Governors of the 36 states of the federation, yesterday, opposed further importation of Premium Motor Spirit (PMS) by any marketer, otherwise known as petrol, saying it would work against the newly established Dangote Refinery.
The governors, in a communiqué after their meeting, said Dangote Refinery had potential for several positive multiplier effects on the economy, including job creation.
They also urged the federal government to intensify efforts to repair the Kaduna, Port Harcourt and Warri refineries, even as the Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, disclosed that the government was gaining about N700 billion from crude-for-naira sale as well as the removal of subsidy.
Also, Dangote Petroleum Refinery, yesterday, clarified that contrary to reports, it had not received any payments from Independent Petroleum Marketers Association of Nigeria (IPMAN) for purchase of refined petroleum products.
At the same time, the senate confirmed that its ad hoc committee set up to investigate alleged economic sabotage in the Nigerian petroleum industry would now carry out the assignment jointly with a similar panel constituted by the House of Representatives.
Reading the governors’ communiqué, Imo State Governor, Hope Uzodinma, said, “Yes, it is something that is being looked at. If you look at the news, you see that the Dangote refinery has also come up with capacity to supply products.
“I don’t think that you or me would be happy that a Nigerian, an OPEC member, producing crude oil, as such there is no need relying on importation of PMS for our people. We need to use our petroleum products.
“So, we must encourage the home-grown solution that the president just introduced. Encouraging Dangote Refinery, we should repair our Port Harcourt Refinery, repair our Warri Refinery, repair our Kaduna Refinery, and then produce what we eat, and eat what we produce.
“We shouldn’t rely on importation of crude oil. For me, it is an aberration to rely on importation of petroleum products as an oil producing country.
“Which other member of OPEC, country of our status, is now refining crude oil in that country? So we shouldn’t encourage that. I think I want to support buying petroleum products in Naira, buying crude oil in Naira, refining it here.
“If you refine petroleum products locally, you will create jobs, you will curb unemployment, you will keep people busy, you will reduce crime, and then you will also be proud to answer and be called an oil producing nation.”
Uzodinma added, “Nigeria Governors Forum, we are also committed to supporting Mr. President and ensure that the interests of our people are properly protected.
“It is our belief that Nigeria is a great country. And anything that will bring or cause disunity among our people, our citizens, should be discouraged.
“We need to be united as a people. We need to support the government. We need to work for the interests of our people. And our national interests also be protected. So we should have hope.
“Under the Renewed Hope Agenda of Mr. President, supported by both the national government and all of us as citizens, there will be no better security than us being united, working together as a people, and believing in our country.”
When asked to comment on a briefing by Group Managing Director of Nigerian National Petroleum Company Limited (NNPCL), Mele Kyari, with regard to subsidy removal and fuel long queues, Uzodinma said the NNPCL boss had promised that the long queues would soon be over.
The Imo State governor stated, “We also received the Chief Executive Officer of NNPC, who briefed us on the total subsidy removal, and the challenges facing the corporation; his plans to alleviate the sufferings of our people, occasioned by the increase in pump prices.
“We discussed with him, and also interpreted some of the presentations he made. It is our hope that things are going to be better any moment from now.
“We sympathise with our people. We know that there is hardship in the country. We also appreciate the reforms being carried out by the president.
“Our prayer is that, as soon as possible, that the relief we are looking for should come. So, that we can begin to leverage on the benefits of the reforms.”
Uzodinma said, “We deliberated on issues affecting the country. The forum received a presentation from the African Medical Centre of Excellence, funded by Afreximbank, a world-class hospital, and specialised techniques and latest and modern equipment to be managed by first-class medical experts in special areas of treatment on oncology, cardiovascular issues, haematological cares, and other comprehensive general medical research.
“So, the governors committed to supporting Afreximbank for this initiative. They are going to work with King’s College Hospital, London, and it’s going to be a referral centre of excellence for all medical challenges.
“The new Director General of the Department of State Services also briefed us on new strategies to stop the rate of insecurity, all the security challenges in the country, and how to fight cases of kidnapping, banditry, and activities of unknown gunmen.
“We also committed to giving him support and to close rank. It will be very proper and a better synergy, working at the subnational to ensure that Nigeria is secure, the environment is safe.
“But not only the government, also the private sector to do their businesses. We will collaborate with him. The Office of the National Security Adviser appointed a director to liaise with the state governments for closer relationships.
“She also appeared before us. Spoke very eloquently. Presented her plans. And we committed to also working with her. I think things are getting better by the day and we pray that with all these arrangements in place, the cost of living will come down.
“The cost of doing business in Nigeria will also come down and become more affordable.”
We’ve Not Received Payment for Products from IPMAN, Dangote Refinery Clears Air
Dangote Refinery, yesterday, maintained that it had not received any payment for its products from members of the Independent Petroleum Marketers Association of Nigeria (IPMAN).
IPMAN had said it had been on the queue for products from the $20 billion refinery, raising doubts over a comment made earlier by President of Dangote Group, Aliko Dangote, that the company had over 500 million litres of unsold petrol in its reserves.
But a statement by the company’s Group Chief Branding and Communications Officer, Anthony Chiejina, said, “The Dangote Petroleum Refinery wishes to clarify that it has not received any payments from IPMAN to purchase refined petroleum products.
“Although discussions are ongoing with IPMAN, it is misleading to suggest that they (IPMAN members) are experiencing difficulties loading refined products from our petroleum refinery, as we currently have no direct business dealings with them. Consequently, we cannot be held responsible for any payments made to other entities.
“The payment in mention has been made through the Nigerian National Petroleum Company Limited (NNPC), and not us.
“In the same vein, NNPC has neither approved, nor authorised us to release our Premium Motor Spirit (PMS) to IPMAN.”
Dangote refinery emphasised that it could meet the country’s demand for all petroleum products, including petrol, diesel, and aviation fuel.
At present, it stated that the company could load 2,900 trucks per day and had also been evacuating petroleum products by sea.
Dangote refinery stated, “We advise IPMAN to register with us and make direct payment, as we have more than enough petroleum products to satisfy the needs of their members.
“Furthermore, we believe it is instructive for all stakeholders to refrain from making unfounded statements in the media, as that could undermine the economic re-engineering efforts of His Excellency, President Bola Tinubu.
“Conducting business through public speculation is counterproductive and unpatriotic. In the interest of our country, we encourage all stakeholders to collaborate and heed the advice of President Tinubu, while promoting a unified approach, rather than engaging in media conflicts and needless propaganda.”
Senate, House to Jointly Probe Economic Sabotage in Petroleum Industry
The senate, yesterday, confirmed that its ad hoc committee investigating alleged economic sabotage in the petroleum industry would now work jointly with a similar panel established by the House of Representatives.
The development was against the backdrop of reports that some stakeholders were working to stop the oil probe.
The upper chamber had also communicated the decision to the House with a view to conducting a more holistic investigation that would sanitise the petroleum industry.
The senate, presided by its Deputy President, Senator Jibrin Barau, announced the decisions at plenary yesterday after Leader of the Senate/Chairman of the Ad-hoc Committee, Senator Opeyemi Bamidele, sponsored a motion on the need for the two chambers to jointly conduct the oil probe.
Bamidele observed that the House of Representatives had debated the same subject and also constituted its ad-hoc committee to investigate it.
He said there was, “The need for the ad hoc committees of the two chambers to work together to avoid duplication in the discharge of their constitutional responsibilities.”
He further called for the committee to be reconstituted and be named, “National Assembly Joint Ad-hoc Committee to Investigate Alleged Economic Sabotage in the Nigerian Petroleum Industry.”
After Bamidele’s presentation, the senate re-named the committee as “National Assembly Joint Ad-hoc Committee to Investigate Alleged Economic Sabotage in the Nigerian Petroleum Industry.”
The upper chamber also resolved “to communicate its decision to the House of Representatives for the purpose of constituting the equal number of an ad-hoc committee that will be working with the senate”.
Bamidele will still chair the National Assembly joint panel, with its members now including Senator Asuquo Ekpenyong, Senator Yahaya Abdullahi, Senator Mohammed Monguno and Senator Solomon Olamilekan.
Other members are Senator Plang Diket, Senator Ipalibo Banigo, Senator Khabeeb Mustapha, Senator Adams Oshiomhole, Senator Williams Eteng Jonah, Senator Adetokunbo Abiru, Senator Osita Izunaso, Senator Sahabi Ya’u, Senator Ahmed Abdul Ningi, and Senator Suleiman A. Kawu.
Meanwhile the two chambers of the National Assembly yesterday adjourned plenary by two weeks.
The short recess was to enable the various standing committees in to embark on oversight.
The holiday will enable the lawmakers physically inspect projects executed by the executive with the funds appropriated to the various ministries, departments and agencies (MDAs) in the 2024 Appropriation Act.
Edun: Govt Gains N700bn from Crude-for-Naira Sale, Subsidy Removal
Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has disclosed that effective from last month, October 2024, the federal government will be making about N700 billion monthly as gains accruing from the sale of crude in Naira and the subsidy removal policies.
Edun made this known while briefing newsmen after the National Economic Council (NEC) meeting chaired by Vice President Kashim Shettima.
The minister stated, “As a result of the latest initiative to have local refineries pay for crude in Naira and thereby sell the PMS in Naira, it has provided a veritable platform for moving to a stage where we have market pricing of petroleum products, market pricing of foreign exchange, and that has led to immediate gains of around N600-N700 billion per month, starting from October, which will feed into the Federation Account.
“No doubt, NNPC will say that there are some charges here and there that they want to remove from that sum, but effectively, the country is better off now by a huge amount, which will continue to increase as long as the major critical reforms of pricing petroleum properly, pricing foreign exchange properly are maintained.”
Edun announced that N3.5 billion had already been disbursed to 11,000 beneficiaries of the government Consumers Credit Scheme, while N90 billion had also been given to 500,000 beneficiaries of the Students Loan Scheme so far.
Edun explained, “The Student Loan Scheme has reached over half a million students, and it has disbursed over N90 billion and that is to the institutions for the students’ fees directly, and then to the students for their upkeep and it’s interest-free loan. Of course, it’s providing access to higher education to so many who otherwise will not afford them.”
Insisting that the government’s social investments programme had commenced with five million poor households benefitting, the minister said 11,000 persons had benefitted from the Consumers Credit Scheme
“The Consumers Credit Scheme to allow workers to be able to pay for things over time; to be able to afford various goods, including CNG kits to convert their car to a cheaper form of fuel, in the last five days, 11,000 beneficiaries have received N3.5 billion. So, that’s an ongoing roll out of consumer credit to help people to make things more affordable to the worker.”
Edun further announced that the federal government had commenced a policy to mop up dollars outside the system by allowing them to be brought into the country’s financial system so long as such funds are not illicit.
H said, “One element of the cost increase is the foreign exchange rate, and that is demand and supply.
“There is going to be a release today, details by the federal government through the Ministry of Finance, in conjunction with the central bank, a programme, starting today, 31st of October, and lasting nine months, that will allow people to bring in cash that is outside the banking system.
“Therefore, it is unsafe, it is unsecure and it is outside of legal limits. They will be allowed forbearance to bring dollars cash. Let me emphasise once again, it is to bring dollars that they are holding outside the system to be able to bring them in and credit it to their bank accounts, as long as it is not proceeds of crime, illicit money. There will be no penalty, there will be no taxes, there will be no questions.”
Minister of Budget and National Planning, Senator Atiku Bagudu, also told newsmen that the council directed greater investments in internally displaced persons (IDPs) and their host communities through a solution programme.
Bagudu said, “The objective of the programme is in recognition of the fact that the internally displaced situation calls for greater investment; long term and rather than emergency solutions.
“The objective of the programme is to improve access to basic service, services and economic opportunities for the internally displaced persons across communities in affected local governments in Nigeria and among clear objectives is investment and resilient infrastructure and services for internally displaced persons and host communities.
“Because it’s not only the internally displaced person that needs support, but host communities need support as well in order to support them, equally, to enhance sustainable livelihoods for the internally displaced persons and the host communities, as well as project management and support to national internally displaced persons policy implementation.
“The expectation is that states will express interest and also to assign a focal person in each of the participating states to facilitate communication.”
Meanwhile, the federal government, in a statement by Director, Information and Public Relations, Federal Ministry of Finance, Mohammed Manga, launched the Foreign Currency Voluntary Disclosure, Depositing, Repatriation, and Investment Scheme, designed to enhance transparency in the financial sector and boost Nigeria’s economic resilience, growth and development.
Known as Disclosure Scheme, in pursuance of Executive Order No. 15 of 2023, titled “Disclosure, Depositing, Repatriation, and Investment of Eligible Foreign Exchange Assets and Related Matters Order, 2023” and the “Foreign Currency Disclosure, Deposit, Repatriation, and Investment Scheme Guidelines, 2024”, it was issued by the Minister of Finance and Coordinating Minister of the Economy on October 25, 2024.
Edun launched the disclosure scheme in his office.
It sought to facilitate the voluntary disclosure, depositing, repatriation, and investment of internationally tradable foreign currency held by Nigerians, both within and outside the country.
Manga said key objectives of the disclosure scheme included to enhance financial transparency: promote transparency in the financial sector by formalising legitimate foreign currency assets held outside the Nigerian banking system by Nigerians within or outside of Nigeria.
It also sought to bolster anti-money laundering and countering the financing of terrorism financing (AML/CFT) capabilities, he said.
Specifically, he sad it targeted weaknesses in the existing framework by promoting cashless and legitimate transactions within the formal financial system.
“This strengthens regulatory enforcement while also encouraging financial practices that reduce the likelihood of illicit cash transactions,” the statement said.
The disclosure scheme was part of measures by the federal government to get the country off the grey list of global anti-money laundering watchdog, Financial Action Task Force (FATF).
Nigeria is currently grey-listed by the FATF for weak anti-money laundering and combating the financing of terrorism (AML/CFT) framework.
Speaking at the launch of the scheme yesterday, Edun stated, “The Disclosure Scheme is a bold initiative aimed at integrating foreign currency outside the formal financial system into the formal economy. It strengthens transparency and economic resilience, setting us on a path to rapid economic growth.
“The scheme offers a secure, confidential channel for people to reintegrate their legitimate foreign currency funds, promoting stability and growth for our nation.
“Guided by President Tinubu’s leadership and supported by the Central Bank of Nigeria (CBN) and Ministry of Justice, we are building a transparent and inclusive economy, aligned with best practice in anti-money laundering and countering the financing of terrorism.”
