Opinion
Ownership Of Nigeria’s Oil Blocks
Before the managers of Nigeria’s public affairs must begin the implementation of policies of fuel subsidy removal and other matters connected therewith, there is a need to revisit the issue of ownership of Nigeria’s oil blocks. It has been an open secret that awards of oil licences and mining leases in Nigeria have always been shrouded in secret deals, high level of corruption and gangsterist patronage. Past military rulers began the regime of secrecy in the award of oil licences, which continued after 1999, with no effort to stop the unfair advantage meant for an exclusive few.
The Nigeria Extractive Industries Transparency Initiative (NEITI) had raised alarm long ago about ‘’the absence of transparency in the acquisition and awards of oil prospecting licences, mining leases, financing mechanisms, inappropriate disclosures of oil and gas production figure revenues that have characterised Nigeria’s extractive sector’’. Despite changes and some repositioning that have been described as mere window-dressings, the oil and gas sector is not only in a systemic rot, but ‘‘nobody knows who owns what’’.
From the grapevine, there had been gossips that many allocated oil blocks ended up being serviced, thus resulting in economic disservice to the nation. Despite the passage of the Petroleum Industry Act (PIA), a pattern set by the regime of late General Sani Abacha (1993-1998) continues to operate hitherto. That pattern has to do with our heads of state holding on to the portfolio of Petroleum Minister, whereby the oil and gas sector of the economy runs into deeper waters where no one can raise issues.
The oil and gas industry generates over 70 per cent of all Federal Government earnings and 90 per cent of Nigeria’s external revenues. For such strategic and sensitive industry to be associated with inexplicable secrecies, characterised by exclusive monopolies, makes the policy of subsidy removal not palatable to many Nigerians. Revenue Watch Institute (RWI), a global body, had given Nigeria a very poor mark in the administration of its oil and gas sector. In a study tagged Resource Governance Index, RWI described Nigeria’s extractive industries governance as very weak.
It is true to say that the situation in the oil and gas industry began long ago but that is no reason why the jinxed situation must continue unchecked; neither is it true that the PIA has succeeded in sanitising that sector. Hitherto, apart from some uproar and denials, nobody has disproved an assertion made long ago by Senator Ita Enang that ‘’Northerners owned 83 per cent of all oil blocks in the country”.
A situation where there are rent collectors, buccaneers and secret awards of oil licences, can there be such transparency and accountability to justify the issue of subsidy removal? Especially where such removal of subsidy would place the masses in a disadvantage and agony, should Nigerians not ask what is happening in the oil sector? Is the government not duty-bound to publish the ownership profile of all oil blocks in the country and how transparent the process had been?
To address the issue of dwindling revenues would require not more borrowing, but taking the line of public accountability by checking financial leakages and profligate spending. Transparency and accountability would include addressing fuel subsidy fraud, of which fuel importation has been an old issue!
What happened to an alleged N2.4 trillion stolen oil money many years ago in connection with fuel subsidy? Was somebody not alleged to have collected $620,000 bribes to prevent the indictment of an oil company over subsidy scam many years ago? Nigerians are obviously not comfortable with the secrecy and exclusiveness associated with the oil sector, especially where the blessing of oil and gas becomes a curse to the masses. Late Bola Ige, at a lecture organised by Ibadan Chamber of Commerce, was quoted by TELL magazine (April 19, 1999, page 18) as saying: ‘‘All Nigerians are thieves, stealing the property of the Niger Delta people, and if care is not taken, we will face the wrath of God, because it is a sin to continue to plunder the resources of the people’’.
It is quite sad that despite the enormous resources coming from that zone, the Niger Delta remains marginalised, coupled with the fact that the NDDC, as an interventionist agency, is remotely controlled by external power blocs.
Managers of Nigeria’s affairs should appreciate the fact that the masses have made commendable sacrifices, at least, by way of allowing peace to reign even when they should protest. The issue of cuts and checks in public spending should be taken seriously and be followed by transparency and accountability, such that the confidence of the masses can be restored. Every country usually passes through trying times, calling for exemplary leadership where the masses would not be bamboozled as if they are all fools.
Security is a crucial issue in governance which can be facilitated by exemplary and just leadership, rather than a situation where a nation’s political economy is characterised by secrecy and exclusiveness. The oil and gas sector surely shows such evidence, with regards to oil-blocks allocations. How would there be security where, in the midst of abject poverty among the majority, there is arrant and provocative display of wealth by a few people? A situation where wealth is not associated with productivity and patriotism, the poor masses would obviously feel bitter. Is poverty the result of laziness?
People of the Niger Delta region, which produces the bulk of the resources that sustain the Nigerian economy, deserve a better deal than what they have at the moment. In spite of 13 per cent derivation bonus and the paltry provision in the PIA, the ways that awards or allocation of oil licences are being handled need to be corrected. Similarly, those representing the Niger Delta region at the National Assembly should be seen as being on the side of their constituencies rather than being used as means of undermining the interests of the region.
By: Bright Amirize
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Empowering Youth Through Agriculture
Quote:”While job seeking youths should continuously acquire skills and explore opportunities within their immediate environment as well as in the global space through the use of digital platforms, government, corporate/ multinational organizations or the organised private sector should generate skills and provide the enabling environment for skills acquisition, through adequate funding and resettlement packages that will provide sustainable economic life for beneficiaries”.
The Governor of Rivers State, Sir Siminalayi Fubara, recently urged youths in the Rivers State to take advantage of the vast opportunities available to become employers of labour and contribute meaningfully to the growth and development of the State. Governor Fubara noted that global trends increasingly favour entrepreneurship and innovation, and said that youths in Rivers State must not be left behind in harnessing these opportunities. The Governor, represented by the Secretary to the State Government, Dr Benibo Anabraba, made this known while declaring open the 2026 Job Fair organised by the Rivers State Government in partnership with the Nigeria Employers’ Consultative Association (NECA) in Port Harcourt. The Governor acknowledged the responsibility of government to create jobs for its teeming youth population but noted that it is unrealistic to absorb all job seekers into the civil service.
“As a government, we recognise our duty to provide employment opportunities for our teeming youths. However, we also understand that not all youths can be accommodated within the civil service. This underscores the need to encourage entrepreneurship across diverse sectors and to partner with other stakeholders, including the youths themselves, so they can transition from being job seekers to employers of labour,” he said. It is necessary to State that Governor Fubara has not only stated the obvious but was committed to drive youth entrepreneurship towards their self-reliance and the economic development of the State It is not news that developed economies of the world are skilled driven economies. The private sector also remains the highest employer of labour in private sector driven or capitalist economy though it is also the responsibility of government to create job opportunities for the teeming unemployed youth population in Nigeria which has the highest youth unemployed population in the subSahara Africa.
The lack of job opportunities, caused partly by the Federal Government’s apathy to job creation, the lack of adequate supervision of job opportunities economic programmes, lack of employable skills by many youths in the country have conspired to heighten the attendant challenges of unemployment. The challenges which include, “Japa” syndrome (travelling abroad for greener pastures), that characterises the labour market and poses threat to the nation’s critical sector, especially the health and medical sector; astronomical increase in the crime rate and a loss of interest in education. While job seeking youths should continuously acquire skills and explore opportunities within their immediate environment as well as in the global space through the use of digital platforms, government, corporate/ multinational organizations or the organised private sector should generate skills and provide the enabling environment for skills acquisition, through adequate funding and resettlement packages that will provide sustainable economic life for beneficiaries.
While commending the Rivers State Government led by the People First Governor, Sir Siminilayi Fubara for initiating “various training and capacity-building programmes in areas such as ICT and artificial intelligence, oil and gas, maritime, and the blue economy, among others”, it is note-worthy that the labour market is dynamic and shaped by industry-specific demands, technological advancements, management practices and other emerging factors. So another sector the Federal, State and Local Governments should encourage youths to explore and harness the abounding potentials, in my considered view, is Agriculture. Agriculture remains a veritable solution to hunger, inflation, and food Insecurity that ravages the country. No doubt, the Nigeria’s arable landmass is grossly under-utilised and under-exploited.
In recent times, Nigerians have voiced their concerns about the persistent challenges of hunger, inflation, and the general increase in prices of goods and commodities. These issues not only affect the livelihoods of individuals and families but also pose significant threats to food security and economic stability in the country. The United Nations estimated that more than 25 million people in Nigeria could face food insecurity this year—a 47% increase from the 17 million people already at risk of going hungry, mainly due to ongoing insecurity, protracted conflicts, and rising food prices. An estimated two million children under five are likely to be pushed into acute malnutrition. (Reliefweb ,2023). In response, Nigeria declared a state of emergency on food insecurity, recognizing the urgent need to tackle food shortages, stabilize rising prices, and protect farmers facing violence from armed groups. However, without addressing the insecurity challenges, farmers will continue to struggle to feed their families and boost food production.
In addition, parts of northwest and northeast Nigeria have experienced changes in rainfall patterns making less water available for crop production. These climate change events have resulted in droughts and land degradations; presenting challenges for local communities and leading to significant impact on food security. In light of these daunting challenges, it is imperative to address the intricate interplay between insecurity and agricultural productivity. Nigeria can work toward ensuring food security, reducing poverty, and fostering sustainable economic growth in its vital agricultural sector. In this article, I suggest solutions that could enhance agricultural production and ensure that every state scales its agricultural production to a level where it can cater to 60% of the population.
This is feasible and achievable if government at all levels are intentional driving the development of the agricultural sector which was the major economic mainstay of the Country before the crude oil was struck in commercial quantity and consequently became the nation’s monolithic revenue source. Government should revive the moribund Graduate Farmers Scheme and the Rivers State School-to-Land agricultural programmes to operate concurrently with other skills acquisition and development programmes. There should be a consideration for investment in mechanized farming and arable land allocation. State and local governments should play a pivotal role in promoting mechanized farming and providing arable land for farming in communities. Additionally, allocating arable land enables small holder farmers to expand their operations and contribute to food security at the grassroots level.
Nigeria can unlock the potential of its agricultural sector to address the pressing needs of its population and achieve sustainable development. Policymakers and stakeholders must heed Akande’s recommendations and take decisive action to ensure a food-secure future for all Nigerians.
By: Igbiki Benibo
