Petrol scarcity looms as transporters threaten to stop product lifting – Newstrends
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Petrol scarcity looms as transporters threaten to stop product lifting

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9 months ago

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Petrol scarcity looms as transporters threaten to stop product lifting

The Nigerian Association of Road Transport Owners (NARTO) vowed on Thursday to stop lifting petroleum products beginning next Monday due to the high cost of operations.

Chronicle NG reports that Nigeria may witness another round of petrol scarcity when NARTO ceases operations on Monday.

NARTO members have repeatedly raised concern over the high cost of diesel required to power their trucks for the transportation of petroleum products across the country.

Oil marketers told reporters on Thursday that the price of diesel is between N1,250 and N1,400 per litre, depending on the area of purchase.

NARTO’s President, Yusuf Othman, said in a statement he issued in Abuja on Thursday that the statement was an official announcement from the association’s headquarters that members of the group would park their trucks on Monday.

“Why? It is because what we spend on operations is more than what we get in total, both in local and bridging,” he stated.

Othman said NARTO members were operating at a loss, and it was no longer sustainable for them to endure the losses.

“We will have to suspend operations from now until Monday. We cannot continue to operate at a loss. Most people have parked. A lot more are going to park. But from the point of view of the association itself, we are going to suspend operations on Monday,” he stated.

He said NARTO’s efforts to get the intervention of key stakeholders, the federal government, and industry operators had not yielded positive results.

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The NARTO president said the association had written letters on the unbearable cost of operations to the Chief of Staff to President Bola Tinubu, the Minister of Petroleum Resources, the Department of State Services, the Nigerian Midstream and Downstream Regulatory Authority, the Nigerian National Petroleum Company Limited, and oil marketers.

“We have written letters up to the level of the Chief of Staff to the President. We have written to the Minister of Petroleum Resources (Oil). We have written to the Director-General of SSS. We have written to NNPC’s boss. We have written to the NMDPRA. We have written to the major marketers,” Othman stated.

He stressed that despite the letters, there has been “no response.”

Analysing the market situation, which the members have endured for several months, he stated that the same freight rate that applied when former President Muhammadu Buhari was in office was still subsisting.

“The Lagos to Abuja freight rate that was implemented when the dollar was N650 is still retained now that the dollar is N1,615. Everybody is aware that all our consumables, in terms of operation, are not produced in the country.

“So, by virtue of the rate of dollars, every consumable has increased. But the freight they are paying us has been the same since Buhari’s time. So how is that feasible? During Buhari’s time, one dollar was N650. Today, the dollar is N1,615. The average freight from Lagos to Abuja is N32,” he stated.

Othman further explained that “what I mean by local is that when you load in Lagos, you discharge in Lagos. And bridging means that when you load from Lagos, you come to Abuja. Lagos to Lagos, we are paid N120,000.

“AGO (diesel) alone to distribute fuel within Lagos is N140,000 because it is N1,400/litre. So, they give you N120,000, and you spend N140,000. So, how do you want to operate? You’ve not talked about the cost of vehicles, the cost of loading, or the driver’s allowance. That is for local.”

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He stated that the cost of moving products out of Lagos or Warri to other states was far higher than what the government was paying to tanker drivers as bridging claims.

The government pays an agreed sum to transporters of petroleum products as bridging claims in order to ensure equality in the pump prices of these products across states, though this has not been the case.

NARTO is the umbrella organisation for commercial vehicle owners in Nigeria. The association represents the interests of those involved in the haulage of petroleum products, general cargoes, and passenger movement within the country and the West African sub-region.

NARTO has expressed several concerns regarding transporting petroleum products in Nigeria, impacting both their members and the overall efficiency of the process.

It has complained of poor road conditions, as frequent potholes, dilapidated bridges, and lack of proper maintenance lead to increased wear and tear on vehicles, higher running costs, and longer journey times.

The association has also raised concern about traffic congestion, particularly around ports and depots, as this adds significantly to delivery delays and further increases operational costs.

On inadequate parking facilities, NARTO stated that the lack of safe and designated parking areas often forced drivers to park in unsafe locations, leading to security risks and fatigue.

It had also raised concerns about the multiple checkpoints in Nigeria, as numerous security checkpoints could cause unnecessary delays and harassment for drivers.

Another issue is delayed payments, as late payments from oil marketers create cash flow problems for transporters.

Also, the association has called for safety because the theft of petroleum products, pipeline vandalism, and other security threats create risks for drivers and equipment.

On policy and regulatory concerns, NARTO had observed that some depots limit access to specific transporters, impacting competition and efficiency.

It had stated that inconsistent or ambiguous regulations could lead to confusion and enforcement challenges, adding that transporters often struggled to access affordable financing for vehicle maintenance and upgrades.

Petrol scarcity looms as transporters threaten to stop product lifting

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Saudi Crown Prince assures Tinubu of govt support

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21 hours ago

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November 13, 2024

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Saudi Crown Prince and Prime Minister of Saudi Arabia, Prince Mohammed bin Salman bin Abdulaziz Al Saud and President Bola Ahmed Tinubu

Saudi Crown Prince assures Tinubu of govt support

The Saudi Crown Prince and Prime Minister of Saudi Arabia, Prince Mohammed bin Salman bin Abdulaziz Al Saud, has assured Nigeria of support in its economic reform programmes.

The assurance came when the Crown Prince and President Bola Ahmed Tinubu met on Monday in Riyadh on the sidelines of the joint Arab-Islamic Summit.

Bayo Onanuga, the Special Adviser to the President on Information & Strategy, disclosed this in a statement on Tuesday.

He said the two leaders explored potential areas for cooperation, particularly oil and gas, agriculture, infrastructure and the constitution of the Saudi-Nigeria Business Council.

Nigeria wants an agreement with the Saudi government over a proposed $5 billion bilateral trade facility between the two countries.

The Saudi Agricultural and Livestock Investment Company, SALIC, invested $1.24 billion in 2022 to acquire a 35.43% stake in Olam Agri, one of Nigeria’s leading agricultural firms.

Talks are being held so that SALIC can have more stake in the company.

The Saudis hoped the investment would make Olam one of the biggest agro-allied businesses in the world.

The Crown Prince commended President Tinubu’s economic reforms, noting similarities to his steps to strengthen Saudi Arabia’s stability and development when he became Prime Minister.

He also assured Nigeria of his support and promised to motivate his team to realise the various areas of partnerships discussed at the meeting.

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At the meeting with the Crown Prince were the Saudi Minister of National Guard, Prince Abdullah bin Bandar bin Abdulaziz, the Minister of Defense, Prince Khalid bin Salman bin Abdulaziz, and several senior officials.

Meanwhile, the Joint Arab-Islamic Summit has renewed the mandate of Nigeria and other member states on the Ministerial Committee assigned to engage with global leaders in seeking an end to the ongoing war in Gaza and Lebanon.

This decision was part of the resolution issued after the extraordinary Joint Arab-Islamic Summit, which took place in Riyadh, Saudi Arabia, on November 11, 2024.

President Bola Tinubu and other leaders from the Organisation of Islamic Cooperation, OIC, and the League of Arab States were in attendance.

The Joint Arab-Islamic Ministerial Committee, led by the Kingdom of Saudi Arabia, was formed by a resolution at the First Joint Arab-Islamic Summit in Riyadh on November 11, 2023.

The group includes the foreign ministers of Nigeria, Egypt, Qatar, Turkey, Indonesia, Palestine, and Jordan.

In its final resolution, the summit urged the Ministerial Committee to “intensify its efforts and expand them to include working on ending the aggression on Lebanon.”

The committee will submit periodic reports, which the secretariats of the OIC and the League of Arab States will circulate to member states.

The Committee has also been tasked with further engaging actors across the Global South in the efforts to strengthen international support towards ending the war and Israeli occupation.

The resolution stressed the importance of protecting sea lanes by rules of international law and welcomed the signing of the tripartite mechanism by the League of Arab States, OIC, and the African Union to support the Palestinian cause.

The summit praised the African Union’s steadfast support of Palestine.

The leaders condemned recent Israeli military actions in northern Gaza, describing them as “crimes of genocide,” including allegations of torture, executions, disappearances, and “ethnic cleansing.”

They also criticised ongoing efforts to solidify Israel’s presence in occupied East Jerusalem, reaffirming it as the “eternal capital” of Palestine and calling for the unification of the West Bank, Gaza Strip, and East Jerusalem under a sovereign Palestinian state.

The resolution reiterated “the full sovereignty of the State of Palestine over occupied East [Jerusalem], the eternal capital of Palestine”. It rejected any Israeli actions aimed at altering the city’s identity or consolidating its occupation.

The summit also expressed unwavering support for Lebanon’s security, stability, sovereignty, and the safety of its citizens.

Saudi Crown Prince assures Tinubu of govt support

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Two Nigerian companies developed contactless passport renewal – FG

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22 hours ago

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November 13, 2024

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Two Nigerian companies developed contactless passport renewal – FG

The Federal Government has revealed that the contactless passport renewal solution, which went live in Canada on November 1, 2024, was developed by two Nigerian software companies.

The disclosure was made by Olubunmi Tunji-Ojo, the Minister of Interior, during the Politics Today programme on Channels Television on Tuesday.

Tunji-Ojo explained that the Federal Government deliberately chose to trust indigenous technology for the project.

“The solution is completely indigenous. We did not go to look for foreign technology. We got Nigerian technology – the two companies/vendors that came together to develop the solution are Nigerian software companies,” he said. 

The minister expressed confidence in the solution, citing his over two decades of experience as an IT cybersecurity expert and his extensive history as a project manager on numerous occasions.

He did not, however, mention the names of the companies, and at this time, they are not yet publicly known.

The Interior Minister emphasized that the contactless passport renewal solution is designed to alleviate the challenges faced by Nigerians in the diaspora, such as long travel distances, accommodation costs, and taking time off work to renew passports.

He shared specific examples of Nigerians in Canada and London who had to cancel lectures or miss work to complete their passport renewal process.

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While acknowledging that the new solution has encountered some initial hitches, Tunji-Ojo reassured Nigerians that these issues would be addressed.

Tunji-Ojo also clarified that delays in passport issuance, such as those reported by some Nigerians in Canada who experienced waiting times of up to 42 days after using the contactless passport renewal process, are not linked to the system itself.

  • Instead, he attributed the delays to the limited processing capacity of Nigerian embassies. For instance, he said that the UK embassy, which has received over 48,000 passport renewal applications (note: the contactless renewal system is not yet available in the UK and is currently exclusive to Canada), can only process 300 applications per day, leading to significant backlogs.
  • The Interior Minister explained that the contactless system leverages biometric databases, facial recognition, and live authentication checks, enabling applicants to renew their passports via a mobile app without visiting the Nigerian Immigration Service (NIS) office.
  • However, the system applies only to Nigerians aged 18 and above with existing biometric records, as first-time applicants must still visit the NIS office for interviews and biometric capture.
  • The Federal Government plans to expand the contactless passport renewal solution to other countries in the coming weeks.

Additionally, a centralized personalization center is being established in Abuja, equipped with advanced machines capable of printing up to 32,000 passports daily, to improve the efficiency of passport issuance.

 

Two Nigerian companies developed contactless passport renewal – FG

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

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2 days ago

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November 12, 2024

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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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