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‘Inflation Rate Higher In Oct Than Sept’

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13 years ago

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Figures released on Monday in Abuja by the National Bureau of Statistics (NBS) show
that Nigeria’s inflation rate rose to 11.7 per cent in October, as against 11.3
per cent recorded in September, the month of October increased by 0.4 per cent.

The Statistician-General of the
Federation, Dr Yemi Kale,said in a statement that the monthly change in the composite
Consumer Price Index (CPI) was due to the rising cost of food items during the
period.

“The rise in the food Index was mainly
due to higher food prices in various classes lead by meat, fish, potatoes, yams
and other tubers, fruits, bread and cereals as well as other foods.

“While the impact of security concerns
on agricultural production has eased significantly, the higher food prices
continue to reflect the impact of recent floods on farm produce.

“This is resulting to difficulty of
moving food products to markets across the country, coupled with higher demand
for food items due to the just-concluded Muslim festival,’’ the statement said.

He said the relative moderation in the
headline index in September was offset by the rising cost of food items during
the period.

“While the “Core’’ index continues its
declining trend over the last few months, rising to 12.4 per cent in October
from 13.1 percent in September, the food index increased to 11.1 per cent from
10.2 per cent over the same period.

“Since its year-on-year peak of 15.2
per cent in June, 2012, the Core Index continued to exhibit a declining trend
partially as a result of uncompromising monetary policy on the part of the
Central Bank of Nigeria.

“It should be noted that the Headline
Index is made up of the Core Index and Farm Produce items.

“ As processed foods are included in
both the Core and Food sub-indices, this implies that these sub-indices are not
mutually-exclusive,’’ the statement said.

It said the average annual rate of
rise of the index for the twelve-month period ending in October 2012 was 11.2
per cent when compared to 10.5 per cent in 2011.

The statement said the urban inflation
rate was recorded at 15.3 per cent in October, compared to 14.22 per cent in
September.

It explained that the rural index
recorded a 9.1 per cent year-on-year increase, relatively unchanged from
September.

It stated that both the “Urban and
Rural All Items’’ index increased by approximately 0.9 per cent month-on month
each, when compared with the previous month.

“The percentage change in the average
composite CPI for the 12-month period ending in October 2012 over the average
of the CPI for the previous 12-month period remained unchanged at 11.9 per
cent.

“The corresponding 12-month
year-on-year average percentage change for Urban and Rural indices was 13.5 per
cent and 10.8 per cent respectively.

“In October, the composite Food Index
increased year-on-year to 11.1 per cent, 0.9 percentage points higher than 10.2
per cent recorded in September,’’ it said.

The statement stated that on a
month-on-month basis, the Food index increased by 1.0 per cent in September.

“In October, the “All items less Farm
Produce” index which excludes the points lower than the 13.1 per cent was
recorded in September.

“The relative moderation in the core
index (on a year-on-year basis) continues a trend exhibited for four
consecutive quarters,’’ it stated.

The statement said increases in the
Core index were as a result of increases in the educational expenses due to the
resumption of the academic year, higher transportation costs due to the recent
concluded Muslim festival, and health expenditures.

“On month-on-month basis, the core
index increased by 0.4 per cent in October, down marginally from 0.5 per cent
in September.

“The average 12-month annual rate of
rise of the index remained at 13.5 per cent (year-on-year) for the 12-month
period ending October 2012,’’ it said.

According to the bureau, pricing and
weighting are the two basic parameters used to arrive at the CPI.

It added that 10,534 officers were
deployed to collate the data for the CPI monthly, while 740 product
specifications were priced across the rural and urban areas of the 36 states of
the federation and the FCT.

The statement added that the average
price of each item was computed for each sector for each state and the FCT and
used for index computation..

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Two Federal Agencies Enter Pack On Expansion, Sustainable Electricity In Niger Delta

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6 days ago

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February 16, 2026

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The Niger Delta Development Commission (NDDC) has signed a Memorandum of Understanding (MoU) with the Rural Electrification Agency (REA) to expand access to reliable and sustainable electricity across the Niger Delta region.
The agreement, signed at the headquarters of the REA in Abuja, was targeted at strengthening institutional collaboration and accelerating development in underserved communities in the region.
A statement by the Director, Corporate Affairs of the NDDC, Seledi Thompson-Wakama, said the pact underscores renewed efforts by the two federal interventionist agencies to deepen cooperation and fast-track infrastructure delivery.
Speaking at the signing ceremony, the Managing Director of the NDDC, Dr Samuel Ogbuku, described the MoU as a strategic step towards realising the Commission’s vision to “light up the Niger Delta” in line with national priorities on distributed energy expansion.
Ogbuku said the agreement represents a shared institutional responsibility to deliver reliable energy solutions that will enhance livelihoods, stimulate local economies and create broader opportunities across the nine Niger Delta states.
According to him, electricity remains a critical enabler of national development, supporting job creation, healthcare delivery, education and inclusive economic growth.
He noted that the collaboration would help unlock the economic potential of rural communities while advancing broader national development objectives.
The NDDC boss added that the Commission has consistently adopted partnership-driven approaches in executing projects in the region and is prepared to support the implementation of the MoU by leveraging its community presence and infrastructure development capacity.
He reaffirmed the Commission’s commitment to working closely with the REA to ensure the timely and effective execution of the agreement.
The NDDC delegation at the event included the Executive Director, Projects, Dr Victor Antai; Executive Director, Corporate Services, Otunba Ifedayo Abegunde; Director, Legal Services, Mr Victor Arenyeka; Director, Finance and Supply, Mrs Kunemofa Asu; and Director, Liaison Office, Abuja, Mrs Mary Nwaeke.
In his remarks, the Managing Director of the REA, Dr Abba Abubakar Aliyu, described the MoU as a natural collaboration between two agencies with complementary mandates, reflecting a shared commitment to expanding access to sustainable electricity in rural communities.
Aliyu said the Niger Delta remains central to Nigeria’s economic fortunes and must be supported by infrastructure capable of driving productivity, enterprise and improved living standards, adding that the partnership signals readiness to deliver stable power to communities that have long awaited reliable electricity supply.
By: King Onunwor
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Why The AI Boom May Extend The Reign Of Natural Gas 

Published

6 days ago

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February 16, 2026

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Artificial intelligence is often viewed as a catalyst for electrification and subsequently decarbonization. Yet one of its most immediate effects may be the opposite of what many assume. The rapid buildout of AI infrastructure is increasing demand for reliable power, and that reality could strengthen the role of natural gas and other dispatchable energy sources for many years.
Investors focused on semiconductors and software valuations may be overlooking a key constraint. AI runs on electricity, and those electricity systems operate within physical and economic limits.
The energy sector has spent much of the past decade grappling with slow load growth. That is now changing, in a way that is reminiscent of the sharp rise in oil demand—and subsequently price—in the early 2000s.
Training large language models and operating advanced AI systems requires enormous computing resources. Hyperscale data centers are expanding rapidly, with developers requesting gigawatt-scale interconnections from utilities. In several regions, electricity demand forecasts have been revised upward after years of flat expectations.
This shift is significant because AI workloads create continuous, high-density demand rather than intermittent usage. Data centers cannot simply power down when the electricity supply becomes constrained. Reliability becomes paramount.
Wind and solar capacity continues to expand, but intermittent generation alone cannot meet the firm capacity needs of AI infrastructure without significant storage or backup generation.
Battery storage is improving, yet long-duration storage remains costly at scale. Nuclear projects face long development timelines and complex permitting hurdles. Transmission expansion also lags demand growth in many regions.
These constraints make dispatchable power sources critical. Natural gas plants can ramp quickly, operate continuously, and be deployed faster than many alternatives. As a result, gas-fired generation is increasingly viewed as a practical solution for supporting AI-driven load growth.
This does not undermine the role of renewables. In many markets, new renewable capacity is paired with gas generation to maintain grid stability. The key point is that AI-driven electrification is likely to increase fossil fuel usage in the near term.
Construction timelines favor gas-fired generation when demand rises quickly. Existing pipeline infrastructure reduces barriers to expansion. And for operators of data centers, reliability often outweighs ideological preferences. Downtime is simply too expensive.
Utilities are also revisiting resource plans as load forecasts rise. That shift may drive increased investment in transmission, grid modernization, and flexible generation assets.
The Decarbonization Story Is Complex
A common narrative holds that AI accelerates the transition away from fossil fuels because it increases electrification. The reality is more nuanced.
If electricity demand outpaces the buildout of low-carbon capacity, fossil generation may still increase in absolute terms even as renewables gain market share. Total emissions could rise, but the carbon intensity of the energy system may trend lower as cleaner sources make up a larger share of supply.
Ultimately, energy systems evolve based on engineering and economics, not just policy goals or market narratives.
Rising power demand could benefit utilities investing in transmission and generation capacity. Natural gas producers and midstream companies may see structural demand support from increased power-sector consumption. Equipment suppliers tied to grid reliability and gas turbines could also gain from the shift.
Longer term, advances in nuclear, storage, or efficiency may change the trajectory. For now, the immediate response to surging electricity demand is likely to rely on technologies that can be deployed quickly and reliably.
Artificial intelligence may reshape the economy in profound ways. One of the least appreciated consequences is that it may extend the relevance of natural gas as the world builds the energy backbone required to power the next generation of computing.
By: Robert Rapier
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Ogun To Join Oil-Producing States  ……..As NNPCL Kicks Off Commercial Oil Production At Eba

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6 days ago

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February 16, 2026

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Ogun State is set to join the comity of oil producing states in the country following the discovery and subsequent approval of commercial oil exploration activities in the Eba oil well, in Ogun Waterside Local Government Area of the state.
A technical team from the Nigerian National Petroleum Company Limited (NNPCL) has visited the area as preparations are in advanced stage for commencement of commercial drilling operations in the state.
The inspection followed President Bola Ahmed Tinubu’s approval for commercial exploration, forming part of the federal government’s efforts to deploy the required technical capacity and infrastructure for production.
Officials of NNPCL carried out the exercise alongside representatives of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) and national security agencies to evaluate the site and confirm its readiness for drilling activities.
The delegation was led by Project Coordinator for Enserv, Hussein Aliyu, who headed the NNPCL Enserv technical team.
Other members included Wasiu Adeniyi, Onwugba Kelechi, Engr. Rabiu M. Audu, Ojonoka Braimah, Ahmad Usman, Akinbosola Oluwaseyi, Salisu Nuhu, James Amezhinim, Yusuf Abdul-Azeez, Amararu Isukul and Livinus J. Kigbu.
Speaking, Governor Dapo Abiodun, described the development as a landmark achievement for Ogun State, saying “the commencement of drilling at Eba would stimulate economic growth, create employment opportunities and attract increased federal presence to the state’s coastal communities.
Abiodun also expressed appreciation to President Tinubu for his support toward the development of frontier oil basins and the equitable spread of the nation’s energy resources.
Recall that geological reports had earlier confirmed the presence of hydrocarbons within the Ogun Waterside axis, leading to preliminary surveys and technical engagements by NNPCL.
The Ogun State Government also carried out an independent verification of the oil well’s coordinates, affirming the discovery is located within the state’s boundaries.
To secure the project, naval security personnel have been deployed to the site for over 18 months, with the support of the Ogun State Government, to protect the facility and its environs.
The Eba oil well is regarded as part of Nigeria’s strategic move to expand oil production beyond the Niger Delta region.
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