Business

IPMAN Kicks Against Bulk Purchase Pact Renewal

Published

9 years ago

April 3, 2017

Independent Petroleum Marketers Association of Nigeria (IPMAN) has condemned the introduction of bulk purchase agreement renewal as one of the conditions for loading products at the Pipelines Products Marketing Company (PPMC) depots.
The Chairman.
IPMAN Chairman, Western Zone, Alhaji Debo Ahmed made the observation in an interview with newsmen in Lagos last Saturday.
Ahmed said that some PPMC officials had instructed marketers loading products at depots to renew their bulk purchase agreement before loading.
According to him, such directive is adversely affecting marketers loading from the depots.
NNPC has been recording huge financial loss by pumping petroleum products through the System 2B Pipelines Network due to the activities of the vandals.
System 2B pipelines network is the pumping of petroleum products from Atlas Cove in Lagos Island to Ejigbo, through Mosinmi in Ogun to Ibadan to Ore in Ondo State and Ilorin in Kwara.
The corporation had in 2016 stopped pumping of products through the network, thereby making use of the private depots in Apapa to distribute its products.
“We appeal to government to reconsider the bulk purchase agreement renewal on marketers.
“The newly introduced bulk purchase agreement renewal by the government officials is a fraud.
“We are told that all marketers should come and renew its bulk purchase agreement for four years again after we have paid and signed during registration with the depots initially.
“This is against the bulk purchase agreement earlier signed with marketers; this has affected us adversely from the point of loading.
“We want to tell the government that what the officials are doing on the bulk purchase agreement is wrong.
“It’s another form of ripping the marketers. We are not sure the money is going to the Federal Government’s account,” he said.
Ahmed urged PPMC management to commence loading of products at the depots, saying it took over a week for the products to be stored at the depots.
“As we speak, we have about 60 million litres of petrol at Mosinmi Depot, while Ejigbo Satellite Depot has over 35 million litres.
“But other depots like Ore in Ondo, Ibadan, and Ilorin have not received products.
“We have not commenced loading at Mosinmi and Ejigbo satellite depots; we are told that the loading would commence soonest but it has not started.
A marketer said on a condition of anonymity that one of the reasons why loading was delayed at PPMC depots was the connivance between the corporation officials and the private depots.
According to the marketer, such connivance will ensure that the private marketers sell their products on time.
The marketer said that most private depots were selling above the official ex-depot price; adding that such practice would affect their gains when PPMC depots were selling to marketers.
“They want the private depots in Apapa to finish selling their products before the PPMC depots begin, knowing that once they start selling, no marketer will patronise the private depots,” the source said.
A check by our source at the depots indicated that business activities around Mosinmi and Ejigbo depots have started to pick up after 11-months of non-availability of products for loading by marketers.
The immediate past Chairman, IPMAN, Mosinmi Depot, Alhaji Dele Tajudeen, said that the place had been the central point for all marketers in the western zone.
He said that for over 11 months, the marketers could not load products from the depot.
According to him, Mosinmi depot has turned to a graveyard.
“No business activities are going on there; marketers have suffered greatly due to non-availability of products.
“The shutdown of pumping of products to Mosinmi has affected our business including that of the petty traders within the premises.
Tajudeen, however, commended the management of NNPC for finding a lasting solution to the damaged pipeline.
Mrs Alice Bakare, a food seller, Ejigbo depot, commended government for resuming operation at the depot, adding that many petty traders had suffered due to the closure of the facility.
Mr Adamu Idris, a truck driver, expressed optimism of loading at the Mosinmi depot, saying he had been on the queue since Tuesday but loading had yet to begin.
However, an unnamed official of PPMC, Ejigbo, told NAN that they were still expecting a directive from Abuja to start loading.
The official declined comments on the bulk purchase agreement renewal.
“I cannot comment on that now, but that was the instruction,” he said.

Business

Association Seeks Intervention to Save Domestic Airlines

Published

2 days ago

August 10, 2026

The Tide

The Vice Chairman of the Airline Operators of Nigeria (AON) and Chairman of Air Peace, Mr. Allen Onyema, has called on the Federal Government to urgently intervene in the nation’s aviation industry, warning that several domestic airlines may cease operations if the current challenges confronting the sector are not addressed.

Onyema gave the warning at the public presentation of the book, Pathways, Pilgrimage and Destiny: The Biography of Alhaji Muneer Bankole, held in Lagos and was obtained in Port Harcourt, at the weekend.

He described the aviation industry as being highly capital-intensive with relatively low financial returns, stressing that domestic airline operators are grappling with severe economic pressures that threaten their continued existence.

According to him, the industry has reached a critical stage and requires immediate government intervention to avert the collapse of many indigenous carriers.

Onyema warned that unless decisive measures are taken within the next 30 days, several Nigerian airlines could be forced to shut down their operations due to the harsh operating environment.

He also cautioned aviation labour unions against any planned picketing of airlines over the alleged non-remittance of the five per cent Ticket Sales Charge, saying such action could disrupt flight operations across the country.

The Air Peace Chairman maintained that if any airline was singled out for industrial action, other domestic operators would stand in solidarity, arguing that labour unions should not be used as instruments for resolving debt-related disputes between airlines and government agencies.

He lamented that more than 50 Nigerian airlines had folded over the years despite the success of many of their promoters in other sectors of the economy, attributing the trend to the difficult business environment in the aviation industry.

While reaffirming the commitment of airline operators to support government revenue generation, Onyema stressed that policies capable of crippling airline operations should be reviewed in the interest of the sector.

He noted that a thriving aviation industry remains critical to national economic growth, employment generation and improved connectivity across the country.

The AON Vice Chairman urged the Federal Government to engage relevant stakeholders and adopt sustainable measures that would strengthen the operational capacity and financial stability of indigenous airlines.

He expressed optimism that with timely policy support and constructive engagement between government and industry stakeholders, the nation’s aviation sector would overcome its current challenges and continue to contribute meaningfully to Nigeria’s socio-economic development.

King Onunwor

Business

CBN Reforms Impact Consumers As Dollar Card Spending Limits Rise

Published

2 days ago

August 10, 2026

The Tide

The Central Bank of Nigeria’s (CBN) foreign exchange reforms are beginning to deliver tangible benefits to consumers, as banks expand international spending limits on naira cards amid improved liquidity in the foreign exchange market.

The new limit represents a sharp increase from the $6,000 quarterly cap introduced in November 2025 and is 20-times higher than the $1,000 quarterly limit announced in July 2025.

The move comes as analysts point to a more liquid foreign exchange market following reforms introduced by the CBN over the past three years.

“This reflects the improved liquidity in the foreign exchange market. It also shows the focus of banks in maximising income from card payments,” said Ayokunle Olubunmi, head of Financial Institutions Ratings at Agusto & Co.

Muda Yusuf, chief executive officer of the Centre for the Promotion of Private Enterprise (CPPE), said the increase in card spending limits reflects the significant improvement in liquidity and confidence in Nigeria’s foreign exchange market.

“It’s an indication that the liquidity in the foreign exchange market has improved significantly and we can see that from the stability of the exchange rate. We can also see that reflected in our foreign reserves. All of these things reflect the level of confidence,” Yusuf said.

According to him, businesses and individuals are no longer under pressure to obtain foreign exchange for legitimate transactions, unlike in the past when access to dollars was constrained.

“It also means that citizens and those who use foreign exchange are no longer desperate about foreign exchange usage. Whether you want to use it through your card or access it for international trade, there is no anxiety, there is no pressure and there is no desperation.

All of these things have arisen because the level of confidence in the foreign exchange market and the outlook for the market have been very reassuring,” he said.

Yusuf added that the adjustment of international spending limits by banks demonstrates growing confidence in the sustainability of the foreign exchange market reforms.

“That is why we are seeing all these positive developments around the use of the naira card abroad and the limits that are now being adjusted by banks. It is a very good development and I hope we can sustain it. I am confident we will.”

The increase follows a series of policy changes by the apex bank aimed at deepening the foreign exchange market and improving access to foreign currency for legitimate transactions.

Under the CBN’s Foreign Exchange Manual, Fourth Edition, the maximum tuition fee remittance for Nigerian students pursuing undergraduate and postgraduate studies abroad was raised to $25,000 per semester, from the previous $15,000.

“Payment of tuition fees for undergraduate/postgraduate studies shall be subject to a maximum limit of $25,000.00 per semester,” the Manual states.

The expansion of international card limits also reflects growing confidence among lenders that foreign exchange liquidity has improved enough to support retail dollar transactions.

Speaking recently at the BusinessDay 14th Annual CEO Forum in Lagos, CBN Olayemi Cardoso, governor of the CBN said buying and selling activities now increasingly determine outcomes in the foreign exchange market, unlike in the past when market participants relied heavily on routine Central Bank interventions.

According to Cardoso, Nigeria’s net foreign exchange reserves have risen from just over $3 billion at the start of the reform programme to more than $40 billion, while gross reserves have climbed to about $52 billion, providing stronger confidence for investors and enabling the Central Bank to reserve interventions for periods of market stress rather than day-to-day liquidity management.

The restoration and expansion of international naira card spending limits are increasingly being seen as one of the clearest signs that the benefits of the CBN’s foreign exchange reforms are beginning to reach households, students and businesses making legitimate cross-border payments.

Business

WEC: FG Inaugurates Governing Board … As Nigeria Rejoins Council

Published

2 days ago

August 10, 2026

The Tide

Nigeria has rejoined the World Energy Council (WEC) with the inauguration of a National Member Committee and Governing Board to strengthen the country’s participation in global energy policy and investment discussions.

The Secretary-General and Chief Executive Officer, WEC, Dr Angela Wilkinson, disclosed this in a statement, last Thursday.

The Governing Board is chaired by the Chairman of Waltersmith Petroman Oil Ltd., Abdulrazaq Isa, while a former Chief Upstream Investment Officer of NNPC Ltd., Bala Wunti, will serve as the inaugural Chief Executive Officer.

Other members of the board are Prof. Wumi Iledare, Dr Mustapha Abdullahi, Mrs Aisha Farida Katagum, Dr Ainojie Irune, Dr Emmanuel Okon, Dr Victor Ekpenyong and Dr Imamuddeen Talba.

The Secretary-General and Chief Executive Officer, WEC, Dr Angela Wilkinson, who disclosed this in a statement, last Thursday, said the board comprises of experts in energy policy, regulation, investment, operations, research, technology and enterprise development.

Welcoming Nigeria into the council, Wilkinson said the country’s membership would strengthen its contribution to global energy discourse.

Wilkinson noted that “Nigeria has a significant leadership role to play within the global energy community.

“Nigeria has a significant leadership role, and the Member Committee will help bring that expertise and voice onto the world stage at the Riyadh World Energy Congress in April 2027 and beyond.

“Nigeria’s participation comes at a pivotal time as the country seeks to expand energy access, strengthen energy security, accelerate gas development and mobilise the capital required for industrialisation and sustainable economic growth.

“WEC Nigeria will convene leaders from across the energy ecosystem, apply the WEC’s globally recognised Energy Trilemma framework to Nigeria’s unique context, and promote evidence-based dialogue, practical collaboration and informed policymaking.

“It will also ensure that Nigerian and broader African perspectives contribute meaningfully to global energy conversations,” she said.

Wilkinson expressed confidence that Nigeria would play a significant leadership role at the World Energy Congress scheduled for Riyadh in April 2027 and beyond.

The statement also quoted the Chairman of WEC Nigeria, Isa, as describing the country’s participation as an opportunity to deepen national and African leadership within the global energy community through practical solutions tailored to regional development priorities.

He said the platform would promote collaboration across sectors and attract sustainable investments into Nigeria’s energy sector.

The Chief Executive Officer of WEC Nigeria, Wunti, was quoted in the statement as saying that the council would connect leadership, evidence and investment to build a secure, affordable and sustainable energy system.

“This system will be capable of driving economic growth and shared prosperity.”

According to him, the platform will also connect Nigerian institutions and businesses with international knowledge, technology, partnerships and investment opportunities through the World Energy Council’s global network.

Recall that WEC, founded in 1923, is the world’s oldest independent and impartial community of energy leaders and practitioners, advancing informed, collaborative and practical action across the global energy system.

Nigeria has been a member of the council with the Nigerian National Committee originally approved and established on April 6, 1960 before its re-establishment and expansion this year.

The renewed membership would provide an independent, technology-neutral platform bringing together government, industry, academia, finance and civil society to address Nigeria’s energy security, energy equity and environmental sustainability.