to the President for the summit proper.
Reacting to criticisms of his choice as chairman of the committee, Gambari said it was the Nigerian government that asked for his release by the UN, having seen his mediating roles in both Myanmar and Iraq.
Chairman of the Steering Committee on the Niger Delta Summit, Prof. Ibrahim Gambari, has called on militants in the area to declare a 90-day truce to give the committee as well as next month’s summit the benefit of the doubt to bring lasting peace and development to the region.
Gambari, who addressed State House correspondents after his meeting with President Umaru Musa Yar’Adua and Vice-President Goodluck Jonathan, yesterday said his committee would reach out to all stakeholders with legitimate inputs to be made.
“Let us prove ourselves, judge by the results of our action and the process that we are going to put very much in place,” he said.
The United Nations (UN) envoy stated that the summit would be different from previous efforts because it would address the issue of the Niger Delta comprehensively.
He said it would also look at all aspects, the issue of decades of neglect, poor physical infrastructure, poor social infrastructure, education, health and environmental degradation.
According to him, the perception or the reality of marginalisation and economic development, particularly employment for the youths would be addressed.
He called on Nigerians to see the summit as a national issue rather than one organised by the Niger Delta for the Niger Delta, adding that the summit would comprehensive and address issues holistically.
“We hope to do a very good job because we want this summit to be different from the previous summits. We want a summit that will address the issue of the Niger Delta comprehensively, looking at all aspects, the issue of decades of neglect, poor physical infrastructure, poor social infrastructure, education and health, environmental degradation.
“This is a national summit, all Nigerians are stakeholders in the issue of the Niger Delta. It is not a Niger Delta problem, it is a national issue that manifests itself in a particular way in the Niger Delta and for durable solution. All of us Nigerians will have to be regarded as stakeholders.
“Beyond our shores, we also have the international dimension to the Niger Delta situation because for those of you following the event, you know that when you have an issue in the Niger Delta, it immediately reflects itself in the global oil prices which is therefore of concern to countries in our region and also even beyond.
“There is also the issue of small arms and light weapons and the militarisation of the area which further complicates the issue and we also add the national security dimension.
“So, that is the assignment. It is an honour and privilege as a Nigerian to be given this opportunity. Though we are yet to be inaugurated, I thought I should let you know that the process of consultation has started; is advancing and we hope at the end of the day we will produce a national summit that Nigerians will be proud of. The neigbouring countries will be happy with and international community will take due note,” he said.
On those to expect at the summit, Gambari said the committee would reach out to all stakeholders, both local and international, before reporting back to the President for the summit proper.
Reacting to criticisms of his choice as chairman of the committee, Gambari said it was the Nigerian government that asked for his release by the UN, having seen his mediating roles in both Myanmar and Iraq.
Power: Lukman Proposes Suspension of Privatisation
...Estimates $85bn needed to achieve 20,000mw by 2020
From Juliana Taiwo in Abuja, 06.25.2008 (THISDAY Newspapers)
The Federal Government should halt the privatisation of the power sector until necessary repairs are carried out in the existing infrastructure, the Power Sector Reform Committee headed by Honorary Adviser on Energy to the President, Dr. Rilwanu Lukman, has proposed.
Lukman, while submitting the committee’s final report to President Umaru Musa Yar’Adua in company with Vice-President Goodluck Jonathan, yesterday at the Council Chambers of the Presidential Villa, said: “We feel that it is highly important that the coordinating body in the PHCN be put in place. The privatisation of the successor companies should be suspended until the finalisation of these repairs and viability status is sustained.”
Preparatory to the privatisation of the sector, the former administration of Chief Olusegun Obasanjo had unbundled the National Electric Power Authority (NEPA) into 18 successor companies to handle generation, distribution and transmission, while Power Holding Company of Nigeria (PHCN) was incorporated to take over “stranded” assets and liabilities of the defunct NEPA.
Lukman was however silent on the fate of the 18 successor companies since they have already been “corporatised” – having been registered as independent companies at the Corporate Affairs Commission (CAC).
This recommendation for a new co-ordinating unit may also raise legal issues since the 18 companies are already corporate bodies on their own.
The committee also said Nigeria needed $85 billion (about N10.2 trillion) to meet her 20,000 megawatts electricity target by 2020.
It said the sum would be expended on the ailing sector in the next 12 years in order to achieve government’s short, medium and long-term target as contained in the Power Sector Masterplan.
He, however, was quick to add that this amount did not include another N301.3 billion that would be required for the immediate rehabilitation of gas infrastructural development to enhance adequate gas supply for the generation of the targeted megawatts.
He said 60-70 per cent of the country’s electricity requirement would be dependent on gas, while the remaining are hydro, coal and solar.
Lukman warned that while gas-related electricity accounts for about 70 per cent of total requirement, unless there was peace in the Niger Delta, the nation’s quest for adequate power supply would be a mirage.
All forms of privatisation in the sector should be suspended until Nigeria achieves a healthy power sector, the committee recommended.
The breakdown of the figure shows that of the N10 trillion, a total of $3.5 billion (about N411.1 billion) is to be sourced to solve the sector’s immediate problems and generate 6000 megawatts under the short-term plan which would last for the next 18 months.
For the medium-term plan, the committee is proposing the total amount of N434.3 billion to beef up total electricity generation to 10,000 megawatts which equates current demand.
This will be implemented in the next three to five years, while the long term plan which stretches through another six years, is expected to consume the balance of the whole sum.
The committee lamented that currently only 40 per cent of Nigerians are serviced by the PHCN, but the remaining 60 per cent are expected to be taken care of at the end of the medium-term plan implementation.
The committee advised government to consider emergency power generation in selected urban areas with a view to deploying it whenever there is a sudden drop from the national grid.
It said the facility could also be relocated from one city to another or even to the rural areas as soon as the situation improves in the cities.
While it recommended government’s immediate approval of the implementation of the short-term plan, it warned that gas supply and the Niger Delta where it is produced are the most crucial ingredients and aspects of the power generation in Nigeria and most therefore be given priority in public expenditure.
Assessing the current state of the country’s reforms in the sector, Lukman disclosed that gas supply is the single most important element of Nigeria’s adequate power supply, followed by maintenance.
He said the country had gas deposit that could sustain her power generation for over 150 years but decried the current indebtedness of PHCN of N14 billion to gas suppliers.
The committee also uncovered that while an average of N20 billion is required monthly for the settlement of PHCN retirees, 37,000 are workers in the utility’s employ as against the verified number of 22,115 staff by consultants.
He said 90 per cent of them do not contribute meaningfully to productivity as they lack professional training.
President Yar’Adua, while thanking the committee for a job “well done”, declared that with the submission of the report, his government would immediately proceed to work out the package for both the short, medium and long-term plans for the proposed declaration of a state of emergency in the sector.
He reiterated that the power sector remained the immediate priority in the government’s resolve to meet the vision 202020 target, adding that government would immediately examine the report and its recommendations with a view to implementing them without delay.
Speaking to State House Correspondents after the presentation, Lukman said: “We decided that we are going to define the stages based on what is achievable. For the short term, our aim is to optimise, stabilise and maintain the existing systems. There are a lot of megawatts that could be gained. We also believe by so doing, the capacity of generation can be raised to 6000mw. We also understand that currently, the transmission network cannot raise more than 4000 conveniently, so because of that, transmission and distribution network must be added to the system. The short term plan is 18 months, from now to December 2009.
“For the medium term, we feel that something tangible must be achieved within the lifetime of this administration, the first term. Within three years, we can beef up the current demand which we projected as 10,000 mw. This is achievable.
“After that, we look at the long term. Then we look at 2020, what is achievable. These are the ways that we came out with the short, medium and long-term, considering what is practically achievable, and what is also reasonable.
“For any plan, there must be general assumptions that would guide the way we go about the plan.
“The existing stations would continue to be maintained as at when due. If you do not maintain what you have started with, you are going to go backwards. The Federal Government would release timely funds, the FG would complete all NIPP projects. There must be assurance of adequate supply of gas, there must be no vandalism of power transmission and gas pipelines. For the medium and long-term plans to be achieved, the short-term plan must be successfully completed. These are the assumptions.
“Short term plan is primarily designed to address the immediate shortfalls both in generation and transmission capacity to achieve 36,000mw daily power. What we understood is that as long as these maintenance works are not started, more and more units are going to breakdown. So the first thing to do is stop the rot.”
He also emphasised the importance of optimising the new power stations, so that the three new stations at Geregu, Omotosho and Osun Oshogbo could be fully operational.
According to him, “The grid is very weak, many of the equipment currently are causing power cuts across the country because they are old, they have not been maintained properly and they are aging. We also need to expand the distribution network to accommodate the new power that is coming, and the old power that had been there.
“If all is done, we are assured of 7365mw, but we are only working on ensuring 6000mw by December 2009 because we are still on transmission.
“The communication, control and signalling systems within the grid are all very old and very unreliable. At the end of the short-term what is required in terms of funds to complete the short term is $3.5 billion.
“Medium term is a very interesting phase because by that time, we are going to have new stations started by this administration and we are about completing all the NIPP projects. We believe it is time we start bringing other sources of energy into the mix for energy security. We also hope to start seeing the IPPs coming to complement what the government is doing.
“Three major introductions, one, the introduction of other sources of energy, more hydros, coal and some renewables, because we included some solar and wind power to be experimented. Then the IPPs, more joint ventures coming in. Hopefully by that time the Multi-Year Tariff Order (MYTO) would have raised the economy to a level where people can come in and feel convinced that the investment is right.
“Finally, in the long term, it is hoped that the private sector should at least equal whatever investment government is making in the power sector. It is our belief that, rather than trying to sell the few little ones that are available, people should add more because Nigeria needs more megawatts. It is better the sector is all open; there are a lot of opportunities for everyone. By 2020 the private sector should be the leaders in the sector, the opportunities are there. For the private sector to come into this industry, most of them should go into gas.
He said the committee projected that wind and solar would have contributed 200mw. “So much more again have to be spent, in terms of constructing of transmission lines and substations and this one is purely government responsibility according to the current policy.
“The same thing with distribution. Distribution networks can be privatised with time; individuals can construct distribution networks and connect them to the grid. This is still allowable. And this could relieve government a lot in the sector, it is very feasible. There is a lot of private money that can go into distribution networks.
“Between now and 2020, we projected that we need to spend about close to $85 billion to be able to realise our dream. This is money that can come from all sectors. This does not include money required for gas infrastructure, which would also be massive.
“The plan here is for power, but there would be required a sort of equivalent gas infrastructure for them to be able to service all these thermal stations that are going to constitute about 6-7 per cent of the requirement. It is nearly also about eighty something, or ninety something million US dollars.
“Based on the submission we received from the NNPC, this is just for the short to medium-term. This money has to be spent between now and 2009 to be able to address those shortfalls, because without spending this, those shortfalls would be more because they would not be able to provide the infrastructure required for the gas supply to the power stations.
“The overall priority of government should be to arrest the decay in generation which is currently below 3000mw by optimising the use of existing assets.”
From Juliana Taiwo in Abuja, 06.25.2008 (THISDAY Newspapers)
The Federal Government should halt the privatisation of the power sector until necessary repairs are carried out in the existing infrastructure, the Power Sector Reform Committee headed by Honorary Adviser on Energy to the President, Dr. Rilwanu Lukman, has proposed.
Lukman, while submitting the committee’s final report to President Umaru Musa Yar’Adua in company with Vice-President Goodluck Jonathan, yesterday at the Council Chambers of the Presidential Villa, said: “We feel that it is highly important that the coordinating body in the PHCN be put in place. The privatisation of the successor companies should be suspended until the finalisation of these repairs and viability status is sustained.”
Preparatory to the privatisation of the sector, the former administration of Chief Olusegun Obasanjo had unbundled the National Electric Power Authority (NEPA) into 18 successor companies to handle generation, distribution and transmission, while Power Holding Company of Nigeria (PHCN) was incorporated to take over “stranded” assets and liabilities of the defunct NEPA.
Lukman was however silent on the fate of the 18 successor companies since they have already been “corporatised” – having been registered as independent companies at the Corporate Affairs Commission (CAC).
This recommendation for a new co-ordinating unit may also raise legal issues since the 18 companies are already corporate bodies on their own.
The committee also said Nigeria needed $85 billion (about N10.2 trillion) to meet her 20,000 megawatts electricity target by 2020.
It said the sum would be expended on the ailing sector in the next 12 years in order to achieve government’s short, medium and long-term target as contained in the Power Sector Masterplan.
He, however, was quick to add that this amount did not include another N301.3 billion that would be required for the immediate rehabilitation of gas infrastructural development to enhance adequate gas supply for the generation of the targeted megawatts.
He said 60-70 per cent of the country’s electricity requirement would be dependent on gas, while the remaining are hydro, coal and solar.
Lukman warned that while gas-related electricity accounts for about 70 per cent of total requirement, unless there was peace in the Niger Delta, the nation’s quest for adequate power supply would be a mirage.
All forms of privatisation in the sector should be suspended until Nigeria achieves a healthy power sector, the committee recommended.
The breakdown of the figure shows that of the N10 trillion, a total of $3.5 billion (about N411.1 billion) is to be sourced to solve the sector’s immediate problems and generate 6000 megawatts under the short-term plan which would last for the next 18 months.
For the medium-term plan, the committee is proposing the total amount of N434.3 billion to beef up total electricity generation to 10,000 megawatts which equates current demand.
This will be implemented in the next three to five years, while the long term plan which stretches through another six years, is expected to consume the balance of the whole sum.
The committee lamented that currently only 40 per cent of Nigerians are serviced by the PHCN, but the remaining 60 per cent are expected to be taken care of at the end of the medium-term plan implementation.
The committee advised government to consider emergency power generation in selected urban areas with a view to deploying it whenever there is a sudden drop from the national grid.
It said the facility could also be relocated from one city to another or even to the rural areas as soon as the situation improves in the cities.
While it recommended government’s immediate approval of the implementation of the short-term plan, it warned that gas supply and the Niger Delta where it is produced are the most crucial ingredients and aspects of the power generation in Nigeria and most therefore be given priority in public expenditure.
Assessing the current state of the country’s reforms in the sector, Lukman disclosed that gas supply is the single most important element of Nigeria’s adequate power supply, followed by maintenance.
He said the country had gas deposit that could sustain her power generation for over 150 years but decried the current indebtedness of PHCN of N14 billion to gas suppliers.
The committee also uncovered that while an average of N20 billion is required monthly for the settlement of PHCN retirees, 37,000 are workers in the utility’s employ as against the verified number of 22,115 staff by consultants.
He said 90 per cent of them do not contribute meaningfully to productivity as they lack professional training.
President Yar’Adua, while thanking the committee for a job “well done”, declared that with the submission of the report, his government would immediately proceed to work out the package for both the short, medium and long-term plans for the proposed declaration of a state of emergency in the sector.
He reiterated that the power sector remained the immediate priority in the government’s resolve to meet the vision 202020 target, adding that government would immediately examine the report and its recommendations with a view to implementing them without delay.
Speaking to State House Correspondents after the presentation, Lukman said: “We decided that we are going to define the stages based on what is achievable. For the short term, our aim is to optimise, stabilise and maintain the existing systems. There are a lot of megawatts that could be gained. We also believe by so doing, the capacity of generation can be raised to 6000mw. We also understand that currently, the transmission network cannot raise more than 4000 conveniently, so because of that, transmission and distribution network must be added to the system. The short term plan is 18 months, from now to December 2009.
“For the medium term, we feel that something tangible must be achieved within the lifetime of this administration, the first term. Within three years, we can beef up the current demand which we projected as 10,000 mw. This is achievable.
“After that, we look at the long term. Then we look at 2020, what is achievable. These are the ways that we came out with the short, medium and long-term, considering what is practically achievable, and what is also reasonable.
“For any plan, there must be general assumptions that would guide the way we go about the plan.
“The existing stations would continue to be maintained as at when due. If you do not maintain what you have started with, you are going to go backwards. The Federal Government would release timely funds, the FG would complete all NIPP projects. There must be assurance of adequate supply of gas, there must be no vandalism of power transmission and gas pipelines. For the medium and long-term plans to be achieved, the short-term plan must be successfully completed. These are the assumptions.
“Short term plan is primarily designed to address the immediate shortfalls both in generation and transmission capacity to achieve 36,000mw daily power. What we understood is that as long as these maintenance works are not started, more and more units are going to breakdown. So the first thing to do is stop the rot.”
He also emphasised the importance of optimising the new power stations, so that the three new stations at Geregu, Omotosho and Osun Oshogbo could be fully operational.
According to him, “The grid is very weak, many of the equipment currently are causing power cuts across the country because they are old, they have not been maintained properly and they are aging. We also need to expand the distribution network to accommodate the new power that is coming, and the old power that had been there.
“If all is done, we are assured of 7365mw, but we are only working on ensuring 6000mw by December 2009 because we are still on transmission.
“The communication, control and signalling systems within the grid are all very old and very unreliable. At the end of the short-term what is required in terms of funds to complete the short term is $3.5 billion.
“Medium term is a very interesting phase because by that time, we are going to have new stations started by this administration and we are about completing all the NIPP projects. We believe it is time we start bringing other sources of energy into the mix for energy security. We also hope to start seeing the IPPs coming to complement what the government is doing.
“Three major introductions, one, the introduction of other sources of energy, more hydros, coal and some renewables, because we included some solar and wind power to be experimented. Then the IPPs, more joint ventures coming in. Hopefully by that time the Multi-Year Tariff Order (MYTO) would have raised the economy to a level where people can come in and feel convinced that the investment is right.
“Finally, in the long term, it is hoped that the private sector should at least equal whatever investment government is making in the power sector. It is our belief that, rather than trying to sell the few little ones that are available, people should add more because Nigeria needs more megawatts. It is better the sector is all open; there are a lot of opportunities for everyone. By 2020 the private sector should be the leaders in the sector, the opportunities are there. For the private sector to come into this industry, most of them should go into gas.
He said the committee projected that wind and solar would have contributed 200mw. “So much more again have to be spent, in terms of constructing of transmission lines and substations and this one is purely government responsibility according to the current policy.
“The same thing with distribution. Distribution networks can be privatised with time; individuals can construct distribution networks and connect them to the grid. This is still allowable. And this could relieve government a lot in the sector, it is very feasible. There is a lot of private money that can go into distribution networks.
“Between now and 2020, we projected that we need to spend about close to $85 billion to be able to realise our dream. This is money that can come from all sectors. This does not include money required for gas infrastructure, which would also be massive.
“The plan here is for power, but there would be required a sort of equivalent gas infrastructure for them to be able to service all these thermal stations that are going to constitute about 6-7 per cent of the requirement. It is nearly also about eighty something, or ninety something million US dollars.
“Based on the submission we received from the NNPC, this is just for the short to medium-term. This money has to be spent between now and 2009 to be able to address those shortfalls, because without spending this, those shortfalls would be more because they would not be able to provide the infrastructure required for the gas supply to the power stations.
“The overall priority of government should be to arrest the decay in generation which is currently below 3000mw by optimising the use of existing assets.”
Thursday, June 19, 2008
FEC Approves Master Plan for Abuja Boulevard
THISDAY Newspaper From Juliana Taiwo in Abuja, 06.19.2008
The Federal Executive Council (FEC), chaired by President Umaru Musa Yar’Adua, has approved the revised master plan for the construction of Abuja Boulevard.
When completed, the boulevard will be like Rodeo Drive in Los Angeles, United States, and is expected to boost tourism in the city.
The boulevard will have a cluster of highrise buildings, hotels, conference centres and parks, in a bid to modernise the nation’s capital.
Briefing State House Correspondents yesterday, the FCT Minister, Dr. Aliyu Moddibo-Umar, in company with the Minister of Information, John Odey and his Minister of State, John Akpanudoudeghe, said the new arrangement would see the upward review of the new development levies payable by allottees in the Boulevard area from the prevailing rate of N2,000 per square metre to between N50,000 and N70,000 per square meter.
This means under the new arrangement, a plot of land in the planned boulevard will cost over N500 million in the 6.5 kilometre stretch of the new downtown facility.
Already, N250 million has been provided for in the 2008 Budget of the FCT as seed money for the planning, engineering design and similar preliminary works/services for the project.
The Boulevard, he said, is contained within four major axial roads which are Road B06, B08, B10 and B12, adding that the FCTA administration resolved to embark on the development of the Axial roads B08 and B10 into world standard similar to other popular boulevards substantially through private partnership.
According to Modibbo-Umar, the boulevard would make Abuja a more befitting town comparable to its peers around the world.
He said when completed, “it is expected to attract and facilitate 24/7 commercial activities complemented by 24/7 vehicular and pedestrian movement.”
“There are three categories of plots in the proposed Boulevard area - they are the undeveloped, partially developed and fully developed. Out of the plots, 71 plots have been fully developed, 72 have been partially developed while 132 have not been developed at all.
“Some of the developed and partially developed structures are not in conformity with the boulevard concept. They shall therefore require some upgrading for integration into the boulevard scheme or shall need to be removed subject to compensation,” he said.
The FCT Minister said current allottees within the Boulevard area would be given the right of first refusal to reacquire the Boulevard plots “for which they will pay the revised development levies failing which they will be considered as having opted out of the scheme. They will be relocated to other plots outside the Boulevard area”.
The minister who said government had not fixed any time frame for the commencement of or the cost of the project said: “We are not sure of the estimate though we are working towards getting the correct estimate but the original estimate just for that 6 kilometres will cost N50 billion to build it.
“That is why we believe the time is over where government will build infrastructure and develop it and give to somebody who paid N2000 per square meter only for him to resell that plot for N300 million and put into his pocket. At the moment, a plot of 5,000 square metres is selling for between N100-150 million and it is not fair on government and people of Nigeria, where some people by virtue of their privilege will take this land and wait for government to take this precious money that could be channelled to other use to develop the area for you only for you to resell. When there are even institutions like MTN and Globalcom waiting for us at the Boulevard even with the new rate,” he said.
Modibo said the project “is expected to pay back its cost through payment of development levies or premium by allottees of the plots within the boulevard area. To facilitate the private finance arrangement for the project to pay back its cost, allottees of the plots will be required to pay in full the new development levies.”
“Similarly, properties in the central area which may benefit indirectly from the development of the boulevards will be required to pay betterment levy for the increase in value of their properties,” the minister said.
He said talks would be held with owners of plots in the planned boulevard, as there are fears that many of the present owners would lose their plots due to the new development rate of between N50, 000 and N75, 000 per square metre to be introduced by the FCT administration.
“We don’t want to bulldoze people based on our new mantra of the rule of law. We want to respect the rights of our citizens to fair hearing. If a tenant decides he does not want, he will first go to the FCT Land Use Act Tribunal and if he is not satisfied, he will go to the Abuja High Court, then the Appeal Court. And we are willing to go all the way because one way or the other the Boulevard will have to be built. This is very clear, is either the government does it long time or government gets money to do it because it is already in the master plan,” he said.
“Under the Land Use Act we have the right to change that plan but the tenants have the right to seek redress and the Land Use Act is also clear about the rights of the sitting tenants. In the next one or two weeks we are going to publish in the papers. We are going to discuss with the owners. The key word there is the right of first refusal because we are not going to say move… if you are going to retain your plots this is the new development levy. We are going to exercise that right,” he said.
The FCT Minister assured Nigerians that the FCT authorities “are going to follow due diligence” in all the activities concerning the new project.
The new boulevard, according to him, would stretch from the Eagle Square to the National Hospital, all in the central business district of the FCT and is contained within four major axial roads (which are roads BO6, BO8, BO10 and B12) - also constitution avenue, hospital avenue north, hospital avenue south and independence avenue respectfully.
He said the FCT administration resolved to embark on the development of the axial roads “into world standard boulevards similar to other popular boulevards in the big cities of the world substantially through public private partnership”.
He explained that the “status of the city of Abuja has informed the strong desire of the FCT administration to embark on the development in the central area to provide Abuja with a downtown and make the city more befitting of its status as a world class city”.
Other decisions taken by the council were for the construction of six recreational parks and gardens in the FCT.
The parks are to be constructed by some corporate organisations such as banks, construction companies and other service providers.
The Federal Executive Council (FEC), chaired by President Umaru Musa Yar’Adua, has approved the revised master plan for the construction of Abuja Boulevard.
When completed, the boulevard will be like Rodeo Drive in Los Angeles, United States, and is expected to boost tourism in the city.
The boulevard will have a cluster of highrise buildings, hotels, conference centres and parks, in a bid to modernise the nation’s capital.
Briefing State House Correspondents yesterday, the FCT Minister, Dr. Aliyu Moddibo-Umar, in company with the Minister of Information, John Odey and his Minister of State, John Akpanudoudeghe, said the new arrangement would see the upward review of the new development levies payable by allottees in the Boulevard area from the prevailing rate of N2,000 per square metre to between N50,000 and N70,000 per square meter.
This means under the new arrangement, a plot of land in the planned boulevard will cost over N500 million in the 6.5 kilometre stretch of the new downtown facility.
Already, N250 million has been provided for in the 2008 Budget of the FCT as seed money for the planning, engineering design and similar preliminary works/services for the project.
The Boulevard, he said, is contained within four major axial roads which are Road B06, B08, B10 and B12, adding that the FCTA administration resolved to embark on the development of the Axial roads B08 and B10 into world standard similar to other popular boulevards substantially through private partnership.
According to Modibbo-Umar, the boulevard would make Abuja a more befitting town comparable to its peers around the world.
He said when completed, “it is expected to attract and facilitate 24/7 commercial activities complemented by 24/7 vehicular and pedestrian movement.”
“There are three categories of plots in the proposed Boulevard area - they are the undeveloped, partially developed and fully developed. Out of the plots, 71 plots have been fully developed, 72 have been partially developed while 132 have not been developed at all.
“Some of the developed and partially developed structures are not in conformity with the boulevard concept. They shall therefore require some upgrading for integration into the boulevard scheme or shall need to be removed subject to compensation,” he said.
The FCT Minister said current allottees within the Boulevard area would be given the right of first refusal to reacquire the Boulevard plots “for which they will pay the revised development levies failing which they will be considered as having opted out of the scheme. They will be relocated to other plots outside the Boulevard area”.
The minister who said government had not fixed any time frame for the commencement of or the cost of the project said: “We are not sure of the estimate though we are working towards getting the correct estimate but the original estimate just for that 6 kilometres will cost N50 billion to build it.
“That is why we believe the time is over where government will build infrastructure and develop it and give to somebody who paid N2000 per square meter only for him to resell that plot for N300 million and put into his pocket. At the moment, a plot of 5,000 square metres is selling for between N100-150 million and it is not fair on government and people of Nigeria, where some people by virtue of their privilege will take this land and wait for government to take this precious money that could be channelled to other use to develop the area for you only for you to resell. When there are even institutions like MTN and Globalcom waiting for us at the Boulevard even with the new rate,” he said.
Modibo said the project “is expected to pay back its cost through payment of development levies or premium by allottees of the plots within the boulevard area. To facilitate the private finance arrangement for the project to pay back its cost, allottees of the plots will be required to pay in full the new development levies.”
“Similarly, properties in the central area which may benefit indirectly from the development of the boulevards will be required to pay betterment levy for the increase in value of their properties,” the minister said.
He said talks would be held with owners of plots in the planned boulevard, as there are fears that many of the present owners would lose their plots due to the new development rate of between N50, 000 and N75, 000 per square metre to be introduced by the FCT administration.
“We don’t want to bulldoze people based on our new mantra of the rule of law. We want to respect the rights of our citizens to fair hearing. If a tenant decides he does not want, he will first go to the FCT Land Use Act Tribunal and if he is not satisfied, he will go to the Abuja High Court, then the Appeal Court. And we are willing to go all the way because one way or the other the Boulevard will have to be built. This is very clear, is either the government does it long time or government gets money to do it because it is already in the master plan,” he said.
“Under the Land Use Act we have the right to change that plan but the tenants have the right to seek redress and the Land Use Act is also clear about the rights of the sitting tenants. In the next one or two weeks we are going to publish in the papers. We are going to discuss with the owners. The key word there is the right of first refusal because we are not going to say move… if you are going to retain your plots this is the new development levy. We are going to exercise that right,” he said.
The FCT Minister assured Nigerians that the FCT authorities “are going to follow due diligence” in all the activities concerning the new project.
The new boulevard, according to him, would stretch from the Eagle Square to the National Hospital, all in the central business district of the FCT and is contained within four major axial roads (which are roads BO6, BO8, BO10 and B12) - also constitution avenue, hospital avenue north, hospital avenue south and independence avenue respectfully.
He said the FCT administration resolved to embark on the development of the axial roads “into world standard boulevards similar to other popular boulevards in the big cities of the world substantially through public private partnership”.
He explained that the “status of the city of Abuja has informed the strong desire of the FCT administration to embark on the development in the central area to provide Abuja with a downtown and make the city more befitting of its status as a world class city”.
Other decisions taken by the council were for the construction of six recreational parks and gardens in the FCT.
The parks are to be constructed by some corporate organisations such as banks, construction companies and other service providers.
Monday, June 16, 2008
Latest On The Death Of 46 Nigerian Soldiers
Nigerian Army, UN Disagree
·Grants At The Centre Of Feud By Sani Mohammad
The last may not have been heard of the unfortunate incident that claimed the lives of 46 Nigerian Soldiers returning from peace-keeping operations in Darfur-Sudan.
The Federal Government, a source told FRESH FACTS, has since commenced investigation into the circumstances that led to the accident that claimed the lives of the soldiers.
Informed sources hinted that, the Yar’Adua administration was jolted to commence the investigations following a complaint lodged by the United Nations which insisted that it had made adequate provision and paid for comfortable transportation of troops returning to their units in their respective countries.
It could be recalled that the Chief of Army Staff, Lt. Gen. Luka Yusuf had earlier accused the UN of not adequately providing the funds needed to transport such returning soldiers back to their respective formations. But in a swift reaction to that allegation, the United Nations sent details of the payments made to all the troops in Darfur for the peace-keeping mission including Nigeria which received almost more than what other countries received. It could be recalled that the Chief of Army Staff, Lt. Gen. Luka Yusuf had earlier accused the UN of not adequately providing the funds needed to transport such returning soldiers back to their respective formations. But in a swift reaction to that allegation, the United Nations sent details of the payments made to all the troops in Darfur for the peace-keeping mission including Nigeria which received almost more than what other countries received. Sources told FRESH FACTS that, the authorities of Nigerian Army had been paid by the United Nations to transport the returning troops from the Abuja Airport to their base at Mongonu, Borno State in air-conditioned luxury buses, but the soldiers were being transported in rickety army trucks when the accident occurred.
The aim of the Federal Government’s probe is to unravel the mystery behind the violation of the UN provisions to comfortably transport the troops back home, and also establish what happened to the huge funds disbursed to the Nigerian Army by the UN. Already, a source disclosed, fears and apprehension have gripped the top brass at the Army Headquarters in Abuja because the investigation as they had reasoned, may unearth more damaging financial infractions inflicted on Nigerian troops by their superior officers, especially as regards the payment of requisite duty-tour allowances and other entitlements due to the troops. Prior to the coming of the Yar’Adua administration and the appointment of Mahmud Yayale Ahmed as Nigeria’s Defence Minister, troops on peace-keeping operations had consistently had their entitlements either arbitrarily reduced or outrightly denied by senior officers at the Army Headquarters.
For example, soldiers on peace-keeping operations during that period, were paid only $400 instead of the $1,200 as provided for by the United Nations Peace-Keeping Headquarters.
Similarly, in the past, many soldiers who traveled for various peace-keeping operations were made to return to Nigeria without their entitlements paid and such payments were made quarterly in peace-meal, many months after the troops have returned to base in Nigeria.
However, after the discovery of this gross-injustice by the Yar’Adua, administration the Army Headquarters was ordered to rectify the anomaly, as such Nigerian soldiers on peace missions are paid their monthly $1,200 while the troops are at their respective frontlines.
It was based on this submission from the UN that President Yar’Adua set up the investigative panel to establish the true position of things.
However, when FRESH FACTS contacted the Army Public Relations Officer, Brigadier-General Emeka Onwuamaegbu he reacted to
·Grants At The Centre Of Feud By Sani Mohammad
The last may not have been heard of the unfortunate incident that claimed the lives of 46 Nigerian Soldiers returning from peace-keeping operations in Darfur-Sudan.
The Federal Government, a source told FRESH FACTS, has since commenced investigation into the circumstances that led to the accident that claimed the lives of the soldiers.
Informed sources hinted that, the Yar’Adua administration was jolted to commence the investigations following a complaint lodged by the United Nations which insisted that it had made adequate provision and paid for comfortable transportation of troops returning to their units in their respective countries.
It could be recalled that the Chief of Army Staff, Lt. Gen. Luka Yusuf had earlier accused the UN of not adequately providing the funds needed to transport such returning soldiers back to their respective formations. But in a swift reaction to that allegation, the United Nations sent details of the payments made to all the troops in Darfur for the peace-keeping mission including Nigeria which received almost more than what other countries received. It could be recalled that the Chief of Army Staff, Lt. Gen. Luka Yusuf had earlier accused the UN of not adequately providing the funds needed to transport such returning soldiers back to their respective formations. But in a swift reaction to that allegation, the United Nations sent details of the payments made to all the troops in Darfur for the peace-keeping mission including Nigeria which received almost more than what other countries received. Sources told FRESH FACTS that, the authorities of Nigerian Army had been paid by the United Nations to transport the returning troops from the Abuja Airport to their base at Mongonu, Borno State in air-conditioned luxury buses, but the soldiers were being transported in rickety army trucks when the accident occurred.
The aim of the Federal Government’s probe is to unravel the mystery behind the violation of the UN provisions to comfortably transport the troops back home, and also establish what happened to the huge funds disbursed to the Nigerian Army by the UN. Already, a source disclosed, fears and apprehension have gripped the top brass at the Army Headquarters in Abuja because the investigation as they had reasoned, may unearth more damaging financial infractions inflicted on Nigerian troops by their superior officers, especially as regards the payment of requisite duty-tour allowances and other entitlements due to the troops. Prior to the coming of the Yar’Adua administration and the appointment of Mahmud Yayale Ahmed as Nigeria’s Defence Minister, troops on peace-keeping operations had consistently had their entitlements either arbitrarily reduced or outrightly denied by senior officers at the Army Headquarters.
For example, soldiers on peace-keeping operations during that period, were paid only $400 instead of the $1,200 as provided for by the United Nations Peace-Keeping Headquarters.
Similarly, in the past, many soldiers who traveled for various peace-keeping operations were made to return to Nigeria without their entitlements paid and such payments were made quarterly in peace-meal, many months after the troops have returned to base in Nigeria.
However, after the discovery of this gross-injustice by the Yar’Adua, administration the Army Headquarters was ordered to rectify the anomaly, as such Nigerian soldiers on peace missions are paid their monthly $1,200 while the troops are at their respective frontlines.
It was based on this submission from the UN that President Yar’Adua set up the investigative panel to establish the true position of things.
However, when FRESH FACTS contacted the Army Public Relations Officer, Brigadier-General Emeka Onwuamaegbu he reacted to
Vision 2020 to gulp N12tr
By Adeyemi Adepetun (The Guardian)
THE financial outlay for Nigeria's Vision 2020 development agenda has been unfolded by the Federal Government: It will gulp, at least, N12 trillion or $100 billion.
The money will be spent in the next 12 years in four sectors, which the government identifies as the pivots of the country's drive to join the top 20 global economies in 2020.
Without any derailment from the set objectives, the government will on the average spend N1 trillion yearly in the former sectors.
The Minister of National Planning and Deputy Chairman, National Planning Commission (NPC), Senator Sanusi Daggash, who unveiled the expenditure pattern at the weekend in Lagos, said the money would be spent on power, railways, roads and the oil and gas sectors.
Even though, he recognised that agriculture needs special attention, Daggash did not disclose the amount the government would spend on the sector during the period.
Daggash said the power sector needs between $18 billion and $20 billion to be revived. The railway line needs about $10 billion, the roads require about $15 billion, while the oil and gas sector would gulp $60 billion investment.
He spoke in Lagos at a dinner organised by the Harvard Business School Association of Nigeria (HBSAN) to mark the silver jubilee of and the centenary of the body and the school, located in Cambridge, United States with the theme: "2nd Ball and Black Tie Dinner."
Daggash, who spoke on "infrastructural development in Nigeria,", noted that electricity was yet to reach over two billion people worldwide and invariably, the much-expected output from mostly developing economies is stunted.
He added that on the average, 40 per cent of the power generating capacity in developing nations is unavailable for production.
The Senator said based on the constraints experienced by poor economies due to power crisis, they had to resolve into looking for Foreign Direct Investments (FDIs) to augment their meagre budgets for infrastructural development.
The minister said that for most countries, the bulk of FDIs would remain concentrated on resources - based industries, with Africa capturing about three per cent of the total global FDIs compared with developing countries in Asia, which receive nearly 25 per cent of the funds in the last one year.
He said Nigeria like most developing nations suffers acute infrastructural deficiency in all critical sectors of the economy.
This, he said, had become a threat to the government's aspiration to make the country one of the top 20 economies in world by 2020.
"Perhaps, the most threatening is the chronic lack of power," he stated.
Daggash said the World Bank believes that the power problem in the country holds back the country's Gross Domestic Products (GDP),by as eight per cent.
He added: "It will interest you to know that the electricity consumption at the Harvard campus in Cambridge is about 100mw, which is the same amount of electricity that is supplied to about four states in the North, with a population of about 16 million people.
"This is in spite of the huge amount of money that has been directed to the sector in recent time through the National Integrated Power Projects (NIPPs) and other initiatives.
Daggash however, said those were the bad news, "the good news is that Nigeria has began to see the light at the end of the tunnel because there is now an economic renaissance going on in the country."
He remarked that the international community had started noticing the success of the government's reforms, anchored on the National Economic Empowerment Development Strategy (NEEDS), the Social Economic Regeneration Agenda implemented by former President Olusegun Obasanjo.
"The implementation of NEEDS move the country from a stagnant economy to a vibrant and robust nation. We have witnessed high level of dynamism and activities in the policies environment in our country with the increasing engagement and deliberation between government, civil societies and the industrial sector aimed at putting the country on a higher pedestal of growth", he stated.
Daggash said the present government is now committed to moving the nation to a level where it would be able to compete globally.
The government, he added, was working on a Private Partnership Project (PPP) to accommodate the private sector to chart a new course for the development.
The minister disclosed that the government is developing a 15-year national infrastructure master plan to improve investment in infrastructure.
Daggash said: "We are also working in a collaboration effort with the private sector for the West African Gas Pipeline project, a 681km onshore and offshore that will transport natural gas from the western Niger Delta to selected consumers in the Benin Republic, Togo and Ghana.
"The pipeline project obtained the financial guarantees of the World Bank and is currently being considered for support by the European Investment Bank.
"It is believed that the project will contribute to the harmonisation of regional, institutional vigour and regulatory framework in the participating West African countries in the context of World Bank within the West African Regional Integration Assistance Strategy", he said.
THE financial outlay for Nigeria's Vision 2020 development agenda has been unfolded by the Federal Government: It will gulp, at least, N12 trillion or $100 billion.
The money will be spent in the next 12 years in four sectors, which the government identifies as the pivots of the country's drive to join the top 20 global economies in 2020.
Without any derailment from the set objectives, the government will on the average spend N1 trillion yearly in the former sectors.
The Minister of National Planning and Deputy Chairman, National Planning Commission (NPC), Senator Sanusi Daggash, who unveiled the expenditure pattern at the weekend in Lagos, said the money would be spent on power, railways, roads and the oil and gas sectors.
Even though, he recognised that agriculture needs special attention, Daggash did not disclose the amount the government would spend on the sector during the period.
Daggash said the power sector needs between $18 billion and $20 billion to be revived. The railway line needs about $10 billion, the roads require about $15 billion, while the oil and gas sector would gulp $60 billion investment.
He spoke in Lagos at a dinner organised by the Harvard Business School Association of Nigeria (HBSAN) to mark the silver jubilee of and the centenary of the body and the school, located in Cambridge, United States with the theme: "2nd Ball and Black Tie Dinner."
Daggash, who spoke on "infrastructural development in Nigeria,", noted that electricity was yet to reach over two billion people worldwide and invariably, the much-expected output from mostly developing economies is stunted.
He added that on the average, 40 per cent of the power generating capacity in developing nations is unavailable for production.
The Senator said based on the constraints experienced by poor economies due to power crisis, they had to resolve into looking for Foreign Direct Investments (FDIs) to augment their meagre budgets for infrastructural development.
The minister said that for most countries, the bulk of FDIs would remain concentrated on resources - based industries, with Africa capturing about three per cent of the total global FDIs compared with developing countries in Asia, which receive nearly 25 per cent of the funds in the last one year.
He said Nigeria like most developing nations suffers acute infrastructural deficiency in all critical sectors of the economy.
This, he said, had become a threat to the government's aspiration to make the country one of the top 20 economies in world by 2020.
"Perhaps, the most threatening is the chronic lack of power," he stated.
Daggash said the World Bank believes that the power problem in the country holds back the country's Gross Domestic Products (GDP),by as eight per cent.
He added: "It will interest you to know that the electricity consumption at the Harvard campus in Cambridge is about 100mw, which is the same amount of electricity that is supplied to about four states in the North, with a population of about 16 million people.
"This is in spite of the huge amount of money that has been directed to the sector in recent time through the National Integrated Power Projects (NIPPs) and other initiatives.
Daggash however, said those were the bad news, "the good news is that Nigeria has began to see the light at the end of the tunnel because there is now an economic renaissance going on in the country."
He remarked that the international community had started noticing the success of the government's reforms, anchored on the National Economic Empowerment Development Strategy (NEEDS), the Social Economic Regeneration Agenda implemented by former President Olusegun Obasanjo.
"The implementation of NEEDS move the country from a stagnant economy to a vibrant and robust nation. We have witnessed high level of dynamism and activities in the policies environment in our country with the increasing engagement and deliberation between government, civil societies and the industrial sector aimed at putting the country on a higher pedestal of growth", he stated.
Daggash said the present government is now committed to moving the nation to a level where it would be able to compete globally.
The government, he added, was working on a Private Partnership Project (PPP) to accommodate the private sector to chart a new course for the development.
The minister disclosed that the government is developing a 15-year national infrastructure master plan to improve investment in infrastructure.
Daggash said: "We are also working in a collaboration effort with the private sector for the West African Gas Pipeline project, a 681km onshore and offshore that will transport natural gas from the western Niger Delta to selected consumers in the Benin Republic, Togo and Ghana.
"The pipeline project obtained the financial guarantees of the World Bank and is currently being considered for support by the European Investment Bank.
"It is believed that the project will contribute to the harmonisation of regional, institutional vigour and regulatory framework in the participating West African countries in the context of World Bank within the West African Regional Integration Assistance Strategy", he said.
Vision 2020 to gulp N12tr
By Adeyemi Adepetun (The Guardian)
THE financial outlay for Nigeria's Vision 2020 development agenda has been unfolded by the Federal Government: It will gulp, at least, N12 trillion or $100 billion.
The money will be spent in the next 12 years in four sectors, which the government identifies as the pivots of the country's drive to join the top 20 global economies in 2020.
Without any derailment from the set objectives, the government will on the average spend N1 trillion yearly in the former sectors.
The Minister of National Planning and Deputy Chairman, National Planning Commission (NPC), Senator Sanusi Daggash, who unveiled the expenditure pattern at the weekend in Lagos, said the money would be spent on power, railways, roads and the oil and gas sectors.
Even though, he recognised that agriculture needs special attention, Daggash did not disclose the amount the government would spend on the sector during the period.
Daggash said the power sector needs between $18 billion and $20 billion to be revived. The railway line needs about $10 billion, the roads require about $15 billion, while the oil and gas sector would gulp $60 billion investment.
He spoke in Lagos at a dinner organised by the Harvard Business School Association of Nigeria (HBSAN) to mark the silver jubilee of and the centenary of the body and the school, located in Cambridge, United States with the theme: "2nd Ball and Black Tie Dinner."
Daggash, who spoke on "infrastructural development in Nigeria,", noted that electricity was yet to reach over two billion people worldwide and invariably, the much-expected output from mostly developing economies is stunted.
He added that on the average, 40 per cent of the power generating capacity in developing nations is unavailable for production.
The Senator said based on the constraints experienced by poor economies due to power crisis, they had to resolve into looking for Foreign Direct Investments (FDIs) to augment their meagre budgets for infrastructural development.
The minister said that for most countries, the bulk of FDIs would remain concentrated on resources - based industries, with Africa capturing about three per cent of the total global FDIs compared with developing countries in Asia, which receive nearly 25 per cent of the funds in the last one year.
He said Nigeria like most developing nations suffers acute infrastructural deficiency in all critical sectors of the economy.
This, he said, had become a threat to the government's aspiration to make the country one of the top 20 economies in world by 2020.
"Perhaps, the most threatening is the chronic lack of power," he stated.
Daggash said the World Bank believes that the power problem in the country holds back the country's Gross Domestic Products (GDP),by as eight per cent.
He added: "It will interest you to know that the electricity consumption at the Harvard campus in Cambridge is about 100mw, which is the same amount of electricity that is supplied to about four states in the North, with a population of about 16 million people.
"This is in spite of the huge amount of money that has been directed to the sector in recent time through the National Integrated Power Projects (NIPPs) and other initiatives.
Daggash however, said those were the bad news, "the good news is that Nigeria has began to see the light at the end of the tunnel because there is now an economic renaissance going on in the country."
He remarked that the international community had started noticing the success of the government's reforms, anchored on the National Economic Empowerment Development Strategy (NEEDS), the Social Economic Regeneration Agenda implemented by former President Olusegun Obasanjo.
"The implementation of NEEDS move the country from a stagnant economy to a vibrant and robust nation. We have witnessed high level of dynamism and activities in the policies environment in our country with the increasing engagement and deliberation between government, civil societies and the industrial sector aimed at putting the country on a higher pedestal of growth", he stated.
Daggash said the present government is now committed to moving the nation to a level where it would be able to compete globally.
The government, he added, was working on a Private Partnership Project (PPP) to accommodate the private sector to chart a new course for the development.
The minister disclosed that the government is developing a 15-year national infrastructure master plan to improve investment in infrastructure.
Daggash said: "We are also working in a collaboration effort with the private sector for the West African Gas Pipeline project, a 681km onshore and offshore that will transport natural gas from the western Niger Delta to selected consumers in the Benin Republic, Togo and Ghana.
"The pipeline project obtained the financial guarantees of the World Bank and is currently being considered for support by the European Investment Bank.
"It is believed that the project will contribute to the harmonisation of regional, institutional vigour and regulatory framework in the participating West African countries in the context of World Bank within the West African Regional Integration Assistance Strategy", he said.
THE financial outlay for Nigeria's Vision 2020 development agenda has been unfolded by the Federal Government: It will gulp, at least, N12 trillion or $100 billion.
The money will be spent in the next 12 years in four sectors, which the government identifies as the pivots of the country's drive to join the top 20 global economies in 2020.
Without any derailment from the set objectives, the government will on the average spend N1 trillion yearly in the former sectors.
The Minister of National Planning and Deputy Chairman, National Planning Commission (NPC), Senator Sanusi Daggash, who unveiled the expenditure pattern at the weekend in Lagos, said the money would be spent on power, railways, roads and the oil and gas sectors.
Even though, he recognised that agriculture needs special attention, Daggash did not disclose the amount the government would spend on the sector during the period.
Daggash said the power sector needs between $18 billion and $20 billion to be revived. The railway line needs about $10 billion, the roads require about $15 billion, while the oil and gas sector would gulp $60 billion investment.
He spoke in Lagos at a dinner organised by the Harvard Business School Association of Nigeria (HBSAN) to mark the silver jubilee of and the centenary of the body and the school, located in Cambridge, United States with the theme: "2nd Ball and Black Tie Dinner."
Daggash, who spoke on "infrastructural development in Nigeria,", noted that electricity was yet to reach over two billion people worldwide and invariably, the much-expected output from mostly developing economies is stunted.
He added that on the average, 40 per cent of the power generating capacity in developing nations is unavailable for production.
The Senator said based on the constraints experienced by poor economies due to power crisis, they had to resolve into looking for Foreign Direct Investments (FDIs) to augment their meagre budgets for infrastructural development.
The minister said that for most countries, the bulk of FDIs would remain concentrated on resources - based industries, with Africa capturing about three per cent of the total global FDIs compared with developing countries in Asia, which receive nearly 25 per cent of the funds in the last one year.
He said Nigeria like most developing nations suffers acute infrastructural deficiency in all critical sectors of the economy.
This, he said, had become a threat to the government's aspiration to make the country one of the top 20 economies in world by 2020.
"Perhaps, the most threatening is the chronic lack of power," he stated.
Daggash said the World Bank believes that the power problem in the country holds back the country's Gross Domestic Products (GDP),by as eight per cent.
He added: "It will interest you to know that the electricity consumption at the Harvard campus in Cambridge is about 100mw, which is the same amount of electricity that is supplied to about four states in the North, with a population of about 16 million people.
"This is in spite of the huge amount of money that has been directed to the sector in recent time through the National Integrated Power Projects (NIPPs) and other initiatives.
Daggash however, said those were the bad news, "the good news is that Nigeria has began to see the light at the end of the tunnel because there is now an economic renaissance going on in the country."
He remarked that the international community had started noticing the success of the government's reforms, anchored on the National Economic Empowerment Development Strategy (NEEDS), the Social Economic Regeneration Agenda implemented by former President Olusegun Obasanjo.
"The implementation of NEEDS move the country from a stagnant economy to a vibrant and robust nation. We have witnessed high level of dynamism and activities in the policies environment in our country with the increasing engagement and deliberation between government, civil societies and the industrial sector aimed at putting the country on a higher pedestal of growth", he stated.
Daggash said the present government is now committed to moving the nation to a level where it would be able to compete globally.
The government, he added, was working on a Private Partnership Project (PPP) to accommodate the private sector to chart a new course for the development.
The minister disclosed that the government is developing a 15-year national infrastructure master plan to improve investment in infrastructure.
Daggash said: "We are also working in a collaboration effort with the private sector for the West African Gas Pipeline project, a 681km onshore and offshore that will transport natural gas from the western Niger Delta to selected consumers in the Benin Republic, Togo and Ghana.
"The pipeline project obtained the financial guarantees of the World Bank and is currently being considered for support by the European Investment Bank.
"It is believed that the project will contribute to the harmonisation of regional, institutional vigour and regulatory framework in the participating West African countries in the context of World Bank within the West African Regional Integration Assistance Strategy", he said.
Sunday, June 15, 2008
Military, No Threat to Democracy, Says Army Chief
From Imam Imam in Gusau, 06.15.2008
The military institution in Nigeria is no longer a threat to the survival of the nation's democracy, Chief of Army Staff, Lieutenant-General Luka Yusuf, said yesterday in Gusau, Zamfara State.
The Army chief, who gave the assurance while on a “thank you visit” to the government of Zamfara State for its decision to build a new ammunition depot in Gusau, said the military has now become the bastion of democratic governance in the country.
He warned against continued incidents of internal political wrangling witnessed in some parts of the country and said: “Army will not tolerate any form of political disturbance in any part of the country.”
Yusuf said unlike the previously held view that the army has been an impediment to the development of democracy in the country, everyone is today aware that "the Army is the pillar of Nigerian Democracy and we will always be there to safeguard the system. We will always be there to make sure that Nigerians understand and appreciate the country better," he added.
He said the Nigerian Army is currently undergoing transformation that would make its personnel to be more professional in the discharge of their duties.
"We are transforming the Nigerian Army so that Officers and Soldiers would understand their duties well and be more professional. We are training very hard so that we can address any form of internal security problems and as well we are training very hard on peace support operations for which we are the fourth most contributing country in the world,'' he said.
The Army boss disclosed that the service is earning some money for the country through the peace keeping operations contrary to the belief by Nigerians that the country is wasting its scarce resources on the operations.
He however failed to say how much the country is earning from the operations. He only said "the amount is substantial but I cannot give the specific amount because I am not an accountant."
While commending the Zamfara State Gover-nment for its decision to construct a new ammunition depot for the army to replace the existing one, Yusuf said the gesture will go a long way in cementing the already existing cordial relationship between the state and Nigerian Army.
In his response to the army chief’s remarks, Governor Mahmuda Aliyu Shinkafi extolled the role of the Nigerian Army in nurturing the country's democracy.
He identified poverty as the bane of security in the country and ephasised the need for all stakeholders in the country to work towards reducing poverty in the country.
Shinkafi, who said the Nigeria Army is among the highly skilled forces in the world, pledged that his administration would continue to support the service whenever the need arises.
The military institution in Nigeria is no longer a threat to the survival of the nation's democracy, Chief of Army Staff, Lieutenant-General Luka Yusuf, said yesterday in Gusau, Zamfara State.
The Army chief, who gave the assurance while on a “thank you visit” to the government of Zamfara State for its decision to build a new ammunition depot in Gusau, said the military has now become the bastion of democratic governance in the country.
He warned against continued incidents of internal political wrangling witnessed in some parts of the country and said: “Army will not tolerate any form of political disturbance in any part of the country.”
Yusuf said unlike the previously held view that the army has been an impediment to the development of democracy in the country, everyone is today aware that "the Army is the pillar of Nigerian Democracy and we will always be there to safeguard the system. We will always be there to make sure that Nigerians understand and appreciate the country better," he added.
He said the Nigerian Army is currently undergoing transformation that would make its personnel to be more professional in the discharge of their duties.
"We are transforming the Nigerian Army so that Officers and Soldiers would understand their duties well and be more professional. We are training very hard so that we can address any form of internal security problems and as well we are training very hard on peace support operations for which we are the fourth most contributing country in the world,'' he said.
The Army boss disclosed that the service is earning some money for the country through the peace keeping operations contrary to the belief by Nigerians that the country is wasting its scarce resources on the operations.
He however failed to say how much the country is earning from the operations. He only said "the amount is substantial but I cannot give the specific amount because I am not an accountant."
While commending the Zamfara State Gover-nment for its decision to construct a new ammunition depot for the army to replace the existing one, Yusuf said the gesture will go a long way in cementing the already existing cordial relationship between the state and Nigerian Army.
In his response to the army chief’s remarks, Governor Mahmuda Aliyu Shinkafi extolled the role of the Nigerian Army in nurturing the country's democracy.
He identified poverty as the bane of security in the country and ephasised the need for all stakeholders in the country to work towards reducing poverty in the country.
Shinkafi, who said the Nigeria Army is among the highly skilled forces in the world, pledged that his administration would continue to support the service whenever the need arises.
Saturday, June 14, 2008
Yar’Adua Sets December 2009 for New Electoral System
(THISDAY From Juliana Taiwo in Abuja, 06.14.2008
President Umaru Musa Yar’Adua has set December 2009 as target date for the introduction of the electoral reforms promised by his administration to ensure long-term political stability in the country.
In a statement signed by the Special Adviser to the President on Communications, Olusegun Adeniyi, Yar’Adua also disclosed that within the context of the electoral reforms, his administration will consider measures to ensure that the estimated five million Nigerians in the diaspora are able to vote in future elections.
Yar’Adua made the disclosure while addressing Nigerians resident in France at the residence of the Nigerian Ambassador to France in Paris, during his state visit to the country. He said that the National Electoral Reform Committee was working very hard to conclude its work by the end of this year.
“We are hoping that by the end of 2009 we will have an electoral process that will provide Nigeria with what it requires to establish long-term political stability and entrench a culture of democracy and the rule of law.
“We are absolutely committed to the quest to imbue the nation with real democracy and the rule of law, and we will do whatever is necessary to succeed,” he said.
President Yar’Adua said that the country had the resources and capability to achieve the objective of becoming one of the twenty most developed economies in the world by the year 2020.
all Nigerians must identify with the vision and commit themselves to attaining the political stability, peace and security needed to make it realisable.
The President also spoke of his Administration’s determination to reform Nigeria ’s petroleum and gas sector to ensure that the downstream sector is well established and becomes self-sufficient in the processing of the country’s oil and gas resources.
He said that the Federal Government’s objective in this regard was to make the sector a key “enabler” for rapid industrialisation of the country and to make Nigeria the leading producer of petrochemicals in Africa .
President Yar’Adua also told them that his delegation had had “very fruitful discussions” with the French authorities in the course of his state visit, saying that the talks had laid the foundation for a new effort to confront the developmental challenges facing Nigeria and other African nations.
At talks with the President of the National Assembly of France, Mr. Bermand Accoyer, President Yar’Adua had called for greater foreign investment in Africa .
“What we want from France as a country is more investment. We are grateful for all the assistance by way of aid. Aid is good but trade is far better. What we need in Africa is investment. For Africa to attain the Millennium Development Goals, we have to improve in the area of infrastructure. We will require the partnership of our friends, especially France, for the attainment of this objective, he told Mr. Accoyer.
President Umaru Musa Yar’Adua has set December 2009 as target date for the introduction of the electoral reforms promised by his administration to ensure long-term political stability in the country.
In a statement signed by the Special Adviser to the President on Communications, Olusegun Adeniyi, Yar’Adua also disclosed that within the context of the electoral reforms, his administration will consider measures to ensure that the estimated five million Nigerians in the diaspora are able to vote in future elections.
Yar’Adua made the disclosure while addressing Nigerians resident in France at the residence of the Nigerian Ambassador to France in Paris, during his state visit to the country. He said that the National Electoral Reform Committee was working very hard to conclude its work by the end of this year.
“We are hoping that by the end of 2009 we will have an electoral process that will provide Nigeria with what it requires to establish long-term political stability and entrench a culture of democracy and the rule of law.
“We are absolutely committed to the quest to imbue the nation with real democracy and the rule of law, and we will do whatever is necessary to succeed,” he said.
President Yar’Adua said that the country had the resources and capability to achieve the objective of becoming one of the twenty most developed economies in the world by the year 2020.
all Nigerians must identify with the vision and commit themselves to attaining the political stability, peace and security needed to make it realisable.
The President also spoke of his Administration’s determination to reform Nigeria ’s petroleum and gas sector to ensure that the downstream sector is well established and becomes self-sufficient in the processing of the country’s oil and gas resources.
He said that the Federal Government’s objective in this regard was to make the sector a key “enabler” for rapid industrialisation of the country and to make Nigeria the leading producer of petrochemicals in Africa .
President Yar’Adua also told them that his delegation had had “very fruitful discussions” with the French authorities in the course of his state visit, saying that the talks had laid the foundation for a new effort to confront the developmental challenges facing Nigeria and other African nations.
At talks with the President of the National Assembly of France, Mr. Bermand Accoyer, President Yar’Adua had called for greater foreign investment in Africa .
“What we want from France as a country is more investment. We are grateful for all the assistance by way of aid. Aid is good but trade is far better. What we need in Africa is investment. For Africa to attain the Millennium Development Goals, we have to improve in the area of infrastructure. We will require the partnership of our friends, especially France, for the attainment of this objective, he told Mr. Accoyer.
•36 states approve N585bn for projects
(THIDAY) From Juliana Taiwo and Kunle Aderinokun in Abuja, 06.14.2008
President Umaru Musa Yar’Adua yesterday in Paris, France announced that his administration would formally declare a state of emergency in Nigeria’s power sector next month.
The 36 states of the federation have equally agreed to withdraw N585 billion (the equivalent of $5 billion) from the excess crude account to support the financing of power projects across the country during the emergency period.
A statement signed by Special Adviser to the President on Communica-tions, Mr. Olusegun Adeniyi, said Yar’Adua, who was on a visit to France, disclosed this while responding to concerns expressed by prospective French investors over current power supply problems in Nigeria.
The President said under the emergency which would be in force for three years, the federal and state governments would set aside $5 billion for the rehabilitation and expansion of Nigeria’s power generation, transmission and distribution infrastructure.
The President told the gathering of French businessmen that after the three-year emergency period, Nigeria’s generation and distribution infrastructure would be privatised while its transmission infrastructure will remain under the control of a state-owned company.
He said Nigeria would seek additional financing from international finance institutions for the rehabilitation and expansion of its power infrastructure, adding that his administration intends to establish a proper framework for the incremental increase in Nigeria’s power generation capacity to about 50,000 megawatts by the year 2020.
President Yar’Adua invited the French businessmen to take greater advantage of the immense investment opportunities thrown up in all sectors of the Nigerian economy by the deregulation and privatisation policies of the Federal Government.
Before leaving Paris for Abuja, President Yar’Adua met with African Ambassadors to France.
He told them that as Africa’s representatives in one of the world’s major economies, they have a duty to make the continent’s case for equity to its development partners and to present its perspectives on the critical socio-economic, developmental and political issues in a fast-globalising world.
The President said: “In the reality of today’s world, you have a responsibility and obligation as Africans to form yourselves into a functional, pro-active and effective synergy to drive our continent’s quest for regeneration.”
In the meantime, as the Federal Government is concluding arrangements to declare a state of emergency in the power sector, the 36 states consented to withdraw N585 billion from the excess crude account to support the financing of power projects across the country.
The total amount in the excess crude account stood at $18 billion as at May this year.
Although details of how the funds will be withdrawn were not disclosed, the amount for each state will be released to the Federal Government for the projects according to the revenue sharing formula.
The Federal Government will meet with the 36 states of the Federation on June 19 and unveil the framework and the financing details for the much-awaited state of emergency in the power sector.
Finance Minister of State, Mr. Remi Babalola who disclosed the consensus reached by the states after the monthly meeting of the Federation Account Allocation Committee (FAAC) held in Abuja yesterday, said the state governments unanimously agreed to withdraw the money from the account and such will not repaid, until the proceeds which will be shared according to the revenue formula after the assets are privatised.
“We are going to take $5 billion from the excess crude account. It has been approved by theFAAC that it should be put into power projects based on the inputs that will come from Mr. President and if that is done, the three tiers will own a substantial part of the power infrastructure according to their share of the revenue formula.
“There will be no repayment. But once those assets are privatised, the proceeds will be shared according to their revenue formula.”
Babalola also said the 36 states and the Federal Government unanimously agreed that the Nigerian Customs Service (NCS) and the Federal Inland Revenue service (FIRS) should not debit the Federation Account with bank charges charged them.
Meanwhile, the three tiers of government shared a total of N436.51 billion for the month of May as against N431.75 billion distributed in the previous month.
A communiqué signed by the Accountant-General of the Federation (AGF), Mr. Ibrahim Dankwambo stated N316.73 billion was shared as statutory revenue allocation and N31.90 billion as value added tax (VAT) while N87.87 billion was used as budget augmentation for the month.
(THIDAY) From Juliana Taiwo and Kunle Aderinokun in Abuja, 06.14.2008
President Umaru Musa Yar’Adua yesterday in Paris, France announced that his administration would formally declare a state of emergency in Nigeria’s power sector next month.
The 36 states of the federation have equally agreed to withdraw N585 billion (the equivalent of $5 billion) from the excess crude account to support the financing of power projects across the country during the emergency period.
A statement signed by Special Adviser to the President on Communica-tions, Mr. Olusegun Adeniyi, said Yar’Adua, who was on a visit to France, disclosed this while responding to concerns expressed by prospective French investors over current power supply problems in Nigeria.
The President said under the emergency which would be in force for three years, the federal and state governments would set aside $5 billion for the rehabilitation and expansion of Nigeria’s power generation, transmission and distribution infrastructure.
The President told the gathering of French businessmen that after the three-year emergency period, Nigeria’s generation and distribution infrastructure would be privatised while its transmission infrastructure will remain under the control of a state-owned company.
He said Nigeria would seek additional financing from international finance institutions for the rehabilitation and expansion of its power infrastructure, adding that his administration intends to establish a proper framework for the incremental increase in Nigeria’s power generation capacity to about 50,000 megawatts by the year 2020.
President Yar’Adua invited the French businessmen to take greater advantage of the immense investment opportunities thrown up in all sectors of the Nigerian economy by the deregulation and privatisation policies of the Federal Government.
Before leaving Paris for Abuja, President Yar’Adua met with African Ambassadors to France.
He told them that as Africa’s representatives in one of the world’s major economies, they have a duty to make the continent’s case for equity to its development partners and to present its perspectives on the critical socio-economic, developmental and political issues in a fast-globalising world.
The President said: “In the reality of today’s world, you have a responsibility and obligation as Africans to form yourselves into a functional, pro-active and effective synergy to drive our continent’s quest for regeneration.”
In the meantime, as the Federal Government is concluding arrangements to declare a state of emergency in the power sector, the 36 states consented to withdraw N585 billion from the excess crude account to support the financing of power projects across the country.
The total amount in the excess crude account stood at $18 billion as at May this year.
Although details of how the funds will be withdrawn were not disclosed, the amount for each state will be released to the Federal Government for the projects according to the revenue sharing formula.
The Federal Government will meet with the 36 states of the Federation on June 19 and unveil the framework and the financing details for the much-awaited state of emergency in the power sector.
Finance Minister of State, Mr. Remi Babalola who disclosed the consensus reached by the states after the monthly meeting of the Federation Account Allocation Committee (FAAC) held in Abuja yesterday, said the state governments unanimously agreed to withdraw the money from the account and such will not repaid, until the proceeds which will be shared according to the revenue formula after the assets are privatised.
“We are going to take $5 billion from the excess crude account. It has been approved by theFAAC that it should be put into power projects based on the inputs that will come from Mr. President and if that is done, the three tiers will own a substantial part of the power infrastructure according to their share of the revenue formula.
“There will be no repayment. But once those assets are privatised, the proceeds will be shared according to their revenue formula.”
Babalola also said the 36 states and the Federal Government unanimously agreed that the Nigerian Customs Service (NCS) and the Federal Inland Revenue service (FIRS) should not debit the Federation Account with bank charges charged them.
Meanwhile, the three tiers of government shared a total of N436.51 billion for the month of May as against N431.75 billion distributed in the previous month.
A communiqué signed by the Accountant-General of the Federation (AGF), Mr. Ibrahim Dankwambo stated N316.73 billion was shared as statutory revenue allocation and N31.90 billion as value added tax (VAT) while N87.87 billion was used as budget augmentation for the month.
Friday, June 13, 2008
Xenophobia: What South Africa Told Yar’Adua
THISDAY Newspapers
06.12.2008
Juliana Taiwo, just back from Cape Town, South Africa writes about how South Africans are employing every tool to atone for the xenophobic attacks on migrants, including Nigerians, despite the ugliness of the mayhem
From the Murtala International Airport when the advanced team for President Umaru Musa Yar’Adua’s three-day State visit to South Africa were waiting on Saturday May 31, to depart for Cape Town, it was obvious from discussions that Nigerians were clearly unhappy with the recent xenophobic attacks in which thousands of Nigerians and other migrants were forcibly displaced.
Nigerians were clearly upset with the short memory of the South Africans, of how Nigeria in particular sacrificed all to ensure they gained their freedom from their white masters. Worst hit is President Thabo Mbeki, who was roundly criticised over his government's ineffective handling of the attacks and for failing to remind his countrymen that their economy rested on the work of migrants from across Africa.
So, before departing the airport, an opinion has been formed that the South African government and her people were looking the other way while their fellow Africans were being attacked by angry South Africans who feel their jobs were being taken away from them. So before President Mbeki tendered unreserved apology to President Yar’Adua during a joint press conference at the end of their private session Tuesday June 3, it was a rude shock when on checking into the hotel and putting on the television, all the stations had something or two to say against the attack.
The Super Sports crew commentators of Thomas Kwenaite, Thomas Mlambo and a guest took it on a lighter note when they said Nigeria had a good retaliation on the xenophobic attacks the best way they could when they continued in the humiliation of Bafana Bafana of South Africa by beating them 2-0. But they did not play down on the seriousness of the matter. The trio condemned in strong terms the throwing to the dogs the strong history of African brotherhood.
They described as a shame the attack on fellow Africans considering what countries like Nigeria have done to end the reign of apartheid in South Africa. Also the new 24-hour news station e-news which started broadcasting on June 2, did not also waste time in featuring news story as well as short documentaries on victims of the attack, their disappointments as well as the way forward. About 50 per cent of the advertisement on TV also condemned the attack urging South Africans to remember the contributions of other African countries to their freedom, reminding them that they are first Africans before South Africans.
The newspapers were not left out in publishing stories from South Africans or organisations also condemning the attack. Mbeki had come under fire for travelling to Tanzania for an African Union summit last month and waiting until the next day before ordering the army on to the streets to help the police. He has also been criticised for being too out of touch to realise that the violence was in part fuelled by the lack of adequate housing and jobs for the poor South Africans.
A front-page editorial in South Africa's Sunday Times newspaper said: "Throughout the crisis, arguably the most grave, dark and repulsive moment in the life of our young nation, Mbeki has demonstrated that he no longer has the heart to lead." Moeltsi Mbeki, of the South African Institute of International Affairs, who is Thabo Mbeki's brother, said the government had lost credibility.
"Even a strong statement by somebody who has such weak authority will not convince the people. This crisis is the result of the failure of their foreign policy against Zimbabwe and they don't want to admit that," he said. According to a Nigerian based in Cape Town, Jesse, the violence is waged by poor South Africans who claim the refugee population, which is estimated to be as high as five million, take their jobs and dwellings and commit crime.
He said a job that was before now going for R100 per hour for instance, the migrants from Mozambique, Zimbabwe, Malawi, were ready to settle for R30 or less. However, police and politicians say there is also a significant element of thuggery and criminality with shops and homes looted for personal gain. There have also been series of protest march against racial intolerance in various cities in South Africa. In one protest according to Africa News, the protesters risking violence themselves, held aloft posters saying "xenophobia hurts like apartheid" and "we are all Zimbabweans".
The President of the United Democratic Movement party, Bantu Holomisa, was quoted to have said that Mbeki's inquiry into the outbreak of violence needed to reveal whether a so-called "third force" was responsible for stoking the crisis. He said: "The key here would be to remove any kind of suspicion that this thing was unleashed deliberately and orchestrated by whomever. Ministers are already telling us there is a third force. Let them bring that evidence to the commission."
So it was not surprising when Mbeki decided to use the three-day state visit by Yar’Adua to tell Nigerians in particular that his government and indeed the people of South Africa were clearly against the attack. South Africa’s anti-immigrant violence, which saw over 60 people killed and tens of thousands displaced, featured highly on the two leaders' agenda. Although no Nigerian was among those killed, many lost property or had their shops looted.
“We extend an unreserved apology to the President with regard to these attacks that have taken place in some parts of our country, attacks against other Africans particularly.” He said his government was “opposed to any manifestation of any xenophobia amongst our people. We are quite determined to make sure we protect everybody but are also very, very keen that the process of the reintegration of displaced people within communities from which they came is done as quickly as possible. Many of our communities are already indicating interest that the displaced people should return.”
Also towing the line, the Speaker of the South African Parliament, Hon. Mbete Baleka shortly before Yar’Adua addressed the parliament, described his visit not only as an honour for South Africa but “also fortunately timed in that it gives us an opportunity to reaffirm our friendship with the government of Federal Republic of Nigeria and indeed with all the peoples of Nigeria.
“The history of the friendship between the people of our two countries is a long one. Prior to the first democratic elections in 1994, Nigeria was a supporter of international campaign against apartheid, for that support we remained deeply grateful. The relationship forged during the years of struggle is now bearing fruit for the African continent as a whole.
South Africa and Nigeria share the vision of an African renewal. In pursuit of this vision, our countries are partnering through a range of formal structures to give practical meaning to their shared vision. This vision of African renewal is a noble enterprise, an enterprise in which Nigeria is giving leadership.
“We hale your august visit as one of peace and friendship during this particular time in South Africa. We know your visit will extend the bond of unity between two great giants of Africa Nigeria and South Africa. We appreciate the brotherhood you offer with your presence here today and honour you and your commitment to oneness of our great and promising continent that is on its way to its ultimate prosperous destiny.
Also speaking, the Deputy Speaker, Mrs. Peggy Hollandre said the bond between the two countries is a time tested one. “Nigeria played a critical role in racial discrimination in South Africa through its support for international campaign against apartheid. It is therefore fitting that the two countries continue to maintain a strong relationship, especially with regards to the challenge of the renewal of the continent.
“Your visit to South Africa is an important step towards ensuring entrenchment of this growing relationship between our two countries. As you would agree, we share the dream of building an Africa that is free from the clutches of poverty and hunger, an Africa that truly promotes good governance, and the sharing of the fruit of democracy among the people.
“It is a dream that must enable us to conquer the visages of the colonialism. Through cooperation between the individual countries we have to succeed in building one continent that belongs to its entire people, our strength is in unity. We have to act to revise the division created by years of colonialism. This must include dealing with acts of violence among fellow Africans such as the one witnessed in our country recently.
“A famous politician once said, ‘to build may have to be the slow and laborious task of years, to destroy may have to be the thoughtless act of a single day.’ Clearly we have the challenges of uniting our people in the midst of the contest for merger resources,” she said.
Thursday, June 12, 2008
Teachers Strike: We Are Not Perturbed – Nwachukwu
Hi folks,
Imagine this o! Despite the fact that teachers strike has led to the suspension of the NECO exam, and other activities affected the Minister of Education, Aja Nwachukwu has said government is not perturbed by the three-day warning strike embarked upon by members of the Nigerian Union of Teachers, describing it as a non-issue because is not about “we are not in any popularity contest with any body”.
The Minister who spoke in between the briefing of State House Correspondents after the Federal Executive Council meeting, said the federal government will not negotiate with the teachers because “it is not the mandate” of the federal government to fix salaries for teachers in secondary and primary schools.
“The teachers don’t have any basis to go on strike because Education is on the concurrent list (in the constitution) and by right, the states and local governments are in charge of secondary and primary education. We (Federal government) are going to enhance the salaries of teachers in federal government colleges but on the issue of negotiating with the teachers, we don’t have anything to do with that”.
Nwachukwu stressed that the federal government cannot negotiate with the teachers since “we don’t know the ability of the states to pay. We insist that the teachers should go to their various states to negotiate their salaries. It is not our mandate to do so”
He said if the ministry was invited as arbiters, it would respond, but “we cannot interfere in the affairs of the state”.
He advised Nigerians to stop being emotional about issues “but to go back and read their constitution” in order to know the role of the various tiers of government.
He said rather than blame the federal government for being non-committal to the plight of Nigerian student who have been deprived of attending school for three days, Nigerians should blame the teachers for embarking on an unnecessary strike.
The Minister of Information and Communication, John Odey however said negotiations were on going. “Negotiation is on going with the union and the ministry. Council received briefing and as far as we are concerned as a government we will want to maintain a cordial relationship with all the unions. The purpose of government is to provide good livelihood for the people and the workers and as such we will not see that as confrontational, we will adopt best method ever to make sure it is resolved”, he said.
Why will he be perturbed? He has always been privilaged all his lives. His father was a former education minister in this country and he has been appointed because of his privilage background to the same office and yet he is unperturbed about the plight of our education system! If Yar'Adua allows this man to continue as Minister I'll also take it that he is against the progress of our education system.
God help us!
Imagine this o! Despite the fact that teachers strike has led to the suspension of the NECO exam, and other activities affected the Minister of Education, Aja Nwachukwu has said government is not perturbed by the three-day warning strike embarked upon by members of the Nigerian Union of Teachers, describing it as a non-issue because is not about “we are not in any popularity contest with any body”.
The Minister who spoke in between the briefing of State House Correspondents after the Federal Executive Council meeting, said the federal government will not negotiate with the teachers because “it is not the mandate” of the federal government to fix salaries for teachers in secondary and primary schools.
“The teachers don’t have any basis to go on strike because Education is on the concurrent list (in the constitution) and by right, the states and local governments are in charge of secondary and primary education. We (Federal government) are going to enhance the salaries of teachers in federal government colleges but on the issue of negotiating with the teachers, we don’t have anything to do with that”.
Nwachukwu stressed that the federal government cannot negotiate with the teachers since “we don’t know the ability of the states to pay. We insist that the teachers should go to their various states to negotiate their salaries. It is not our mandate to do so”
He said if the ministry was invited as arbiters, it would respond, but “we cannot interfere in the affairs of the state”.
He advised Nigerians to stop being emotional about issues “but to go back and read their constitution” in order to know the role of the various tiers of government.
He said rather than blame the federal government for being non-committal to the plight of Nigerian student who have been deprived of attending school for three days, Nigerians should blame the teachers for embarking on an unnecessary strike.
The Minister of Information and Communication, John Odey however said negotiations were on going. “Negotiation is on going with the union and the ministry. Council received briefing and as far as we are concerned as a government we will want to maintain a cordial relationship with all the unions. The purpose of government is to provide good livelihood for the people and the workers and as such we will not see that as confrontational, we will adopt best method ever to make sure it is resolved”, he said.
Why will he be perturbed? He has always been privilaged all his lives. His father was a former education minister in this country and he has been appointed because of his privilage background to the same office and yet he is unperturbed about the plight of our education system! If Yar'Adua allows this man to continue as Minister I'll also take it that he is against the progress of our education system.
God help us!
Monday, June 9, 2008
GETTING THE MOST FROM A NEWS CONFERENCE
THE PRESS CONFERENCE (more widely known now as a news
conference) is a common device used by an organisation or
individual in search of publicity.
The ploy has some advantages for both sides. For the promoter
it means telling the story only once, and creates a
potentially newsworthy event. Critics say many are non-events.
But a news conference also has drawbacks for the active news
gatherer. All the competition is there also. So, in theory,
everyone will come away with the same story. Or will they?
Determined and alert reporters do not sit back, fortified by
free drinks and dreaming of a free meal to come, swallowing
everything else that has been outlined.
Always remember, you are a reporter and not a mere message
carrier. What you are hearing may be only a rehash of old
news, or an attempt to gain free publicity.
A diligent reporter, assigned to a news conference on an
unfamiliar topic, first checks with his paper's library or
his colleagues or contacts for background information.
Clever organisers of news conferences often supply written
material (sometimes called a press kit) but this may not
necessarily contain the story which you will file at the end
of the exercise.
If time is paramount, try to slip away to a quiet corner
before the conference begins and read and consider the
contents of any handouts supplied.
Mentally discard the puff (publicity for a product, plan or
individual) and sift through for facts. Try to imagine some
of the possible effects of what you have been told. Read
between the lines. What hasn't been said?
For instance, could any potential hardship be caused by
building that new airport or road? What has happened to the
new appointee's predecessor? Why this change of policy at
this time?
Be primed, so that you are ready for any sort of avoidance or
playing down of the points.
The verbal submissions with which many news conferences begin
may stick closely to the information also supplied in a
brief. In which case, merely keep a watchful eye that any
speaker does not deviate from the prepared draft.
If you have not been given a press kit on arrival (and it is
always wise to ask if one is to be distributed) it means
careful note-taking.
Normally, after the formal stage, the assembled press
representatives are invited to ask questions. This can well
be the most productive part of the occasion, providing that
the conference principals are reasonably open and frank in
their replies.
But informative replies are not only the result of good
questions. Good questions themselves are the fruit of
preparation, thought and awareness.
In particular, sensitive areas will only be successfully
explored and admissions gained by the right questions at the
right time.
Even if you have no such questions, listen carefully to the
replies to those colleagues who, perhaps because of inside
knowledge and background, are able to frame testing queries.
Make careful notes if you sense someone is 'on' to something
extra, even if you aren't fully conversant with the topic.
Closer reference later to the written material, or checks at
the office, or supplementary questioning yourself, can bring
the whole thing into perspective.
Try to join in the questioning if there seems to be a genuine
area of interest on which the organisers seem unwilling to
elaborate. Keep the pot boiling, to give the minds of others
time to tick over.
Put your questions politely, but pointedly. Don't be overawed
by authority on the platform. Don't let a responder get away
with half-answers. Most of all, don't be the one to introduce
an irrelevant issue, letting the wriggling victim off the hook.
In other words, reporters should 'hunt in packs' until what
you collectively and instinctively deem to be a newsworthy
aspect has been exhausted.
From an aggressive newsperson's point of view, all this has
one drawback. What you get, everyone else also gets. So, if
you hold a trump card, don't play it at the conference
proper.
Use it by seeking out the major speaker when the conference
is breaking up, or by a phone call later.
News conferences are a legitimate and handy way of
distributing information and they should be responded to as a
matter of newspaper routine. But never let your reporting
skills at that event descend to the routine.
If you feel nothing useful has come out of a news conference,
don't waste time writing up simply to prove you turned up.
Check that your news editor agrees with your judgement --
then use the time saved to chase real news.
SOURCE: Notes, IIJ-G57 1990.
conference) is a common device used by an organisation or
individual in search of publicity.
The ploy has some advantages for both sides. For the promoter
it means telling the story only once, and creates a
potentially newsworthy event. Critics say many are non-events.
But a news conference also has drawbacks for the active news
gatherer. All the competition is there also. So, in theory,
everyone will come away with the same story. Or will they?
Determined and alert reporters do not sit back, fortified by
free drinks and dreaming of a free meal to come, swallowing
everything else that has been outlined.
Always remember, you are a reporter and not a mere message
carrier. What you are hearing may be only a rehash of old
news, or an attempt to gain free publicity.
A diligent reporter, assigned to a news conference on an
unfamiliar topic, first checks with his paper's library or
his colleagues or contacts for background information.
Clever organisers of news conferences often supply written
material (sometimes called a press kit) but this may not
necessarily contain the story which you will file at the end
of the exercise.
If time is paramount, try to slip away to a quiet corner
before the conference begins and read and consider the
contents of any handouts supplied.
Mentally discard the puff (publicity for a product, plan or
individual) and sift through for facts. Try to imagine some
of the possible effects of what you have been told. Read
between the lines. What hasn't been said?
For instance, could any potential hardship be caused by
building that new airport or road? What has happened to the
new appointee's predecessor? Why this change of policy at
this time?
Be primed, so that you are ready for any sort of avoidance or
playing down of the points.
The verbal submissions with which many news conferences begin
may stick closely to the information also supplied in a
brief. In which case, merely keep a watchful eye that any
speaker does not deviate from the prepared draft.
If you have not been given a press kit on arrival (and it is
always wise to ask if one is to be distributed) it means
careful note-taking.
Normally, after the formal stage, the assembled press
representatives are invited to ask questions. This can well
be the most productive part of the occasion, providing that
the conference principals are reasonably open and frank in
their replies.
But informative replies are not only the result of good
questions. Good questions themselves are the fruit of
preparation, thought and awareness.
In particular, sensitive areas will only be successfully
explored and admissions gained by the right questions at the
right time.
Even if you have no such questions, listen carefully to the
replies to those colleagues who, perhaps because of inside
knowledge and background, are able to frame testing queries.
Make careful notes if you sense someone is 'on' to something
extra, even if you aren't fully conversant with the topic.
Closer reference later to the written material, or checks at
the office, or supplementary questioning yourself, can bring
the whole thing into perspective.
Try to join in the questioning if there seems to be a genuine
area of interest on which the organisers seem unwilling to
elaborate. Keep the pot boiling, to give the minds of others
time to tick over.
Put your questions politely, but pointedly. Don't be overawed
by authority on the platform. Don't let a responder get away
with half-answers. Most of all, don't be the one to introduce
an irrelevant issue, letting the wriggling victim off the hook.
In other words, reporters should 'hunt in packs' until what
you collectively and instinctively deem to be a newsworthy
aspect has been exhausted.
From an aggressive newsperson's point of view, all this has
one drawback. What you get, everyone else also gets. So, if
you hold a trump card, don't play it at the conference
proper.
Use it by seeking out the major speaker when the conference
is breaking up, or by a phone call later.
News conferences are a legitimate and handy way of
distributing information and they should be responded to as a
matter of newspaper routine. But never let your reporting
skills at that event descend to the routine.
If you feel nothing useful has come out of a news conference,
don't waste time writing up simply to prove you turned up.
Check that your news editor agrees with your judgement --
then use the time saved to chase real news.
SOURCE: Notes, IIJ-G57 1990.
Thursday, June 5, 2008
Xenophobia: Mbeki Apologises to Yar’Adua
From Juliana Taiwo in Cape Town, Gboyega Akinsanmi and Eddie Alegbe in Lagos with agency reports, 06.04.2008
South African President, Thabo Mbeki yesterday apologised to President Umaru Yar'Adua over the recent wave of xenophobic uprising targeted at Nigerians and other foreign nationals resident in his country.
Also yesterday, Nigerian and South African governments agreed to set up a team consisting of business people who are familiar with business conditions in both countries to assist in removing obstacles preventing the growth of Nigerian businesses in South Africa.
Mbeki tendered his apology while holding talks with President Yar'Adua in Cape Town. Yar'Adua is on a three-day state visit to South Africa.
The South African president said: "We extend an unreserved apology to the president with regard to these attacks that have taken place in some parts of our country, attacks against other Africans particularly."
He said his government was "opposed to any manifestation of any xenophobia amongst our people. We are quite determined to make sure we protect the security of everybody but are also very, very keen that the process of the reintegration of displaced people within communities from which they came is done as quickly as possible. Many of our communities are already indicating interest that the displaced people should return”, he said."
While responding, Yar'Adua expressed concerns about the uprisings that few weeks ago dislocated Nigerian businesses, and displaced the country's nationals.
"Nigeria expresses our deep concerns not only to the victims of the xenophobic attacks, but also to the government and people of South Africa because we have experienced these issues over the past and we know that hardly are these kind of issues spontaneous," he said.
Yar'Adua also commended Mbeki for heeding the international call for the deployment of soldiers whose intervention eventually contained the uprising.
He said Mbeki had made a determined effort to "put a stop to the situation," and lauded his decision to deploy the army to the streets to bring the violence under control.
“It is important for authorities to stand firm and uphold the principles that will guide community relations and reject this kind of behaviour and this the South African government has done", he said.
The two leaders also agreed on strengthening economic and political ties between the two countries. Mbeki confirmed that "Nigeria has the largest number of bilateral agreements with South Africa, more than any other country on the continent and probably around the world."
Mbeki, who has been facing hard times at home, added that economic development between the two countries was a prime goal. He also said it was important to promote greater investment by Nigerian companies in South Africa, which already has many businesses operating in Nigeria.
Supporting his counterpart, Yar'Adua called his visit a "watershed" for relations between the two nations, stating that the duo could together promote African growth and development.
However, yesterday's parley between the two leaders and their delegations also centred on how to create conditions conducive for the growth of Nigerian businesses in South Africa.
In a joint press conference after the meeting, Mbeki said though Nigeria has the largest bi-lateral agreements with South Africa than any other country, the challenge has always been the implementation.
He said both governments have agreed to strengthen the implementation apparatus and erase the challenges that have militated against agreements signed.
“We hold the view that it is very important to strengthen this partnership between Nigeria and South Africa in the interest of both countries and the continent. We also believe both countries have a positive impact on the development of the continent. Nigeria has the largest bi-lateral agreements with South Africa than any other country but one of the obstacles have been the implementations of these agreements. “We are concerned to deepen the relationship in the area of economy which will include investments in each other’s country. We are interested in seeing Nigerian businesses more active in South Africa. “The South African government is very interested in opening the space because as you know there are many South African businesses in Nigeria and this is good.“The team to be set up is made up of business people from Nigeria and South Africa that will be familiar with the business conditions of each country so that they can assist in unlocking the things that are blocking better trade between the two countries.
“South African government will look at elements in terms of regulations that might be blocking the intervention and participation of Nigerian companies in South African economy”, he said.
The South African President said the business group will focus on ensuring increased investment by investors from both countries and would find ways of addressing the challenge of implementing the numerous agreements entered into.
"We have put in place necessary processes that tend to encourage business partnership between the two countries. This will drive the common challenges of addressing the economic development of both countries", he said.
Responding, President Yar’Adua said the economic, political, social and cultural cooperation which exist between both countries would be further strengthened through strategic partnership.
“We will continue to cooperate in the economic, political fronts. We will continue with a high powered delegation visit to ensure a very active bi-national commission. This commission met a fortnight ago in Abuja and will continue to meet annually on a regular basis with the various sub-committees to consider all aspect of this partnership, to work out various frameworks, agreements and details of implementation of agreements signed”.
While fielding questions from the media, President Yar’Adua used the opportunity to reiterate that Nigeria has never supported the establishment of the United States African Command (AFRICOM) on Nigerian soil.
“Nigeria has never agreed to host Africom. I had asked President Bush on my visit to the United States of America with respect to Africom, that what we need is for the US to assist the AU to establish the African standby force and to assist the Gulf of Guinea nations establish the Gulf of Guinea Guard Force.
“Africom is part of US defence policy and has nothing to do with us. There are about four other commands like the Pacific Command, the European Command and the Middle East Command and now there is African command.
“Whatever assistance expected is by training, supply of equipments and logistics to assist the AU establish the African Standby force consisting of a brigade in each of the regional groupings. We have a proposal to establish a Gulf of Guinea Force to enable the Gulf of Guinea nations see to the maritime security of our countries and that is what I asked President Bush to do”, he said.
South African President, Thabo Mbeki yesterday apologised to President Umaru Yar'Adua over the recent wave of xenophobic uprising targeted at Nigerians and other foreign nationals resident in his country.
Also yesterday, Nigerian and South African governments agreed to set up a team consisting of business people who are familiar with business conditions in both countries to assist in removing obstacles preventing the growth of Nigerian businesses in South Africa.
Mbeki tendered his apology while holding talks with President Yar'Adua in Cape Town. Yar'Adua is on a three-day state visit to South Africa.
The South African president said: "We extend an unreserved apology to the president with regard to these attacks that have taken place in some parts of our country, attacks against other Africans particularly."
He said his government was "opposed to any manifestation of any xenophobia amongst our people. We are quite determined to make sure we protect the security of everybody but are also very, very keen that the process of the reintegration of displaced people within communities from which they came is done as quickly as possible. Many of our communities are already indicating interest that the displaced people should return”, he said."
While responding, Yar'Adua expressed concerns about the uprisings that few weeks ago dislocated Nigerian businesses, and displaced the country's nationals.
"Nigeria expresses our deep concerns not only to the victims of the xenophobic attacks, but also to the government and people of South Africa because we have experienced these issues over the past and we know that hardly are these kind of issues spontaneous," he said.
Yar'Adua also commended Mbeki for heeding the international call for the deployment of soldiers whose intervention eventually contained the uprising.
He said Mbeki had made a determined effort to "put a stop to the situation," and lauded his decision to deploy the army to the streets to bring the violence under control.
“It is important for authorities to stand firm and uphold the principles that will guide community relations and reject this kind of behaviour and this the South African government has done", he said.
The two leaders also agreed on strengthening economic and political ties between the two countries. Mbeki confirmed that "Nigeria has the largest number of bilateral agreements with South Africa, more than any other country on the continent and probably around the world."
Mbeki, who has been facing hard times at home, added that economic development between the two countries was a prime goal. He also said it was important to promote greater investment by Nigerian companies in South Africa, which already has many businesses operating in Nigeria.
Supporting his counterpart, Yar'Adua called his visit a "watershed" for relations between the two nations, stating that the duo could together promote African growth and development.
However, yesterday's parley between the two leaders and their delegations also centred on how to create conditions conducive for the growth of Nigerian businesses in South Africa.
In a joint press conference after the meeting, Mbeki said though Nigeria has the largest bi-lateral agreements with South Africa than any other country, the challenge has always been the implementation.
He said both governments have agreed to strengthen the implementation apparatus and erase the challenges that have militated against agreements signed.
“We hold the view that it is very important to strengthen this partnership between Nigeria and South Africa in the interest of both countries and the continent. We also believe both countries have a positive impact on the development of the continent. Nigeria has the largest bi-lateral agreements with South Africa than any other country but one of the obstacles have been the implementations of these agreements. “We are concerned to deepen the relationship in the area of economy which will include investments in each other’s country. We are interested in seeing Nigerian businesses more active in South Africa. “The South African government is very interested in opening the space because as you know there are many South African businesses in Nigeria and this is good.“The team to be set up is made up of business people from Nigeria and South Africa that will be familiar with the business conditions of each country so that they can assist in unlocking the things that are blocking better trade between the two countries.
“South African government will look at elements in terms of regulations that might be blocking the intervention and participation of Nigerian companies in South African economy”, he said.
The South African President said the business group will focus on ensuring increased investment by investors from both countries and would find ways of addressing the challenge of implementing the numerous agreements entered into.
"We have put in place necessary processes that tend to encourage business partnership between the two countries. This will drive the common challenges of addressing the economic development of both countries", he said.
Responding, President Yar’Adua said the economic, political, social and cultural cooperation which exist between both countries would be further strengthened through strategic partnership.
“We will continue to cooperate in the economic, political fronts. We will continue with a high powered delegation visit to ensure a very active bi-national commission. This commission met a fortnight ago in Abuja and will continue to meet annually on a regular basis with the various sub-committees to consider all aspect of this partnership, to work out various frameworks, agreements and details of implementation of agreements signed”.
While fielding questions from the media, President Yar’Adua used the opportunity to reiterate that Nigeria has never supported the establishment of the United States African Command (AFRICOM) on Nigerian soil.
“Nigeria has never agreed to host Africom. I had asked President Bush on my visit to the United States of America with respect to Africom, that what we need is for the US to assist the AU to establish the African standby force and to assist the Gulf of Guinea nations establish the Gulf of Guinea Guard Force.
“Africom is part of US defence policy and has nothing to do with us. There are about four other commands like the Pacific Command, the European Command and the Middle East Command and now there is African command.
“Whatever assistance expected is by training, supply of equipments and logistics to assist the AU establish the African Standby force consisting of a brigade in each of the regional groupings. We have a proposal to establish a Gulf of Guinea Force to enable the Gulf of Guinea nations see to the maritime security of our countries and that is what I asked President Bush to do”, he said.
FG Set to Revoke Shell’s Licence in Ogoniland
•New operator to take over
From Juliana Taiwo in Cape Town, South Africa, 06.05.2008
Indications emerged yesterday in far away South Africa that the Federal Government will soon revoke Royal Dutch Shell's oil operating license in Ogoniland as President Umaru Musa Yar’Adua during his state visit disclosed that a new operator will take over the company's oild fields in the area by the end of the year.
But in a swift reaction yesterday, a Shell spokesman, Mr. Tony Okonedo said the Federal Government has not formally communicated the said planned take-over to the company. He admitted that Shell has seen series of reports regarding the issue in the newspapers but would not make further comments until it is formally notified.
Addressing Nigerian Community in Cape Town, South Africa, the President said since there is a total loss of confidence between the Ogoni people and Shell, government believe it would be wise to allow another operator acceptable to the Ogonis to take over exploration activities in the area.
“There is a total loss of confidence between Shell and the Ogoni people”, and so “another operator acceptable to the Ogonis will take over. Nobody is gaining from the conflict and stalemate, so this is the best solution,” he said.
The President further told the gathering that agreements have already been reached for compensation to be paid by Shell for the environmental degradation arising from the spillage of crude petroleum resulting from their operations.
It was learnt that the Federal Government had threatened to withdraw the company's operating license, should it fail to resume operations in Ogoniland at the end of May 2008.
To make good the threat, government was said to have opened discussion with the new operator after due consultation with the Ogoni people.
Shell's activities in the area had suffered set backs due to strained relations between it and the Ogoni people who often complained that the company failed to pay compensation for damages done to their environment as a result of exploration activities.
The relationship between Shell and the Ogonis hit rock bottom in 1995, when the military government of the late General Sani Abacha hanged nine Ogoni activists, including Ken Saro-Wiwa, leader of the Movement for the Survival of the Ogoni People (MOSOP).
The development halt Shell's activities in the area as the company's infrastructure, the oil wells, the flow lines which bring crude oil to the flow stations, and the pipelines - all of which require routine maintenance continue to rot away because the Ogonis denied the company access to the facilities.
Also, in his reaction to the escalating crude oil prices, President Yar'Adua said it was erroneous to blame the current surge on crisis in Iraq, Venezuela and Nigeria. Rather, he said the development was attributable to increasing energy demands by strong, emerging economies as well as the activities of market speculators.
He said his government was determined to focus on the development of "economic growth enablers", which he said would trigger the Nigerian economy towards irreversible development.
He challenged Nigerians all over the world to identify with the country's vision to build a strong economy by 2020.
Responding to complaints from Nigerians in South Africa about the shabby treatment by other nations, especially regarding issuance of visas, the President said the issue is currently being discussed with the South African government. He assured the audience that the visa problem would be properly addressed.
He, however charged Nigerians "to project a good image of the country in all their activities", in order to attract respect from other nations.
He pledged his administration's commitment to protect all Nigerians in all circumstances, adding that the Ministry of Transport has been directed to look into the incident of alleged maltreatment of Nigerians by the British Airways and that sanctions would be imposed if need be.
Meanwhile, Presidents Yar’Adua and Mbeki have assured investors intending to invest in both countries of their political will to safeguard investments. They gave the assurance yesterday at the Table Bay Hotel, Cape Town, venue of the South Africa- Nigeria Business Forum in honour of the Nigerian leader who is on a three-day state visit.
Yar’Adua told the conference hall which was filled to capacity with notable personalities in Nigeria including Lagos State Governor, Babatunde Fashola and Mr Tony Elumelu of United Bank for Africa that Nigeria has put in place the enabling environment and legislations that would safeguard investments and ensure investors have good returns in good time.
“This business interaction has been exciting and interesting. The two ministers (Minister and Deputy Chairman, National Planning Commission, Senator Mohammed Sanusi Daggash and the South African Minister of Trade and Industry, Mandisi Mpahlwa) have provided us in detail business opportunities existing in Nigeria and South Africa.
“I want to summarise in the slogan that I had coined, in our effort as a government to provide a clear and enabling environment for business in Nigeria and that is ‘what is good for business is good for Nigeria’.
“We have various sectors that can be described as just beginning to develop like the power energy, restructuring the petroleum sector, that is the oil and gas sector, transport and generally getting the private sector to come into the development of infrastructure in the country.
"The infrastructure concessioning Act is in place now and we have appointed the Infrastructure Concessioning Commission which will be inaugurated within the next few weeks so that private sectors investors who want to go into infrastructural development can under this Act get concessions for roads, railways, airports, ports, all form of infrastructure.
"That means you can go to Nigeria, look at the facilities, come up with any project in terms of infrastructural development and you can negotiate concession for 20 years, 25 years 30 years on BOT or PPP basis”, he said.
“Let me say to our South African brothers that I personally will like to see investors from South Africa going to take opportunities that exist in our country. I know that the environment we have created today, the reforms we have carried out and the restructuring and repositioning of the national economy to ensure that government provide the enabling environment that would ensure the private sector sit in the driving seat.
“Senator Daggash has just explained the kind of estimation we have made as regards the kind of investment we expect into every critical aspect of the national economy. I will be most delighted to see that the partnership that we develop becomes strategic and that we have the greatest partnership between Nigeria and South Africa so that we ensure we keep the wealth within the family”.
President Yar’Adua further said he would henceforth personally monitor developments in the Nigeria-South Africa cooperations to reassure investors that his administration is determined to strengthen business relations between both nations.
In his response at the conference, President Mbeki said “our political relations are long standing and has survived the ups and downs that must have been. So we are able to speak with one voice. On the political front, we have continued to work together very closely and will continue. We share the same perspective about the needs of our people.
“We are indeed keenly interested that we must make all these advances that we have identified with regards to the continent, advances of democracy, of peace, of economic development, of benefits growth, stability, struggle against poverty, this matter about the placement of the African continent in its own rightful place globally as a result of our development in economy, technology, education and so on.
“But critically important in that regard in terms of our ability to make an impact on these matters in the continent as a whole is what happens between the two of us. It is not difficult for us to make very good speeches about the Nigerian South African cooperation, but in the end because people are looking, listening, watching critically, they will ask the question but what are those two countries actually doing to ensure that what they are preaching can in fact be done.
“It is these practical things that can and must happen between Nigeria and South Africa that will give substance to what in many instances is on the African continent’s hope, vision. To translate that into something actually really practical is clearly what is required and this cooperation that we have been talking about should happen.
“That is why the question that was posed that where do we go from here is clearly critical, as President Yar’Adua was saying, is indeed very correct. So what I’ll like to say and to confirm what the President has said, we will both be keenly interested to see what happens. Like the Mpahlwa said, we are establishing the president advisory group on investments, we are doing that in other to translate these common positions into some platform for future engagements so that we can indeed achieve these things that must be achieve.
“In the end, what I am saying is that the governments of Nigeria and that of South Africa from the president downwards are committed in assisting to ensure that indeed these cooperations we are talking about happens. And we are quite convinced that, that matter is critical not only to Nigeria and South Africa but also important to the future of the continent. So I do think that therefore, that we are committed and as business people we want to say at the end all these opportunities that have been identified in both countries, here are all the problems that we must overcome in other to transform those opportunities into actual cooperations among ourselves.
“And indeed you can look closely as you want and you will not find any other partnership on the continent other than that of the South African and Nigerian partnership which has the capacity to lead the continent in the directions which I think we all agree. So here is the challenge, like the American Secretary of State who published a biography which had a rather brave entitle, ‘present at the creation’, we shouldn’t say we were present at the creation because only God was present at the creation, but at least we should say we participated in the process of creating this new Africa and we have the possibility to do that”, he said.
From Juliana Taiwo in Cape Town, South Africa, 06.05.2008
Indications emerged yesterday in far away South Africa that the Federal Government will soon revoke Royal Dutch Shell's oil operating license in Ogoniland as President Umaru Musa Yar’Adua during his state visit disclosed that a new operator will take over the company's oild fields in the area by the end of the year.
But in a swift reaction yesterday, a Shell spokesman, Mr. Tony Okonedo said the Federal Government has not formally communicated the said planned take-over to the company. He admitted that Shell has seen series of reports regarding the issue in the newspapers but would not make further comments until it is formally notified.
Addressing Nigerian Community in Cape Town, South Africa, the President said since there is a total loss of confidence between the Ogoni people and Shell, government believe it would be wise to allow another operator acceptable to the Ogonis to take over exploration activities in the area.
“There is a total loss of confidence between Shell and the Ogoni people”, and so “another operator acceptable to the Ogonis will take over. Nobody is gaining from the conflict and stalemate, so this is the best solution,” he said.
The President further told the gathering that agreements have already been reached for compensation to be paid by Shell for the environmental degradation arising from the spillage of crude petroleum resulting from their operations.
It was learnt that the Federal Government had threatened to withdraw the company's operating license, should it fail to resume operations in Ogoniland at the end of May 2008.
To make good the threat, government was said to have opened discussion with the new operator after due consultation with the Ogoni people.
Shell's activities in the area had suffered set backs due to strained relations between it and the Ogoni people who often complained that the company failed to pay compensation for damages done to their environment as a result of exploration activities.
The relationship between Shell and the Ogonis hit rock bottom in 1995, when the military government of the late General Sani Abacha hanged nine Ogoni activists, including Ken Saro-Wiwa, leader of the Movement for the Survival of the Ogoni People (MOSOP).
The development halt Shell's activities in the area as the company's infrastructure, the oil wells, the flow lines which bring crude oil to the flow stations, and the pipelines - all of which require routine maintenance continue to rot away because the Ogonis denied the company access to the facilities.
Also, in his reaction to the escalating crude oil prices, President Yar'Adua said it was erroneous to blame the current surge on crisis in Iraq, Venezuela and Nigeria. Rather, he said the development was attributable to increasing energy demands by strong, emerging economies as well as the activities of market speculators.
He said his government was determined to focus on the development of "economic growth enablers", which he said would trigger the Nigerian economy towards irreversible development.
He challenged Nigerians all over the world to identify with the country's vision to build a strong economy by 2020.
Responding to complaints from Nigerians in South Africa about the shabby treatment by other nations, especially regarding issuance of visas, the President said the issue is currently being discussed with the South African government. He assured the audience that the visa problem would be properly addressed.
He, however charged Nigerians "to project a good image of the country in all their activities", in order to attract respect from other nations.
He pledged his administration's commitment to protect all Nigerians in all circumstances, adding that the Ministry of Transport has been directed to look into the incident of alleged maltreatment of Nigerians by the British Airways and that sanctions would be imposed if need be.
Meanwhile, Presidents Yar’Adua and Mbeki have assured investors intending to invest in both countries of their political will to safeguard investments. They gave the assurance yesterday at the Table Bay Hotel, Cape Town, venue of the South Africa- Nigeria Business Forum in honour of the Nigerian leader who is on a three-day state visit.
Yar’Adua told the conference hall which was filled to capacity with notable personalities in Nigeria including Lagos State Governor, Babatunde Fashola and Mr Tony Elumelu of United Bank for Africa that Nigeria has put in place the enabling environment and legislations that would safeguard investments and ensure investors have good returns in good time.
“This business interaction has been exciting and interesting. The two ministers (Minister and Deputy Chairman, National Planning Commission, Senator Mohammed Sanusi Daggash and the South African Minister of Trade and Industry, Mandisi Mpahlwa) have provided us in detail business opportunities existing in Nigeria and South Africa.
“I want to summarise in the slogan that I had coined, in our effort as a government to provide a clear and enabling environment for business in Nigeria and that is ‘what is good for business is good for Nigeria’.
“We have various sectors that can be described as just beginning to develop like the power energy, restructuring the petroleum sector, that is the oil and gas sector, transport and generally getting the private sector to come into the development of infrastructure in the country.
"The infrastructure concessioning Act is in place now and we have appointed the Infrastructure Concessioning Commission which will be inaugurated within the next few weeks so that private sectors investors who want to go into infrastructural development can under this Act get concessions for roads, railways, airports, ports, all form of infrastructure.
"That means you can go to Nigeria, look at the facilities, come up with any project in terms of infrastructural development and you can negotiate concession for 20 years, 25 years 30 years on BOT or PPP basis”, he said.
“Let me say to our South African brothers that I personally will like to see investors from South Africa going to take opportunities that exist in our country. I know that the environment we have created today, the reforms we have carried out and the restructuring and repositioning of the national economy to ensure that government provide the enabling environment that would ensure the private sector sit in the driving seat.
“Senator Daggash has just explained the kind of estimation we have made as regards the kind of investment we expect into every critical aspect of the national economy. I will be most delighted to see that the partnership that we develop becomes strategic and that we have the greatest partnership between Nigeria and South Africa so that we ensure we keep the wealth within the family”.
President Yar’Adua further said he would henceforth personally monitor developments in the Nigeria-South Africa cooperations to reassure investors that his administration is determined to strengthen business relations between both nations.
In his response at the conference, President Mbeki said “our political relations are long standing and has survived the ups and downs that must have been. So we are able to speak with one voice. On the political front, we have continued to work together very closely and will continue. We share the same perspective about the needs of our people.
“We are indeed keenly interested that we must make all these advances that we have identified with regards to the continent, advances of democracy, of peace, of economic development, of benefits growth, stability, struggle against poverty, this matter about the placement of the African continent in its own rightful place globally as a result of our development in economy, technology, education and so on.
“But critically important in that regard in terms of our ability to make an impact on these matters in the continent as a whole is what happens between the two of us. It is not difficult for us to make very good speeches about the Nigerian South African cooperation, but in the end because people are looking, listening, watching critically, they will ask the question but what are those two countries actually doing to ensure that what they are preaching can in fact be done.
“It is these practical things that can and must happen between Nigeria and South Africa that will give substance to what in many instances is on the African continent’s hope, vision. To translate that into something actually really practical is clearly what is required and this cooperation that we have been talking about should happen.
“That is why the question that was posed that where do we go from here is clearly critical, as President Yar’Adua was saying, is indeed very correct. So what I’ll like to say and to confirm what the President has said, we will both be keenly interested to see what happens. Like the Mpahlwa said, we are establishing the president advisory group on investments, we are doing that in other to translate these common positions into some platform for future engagements so that we can indeed achieve these things that must be achieve.
“In the end, what I am saying is that the governments of Nigeria and that of South Africa from the president downwards are committed in assisting to ensure that indeed these cooperations we are talking about happens. And we are quite convinced that, that matter is critical not only to Nigeria and South Africa but also important to the future of the continent. So I do think that therefore, that we are committed and as business people we want to say at the end all these opportunities that have been identified in both countries, here are all the problems that we must overcome in other to transform those opportunities into actual cooperations among ourselves.
“And indeed you can look closely as you want and you will not find any other partnership on the continent other than that of the South African and Nigerian partnership which has the capacity to lead the continent in the directions which I think we all agree. So here is the challenge, like the American Secretary of State who published a biography which had a rather brave entitle, ‘present at the creation’, we shouldn’t say we were present at the creation because only God was present at the creation, but at least we should say we participated in the process of creating this new Africa and we have the possibility to do that”, he said.
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