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Dangote confirms two new oil blocs, production set for October

The President of Dangote Group, Alhaji Aliko Dangote, has called on the Federal Government to fully eliminate fuel subsidies, stating that doing so would reveal the true level of petrol consumption in Nigeria.

He also confirmed the ownership of two upstream oil blocks, with production expected to commence next month. The business mogul, however, said he will likely not invest heavily in Nigeria’s upstream sector.

“Well, our upstream, you know, is not big. We have two oil blocks which we have and we are starting production this October,” Dangote added.

Dangote, during a 26-minute interview with Bloomberg Television, expressed that fuel production from his $20bn refinery in Lagos, which has the capacity to refine 650,000 barrels of crude oil daily, will help ease pressure on the naira.

The billionaire said, “Subsidy is a very sensitive issue. Once you are subsidising something, people will bloat the price, and the government will end up paying what they are not supposed to be paying. It is the right time to get rid of subsidies.”

He further explained that the refinery would expose Nigeria’s actual fuel consumption, which has been widely debated.

“Some say, it’s less. But right now, if you look at it by us producing, everything can be counted,” he said. “So everything can be accounted for, particularly for most of the trucks or ships that will come to load from us. We are going to put a tracker on them to be sure they are going to take the oil within Nigeria, and that, I think, can help the government save quite a lot of money. I think it is the right time, you know, to remove the subsidy.”

The businessman also noted how ending petrol imports would ease currency pressures, especially as petroleum products account for about 40% of Nigeria’s foreign exchange expenditure. Dangote noted that producing and selling fuel locally could help stabilise the naira, which has lost about 70% of its value against the dollar.

Dangote added, “The removal of subsidies is totally dependent on the government, not on us. We cannot change the price, but I think the government will have to give up something for something. So I think, at the end of the day, this subsidy will have to go.”

President Bola Tinubu initially removed the petrol subsidy in May 2023 but reinstated it after inflation spiked, sparking public protests. In September, the fuel price cap was eased, yet it remains below market levels.

On the refinery’s sales, Dangote revealed that his company started supplying gasoline to the Nigerian National Petroleum Company Limited (NNPCL) for domestic sale on September 15, explaining that NNPCL purchased the fuel at a lower cost than its imported stock.

“There wasn’t really a disagreement, per se,” he said, regarding a pricing dispute with NNPCL. “What they are supposed to do is to sell at a basket price, or if they want to remove the subsidy, they can announce that they will remove it, and everybody will adjust.”

He also added that there is an ongoing discussion with NNPCL regarding crude oil sales starting in October, noting that crude will be priced and sold in naira to help reduce currency pressures.

“We will sell the crude in naira after we have bought in naira. So now we are currently working out with the committee that the exchange rate is going to be priced. It is going to be normal pricing, you know, if crude is at $80, we will pay that price at an agreed exchange rate.

“And then we will also sell in the domestic market. What that will do is that it’s going to remove 40 per cent pressure on the naira. So because see, the petroleum products consume about 40 per cent of foreign exchange, so you know, and then, you know, it’s like you have 40 per cent of demand being taken out so that can actually stabilise the naira and even if they subsidise, they would know what they are paying for.

“The deal is to give the government something that they want. It’s also a win-win situation for all and it would benefit the country.

“Currently, discussions are still ongoing to determine the details of the agreement. They are working out something that I think would be a win-win between us and the NNPCL.

“The agreement is very robust. Well, first of all, we would have energy security where they will give us crude. For example, in October, they’re going to give us 12 million barrels, which is on average, about 390,000 barrels a day, which will sell both gasoline, diesel, and aviation fuel.”

Meanwhile, the Federal Government announced plans to allocate land for building a park for fuel tankers to prevent over 3,000 trucks from damaging newly constructed roads leading to the Dangote refinery. This was disclosed by the Minister of Works, Dave Umahi, after a Federal Executive Council meeting in Abuja.

The council also approved several major road projects, including the rehabilitation of roads in Katsina, Ebonyi, Abia, Imo, and Rivers states.

National

State police risky, expensive—Cattle breeders

The Kulen Allah Cattle Rearers Association of Nigeria ( KACRAN) has described the proposed state police as too expensive and risky to implement.

Alhaji Khalil Bello, KACRAN National President, said this in a statement in Damaturu on Friday.

He said the cost of establishing state police, depending on a state’s population, was between N10 billion to N30 billion, while monthly salaries and operational costs would gulp about N3 billion.

“These expenditures could divert critical resources from essential public services such as education, healthcare, and infrastructure, which are vital for the development and well-being of the region,” he said.

Bello said there were also concerns over abuse of state police by the politicians.

“There is a risk that these forces could be used to serve the interests of local political leaders rather than the broader public, leading to the victimisation of opposition parties and creating an environment of lawlessness and anarchy.

“Such a scenario could undermine the rule of law and erode public trust in law enforcement,” he said.

He recommended redirecting resources toward initiatives that would promote sustainable development and long-term prosperity for the country.

Bello listed the initiatives as including agriculture investment, youth employment, and industrial and infrastructure development.

The president also proposed the establishment of a security foundation fund in which monthly donation would be made to support the police.

“KACRAN calls on the Arewa Consultative Forum, the Northern Consultative Forum, emirs, and all northern leaders to oppose the establishment of state police.

“We believe that focusing on social services and economic development will yield greater benefits for the region than the creation of state police, which may ultimately exacerbate existing challenges.

“ By investing in sustainable initiatives, Northern states can create a more secure, prosperous, and harmonious society for all citizens,” he said.

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Gov Okpebholo Suspends Recruitment Into State Civil Service

Edo State Governor, Senator Monday Okpebholo, has approved the suspension of recruitment into the state’s civil service until further notice.

The Governor has also ordered for a comprehensive review of all recruitment exercises carried out by the Godwin Obaseki-led administration between May-November 2024.

In a communication notice signed by the Secretary to State Government (SSG), Musa Umar Ikhilor on Friday, the Governor accused heads of various Ministries, Departments and Agencies (MDAs) of carrying out clandestine recruitment exercises into the State’s civil service.

The notice read: “The Governor of Edo State, His Excellency, Senator Monday Okpebholo is in receipt of report of the clandestine activities being perpetuated by some Commissions, Boards, Parastatals and Agencies of Government in the State.

“Preliminary investigation reveals that these bodies have continued to issue back dated letters of employment to their cronies without due process.

“For the avoidance of doubt, this Administration believes in the principle of fairness and equity which expects that all employment exercise should be merit based, competitive and accessible to all Edo indigenes.

“In light of the foregoing and in order to arrest this ugly trend, the Governor of Edo State, His Excellency, Senator Monday Okpebholo has directed the immediate suspension of all employment processes as well as the review of all appointments carried out since May, 2024 by Commissions, Boards, Parastatals and Agencies of Government.

“Heads of Ministries, Departments and Agencies are to note and comply with the above directive.”

Signed:
Fred Itua,
Chief Press Secretary to Edo State Governor

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National

We’ll reintroduce rejected bills on 6-year single term—34 Rep. members

The 34 House of Representatives members who sponsored the bill to amend the 1999 Constitution to provide for a six-year single term for the president have resolved to reintroduce the bill.

Rep. Ikenga Ugochinyere (PDP-Imo) said this in a statement in Abuja on Friday, following the rejection of the bill on Nov. 21 during plenary.

The News Agency of Nigeria (NAN) reports that the bill sought the introduction of a six-year single term for the president, governors and local government chairmen.

NAN also reports that the bill sought zonal rotation of presidential and governorship seats, as well as holding all elections in one day.

Ugochinyere, however, said that all hope was not lost on the bill, as more consultations would be done.

The lawmaker, who is the lead sponsor of the bill, said that the decision on the floor of the house would not put an end to agitation and hope, insisting that the objective behind the bill would be realised.

“The struggle to reform our constitutional democracy to be all-inclusive and provide an avenue for justice, equity and fairness has not been lost.

“The decision on the floor of the house yesterday (Thursday) not to allow the bill for six-year single tenure and all elections to hold in one day will not end the agitation,” he said.

Ugochinyere described the rejection of the bill as a temporary setback that would not affect the campaign for an all-inclusive democratic process.

“We are going to review this decision and find possible ways of reintroducing it after, following due legislative procedures.

“All I can tell Nigerians is that we will continue the advocacy and convince our colleagues to see reason with us.

“If elections are held in one day, it will reduce cost and rigging.

“If power rotates, it will help de-escalate political tensions and six-year single term will go a long way in helping elective leaders to focus on delivering their democratic mandate,” he said.

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Delta approves N713m for 2024 students bursary payment — Official

Gov. Sheriff Oborevwori of Delta has approved the sum of N713 million for the 2024  bursary award for 32,028 students in tertiary institutions in the country.

The Executive Secretary of the State Bursary and Scholarship Board, Dr. Godfrey Enita, disclosed this in a statement made available to newsmen on Thursday in Asaba.

According to Enita, the governor’s approval for the year 2024, the bursary award will cover students of state origin in public and private universities.

“It also covers students in polytechnics, mono-technics, colleges of education, schools of nursing science, and other tertiary schools, including military and paramilitary institutions.

He described the governor’s gesture as rare and uncommon and should be applauded.

“The governor demonstrates his magnanimity and goodwill towards the well-being of the Delta students and youths in general.

“It also underscores his commitment towards educational advancement through financial assistance to students in diverse forms and through massive infrastructural development in schools across the state.

“It is hoped, as always, that beneficiaries of the state’s financial assistance schemes will continue to be worthy ambassadors of Delta wherever they find themselves,” he said.

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Survey shows 71% of households affected by food price hike

A new survey report just released by the National Bureau of Statistics (NBS) shows that the most prevalent shock affecting 71 per cent of households in Nigeria is price increases on major food items in the last 12 months.

The survey, 2023/24 General Household Survey-Panel, commonly called (GHS-Panel) Wave-5, is a follow-up to the 2018/2019 GHS Wave-4.

It seeks to enhance the understanding of household living conditions and provide government and other policymakers with reliable information for effective policy decision-making in Nigeria.

It specifically collects information on household income, assets and consumption, income-generating activities, health, education as well as shocks.

The survey conducted in collaboration with the World Bank and released yesterday in Abuja said 48.8 per cent of households surveyed reported that their main mechanism for coping with the increase in the prices of food items was reducing food consumption.

The report further said that 65.8 per cent of the households indicated being unable to eat healthy, nutritious or preferred foods because of lack of money.

The report also shows that 73.0 per cent of survey household members ages 10 to 19 were enrolled in school during 2018/2019 Wave 4 survey. But by 2023/2024 Wave 5 survey, the proportion of the people who were in school had decreased to 44.8 per cent, as 34.8 per cent of those previously enrolled were now out of school.

In the area of energy access, the survey shows that only 40.4 percent of households in rural areas had access to electricity compared to 82.2 per cent of urban households.

It also reports that many households lack toilet facilities and rely on tube wells or boreholes for drinking water. It noted that waste disposal is mostly informal, with 45.6 per cent using bushes or streets.

In his address during the launch of the report, the Statistician General of the Federation (SGF), Prince Adeyemi Adeniran, said the survey is a multi-topic data collection exercise that serves as an essential tool for capturing the dynamics of Nigerian households, providing invaluable insights into their economic activities, well-being, and resilience.

He said it is a longitudinal survey, meaning that it tracks and interviews the same respondents over time. “In the 5th Wave of the survey, approximately the same 5000 households have been followed and interviewed across five waves,” he said.

“This includes Wave One conducted in 2010/11, Wave Two in 2012/13, Wave Three in 2015/16, Wave Four in 2018/19, and now Wave Five conducted in 2023/24.”

He said available records indicate that, over the last five years, the survey findings have been used to design several projects and intervention programmes worth approximately $8.9 billion across many sectors which include Agriculture and Food, Education, Water, Social Protection and Jobs, Governance, and several others.

In his goodwill message, the World Bank’s Country Director for Nigeria, Dr Ndiame Diop, said the survey was important in understanding how Nigerian households responded to policy changes, crises and shocks.

Diop, who was represented by Vinay Vutukuru, Programme Leader, Sustainable Development, Nigeria, however, said the key thing was how the data would be used by ministries and stakeholders for effective policy formulation to achieve economic and sustainable growth.

He pledged the bank’s continuous support in working with the NBS to strengthen Nigeria’s statistical system.

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Reps reject bill seeking six-year single tenure for president, governors

The House of Representatives on Wednesday rejected a bill seeking a six-year single term for Nigeria’s presidency.

The bill, sponsored by Ikenga Ugochinyere (PDP, Imo) and 33 others failed to pass second reading on Thursday during a debate on its general principles.

The bill also canvasses the rotation of the presidency among the six geopolitical zones of the country.

35 legislators had in June under the auspices of Reformed-minded Legislators, said the proposition would lead to a reduction in the cost of governance.

Ugochinyere, added that the move would unite the country and ensure a seamless transition and unprecedented development for the country.

The proposed legislation seeks to alter Sections 76, 116, 132, 136, and some others of the 1999 Constitution (as amended).

According to the general principles of the bill, “these amendments was to ensure inclusive governance and to curb wastages occasioned by four year periodic elections.

“The bill among others seeks amendment of Section 132 of the Principal Act by inserting a new subsection (2), deleting the extant subsection (4) and renumbering the entire section accordingly to provide that an election to the office of President of the Federal Republic of Nigeria shall be rotated between the North and the South regions of the country every six years.

“Other amendments include, Section 76 of the Principal Act is altered by inserting a new subsection (3) as follows; (3) For the Purposes of Section (1) of this section, all elections into the offices of President, Governors, National Assembly and State Houses of Assembly shall hold simultaneously on the same date to be determined by the Independent National Electoral Commission in consultation with the National Assembly and in accordance with the Electoral Act.

“Section 116 of the Principal Act is amended by inserting a new a subsection (3) as follows; For the purposes of subsection (1) of this section, all elections into the offices of President, Governors, National Assembly, State Houses of Assembly and Local Government Councils shall be held simultaneously on the same date to be determined by the Independent National Electoral Commission (INEC) in consultation with the National Assembly and in accordance with the Electoral Act.”

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