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NNPCL, Dangote, others shift oil industry tussle to Senate panel

Published

3 months ago

August 8, 2024

NNPCL, Dangote, others shift oil industry tussle to Senate panel

Major stakeholders in Nigeria’s oil and gas industry on Wednesday vowed to speak up on the dirty deals, regulatory breaches and other malpractices in the sector that had defied solutions over years as the Senate opened another round of probe.

They demanded that the investigation should be conducted on live television broadcasts so that Nigerians would hear and know the truth about the happenings in the industry.

The stakeholders spoke during an interactive session with the Senate Ad-hoc Committee investigating “Alleged Economic Sabotage in the Nigerian Petroleum Industry”, particularly the importation of adulterated and substandard products into the country.

The committee, which is chaired by the Majority Leader of the Senate, Sen. Opeyemi Bamidele (APC, Ekiti-Central), will begin its full public hearing on September 10.

At a pre-hearing interactive session, it called on Wednesday, major stakeholders sought a transparent investigation to be conducted on live broadcast so that Nigerians would be well aware of the “misinformation” about the operations of the industry.

Among others, the probe will “seek to identify and hold accountable all parties involved in the importation and distribution of the adulterated petroleum products, especially Premium Motor Spirit and Automotive Gas Oil and such other acts that are detrimental to the operations of the petroleum industry.”

Bamidele, in an opening remark, said, “This includes suppliers, importers, regulatory bodies, and any other entity that may have contributed to lapses in the petroleum industry.

“We will conduct a thorough review of current regulatory frameworks and procedures to identify deficiencies and recommend necessary reforms to prevent such occurrences in the future.”

The Minister of State Petroleum (Oil), Sen. Heineken Lokpobiri; the Group Chief Executive Officer of the Nigerian National Petroleum Company Limited (NNPCL); Mr Mele Kyari; the MD of the Nigerian Midstream & Downstream Petroleum Regulatory Commission (NMDPRA), Mr Farouk Ahmed; the MD of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Mr Gbenga Kololafe; Depot and Petroleum Products Marketers Association (DAPMAN); Independent Marketers Association of Nigeria (IPMAN); Dangote Refinery; and modular refiners, addressed the panel.

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It was a session where many of the stakeholders opposed the Dangote refinery, as speakers warned against the consequences of what they considered to be an emerging monopoly in the industry.

Lokpobiri, for example, promised to cooperate with the panel by supplying all the information to help it unearth the truth.

“We will fully cooperate and supply all the relevant information to address all the misinformation.

I will suggest that this investigation should be conducted on live television”, he stated.

Lokpobiri, who denied claims that the government was frustrating local investors, added, “We are also committed to supporting the Dangote refinery and modular refineries.”

Kyari, who spoke in the same vein, complained that he had been the target of all forms of attacks, including being called a criminal, and a thief.

He said, “We are faithful, loyal, and committed to the development of this country,” adding that “We are not criminals and we are not thieves.”

Kyari made a reference to the row between regulatory agencies and the Dangote refinery over the latter’s allegation that its $ 19 billion investment was being frustrated, saying, “We have done nothing to sabotage any domestic refinery. But, there is a law that guides what we do.

“The law says that for crude oil, there must be a willing buyer and a willing seller. Go and check the Petroleum Industry Act, it is there.

Although Kyari admitted that there could be adulterated products in the country, he insisted that NNPCL was not to blame as the company did not man the borders or control smuggling, which he said was the role of the Nigeria Customs Service and security agencies.

“There are things we know that we won’t say, but we will say them during the public hearing. Let the public hearing be done on live broadcast,” he told the session.

On adulterated products, Kyari said, “NNPCL is not and cannot be responsible for the importation of substandard products. But, we know that smuggling of all sorts takes place, which is not caused by NNPCL.”

According to Kyari, vandalism of oil installations and product theft remain the biggest threats to the industry that need urgent solutions, or else serious investors will not risk their money.

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The representatives of DAPMAN, IPMAN and other local operators called for an operating environment that would be fair to all, including existing investors and new entrants like the Dangote refinery, as against handing over the industry to a monopoly.

However, the Group Strategy Officer, Dangote Refinery, Mr Aliyu Suleiman, expressed worries that the company did not get the expected support and backing from the government and regulators.

He raised three issues, “We would like to basically have three questions that we think we should look at, ask the committee, and also ask Nigerians.

“The first question is, do local refineries deserve protection from the government? The second question is, should Nigeria protect its infant industries in order to improve investment? And then the third question is, should local refineries have preferential access to Nigeria?.”

Aliyu went on, “Those really are the questions that we want this committee to consider. On the first one, as I have said, we produced five million tons of products, but of those 5 million tonnes, about 90% of them had to be exported. While at the same time, the products we were producing had been imported into Nigeria.

“We find ourselves competing against Russian products that were produced, that have been produced with oil that is valued at $60. We all know that because of the cap that has been put on Russian oil, the value of Russian oil today in the market is $60.

“And that’s what Russia is using to produce their products, and those products are being sent in large quantities into Africa to compete with products that are produced in refineries that buy proof at $90.

“We don’t think this will be a fair competitive environment and I think on that, even on that when you have such unfair competition, it is normal to put protective measures in place.”

He informed the panel that all the company had asked for was for the regulatory environment to support it, considering its huge investment in excess of $19 billion as part of the efforts to solve the domestic product supply challenges.

Meanwhile, the Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, confirmed that the government had yet to meet the 2024 budget’s crude oil target, though he gave assurances that everything was being done to achieve it.

Addressing the panel, the minister said while the government set a daily crude production target of 1.87 million barrels for the budget, it had so far achieved 1.6mbpd.

He stated that the government planned to surpass the budget’s target and achieve 2mbpd.

On oil prices, the minister said, “Outlook for oil prices is positive and we expect prices to remain stable.”

NNPCL, Dangote, others shift oil industry tussle to Senate panel

Related Topics:Dangote Featured NNPCL Senate panel

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New Edo Gov Okpebholo takes oath of office, Shettima, others present

Published

9 hours ago

November 12, 2024

Trends Admin

New Edo Gov Okpebholo takes oath of office, Shettima, others present

Vice President Kashim Shettima on Tuesday led the Federal Government delegation to the inauguration of Monday Okpebholo as a brand new governor of Edo State.

Other dignitaries at the event are Abdulrahman Abdulrazaq, chair of the governors forum; and Philip Shaibu, the reinstated deputy governor of Edo.

Many sitting state governors across the country elected on the platform of the All Progressives Congress (APC) that also graced the ceremony are Babajide Sanwo-Olu of Lagos, Dapo Abiodun of Ogun, Hope Uzodinma of Imo, and Ahmad Aliyu of Sokoto, among others.

The National Chairman of the APC, Dr Abdullahi Ganduje, and his predecessor, Senator Adams Oshiomhole, were also at the ceremony, held inside the Samuel Ogbemudia Stadium in Benin.

Okpebholo took his oath of office at about 1pm on Tuesday.

Dennis Idahosa was also sworn in as Edo deputy governor.

The new governor rode in an open-top van round the stadium while acknowledging cheers from supporters.

As candidate of the All Progressives Congress (APC), Okpebholo won the September 21 off-cycle governorship election in the state.

He polled 291,667 votes to defeat Asue Ighodalo of the Peoples Democratic Party (PDP) who came second with 247,274 votes.

Olumide Akpata, candidate of the Labour Party (LP), came third with 22,763 votes.

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Things will get better, Tinubu, Sanwo-Olu assure Nigerians

Published

1 day ago

November 11, 2024

Trends Admin

Things will get better, Tinubu, Sanwo-Olu assure Nigerians

President Bola Tinubu and Governor Babajide Sanwo-Olu of Lagos State, Monday, admitted that Nigerians are experiencing social and economic difficulties, assuring that the situation will soon change.

While Tinubu insisted that his government was on the right track, he argued that solutions to complex problems could never be as instant as coffee.

Meanwhile, Sanwo-Olu, who called for prayers, described the current leadership as tough men working to get Nigerians through difficult times.

Tinubu, represented by Secretary to the Government of the Federation, Senator George Akume, spoke at the 70th birthday of Serving Overseer of Citadel Global Community, Pastor Tunde Bakare, PTB, organised by the Citadel Global Community in Lagos.

Those present included former Head of State, General Yakubu Gowon (retd), represented by Evangelist Austin Kemie; Governor Babajide Sanwo-Olu of Lagos State, Governor Dapo Abiodun of Ogun State, Deputy Governor of Lagos State, Dr Obafemi Hamzat; former governor of Ogun State, Olusegun Osoba; former governor of Akwa Ibom State, Obong Attah; former governor of Rivers State, Rotimi Amechi; former governor of Ogun State, Gbenga Daniel, former governor of Ekiti State, Dr Kayode Fayemi; former governor of Kaduna State, Nasir El-Rufai; former Ogun State governor, Senator Ibikunle Amosun; Olu of Warri, Ogiame Atuwatse III, represented by Ogwa-Olusan of Warri, Chief Mene Brown; Ooni of Ife, Oba Adeyeye Ogunwusi (Ojaja II), represented by Asoya of Isoya Ife, Oba Muraina Adedini; Oba of Lagos, Oba Rilwan Akiolu; Alake of Egbaland, Adedotun Gbadebo III.

Tinubu, in his speech, said: “The President acknowledges that times are hard, but at the end of it all, there is always light. And solutions to complex problems can never be as instant as coffee, but we are on the right track.”

On the celebrant, the President described him as a spiritual leader and advocate for truth who had left an indelible mark, not just on those who follow his teachings, but on the nation as a whole.

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said: “We are here to celebrate a true man of God, a most precious human being. It gives me great joy to honour a man whose life has been an embodiment of passion, integrity and an unwavering commitment to justice and righteousness. PTB has been a beacon of hope and a voice for the voiceless in our society.

“His decades of service and dedication, principles of honesty, transparency, and fairness have been in the respect and admiration of many across this nation. His life journey reflects our commitment not just to spiritual growth, but also to the social and political development of our country.

“I acknowledge your relentless passion for better Nigeria, a country where equal justice and good government prevails. This celebration is a testament to a life of strength and courage, of powerful messages and fearless advocacy, deep volumes of your dedication to lifting humanity.

“It is these values that allow you to make such a difference. As you unveil your token of growth, the vast but definitely not the least, we look forward to gaining insights into the endless experiences that have shaped you into the formidable figure we see today.”

It’s tough time, public servants need prayers – Sanwo-Olu

Sanwo-Olu, in his address, said: “We that are in public service, we need all your prayers. It’s tough times, but you see, we are also tough men, and we know that at the end of the tunnel, there will be a bright phase.”

On the celebrant, the governor said PTB was not just a father to all, noting: “He is a man that is completely detribalised. He is a man that, with all the complexities of understanding people, stands up for fairness, equity and justice. There’s still a whole lot that God is still going to use you for, not only to this nation, but to the world. We thank God for who you are. You are a vessel of God.”

PTB testament to Ogun legacy of trailblazers – Abiodun

Abiodun, in his remarks, said: “We join him in reaching the remarkable 70. Considering the brevity of life, reaching 70 is not easy. PTB has made life one of purpose and significance. I have had the privilege of drinking from his wealth of knowledge. He stands as a testament to the Ogun State legacy of trailblazers. He is among the distinguished ambassadors of our state. As a spiritual guide, he has mentored many. PTB has touched lives.”

Let’s put nation first – Bakare

Meanwhile, Bakare, in his vote of thanks, urged Nigerians to put the country above personal needs, saying: “I want to appeal to you on this day that let us think of nation first. Let’s be less concerned about what we can get out of this nation. Let us think of how to make this nation a better place to live.”

Things will get better, Tinubu, Sanwo-Olu assure Nigerians

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Obaseki inherited N55bn debt, left N410bn behind – Transition report

Published

1 day ago

November 11, 2024

Trends Admin

Obaseki inherited N55bn debt, leaving N410bn – Transition report

The Transition Committee of the All Progressives Congress has recommended a probe into N410 billion in local and foreign debts allegedly owed by the Edo State government.

The committee made the recommendation on Monday in its report presented to Monday Okpebholo ahead of his inauguration on Tuesday as Edo’s fifth democratically elected governor.

Presenting the document, Pius Odubu, the chairman of the committee, said the committee was presented with N410 billion in debts as against the N55 billion inherited by the outgoing government in 2016.

“For those of you who have the capability to fact-check, you will find out that the indebtedness today is much more. It is over N500billion,” he said.

Odubu, an erstwhile deputy governor, said the committee also recommended a review of memoranda of understanding on the management of Central and Stella Obasanjo hospitals.

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“All employment carried out in the recent past should be cancelled, while the governor should investigate the true ownership of the Ossiomo power plant and Radisson Blu Hotel.

“The same with the Museum of West Africa Arts-MOWAA. We deserve to know the state’s equity in these companies as the outgoing government went blank on these enquiries.

“We also demanded a comprehensive review of the World Bank-funded EdoBest programme, and a probe should be instituted to uncover its rather opaque operations,” he said.

Odubu added, “All major contracts issued by the state government under the Ministry of Roads and Bridges should be reviewed as they appear not to have followed due process, including the payment advance awarded to the contractors.

“The procurement agency indicted the government in its own report to the transition committee. Hence, we have advised the incoming governor to take a critical review.”

The committee chairman also called for streamlining the ICT ecosystem in the state, which he said appeared to be a duplication of duties.

“The outgoing government didn’t provide audited financial statements published or unpublished. Hence, the committee is advising the government to institute an inquiry into this.

“The government couldn’t account for the number of teachers in the state. Hence, we demand a proper teacher headcount,” Mr Odubu said.

The committee chairman said the document, comprised of a 24-page report and 800 annexures, was a product of three weeks of rigorous assignments, meetings, interactions, engagements and analyses of the documents presented to the committee.