All Posts in "Day: May 3, 2024"

Ikeja Electric Celebrates Heroic Workforce 

Mohammed Shosanya
Ikeja Electric Plc (IE),has reiterated its commitment to accelerated network upgrades aimed at providing efficient service delivery to her customers.
This assurance was made in a statement issued by the company’s Head of Corporate Communications, Mr. Kingsley Okotie to commemorate the International Workers’ Day celebration in appreciation of the commitment and resilience of the IE workforce.
The CEO Ikeja Electric, Mrs Folake Soetan, appreciated to IE employees,  for the efforts put into ensuring consistent supply of electricity to homes and businesses across the coverage area while imploring them to go the extra mile even in the face of daunting challenges.
A recent investment of over Five Hundred Million Naira (N500m) at both Adekunle Fajuyi and PTC Injection Sub-stations under our Ikeja Business Unit further demonstrates our willingness to make the right network upgrades that will improve the overall customer experience.
 The project will bring remarkable improvement in the quality and quantity of electricity supply to customers in Ikeja GRA, Opebi, and Maryland. Other beneficiary communities include Allen Avenue, Olowu, Medical Road, Computer Village and environs, she said.
Mrs Soetan noted that the increasing rate of vandalism poses a great threat to the efforts being made to ensure customers get quality and regular power supply but despite this challenge, the company is not deterred in achieving its goals.
“We believe that sustained collaboration of critical stakeholders such as community leaders, law enforcement/ security agencies, will curb vandalism, and seize this opportunity to express gratitude to community leaders who assist in making sure these vandals are caught” she said.
The IE Spokesman thanked stakeholders and customers who take time to attend the company’s monthly virtual and physical engagements where updates are made available in line with the business objectives and feedbacks taken for improvement. He urged customers not to tamper with their meters but report any form of energy theft in their localities, and desist from carrying out activities under power lines as it poses great danger to lives and properties.
“As a responsible corporate entity committed to giving back to our society, we raised our voices to boost awareness about preventing and controlling malaria at Zone F community Hall Durbar Road Amuwo, under our Oshodi Business Unit to commemorate the 2024 World Malaria Day. Together, we have the power to lessen the impact of malaria on our communities and accelerate the fight against malaria for a more equitable world”.
Ikeja Electric’s GiveBackAlwaysTeam emphasized the importance of malaria prevention and control, empowering the community with knowledge and resources to mitigate the impact of the disease. Through this initiative, we aim to contribute to the global effort to foster a healthier and more equitable world for all, Okotie said.
These consistent efforts to continuously improve service delivery to our esteemed customers earned Ikeja Electric another laurel at the maiden edition of the Energy Times Awards, where the DisCo was awarded the Sustainable Development Company of the Year 2023 on the 19th of April 2024.
According to Mr. Kayode Ekundayo, the Managing Director/Publisher of Energy Times, “Ikeja Electric has made substantial investments in the sector to ensure that customers enjoy improved power supply across its locations, the company is responsive and has various channels for two-way communication. This excellence is what we have recognized here today.”
admin by — May 3, 2024 in Power 0
Groups Seek Governments Protection Of Media Freedom

Mohammed Shosanya

Four human rights and media support organizations have called on Federal and State Governments to take urgent measures to ensure media freedom and the safety of journalists in Nigeria, saying the deteriorating state of media freedom in country is potentially harmful to its system of democratic governance.

They conveyed their call in a statement announcing their collaborative activities to commemorate the 2024 edition of World Press Freedom Day (WPFD 2024) through separate events taking place in Lagos and Abuja on Friday, May 3.

According to the statement,Media Rights Agenda (MRA) and Global Rights: Advocates for Sustainable Justice, in collaboration with the International Press Centre (IPC) and the Centre for Media and Society (CEMESO), will hold a hybrid convening in Lagos under the theme: “The Imperative of Media Freedom for Democratic Governance”, to underscore the vital role that the media play in promoting transparency, accountability, good governance, and democracy.

The event will have media stakeholders drawn from among journalists and editors, media owners and managers, civil society organizations, the academia, and others participating physically and virtually and will include activities such as sharing of experiences by journalists who have faced various forms of attacks, a presentation on the importance of counselling for journalists who have been victims of attacks, as well as presentations on various civil society efforts to ensure the safety of journalists and protect media freedom, which are designed to strengthen the media as they strive to promote democracy, human rights, and social justice.

A separate event will be hosted in Abuja by Global Rights in collaboration with MRA and the International Centre for Investigative Reporting (ICIR). The event will be a Webinar titled “Freedom of the Press in Peril – Raising the Bar for Press Freedom in Nigeria”, which is aimed at sparking a conversation on how to safeguard press freedoms in Africa and how the operational environment for the press can be improved in Nigeria and across the continent.

The event will identify global best practices that create a conducive and enabling environment for the press and share experiences of how they can be domesticated in a way that makes them more easily accessible to journalists and other media professionals in Nigeria.

Proclaimed by the UN General Assembly in December 1993, World Press Freedom Day is celebrated around the world on May 3 every year as a reminder to governments of the need for them to respect their commitment to press freedom and create a safe and conducive environment for journalism and media practice.

Speaking on the collaborative efforts by the various organizations, Mr. Edetaen Ojo, Executive Director of MRA, said: “As the world celebrates World Press Freedom Day on May 3, we wish to reaffirm our commitment to upholding the fundamental principles of free speech, independent journalism, and the protection of press freedoms worldwide knowing that a free and independent media is the oxygen of democracy. We are determined to work with like-minded individuals and organizations towards the emergence of an environment where media professionals can carry out their professional functions without fear or intimidation and where the media can realize its true purpose.”

According to Mr. Lanre Arogundade, Director of IPC, “We recognize the challenges facing journalists and media professionals across the country, including censorship, intimidation, violence, and online harassment. In the face of these threats and attacks, we commend the resilience and courage of journalists who continue to pursue the truth, often at great personal risk. We also promise that we shall continue to render whatever support we can to ensure that the atmosphere is made conducive for them to ply their trade.”

Dr. Akin Akingbulu, Executive Director of CEMESO, said: “We take the opportunity of this important occasion to once again call on governments, civil society organizations, and individuals everywhere to join us in defending press freedom, protecting journalists, and ensuring that information remains a public good accessible to all. Together, let us stand united in support of press freedom and the fundamental principles of democracy.”

admin by — May 3, 2024 in Media 0
How We Arrived At N615,000 Minimum Wage-NLC

Mohammed Shosanya

The Nigerian Labour Congress,has explained how it arrived at the N615,000 new national minimum wage for workers in the country.

 

Its President,Comrade Joe Ajaero,said in a statement that the figure was a product of a painstaking effort through which we captured the cost of living of Nigerian workers and masses in all parts of the country.

He added:”It was essentially an outcome of an independent research conducted by the NLC and TUC on the cost of meeting the primary needs of an average family around the country. Our research was based on a family with both parents alive and four children without the burden of having other dependents with them”.

 

He said,a questionnaire was designed and sent to all the State Councils of NLC and TUC from where these questionnaires were sent to our members in all the Local government areas in the country to gather the monthly cost of living for the average family”

 

 

TABLE: COST OF LIVING ESTIMATE

S/N       DETAILS UNIT COST TOTAL  
1. Housing/Accommodation 40,000 40,000  
2. Electricity/Power 20,000 20,000  
3. Utility Water 10,000 10,000  
4. Kerosene/Gas 35,000 35,000  
5. Food 9,000 X 30 270,000  
6. Medical 50,000 50,000  
7. Clothing 20,000 20,000  
8. Education 50,000 50,000  
9. Sanitation 10,000 10,000  
10. Transportation 110,000 110,000  
     TOTAL   615,000  
         

 

He added:”A cursory look at the table above shows that we have deliberately removed certain elements from the Basket used in calculations of this nature. However, it should also be noted that we have not included things like expenditure on calls and data, offerings in churches and Mosques, community dues, entertainment, savings and Security etc. These are therefore just for the bare necessities.

 

“It should be noted that we arrived at this figure before the increase in electricity tariff and the recent scarcity of Petrol across the nation leading to the appearance of long queues with attendant increased transport fares. Any figure below this amount becomes a starvation wage and condemns Nigerian workers and their families to perpetual poverty.

 

“We have to remember that the old one having expired on the 18th day of April, 2024, a new one is expected to have come into effect on the 19th day of April, 2024.

“However, because of government’s inability to comply with the Law that demanded for negotiations for a new national minimum wage to have begun 6 (six) months before the expiration of the existing one, concluding the new one has become unfortunately delayed.

 

“We are sure that our social partners would see our demonstration of understanding, sacrifice and reasonableness in our demands thus accepts this figure without much delay. We also enjoin all well-meaning Nigerians to implore the Government and Employers to meet our demands for the sake of justice, equity and national development”.

admin by — May 3, 2024 in Labour/Human Resources 0
NDIC Increases Maximum Deposit Insurance Coverage For Financial Institutions

Mohammed Shosanya

The Nigeria Deposit Insurance Corporation (NDIC) on Thursday announced the approval of a 3 increase in the maximum deposit insurance coverage levels for all licensed deposit-taking financial institutions.

Mr. Bello Hassan, Managing Director and Chief Executive of NDIC made the announcement at a press conference on the review of the maximum deposit insurance coverage level, in Abuja, saying the policy takes immediate effect.

According to Hassan, details of the adjustments are that: for the ‘Deposit Money Banks (DMBs): The increase of the maximum deposit insurance coverage from N500,000 to N5,000,000, would provide full coverage of 98.98% of the total depositors compared with the current cover of 89.20%. In terms of the value of deposit covered, the revised coverage would increase the value of deposits covered by deposit insurance to 25.37% compared with the current cover of 6.31% of total value of deposits.

“ii. Microfinance Banks (MFBs): The increase of the maximum deposit insurance coverage from N200,000 to N2,000,000, would provide full coverage of 99.27% of the total depositors compared with the current level of 98.76% and would increase the value of deposits covered by deposit insurance to 34.43% compared with 14.38% of total value of deposit, currently covered.

“Primary Mortgage Banks (PMBs): The increase of the maximum deposit insurance coverage from N500,000 to N2,000,000 would provide full coverage of 99.34% of the total depositors compared with the current 97.98% and would increase the value of deposits covered by deposit insurance to 21.04% compared with 10.77% of total value of deposit, currently covered.

“Payment Service Banks (PSBs): The increase of the maximum deposit insurance coverage from N500,000 to N2,000,000 would provide full coverage of 99.99% of the total number of depositors and would increase the value of deposits covered by deposit insurance to 43.10% of the total value deposits from the current cover of 40.60%.

“Subscribers of Mobile Money Operators: The increase of the maximum Pass-through deposit insurance coverage from N500,000 to N5,000,000 per subscriber per MMO as the applicable coverage level for depositors of DMBs. 4 7.0 I must emphasise that, the revised deposit insurance coverage has balanced the NDIC’s goals of deposit protection and financial system stability with incentives for depositors to practice market discipline and prevent banks from unnecessary risk-taking and moral hazard. Consideration was given to ensure that the coverage was limited but adequate enough to protect a large number of depositors and credible enough to prevent the destabilizing effect of bank runs” he said.

He reiterated that the Corporation’s mandate of Deposit Guarantee is a critical component of depositors’ protection, as it guarantees the payment of deposits up to a maximum set limit in the event of bank failure.

According to him,the deposit guarantee, covers depositors of all deposit taking financial institutions licensed by the Central Bank of Nigeria, which includes Deposit Money Banks (DMBs), Microfinance Banks (MFBs), Primary Mortgage Banks (PMBs), Non-Interest Banks (NIBs), Payment Service Banks (PSBs) and subscribers of Mobile Money Operators.

He said the maximum deposit insurance coverage is determined through periodic research based studies, to ensure its adequacy and credibility, adding that various factors considered in setting the coverage level are; deposit distribution, impact of inflation, per capita GDP, exchange rate and other statistical models, among others.

According to him,the adoption of the revised maximum deposit insurance coverage is supported by the Corporation’s current funding, represented by the balances in the various Deposit Insurance Funds (DIFs), expected annual premium collection, enhanced supervision that would reduce the likelihood of bank failures, effective bank resolution frameworks and other funding arrangements provided by the NDIC Act No. 33 of 2023.

admin by — May 3, 2024 in Business 0
NUPRC Not Responsible For Delaying $1.3bn ExxonMobil Assets Deal

By Ibrahim Musa

There are indications that the Nigerian Upstream Petroleum Regulatory Commission, NUPRC, the regulator of Nigeria’s upstream oil sector, is not responsible for the alleged delay in granting consent to the sale of $1.3 billion ExxonMobil’s 40 percent stake in Mobil Producing Nigeria Unlimited, MPNU’s assets to Seplat Energy Plc.

The intention of ExxonMobil to sell its oil assets to Seplat Energy Plc, a leading Nigeria’s independent energy company, started over two years ago but has not yet been concluded.

The Commission Chief Executive, NUPRC, Gbenga Komolafe, could not be reached for comments.
But speaking at the Africa Oil Week, AOW, in Cape Town, South Africa, last October, Komolafe, who had expected the deal to be concluded much earlier, said: “We are very optimistic that parties to the transaction will go back, look at the position of the regulator and come back by abiding by the provisions of Nigerian laws and the right thing will be done.”

However, a lawyer and well-informed Energy Analyst, who is familiar with the issue, said: “It is a very simple matter. When the idea to sell the assets came up, the NUPRC did not say no. It only insisted that the process stipulated in Section 14 of the 2019 Joint Operating Agreement, JOA, be followed.

“The JOA, which governs the Joint Venture operations between the Co-Venturers, clearly stated that they reach an agreement among themselves as a condition for getting NUPRC’s consent.

“In line with the law, the commission had advised Co-Venturers to comply because the marriage-like kind of relationship they have cannot be dissolved without the agreement of the parties.

“So, the Co-Venturers have to get back to the regulator to speak with one voice that they have agreed to sell the assets. This is the first step. There are also other steps, including the meeting of community obligations and commitment to the environmental restoration of producing sites.

“As a regulator, NUPRC upholds the law as contained in the Petroleum Industry Act, PIA, and guidelines on assignment of interests whatsoever, including share sales. This explains why it has already put in place a robust template to guide divestment in Nigeria’s oil and gas industry.

“It is very important that all parties should respect the sanctity of law and JOA between Co-Venturers in the deal. At the moment, I know that the Co-Venturers are still in the process of resolving their commercial issues and demonstrate respect for the sanctity of JOA. When the parties have reached an agreement and get back to the regulator, I am optimistic that the NUPRC will hold a workshop to review their submission and grant consent.

“NUPRC has intuitively put in place arrangements to make it easier for investors to close deals. I am also optimistic that the Commission will grant what is often referred to as Subject-to-Clearance Consent within 30 days, provided the Co-venturers demonstrate strong commitment to meeting their obligations.”

Similarly, the National President, Oil and Gas Service Providers Association of Nigeria, Mazi Colman Obasi, said: “Already, the Engr. Komolafe-led team at the NUPRC has done so much to enable businesses in the industry.

For instance, NUPRC developed regulations, giving meaning and intent to the PIA, to ensure that all bottlenecks associated with regulatory processes are eliminated or minimized, to entrench seamless upstream petroleum operations.

“The gazetted regulations include Petroleum Licensing Round Regulations 2022, Petroleum Royalty Regulations 2022, Conversion and Renewal (Licences and Lease), Nigeria Upstream Petroleum Host Communities Development Regulations 2022, Domestic Gas Delivery Obligations Regulations 2022, Nigeria Upstream Petroleum Measurement Regulations 2023, Production Curtailment and Domestic Crude supply Obligation Regulations, 2023, Frontier Basins Exploration Fund Administration Regulations, 2023, Nigeria Upstream Decommissioning and Abandonment Regulations 2023, Significant Crude Oil and Gas Discovery Regulations, 2023, Gas Flaring, Venting and Methane Emission (Prevention of Waste and Pollution) Regulations, 2023 and Nigeria Upstream Petroleum Unitization Regulations, 2023.

“The 14 draft regulations awaiting gazetting include Upstream Petroleum Fees and Rent Regulations, Acreage Management Drilling and Production Regulations, Upstream Environmental Remediation Fund Regulations, Upstream Petroleum Safety Regulations, Upstream Petroleum Environmental Regulations, Upstream Petroleum Measurement Regulations, Advance Cargo Declaration Regulations, Draft Upstream Commercial Operations Regulations, Draft upstream Petroleum Code of Conduct & Compliance Regulations, Draft Upstream Petroleum Development Contract Administration Regulations, Draft Upstream Revocation of licences and Lease Regulations, Draft Upstream Petroleum Assignment of Interest Regulations, Draft Nigerian upstream Petroleum (Administrative Harmonisation) Regulations and Draft Amendment to the Nigerian Upstream Petroleum Host Communities Development Regulations 2022.

“The NUPRC has held many stakeholder engagements on the commission’s Draft Regulatory Framework for Energy Transition, Decarbonisation and Carbon Monetisation and incorporated the inputs arising from the engagements into the regulatory framework, which will not only govern the activities of the newly established Energy Transition and Carbon Monetisation Division of the Commission but those of the entire industry in considering Energy Transition in oil and gas field development.

“As a business enabler, the NUPRC has intentionally attracted many local and foreign investors to Nigeria’s oil and gas industry, thus culminating in Nigeria’s oil reserves rising to 37.50 billion barrels in 2024, from 36.966 billion barrels recorded on January 1, 2023, while natural gas rose to 209 trillion cubic feet on January 1, 2024, from 208.83TCF recorded over the corresponding period last year.

“The Commission has taken deliberate steps to drive the decade of gas programme declared by the Federal Government through more aggressive development of the nation’s huge gas resources, enhanced exploration activities, development of utilization schemes leading to gas reserves growth, increased gas production, maturation of domestic and export gas markets, in addition to gas flare elimination and commercialisation through the Nigeria Gas Flare Commercialization Programme (NGFCP).

“NUPRC has completed the 2020 Marginal Field Bid Round and issued Model Licences and Petroleum Prospecting Licenses to deserving awardees leading to an early Field Development Plan, FDP, and production from the awarded Marginal Fields in line with the provisions of the PIA 2021.

“The Komolafe-led NUPRC has assisted several companies/fields in the attainment of the first oil production within the period under review. Some of the fields include the Anyala field (First E&P), Ikike (Total), Efe field (Newcross), Utapate, (NEPL), and Akubo Field (SEEPCo).”

Obasi added: “It should also be noted that under Engr. Komolafe’s proactive leadership, the NUPRC, has completed plans for the holding of the licensing round in 2024 in line with Section 73 of the nation’s PIA, a development that further illustrates its commitment to enabling businesses in Nigeria’s petroleum industry. Indeed, NUPRC deserves all the cooperation and encouragement it can get to conclude the ExxonMobil/Seplat Energy deal in a very responsible and transparent manner as well as in the best interest of all parties, including the Federal Republic of Nigeria”.

Ibrahim Musa is an Energy Analyst

admin by — May 3, 2024 in Opinion 0