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Any Option For Power Privatisation?

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There are several indices currently calling on the Federal Government to quickly revoke the said Privatization Policy of the Power Sector.
First, is the persistent power outage. The steady increase in demand for electric power without its equivalent supply has resulted in a consistent power failure. Currently, more  communities and cities are lamenting such persistent power outage
With a population approximated at 180 million people, according to the National Bureau of Statistics, obsolete KVA lines traversing several kilometers, as well as old and ill-maintained equipment are still used. It is, therefore, not out of place that the constant breakdown of such overused equipment; poor maintenance culture and a huge managerial inefficiency are already waging war against some top beneficiaries of the said privatization policy.
While they remained adamant at depriving the public of electric power and losing investors on a daily basis, couple with their failure to offer adequate electricity supply for both local businesses as well as domestic consumption, the cry  of most small and medium-scale business owners could play out in the current debate against the so-called privatization agreement.
Secondly, investors who have benefitted from the said privatization policy appeared to have failed woefully in keeping to the agreement that gave rise to their services. Since the formation of the Nigerian Electricity Regulatory Commission (NERC), the independent regulatory agency,  as provided in the Electric Power Sector Reform Act (2005) were assigned with the task of  issuing licences to individuals who were ready to operate within clearly stipulated terms, as well as operating guidelines.
Owners of the distribution companies who keyed into the  terms and conditions that gave rise to such  public services were to be guided by their integrity, honesty and responsibility. Not only were they expected to meet the growing demand of Nigerians in the area of power distributions, but also to ensure that all conditions necessary for a smooth flow of their relationship with the public were satisfied.
But today, the reverse appears to be the case. One would wonder if the shortcomings in their service should be attributed to  the Federal Government failing to keep its own side of the agreement or, if the blame should now be shared between them and the public.
But sad enough, the key private players in the power sector appear not to be responsive to the outcry of the public; but  seem to have  remained  rather incurably addicted to persistent power outage; constant disagreement between their workers and the end consumers while they continue to offer dissatisfied services to individuals, corporate organizations and public ventures.
Again, several years have witnessed their inability to address, not only the high monthly electricity bills, but also the decree of fluctuations involved in the bills. Industrial and domestic consumers have continued to lament the persistent hike witnessed in their monthly electricity bills.
In this regard, their actions appear to have eaten up the primary aim of privatization, and the aim of providing for more efficiency and alleviate the electricity burden on the poor consumers appears to have been woefully defeated. Even in some quarters where individuals from  some electricity distribution offices would still present some monthly electric bills to innocent consumers who have witnessed total blackout all through the said month, the agony and plight of such end-consumers appear to have received less publicity in the media.
Another area of concern is the high cost of meters as well as the process and several barriers one must suffer in order to get a meter. The chances of procuring a meter and having them installed should be re-examined since the electricity meters are responsible for reading and establishing the billing circle and it’s used to quantify the precise amount of energy consumed within a specific period of time.
Yet, key players in the sectors appear inactive in their responsibility of allocating and installing these meters on request. Since 2013 when the private sector took over part of the task of supplying meters to the final consumers, the huge metering gap seems not to have been narrowed.
This has resulted in the inability of the sector to regulate between the consumption rate and the exact amount the suppliers of electricity would need in order to remain in business.
Persistent public views have proved that the so-called giants of power distribution have remained reluctant in measuring the actual electricity consumption per kilowatt hour. Consequently, in some quarters, individuals have continued to witness huge electricity bills on monthly basis.
Despite several legislation aimed at averting this hurtful trends, end-users have continued to suffer wrongly since they have not truly been liberated from this huge plight.
Today, it appears that the problems facing the power sector has worsen than it was before the privatization policy was initiated, and individuals who have been so quiet and patient are now calling for a total overhauling of the said privatization policy.
Now that their failure is greater than what they themselves could imagine, and the innocent eyes of meaningful individuals, organizations, corporate bodies and public functions can now  see through, one would want to ask whether the present administration should be more proactive and forceful at reviewing and revoking the Privatization Agreement on Power Distribution, or remain indifferent?
James wrote from Port Harcourt.

 

John James

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Opinion

Truce With Terrorists, Toast To Atrocities

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The attrocities of criminal bandits across northern Nigeria have lasted for too long to be pampered any longer”.
Some northern elders have cautioned the federal government against moves that suggest that President Ahmed Tinubu is considering reconciliation with notorious bandits, especially, Bello Turji and his gangs, who are reportedly alleged to have inflicted so much atrocities on many communities in the North-West and North-Central regions of Nigeria. Earlier, a video of the notorious bandit kingpin, Bello Turji, had appeared on social media, calling for reconcilliation, when the previous day, same Turji was seen accusing some communities of killing particular tribe and their livestocks, and threatening retaliations for the killings, and that this season, “You will not harvest your farms. If you dare to, you will die. No farming this time around.”
Speaking in a statement under the aegis of the Arewa Elders Progressive Group, the North-west chairman of the group, Alhaji Mustafa Dutsinma, warned that falling for the antics of those who pretend to be ready for reconciliation when it suits them to do so, would “undermine government’s efforts at combating banditry.” Such moves only end up in boosting the morale of lawless elements who see themselves as parallel authorities. The Zamfara State Government in 2019, under the leadership of former Governor Bello Matawalle, the current Minister of State for Defence, negotiated and signed a peace agreement with bandits, but the pact failed as bandits reverted to their games. Similar attempts have also failed in other regions.
The instability in the north has metamorphosed into organised, heinous criminality, from years of tribal conflicts over land resources between pastoral Fulanis on one hand, and several other tribes across the vast swathes of the North-West, North-East and North-Central, and have trailed the paths of herders as they led their merchandise of herds further south of Nigeria. The complexity and terror in the conflicts intensify and change almost continuously, in campaigns that have drawn-in cross-border militia, and masked the boundries between religious ideologies, politics of domination and sheer tribalism, with recriminations from both sides leading to arms running, banditry, livestock rustling, arsons, abductions, kidnappings and ransome racketeering, and the near collapse of Nigeria’s agricultural sector.
While tackling these conflicts has become intractable and a huge burden on the federal, state and local governments, one of the currently most notorious and dreaded figures behind the mayhems in the North-West and North-Central terrains, is Bello Turji reportedly known to have deftly engaged communities and the military in shrewd gamesmanship. In a span of one year alone in Zamfara, the epicenter of recent onslaughts in the north, between July, 2023 and June, 2024, about 1,639 victims have been abducted in 132 cases. Many traditional heads across the North have also fallen victims of terror, alongside so many unaccountable others. To count just a few, this year in March, Garba Badamosi, the village head of Rirvwai in Lame district of Toro LGA in Bauchi was killed.
In June, the chief of Gidan Usman village, Auwal Wali, was also killed at his residence in Karim Lamido LGA of Taraba, while in July, the traditional ruler of Chanchanji in Takum LGA of Taraba State, KumbiyaTanimu, and his son were killed while returning from a funeral. The most heart-breaking of all yet, was that of the Emir of Gobir in Gawata town of Sokoto State, Isah Bawa, who was tied-up and paraded in a viral video in August while pleading with government to pay the ransom for his release, but was later killed after three weeks in captivity, without releasing his corpse for burial. It was on this backdrop of heavy heart that soldiers from the Nigerian Army 1 Brigade in Gusau, stationed at Zurmi LGA of Zamfara State, acting on intelligence that a large number and different camps of bandits, comprising those of Bello Turji, Sani Black, Na Dutsen Kura, Dan Dogo, Nasanda, and Dankarami, were attending a meeting in a forest in the Kwashabawa area of the LGA, decided to lunch an offensive on Thursday, August 29, 2024.
Unfortunately, either by bad weather due heavy rains, a compromise, poor inter-military agencies co-ordination, or sheer bad fortune, the operation failed, with the army being forced to abandon two pricely Mines Resistant Armoured Personnel (MRAP) vehicles, stuck in a water-logged terrain. Those MRAPs, worth between $0.5m and $1.0m each, were the equipment captured, celebrated and burnt on Saturday August 31, 2024, by Bello Turji and his comrades in arms. That same day, bandits rounded-up travellers in mass abductions in the state. An eye witness posted on social media that, “A few hours ago, bandits blocked the Damri to Bakura road in Zamfara State, abducting all passengers from two fully loaded vehicles. It’s alarming that terrorists can put a blockade on a road in broad daylight without any fear.
The northwest region of Nigeria has become a web of terror,” all which may have prompted the Presidency, penultimate Sunday, being September 1, 2024, to issue matching orders to Nigeria’s Minister of State for Defence, Bello Matawalle, to immediately relocate to Sokoto State with the military chiefs, to flush out rampaging bandits ravaging the country’s North. With the renewed military momentum now against bandits across the north, the suden reconciliatory tone of the likes of Turji is provocative and should not be entertained. The attrocities of criminal bandits across northern Nigeria have lasted for too long to be pampered any longer, with so many sheded innocent blood crying out for justice, mineral resources plundered and communities enslaved or displaced, while our national agriculture is laid desolate, to wit hunger and desperation have become the other of the day.
It therefore serves Nigeria’s national interests better that criminals are taken head-on, subdued, rounded-up and brought to justice, to restore confidence in our nationhood. Besides, the capture and burning of prime military equipment for whatever excuse, is a national humiliation of which the military needs to assuage.The failure of inter-military agency co-ordination that led to the military humiliation at Zurmi LGA, rather than a successful offensive that would have reduced insecurity on the Zamfara axis, should be investigated with a view at achieving better synergy between the Army and the Air Force especially, coupled with other agencies.The federal government may also consider applying the wisdom of ancient cities in the cordoning-off of cities with walls against foreign intrusions. Gaint walls along Nigeria’s borders, with eyelets of tightly controlled passages, would help ward-off cross-border militias who are alleged to invade Nigerian communities in fraternal responses to tribal conflicts.
In the mean time, the matching orders of Mr President to the military establishments to the effect that criminal elements operating across the north, and in deed everywhere else in the country, be wiped out, should be sacrosact and conclusively a done deal, without any rooms for negotiations. Any slack in the fight against criminality would only grant dangerous time to the bandits to recuperate, reorganise and reinvent their evil antics.

Joseph Nwankwor

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Opinion

Respecting Traditional Institution

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The traditional institution is as old as human society. It predates the advent of modern and organized society. Before the emergence of political system of administration, the traditional institution has existed long ago. In fact, it was so revered and regarded as sacred because of the mythological conviction that it was the “stool of the ancestors”. In most African societies before invasion of the Christian Faith, and consequent christening of the traditional stools in many communities in recent time, ascent to the traditional institution was a function of a traditional method of selection. It was believed that the gods make the selection. To this end, whoever emerges from the divination processes eventually is crowned as the king of the people after performing the associated rituals.Whoever lacked the legitimacy to sit on the throne but wanted to take it forcefully, traditionalists believed died mysteriously or untimely.
Traditional rulers wielded much influence and power because of the authority inherent in the stool, the age of the person sitting on the stool notwithstanding. The word of the king was a law, embodied power. Kings so selected were forthright, accountable, transparent, men of integrity, who did not speak from both sides of the mouth, and could not be induced with pecuniary benefits to pervert justice, they feared the god of their ancestors and were consecrated holistically for the purpose dictated by the pre and post coronation rituals. Some of those crowned kings were very young in those days, but they ruled the people well with the fear of the gods. There was no contention over who was qualified to sit or who was not qualified, it was outrightly the prerogative of the gods. It so believed and upheld with sacroscance. Kings were natural rulers, so they remained untouchable and could not be removed by political governments.
If a king committed an offense he was arrested and prosecuted according to the provision of the law. But they have immunity from sack or being dethroned because they are not political appointees. However, the people on whose behest he became king reserved the power to remove him if found guilty of violating oath of stool.The traditional institution is actually the system of governance nearest to the people and kings were the chief security officers of their communities. So indispensable are the roles of kings and traditional rulers to the peaceful co-existence of their people, ensuring that government policies and programmes were seamlessly spread to the people that many people are clamouring for the inclusion of definitive roles in the constitution for the traditional institution.Traditional rulers are fathers to every member of their domain.
So they are not expected to discriminate, show favouritism. By their fatherly position, traditional rulers though can’t be apolitical, are also expected to be immune from partisan politics. This is because as one who presides over a great house where people of different political divide or interest belong, an open interest for a political party means ostracisation of other members of the family which could lead to disrespect, conflict of interest, wrangling and anarchy. Traditional rulers are supposed to be selfless, preferring the interest of their people above their personal interests following the consciousness that they are stewards whose emergence remains the prerogative of the people. The position is essentially for service and not for personal aggrandizement and ego massaging. So they should hold the resources of the people in trust.
However, in recent past the traditional institution has suffered denigration because of unnecessary emotional attachment to political parties and political leaders. Some traditional rulers and kings have shown complete disregard to the principle of neutrality because of filthy lucre and pecuniary gains, at the expense of the stool and people they lead. Sadly some traditional rulers have been influenced to pervert justice: giving justice to the offender who is rich against the poor. Traditional leaders should be reminded that the “throne is preserved by righteousness”, not by political chauvinism, favouritism, or materialism. Traditional rulers should earn their deserved respect from political leaders by refusing the pressure to be subservient, beggarly, sycophantic and docile.
They should be partners with every administration in power and should not be tied to the apron string of past leaders whose activities are aversive to the incumbent administration and thereby constituting a clog in the development of the State and the community they are to woo infrastructure development to. It is unpardonable error for a traditional ruler to have his conscience mortgaged for benefits he gets inordinately from any government.It is necessary to encourage kings and traditional rulers to not play the roles of stooges and clowns for the privileged few, political leaders. Political leaders are products of the people, even as every government derives its legitimacy from the people. Today, Sir Siminalayi Fubara is in the saddle of the administration in Rivers State. Kings, traditional rulers, chiefs and entire people of Rivers State should give unalloyed and unflinching support and loyalty to the Executive Governor.
The resources with which successive administrations served belong to the people so no past leader should be deified. It is unacceptable to attempt to make a god out of anyone. Leadership is transient so is life.

Igbiki Benibo

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Opinion

Subsidy Is Dead, Long Live Subsidy

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Before the 2023 presidential elections, acres of print space and hours of airtime were expended by armies of well-paid publicists and media influencers to sell home the fact that candidate Bola Ahmed Tinubu was the real deal among the three presidential candidates running in the election. The narrative ran that Tinubu had in his ken, the ability to turn Nigeria’s flagging economy and transform it like he did as Governor of Lagos State when he oversaw an unprecedented level of development at the centre of excellence.
Last week, a major dent to that well packaged façade of President Tinubu was inadvertently revealed when it emerged that the cardinal economic measure of the administration, removal of subsidies on petroleum products, have all along been an elaborate deception. Before nervous and embarrassed Tinubu administration officials disclaimed it, the story that subsidy payments totalling N5trillion had been making the rounds.
To the utter consternation of Nigerians, the question was howbeit that a government that said it had ended subsidy payments is now having to pay more than two times the Buhari government which was paying over N2trillion on subsidies?
The case of petroleum subsidy payments has been mired in a crisis of clarity and truth. When some petroleum economists questioned the claim that subsidy had been removed with empirical facts, mum was the word from the President who announced the measure in the first place and who doubles as substantive Petroleum Minister. The minister of State in the same Ministry, Heineken Lokpobiri without providing contravening facts pointedly denied that subsidy was being paid. The Group Managing Director of the Nigeria National Petroleum Company Limited (NNPCL) Mele Kyari also said what amounted to the same thing as the minister of state. His explanation was that in the past subsidies arose out of the necessity to license contractors to import and distribute petroleum products in the country as a result of non-functioning of the refineries. In the current dispensation however as the NNNCL had been given the sole responsibility of that task, there was no need for subsidies as he said ‘’NNPCL (through its ways, I presume) had the mechanism to cover the costs’’ of the task of importing and distributing the commodity without subsidy.
But the International Monetary Fund (IMF) and World Bank were not convinced. Let us not forget that the twin institutions are the authors and supervisors of the Tinubu administration’s economic policies. And what they say in their assessment of the economic policies of the administration cannot be far from the truth. Whereas the GMD’s explanation was more on the side of contrived sophistry intended to deflect embarrassing enquiry, the statements from the IMF and World Bank on subsidies were decidedly factual. The World Bank’s Country Director in Nigeria connected the variables of the oil importation and distribution monopoly of the NNPCL to arrive at the conclusion that subsidy was indeed being paid. These include; the rate at which the NNPCL procures the dollar for the transaction; the cost of the commodity at point of procurement; cost of freight and insurance; landing and distribution costs in Nigeria. Where there is a difference in the actual cost of one or all of the variables, this then establishes the fact of subsidy. The World Bank knew that NNPCL was getting foreign exchange preferentially at the official rate which is below the market rate. And from that stage right up to the landing stage and distribution in Nigeria, the subsidy graduates at every point leading inevitably and factually to the conclusion that subsidy was being paid.
The IMF on its part pointedly said that taking all the points together, the fact that the pump price of the petroleum products all things being equal should be somewhere between 700 and 800 naira per litre and not the 680 naira per litre that it is being sold presently. The fact that it is not being sold at those rates is the clearest indicator that the difference in pricing is the subsidy. Kyari’s explanation that the NNPCL is covering the cost is a vague indication that the conglomerate is paying the cost differentials to the local oil marketers to distribute the cost locally after it had imported the commodity to the country.
Let us not pussy foot about it; subsidy is indeed being paid by the Tinubu administration. The only difference here is that unlike in the past where the subsidy payment was a bazaar for all comers, in this particular dispensation, it is the NNPCL that exclusively warehouses the subsidy. And it is by connecting and calculating all the dots on the entire chain of NNPCL’s oil importation monopoly that the World Bank concluded that there was indeed subsidy in the process. So in reality, Mele Kyari’s explanation that NNPCL had the means to cover the cost of oil importation task was merely half the story and it does not convincingly disprove that oil subsidy was not being paid.
If walks and quacks like a duck, it is a duck. Much as it strenuously tries to deny that there is no subsidy, discerning Nigerians know for a fact that subsidy is indeed being paid by the administration. The truth however is that because the payment goes to a single source, the NNPCL which buries the payments in its labyrinthine maze of creative accounting it is not readily discernible as it was in the past subsidy dispensation.
That perhaps explains why from the President who is the substantive Minister of Petroleum to Lokpobiri the State Minister and the GMD of NNPCL, they all can put up a face and say that there are no subsidies. They are able to say so because they are secure in the knowledge that the NNPCL which is at the nexus and custody of the entire process of oil importation into the country can obfuscate the truth about it all with a wink and a nod as it is now doing.
Gadu, is a prolific writer and online communicator.

By: Iliyasu Gadu

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