Business
Why We Shut Down PHRC, PPMC
Operations of the Petroleum Downstream Sector in Rivers State got ruffled last week, following a face-off between the Independent Petroleum Marketers Association (IPMAN), the management of the Port Harcourt Refining Company (PHRC) and the Petroleum Products Marketing Company (PPMC).
Problem started when the leadership of IPMAN mobilised its members last Wednesday to stage a peaceful protest at the premises of the PHRC and PPMC in Port Harcourt to register their discontent over perceived institutional breaches and inefficiencies on the part of the companies to discharge their statutory functions.
The protest which commenced in the early hours of Wednesday, last week, shut down the operations of the two federal agencies, as the aggrieved IPMAN members barricaded the entrances to the two companies with placards of varying inscriptions to press home their demands. Some of the placards read thus: “Diversion of our products is a crime,” “Private depots owners steal “PPMC products with the backing of NNPC staff,” “We want products not excuses, “ PHRC, PPMC encouraging illegal bunkering.”
Since then Motorists and other users of petroleum products have been thrown into a state of apprehension and panic over a looming fuel scarcity following the shutdown and the threat of IPMAN and other related organisations to down tool if the PHRC and PPMC failed to heed their demands.
But IPMAN has insisted that its actions as a body was justifiable as it was billed to expose the sharp practices in the sector which have undermined their business concerns and service delivery to the public.
The major bone of contention, according to the IPMAN leadership, is that for over two years now, the PHRC and PPMC have failed to produce AGO(diesel)or DPR(kerosine) thereby making the independent marketers to depend on adulterated diesel (kpoofire) to fuel their haulage trucks before they could load the “imported PMS((Petrol) made available at the deport.”
This tendency, according to the IPMAN leadership, was an indication that PHRC and PPMC were encouraging illegal bunkering.
Rivers State Chairman of lPMAN, Comrade Emmanuel Inimgba, who spoke with The Tide in an exclusive interview prior to the protest, disclosed that the dependence of the independent marketers on adulterated diesel to fuel their trucks in the loading of products was destructive on the engines and also exposed them to health dangers and other associated hazards.
The Rivers IPMAN said petroleum products sent from Lagos and Warri to Port Harcourt were diverted to private depots in Port Harcourt which are mostly owned by PPMC and NNPC management, and thus deny the independent marketers acces to the products at PPMC depot in Port Harcourt.
He said; “For more than two years now we haven’t been loading any products apart from imported PMS, we don’t have access to diesel and kerosene and we are constraint to depend on illegally refined products to power our loading trucks. This has resulted in very high cost of operation on our part and affected the delivery of our services to the public, we are not going to load from those private depots where our products are diverted to until the products are supplied to the right depot.”
Comrade lnimgba who described the operations and services of IPMAN as capital intensive, said most of the independent marketers obtained loan facilities from banks to run their businesses and as such were under tight obligation to pay back the funds.
He regretted the perceived “indifference” of the regulatory agency in the Petroleum industry, i.e the Department of Petroleum Resources (DPR) which according to him seem to gloss over the anomalies in the activities of the downstream sector in Rivers State despite several overtures made by IPMAN and other affected stakeholders to address the rising challenges.
He pointed out that the protest was to expose the; “shoddy deals going on in the down stream sector and to bring to the fore the sad experiences of the independent marketers.”
He called on the DPR to live up to its statutory responsibilities by creating the enabling environment and ensuring transparency in the process, especially in products availability, arbitrary increase in prices of products and renewal operational licenses.
Comrade lnimgba also raised concern over the growing spate of insecurity against the investment of the independent marketers, noting that filling stations have become targets of incessant robbery, especially in the night.
While applauding the Rivers State Governor for his efforts in promoting the security of lives and properties in the state, he appealed to the government to create a special police division to protect the investments of the independent marketers to enable them render services to the public with relative ease.
“ Filling station owners have become endangered species, we can’t sell at night without threats of robbery attack.
The use of POS has helped to an extent but we want the government to come to our aid by creating a special police division to protect our operations. This will go a long way to address the challenges of insecurity we are experiencing,” he stated.
The IPMAN chairman also commented on the state of refineries in the country, particularly the Port Harcourt Refinery which he said was completely dysfunctional. He called on the Federal Government to fix the ailing refineries and make them effective in product delivery.
Apart from revamping the existing refineries, he said the Federal Government should also make real its promise of building modular refineries in the Niger Delta Region so as to give the people of the oil rich region a sense of active participation in the oil and gas industry as well as enhance massive economic growth and expansion in the industry.
He contended that the building of modular refineries in the Niger Delta would address the issues of unemployment and other social vices among the youth.
He said; “when modular refineries are created in the Niger Delta, most youths who engage in illegal bunkering will channel their talents and energies in a more positive way as their technological capacities will be fully developed.”
Comrade Inimgba said that existing policies in the Nigeria oil and gas sector were tailored to the disadvantage of the Niger Delta people. He regretted that despite the enormous contributions of the region to the development of national economy the region still suffered huge development neglects.
He, therefore, called for a review of Nigerias’ petroleum laws to reflect the imperatives of justice by giving the people of the Niger Delta assess to their natural resources for the development of the region.
“I want to correct the erroneous impression that the people of the Niger Delta are not fit to play roles in the oil and gas industry, we have qualified technologists and technocrats in the Niger Delta. We want the Federal Government to allocate oil blocks to indigenes of the Niger Delta, this will give the people a sense of belonging, create direct development impact in the region and correct the imbalances in the oil and gas sector. “
The lPMAN chairman was also irked over the issue of pipeline vandalisation and explosions which had become a recurrent event in the Niger Delta region, resulting in wastages of lives and revenue.
He said IPMAN as a body was totally against pipeline vandalisation which is considered as sabotage, adding that the association has contributed its quota towards addressing the menace, such as constitution of special anti-pipeline vandalisation committee with the mandate to work with relevant stakeholders to address the endemic vice.
He pointed out that the issue of pipeline vandalisation can not be tackled on a shallow bases except the root cause is addressed.
“IPMAN as a body condemns pipeline vandalisation in its entirety, it’s a menace that have brought incalculable losses as people are killed in the process while revenue is lost.These pipelines pass through communities, the government should liase with communities on the surveillance and security of the pipelines. Also, obsolete oil pipelines in the Niger Delta should be replaced to avoid leakages and possible explosion,” he said.
Speaking on the activities of multinationals corporations and International Oil and Gas Companies (IOCS) in the Niger Delta, the oil and gas expert described the modus operandi of most of the companies as “defective and bereft of international best Practices.”
He expressed disappointment over the fact that “ most of the companies operating in the Niger Delta deny the people employment quotas or simply engage them without stipulated employment policies or condition of service and subject them to slave labour and caualisation.”
He also kicked against the relocation of the corporate headquarters of the multinationals from the Niger Delta to Lagos on the excuse of insecurity, saying that such excuses were calculated ploys to slight the region economically.
Taneh Beemene
Business
Wigwe’s Luxury Yacht Goes For N8.74 Billion After Legal Proceedings
The daughter of late Nigerian banking executive, Herbert Wigwe has sold her father’s luxury yacht for $6.5 million which is the equivalent of N8.74 Billion following legal proceedings involving her, Otutochi Wigwe, and the company holding the vessel, Grosvenor Marine Ventures Limited.
This was contained in an online report obtained by The Tide Source in Port Harcourt recently.
The Source further clarified that $6. 5 Million dollars or N8.74 Billion was the asking price as at March this year but was unable to prove, if the said amount was exactly what the vessel went for.
The yacht, known as Chitochi, is a 2016 Custom Line 108 superyacht measuring approximately 33 metres (108 feet) in length. The transaction was handled by international yacht brokerage firm IYC, with its sales and charter consultant, Mark Elliott, overseeing the sale.
The disposal of the high-value vessel followed legal steps taken to address the corporate status of Grosvenor Marine Ventures Ltd., the company through which the yacht was held.
Otutochi Wigwe reportedly approached a court in the British Virgin Islands (BVI) to secure the restoration of the company to the corporate register, a move that enabled the necessary legal steps towards the sale of the vessel.
The proceedings were central to resolving the corporate issues affecting the company and facilitating the transaction, underscoring the legal complexities that may arise when valuable assets are held through corporate entities in foreign jurisdictions.
The sale is also significant in the context of estate administration, as luxury yachts require substantial financial commitments to maintain, even when they are no longer actively used by their owners or beneficiaries.
Such vessels typically attract considerable expenses, including crew salaries, insurance premiums, berthing charges, routine servicing and other maintenance costs, making their continued ownership a major financial responsibility.
Beyond the recurring expenses, luxury yachts are depreciating assets that may lose value over time. Their disposal can therefore form part of a strategy to preserve estate value, reduce liabilities and convert an expensive asset into liquid funds.
Wigwe, who was the former Group Chief Executive Officer of Access Holdings, died on February 9, 2024, in a helicopter crash in California, United States, alongside his wife, Chizoba; their son, Chizi; and former Nigerian Exchange Group chairman, Abimbola Ogunbanjo.
His death was widely mourned across Nigeria’s banking and business communities, where he was recognised for his contributions to the financial services industry, entrepreneurship and philanthropy.
Wigwe’s passing left behind an estate whose administration involves the management of assets and other financial interests, a process that can require legal and financial decisions to protect the interests of the estate and its beneficiaries.
The sale of Chitochi highlights the challenges associated with managing high-value assets held through corporate structures, particularly where the relevant companies and legal proceedings fall under different jurisdictions.
The $6.5 million transaction brings the yacht’s ownership chapter to a close while illustrating how legal procedures, financial considerations and estate management can intersect in the administration of the assets of a prominent business figure.
‘’We determined to get all our equipments and machinery functioning as we progress. For now we’ve about 105 workers, comprising daily paid harvesters and regular staffs. But aside these 105 staffs we also employ daily slashers who for now are about 100.
“During peak periods, hopefully on or before January 2026 we hope to increase our work force for maximum production”, the firm’s management Stated.
King Onunwor
Business
Firm Mulls Crash Down On Vegetable Oil Price …Targets Revenue Boost, Job Creation
Ariwera Ibibo-Howells, Yenagoa
Business
Traders Decry Continuous Increase In Prices Of Foodstuffs
Some traders at the Rumuwoji Market popularly known as Mile 1 Market have decried the continuous increase in the prices of food stuffs and other items in the ember season.
This was made known by the traders when The Tide visited the market recently.
The traders revealed varying changes in the prices of foodstuffs, with some commodities recording higher increase than others .
A trader Mrs Charity Obinna, at the market, said the price of yam remained the same last week and this week compared to the prices from last month to this month, adding that only a difference of about N100 to N200 was seen.
Another trader, Chukwuebuka Livinus who deals on garri, reported that the prices of some food commodities had been changing frequently.
According to him, the price of a bag of garri increased from N45,000 last week to N58,000 this week, representing an increase of N13,000.
Livinus described the increase as scary and called on the government to do something about it, especially as we get closer to the festive period.
A trader that deals on vegetables, Mrs Joy reported that a significant increase in the prices of pepper rose from N20,000 last week to N40,000 this week.
Similarly, the price of a bag of melon (egusi) increased from N420,000 toN490,000 this week.
In a separate report, Mrs Charity Obinna said that foodstuffs were generally cheaper last month than this month, with price differences ranging from N150 to N200 for some items.
Meanwhile, Giff Okoro reported a decrease in the price of tomatoes. According to her, a quantity of tomatoes that cost N45,000 last month now sells for N25,000, indicating a reduction of N20,000.
Another trader, Usman Ibrahim said the cost of transporting goods from the communities to urban areas where they are sold is one of the major reasons for high cost of goods.
He said transport cost has doubled due to the cost of petroleum products in Nigeria, adding the whole cost is part of the goods because “entrepreneurs must cover their cost and make their gains .
Ibrahim called on the government to help farmers and traders even with little capitals to expand and sustain their business.
Another trader, Mrs Choice Promise a fish retailer said a cartoon which sold at #35,000 last week now sells at #50,000 .
Promise complained that there is no gain or profit because the price has drastically increase and most people cannot afford to buy fish again.
“Mr. President’s Renewed Hope Agenda recognizes that economic ambition requires dependable infrastructure,” Tegbe said.
He added that investments in electricity infrastructure would strengthen the foundations for business expansion, employment and economic growth.
The Kankia substations comprise two 60 MVA, 132/33 kilovolt (kV) facilities designed to strengthen the transmission network serving Katsina State and neighbouring areas.
Tegbe said the infrastructure would improve the network’s ability to distribute available electricity, supporting commercial activities and household welfare.
He also urged residents to protect the facilities against vandalism and other activities that could disrupt electricity infrastructure, asking them to report suspicious activities to TCN or security agencies.
Katsina State Governor, Dikko Umaru Radda, described the project as a significant investment in the state’s electricity infrastructure.
Radda stated that improved electricity supply could support industrial development, economic growth and public service delivery.
He further commended the President, the Federal Ministry of Power and TCN for completing the project.
It would be noted that the latest projects come amid a broader government’s drive to address bottlenecks in Nigeria’s electricity transmission network, which has constrained the amount of electricity that can be delivered to distribution companies and end users.
Wali Chioma, Obasi Chidinma & Amarachi Uche
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