Business

We’ve reduced diesel price to bring down inflation – Dangote

Published

3 weeks ago

April 11, 2024

We’ve reduced diesel price to bring down inflation – Dangote

President of Dangote Group, Alhaji Aliko Dangote, has said with the cost of diesel from his company, Dangote Refinery, dropping to N1,200 from N1,650, inflation rate in Nigeria will drop.

Nigeria’s annual inflation rate rose to 31.70 per cent in February from 29.90 per cent in January, according to the last report on this issue by the National Bureau of Statistics (NBS).

Dangote spoke on Wednesday with journalists after paying an Eid-el-Fitr visit to President Bola Ahmed Tinubu in his Lagos home.

He said the Dangote Refinery had been selling diesel at N1,200 per litre as against the market price of N1,650 – N1,700.

He also noted the improvement in the naira to dollar exchange rate was already having a positive impact, with the price of locally-produced goods dropping as businesses paid less for diesel.

Dangote said, “I believe that we are on the right track. Nigerians have been patient and I also believe that a lot of goodies will now come through.

“There’s quite a lot of improvement because if you look at it, one of the major issues that we’ve had was the Naira devaluation that had gone very aggressively up to about N1,900.

“But right now, we’re back to almost N1,250 and N1,300, which is a good reprieve.

“You can see quite a lot of things went up. For example, something that we produce locally like flour – people charged more. Why? Because they were paying very high diesel prices.

“What we did, for example, in our refinery, is to sell diesel at about N1,200 as against N1,650 and I’m sure as we go along, things will continue to improve quite a lot.

“It’s a lot of impact. The price for a litre of diesel has been cut by almost one-third to N1,200.

“Even though the crude prices are going up, I believe people will not get it much higher than what it is today at N1,200.

“It might go a little bit lower, but that can help quite a lot because if you were transporting locally-produced goods, such as rice and other stuff at N1,650, and now you are paying one-third of that amount at N1,200, it’s a lot of difference.

“That can help to bring inflation down. And I’m sure when the inflation figures are out for the next month, there’ll be quite a lot of improvement in the rate.

“So, one step at a time. And I’m sure the government is working round the clock to make sure that things get much better. It’s in the interest of everybody.”

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Finally, NERC unbundles TCN, creates new system operator

Published

1 day ago

May 4, 2024

Trends Admin

Finally, NERC unbundles TCN, creates new system operator

The Nigerian Electricity Regulatory Commission (NERC) has set up the Nigerian Independent System Operator of Nigeria Limited (NISO) as it unbundles the Transmission Company of Nigeria (TCN).

The transmission leg of the power sector has over the years been seen as weakest link with obsolete equipment.

The unbundling announcement is contained in an Order dated April 30, 2023 and jointly signed by NERC chairman, Sanusi Garba, and vice chairman, Musiliu Oseni.

By this order, the TCN is expected to transfer all market and system operation functions to the new company.

The commission had previously issued transmission service provider (TSP) and system operations (SO) licences to the TCN, in accordance with the Electric Power Sector Reform Act.

The Electricity Act 2023, which came into effect on June 9, provided clearer guidelines for the incorporation and licensing of the independent system operator (ISO), as well as the transfer of assets and liabilities of TCN’s portion of the ISO.
In the circular, the commission ordered the Bureau of Public Enterprises (BPE) to incorporate, unfailingly on May 31, a private company limited by shares under the Companies and Allied Matters Act (CAMA), 2020.
NERC said the company is expected “to carry out the market and system operation functions stipulated in the Electricity Act and the terms and conditions of the system operation licence issued to the TCN.
“The name of the company shall, subject to availability at Corporate Affairs Commission, be the Nigerian Independent System Operator of Nigeria Limited (“NISO”),” NERC said.

Citing the object clause of the NISO’s memorandum of association (MOU) as provided in the Electricity Act, NERC said the company would “hold and manage all assets and liabilities pertaining to market and system operation on behalf of market participants and consumer groups or such stakeholders as the Commission may specify.”

Business

Naira depreciates again, trades at N1,402/$

Published

2 days ago

May 3, 2024

Trends Admin

Naira depreciates again, trades at N1,402/$

The Nigerian currency, naira, on Thursday slightly depreciated at the official market, trading at N1,402.67 to the dollar.

Data from the official trading platform of the FMDQ Exchange, a platform that oversees the Nigerian Autonomous Foreign Exchange Market (NAFEM), showed that the naira lost N11.71

Naira depreciates again, trades at N1,402/$

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Appeal court takes over NURTW case as NIC withdraws

Published

4 days ago

May 1, 2024

Trends Admin

Appeal court takes over NURTW case as NIC withdraws

The National Industrial Court has withdrawn from a case involving Alhaji Najeem Usman Yasin, Board of Trustees chairman of the National Union of Road Transport Workers (NURTW), and Alhaji Tajudeen Ibikunle Baruwa’s ambition to return as president of the union over lack of jurisdiction.

The industrial court’s decision was made to avoid conflict with the Court of Appeal, where the matter is already being heard.

Before the NIC announced its decision to hands-off the case, the defendants’ counsel, Mr. O.I. Olorundare SAN, had informed the court that the matter is currently before the Court of Appeal, Abuja division, and that the industrial court could not continue to adjudicate on the same matter.

The counsel cited authorities to support his claim, adding that the National Industrial Court does not have concurrent jurisdiction with the Court of Appeal.

The presiding judge, O.O. Oyewunmi, struck out the case, stating that the Appeal Court had taken over the matter and that the Industrial Court must respect the hierarchy of courts.

Alhaji Yasin and six others took the case to the Appeal Court, challenging the decision of the industrial court recognising a delegates’ conference held on May 24, 2023, where Baruwa was proclaimed as President of the union for a second term in office.

With the latest NIC judgement, both parties will now proceed to defend their positions at the Court of Appeal and await the final judgement.