News

NNPC Raises Fuel Import, As Kaduna, PH Refineries Remain Shut

Published

9 years ago

February 12, 2016

To close the gap created by the shutdown of Port Harcourt and Kaduna refineries, the Nigerian National Petroleum Corporation (NNPC) has embarked on a massive importation of Premium Motor Spirit (PMS).
Also, major and independent petroleum marketers have continued to import PMS into the country despite the absence of subsidy in the 2016 budget.
The refineries were shut owing to crude supply challenges arising from recent attacks on vital oil pipelines.
The Kaduna Refinery was already producing 3.2 million litres of petrol as at December last year and would have saved about $5.33 million for the country when it is 90 per cent operational. And the Port Harcourt refinery was recording a daily PMS yield of over 4.1 million litres before the attack on the pipelines.
NNPC has, therefore, been responsible for 78 per cent of the total fuel consumed in the country, while the major and independent marketers fill the remaining 22 per cent approved by the Petroleum Product Pricing and Regulatory Agency (PPPRA).
PPPRA had given NNPC 78 per cent of the allotment to import fuel while the private importers who hitherto shipped in over 60 per cent of the allocation are now left with about 22 per cent of the total allocation.
The fuel imports were approved for all the five major oil marketers and 15 independent marketers. The allocations to five members of Major Oil Marketers Association of Nigeria (MOMAN) were cut by about 70 per cent, while the NNPC allocation was jerked up from 40 to 78 per cent.
Contrary to expectations that the reduction in import allocation to private marketers of petroleum products and the breaches in Bonny-Okrika crude supply line to the Port Harcourt Refinery and the Escravos-Warri crude supply line to the Kaduna Refinery would lead to fuel scarcity in the country, an investigation showed that the product is available all over the country.
Our correspondent reports that the availability of products all over the country though not being sold at the official price of N86.50k per litre as the price is higher in some states than the price approved by the Federal Government. It was learnt that though the Federal Government has approved a new petrol price, the average pump price is still well above N100 per litre.
Apart from Lagos and its environs where the product sells at the official price, a litre of fuel in Akwa Ibom, Imo, Anambra, Zamfara, Yobe, Kwara, Taraba and some other states is still as high as between N120 and N130.
Meanwhile, private petroleum product importers have continued to meet their 22 per cent allocation despite government’s silence on subsidy in 2016. Although they have always complained about the non-payment of subsidy arrears and difficulty in sourcing foreign exchange for fuel importation, an investigation by The Guardian revealed that the marketers have been importing fuel under the current circumstances.
Neither MOMAN nor Independent Petroleum Marketers (IPM) was willing to give reasons for the continued supply of PMS despite the uncertainty surrounding subsidy in 2016. But according to a marketer who spoke with newsmen, they have to continue to import to be in business as they are still making profit under the new pricing regime.
According to the source, with the landing cost of PMS put at N59.35 as at February 8, 2016, ex-depot price, N76.50; expected open market price, N73.65 and the regulated price put at N86.50, marketers can survive without subsidy.
“We have made a case to the Federal Government to support IPMAN in mobilising our foreign partners in importing petroleum products at no cost or without subsidies payment to government. We have done all our mathematics that through our new model of crude oil swap arrangement, we can wet the country with petrol and kerosene and still gain from the transactions,” the source said.
The marketer noted that if the government removed the fuel subsidy and regulated the price at which the major oil dealers sold to other independent marketers, this would bring down the price of a litre of PMS.
“The first thing the government should do is to remove the subsidy on fuel, because the so-called subsidy is going into some private pockets. Then, it should regulate the price at which major petroleum dealers should sell the product to other independent marketers,” he said.
The Minister of State for Petroleum, Dr. Ibe Kachikwu, had affirmed government’s resolve to scrap oil subsidy because of an alleged fraud around it.
Kachikwu said the non-payment of subsidy would remain the same, as long as market trends allowed. The price modulation, according to the minister, is not an outright removal of petrol subsidy. He explained that a periodical review of the petroleum pricing template and a flexible management of the pricing system would be considered.
The price modulation, the government stressed, would be predicated on a N97 per litre projection, which would be a cap on the price of fuel with a gradual increase between the band of the current price of N87 and N97 until a fair price was reached in the pricing review.
There has been an argument whether government should continue to subsidise petrol in the country, with the organised labour insisting that government should continue to pay subsidy.
The President of the Trade Union Congress (TUC), Bobboi Kaiýgama, said since the price of crude oil in the international market had dropped drastically, there was the need for government to drastically reduce the price of fuel locally.
He advocated a stakeholders’ meeting to discuss the subsidy and why it has become impossible to refine and purchase fuel at N50 per litre.
But the Manufacturers Association of Nigeria (MAN), described fuel subsidy, as a “major source of wastage of foreign exchange”, arguing that it would stop naturally with the privatisation of the oil and gas sector to promote emergence of private refineries.
The president of the association, Dr. Frank Udemba Jacobs, urged the government to revisit the issue of private refineries and carry out investigations into why those granted licences have not started operations.

News

Ibas Inaugurates RSIEC, Service Commissions, Healthcare Board In Rivers …Charges Appointees To Embrace Principles Of Service

Published

2 days ago

July 18, 2025

The Tide

The Administrator of Rivers State, Vice Admiral (Rtd) Ibok-Ete Ibas, has charged newly appointed Board members to uphold the highest standards of discipline, competence, integrity, and unwavering dedication in their service to the State.

He emphasized that such commitment is critical to stabilizing governance, restoring democratic institutions, and advancing the principles of good governance in the State.

This was contained in a statement by the Administrator’s Senior Special Adviser on Media, Hector Igbikiowubo on Monday.

Ibas issued the charge on Monday while inaugurating the reconstituted Rivers State Independent Electoral Commission (RSIEC), Rivers State Civil Service Commission, Rivers State Local Government Service Commission, and the Rivers State Primary Health Care Management Board at Government House, Port Harcourt.

The Administrator urged the new appointees to embrace their roles with diligence, patriotism, and a commitment to transforming Rivers State through excellent service.

Addressing the Chairman and members of RSIEC, Ibas underscored their pivotal role in ensuring credible local government elections that reflect the will of the people.

“Your task is clear but demanding: to conduct free, fair, transparent, and credible elections at the grassroots level. You must resist bias, favoritism, and external interference while restoring public confidence in the electoral process,” he stated.

“The independence of your actions is crucial to sustaining peace, stability, and grassroots governance. I urge you to act with fairness, impartiality, and professionalism—even in the face of difficult choices,” Ibas added.

The Sole Administrator also charged the Rivers State Civil Service Commission on the need to eliminate mediocrity and foster a culture of excellence through merit-based recruitment, training, and promotions.

“The civil service must transition from favoritism to competence, integrity, and accountability. Your commission will lead reforms, including digital transformation and standardized practices across ministries, departments, and agencies,” he said.

He disclosed that extensive training programmes are underway, with a committee set up to overhaul the public service framework for greater efficiency.

Meanwhile, Ibas urged the Rivers State Local Government Service Commission to ensure professionalism and discipline in local government administration.

“As the closest tier of government to the people, you must drive reforms that insulate the system from politics and mediocrity. Your mandate includes merit-based recruitment, training, and enforcing standards for effective service delivery,” he stated.

In the same vein, the Administrator charged the Rivers State Primary Health Care Management Board with revitalizing healthcare delivery across the state’s 23 local government areas.

“Primary healthcare is the foundation of a sustainable health system. Your board must ensure facilities are adequately staffed, equipped, and operational focusing on maternal health, immunization, malaria control, and community health services,” he said.

He emphasized data-driven operations, incentives for rural health workers, and restoring the referral system to improve healthcare access.

He also assured the Board of sustained government support, including funding, for the effective discharge of their mandates but warned that board members would be held accountable for their performance.

The newly inaugurated members include: RSIEC: Dr. Michael Ekpai Odey (Chairman) with Prof. Arthur Nwafor, Prof. Joyce Akaninwor, and others as members.

Civil Service Commission: Dr. Livinus Bariki (Chairman), Amb. Lot Egopija, Mrs. Maeve Bestman, and others.

Local Govt. Service Commission: Mr. Isreal Amadi (Chairman), Rear Adm. Emmanuel Ofik (Rtd), Dr. Tonye Pepple, and others.

Primary Health Care Board: Dr. Dawari George (Chairman), Dr. Chituru Adiele (Executive Director), Prof. Kaladada Korubo, and representatives from key ministries.

News

Rivers PDP Debunks Sale Of LGA Election Forms

Published

2 days ago

July 18, 2025

The Tide

The Publicity Secretary of the Peoples Democratic Party (PDP) in Rivers State, Dr. Kenneth Yowika, has debunked claims that the party has commenced sale of forms for chairmanship and councillorship elections across the 23 local government areas of the state.

Yowika made the rebuttal in a statement made available to newsmen on Wednesday, describing the publication on the social media as baseless and untrue.

He urged members of the PDP to disregard the claim, saying that official communication regarding the sale of forms would be disclosed through the appropriate channels.

“With reference to information trending on social media, it has been falsely claimed that the sale of forms for Chairmanship and Councillorship elections in the 23 Local Government Areas (LGAs) of Rivers State will begin soon.

“However, the party has firmly denied these rumours, stating that they are baseless and untrue.

“The party has its own established methods of reaching out to its numerous supporters.

“The People’s Democratic Party, a law-abiding organisation, will patiently await the release of guidelines from the recently inaugurated Rivers State Independent Electoral Commission (RSIEC) before considering any sale of election forms.

“The PDP is urging its members to remain calm as official communication regarding the sale of forms will be disclosed through appropriate channels,” the statement read.

Enoch Epelle

News

South-South contributes N34trn to Nigeria’s economy in 2024 – Institute

Published

2 days ago

July 18, 2025

The Tide

Prof. Pius Olanrewaju, President of the Chartered Institute of Bankers of Nigeria (CIBN), has stated that the South-South region contributes N34 trillion to country’s economy in 2024.

He made the remark at the South-South Zonal Banking and Finance Conference in Calabar, yesterday.

He spoke on the theme, ‘’Building An Inclusive South-South: Economic Diversification as a Catalyst For Development.’’

Olanrewaju, who quoted the data from the Cable Data Index, said the feat was more than 21 per cent of Nigeria’s real Gross Domestic Product (GDP).

The president described the growth as ‘’ impressive,’’ saying that it was not driven by oil alone but significant expansions in trade, services, and the creative industries.

According to him, to fully harness this potential, coordinated financial, technological, and policy support is essential.

“As we work to reposition the South-South for broad-based prosperity, the financial system must play a central role, not merely as a source of capital, but as a catalyst for innovation, ideas incubation, and inclusive economic growth.

“This conference, therefore, provides a strategic opportunity for stakeholders to reimagine the South-South economy, not merely as a resource belt, but as a region of diverse capabilities and resilient enterprises.”

Olanrewaju added that Nigeria must move beyond old models and chart a new course for the development of the South-South region, where financial institutions and stakeholder collaborate to diversify the economy for shared prosperity.

He, however, commended Gov. Bassey Otu for his pledge of land for CIBN Secretariat in Cross River and being the first sitting governor to willingly undergo and complete the Chartered Bankers Programme.

On his part, Gov. Otu said that the conference discussion on the economic diversification in South-South region was timely against the backdrop of global trade and economic volatility that was affecting the nation’s economy.

Represented by his deputy, Mr Peter Odey, Otu said the South-South region must now act with urgency to diversify its economy while leveraging its shared natural endowment in agriculture and extractive resources.

“This conference must help develop tailored financial solutions that reflect the unique strengths and realities of states like Cross River in the south-south.

“Diversification should be evidence-based and must be backed not just by financial advice but project focused financing and real investment support,” he noted.

He said that Cross River had taken the bold step to invest in its agricultural sector by launching an Agro processing hub.

Otu further said that the state had invested in aviation by acquiring more aircrafts for Cally Air, construction of the Bakassi Deep Seaport and injecting N18 billion in its tourism sector.

Similarly, Mr Tolefe Jibunoh, Cross River Branch Controller of the Central Bank of Nigeria (CBN) said that the region was blessed with natural resources, cultural diversities and immense human potentials.

Jibunoh, who was represented by Mr Segun Shittu, Head, Currency Control Office, CBN, Calabar, noted that strategic diversification could unlock unprecedented opportunities for growth in the region.

He added that the CBN remained steadfast to maintain monetary possibilities and promote a sound financial system as a catalyst for sustainable economic development for the benefit of all.