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Royalties: Kalabari King Gives Shell Ultimatum

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The chiefs and people of Kalabari kingdom in Rivers State, have vowed to resist plans by oil giant, Shell Petroleum Development Company (SPDC) to reduce royalties accruing to the area due to rising incidents of crude oil theft in the Niger Delta.

The kingdom, which comprises, Asari-Toru, Akuku-Toru and Degema local government areas, said any slash in their royalties  will amount to a breach of the agreement signed with the people.

Managing Director of SPDC, Mr Mutiu Sunmonu, had in a news briefing in Port Harcourt, on March 1, 2013, said the firm may be compelled to shut down its Nembe-Creek Trunkline (NCTL), following the upsurge in crude oil theft and illegal refining activities, particularly in Cawthorne Channel and Kakrama, in Kalabariland and Awoba in Ogba/Egbema/Ndoni Local Government Area.

Sunmonu, disclosed that 60,000 barrels of crude oil were being stolen everyday, out of the company’s 150,000 barrels daily oil supply to the trunk line, while bemoaning the huge loss of revenue to the government and the devastation such illicit activities were causing to the environment.

The company, in keeping to that threat, had five days later shut down the pipeline and declared force majeure on crude supply to Bonny Export Terminal.

SPDC’s spokesman, Mr Precious Okolobo, also said recently that the company may look in the way of slashing the funds to the communities within the NCTL, if nothing was done to stop the ugly trend.

But the Amayanabo of Kalabari kingdom, Professor Theophilus J.T. Princewill, last weekend faulted the move by Shell, reminding the firm of its promise to increase the mandate annually by 10 per cent, saying the planned reduction will be collectively resisted by the people.

The monarch, who was answering questions from newsmen shortly after a special service at the African Church, Buguma City in Asari-Toru Local Government Area of the State, to mark his 11th Anniversary on the throne as Amayanabo of Kalabari Kingdom, noted that the funds were part of extant agreement between Shell and the kingdom to assist the development of the area.

King Princewill explains: “Shell keeps mentioning that they were going to shut down their trunkline. For the last six years or so, they gave us some money which we used in providing projects.

Now that they are coming to the second phase of that agreement, on the Global Memorandum of Understanding (GMoU, instead of increasing the lot (they call it mandate) that is due to us (the Kalabari people), they want to reduce it by more than half, whereas in the last five years, there was a promise to have 10 per cent increase annually.

“Instead of finding it necessary to review it upwards now that they are going to enter into a new agreement, they want to slash it down by more than a half. Of course, the Kalabaris will not agree.

”Although they said because of crude oil theft, their production in the Kalabari area dropped, but we did not believe that, that has happened. But if we go by that, there are other areas where there is no production whatsoever, but they have increased their funds allocation to them.

”So, if they want to insist on reducing what mandate they gave us, we will say no, we will not accept it. You either increase it or you don’t operate in our area,” he posited.

He further said that the Kalabari Council of Chiefs had met severally with Shell where the latter was told that whatever is in the territory belongs to the people and that the firm was only allowed to go and exploit the crude.

”If what they are doing is to make us suffer for it, we ask them (Shell) to pack up their things (facilities) and go, because we will not beg them to come and do it. If they don’t do it, there are other companies that will come in to do it. For many years now in Ogoni area, Shell is not operating, yet Ogonis have not died.

“If we stop Shell from operating in our territory, we will not die and Nigeria will not collapse and that is our position. They say they are going to close down their operation, we say not only closing down, pack your things and go. That is what we have said to them (Shell),” he said.

Prof. Princewill, however, said that if youths in the area were found culpable over allegations of crude theft, the Kalabari Council of Chiefs would intervene, but noted that crude oil and the control of the resource was essentially the business of the government.

”I and the Kalabari chiefs do not have any control over crude oil production or exploitation. The only thing we can do if our children are doing it is to talk to them, but the full control of such issue is in the hands of government,” he added

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FG Targets Production Of Locally Made Vehicles By Dec

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The Minister of Industry, Trade and Investment, Dr Doris Uzoka-Anite, has affirmed that Nigeria now has the capacity and materials to manufacture Made-In-Nigeria cars for local use and export.
With the enabling environment being provided by the government, she said manufacturers should be held responsible if the cars are not rolling out by December 2024.
Currently, Nigeria produces less than 10 per cent of the vehicles used in the country.
Last year, Nigeria’s vehicle assembling industry, estimated to be worth around N302billion, tanked to a new low due to increasing production costs and weakened demand for locally assembled automobiles.
According to the Manufacturers CEOs Confidence Index, activities of motor vehicles and miscellaneous assembly deteriorated further below the benchmark (50 points) from 48.6 to 46.7 points.
But speaking at the Automotive Component Manufacturers meeting in Abuja, she noted that the automobile industry is faced with both challenges and opportunities.
A statement issued last Friday by the Director of Information and Public Relations, Adebayo Thomas, said, “In a significant move aimed at fostering sustainable growth and development in Nigeria’s automobile industry, the Federal Government has issued a clarion call to all stakeholders, including manufacturers, dealers, regulatory bodies, and other players in the automobile ecosystem.
“The call comes as part of a broader strategy to enhance the sector’s contribution to the nation’s economy.”
Encouraging the stakeholders to key into the Nigerian Automotive Development Policy, the Minister said, “As far as we are concerned, the auto industry is now set to go.
“We are counting on all stakeholders to make that happen. If we do not produce made-in-Nigeria cars before the end of this year (December), it will be your fault, because I am sitting down here giving you all the assurances that this administration has created the enabling environment to make sure that the auto policy kicks off.”
Anite emphasised the need for collaboration among manufacturers, dealers, regulatory bodies, and other players in the automobile ecosystem, saying by working together, they can address challenges, streamline processes, and drive innovation.
She also urged stakeholders to maintain high-quality standards across the board, including vehicle manufacturing, safety features, emissions control, and after-sales services.
Stringent adherence to quality, she said, will boost consumer confidence and attract investment.
The minister assured all that the government would continue to encourage increased investment in research and development, adding that, innovations in electric vehicles, fuel efficiency, and alternative energy sources are critical for long-term sustainability.
On local content, she also emphasised the importance of promoting local content by sourcing materials and components locally.
By doing this, she said, the sector can create jobs, reduce import dependency, and contribute to economic diversification
In his introductory comments, the ministry’s Permanent Secretary, Nura Rimi, emphasised the significance of team action and shared vision as outlined in the Nigerian Automotive Development Policy.
He also urged stakeholders that the country “will overcome obstacles and unleash the full potential of Nigeria’s automotive component sector.”
He encouraged NADDC and other stakeholders to use the chance to form alliances, explore new areas of collaboration, and devise ways to catapult the automotive components manufacturing industry to new heights of success.
The statement added, “The government’s charge underscores the pivotal role stakeholders play in shaping its trajectory. Their commitment to sustainable practices will drive Nigeria’s automotive sector towards a brighter and more prosperous future.
“Environmental Responsibility: Stakeholders are reminded of their environmental responsibilities. Sustainable practices, recycling, and eco-friendly manufacturing processes are essential for a greener future.”

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Waive Tax On Electronic Imports, Women Engineers Appeal To Tinubu

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The Association of Professional Women Engineers of Nigeria (APWEN), Lagos Chapter, has called on President Bola Tinubu to exempt the importation of electronic components from taxation for inventive engineers.
Chairman of APWEN, Ms Atinuke Owolabi, said this a in statement yesterday in Lagos, in commenration of the 2024 World Creativity and Innovation Day, with the theme: “Step Out and Innovate”.
The Tide source reports that World Creativity and Innovation Day is a global UN Day, celebrated on April 21, to raise awareness about the importance of creativity and innovation in problem solving.
This is with respect to advancing the United Nations’ sustainable development goals, also known as the global goal.
Owolabi explained that such a measure would significantly enhance technological progress, support local innovators, and elevate Nigeria as a leading hub for innovation globally.
She stated that in a world marked by dynamic challenges and unprecedented opportunities, creativity and innovation stand as the driving forces behind progress and transformation.
According to her, women engineers recognise the critical role that innovation plays in shaping our societies and driving sustainable development.
”On this occasion, we affirm our commitment to fostering a culture of creativity and innovation within our organisation and the broader engineering community.
”Together, let us step out, innovate, and inspire the next generation of women engineers to reach even greater heights of achievement and impact.
”We believe that by stepping out of our comfort zones and embracing new ideas, technologies, and approaches, we can unlock innovative solutions to the complex challenges facing our world today,” she said.
According to her, the theme: ‘step out and innovate’, serves as a call to action for women engineers everywhere to break barriers, challenge conventions.
She noted that it would also pioneer groundbreaking solutions that would propel them toward a brighter and more sustainable future.
Owolabi disclosed that in celebration of the World Creativity Day, APWEN Lagos had inaugurated an artificial intelligence club tailored for female engineering students and young engineers.
She said that the proactive initiative aimed to inspire and equip young engineers with cutting-edge technological insights.
Th chairman said, “Additionally, we already have a 200-capacity hall to set up a resource, technology, and innovation hub to empower women and girls in engineering.
”This endeavour serves as a catalyst for encouraging aspiring female engineers to embrace innovation and stay abreast of emerging trends in the field.
”APWEN Lagos stands united in its dedication to promoting diversity, inclusivity, and excellence in engineering.
“We encourage all female engineers to seize this opportunity to unleash their creativity, explore new frontiers, and make an indelible mark on the world.”

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Pan-Igbo Group Hails Dangote Group For Reducing Diesel Price

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A pan-Igbo group, Ndigbo Unity Forum (NUF), has commended the Chairman of the Dangote Group, Alhaji Aliko Dangote, and his management for reducing the price of diesel from N1,600 to N,1000 per litre.
The Tide’s source reports that diesel is the major fuel used by heavy duty vehicles and generating sets to transport goods as well as run industries across the country.
The President of NUF, Mr Augustine Chukwudum, told The Tide’s source in Enugu, yesterday, that Dangote’s timely response to suffering masses of Nigerians, going through hell to get a meal a day, “is highly commendable”.
According to Chukwudum, Nigerians need to appreciate the patriotism of Dangote since what he has done will go a long way in reducing prices of goods, especially food stuff which has gone out of the reach of the poor.
He called on Nigerians, who wish and pray always for the betterment of the country, to appreciate and thank God for answering their prayer through Dangote’s move.
“It is clear that if Dangote Refinery starts fully and gets all the crude oil needed from Nigeria, the prices of petrol, kerosene and diesel will further reduce.
“We commend President Bola Tinubu for being a listening President and supporting the Dangote Group on our crude oil needs.
“We appeal to Tinubu to encourage Dangote by providing the company with crude oil at a reduced rate as we have been demanding,” he said.
Chukwudum said that this move and subsequent further reduction, would bring industries in comatose back to life, jobs created for unemployed youths and reduction in crime as well.
“We call on governors of oil-producing Anambra, Imo and Abia States to bring investors, who shall build refineries in each of the states to refine thousands of barrels of crude in commercial quantities,” he said.

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