Oil & Energy
Miners Want Tinubu To Develop Sector
The Gold Miners Processors and Marketers Association (GMPMA) of Nigeria, has urged the President-elect, Sen. Bola Tinubu to place priority on the development of the mining sector of the economy.
Making the call yesterday in Abuja, President of GMPMA, Mr Auwal Bununu, said the sector was faced with a lack of government attention, adding that such had hindered the effective implementation of projects and policies in the sector.
“The sector is expected to be a major contractor to the country’s Gross Domestic Product.
“In the 1960s and 70s, the sector contributed about 15 per cent of GDP because there was attention and strong support by relevant authorities.
“But today, the GDP contribution is low as the sector is no longer receiving such support and attention.
“The financial institutes and fiscal policies are not capturing the sector very well in the policy formulation, thereby making the sector not functioning effectively as its being expected”, he said.
Bununu, who is also the Technical Adviser to the Nigeria Association of Chambers of Commerce, Industry, Miners and Agriculture, a mining group, said the association’s target was to promote the economic development of the country.
He said the NACCIMA was an umbrella body of the GMPMA, adding that the association was working with stakeholders to achieve its objectives.
Bununu stated that the association welcomed the President-elect’s pronouncement of plans to form a government of competence, which would ensure development in all the sectors of the economy.
“I am happy to hear the President-elect said that he is going to form a government of competence.
“What that means is that from my own understanding, the administration will bake the national cake and ensure that it gets to everyone in all sectors of the country. What we have been experiencing is sharing formulas, but not baking the cake.
“So, in as much as the President-elect has promised a government of competence, it means that he will not only bake the cake but everybody will benefit from the sharing.
“So, if he is baking the cake, mining is the most important sector that brings not only revenue generation but also industrial development,” he said
Bununu added, “The President-elect cannot bake the cake without developing the mining industries which the country benefits from with heavy revenue and creating job opportunities
“The association is now developing a private sector framework of mineral and metal development which will serve as a cake-baking alternative for the new administration
“The framework is a very critical thing, so we are working on the strategy to ensure it brings good result
“We are also going to dialogue with the incoming administration as soon as he was sworn in.”
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Delta Targets 120MW Power Boost, Moves To Cut Reliance On National Grid
The State Commissioner for Works (Rural Roads) and Public Information, Charles Aniagwu, disclosed this at a press conference in Asaba, weekend, noting that the initiative was part of wider reforms aimed at opening up the power sector to private investors.
Aniagwu, who was accompanied by the Executive Assistant to the Governor on New Media, Felix Ofou, said the state was exploring alternative sources of electricity to support businesses, households and communities while reducing pressure on the national grid.
He said the government was particularly interested in exploiting Delta’s abundant natural gas resources for power generation, pointing to the Kwale Free Trade Zone, which is part of the state’s special economic zone, as a major opportunity for investors.
According to him, prospective investors were taken to the zone during the state’s recent economic summit to enable them to assess the availability of gas as a key raw material for electricity generation. ComparePower Rates
The commissioner explained that generating more electricity locally would not only increase supply in Delta but also free up power on the national grid for use by other consumers.
Aniagwu cited the 8.5MW Independent Power Plant located behind the state secretariat in Asaba as an example of what could be achieved through alternative power sources.
He said the facility had enabled the secretariat complex to operate independently of the national grid, thereby making the electricity that would otherwise have been consumed there available to other users.
He added that the planned 120MW partnership with Supply Power would further strengthen the state’s electricity supply capacity and provide a more reliable power base for small and medium-sized enterprises.
Aniagwu said the state government was also intervening in areas traditionally regarded as the responsibility of electricity distribution companies because inadequate power supply could no longer be allowed to constrain economic development. LearnQuantum Physics
He identified the extension of the electricity grid from Abraka towards the Ndokwa axis as one of the interventions being undertaken to connect more communities to electricity.
The commissioner, however, raised concerns over the burden placed on communities that are often required to provide transformers and other electricity infrastructure, only for distribution companies to take over the facilities and subsequently collect electricity bills without adequately accounting for the investments made by the communities.
He said the state would continue to support efforts aimed at energising communities, noting that improved electricity supply would stimulate businesses, create jobs and help tackle social problems associated with unemployment and idleness.
On regulation, Aniagwu said the government was working with the Ministry of Energy and a committee set up to develop an appropriate regulatory framework for the state’s emerging power sector. SwitchEnergy Plans
He said the proposed energy commission would be responsible for regulating new electricity producers, determining appropriate tariffs and overseeing distribution networks.
The commissioner stressed that liberalising the sector required effective regulation to protect consumers and investors, adding that decisions on power distribution infrastructure, including the use of overhead or underground lines, must take into account the peculiarities and safety requirements of each location.
He warned that power expansion without adequate regulation could expose residents to electrocution and other hazards, stressing the need to protect electricity infrastructure while ensuring consumers were not subjected to unfair pricing.
Aniagwu said the state government’s broader objective was to build an efficient and sustainable electricity market driven by private investment and capable of powering businesses, households and communities across Delta State.
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