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Anti-Corruption: ‘NAPIMS Saves FG $5bn’

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The Group General Manager of National Petroleum Investment Management Services (NAPIMS), Mr Dafe Sejebor, has said that his organisation had saved the country beween  $3 billion and $5 billion.
Sejebor said this at a news briefing immediately after inaugurating a seven-member anti-corruption committee at the NAPIMS headquarters in Lagos, Wednesday.
He said that NAPIMS had recorded a number of achievements since he assumed duty in the organisation two years ago.
“Our achievements are simple. It’s a huge estimate. We were able to bring down the cost of production from $78 per barrel to $23 per barrel and we are charged to further drop it to 17 dollars per barrel for 2018.
“We’ve to been able save about $3billion to $5 billion U.S. dollars since we came in,” he said.
Sejebor said another achievement was that international partners, who were reluctant to invest in the upstream oil and gas, had agreed to a payoff deal that would not tamper with the nation’s income.
“The implication of them not investing is that production continues to drop and facilities decay. That was scary because if you allow that to continue, operations could die in five years.
“We sat down with them and they said we owed in cash call arrears and then we negotiated a way to pay back without tampering with the cash flow coming into the federation account to forestall drop in revenue.
“Also, we turned around our contracting circle from between two and three years to six months,’’ the Group General Manager said.
Commenting on how he had curtailed corruption, Sejebor said the Nigeria National Petroleum Corporation (NNPC) had policy guidelines, procedures and processes on how to discipline erring staff.
“Such erring staff will be referred to a disciplinary committee. If found wanting, we have our various penalties.
“If it is a financial crime it goes to EFCC, but if it’s a corruption against NNPC itself, it goes to ICPC.”
He said that as at 2015, there were five years accounts that were not prepared and normal governance meetings did not hold.
“But we have been able to clear the backlog. 2016 accounts would be ready by December.
“NAPIMS was able to achieve all these in a short period because all we did was to change our attitude towards work and in the way we carry out operations.
“We worked tirelessly round the clock to clear all backlog of legacy contracts in order to close our books and balance our accounts to show that NNPC has nothing to hide”.
Sejebor urged the media to always double-check negative reports before going to press.
“While trying to drive this change and run an upright establishment, we are bound to make mistakes, please cross-check with us before publishing.
“When a change is being made, you will meet with resistance who will fight you every step of the way.
“When you are dealing with contractors that are not used to losing they will go all out to smear your name, please when the media encounters this please cross-check with us.”
He urged media practitioners to educate themselves on the petroleum policy, which he said, was “straight forward, written in simple, easy to understand language,” to deter unwarranted allegations.
Earlier, while inaugurating the anti-corruption committee, Sejebor said: “it’s a milestone to bring corruption to zero level in NAPIMS because we have a zero-tolerance for corruption.
“We came in August 2015 at a time when oil prices crashed and investments came to zero, but today we’ve been able to sit down with our partners, operators to arrest the situation, re-negotiate interest, exit cash-call and the strategy worked.
“Production also dropped to less than a million barrels a day as at that time due to militancy and other issues but as we speak today we’ve been able to resolve issues and as we speak now production is at 2.3 million barrels a day.
“Accountability, transparency should be our watchword. We don’t want to end up like the old NEPA or the old Nitel, we must fight corruption so we don’t eat away our future.
“No matter how many years you have left, one day we will all exit NNPC so my appeal is that we emulate the GMD and support his drive by having zero-tolerance for corruption
“Let us all therefore work together to creatively drive positive initiatives that would help in improving our efficiency as we grapple with turning around our industry while also ensuring that our business remains profitable.”
The Group Managing Director of the NNPC, Dr Maikanti Baru, had directed all NNPC affiliates and strategic business units to inaugurate anti corruption committees.
NAPIMS is the investment management arm of the NNPC that manages upstream operations and is charged with operations of International and indigenous companies among various other responsibilities.
The committee members are the Chairman, Baffaji Tahir, who is also NAPIMS Manager Tax Administration Finance and Accounts.
Other members of the committee, who are also management staff of NAPIMS are, Mrs Evelyn Agwuncha, Mrs Oyebanji Olaniyan, Yusuf Mamman, Mrs Ayodele-Oni Ronke, Aghelegin Joseph, and Udoh Effiong.
In his response, the committee chairman, Baffaji, said the “success of the committee is basically observing laid-down rules and regulations of the Agency.
“A lot is given to NAPIMS and a lot is expected from NAPIMS. NAPIMS management has done tremendously well too, but with the cooperation of staff and management, the work can be done.
“We are ready to liaise with NAPIMS corporate management and other staff”.

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NSIB, AAAU Sign MoU On Air Safety Training

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As part of efforts to curb mishaps in the aviation industry, the Nigerian Safety Investigation Bureau (NSIB) has signed a Memorandum of Understanding (MoU) with the African Aviation and Aerospace University (AAAU) to deepen training on preventing and reducing accidents in Nigeria’s air transport.
Director, Public Affairs and Consumer Protection of NBIS, Mrs Bimbo Olawumi Oladeji, in a statement, said NSIB granted AAAU access to its facilities to facilitate an efficient exchange of resources and expertise.
According to the statement, the Director-General/Chief Executive Officer of NSIB, Captain Alex Badeh, who spoke at the ceremony held at the NSIB Training School, noted that the MoU sets the stage for facility sharing, capacity building, and collaboration between the Bureau and AAAU.
“I am confident that this MoU will enhance the effectiveness of our collaboration and commitment to promoting safer skies and operational excellence in the aviation industry in Nigeria and beyond”, Badeh said.
Registrar of AAAU, represented by the Director of Physical Planning and Works, Engineer Masud Aliyu Yerima, was also quoted in the statement, saying, “The journey of AAAU’s establishment and progress would have faced considerable challenges without NSIB’s generous support”.
He commended Badeh for his exemplary leadership and steadfast dedication in propelling NSIB to greater heights, and affirmed AAAU’s readiness to engage in mutually beneficial endeavours with NSIB.
“This partnership marks a significant milestone in fostering a culture of safety and excellence within Nigeria’s aviation sector, and both NSIB and AAAU are poised to leverage this synergy for the benefit of the industry and the nation at large.
“The African Aviation and Aerospace University, AAAU, is the first Pan-African university dedicated to aviation, aerospace, and environmental science.
“Addressing two critical needs within the continent’s industry, AAAU tackles the research and development gap in Africa’s aviation and aerospace sector while simultaneously cultivating a skilled workforce to propel it forward”, the statement added.

By: Corlins Walter

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Naira Rebound, Air Peace’s Expansion Deepens International Route Competition 

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he commencement of flights operations on the London route by an indegenous Carrier, Air Peace Airline, and the recovery of the local currency have sparked fresh competition on international routes.
Air Peace, Nigeria’s outstanding indigenous airline, may face a prolonged market battle with many foreign airlines with decades of experience in the industry following its entrance on the Nigeria-London route.
Some of the industry’s experts say the airline required support from the government and a strategic approach to stay competitive.
Analysts have also stated that the strategic move has garnered high praise from stakeholders in the aviation sector, considering that Nigerians were paying exorbitant prices to travel from Nigeria to London, but that sustaining this momentum will require more than just offering low prices.
On March 31, 2024, the 11-year-old airline made a bold statement with its inaugural flight, using a Boeing 777 aircraft, offering a capacity of 274 seats and carrying 260 passengers from Lagos to London.
It sold its tickets for N1.2m, a price way lower than the rates offered by most foreign airline operators plying the same route.
Just two weeks after entering the market, Air Peace’s Chief Executive Officer, Allen Onyema, complained on Arise TV that foreign airlines were undercutting prices in an attempt to push Air Peace out of the market.
Onyema said, “We are aware that there are devilish conspiracies. All of a sudden, airlines are pricing below the cost. One airline is advertising $100  and the other $350. If you peel up your entire aircraft and carry people on the wings, it is not even enough to buy fuel.
“Why are they doing that? Their government is supporting them because Nigeria has been a cash cow for everybody. The idea is to take Air Peace out, and the moment they succeed in taking Air Peace out, Nigerians will pay 20 times over. It would happen, God forbid, if they were able to take Air Peace out”.
It was gathered that an economy ticket for a flight scheduled for April 29, 2024, from Lagos to London costs about N679,375 on Ethiopian Airlines, an operator with 75 years of experience.
Air Peace priced the same ticket at N1,090,750. The difference is that on Air Peace, it will be a 6-hour non-stop flight, while on Ethiopian Airlines, it will take 16 hours with one stopover.
Last Friday, Ethiopian Airlines reduced the price of its London ticket by 0.77 per cent to N1,628,660 from  N1,641,249 two weeks ago.
In the same period, Air France’s price dropped to N1,687,824, nearly halving from last month’s N2,482,138.
On March 4, 2024, Lufthansa offered the Lagos-London route for N1,966,165. Qatar Airways provided the same ticket for N2,016,824, and KLM priced it at N2,448,740.
This continuous decline in air ticket prices was also driven by the strengthening of the naira against the US dollar and the payments of airlines’ trapped funds by the Central Bank of Nigeria.
Minister of Aviation and Aerospace Development, Festus Keyamo, had confirmed that the Federal Government, through the CBN, had cleared all the trapped funds (foreign exchange backlogs) to the tune of about $160m.
Beyond the ongoing price war, the Air Peace Chairman had also lamented the challenges with ground handling and space allocation at the London Gatwick Airport, adding that no airline has faced such obstacles before.
He noted, “On the inaugural flight out of London, 24 hours before departure, the management of Gatwick Airport moved us to another checking area instead of the designated one.
“The area they provided had a malfunctioning carousel, forcing us to manually transport luggage 50 meters away, causing delays”.

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PH Airport Users Lament Down Turn In Flight Operations 

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Users and business operators at the Port Harcourt International Airport, Omagwa, have decried the downward trend in flight operations at the airport.
Some of the users and operators told The Tide that flight operations at the airport, rather than go upward, have steadily been irregular, and diminishing steadily.
A regular air passenger of the airport, Simeon Echeonwu, in a chat with The Tide, said many airlines, both domestic and international operators, that usually operate at the Port Harcourt airport, have stopped operations, whereas others that are still operating are no longer very stable as before.
Echeonwu noted that airlines such as Aero Contractors, United Nigeria, and Green Africa airlines, now operate about one flight, twice a week, unlike before that they flew every day on Lagos and Abuja to Port Harcourt.
Also speaking, former Chairman of the FAAN Accredited Car Hires Association, Clifford Wahunoro, lamented that the down turn in Operations has affected the business of car hires.
“If you have noticed, I have not been regular at the airport for some time now, because business is no longer flowing at the airport as before. I will not fold my hands and be sitting down doing nothing, so I have to look for other things, so I come when I think there will be something.
“You can see that between 12noon and 1pm, after that segment of flights, when you have few flights arrival, many people will close for the day, and when you wait till evening, flight like Dana may come very late at night, and sometimes, it will not arrive, and by that time, many people will not like to book for commercial vehicle”, he said.
Meanwhile, a travel agent, who wished to be anoyimous, decried the rate at which the airport is going down in terms of flights operations, noting that Port Harcourt airport ought to be competing with the other major airports like Lagos and Abuja.
He queried if such was a calculated attempt to bring the airport to its kneel in terms of flight operations, while other major airports have steady flow of flight operations both for domestic and international.
TheTide observed a continuous distortions in flight movement at the airport. Some of the airlines, like Max air, which many passengers patronize, have completely stopped operations, and no new airline has been added.
Apart from the Air Peace Airline that has maintained some level of stability in operations, other few operators have been involved in either steady rescheduling of flights, cancellation and regular delay, resulting in poor and unpredictable flight movement, which affects or determine other businesses in the airport.

By: Corlins Walter

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