Business
Ministry officials to refund N718m for improperly awarded contracts

A Senate panel has revealed how the Ministry of Petroleum Resources paid N718 million through its tenders board to 11 corporate organisations for different services rendered without documents.
The discovery was as a result of the 2015 Auditor General Report submitted to the Senate Committee on Public Account chaired by Senator Matthew Urhoghide.
The Senate panel has recommended a refund of N718.9 million to the Federation Account by the government officials involved in the award of the contracts.
The panel’s findings showed that the contract was awarded in 2014 when the former Head of Service, Danladi Kifasi, was the Permanent Secretary of Ministry of Petroleum Resources.
Companies listed to have benefited from the consultancies are Amho Nigeria Ltd (Contract for consultancy service on critical stakeholders workshop on Liquefied Petroleum Gas (LPG) Policy Initiative at cost of N97.9million, Mimo Industrial Ltd (Contract for Consultancy Service on Project management for Liquefied Petroleum Gas (LPG) Policy Framework Development) at cost of N99.4 million, Peds Global Ventures (Contract for consultancy service on surveillance and monitoring of environmental restoration) at cost of N79.4 million, Crown-Tech Services Ltd ( Contract for consultancy service on capacity building for engineers to acquire tools surveillance and monitoring of environmental restoration) at cost of N82.2 million, DayLight Engeering Nigeria Ltd, (Contract for consultancy service on survey of oil and gas production and utilization in Nigeria) at cost of N48.1 million and Redbrick Consultants Ltd (Course fees oil and gas) at contract sum of N26.6 million.
It also revealed that about five consultancy contracts were awarded on July 14, 2014 while project on training was given out on October 17, 2014 and the payment was made in the 2015 budget.
The Auditor General of the Federation, in its report, stated that no further documents regarding payments were produced despite repeated request, adding the ministry failed to produce documents explaining and supporting the genuineness of the payments.
The query read, “An expenditure entry to N718.9 million was made in the cashbook as payment to 11 corporate bodies for different services rendered.
“Surprisingly, no further documents regarding this payment were produced for audit review despite repeated request, contrary to Financial Regulation 110 which states that ‘Auditor-General or his representative shall at all reasonable times have free access to books of accounts files, safes, security documents and other records and information relating to the account of all federal ministries /extra-ministerial offices and other arms of government or units.’
“Expenditure of this magnitude without documents explaining and supporting the genuineness of these payments cannot be accepted as legitimate charges against public funds.
“The permanent secretary has been requested to produce all documents recover and pay to treasury the sum of N718.9 million being expenditure un-accounted for and furnish recovery particulars for verification. “
The Ministry of Petroleum in its written submission presented by the Permanent Secretary, Bitrus Bako Nabasu, however said, “Relevant documents were attached to facilitate raising of payment vouchers and the total amount paid to contractors was N494.1 million.”
But the Chairman of the committee, Senator Urhoghide, and representative of Auditor General of the Federation, Eyitayo Agesin, said that documents attached to the vouchers were not enough to justify payment expenditure of that magnitude.
Meanwhile, the Senate Panel on Public Account has sustained a query of mismanagement of about N20 million against the Federal Ministry of Finance.
The lawmakers decided to sustain the query after the ministry ignored series of invitations extended to it by the Auditor General of the Federation with no response.
The chairman of the committee wondered how the ministry could be avoiding invitations to give account on the money spent, adding that the committee had sent invitations to the ministry on the issue with no response.
He said the committee had no other option than to sustain the Auditor General query against the ministry.
The query read, “A contract worth N2,477,900.00 was awarded by the ministry. It was observed that the contractor submitted a quotation before the invitation to bid for the contract was approved. This is contrary to the contract process when a bidding invitation is first sent to the contractor before the quotation. Also, the contractor’s tax clearance certificate was not provided by the contractor.
“The permanent secretary has been requested to explain these lapses.
“A sum of N2,768,760.54 which is equivalent of $13,919.00 was overpaid as estacode allowances to some staff of the ministry on foreign tours. This overpayment was done as a result of transit days which were included in their estacode allowances.
“However, this is contrary to Sections 130106 – 130108 of the Public Service Rules which stipulates that such allowances are granted to enable staff pay for lodging and feeding expenses during official hours duly approved by the approving authority.
“The permanent secretary has been requested to compel all the staff involved in the irregularity to refund the excess estacode allowances to the sub-treasury and forward the receipt to my office for confirmation.
“A total amount of N16,858,800.00 cash advances granted to some staff of the ministry between October and December, 2015 were not retired, contrary to Financial Regulation 420.
“The permanent secretary has been asked to compel the affected staff to retire the cash advances without further delay or deduct the amounts from the involved staff’s salary en-bloc and furnish my office with the retirement or deduction particulars for verification.”
Auto
Nigeria dominating Africa spare parts market, says ASPAMDA boss

Nigeria dominating Africa spare parts market, says ASPAMDA boss
Nigeria has become a strong force in Africa’s spare parts market, President of Auto Spare Parts and Machinery Dealers Association (ASPAMDA), Hon. Ngozi Emechebe, has said.
He however lamented the decline in auto spare parts manufacturing plants in the country.
He said Nigeria could be a global player in the auto parts production with the right investments in the sector.
The ASPAMDA president spoke at the opening of the ongoing Lagos Motor Fair/Autoparts Expo at the Federal Palace Hotel, Victoria Island.
He said, “We have taken over Angola, Ghana, Togo, Ivory Coast, Gambia, Senegal and many other markets and ASPAMDA is the place to visit.”
The Chinese government, he said, knows the impact of ASPAMDA to their companies; “so Nigeria should wake up. If we are serious, we will take over the world economy.”
He said Nigeria almost got to a point of assembling cars from spare parts produced locally at a time.
“At Nnewi, there were a lot of auto spare part manufacturing companies then. At a time we were about assembling vehicles before things crumbled but thank God, Innoson Motors is doing it again,“ he said.
The ASPAMDA boss showered encomium on President Bola Tinubu-led administration for making efforts to bring back activities in the sector.
He said, “With the way the country is going now, many companies are gradually starting production in the country again.”
Commending the organizers of the Lagos Motor Show for resilience in sustaining the expo over the years, Hon Ngozi said, “Mr Ifeanyi Agwu, the organiser of this expo deserves a thumb up for bringing spare parts makers from across the world to come and showcase their products to our members and Nigerian customers.”
According to him, before the commencement of the expo some years back, ASPANMDA members used to travel to Europe, Japan, Taiwan and other parts of the world in search of companies to do business with.
“But with the spare parts expo, the various parts makers have been brought to Nigeria under one roof to meet with our members and do thriving business,” he said.
This, he said, had saved his members the cost of flight, hotel accommodation, as well as time and eliminated stress arising from flying the long distance to meet with manufacturers.
He recalled that some years ago, his members used to travel to Taiwan to buy spare parts “but when the business started to flourish, and the products started gaining recognition, Taiwan shut their doors against us and raised the prices of goods which made us to turn to China”.
He prayed that one day, China too should close their doors to Nigeria and force us to develop our own products.
Emechebe predicted that Nigeria will take over the world spare parts market in the near future. I pray that “China should close their doors to us so that we can grow” he said.
The ASPAMDA boss also appealed to the Federal Government to look into the high taxes and duties being paid by Nigerian businessmen which he said are killing local manufacturers.
He said, “ It is cheaper to import finished products than to produce locally in Nigeria as most of the companies are relocating to neighbouring countries due to unfavourable business conditions like high taxes, duties, energy and other infrastructure,” he said.
Auto
Three electric vehicles on display steal show at Lagos Motor Fair

Three electric vehicles on display steal show at Lagos Motor Fair
Three automobile manufacturing companies are exhibiting full Electric Vehicles (EVs) under one roof at the Lagos Motor Fair taking place at the Federal Palace Hotel, Victoria Island.
The unprecedented display of EVs at any auto fair in Nigeria is an indication that the Federal Government’s crusade to shift focus to green cars to save the environment and high cost of fuel is striking the right cord.
Most people at the fair ground visited the EV display arena and were excited by the quality and versatility of the designs.
The three-day motor show/ auto parts exhibition which started on Wednesday is expected to end today (Friday).
So far, the fair has made a lot of difference with the exhibition of the electric vehicles, hybrid vehicles, motorbikes and CNG vehicles.
The Electric Vehicles look beautiful in different colours, all have Chinese origin and available in four and five seaters with superb finishing.
Leading the park is Taocars which displayed two models out of their three models available in Nigeria. The Large and Medium sized Sedans boast of array of features that are tempting to resist by prospective electric car buyers, according to a report by Vanguard.
Managing Director Taocars, Mr Moise Niu told Vanguard that their range of Electric Vehicles can cover several kilometers before recharge. He described the vehicles as trendy, rugged, durable and easy to maintain.
The Marketing Manager of the company Mr Ifeanyi Ugbuaja who was also on ground to explain the features of the vehicles said the Electric Vehicles are pocket-friendly and offers luxury at its peak, in addition to being noiseless.
Also on display were the Bestune models which come as mini vehicles but with amazing spacious interior and features. The model known as fourfold charm and also described as favorite choice is a three door mini car. The company said it is built for fun, safe for all, easy to drive with great look.
Bestune xiaoma is a product of FAW Automobile which is already a known name in the Nigeria truck vehicle segment.
However the Cynosure of all eyes at the fair is Benlg Electric Motorcycles which comes in different sizes and designs. The Electric motorbike which were displayed by Benlg Eletric Motorcycle Nigeria Ltd include the Tank, Anan, Boxer and outstanding. The company also builds Electric tricycles and has capacity to produce 10,000 Motorbikes monthly.
The Managing Director of the Company Mr Leon Nie who said that they were just starting production at their plant in Shagamu, explained that the company has the capacity to meet Nigeria’s motorbike needs.
“Our motorcycles are totally Electric and we want to settle for the production of two and three wheelers as Nigeria EV market is just starting.
Others are the Geely plug-in-hybrid electric vehicle being displayed by Icheta which looks more like a Luxury sedan with its smart interior.
Kia Motors is also displaying its GNG technology at the Motor fair with the CNG powered Rio Sedan.
The CNG vehicles are known for their environment friendly and fuel efficiency which is 50 percent less than petrol.
Auto
Theodore Opara inaugurated as new NAJA chairman, other excos sworn in

Theodore Opara inaugurated as new NAJA chairman, other excos sworn in
The Nigeria Auto Journalists Association (NAJA) has a new leadership that will pilot its affairs for the next three years.
Theodore Opara, the Motoring Editor of Vanguard Newspapers, has been sworn in as a new chairman of the association after a recent keenly contested election.
The election, held at the Teslim Balogun Stadium in Lagos, was marked by a high voter turnout and enthusiasm.
Opara clinched the leadership position with 62% of the votes, signaling strong support from NAJA members.
His victory is expected to pave the way for a transformative tenure aimed at strengthening the association’s role in the Nigerian automotive industry.
Other officials elected alongside Opara are Segun Odunewu as Vice Chairman; Adrian Egonu as General Secretary; Cees Harmon as Assistant Secretary; Daphne Uduneje as Financial Secretary/Treasurer, and Benjamin Alade as Auditor.
In his acceptance speech, the new chairman Opara expressed deep gratitude to NAJA members for their confidence in his leadership.
He vowed to elevate the status of auto journalism in Nigeria by fostering professionalism, ethical reporting, and innovation within the industry.
“I am deeply honoured by the trust my colleagues have placed in me. I assure you all of my dedication to advancing the interests of auto journalism in Nigeria.
“The industry is evolving, and we must ensure that Nigerian auto journalists remain at the forefront of innovation, professionalism, and ethical reporting,” Opara stated.
As the newly elected chairman, Opara unveiled his vision for NAJA, which includes reinforcing the association’s influence in the automotive industry, strengthening partnerships between journalists and key stakeholders, and initiating capacity-building programmes such as training workshops, mentorship initiatives, and advocacy for better welfare of members.
With decades of experience in automotive journalism, Opara is expected to bring a wealth of expertise to his new role.
Industry analysts expect his leadership to foster significant growth, further solidifying NAJA’s relevance in Nigeria’s automotive sector.
Chairman of the Election Committee, Ben Oghifo, spoke on the process and commended the contestants as well as other members for conducting themselves in a dignifying way, emphasizing that it was a reflection of the democratic principles upheld by NAJA.
“The members of NAJA have spoken, and we have successfully delivered a transparent electoral process. Theodore Opara is now set to lead the association into its next chapter,” Oghifo remarked.
In his farewell address, outgoing Chairman of the association, Mike Ochonma, expressed gratitude to NAJA members for their unwavering support during his tenure.
He encouraged the association’s members to extend the same level of support to the new leadership to ensure the continued progress of NAJA.
The Nigeria Auto Journalists Association remains the premier body for professionals covering the automotive industry in Nigeria.
Its members play a critical role in shaping public discourse on industry trends, policies, and technological advancements.
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