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‘Nigeria May Face $20bn Loss In Export Revenue’

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Nigeria and four other oil producers on the African continent could each be facing $20billion or more in lost export revenue this year as global oil demand is estimated never to exceed 2019 levels, with energy markets having reached a tipping point, a new report showed, last Thursday.
The PricewaterhouseCo-opers’ (PwC) Africa Oil & Gas Review 2020, estimated a 19 per cent fall in oil production for the top five African producers including Nigeria, Algeria, Angola, Libya and Egypt.
The report underscored the reversal of the continent’s gains this year compared with last year when mega exploration and development projects were announced.
“With the oil price at approximately $40 per barrel, oil-exporting countries will experience long-term decline in their export revenues as a result of the renewed weakness in global oil prices, coupled with the accelerated transition to renewables in key importing countries,” the report said.
The report, entit-led: Energising a New Tomorrow, focused on 20 African countries with links to the oil and gas industry and found significant investment and project delays across the continent, including Mozambique.
Oil majors including BP, Shell, Total, Eni and ExxonMobil have said the start-up dates of their major projects were expected now to be delayed by up to three years, and smaller projects may be cancelled.
“Covid-19 has not only caused the biggest global oil demand slump in history, at nearly 40 times worse than the global financial crisis of 2007, but has, in fact, accelerated the global energy transition by as much as five years, as the developed world uses the renewable energy transition to anchor economic stimulus packages and new economic diversification,” the report said.
It said African oil producers had been hit hard by a major drop in export revenues, dampened economic activity as a result of lockdown measures, severely impacted fiscal reserves and overall lower growth prospects, thus setting some of the largest economies on the continent back by up to five years just to recover to pre-Covid-19 levels of gross domestic product.
The report noted: “It is clear that, from a long-term energy markets perspective, African economies need to reconsider their reliance on fossil fuel exports and will have to develop their renewable energy and green economy strategies.”
The COVID-19 pandemic wreaked havoc for the oil market when oil markets dropped to $37 a barrel for the first time in history, which meant sellers had to pay their buyers as a result of shortfalls in global storage and the ability to accept contract delivery.
In terms of gas, the report said that despite the estimated six  per cent decline in gas exports in 2020 across the top five African gas-exporting countries, demand was expected to recover quickly from 2021 in mature markets and show steady growth in emerging markets.
“Much of Africa’s supply growth will come from Nigeria, but Tanzania, Mauritania and Senegal are also aiming to contribute to rising supply,” the report said.
The report also said that despite years of policy indecision and a stalled renewable generation plan, South Africa had made strong progress in confirming its commitment to a dynamic energy policy environment and greening initiatives.

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MWUN Threatens To Down Tools Over Failed Quay Aprons 

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The Maritime Workers Union of Nigeria (MWUN) on Friday threatened to shutdown port operations over the dilapidated quay aprons at some of the nation’s seaports.
Speaking in Lagos during a joint press conference put together by the union and Nigeria Association of Road Transport Owners (NARTO), President General, MWUN,  Comrade Adewale Adeyanju, reiterated that the lives of labour workers at the affected terminals was at risk, saying that “injury to one is tantamount to injury to all.”
Adeyanju lamented that the union cannot allow the situation consume some dockworkers before protesting against the trend, noting that as a responsible and proactive group, there was the need to down tools for government to do the needful.
Our correspondent gathered that two port terminal, at Tin Can Island Port Complex, Lagos, and another  at Port Harcourt, Rivers Port  Quay wells have been in  dilapidated condition for over five years without any sign of repair works from the Federal Government of Nigeria.
Recall that Minister of Transportation, Mu’Azu Sambo, who also inspected the dilapidated portion of the Tin Can Island Port quay apron recently, asked Mohammed Bello-Koko, Managing Director of Nigerian Ports Authority (NPA) and the engineers to forward the ‘as-built’ plan of the jetty, alongside other documents to his office for immediate action.
While reacting to questions from the journalists, Adeyanju said the union will also engage management of the NPA in furtherance to address the menacing failed infrastructure of the terminals.
On the recently inked Memorandum of Understanding (MOU) with the NARTO, the President General noted that the collaboration has been in existence for a long while with the aims to cater for drivers’ welfare and support projects of the NPA in port terminals operations.
He also warned members of the dockworkers branch to cooperate and embrace the agreement with the trucking association, noting that any attempt by the dockers to flout the MoU reached so far would result to sanctions from the national executive of MWUN.
He assured the leadership of NARTO, led by its National President, Alhaji Yusuf Othman, of the Union’s commitment towards ensuring that progress and success is achieved  in the agreement.
According to him, the MoU is binding for members of the dockworkers branch, stressing that the Lagos ports was a test run with plans ahead to extend the agreement to other seaports, including, Warri, Calabar and Port Harcourt ports.
Earlier, President of NARTO, Alhaji Othman, lauded the MoU reached with MWUN, adding that success will be achieved in the merger. Othman said in line with port operations, the merger will bring about free flow of vehicular movement in and out of the ports calling on the parties involved to embrace sincerity and transparency for the benefit of the industry and Nigeria.
He said, “We wish to draw the attention of the general public to the decision for MWUN and NARTO to synergise and collaborate on a basis of common desire to ensure seamless environment to do business in the maritime sub sector of the nation’s economy”.

By: Nkpemenyie Mcdominic, Lagos

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PenCom Approves Use Of Pensions For Mortgage

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National Pension Commission (PenCom), has commenced approval for workers to use 25 per cent of their Retirement Savings Accounts for mortgage.
PenCom in a press statement released on Friday, titled ‘PenCom approves guidelines on accessing Retirement Savings Account balance for payment of equity contribution for residential mortgage by RSA holders’, noted that the approval was in line with the Pension Reform Act of 2014.
It stated in part, “PenCom is pleased to inform all stakeholders and the general public, particularly RSA holders, that the commission has approved the issuance and immediate implementation of the guidelines on accessing RSA balance towards payment of equity contribution for residential mortgage by RSA holders.
“The approval is in line with Section 89 (2) of the Pension Reform Act 2014, which allows RSA holders to use a portion of their RSA balance towards payment of equity for residential mortgage”.
According to the PenCom, the guidelines cover pension contributors in active employment, either as a salaried employee or as a self-employed person.
It added that the maximum amount to be withdrawn is 25 per cent of the total mandatory RSA balance as of the date of application, irrespective of the value of equity contribution required by the mortgage lender.
It further stated that where 25 per cent of a contributor’s RSA balance is not sufficient for payment as equity contribution, that RSA holders may utilize the contingency portion of their voluntary contributions (if any).
To qualify as a mortgage lender for the purpose, it stated, the company must be licensed by the Central Bank of Nigeria, comply with the Contributory Pension Scheme and have valid Pension Clearance Certificate.
“The RSA of the applicant shall have both employer and employee’s mandatory contributions for a cumulative minimum period of 60 months (five years).
“A contributor under the Micro Pension Plan is also eligible, provided he/she has made contributions for at least 60 months (five years) prior to the date of his/her application, and the RSA Holders that have less than three years to retirement are not eligible.
“Married couples, who are RSA holders, are eligible to make a joint application, subject to individually satisfying the eligibility requirements.
“RSA holders, if registered before 1 July 2019, must have their records updated through the RSA data recapture exercise.
“Application for equity contribution for residential mortgage shall be in person and not by proxy.” it stated.

By: Corlins Walter

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Car Hires Operators, Bolt Driver Flex Muscles In PH Airport

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There was pandemonium at the Port Harcourt International Airport Omagwa, Friday, as the Accredited Car Hires operators clashed with a Bolt taxi operator over passengers.
The scenario that played out got to the extent that everyone scampered for safety, as the Bolt driver went wild with his vehicle, and defied everything put in place to stop him, determined to crush anything, including humans, that stool on his way.
Problem started when the suspected Bolt driver was stopped by the Car Hires.  After a heated argument, characterized by abuses, the bolt driver decided to enter his vehicle in anger, after he sensed that his car was in danger of being confiscated.
In the commotion that ensued, the car hires, as usual, used their iron piercing instruments to block the tyres of the vehicle to keep it within their custody, and the uproar attracted  the attention of other airport users.
The Car hires and their allies at the airport had always insisted that no other taxi operator must carry passengers at the airport, since they do not pay any levy to the airport authority.
Consequently, they use every force necessary to stop other outside taxis from carrying passengers from the airport.
Friday’s incident took a new twist, as the Bolt driver over. Powered the forces used by the car hires, and went on a suicide mission, which made people to scamper for safety, including the car hires.
The driver went on a speed spree away from the airport. Even when the piercing instruments cut his tyre, he drove in such reckless manner capable of pulling down a building, thereby setting the entire environment on panic.
Some security agents present had to clear the way for the Bolt driver who drove out of the Airport with the iron piercing instrument obstructing his car, defiling all attempts to stop him.

By: Corlins Walter

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