Mon 14 Apr 2014 by The Guardian Newspaper

TheGuardian Conscience, Nurtured by Truth

Monday, April 14, 2014

Vol. 30, No. 12,891

N150

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Africa may become a wasteland due to desertification, research warns FRICA is a continent laden A with diversity. Diversity in climate, vegetation and people. A land of potential beyond imagination, yet ruined by mans wrecking influence. Not all man however is to blame, primarily those who arrived as settlers from Europe to colonise Africa about 200 years ago. These

DETAILS ON PAGE 48 settlers caused radical change in Africa. This change spoilt the delicate natural balance, which had evolved over thousands of years. Today the economies of Africa are the weakest in the world, and the desperation of the rural population has also had adverse effects on the environment. The people of Africa must learn not to ruin the environment, as it is a non-renewable resource, it will disappear.

Franklin Oha of St. Mary’s Catholic Church riding a horse to symbolise the triumphant entry of Jesus Christ into Jerusalem during this year’s Palm Sunday in Ibadan… yesterday. PHOTO: NAJEEM RAHEEM

FG uncovers 60.5 tonnes of rotten fish in Lagos By Fabian Odum HE war against unwholesome products in the country yesterday received a boost as the Federal Ministry of Agriculture and Rural Development (FMARD) through its Department of Fisheries (FDF) uncovered 3028 cartons (about 60.5 metric tonnes) of spoiled fish in a cold room in Lagos.

• We earlier alerted NAFDAC, says firm The products are made up of 2,771 cartons (55MT) of Russian Herring and 256 cartons of different species of fish. However, the company, Bharat Ventures, located on Apapa-Oshodi Expressway, said the inspection was done with the company’s co-oper-

ation with FDF officials. He added that the product was already marked for separation and disposal even before the fisheries department came calling. At the company premises, where officials of the FDF were busy supervising the

loading of the bad products, the acting Director of Fisheries, Foluke Areola, said the nation had been spared the health risk it faced if consumers ate the product. The cartons in which the products were packaged, according to Areola, were faulty

right from Russia, the origin of the fish product, in that there was no protective polyethylene material as primary package to keep the product from moisture content fluctuations that negatively affects the quality. She further explained that though not all the stock of fish was bad, but that it was CONTINUED ON PAGE 4

BoI okays N25. 322b loans in Q1 - Page 4

Gunmen kill 38, raze houses in Borno - Page 5

Army denies killing APC member at ward congress - Page 6 Civil society group sues Nasarawa over legislators’ allowances - Page 6

Monday, April 14, 2014

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Monday, April 14, 2014

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4 Monday, April 14, 2014

IMF, World Bank formulate social security programme for Nigeria From Mathias Okwe, Assistant Business Editor, Washington, U.S. IGERIANS, particularly N those at the lowest and lower rungs of the social ladder in the country, are soon to begin to count their blessings as they would begin to enjoy the benefits of a social security scheme that can guarantee a basic livelihood as currently being enjoyed by their counterparts in developed nations across the world and oil -rich countries of the Middle East. The Co-ordinating Minister for the Economy and Minister of Finance, Dr. Ngozi OkonjoIweala, disclosed this plan yesterday at a press briefing at the end of this year’s Spring Meetings of the International Monetary Fund (IMF)/World Bank at the Headquarters of the Breton Woods Institutions in Washington, United States (U.S.). The action stemmed from the dominant focus of this year’s meetings which was on shared prosperity and wealth redistribution as a potent means of ending extreme poverty among the nations of

• Pool $700m to upgrade electricity transmission infrastructure • Assist in tracking illicit financial flows from Africa the world. Okonjo-Iweala who spoke alongside the Central Bank of Nigeria’s (CBN) Acting Governor, Dr. Sarah Alade, among other key officials, told journalists that the country has requested the two Breton Woods Institutions to assist Nigeria in the design of the social safety net which would provide social security for the country’s deprived population, a request which she said, has been acceded to and was being given the attention it deserves. She also said the World Bank as part of efforts to assist Nigeria’s electricity challenge was investing $700 million in the transmission infrastructure to upscale the ability to guarantee improved power supply to boost Nigeria’s real sector as the largest economy in Africa. Also, the minister disclosed that following the discovery of the huge potentials in the Nigerian economy as a result

Police launch war against cultists, kidnappers in Edo From Alemma-Ozioruva Aliu, Benin City ITH cases of secret cult W clashes in Edo State becoming more rampant with the recent clash in Ekpoma, Police Commissioner, Folusho Adebanjo, has read the riot act to suspected cultists and other criminals. He said the police were poised to “flush them out of the state.” Parading 33 suspected criminals, including those accused of murder, armed robbery, kidnapping, unlawful possession of fire-arms, rape, defilement, fraud and impersonation, Adebanjo

said the Command was planning an onslaught on suspected cultists both in schools and outside schools in the state. He said a few days ago, “there was a distress call that some cultists at Ekiadolor community engaged themselves in a clash. The operatives of the Command swung into action immediately and in the process, arrested six suspects. Investigation so far revealed that they belong to Eiye and Maphyte groups. They all confessed to the crime. Adebanjo said a total of 33 suspected criminals were arrested in the state in the last one month and items recovered from them included six guns, 14 cartridges and one dummy double barrel and eight rounds of live ammunition. “While appreciating the continuous collaboration and support from members of the public, the Edo State Police Command wishes to reassure members of the public of its renewed doggedness to rid the state of violent crime.

of the recent rebasing of her productive activities, investors at the meetings have continued to visit the Nigerian Country Office at the IMF/ World Bank office in Washington with one of them, Bluemberg Green, an agro-allied firm, already deciding to invest about $250 million in grains storage and logistics in the country. The minister said: “Based on our own suggestion to the Fund that we want to have better quality growth, that is growth that creates the jobs that we need and that would cater for the needs of the ordinary people, the Fund and the bank actually are looking at this issue and trying to put forward some assistance. The bank for instance is looking at how to support us with building a social protective programme that can take care of those at the bottom end of the ladder. And it is interesting to know that so many other countries are asking for the same and the Fund has shared some suggestions on what we might be able to do in other to create jobs and ensure this social security. There is publication by the bank already on job creation and employment. whole World Bank “The Group is also supporting us on the whole energy front. The IFC is investing in Azura and they are also supporting transmission by putting a lot of money. They are offering us $700 million for transmission. Infrastructure is what they are focusing on in Nige-

ria on health, water and on those areas they feel would assist to upgrade infrastructure. “For us, I think we came in to the Spring Meetings strong because we just rebased our GDP and this is very strongly accepted and looked upon, particularly that these institutions themselves participated in the exercise and in the quality control. The fact that Nigeria now has a better GDP and the base is stronger elicited a lot of interest among participants here. Even some private sector people have come to say they are interested in investing in Nigeria. One of them is Blumberg Green. They have already sent a team to Nigeria and they are meeting with the Minister of Agriculture. They

want to make Nigeria the hub for grain storage and distribution in Africa. They want to invest $250 million. The fact that we have the largest economy is making them to decide that this should be the place to place their hub in the continent. They were looking at all the countries to see where they could place their hub. That’s just an example is interest that has been elicited by the recent rebasing of our GDP,” the minister declared. Commenting on the recently passed 2014 fiscal plan by the two chambers of the National Assembly, OkonjoIweala declared that though they haven’t analysed the budget as passed, but that a cursory look at it from reports has indicated that jerking up of the spending plan by the National Assembly has widened its funding gap from 1.9 per cent as projected by the executive to 2.01 per cent.

In a related development, the minister said the African Finance Ministers have requested from the IMF/World Bank to assist the continent to stop the continuous fleecing of African resources by multinationals who would not want to pay their taxes commitment and other forms of thievery indulged by them while doing businesses in Africa. According to her: “We also requested as a group of African Countries that the World Bank and the IMF look at the problem of illicit flows and we have persisted in this demand because African Finance Ministers as a whole convened a panel chaired by former President Thabo Mbeki which showed that almost $50 billion is disappearing from the Continent; then we asked the World Bank and the IMF to help us look at the receiving countries and the routes that these monies are going.”

Editor, The Guardian, Martins Oloja (right); Mr. Lanre Arogundade, Dr. Nikem Onyekpe, Tony Iyare, Odia Ofeimun, Mrs. Aina Akhaine, Dr. Sylvester Odion Akhaine and others, during the 50th birthday ceremony of Akhaine in Lagos… at the weekend.

Bank of Industry okays N25. 322 billion loans in Q1 HE Bank of Industry (BoI) T approved loans valued at N25.322 billion to 968 enterprises in the first quarter of 2014, the Acting Managing Director/Chief Executive Officer of the bank, Waheed Olagunju, has said. This information was contained in a feedback document made available to the Ministry of Industry, Trade and Investment by Olagunju, while briefing the supervising ministry on the activities of BoI. A breakdown of the figures shows that 98 per cent of the beneficiaries are micro, small and medium enterprises. “In line with the focus of

Nigeria Industrial Revolution Plan (NIRP) and National Enterprise Development Programme (NEDEP), all the assisted firms can potentially generate 182,926 direct and indirect jobs. In terms of sectors, companies that produce building materials account for N9.8 billion, followed by agri-business with N5.9 billion,” the Acting MD said. Olagunju, who was appointed acting MD pending the announcement of a substantive boss for the bank, is the most senior executive director of the financial institution. The Acting MD assured stakeholders that BoI would continue to build on the solid

foundation that had been laid under Evelyn Oputu’s transformative leadership style. While extolling Oputu’s outstanding performance in office, Olagunju stressed that the institution would continue to operate in line with best practices to enable it contribute effectively to the successful implementation of NIRP and NEDEP. Minister of Industry, Trade and Investment, Olusegun Aganga on behalf of the Federal Government, commended Oputu for her brilliant performance in office, especially her able leadership qualities which had brought about the rapid transformation of BoI

into a first class development finance institution and wished her the best of luck in her future endeavours. Olagunju will be required to ensure continuity with respect to the ongoing diligent implementation of NIRP and NEDEP in line with BoI’s mandate. President Goodluck Jonathan, on February 11, officially launched the NIRP and NEDEP, describing the NIRP as the most ambitious and comprehensive roadmap that would transform the nation’s industrial landscape, boost skills development, enhance job creation and conserve foreign exchange.

FG uncovers 60.5 tonnes of rotten fish in Lagos CONTINUED FROM PAGE 1 unacceptable that the bad ones were not discovered until the department checked them. Aside that, it was discovered that of the quantity, 2,771 cartons went bad even before the expiration date became due in a fortnight, while the rest were outrightly rotten. An official of the ministry said these are the results of dumping, which many fish importers have inflicted on the country with collaboration of the exporting countries. But Areola revealed that some of the companies engaged in heavy import for the fear that there would be a ban on fish importation. She, however, pointed out

that there was nothing like that as regulation was in place and in line with the Agricultural Transformation Agenda of the Federal Government. Expressing displeasure at the poor quality of fish that finds their way to the markets, the acting director said people should demand better quality. She warned that it was not enough for women to settle for cheap products but to look at some physical properties of the fish before making purchase. She pointed out that fish with sunken eye, soft body on being depressed with the finger and discoloration are physical signs that the product has gone bad.

However, General Manager of Bharat Ventures, importers of the product, Mr. Kelvin Nigli, said that the company would bear the cost of the evacuation to the dumpsite at Epe and destruction and affirmed the company’s readiness to bring best quality fish from different parts of the world. He revealed that the cost of the spoilt fish is put at about three million naira. He said the company had earlier reported to NAFDAC the existence of the 256 cartons of bad fish that were due for disposal. On how the products came to that physical state, he said there was glut in the market at a time and this affected the

rate of sales adversely resulting in spoilage. In a letter dated April 1, the company had written to the agric minister accepting responsibility, requesting the reopening of the cold room which was sealed on March 25. For now, the products have been moved by a team of FDF personnel, company officials and the media, in attendance, to Epe where the destruction took place yesterday. About two weeks ago, the Agriculture Minister, Dr. Akinwumi Adesina, led a team of his ministry officials to a number of cold rooms in Satellite town, Lagos, where rotten fish was also discovered by FMARD.

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News Lagos indigenous groups back nation’s unity, confab By Isaac Taiwo OMMITTEE of the Indigenous Associations of Lagos State (CIALS), led by Justice Ishola Oluwa (rtd), has commended the ongoing National Conference in Abuja, stating that if properly and honestly handled, it would foster greater unity in the country. It also warned that the huge financial investment in the conference should not be wasted, just as it backed the Yoruba agenda at the confab, particularly as it concerns the interest of Lagos indigenes. While it supports devolution of powers from the current federal arrangement to the federating units, it also sought Lagos as the seventh zone or region in the country. In his address at CIALS’ fifth annual conference, chairman of the occasion and former Secretary to Lagos State government, Julius Akindele, said the national conference was unique and timely, adding that Nigeria could only thrive in a federation with a strong structure. “The ongoing national conference, in my view, is a welcome development for this nation, as coming together to discuss will promote tolerance, compassion and understanding among the various ethnic groups,” he said. Meanwhile, a communiqué at the end of the forum explained that CIALS comprises the various indigenous associations in the state from the five zones at the inception in 1967. The forum noted that CIALS is non-partisan but supports the Lagos State government in its efforts to develop homes for the people, but advised that a good percentage of this infrastructure should be for the indigenes. It also seeks that the five key executive positions in the state

President, Rotary International, Dong Kurn Lee (second left); his wife, Young (left); District Foundation Chairman, Rotary, Richard Giwa-Osagie (second right) and District Governor, Rotary, Olugbemiga Olowu, during the arrival of Lee at the Murtala Muhammed International Airport, Lagos, for Rotary polio activities in Nigeria…yesterday PHOTO: SUNDAY AKINLOLU

Gunmen kill 38, raze houses in Borno From Joseph Wantu (Benue), Charles Akpeji (Jalingo), Joke Falaju (Abuja) and Njadvara Musa (Maiduguri) N the renewed violence in the northeastern part of the country, suspected Boko Haram gunmen attacked Ngoshe Ndahang hill dwellers in Gwoza Council Area at the weekend and killed 30 villagers. They also attacked Kaigamari Village in Konduga Council the same night, killing eight residents and torching houses in both attacks. According to an eyewitness and resident of Ngoshe Ndahang, Nduka Mbomboh, the gunmen climbed the hill dwellers’ community on foot, clutching AK-47 rifles, Improvised Explosive Devices (IEDs) and petrolbombs, and attacked the huts at about 10p.m before the people started fleeing into their farmlands and caves for safety. “I managed to escape the gunmen’s night attacks without wearing any shoes or shirt. Over two dozens of my neighbours and other friends caught up while sleeping were also shot dead,” he said. “If you stand at Limankara Village on the border with Adamawa State, you will sight plumes of thick smoke billowing into the sky from Ngoshe Ndahang community. “Some of the villagers were also injured while fleeing the insurgents, who also torched several huts and barns of mil-

• Two die, many injured as herdsmen breach Benue truce • Govt sets up inter-ministerial committee on clashes let, beans and tiger nuts, as well as some of the villagers’ livestock that fell into the fires set on houses thatched with cornstalks.” A recent peace deal between the Tiv and Fulani herders, which was brokered by the Federal Government to return peace in Benue State, suffered a setback at the weekend as suspected herders attacked Kula settlement in Gwer-West Local Council, killing no fewer than two persons and injuring many others. Both parties had endorsed a peace initiative by the Federal and state governments instituted two weeks ago and anchored by the Police DIG, Operations, Mr. Michael Zoukurmor. An eyewitness yesterday gave the names of those that were killed in the attack as Aondoakaa Udikpev and Jonah Apete Iordye, adding that one of the survivors, Aondovihi Orba, was critically wounded and was taken to the hospital. National President of Tyoshin Development Association, Dr. Sylvester Ugbegili, while condemning the continued killings, burning and destruction of property in the area by the Fulani herders, called on the Federal Government to direct the soldiers posted to the area to effectively contain the herders.

The Benue Police Public Relations Officer, Daniel Ezeala (Superintendent) confirmed the incident, saying that two persons were killed by unknown attackers and that the Command would work to bring them to justice. Meanwhile, the National Emergency Management Agency (NEMA) has concluded plans to commence the distribution of relief materials to victims of the recent attacks by Fulani herdsmen in Taraba State. However, the NEMA Head of Operations, Gombe Office, Mr. Jediel Apollos, has said the distribution would be difficult, as the victims have refused to stay in camps for fear of reprisal attacks. Apollos, who made this known to newsmen yesterday immediately after a workshop in Taraba, observed that most of the victims of the attacks were living in their host communities. Nevertheless, he confirmed that the state government has received the items and that NEMA officials were waiting for it to take the relief materials to the victims. The workshop theme, “Comprehensive Disaster Management,” is aimed at sensitising the public on how to curtail the outbreak of any form of disaster.

Noting that until disaster management efforts are sustained at individual and community levels, the dream of reducing losses and the scale of destruction would remain a mirage.

government - governor, deputy governor, secretary to the state government, chief judge and House speaker - be reserved for indigenes based on the original five units of the state. These are Ikorodu, Epe, Awori, Eko, Badagry Ibile Elders’ Forum. Meanwhile, the committee has backed efforts by the Lagos State government to recover their ancestral lands appropriated by the Federal Government. In a statement yesterday by the Coordinator of the association, Prof. Rasheed Kola Ojikutu, and SecretaryGeneral, Chief Olakunle Cole, the group said: “The vandalisation of our ancestral roots and culture by the successful Nigerian governments through acquisition of land, in the name of national interest, is still very fresh in our minds. “Through such insensitive acquisition, we lost our ancestral values, artifacts and even sustenance in a manner similar to Niger Delta situation. Unlike the latter, the Lagos State indigenes have remained calm in the face of huge deprivation. We wish to continue to maintain peace in our domain. “However, we wish to warn that erection of sign boards on populist project in the state sends a reminder to us on the suffering and oppressions that successive Nigerian governments have visited on our land for so long. “It is worthy of note that after the capital of Nigeria was relocated to Abuja, the Federal Government, instead of returning most of the acquired property to the original owners, insensitively sold them to other interests, thereby denying our people the opportunity to reconstruct their battered life”.

Court restrains Customs, IGP from arresting businessmen By Bertram Nwannekanma LAGOS High Court sitting A in Igbosere has restrained the Nigerian Customs Service (NCS) Board and the Inspector General of Police (IGP), Mohammed Abubakar, from arresting a businessman, Jude Obiora Iloka, and his partner, Mrs. Nneka Egbe, pending the determination of the suit before it. The presiding Justice, Kazeem Alogba, also restrained officers of the NCS from selling the goods contained in eight 40-feet containers belonging to the applicants. The applicants had filed a suit following a threat of arrest and illegal sale of the goods in their containers by the NCS. Listed as defendants in the case are the Comptroller General of Customs, Adbullahi Diko, Area Comptroller of Customs in Charge of Tin Can Port, Musa Audu Tahir, and Garba M.M. While arguing the ex-parte

motion in support of the suit on Friday, counsel to the applicants, Paschal Ukpaka, had stressed that after his clients paid necessary duties, shipping charges and terminal/warehousing charges in respect of the containers, the respondents were still making moves to arrest them and confiscate the goods in the containers for no just reason. He stated that the exit attestation notes for the said containers, which were under auction, were duly signed by the Customs Resident Official, National Agency for Food and Drug Administration and Control (NAFDAC), National Drug Law Enforcement Agency (NDLEA), Police, State Security Service (SSS) and Musa Audu Tahir, who doubled as the chairman of Joint Allocation Committee. He added that by a letter of March 10, 2014, the NCS listed the said containers and confirmed that they

have been processed and relisted and should allow the allottees (the applicants) to take delivery, but that despite the clearance, some officers from the defendants were making another move to arrest the containers and dispose the goods therein. According to Ukpaka, in a desperate move by the NCS to arrest his clients and dispose the goods, one of their associates name, Israel Egwim, had already been arrested for about three weeks. After entertaining arguments, Justice Alogba restrained the NCS and Police from arresting or attempting to dispose off the goods in the containers. However, the judge, who ordered that hearing notice be served on the defendants, directed the applicants to file an undertaking to pay damages to the defendants if it turns out that the order ought not to have been mane. He also fixed April 16 for hearing.

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Ondo presents ambulances to five hospitals

Deputy VC canvasses more varsities

From Niyi Bello, Akure HE primary healthcare sector of the Ondo State government received a boost at the weekend when Governor Olusegun Mimiko presented ambulances to five primary healthcare centres in five local councils of the state. The presentation, which was made to further reposition the sector for effective service delivery, was given to AkureSouth, Ondo-West, Akoko North-West, Ose and Odigbo local councils, which have mainly large urban population. Speaking during the presentation of the ambulances in his office in Akure shortly after a stakeholders’ meeting of the state task force on polio eradication and routine immunisation, the governor assured that all local councils in the state would benefit from the gesture. He warned that the ambulances should be used strictly for the primary healthcare services alone like the free shuttle buses that are meant to convey students to and from the schools. During the parley, Mimiko said the success of his administration was attributed to collective efforts of all, stressing that all stakeholders must continue to intensify efforts towards complete eradication of child-killer diseases.

From Ali Garba, Bauchi HE Deputy Vice Chancellor (Academics) of Abubakar Tafawa Balewa University, Bauchi, Prof. Isyaku Mohammed, has advocated for the establishment of more universities and polytechnics in the country to meet up with the admission requirements of Nigerian candidates, just as over 10,000 candidate’s sat for JAMB examinations in Bauchi this year. Prof. Mohammed, who stated this at the weekend while monitoring the conduct of UTME/JAMB in Bauchi, said the large turnout of students or candidates for JAMB indicated that the number of candidates is increasing yearly. He expressed optimism that the increase in number of candidates for this year’s JAMB examination will enable the institutions admit more indigent students. He reiterated that the past UTME test being conducted by universities was to ensure that only candidates with genuine results and moral attitude were admitted.

Group trains 541 volunteers on HIV/AIDS, others From Kanayo Umeh Abuja HE Country Director of a non-governmental organisation, Voluntary Service Organisation (VSO), Mr. Sriramappa Gonchikara, at the weekend revealed that the organisation had trained more than 541 volunteers in Nigeria between 2008 and now on HIV/AIDS education and national volunteering. Gonchikara, who revealed this during his visit to the Director-General, National Youth Service Corps (NYSC), Brig.-Gen. Johnson Olawumi in Abuja, added that when young people are provided with the skills they require, they do a lot in the progress and development of the country. He attributed the success of the organisation’s exercise to its partnership with the NYSC, maintaining that there was no organisation in the country that had the outreach to every nook and cranny like the NYSC; therefore, the VSO depended on the organisation in training of the youth.

Enforcement officials of the Federal Ministry of Agriculture and Rural Development, Department of Fisheries, inspecting seized cartons of suspected rotten fish at Bharat Ventures Coldroom, Odo-Olowu area, Oshodi-Apapa Expressway, Lagos…yesterday PHOTO: FABIAN ODUM

Army denies killing APC member at ward congress From Alemma-Ozioruva Aliu Benin City HE 4 Brigade Nigerian Army, Benin City, yesterday denied that its personnel was responsible for firing the shot that killed a member of the All Progressives Congress (APC) identified as Matthew Adams on Saturday at Ward 8, Ekiadolor in Ovia NorthEast Local Council of Edo State, during the rescheduled party ward congress in EdoSouth Senatorial District. However, Governor Adams Oshiomhole has vowed to fish out the killer and the politician who was alleged to have called soldiers attached to the state joint security pa-

• Oshiomhole vows to fish out culprit trol team: Operation Thunderstorm.” Spokesman of the Brigade, Captain Abubakar Abdulahi, told The Guardian yesterday: “We heard of the incident and the allegation that a soldier shot the person; but we have checked the personnel that we deployed to the state Operation Thunderstorm. We have checked all the ammunition with their serial numbers and we found all of them complete. So, the allegation is not true that our man shot and killed the person and we have not also received any report of engagement from our

men.” Narrating the incident on Saturday, the Okao of Isiwa, Dr. Samuel Aibueku, said: “One Prince brought soldiers who came in a Hilux Van 028. They came to the venue, started scaring people and firing bullets. Before we knew it, somebody was on the ground and the boy is from Uniaro Village. The soldiers ran away after the shooting. We are not known to be this violent; we are one big family, this is a new trend in our area.” The rescheduled ward congresses in Edo-South Senatorial District, which is

made of seven local councils and 77 wards, held yesterday with the exercise being peaceful in most areas including IkpobhaOkha,Orhionmwon, Uhunmwonde and others, but reported skirmishes in parts of Oredo, led to the destruction of about seven vehicles including that of the Commissioner for Youths and Sports, Chris Okaeben, in Emokpan Primary School along Mission Road. There was heavy presence of security officials in all the wards visited. In Orhionmwon, the Deputy Governor, Dr. Pius Odubu, urged candidates to work for the interest of the party irre-

Journalists urge effective use of media to fight polio From Ali Garba, Bauchi OURNALISTS Against Polio (JAP) in Bauchi has declared effective use of media and advocacy as key components of communications strategy in eradication of polio in the state and the country at large, just as they called for training and retraining of journalists on issues relating to polio and health. Chairperson of JAP in Bauchi, Elizabeth Car, said this at the weekend during a media chat with stakeholders on polio eradication in the state. Sponsored by World Health Organisation (WHO), Car commended communica-

tions strategies being undertaken by JAP and others in advocacy, mass media, and inter-personal communications to empower people to adopt healthy lifestyles and behavioural patterns with regards to the oral polio vaccine (OPV). “Media strategy has complemented other efforts to reinforce key programme messages and bring about longterm behavioural change in the community to accept polio immunisation. “Media is a critical partner to the programme. Media reports are tracked and analysed at the national,

state, district and block levels. Advocacy meetings, briefings and field trips are on-going to share with the media the challenges, initiatives and programme updates”. Car stressed the need to provide continuous support for the media practitioners and organisations for effective delivery of campaigns and awareness creation. She, however, called on the stakeholders to provide enabling atmosphere for the training of JAP members in the state. In his remarks, Executive Chairman of Bauchi State Primary Health Care

Development Agency (BSPHCDA), Dr. Nisser Aliyu Umar, commended the efforts of JAP through their effective awareness creation to the communities in the state. He pledged to work with journalists in the state towards eradication of polio. Dr. Umar recommended that if the disease is to be eradicated completely in the country, there should be regular sensitisation of clinicians, provision of adequate funds for the exercise and motivation of key informants, especially the non-orthodox, such as patent medicines stores, to report cases.

Civil society group sues Nasarawa over legislators’ allowances By Bertram Nwannekanma HE Civil Society Network Against Corruption (CSNAC) has asked a High Court in Nasarawa State sitting in Lafia to compel the government to disclose information on subventions and allowances to members of its House of Assembly. The legal step by CSNAC, a coalition of over 150 anti-corruption organisations, was as a result of failure of Speaker of the House of Assembly to respond to the request made by Chairman of the coalition, Mr. Olanrewaju Suraju, demanding the information. Named as defendants in the

suit, which came on the heels of the Freedom of Information (FoI) Act, are Speaker of Nasarawa State House of Assembly, the House of the Assembly and the Attorney General and Commissioner for Justice. According to the group, a letter was written to the state governor on September 9, 2013, requesting for the official information on payment for new House of Assembly complex. The Permanent Secretary, Government House, Administration, Usman I. Abu, on October 29, 2013, replied partially but directed the anti-

corruption group to ask House of Assembly for the remaining information. Mr. Suraju, on behalf of CSNAC on November 13, 2013, relied on the reply of the state government to Speaker of the House for the official information on subventions and allowances of the Assembly members. Responding, Clerk of the House, Ego Maikeffi Abashe, on December 9 2013, wrote that “the information cannot be released to the plaintiff owing to the fact that the Economic and Financial Crimes Commission (EFCC) is investigating the matter regarding the said information”.

Counsel to CSNAC, Terna Agerzua, in his written address, wants the court to determine “whether the fact that information requested under investigation by EFCC is a ground for refusal to supply same under the Freedom of Information Act 2001”. He submitted by citing Sections 1 (1) and (2) and 12 of the Act that “from the above, it clearly shows that investigation by the EFCC cannot be said to be ground or reasons for refusal of information as it is done by the defendants. The plaintiff’s application was written on May 13, 2013; clearly 30 days has since lapsed, necessi-

tating this application. See Section 20 of the Freedom of Information Act.” Not satisfied with this reply, the group headed to court to ask for a declaration that the act of the state House of Assembly by withholding the said information on the ground that the said piece of information being demanded, is subject of investigation, is not within the exceptions contemplated by the Freedom of Information Act 2011 and for an order compelling the legislators to release the information together with an order for one million naira general damages.

spective of who emerges as winner. He spoke shortly after the exercise in his Ward 07 in Urhonigbe-South where his preferred chairmanship candidate, Isaac Omoruyi, scored 514 votes as against his opponent, Anthony Edegbe, who polled 244 votes. He said whether winners or loser, all candidates in the congresses were important to the growth of the party. “It has been very peaceful here as you can see for yourselves. We did the accreditation and voting followed suit. We have done the counting and the winners announced. I have, however, spoken with the candidates who contested for the congress that we are one and the same people”. Meanwhile, the congress in Ugboko-Niro Ward 5 was disrupted. National leader of the party, Pastor Osagie Ize-Iyamu, is from there. A party leader in the ward, Matthew Ehigie, said the congress in Ward 5 was cancelled over whether or not accreditation by way of confirming the names in the party membership slip with that in the register of should be done by members just showing their slips. “Some of us insisted on accreditation to prevent what happened on Tuesday when the first congress was cancelled. You will recall that those who are saying voting should be done without accreditation were the same persons who had protested that the Tuesday’s congress was carried out without accreditation. Now, they are saying no accreditation because we have seen that they have doctored the party’s member registration list for the ward. We have seen them bring strange people to us here to vote.” In Oredo, the process had started on a peaceful note with a large turn-out of registered members until a disagreement in Emokpae Primary School during which two persons sustained deep machete cuts on their heads and hands while a policeman, women and children sustained various degrees of injuries.

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Whiz kid Oduwole at The Guardian, speaks on girl-child education By Omiko Awa IGERIAN prodigy, N Zuriel Oduwole, who at 10, was the youngest per-

Chief Operating Officer, Guardian Newspapers Limited, Dr. Alexander Thomopulos (left); child prodigy Miss Zuriel Oduwole, her sister, Azaliah and father, Ademola Oduwole, during her courtesy visit to The Guardian, Rutam House, Lagos.

son to be interviewed by Forbes Magazine and acclaimed as one of Africa’s 100 Most Influential Persons of 2013 has visited Rutam House, corporate headquarters of Guardian Newspapers Limited. It was in connection with her Dream Up, Speak Up, Stand Up project, which was showcased on Saturday, April 12, 2014 at Eko Signature Hotel, Lagos. Briefing the executives of The Guardian, Oduwole said the project was centred on girl-child education in Africa.

Jonathan violating electoral law on premature campaigns, says APC RESIDENT Goodluck Jonathan and his Peoples Democratic Party, PDP have been accused of engaging in crass lawlessness by “their serial violation of the country’s electoral law, under the guise of liberation, family or unity rallies across the country.” The allegation was made by the All Progressives Congress, APC, which in a statement issued in London yesterday by its Interim National Publicity Secretary, Alhaji Lai Mohammed, said the president has exhibited a gross abuse of executive power by leading his party to prematurely kick-start the campaign for the 2015 elections, in violation of the law. It said if the action was anything to go by, the 2015 general elections would be everything but free, fair and credible, urging the Independent National Electoral Commission (INEC) to assert its independence, “if it has any, by sanctioning the lawbreakers since no one is above the law.” “APC warns that if INEC fails to act, it loses any moral authority to stop other parties from also hitting the hustings ahead of time. ‘’Hiding under nomenclature, this President has led his party to engage in brazen lawlessness and shameless impunity. They have gained an undue advantage over other parties, or beaten the gun, in athletics parlance. Therefore, they should suffer the consequences of their action,

Child Prodigy, Zuriel Oduwole at The Guardian on Thursday, last week.

Child Prodigy, Zuriel Oduwole during the courtesy visits to The Guardian last week Thursday.

the least of which is a strong public rebuke, to be followed by stipulated sanctions if they persist. ‘’If nothing is done to check this lawlessness, Nigerians should brace for more in the days ahead. What example is the president laying by violating the law? What signal is he sending to Nigerians about the need to respect the laws of the land? When a president brazenly violates the electoral law under the guise of some rally, has he not started election rigging? Has he not already started compromising the electoral umpires and the security agencies? ‘’We know the president’s conniving handlers and advisers do not appreciate that a higher standard of conduct is expected of the President of Nigeria, through his statements, actions and body language. Unfortunately, everything points to the fact that the president, by his serial violation, is telling Nigerians and the whole world loud and clear that the coming elections will neither be free fair nor credible!’’ The party said, “when President Jonathan boasted in Enugu on Friday, at the so-called Unity Rally, to capture the South-east in 2015, he was engaging in electioneering, rather than reunification, campaign.” APC advised the president to “concentrate his energy on putting Nigerians back to work, ensuring the security of lives and property and stopping the massive looting of the common

wealth under his watch.” The party added, ‘’a president, who cannot even commiserate with the families of innocent school children, who were violently hacked down under his watch has no qualms about skirting around the scene of the dastardly act in the name of electioneering campaign. Yet he has the temerity to point accusing fingers at others. What a cruel irony!”

“We need to talk to our leaders to put in place effective policies that would enable the girl-child to have access to education and acquire skills that would enable her to be useful to herself, contribute to nation-building and impact on her children and community,” she said. Frowning at the situation in countries like Sudan, where girls are given out in marriage at an early age of 12 or less, Oduwale noted that such girls would fall back to the society, when their husbands leave them and because they are not equipped with the necessary skills to enable them fend for themselves, they would go to the streets as beggars or do menial jobs to survive. “For how long must we continue to watch this situation go on?” she queried. She noted that the time has come for everyone to address the situation by speaking out against such practices that hinder the girl-child from being educated.” Oduwole, who recently interviewed President Ebele Goodluck Jonathan, was the youngest person officially invited to celebrate African Union 50th anniversary in Ethiopia. She had in the past interviewed many African heads of state and governments, including chief executive officers of notable companies such as Aliko Dangote.

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Group threatens to sue electricity firm over alleged extortion From Nnamdi Akpa, Abakaliki HUMAN rights group A known as Committee for the Defence of Human Right

Participants during the child awareness walk tagged, “Out on a limb” on Awolowo Road, Ikoyi, Lagos.

PHOTO: SUNDAY AKINLOLU

FG plans review of rice importation policy

From Joke Falaju, Abuja

HE Minister of Agriculture T and Rural Development, Dr. Akinwumi Adesina, has unfolded plans by the Federal Government to review rice importation policy, saying only local producers who buy and mill paddy rice from Nigerian farmers would be granted licence to import the produce. The minister who spoke during a working visit to Olam Rice Farm in Doma Local Council of Nassarawa State said “we are going to regulate the import of rice, in order words, only those that are producing rice, like what we have here, and buying paddy would get the allocation to import any deficit that might be there.” According to him, the government is working towards establishing Paddy Rice Bulking and Aggregation Centres, wherein rice millers could come and buy paddy from farmers, grading it and then farmers are paid. This is coming as a report by the United States Department for Agriculture

• Only local producers to get licence • ‘N320b lost to illegal import in 2013’ (USDA) said illegal rice imports into the country have increased sharply to about 3 million tons in 2013 and is likely to continue in the future due to higher levies on rice imports and inaction of the government to curb rice smuggling. The Federal Government, in an attempt to stop the importation of the produce by 2015, introduced a 40 per cent levy on brown rice imports and a 110 per cent levy on polished or milled rice imports on January 1, 2012 to discourage imports and encourage local rice production. The report noted that the policy led to cross-border informal rice trade and evasion of duty payments estimated at about $2 billion (N320 billion) in 2013. The USDA report projected that Nigeria would import about 3.5 million tons of rice from 2014 to 2015, due to lower production and higher demand, forecasting that

milled rice production would decline by about seven per cent to 2.6 million tons in 2014 to 2015, down from an estimated 2.8 million tons in 2013 and 2014. The minister, while touring the farm, had disclosed that local rice production in two years of the introduction of the Agricultural Transformation Agenda (ATA) has added N320 billion to the nation’s Gross Domestic Product (GDP), and rice farmers have earned N170 billion within the same period. According to him, Nigeria does not have any reason whatsoever for not attaining self-sufficiency in rice production by 2015, in view of the quantity of paddy rice already produced in the country in the last two and half years. Adesina pointed out that the nation produces enough paddy rice, adding that efforts are in top gear to set up

more rice millers across the country. “In 2012, we produced a total of 1.4million metric tonnes of paddy rice. In 2013, during dry and wet seasons, we produced a total of 2.94 million metric tonnes of additional paddy rice. “If we mill this paddy rice, we shall have 1.9 million metric tonnes of milled rice. It means that Nigeria is very close to becoming self-sufficient in rice production, Nigeria imports about 2.3 million metric tonnes of rice annually. I firmly believe that Nigeria will soon be net exporter of rice. We should be the Thailand for rice production in Africa. “We are working hard right now to have a lot of mills that will mill this paddy rice, and after, we will send them to the market.” On job creation in the rice sub-sector, the minister said about 760,000 direct and indirect jobs have been created within the same period. Adesina underscored the need for Nigerians to accord high priority to food production to guarantee security of lives and property and miti-

gate the current security challenges confronting the nation. “The way to have security in Nigeria is to have mechanised agricultural growth process. That process must carry people out of poverty,” he said. Also speaking, the Country Head, Olam Rice Farm, Mukul Mathur, reaffirmed the determination of his mechanised farm to ensure that Nigeria becomes self-sufficient in rice production. Mathur said the farm cultivated 3,000 hectares of rice in 2013, assuring that the cultivation of rice would be scaled up to 7,000 hectares by July 2014.

Gas seller dies in explosion From Alemma-Ozioruva Aliu, Benin City

HERE was a terrifying gas T explosion in a shop in Aruosa Street in Benin City, the Edo State capital, which claimed the life of the shop owner.

Obiano signs N145.4b budget, Umeh, others urge support for gov From Uzoma Nzeagwu, Awka OVERNOR Willie Obiano of Anambra State has signed the 2014 budget totaling N145.4 billion into law, noting that it represents 44 per cent increase over that of 2013. The governor while signing the document tagged “Budget for the family and wealth creation” at the Conference Hall, Awka, at the weekend said the fund would go a long way in dealing with the economic demands and challenges of Anambra State. Obiano praised members of the House of Assembly for

passing the bill promptly, and assured that his administration would abide by the philosophy of continuity to create a medium and long term strategy that would ensure even development and progress. “This is to ensure adequate deployment of resources to key sectors and reposition the state on course to become a major player in local and global economic activities”, he said, adding that it would open doors for investors to flood the state. He disclosed that he has commenced alignment of the budget to the economic pillars of his administration,

particularly agriculture, commerce, industrialization and trade, including oil and gas, which would fast-track development, generation of employment and creation of feeder industries. According to the governor, successful implementation of this development initiative would ensure that dividends of democracy reach the people on sustainable basis. Meanwhile, some Anambra indigenes have reacted to the appointment of 19 commissioners and 10 special advisers into the state executive council by Obiano. A leader of the All

Progressives Grand Alliance (APGA), Chief Victor Umeh, expressed confidence in the ability of the newly appointed members of the state executive council to deliver, declaring that they are people with good background. Speaking to newsmen in Awka, yesterday, Umeh charged the commissioners to work assiduously with the governor to consolidate on the gains recorded to ensure that Anambra people continue to enjoy democratic dividend and good governance. The Commissioner for Transport, Mr. Chuma

(CDHR) based in Abakaliki has threatened court action against the Enugu Electricity Distribution Company (EEDC) over what it described as extortion of the people through billings. Essentially, the group accused EEDC of fraudulent extortion of over N9.22 billion from the residents of Ebonyi State. The allegation was contained in a statement signed by the state chairman of the group, Deacon David Okoro, and made available to journalists yesterday in Abakaliki. According to CDHR, the right of the electricity consumers must be protected from the fraudulent hands of Enugu Electricity Distribution Company, “we have no other option than to sue the company.” The statement further reads in part: “Ebonyi State and its neigbourhood have been subjected to fraudulent direct electricity billing since 2000. “Electricity metering problems have been involved in this fraud and it is one of the basic reasons the customers are overbilled. The CDHR lamented that the people are being given direct outrageous billings for electricity, which they did not consume. “We therefore advocate that direct billing system is affront, evil and anti-human race, hence, it increases the problem of a common man through this fraudulent direct billing system and therefore it must be removed from electricity billing operations throughout the country and Ebonyi State, in particular,” the statement stated. The group called for the immediate intervention of the Economic and Financial Crimes Commission (EFCC) to stop further extortion. “We will initiate court action against EEDC if they fail to sit up, we have decided to settle the matter once and for all, through legal redress,” the CDHR said.

Mbonu, pledged to support the administration in revamping and reforming the existing modes of transportation in the state. Also speaking, the Commissioner for Special Duties, Sir Albert Obi, expressed the determination to justify the confidence reposed in him, saying his appointment was a call to duty. Mrs. Ngozi Okonkwo, who is the Commissioner for Internally Generated Revenue (IGR), urged people in the state to cooperate with Governor Obiano to realize his vision to improve the state’s revenue.

The deceased, simply identified as Steve said to be in his late 40s, was dealing in supply of oxygen and cooking gas to his clientele. He was said to have been blown apart in his own shop a few hours after he opened for business at the weekend. The blast was said to have shattered his limbs and in the process sent the residents to scamper to safety. An eyewitness said: “This is a very sad day for us because the late Steve was a good man. When we heard the bang, we thought it was Boko Haram bomb because we have never heard this kind of explosion. Immediately it happened, people started running up and down fearing that it was Boko Haram.” He said that soon after the blast, what was discovered was the lifeless body of Steve about a few meters from his shop, in his pool of blood. He was immediately taken to the Central Hospital in the state capital where he later died. His body has been deposited at the morgue.”

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NDLEA arraigns 16 suspected drug traffickers

Union laments govt attitude to crisis in colleges of education

From Uzoma Nzeagwu, Awka

From Collins Olayinka, Abuja

HE National Drug Law Enforcement Agency (NDLEA) has dragged 16 suspected drug traffickers arrested at various points in Anambra State in the last two months to the Federal High Court, Awka presided over by Justices Mohammed Lawal Abubaka and Isa Bature Gafui. The prosecutor, representing the Federal Government, Patrick Eshua, had earlier alleged that security operatives from NDLEA arrested the first four accused – Chukwuebuka Agbi, Onyemaechi Ogbonna, Osai Sunday and Uchenna Nwafor– on twocount charge of possession of Indian hemp weighing 36.1kg on March 27, 2014 at Onitsha and an attempt to resist arrest and fight the operatives when they were found with the substances. Also docked at the Federal High Court was Anayo Chigbata (35) on a two-count charge of possession and trafficking in Indian hemp weighing 18.8kg, while Chike Ojukwu (43) and Elo Okoye (43) were arrested at different points in Anambra with weeds suspected to be Indian hemp and weighing 15.3 gram. All the accused, except Elo Okoye, pleaded not guilty. Justice I.B Gafai, who presided at court 2 adjourned the cases to June 17 and 18, 2014, respectively for further hearing. Speaking in an interview to The Guardian after the court session, Eshua said: “The 16 suspects were arraigned today, their cases were called and the charges read out to them individually. They pleaded guilty and not guilty, so they will now appear for further hearing in the matter. “The essence of arraigning the suspects is for justice to be done. We appreciate the efforts of Anambra State government who are encouraging NDLEA to work harder. The fight against drug trafficking should not be left to the government and NDLEA alone.”

HE Colleges of Education T Academic Staff Union (COEASU) has lambasted the fed-

Rights activists protesting the detention of Mr. Yusuf Siyaka Onimisi who tweeted about the shootout at the Directorate of State Security (DSS) Headquarter between escaping Boko Haram suspects and the military at the weekend. PHOTO: AYODELE ADENIRAN

Borno emir alleges seizure of roads by insurgents From Saxone Akhaine (Kaduna) and Njadvara Musa (Maiduguri)

• Ribadu urges reconciliation to end killings

ORMER chairman of the FCrimes Economic and Financial Commission (EFCC),

tell ourselves home truth since we are paying last respect to a father who had made sacrifice for peace in our communities. Let us ponder and ask ourselves: Are we doing the right thing? Is this how things were with us many years ago despite religious and ethnic differences? What is the gain of all these killings, disparaging one another and destroying sanctity of the human life? What is the gain of peddling hatred and sentiments of all kinds? It is God that created people, I don’t know people that can create or re-create human beings.” On the way out of the insecurity in the north, Ribadu said: “We must advance genuine and honest reconciliation; it is paramount and the basis of recreating our communities. “We must exhibit high sense of tolerance and as well as patriotism to our country, and extend love to our fellow citizens irrespective of our diversities. The better we start now, the earlier we change our situation for good for peace and development.” Earlier in his remarks, Rt. Rev. Yohanna Jaja Kantiok, Bishop

Malam Nuhu Ribadu, has said that only genuine and sincere reconciliation can put an end to the killings in the northern part of the country. Meanwhile, the Emir of Gwoza in Borno State, Alhaji Idrissa Shehu Timta, has pleaded with the General Officer Commanding 7 Division of Nigerian Army and the Police Commissioner to save the lives and property of his people by effectively patrolling the 135-kilometre Gwoza-Maiduguri road and 152-kilometre Askira-ChibokDamboa-Maiduguri Forest roads against Boko Haram insurgency. Ribadu, who spoke at the weekend in Marsa village in Zangon Kataf Local Council of Kaduna State during the funeral of a community leader, Elder Peter Aruwan, said Nigerians must realise that bloodshed has no gain, instead desecrate the sanctity of life as created by God and also destroy community relations that existed for centuries. He said: “It is important we

of Kano Methodist Diocese, said Nigeria needs prayers in view of its many challenges. The Emir of Gwoza said pleas to the security agencies has become Inevitable as the suspected Boko Haram insurgents have taken over the affected roads since last January by blocking them to “ambush and kill” innocent motorists and passengers on daily basis. The emir’s pleas were contained in a statement by the Information Officer of Gwoza Emirate Council (GZEC), Baba Ahmed Karau, and made available to newsmen yesterday at the Government House in Maiduguri. The monarch, in the statement, further disclosed that besides the “blocking and taking over” of three roads in the chiefdom, two bridges on the Bama-Gwoza and Damboa-Gwoza roads had already been blown up and destroyed with explosives by insurgents last month. These and other live threatening activities of the insurgents, the statement explained, have prevented many traders and motorists

from travelling to Maiduguri to buy goods and other market wares for their customers. The statement also reads in part: “In fact and sincerely speaking, my people, including the traders and other businessmen and women have been prevented from travelling to Maiduguri to buy industrial and household goods for sale to customers in my chiefdom with an estimated population of 655, 000 in 11 wards and other border communities with Cameroon. “Besides that, there was no day the Boko Haram gunmen will not kill seven to 15 residents on these three roads that had already been blocked and taken over by insurgents. My people have been prevented from going to work on their farmlands last year and even the limited cultivated farmlands with harvests, including my 350-hectre farmlands and Orchards at Jaje village were seized by the insurgents last October. How can the people of Gwoza meet their family requirements for basic needs of food, water and security?”

eral and state governments for allegedly showing little desire to ensure re-opening of the colleges. In a statement yesterday in Abuja, COEASU National President, Emmanuel Asagha, and the General Secretary, Nuhu Ogirima, warned that the alleged resort to ‘brinkmanship’ by government to tackle the challenges in the education sector would be counterproductive. The union stated that since the strike started on December 18, 2013 and despite the fact that agitation on the issues in contention began way back in the year 2010, the federal and some state governments and their agencies have not shown the least concern. The union, however, commended the Ministry of Labour and Productivity led by the Minister, Chukwuemeka Wogu, for its untiring efforts towards early resolution of the industrial dispute. The statement reeled out the issues in contention to include: Non-accreditation of programmes and its implications on the entire system; corruption of the security architecture of the colleges through outsourcing to settle political allies at the detriment of staff and government’s huge investment; the need to mainstream this cadre to safe cost and encourage commitment to effective service delivery; non-payment of pension/death benefits to families of our deceased colleagues due to corrupt modes of appointments of the underwriters against the provisions of the 2004 Pension Act and non-release of the April 2012 Visitation White Paper given the attendant implications of possible time bound recommendations as they affect our members. The union also mentioned expansion of access to specialised teacher education degree spaces by granting Colleges of Education the autonomy to award degrees not in affiliation to avoid the present ripping prone mode presently in practice, saying most post-NCE students spend years in frustration seeking admission to non-existing spaces in Nigerian universities as other matters that should be addressed by government. The union is also seeking the harmonisation of conditions of service in Nigerian tertiary institutions to check brain drain and ensure quality standards everywhere.

‘Nigeria making progress in move against child, maternal mortality’ From Omotola Oloruntobi, Abuja HE Minister of Women T Affairs, Hajiya Zainab Maina, has stated that Nigeria is currently witnessing a steady progress in reducing the alarming rate of child and maternal mortality in the country. This was disclosed by the minister when she received the Country Director of IPas Nigeria, Dr. Lola Mabogunje, in her office. According to Maina, “we are half way to meeting the 2015 target for infant mortality rate and one-third from the

under fives mortality rate”. With respect to maternal mortality, Hajiya Zainab Maina, disclosed that the number of women who die during child birth has reduced drastically to 350 per 100,000 live births as against 800 and 545 figures recorded in 2004 and 2008 respectively. She revealed that these successes where recorded as a result of deliberate interventions from her ministry, other line government ministries and agencies, as well as development partners.

Maina said her ministry had intervened in the provision of ambulances, including boat ambulances, to the riverine areas for the purpose of enhancing maternal mortality intervention services, distributed Mama Kits during advocacy visits to various states, support the training of specialised health personnel, distributed delivery kits to indigent pregnant women aimed at safer birth deliveries and undertook advocacy and social mobilisation campaigns for improved maternal mortality at national and state

levels, among others. “These actions had helped tremendously in the steady progress we are currently witnessing as compared to previous years in respect to the rate of child and maternal mortality in Nigeria,” she stated. Other intervention strategies that contributed to the success story, according to the minister, include the introduction of the Integrated Maternal and Child Health Strategy, Midwifery Service Scheme, the Conditional Cash Transfer for Pregnant

Women to encourage skilled birth attendants and Immunization for children, and the SURE-P Maternal Project. She, however, expressed regret that although the number of maternal deaths has declined greatly, progress remained slow and there are growing disparities in knowledge about access to reproductive health care, particularly among the poor and rural women. While commending IPas for its contributions to the success so far recorded, the min-

ister called on the agency to redouble its support to the ministry to record more achievements. Mabogunje lamented the increase in rape cases in Nigeria, with 78 reported between January to March 2014 alone. She assured that her agency will continue to work with Nigerian government in addressing such challenges, including an increase in its traditional support programmes on reproductive health, maternal mortality and child morbidity.

10 Monday, April 14, 2014

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PHOTONEWS

Leader of delegation, Edward Bloustein School of Planning & Public Policy, Dr. Domenic Ginger (left); CEO, Institute for Government Research & Leadership Technology, Ambassador Moses Essien and Secretary-General, New Jersey Democratic Committee, Hon. Nick Nvoelker, at the Multicultural Leadership Development Programme in Newark, United States of America.

Vice President, Chartered Institute of Personnel Management (CIPM), Anthony Arabome (left); President/Chairman of Council, CIPM, Victor Famuyibo; Director, Professional Development (ACIPM), Charles Ugwu representing Registrar/CEO, CIPM and Chairman Learning Committee (FCIPM) Bode Shogo, at the CIPM Career Entrepreneurship in Lagos. PHOTO: CHARLES OKOLO

Director, Finance, Nigerian Communications Commission, Iyabo Sholanke (left); Acting Chairman, Fiscal Responsibility Commission (FRC), Victor Muruako and Head, Policy and Standards of FRC, Alex Elikwu as FRC summoned NCC on operating surplus remittance in Abuja. PHOTO: LADIDI LUCY ELUKPO

Director of Nutrition, Lagos State Ministry of Health/President Lagos Chapter, Nutrition Society of Nigeria (NSN) Dr. Abimbola Ajayi (left); Nutrition and Health Manager, West Africa, Unilever, Victor Ajieroh and President, NSN, Prof. Ngozi Nnam at the Nutrition Education Programme in Lagos. PHOTO: AYODELE ADENIRAN

Ogun State Commissioner for Women Affairs and Social Development, Elizabeth Sonubi (second left) with other guests at the christening of Kind David Etimbok Omotoyosi Amosun and Queen Elizabeth Morayoninuoluwa Onyiyechukwu Amosun delivered by two of the eight pregnant victims of the Akute baby-making factory in Abeokuta.

Chairman, Membership Services and Branch Liaison Committee, Institute of Chartered Administrators of Nigeria (ICSAN), Antai Effiong (left); Vice President of the Institute, Dr. Nat Ofo and the Registrar/CEO, Dele Togunde at the 13th induction of members of the institute in Lagos. PHOTO: GABRIEL IKHAHON

Head, Logistics, PZ Industries, Oluwaseun Oduyebo (left); Executive Director, Personal and Business Banking, Stanbic IBTC Bank, Obinnia Abajue and Managing Director/CEO, Joza Global Logistics, Emmanuel Usiakpor at the 2014 Haulage and Logistics Forum organised by the bank in Lagos. PHOTO: FEMI ADEBESIN-KUTI

Senior Head of Sales, Doyin Instant Noodles, Duru Nnamdi (left); Head of Sales, Godfrey Ogbitebu; Finance Controller, Stephen Daramola and Group Audit Manager, Frank Oludare, during the launch of Doyin Instant Noodles in Lagos. PHOTO: SUNDAY AKINLOLU

Monday, April 14, 2014

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WorldReport Kenya faces uphill battle to revamp police, stem insecurity

U.S. warns Russia of ‘additional consequences’ over Ukraine NITED States Secretary of U State, John Kerry has warned Russia of “additional consequences” if it fails to pull its troops back from the Ukraine border, as Kiev accused Moscow of aggression in its restive east. During a telephone call with Russian Foreign Minister, Sergei Lavrov, Kerry “made clear that if Russia did not take steps to de-escalate in eastern Ukraine and move its troops back from Ukraine’s border, there would be additional consequences”, a senior State Department official said. A first wave of U.S. sanctions unveiled in March blacklisted officials and businesspeople close to Russian President, Vladimir Putin to protest at Moscow’s takeover of Crimea. U.S. Vice President, Joe Biden will travel to Ukraine on April 22 to stress support for Kiev and steps to improve its energy security, the White House said in a statement. Ukraine accused Moscow of aggression after Kalashnikovwielding gunmen seized two security buildings in its restive eastern rust belt on Saturday amid spreading protests demanding the Russified region join Kremlin rule. The coordinated attacks and a series of gunfights between militants and police in two eastern towns underscored

the volatility of the crisis ahead of first direct talks between EU and US diplomats and their Moscow and Kiev counterparts in Geneva on Thursday. “The authorities of Ukraine view today’s events as a display of aggression by the Russian Federation,” Ukraine’s Interior Minister, Arsen Avakov wrote on his Facebook page. Kiev said Ukraine’s interim Foreign Minister, Andriy Deshchytsya told Lavrov by telephone at the weekend to “stop the provocative activities of Russian special services in the eastern regions of Ukraine.” But Moscow said Lavrov firmly rejected the accusation and “noted that similar claims... have been made by Washington, although we still have not been presented with any concrete proof”. Acting Ukrainian President, Oleksandr Turchynov convened an emergency security meeting after his interior minister reported that a “gunfight” had erupted between local security forces and militants who had attacked a police station in the eastern town of Kramatorsk. The meeting broke up around midnight with no announcement except that the participants were considering measures to allow “normalisation of the situation in eastern Ukraine”.

HEIR capital tarred with T the nickname “Nairobbery” and under

A supporter holds a rose and a placard bearing the portrait of Algerian President, Abdelaziz Bouteflika who runs for a fourth term during a political meeting ahead of the presidential election in the capital Algiers…yesterday. PHOTO: AFP

Guinea-Bissau votes in poll aimed at undermining coup OTERS in Guinea-Bissau V began casting their ballots yesterday to elect a new president and lawmakers in an election meant to draw a line under a 2012 military coup that plunged the West African nation into chaos. The frontrunner in a field of 13 for the presidency is Jose Mario Vaz, the former finance minister and candidate of the dominant African Party for the Independence of Guinea and Cape Verde (PAIGC). Most of the presidential candidates come from a new generation of politicians. Chief amongst these is Paulo Gomes, a former World Bank executive and Harvard graduate who is seen as the strongest challenger to Vaz. “I came in very early

because I wanted to choose a leader who will be able to take Guinea-Bissau forward after all the problems we have had in the past years,” said 21-year-old Gibrilo Cande, one of the first to vote after polls opened at 0700 GMT. A line of about 100 voters snaked into the street from an abandoned cinema which was turned into an open-air polling station for the day. Nearly 800,000 voters, most of them young and voting for the first time, are expected to take part in the ballot which could usher in new leadership in the coup-prone nation that has been dubbed Africa’s first “narco-state”. Polls will close at 1700. The former Portuguese colony is home to 1.6 million

Egypt arrests alleged ‘terrorist’ who fought in Syria GYPT has arrested a veteran E of the Syrian civil war on suspicion of planning terrorist acts inside Egypt, the state news agency reported. The Egyptian prosecutor’s office in Suez City ordered the arrest of Wael Ahmed Abdel Fattah for 15 days, MENA reported, adding that he was suspected of working with Islamist militant groups. MENA said Abdel Fattah, a former oil company employee, battled in Syria alongside the

Nusra Front, seen as the most effective rebel group fighting Syrian President, Bashar alAssad. Since the army toppled President Mohamed Mursi of the Muslim Brotherhood last July, Islamist militants based in the Sinai Peninsula have stepped up attacks on police and soldiers, killing hundreds. The insurgency has spread to Cairo and other cities, where senior security officials have

been targeted. The Egyptian state and militants are old foes. Islamistleaning soldiers assassinated President Anwar al-Sadat in 1981, mainly because he signed a peace treaty with Israel. It took former president, Hosni Mubarak years to put down an Islamist insurgency in the 1990s. Egypt’s army-backed government says it will defeat Islamist militants, who carry

World must end ‘dirty’ fuel use, UN insists long-awaited United A Nations report on how to curb climate change says the world must rapidly move away from carbonintensive fuels. There must be a “massive shift” to renewable energy, says the 33-page study released in Berlin. It has been finalised after a week of negotiations between scientists and government officials. Natural gas is seen as a key bridge to move energy production away from oil and coal. But there have been battles

between participants over who will pay for this energy transition. The report is the work of the UN’s Intergovernmental Panel on Climate Change (IPCC), which was set up to provide a clear scientific view on climate change and its impacts. The Summary for Policymakers on mitigation paints a picture of a world with carbon emissions rising rapidly. “The high speed mitigation train needs to leave the station very soon, and all of global society will have to

get on board,” the IPCC’s chair Rajendra Pachauri told journalists in Berlin at the launch of the report. Dr Youba Sokono, a cochair of the IPCC’s working group 3, which drew up the report, said science has spoken. He added that policy makers were “the navigators, they have to make decisions, scientists are the map makers”. The UK’s Energy and Climate Change Secretary, Ed Davey said global warming needed to be tackled using “all technologies”.

out shootings and bombings. It’s not clear how many Egyptian militants have fought in Syria but any serious numbers returning from the battlefield could complicate efforts to contain violence if they wage a holy war at home.

people and covers about 10,800 square miles (28,000 sq km). Weak state institutions and a labyrinthine coast of islands and unpoliced mangrove creeks have made it a paradise for smugglers of Latin American cocaine, mainly destined for Europe. If no candidate wins an outright majority, a second round will be held between the top two candidates. The country’s last attempt at an election two years ago was aborted when soldiers under army chief Antonio Injai stormed the presidential palace days before a scheduled presidential runoff. Twice delayed, yesterday’s vote was organised after pressure on the transition government from the United Nations, the United States, the European Union and West African regional bloc ECOWAS, which has been bankrolling the interim government. “We are tired of military coups. Everybody is tired, we just want the country to get back to normal,” said 77-yearold retired civil servant Alexandre Vierra.

almost constant threat of attack by Islamist militants, Kenyans are losing patience with the ill-equipped and notoriously corrupt police force. A catalogue of security failures has exposed the inability of Nairobi’s underpaid police to deal with the severe security problems, prompting President Uhuru Kenyatta to step in and promise a massive overhaul. But analysts and security experts say it will be an uphill struggle to undo the broken relationship between public and police, given the ingrained stigma attached to the job and the fact that Kenyans have resorted to mob justice or now-ubiquitous private security firms. “The public in Kenya has never really trusted the police, hence the failure of such noble concepts as community policing,” said Ken Ouko, a sociology professor at the University of Nairobi. Joining the police has always been viewed as a career choice of last resort akin to an admission of academic failure, Ouko said. “Most policemen carry with them an anger that quietly seethes underneath as they go about their daily operations,” he added. The result is plain to see: anticorruption website ipaidabribe.or.ke provides daily accounts of police extortion, mainly involving motorists stopped for spurious traffic violations and told to pay up or go to jail. On social media, police are held in almost constant contempt. There was particularly vehement ridicule in January when police downplayed an explosion at Nairobi airport, saying it was an exploding light bulb, only later to arrest four Somalis and charge them with a terrorist attack.

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12 | Monday, April 14, 2014

Politics THE NATIONAL CONFERENCE

‘How Jonathan can make himself one of Nigeria’s greatest presidents’ Ebere Onwudiwe, political scientist and professor of political economy, is the executive director of the Ken Nnamani Centre for Leadership and Development in Abuja, Nigeria. He spoke to Gordi Udeajah on some national issues, including the national conference, defections of politicians, lobbying and obstacles against it, as well as alleged non-release of funds to MDAs. OU must have some views on the national Y conference raging on in Abuja. What are they? It’s funny how you say that it is “raging on.” But I suppose that phrasing fits the confab’s cantankerous beginnings. But that’s understandable. The crabby mood of the delegates, drawn from all corners of our heterogeneous polity, makes the case for a national conference, does it not? My position on the conference is this: deal with the most important danger to the existence of Nigeria: Concentration of the power at the centre and our current practice of executive presidency! Executive presidency is the view of the power of government, as the power of the president. Today, when people say the Nigerian government, they actually mean the president. What this means is that at the level of the horizontal division of power between our three branches of government — legislature, executive and judiciary, power seems to be concentrated on the executive branch. And at the level of the vertical division of power between units of government in our threetiered federalism — federal, state and local government, power is concentrated on the federal, which means the president, again. So, if President Jonathan, through his national conference, succeeds in devolving power, in making the judiciary and the legislature more independent (ending executive presidency), and in making the states and local governments more powerful and competitive (ending the concentration of power at the centre), he would have made himself one of Nigeria’s greatest presidents. If not, the suffocating and wasteful weight of the federal government will eventually crush Nigeria dead. There is spate of defections by politicians from one political party to another, including some that were elected and serving in elected positions; is this good for our democratic growth? Some see the defections as frivolous and even incredulous. But you never really know whether they are for real or just negotiation ploys. Whatever the case, they appear, at first flush, to be merely reflections of our stage of democracy and our habit of self-aggrandisement. Still, it is not really anything unusual. Cross-carpeting, as you know, did not originate in Nigeria. However, I relate its recent frequency to our current level of democratic growth and experience with competitive politics. Do you have a panacea to check this, and what is it? During our recent National Stakeholders’ Forum on Electoral Reforms, Hajiya Amina Zakari, INEC’s National Commissioner in charge of Election Party Monitoring, called for a strict set of conditions for cross-carpeting. In addition, we should make it crystal clear that a member of parliament or a governor shall vacate his seat if he ceases to be a member of the political party that elected him to parliament or governorship. In our very fragile democracy, this is the only way to punish the opportunistic motivations of elected politicians that switch political parties over slight provocations. Some people are upset by cross-carpeting and wish that it attracted a deterring penalty. Others

Onwudiwe find it disgusting that politicians often pull the wool over the eyes of the people to win elections, and then, for a simple provocation, selfishly defect to another party without paying any mind to the sensibilities of the many that put them in office. But others still argue that democracy is about freedom of association, and so on. For me, the most important question is whether any laws have been broken.

to achieve for our country. Do you see obstacles against lobbying in our political system? I think that there is some serious lobbying going on in our system, but it is hardly transparent and organised under the law. It is very difficult to say, however, what the other obstacles are. In politics where lobby groups exist, the interests that they represent fund them. These could be business interests, labour interests, consumers, and professionals HOW do you rate lobbying in Nigeria as a prob- such as lawyers, engineers, truck drivers, doclem-solving tool? Has it been an effective poli- tors and a million others, including sovereign cy, influencing instrument in our democracy? states. Lobbying is an instrument that pressure Nigeria spends millions in lobbying other forgroups use to make government follow poli- eign governments. Interest groups and others cies that reflect their own preferences. In the contribute millions of dollars with which to pay pluralist model of democracy, which we are registered lobbyists to lobby elected officials to practicing, groups compete for favourable gov- do the right thing. ernment policies. I have a lot of friends in the Nigerian military Lobbying is, in fact, a type of advocacy to influ- where I was once a consultant. I talked to some ence government decisions by individuals or generals and other officers who have retired groups on behalf of special interest groups or from the military about lobbying. I asked why even individuals. As long as government prop- they don’t form a very serious organisation of erly registers the lobbyist, then, what they do Nigerian retired military officers because our should be quite legitimate. retired military people are relatively still strong, I don’t believe that we have reached that level highly skilled and excellently trained. of serious registry of lobbyists in our democratBut all of a sudden, when they retire, the govic growth. That’s why here (in Nigeria), we ernment seems to abandon them. Their intermake sure that a person from our kindred wins ests are not seriously reflected in government office instead of the best man from another policies at the expense of them as a group and place. individually; and at the expense of the country Until our politics reach the stage that people as whole. align with each other on the basis of interests In some countries, there is even an association and ideology, and vote that way, too, rather of retired people in general. Unlike our retired than on the basis of faith and family, lobbying military people, for example, nothing unites will continue to be opaque or under the table these people but old age and the status of retirewhere it comfortably hobnobs with bribery ment. and corruption. And yet, the associations that represent them, You see, democracies allow freedom of associ- such as the American Association of Retired ation, which gives rise to interest groups and Persons (AARP), which is a membership organilobby groups. And because democracies allow sation for people 50 years old and over, manmore than a single centre of such power, they ages to become very powerful lobbyist. are said to be pluralist. If you are an older person like me, and you manPluralism allows competition for government age to belong to an association such as AARP, policies among pressure or interest groups. So, you will lose all fears of vulnerability, given all lobbying, when transparent and properly regu- the great services that they provide to members. lated, can be a good not a negative thing in a In this respect, lobbying cannot be all that bad. democracy, because it is an instrument for polI believe that a lot of it is happening quietly in icy competition. Nigeria, but there is no record of this lucrative Still, as I have tried to argue, it is not limited to profession. transparent democratic systems — that level of Retired legislators usually populate lobbyists democratic state that we are still working hard because they know the system. That’s why some

of the most powerful law firms in the capitals of important and settled democracies are primarily lobbyists. But in the situation where some people enter our National Assembly and retire as millionaires, lobbying fees may be far below their pay cheques. That may count as another obstacle to the growth of the lobbying industry in Nigeria. There are issues of non-timely release of funds to Ministries, Departments and Agencies (MDAs); what’s your comment on this anomaly? Once in a while, government delays or refuses to release funds appropriated for an agency for a variety of reasons: to make the head of the agency behave, if they feel that he/she was becoming too big for his/her breeches or not toeing the line and needed to be reminded who the boss was. For whatever reason, they (government) impound funds already appropriated. It can be argued that the governments break the law when they do so. In a democracy such as we now enjoy in Nigeria, government should operate a federal budget, as specified in the budget document, including the release of funds specified in the budget for MDAs. Whatever we say about the elections that brought them to the legislature, the majority of the men and women who represent us in the National Assembly approved those budgets. To that extent, their votes for the budget reflect the preferences of a majority of Nigerians. Therefore, the president is bound to implement the entire budget religiously, whether he likes or does not like all of it. He cannot pick and choose what parts to implement, which agency to fund, and which to punish by impounding its funds. However, some people believe (especially presidents) that the impoundment option is inherent to the office of the president. I disagree, because I believe that it violates the will of the majority of Nigerians. If President Jonathan or any other president does not want to release the money allocated to a specific MDA, he should go to the legislature to make his case and, if he succeeds, he can rescind that part of the budgetary provision. I vote for this option. YOU studied, lectured and worked abroad for decades and you are now in Nigeria. Have you finally come back? If so, how has it been settling down? How do I like it? That’s a question you ask a foreigner. What’s not to like about Naija? I am happy to be back in my country where I am currently running the Ken Nnamani Centre for Leadership and Development (KNCLD) in Abuja as the executive director. What is the mission or programme of the centre? The centre works to maximise the performance of African leaders in both public and private sectors through capacity-building, research and public advocacy. We also train future African leaders. These represent our main mission. Let me say that I want to be identified with KNCLD where I am the executive director rather than as a professor in the USA where I lived and taught. I am not some kind of Diaspora person anymore. I live right here and have done so for some time now. I loved living in the USA and I love living in Nigeria now. Of what use or significance has the centre been to Nigeria’s political development? Well, that’s really difficult to quantify. What we do flows from the pedigree of the person for whom the centre is named — the former Senate President, Mr. Ken Nnamani. The values that he is known for, including patriotism, courage and integrity run through the veins of our training efforts, to the extent that these virtues are imbibed by participants in our programmes; to that extent is the measure of our significance. But as you see, when any leader (young or old), who has gone through our programme, resists the temptation to cheat in public service or private endeavour, and when she/he does the right thing by Nigeria no matter whose ox is gored, the centre is not there to make a note. So, there is no statistics to back our contributions, to measure our significance.

Monday, April 14, 2014 | 13

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THE NATIONAL CONFERENCE

‘It’s waste of resources’ • APC set to produce credible leaders Alhaji Hassan Jikan Ardo, Interim Chairman of the All Progressives Congress (APC) in Taraba State, told Charles Akpeji in Jalingo that injustice perpetrated by those in authority is responsible for the crises in the polity. HAT is your position on the national conW ference? I am opposed to the national conference because to me, it is meaningless. We are not talking about laws when you have insecurity across the country, and extra-judicial killings all over. When you have these problems at hand, instead of us to sit down and look at how to tackle them, we are busy wasting resources on a national conference. You can only call for a national conference when there are people that exist, which would benefit from the confab. But when these people are being killed, and you have not tackled that problem, you are talking of a national conference. That is meaningless and it is nonsense. That is my own view and I believe that is the view of the majority in the APC because human life is first; whatever you are going to do as a government is to protect life and property. When such things are not being protected — in your house you are not secured; in the market place and in your work place, you are not secured; and when you are walking in the streets, you are not secured and yet, somebody is talking about people coming together to discuss issues of the country. Look at the colossal amount that is being sunk into this project. What for? I think this money would have been used in order to tackle the security problem and rehabilitate those that are affected.

That would have been better because it is only when the people are there that the national conference would be beneficial to them. So, I am totally against it and I will never support it with this prevailing situation. But if the country were in peace and harmony, then we can call for a national conference and have the views of Nigerians. If we are not careful, these things would degenerate into something else because people are watching. We are not even on our own. You cannot be a politician without the people. How prepared is the APC to ensuring hitchfree convention next month? As you rightly pointed out, the APC is preparing for its congresses from the ward level to the national convention coming up in May 2014, by the grace of God. Right now, preparations are in top gear right on the formation of congress committees and appeals committees from the ward level. It is part of the INEC requirement to have a leadership of the party from the ward level, and we are working day and night to ensuring that this leadership emerges within this period. Part of the preparations is to draw up the lists of those that can conduct these congresses diligently, to ensure that the right people are put at the helm of affairs to run the party. This is where we are and we are working round the clock in all the 16 local government councils and 168 wards in the state, which are well-informed. The wards and local governments have their representatives because our party wants to cut across every segment of indigenes of Taraba to participate; that is why we are taking it from the ward level. Is the APC considering the possible emergence of consensus candidates so as to discourage any form of wrangling? It is a very simple matter. In this case, we don’t have problem about that because you always have this internal wrangle where there is an element of injustice. When you are out for justice, you will not have such internal

Ardo wrangling in the party. We are trying to carry everybody along, but anyone, who is sincere, knows who is competent within their areas because the ideal person that passed judgment on someone is somebody who knows the person. You cannot pass a judgment on someone you do not know. So, what we are trying to do is where we have consensus, which is allowed constitutionally. Even in the Electoral Act allows it. But everybody knows who is competent. If we are ready, sincere in our dealings and we are out for business, we are out to salvage this country; we know who are the right persons to put in the place to manage the party. So, we are working on that (consensus arrangement) seriously. Where we have such, there would be no election. And where there are two or more individuals we feel are at par,

the people are free to come out and exercise their civic rights to select the best among the two or three. How convinced are you that INEC will provide a level-playing ground for all the political parties in the 2015 elections? If you talk of the Independent National Electoral Commission, we need to understand the word, ‘independent’ in it very well. Independent means, allowing somebody to work on his own, to do the right thing, at the right time for the right people and at the right place without having undue influence from someone or a group of people. All what we need is to see that that independence is practised. I happen to come from the accounting profession. If you look at section 5, sub-section one to five in the Auditing Standard, it says that an auditor should be seen to be independent. Sub-section two says that you should not only be independent but you should be seen to be independent in your actions. So, all that we want is INEC should be independent. We, Nigerians, should also make INEC to be independent. There are things that we need to challenge them in the open and let the world see. And when there is injustice from the INEC, we would challenge it. We are saying it before anybody; we (APC) will challenge them, and we will make the world to know that the INEC is not independent. Some of these crises you have in the country — pre and post-election crises — are because of the injustice of taking side with another person. We don’t allow that in our party and we are appealing to INEC to make sure that they live behind a legacy for others to follow. We don’t have a reason to challenge INEC now because you cannot pass a judgment on a case that has not been reported to you. We, as APC; this is the first time we are going into election; so, if we say that we cannot get that (justice) from INEC, I think we are not being fair to them. We are expecting that INEC would be fair enough to do the right thing and do justice to every political party in this country.

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14 | Monday, April 14, 2014

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Conscience Nurtured by Truth

FOUNDER: ALEX U. IBRU (1945 – 2011) Conscience is an open wound; only truth can heal it. Uthman dan Fodio 1754-1816

Editorial The unemployment crisis HEN the Minister of Finance, Ngozi Okonjo-Iweala, announced some days ago that 1.8 million graduates enter the employment market yearly, the magnitude of the unemployment in Nigeria could not have been better captured. Tragedy is: There seems to be no immediate solution, especially from the government in which Okonjo-Iweala serves. For that huge number to enter the job market annually when a backlog of millions has no job portends grave danger for the country already traumatised by a myriad of problems. It is, however, more baffling that this government appears to have no idea about the actual number of new entrants, and as such, could neither plan effectively nor appreciate the gravity of the challenges. Hence a certain lack of national planning persists even when the educational institutions are there to provide the plank for knowing the population of school leavers. The minister spoke at a meeting with a delegation of the Arewa Youth Forum (AYF) in Abuja. According to her, the data was generated by the National Bureau of Statistics (NBS) to enable the Federal Government ascertain the level of youth unemployment and come up with policies to address it. The death of many job seekers at the Nigeria Immigration Service organised test recently may have spurred government to seek accurate data from the NBS. For, as the minister said: “I am proud to say that after two months of methodical work, statisticians have come up with a data that 1.8 million people enter the job market yearly.” Instead of expressing grief that the country is facing such a grave situation, the minister, of course, is expected to announce what the government in which she serves is doing about it. Gratifying as it is, getting accurate information about the unemployment is no end but a means to an end. Indeed under normal circumstances, such information should be taken for granted. Without accurate information, the authorities it would seem, before now, have been merely paying lip service to the crisis of unemployment while the number has continued to increase beyond comprehension. A pertinent question is: Why did it take the death of innocent job seekers for the statisticians to do their job? How reliable is the information released in such a haste? Using that as a base, what is the actual number of the unemployed in the country? And, what strategy is there to tackle the problem? Of course, only one thing can save or, at least, ameliorate the situation: a nation of entrepreneurship in which creativity and self-help work. Unfortunately, those who would like to be so self-employed can hardly do so due to an unconducive environment. There is absence of critical infrastructure, no raw materials and no good infrastructure. The Small and Medium Enterprises (SMEs) policy designed for this purpose is hardly working and that failure of SMEs is a big minus for job and wealth creation. Under normal circumstances, big companies should be big employers as they endure and maintain greater stability. But this is only possible in an environment where such businesses can thrive. A situation where there are too many contending forces against industrial development does not augur well for job creation and sustainable industrialisation. Manufacturing companies are folding up and some have relocated to other West African countries. Not long ago, the Enugu Chamber of Commerce, Industry, Mines and Agriculture (ECCIMA), disclosed that some 178 cottage and private companies in the southeast have closed shop. The situation is the same across the country. Specifically, lack of electricity is the single most critical factor hindering industrial development. That, also, is responsible for the demise of thousands of companies, both big and small. Others include poor infrastructure and weak exchange rate, which leads to capital flight. Seeking to reverse the ugly trend of unemployment without stable electricity is almost impossible. Government should encourage self-employment and the big companies should also be encouraged to return to production with appropriate incentives and enough investment in infrastructure. The YouWin strategy and SURE-P should be made more proactive and comprehensive to help absorb the army of the unemployed.

LETTERS

Akintola, Adekunle deserve centenary honour The decision of the Sof IR:Federal Government Nigeria to celebrate 100 years anniversary of Nigeria as a nation is worthwhile and the government deserves kudos. In spite of the contrary view of the cynics, amalgamation of the various pre-colonial units to form Nigeria by the British colonial overlord had more benefits than minuses. The population, landmass, human resources, and cultural diversity, if all are wellharnessed could have made the country one of the most advanced in the world. Problems this country is grappling with are just teething ones which, with commitment and dedication on the part of our leaders would soon fizzle out. In relation to the above, the centenary awards given to many eminent people, about 100 in all was a step in the right direction as they would galvanise others to give in their best for the greatness of this nation. However, while I did not know the criteria used in selecting the recipients

Brigadier Adekunle, the Commander, 3rd Marine Commando of the Nigerian Army during the Nigerian civil war, contributed to the corporate existence of this nation by his exploits which were nationally acknowledged. As a matter of fact, the General is bed ridding at present due to the effect of the war of the centenary awards, I want to say that there were some omissions, which the government has to consider in future. Chief Samuel Ladoke Akintola and Brigadier Benjamin Adekunle are two Nigerians who so much cherished the unity of Nigeria and paid dearly for its sustenance - Akintola with his life, Adekunle with his health. Since the centenary celebration was premised mostly on the sustenance of the unity and corporate existence of this nation, the due should be given. May be because Ogbomoso people are one of the most travelled peoples in Nigeria, they so much cherish unity of this nation. This was exhibited by the late S.L.A Akintola when, contrary to the stand of his party, Action Group, on regional solidarity he harped on national soli-

darity as a means of promoting unity and development in Nigeria. This later cost him his life. Also, Brigadier Adekunle, the Commander, 3rd Marine Commando of the Nigerian Army during the Nigerian civil war, contributed to the corporate existence of this nation by his exploits which were nationally acknowledged. As a matter of fact, the General is bed ridding at present due to the effect of the war. Why the duo was left out of the centenary award was conjectural. However, I so much believe that it was due to oversight on the part of the centenary committee saddled with the selection. Therefore, President Jonathan is implored to make some amendment by giving honour to whom honour is due. • Adewuyi Adegbite, Apake, Ogbomoso.

Monday, April 14, 2014

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Opinion Is a new, better, united Nigeria realisable? (1) By Ben Nwabueze HE search for a new, better and united Nigeria reached a critical point with the inauguration on March 17, 2014 by President Goodluck Jonathan of a National Conference which was thought to be a necessary first step towards the realisation of our aspirations for national transformation. But, alas, the type of conference so convoked and constituted by the president is totally different from that contemplated in our search for a new, better and united Nigeria. Nature and type of the national conference established by President Goodluck Jonathan The first thing to notice about the nature and type of the National Conference established by the president is that neither its convocation nor its composition, functions and modus operandi are authorised or prescribed by law made by the National Assembly; however, the conference, with the limited functions given to it, as presently to be noted, is certainly within the authority of the president to convoke. The conference is established by the president entirely by virtue of his inherent power under section 5 of the Constitution (1999), with all the limitations imposed on his inherent power by section 5 itself. The implications of this deserve to be noted. In the absence of a law made by the National Assembly authorising it to do so, the National Conference is not legally competent to adopt a new

constitution for Nigeria binding, as law, on all persons and authorities in the country, nor could any constitution purportedly adopted by it be sent to the people for approval in a referendum, since people could not just troop out to the street to vote in a referendum without a law authorising such a referendum exercise; a referendum held without its having been authorised by a law enacted by the National Assembly implies the overthrow of the existing legal order constituted by the 1999 Constitution, the principle of the rule of law underlying that Constitution, a legislative body, an executive authority, a judicature and other instrumentalities of government. What the conference, though properly convoked, could competently and validly do, that is, its functions, is thus limited by this factor. The issue of a referendum, otherwise straightforward and easily understood, seems to have been befogged by a statement made by President Goodluck Jonathan during the inauguration of the National Conference on March 17, 2014. He said: “Let me at this point thank the National Assembly for introducing the provision for a referendum in the proposed amendment of the Constitution. This should be relevant for the conference if at the end of the deliberations, the need for a referendum arises. I therefore urge the National Assembly and State Houses of Assembly to speed up the Constitutional amendment process especially with regard to the subject of referendum.

This is a confused and confusing statement. How can the need for a referendum arise when the adoption of a new Constitution to be submitted to a referendum for approval is not part of the object of the conference and is, in any case, outside its competence? Does the statement envisage the 1999 Constitution in its entirety (which cannot be what is meant) or some aspects of the conference’s decision being submitted to a referendum? It is a deliberate act, motivated by some hidden interest, that this confusion is injected into an otherwise straightforward issue? In the second place, the fact that the conference is established by the president entirely by virtue of his inherent power under section 5 of the Constitution means that it lacks competence to do anything affecting the rights or legal relations of persons, agencies and structures of government in the country. It means that its functions are essentially deliberative and advisory, with no power to implement or give effect to the result of its deliberations. (The difference between functions and powers comes into play here). The conference can talk about anything (with only one exception presently to be noted), but it has no competence to implement or give effect to any decisions it may take. The modalities issued by the government underscore the nature of the conference as a merely deliberative and advisory body, a talk-shop, with no power to do anything; this is because of the stipulation contained therein that the conference, apart from deliberations, is only to “advise the gov-

ernment on the legal framework, legal procedures and options for integrating the decisions and outcomes of the confab into the Constitution and laws of the country. Its decisions are not binding on any persons or authorities; they have no self-implementing, self-executing or self-enforcing force, but need to be passed on, as an advice or recommendation, to the President and by him, where necessary, and if he so decides, to the National Assembly for any implementing action that the president and the National Assembly might think necessary or expedient. Many delegates think that, whether or not the conference has competence to do so, they are going there to adopt a new constitution for Nigeria, which will thereafter be submitted to the people in a referendum for approval. I do not think that the conference Chairman, a former Chief Justice of Nigeria, Justice Kutigi, will allow the Conference to stray beyond the limits of its competence. The refusal of the members to accept such a limitation on their competence may well be the first test or indication of crisis. It should not be supposed that the conference is altogether without value or use because it lacks competence to adopt a new constitution for Nigeria or to bind any persons or authorities by its decisions. Something good may yet come out of the talking, even although the object of the talking is not the adoption of a new constitution to be submitted to, and approved at, a referendum. • To be continued.

Economy: Undo Jonathan’s sealed failure (1) By Adaighofua Ojomaikre GAINST well-meaning entreaties such as the first two parts bearing the above title (see The Guardian November 3-4, 2011), A the Jonathan administration still preserves the economic error which the Gowon administration first introduced in November 1971 consequent upon the cessation of the Bretton Woods system of fixed exchange rates. The error crystallised because, on the one hand, the topmost echelon in federal decision making, out of seeming suspicion of possible abuse, denied the various strata of government (notwithstanding the existence of a military government) direct transacting of distributable pool foreign exchange belonging to them and, on the other hand, the CBN kowtowingly accepted such sanctimony. Official communication by the latter on the authorisation of the former in November 2002 affirmed the practice, which dates back to 1971. To use the phrase of the Senior Advocate of Nigeria currently engaged by the CBN to justify the economy-retarding practice, “on the directives of the Federation Account Allocation Committee acting through the Accountant-General of the Federation”, the CBN retains the distributable Federation Account (FA) dollar accruals. In their place the apex bank substitutes freshly printed naira amounts purported to be the equivalent oil earnings-derived revenue for disbursement to the three tiers of government for budget spending. However, far from being oil earnings-derived naira revenue, such funds represent CBN deficit financing of the budgets of all tier of government in proportion to the volume of oil proceeds in any shared FA accruals. Note that these deficit naira funds are unintended and non-repayable just as they lack legislative approval and breach Section 38 among other provisions of the CBN Act 2007. In tune with the sustained campaign to right the national economy, the following is addressed especially to the relevant policy/decision makers. The economic error is causative of economic failure and a lagging economy because it renders unrealizable the principal objects of the CBN, which form the foundation of a sound and competitive economy. The CBN Statistical Bulleting (50 Years Special Anniversary Edition (CSB) together with the latest full-year CBN 2012 Annual Report contains all the statistical facts on the economy since 1960. No thanks to the said error, the segment of data spanning 1972 to 2012 shows how extremely poorly the apex bank has scored with regard to the actualization of its economic foundation-laying objects. The object, to ensure monetary and price stability, is deemed achieved under prevailing annual inflation rates ranging from zero-three per cent. But from the CSB data, inflation exceeded 3.0 per cent and exhibited wide fluctuations throughout the period. Single digit inflation varying between 4.6 per cent (1973) and 9.4 per cent (1972) was recorded for 11 years. The other 30 years recorded double digit inflation ranging from 10 per cent (1983) to 72.8 per cent (1995). Ordinarily, in order to achieve the desirable low inflation regime, the ex-post annual government expenditure should register a budget surplus (that is, only a part of total realised revenue is spent) or a balanced budget where overall expenditure matches total realised revenue or a budget deficit whereby government spends the entire revenue realised plus extra borrowing subject conventionally to a ceiling of three per cent of GDP. In this regard, the CSB data show superficially that annual gov-

ernment revenue and expenditure over the period fell within the indicated low inflation-producing budgetary spending brackets except for eight years during 1980-1994, when explicit high inflation-inducing CBN-financed government expenditure averaged 7.0 per cent of GDP. In view of the fact that non-oil (realised) revenue is non-inflationary, the blanket high inflation throughout the period at once sharply disproves the realised revenue-content of the published oil figures and affirms that the economic error of 1971 effectively replaces shared FA dollar accruals with CBN deficit financing pure and simple. In reality then, consider rough-andready annual fiscal deficits arising from wrongly substituting CBN-printed funds for oil receipts alone since 1972 by examining the so-called yearly oil revenues as a proportion of GDP. The illegal excessive fiscal deficit levels ranged from 15 per cent to 31 per cent during 30 years, varied between 10 per cent and 14 per cent in 10 years and stood at 6 per cent in one year. Even in relation to the rebased GDP years of 2010-2012, the unintended annual deficits were eight per cent, nine per cent and nine per cent respectively. Therein lies the guaranteed absence of price and monetary stability, the root cause of the national economic problem. For the sake of completeness, besides high inflation, the absence of price and monetary stability is depicted by high lending rates. Prime lending rates below 6.0 per cent would characterise a regime of zero-three per cent inflation. However, since 1972, average prime lending rates have ranged from 6.0 per cent (1975-77) to 29.80 per cent in 1992 with average maximum lending rate standing at 36.09 per cent in 1993. Yet another feature associated with lack of price and monetary stability was the constantly weak and unrealistically valued naira. The value of the naira (albeit artificial) which peaked at N0.5464/$1 in 1980 averaged N157.50/$1 in 2012, a 99.7 per cent loss in value. As regards the principal object, to issue legal tender currency in Nigeria, because of the error of 1971, the CBN has become an untypical currency monopolist. The typical commodity monopolist maximises profit (read CBN as naira monopolist maximises monetary efficiency and economic benefits) by either setting a high price for the commodity (read naira) or limiting the supply of the commodity (naira). The printing of additional naira supplies when FA dollar accruals are shared ties the hands of the CBN and prevents the apex bank from setting a high naira price against the dollar or limiting naira supply. The result has been the persistent excess naira liquidity and attendant catastrophic devaluation noted earlier. The incalculable economic price of the error of 1971 includes the unleashing of insurmountable economic problems that have turned the country into the graveyard of many a failed economic programme. For example, five-year development plans (1962-85) shipwrecked on the fourth plan. The structural adjustment programme (SAP) and succeeding three-year rolling plans misfired owing to the insidious 1971 economic error. The 1997-2010 perspective plan and Vision 2010 were stillborn. The NEEDS I & II were drawn up, tried half-heartedly and dumped. The Vision 2020, which interchanges with the Transformation Agenda, cannot but follow suit. By way of illustration, Adeyemi: Moving Nigeria Forward states that the expected outcome of SAP (1986) includes “a dynamic, non-inflationary growth… (and) the naira would assume its true scarcity value and become stable under a regime of curtailed fiscal deficits and a restrictive monetary policy.” Such features should have taken root since 1974, when oil earnings ostensibly became the dominant budget-funding segment. That

was part of the reason some economists predicted in the early 1970s that Nigeria could become a First World economy by 2000. That did not materialise. But ever ready to vilify SAP, most Nigerians do not realize that the then ruling Military Council/CBN conspiracy of 1971 (the economic error) sabotaged the programme in the same way as it has unrelentingly sabotaged all economic measures for 43 years running. Secondly, unable to actualise the two key principal objects, the CBN has been engaged in a Sisyphean duel with the persistent excess liquidity arising from the 1971 economic error. Mopped excess liquidity since 2002 alone (when the Debt Management Office began to keep comprehensive records) has saddled the country with a non-investable national domestic debt topping N8 trillion with crippling annual service costs. Thirdly, the accompaniment of high interest rates is business-unfriendly. As a result unemployment is rife and the absolute poverty level very high. Fourthly, the economy has performed far below expectation. Nigeria’s 2012 GDP per capita in purchasing power parity (PPP) U.S. dollars (according to Tradingeconomics.com) was $2,294 as against the scores of our quondam economic peers at independence, Malaysia and Singapore, that stood 6.4 times and 23.2 times higher respectively. The existing economic gulf continues to widen. Doubtless, the lagging performance is proof that Nigeria’s oil wealth, other natural resources, the human endowment and “everything good and beautiful” have been progressively wasted. But excruciatingly, the glaring signs of economic failure everywhere owing to the collusion and conspiracy of 1971 have not led to any soul-searching on the part of the Presidency and the CBN. Now, does a conspiracy exist? Here is proof! The media campaign to right the economy, among other comments, in 2007 featured the third and fourth parts of a serial titled “How the CBN underdevelops Nigeria” (see The Guardian of 27/7/2007 and 3/8/2007), which ended with a call for the head of the CBN governor. It occurred at a fortuitous juncture: the early days of a new federal administration, which the CBN top brass had yet to fathom. Fearing the worst, the CBN hurried to make amends in mid-August with a proposal that effectively put an end to the unholy 1971 economic error only for the Presidency to squelch it. And relieved that there was no looming sack, the CBN alacritously forgot the planned change notwithstanding the fact the CBN governor had stated in black and white that CBN’s handling of the naira all along (and till date) did not conform to best practice. (This real substance should not be confused with the cosmetic aspect of the proposal that sought to simultaneously redenominate the naira in a remorseful attempt to restore the low numerical naira/dollar relationship of the 1970s to early 1980s. That was a dispensable addition, which the media sensationally pushed into the limelight). So there it is. The presidency is satisfied that the naira is being mishandled by the CBN and the CBN is all the happier for it. Clearly, the presidency and the CBN is all the happier for it. Clearly, the presidency and the CBN are co-conspirators in the error of 1971, economic saboteurs and avowed retarders of national economic progress. Humongous resources have continued to be wasted since 2007 and the economy has remained wobbly and laggardly. However, the seal securing the economic failure of every federal administration will break automatically when the 1971 conspiracy ceases. •To be continued. • Ojomaikre is a visiting member of the Editorial Board of The Guardian.

16 | Monday, April 14, 2014

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Opinion Nigeria’s rebased economy By Boniface Chizea HE announcement had earlier during the week filtered in that the Federal Executive Council had at its weekly Wednesday meeting approved that the details of the rebased Nigerian economy should be formally presented to the public on the following Sunday, April 6, 2014. Most informed compatriots waited with bated breath for this presentation and when it was made, it lived up to its billing. The highlights of the details presented indicated that the Nigerian economy is the largest economy in Africa. Most people suspected this fact going by the mere size of the population of the country, its landmass, mineral endowment and other key indices that Nigeria should be the largest economy in Africa. An immediately discernible indicator in this regard is the way some particular businesses have blossomed including retail and telecommunications. Shoprite, a South African owned supermarket has done such massive business that it was reported that the sale of Moat Champagne in Lagos alone exceeded the volume of sales in the whole of South Africa and despite insurrections ravaging most of the Northern parts of the country, Shoprite was reported to have opened its latest outlet in Kano. Who then questions the existence of robust consumer demand in Nigeria? The rebased figures produced other interesting revelations: Nigeria is now ranked 26th country in the world - not too far from the Vision 20/2020 target that the country should aim to be among 20 most developed countries in world by the year 2020 even if one must quickly admit that GDP size only will not tell the whole story. And the GDP per capita places Nigeria at the 121st position in the world indicating the extent of ground left to be covered before the size of the economy would begin to reflect at the level of the individual Nigerian. The Nigerian economy turned out to be a lot more diversified following this rebasing than was earlier thought

contrary to the commonly held view that the economic base of the country remained mono-cultural, mainly dependent on the oil and gas sector. It became apparent that there are some hidden unrecognised sectors such as services, which over the period had become dominant. The service sector doubled its contribution to GDP from 23.03 per cent to over 50 per cent currently while that of industry and agriculture dropped from around 46.08 to 25.8 per cent and from 31 to 24 per cent respectively. To ensure that we are on the same page as we undertake this discussion, it would be necessary to shed some light on what has really happened. When you determine the size of a country’s GDP, it is usually based on assumed complement sectors of the economy, which are expected to capture the totality of activities in the economy. The output of these sectors if measured in current prices would give output inflated by the rate of price inflation and therefore to ensure that we measure like with like the effect of price increases is neutralised and therefore the output is measured in constant prices (in real terms). And therefore what has happened in this particular situation is that prices have been assumed constant over a long period of 24 years, which begins to indicate the level of seriousness that allowed this long period of inactivity in this matter. Also in order to ensure comparability between the GDP measures in one year to another, the structure of the economy from the perspective of the complement component sectors are retained. This explains why it was not possible to factor in some obvious growth sectors of the economy such as communications and entertainment (NollyWood) in the intervening period until the rebasing exercise was undertaken. An attempt has been made to rationalise this delay in performing this rebasing exercise. It has been argued that the delay was strategic; that since the country was at-

tempting to negotiate debt relief with its creditors, it would amount to putting spanners in the works if the country rebased in the intervening period which would catapult it from low income to a mid-income country and making the country ineligible for debt relief including outright debt write-off. This explanation sounds plausible and does clearly resonate with common sense. But the question that comes to mind is why then was the exercise not embarked upon soon after this relief was obtained. Part of the problem is that not much importance was attached to this exercise and there could also be the issue of gap in available capacity to undertake the assignment. But the moral of this situation, which we must take on board, is that we must never again allow any delays to be experienced in undertaking this assignment. It was reported that South Africa, Zambia and Ghana are some of the countries in the sub-region that have recently concluded this exercise. Ghana undertook the rebasing of its economy in the year 2010 with the base year of 2006 and witnessed 60 per cent increase in its GDP. If all these countries could be current with the performance of this exercise there is no reason why Nigeria should lag behind going forward. The National Bureau of Statistics aware that the issue of integrity of the entire process will be critical for the acceptance of the outcome did all it could to enlist the cooperation of critical stakeholders in the process including empanelling a team of our own home grown economists to also authenticate the credibility of the entire exercise. It is interesting that the Chairman of the panel, my long time friend Professor Olu Ajakaiye participated also in the rebasing exercise in 1990. But as usual in Nigeria, we play opposition politics with anything. Some of the governors from the opposition camp unfortunately have been quoted to make disparaging comments about the outcome of entire exercise based on wanton misconception regarding the project. That a country is large does not mean that the quality

of life of all its citizens is guaranteed. Witness the recent observation by the U.N, which had generated some controversy relating to the fact that Nigeria, India and Indonesia are some of the countries in the world with the highest concentration of poor people. The benefit of this exercise as observed by the IMF representative in the country who also stood in for the World Bank as well as the African Development Bank could be found in the fact that the country has taken a major first step in its effort to make reliable data available to better inform policy decisions. There is the advantage of comparability with the rest of the world and also no doubt there will be some perception advantage, which could be found on the part of foreign investors as they take decisions regarding the destination of investment dollar. Some critical indices no doubt have been altered as a result of this effort. For instance, the debt/GDP ratio at 11 per cent would seem to suggest that there is slack in the borrowing capacity of the country, which had made the coordinating minister of the economy to caution that this would not mean that the country would now embark on borrowing jamboree. We also would look good if we consider some other indices such as deficit/GDP ratio but not so good if we consider non-oil revenue/GDP ratio. It is also a fact that the rate of growth of the economy will be slowed down based on the fact of the increased GDP measure. We expect that as better decisions are made based on the enlightenment, which this exercise facilitates, in the medium to long term more inclusive growth would result, which would impact positively the unemployment levels in the country. We salute the Statistician General of the Federation for this remarkable effort whose outcome we would expect the Nigeria Bureau of Statistics would continue to refine for even better data. *Dr. Chizea is managing consultant at BIC Consultancy Services, Lagos.

Obama: The post-financial crisis agenda By Andrew Hammond

N the latest leg of his overseas visit, United States PresiI(March dent Barack Obama met with Pope Francis the other day 27) in a high profile meeting at the Vatican. The talks centred round their “shared commitment to fighting global poverty and growing inequality” in the wake of the 2008-09 international financial crises. The issue of economic inequality is central to Obama’s 2014 agenda, as he outlined in his state-of-the union address in January. And his audience with the pope is a sign that he recognises the growing international momentum behind this issue. The Obama-Francis meeting will not just bring global attention to this agenda. It will also encourage campaigning on similar themes by politicians right around the world, especially from the left of centre. To date, mainstream left parties in many countries have failed to capitalise electorally upon the last few years of economic downturn, which has been the most acute period of crisis since at least the 1930s. But, the fortunes of the centre left could yet be on the turn. In Europe, for instance, United Kingdom Labour Party Leader Ed Miliband hopes to win office next year on a platform of voter discontent in the country over stagnant living standards. Meanwhile, Canada’s Liberal Party leader Justin Trudeau is championing a narrative of the struggling middle class in advance of the 2015 ballot in that country. And, in New Zealand, Labour Party Leader David Cunliffe hopes to seize power by exploiting economic inequality issues in an election expected this year. Meanwhile, in the United States, some fifty years on from Lyndon Johnson’s ‘war on poverty’, the White House believes this core fairness issue has the potential to reboot Obama’s flailing second term of office and proves a winning national theme for the Democratic Party in November’s mid-term congressional elections. While some are sceptical about the wisdom of Obama’s political strategy, U.S. history emphasises that income and status differences can be powerful sources of appeal to

disaffected strata. And such groups, a good example of which is currently unskilled and semi-skilled labour, are potentially open to powerful organisation by skilful politicians operating across the political spectrum. In the last century alone, skilful champions of these agendas include Ronald Reagan in the 1980s and Franklin Roosevelt in the 1930s. And, in earlier political epochs, William Jennings Bryan (1890s) and Andrew Jackson (1830s) proved creative players of this game too. While significant increases in U.S income inequality since the Reagan era have to date had limited political consequences, Obama believes, “dangerous and growing inequality and lack of upward mobility… is the defining issue of our time”. In this context, the political challenge for the president is to effectively focus and mobilise groups disaffected by these trends into more powerful coalitions. To this end, Obama is seeking to build support for his agenda. The central thesis is that with more and more rewards going to the highest earning five to 10 per cent of the population, it is crucial to restore the American dream of “opportunity and broad-based economic growth. The president is also pressing for specific proposals to address income inequality, including extending jobless-benefits, and expanding the federal minimum wage to at least $10. Some of these measures are popular among voters of both parties and the White House believes Republicans would pay a political price if they stand in the way of their enactment. The success of Obama’s domestic political strategy will be carefully gauged right across the world. In many developed and emerging markets, economic inequality has increased in recent decades. And this has been exacerbated by the slump in living standards in much of the world in the aftermath of the post-2008/09 “Great Recession”. Just as politicians from Reagan to Roosevelt show that Obama’s strategy to champion economic and status differences could be a winning theme in the United States, history also points to the prospect that left-of-centre parties across the world may perform better electorally as the aftermath of the international economic downturn beds in.

Here, Professor Johannes Lindvall’s fascinating research on the political consequences of the Great Depression, and the post 2008/09 Great Recession, is potentially instructive. He has shown that the electoral implications of both of these defining historical moments were similar to begin with: conservative parties generally performed stronger in ballots than the mainstream left soon after both economic crises began. As Lindvall asserts, this could be potentially explained, in part, by the fact that the initial trauma of both the Great Depression and Great Recession were widely perceived as so significant that many middle class voters cast their lot in with conservative parties which were seen as better able to tackle the crisis. In the two years after 2008/09 alone, for instance, centre-left parties lost ground, or were jolted by significant electoral setbacks, in wide-ranging countries in Asia-Pacific (Australia and New Zealand), to Europe (Czech Republic, Finland, Germany, the Netherlands, Sweden, the United Kingdom) and North America (in the 2010 U.S midterm elections). What is potentially even more interesting, however, is that Lindvall found that once voters no longer saw the Great Depression as a major continuing threat, the political pendulum tended to swing back toward parties of the centre left. Of course, it is by no means certain that history will repeat itself. Lindvall, for instance, notes that politicians of the mainstream left today have less new agenda setting ideas and policy options than in the 1930s when an era of expansionary fiscal policies and welfare programmes blossomed. Nonetheless, the longer the legacy of the 2008/09 crisis continues to bite, the greater the opportunities could be for the centre left to benefit. Now as in the 1930s, not just the poor, but also the middle classes are feeling economic hardship in many countries. And, it is this discontent that left-of-centre politicians, including Obama, are seeking to tap into. • Hammond was a Geopolitical analyst at Oxford Analytica, and a special adviser in the government of Tony Blair.

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Monday, April 14, 2014 | 17

Focus Sharp differences over rebased economy CHIJIOKE NELSON gauges the different positions taken by critics and supporters of the rebased figures about country’s economy, released recently by the National Bureau of Statistics. HE Presidency was brimming with exciteT ment last week when the rebased figures of Nigeria’s economy were released. The new calculations took into account changes in production and consumption since the last time the exercise was carried out in 1990, including an added focus on the communication and the movie industries. The data indicated that the economy grew to $453 billion in 2012, instead of $264 billion as measured by the World Bank for that year, and $509.9 billion from $285.56 billion for 2013. Meanwhile, the nation’s growth projection has been reviewed downward to 5.2 per cent for 2014. As at 1990, there was a single telecommunications operator with an estimated 300,000 lines. Telephone was then the exclusive preserve of the rich. At moment, with the advent of the Global System for Mobile (GSM) telecommunications, to which millions of Nigerians have already subscribed, there is now a mobile phone in nearly every home. The Minister of Finance and Coordinating Minister of the Economy, Dr. Ngozi OkonjoIweala had said: “Nigeria has moved to be the largest economy by GDP (Gross Domestic Product) size in Africa and has moved to be the 26th largest economy in the world. On a per capita basis, Nigeria is number 121 in the world. So, we have a total GDP size where we have moved up to 26th. It indicates a clearer picture of Nigeria’s economic landscape, and the significant opportunity for growth and wealth creation in the economy.” The current exercise was based on the 2010 price structure. From now till the next rebasing, yearly GDP calculations will be benchmarked against this base year, to ascertain changes. Of course, economies are dynamic- they grow and shrink, add new sectors and technologies, with behavioural changes from people as well. Ideally, because GDP data are used to track how the economy grows over time, the numbers are only relevant when compared to other GDP numbers. The year that serves as the base year usually changes a reflection of the changes in the economy. There are basically two ways to measure the GDP, which is the total sum of a country’s goods and services. The first – nominal – is the value of all produced goods and services at their current prices. However, the second, which is more widely used, is the total sum of all produced goods and services at constant prices. It is useful for revealing how the economy changes in size and with some manipulation, how average living standards change over time. The constant prices are related to the base year. New goods might have been produced and new technology likely introduced, thus, rebasing evaluates the statistics to give the most up-to-date picture of an economy. Some countries rebase every three years, but Nigeria’s was 24 years old – since 1990. Without rebasing, the growth recorded would have been under-represented in the national figures’ compilation. The movie industry, also known as Nollywood, is presently valued at N853.9 billion ($5.1 billion or 3.7 billion Euros) or 1.2 per cent of the GDP, but was almost non-existent as at 1990. Indeed, the rebased GDP numbers imply that the level of economic activity is much higher than previously reported. But what does it mean to rebase the GDP? According to the United Nations (UN), it is the “process of replacing present price structure [base year] to compile volume measures of GDP with a new or more recent base year.” Basically, this is borne out of the need to update a country’s national statistics and reflect newer activities in the measurement of economic performance. But does the new figures make sense? Some analysts, while welcoming the development, have also cautioned the authorities

Jonathan

Zuma

not to be swayed by the new figures and then lose sight of the inherent deficiencies in the system. Certain ratios might change. For example, the ratio of debt to GDP ratio will fall. And on a GDP basis, Nigeria is now the largest economy in Africa, knocking South Africa into second place. It will also improve the country’s balance sheet, its credit rating and promote it from being a low-income economy. On the other hand, to the man in the street, whose life remains unchanged, the rebasing hoopla makes no sense. Besides, Nigeria still faces immense challenges in terms of infrastructure deficits: inefficient ports, bad roads and epileptic electricity supply system. Some economists would also quickly point out that Nigeria’s economic output is underperforming, because with 170 million people, its population is three times larger than South Africa’s. And on a per-capita basis, South Africa’s GDP per capita, put at $7,508, is three times larger than Nigeria’s $2,688. While Nigeria can claim the crown of Africa’s largest economy, there is a caveat. South Africa is ahead in terms of infrastructure. Some experts and analysts, who insist that the new paradigm might be misleading, have also greeted the high-level optimism being expressed over the new figures and Nigeria’s subsequent elevation with caution. The reality on ground, according to 2010 World Bank (WB) figures, showed that a staggering 84.5 per cent of Nigeria’s 170 million people, lived on less than $2 a day amid immense wealth. Already, the WB has said that Nigeria’s emergence as the 26th largest economy in the world as well as Africa’s biggest economy following the rebasing, may not be a guarantee to financial inflows, unless there are good policies and prospects to woo foreign investors. It added that being a bigger economy might be meaningless if there are no marked improvements in per capita income and living standards of individuals. The bank’s Chief Economist for Africa Region, Francisco Ferreira, said: “I think it’s great to have a sense of how large the economy is and Nigeria is also the most populous country in the region. But going forward, what matters are living standards for everyone and the productivity that generates those living standards. “I don’t think investors seeking foreign investment in London, New York, Beijing or Tokyo are looking at GDP statistics necessarily. They are looking at how profitable investments they can make in that country are. So if South Africa wants to

worry about anything, they can worry about labour situation, strikes, and persistence of inequality. Those things make South Africa less attractive. The fact that Nigeria is the largest economy is not something I can worry about if I were South Africa.” An analyst with the Nigeria Economic Summit Group, Chuba Ezekwesili, said: “Nothing will really change in real time. It is not as if everyone it is going to have twice as much salary. It is really more cosmetic in nature. But, we do think it will increase investment opportunities in Nigeria.” The Chief Economist at the South Africabased Efficient Group, Dawie Roodt, added: “In term of infrastructure and strong monitoring systems, South Africa is still a giant, miles ahead of Nigeria.” Another economist at South Africa’s Nedbank, Dennis Dykes, said Nigeria’s new position, as Africa’s largest economy should be ‘viewed positively’. “It’s important that economies were measured accurately...it gives potential investors a good picture of activity. The news figures should help South African investors identify new opportunities in Nigeria, especially in areas that were previously not factored in.” Dykes pointed out that South Africa’s GDP per capita, which is higher than Nigeria’s was still the most important measure of the economy. “Being Africa’s number one is definitely a great confidence booster for Nigeria, but it won’t change much,” he added. The Statistician-General, Dr. Yemi Kale, said the figures should not be seen as an end in themselves, but should be used to help the government shape policy for the future. He pledged that the next rebasing would be in 2015, while the results would be out in 2016. Also, the Chief Executive Officer of the Lagosbased Financial Derivatives, Bismarck Rewane, said the exercise could only be meaningful “if it impacts positively on the living standards of the people. Nigerians will still buy petrol at the same price, they will still have the same amount in their pockets, and electricity is not going to improve soon. So, the exercise is a journey from reality to vanity. South Africa will continue to remain the most competitive economy, despite Nigeria’s new status.” The Regional Head of Research, Africa, Standard Chartered, Raziah Khan, said the “issues that the rebasing will now cast a spotlight on should spur a significant level of policy momentum. While the rebasing shows (positively) that the economy is vast, it also high-

lights the persistence of problems relating to economic informality. Existing revenue collection is simply inadequate– far lower than any frontier economy in Africa and the Federal Inland Revenue Service (FIRS) will need to drive much more efficient revenue collection. Its success in doing so will be key to accepting that the Nigerian economy is indeed as large as the rebased statistics suggest.” “A second area where the spotlight is likely to shine fiercely is personal incomes. Average per capita GDP has been revised substantially higher. For many, who live on far less than this, this may reinforce perceptions of marginalisation. Income inequality is now confirmed to be higher and the pressure on the authorities to create some sort of social safety net in response will be significant. This will require big changes in the existing mode of governance. For the moment, the mere cost of running government may be too high to allow room for much else. The real policy test for Nigeria will come as aftermath of the rebasing. It’s what lies ahead.” But arguments over the authenticity of the figures and process may have also ensued, with the Nigeria Labour Congress (NLC) taking a swipe at the National Bureau of Statistics (NBS), even as others preferred independent and multinational institution being awarded the contract for the exercise. The Acting President, NLC, Promise Adewusi, had in a statement in Abuja, contended that the figure provided by the bureau, with its partners was not convincing enough, especially the parameters used like population and natural resources, which formed the basis of assumptions for the assessment. He said: “Living conditions in the past couple of years have been progressively nose-diving and pathetic. Similarly, economic growth without jobs and food on the table means nothing in realty. The unemployment figures are frightening. Nothing has illustrated this fear better than the recent immigration recruitment exercise’s tragedy. We do not need any economist or diviner to tell us that life has improved, because it has not. “The government should worry that the performance index of industries dropped from 46.08 per cent to 25.81 per cent, while the service industry more than doubled to 50 per cent from 23.03 per cent. This certainly represents a significant change in the economy, a negative change that points to consumption to the exclusion of production. “As we commend the government for achieving the feat of economic rebasing, we urge it to ensure this figure translates into improved living conditions, job creation, revival of industries and improvement of internal and national security; for these will be the measurable indices and indicators of an enlarging and progressive economy.” According to a report, the Executive Director of the Civil Society Legislative and Advocacy Centre (CISLAC), Auwal MusaRafsanjani, described the figures churned out by the NBS as “fluke,” adding “it’s all part of the grand deceit, which we are being subjected to. Call it voodoo economics, you will not be wrong. We should take another look at this assessment because it looks like an attempt to give a mediocre impression that Nigeria is doing well while it is not. “There is no job creation and no Medicare. Nigerians are practically subsidising government because they provide their own power, water and security, yet, some statisticians are giving the world an impression that we are doing well.” But Okonjo-Iweala and Kale, in explaining how the figures were arrived at, said that sample data sources were raised from initial 83,733 to as much as 851,628 establishments, an effort aimed at obtaining more accurate set of economic statistics that truly reflected realities on ground and in line with internationally-recognised methodology.

18 Monday, April 14, 2014

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TheMetroSection Rainy, murky Palm Sunday... • Heavy rainstorm wreaks havoc on Lagos homes, Mosques, others

Briefs Saraki, Mo Abudu others for WIE symposium HE founder of the Wellbeing T Foundation Africa and wife of former Kwara State governor, Mrs. Toyin Saraki; awardwinning fashion designer Folake Folarin-Coker, founder of Tiffany Amber; Mo Abudu, CEO of Ebony Life TV; Bola Adesola, CEO of Standard Chartered and television star, Julie Gichuru will co-host the second yearly WIE Africa, this was announced recently by WIE cofounder and CEO, Dee Poku.

Fatokun, 80, for burial HE death has occurred of T Pa S. O. Fatokun at the age of 80. A wake holds on

A fallen signage on Apapa-Ijora Bridge, Lagos

A fallen tree on Eric Moore, Surulere, Lagos By Odita Sunday OZENS of people may have been rendered homeless in Lagos yesterday following a heavy rainstorm, which blew off roofs of residential buildings, churches, mosques and schools in the Lagos metropolis. The rain, which began at about 8.00am, lasted for less than one hour, but left many in tears and pains. The Palm Sunday was not well celebrated by most Orthodox churches due to the early morning rain. At Ijaiye Street in Ajegunle area of the metropolis, over 500 buildings were affected. The rain damaged some buildings at the Ajeromi Public Primary School in the area. The roof of a two- storey building was also blown off in Ajegunle. Part of the roof of the three-storey building housing Christ The King

Primary School, Orodu Street, Ajegunle was also blown off. Worshipers at the Redeemed Christian Church of God (RCCG) on Queens Street, in the same area, escaped death by the whiskers as the church roof almost collapsed on them. Gospel Baptist Church, along Oregie Road and Redeemers Kingdom Church, Kanjowon Street, all in Ajegunle were also affected. An eyewitness, who identified himself simply as Jimoh said the rainstorm blew off the roof of a one-storey building housing a mosque and a Muslim school called Mohinatu Ibrahimiyat Arabic School, on Moshalashi Lane. The Guardian gathered that the roof of a one-storey building on No 40, Okito Street in the same area was blown off and it fell on a nearby bun-

galow. Dozens of residents abandoned their homes and carried their children to a safer area after the rainstorm blew off their roofs. A resident, Andrew Udoh, said there is no street in Ajegunle that does not have a bad tale on the rain. “Immediately the wind blew off our roof, I moved my wife and three children into a vehicle to my brother’s residence at Awodiora area of Ajegunle but, unfortunately, the rainstorm also blew off the roof of my brother. It is quite unfortunate.” Udoh said. In Ebutte Metta area, several buildings including the police barracks were affected. Amukoko and Ijora seemed to be the worse hit as many people from those areas complained that Ajegunle incident was better compared to theirs.

In Ijora, The Guardian reliably gathered that the Kingdom Hall of Jehovah’s Witness on Town Hall street and many houses were affected. A roof of a two-storey building, which was blown off, had flown to a major road in the area and causing a serious traffic snarl. Residents of Alaba Oro Road in Amukoko outskirts of Lagos cried that the rain came with curses as it rendered them homeless. In Palmgrove, Gbagada, Pedro, Bariga and its environs, it was tales of anguish as the wild rainstorm blew off many roofs. Buildings affected by the windy rain were mostly storey buildings, as only few bungalows were affected. Several residents experienced a similar problem in Amuwo Odofin Local Council and Badagry area.

Photonews

Parish Priest of St. Sabina’s Catholic Church, Agege, Very Rev. Christopher Adebayo Edema celebrating the The new Archbishop of Ibadan Diocese, Bishop Gabriel Abegurin blessing the palm fronds to PHOTO: NAJEEM RAHEEM mark Lalm Sunday at St. Mary’s Catholic Church, Oke Padre, Ibadan Palm Sunday...yesterday PHOTO: AYODELE ADENIRAN

Wednesday, April 30, in his residence at Agbaje, Ijokodo Ibadan, Oyo State at 5.00 p.m.On Thursday, May 1, 2014 Commendation service holds at Methodist Church, Ekotedo Ibadan at 9:00a.m. to be followed by a service of songs at his residence at Ilogbe Quarters Ifaki-Ekiti State at 5:00p.m. He will be buried on Friday, May 2, after a funeral service at Methodist Church, IfakiEkiti, Ekiti State at 10:00a.m. He is survived by wives, children and grandchildren. among whom is Shola Fatokun, an engineer.

Fatokun

Revival Assembly holds Resurrection Praise

HE Revival Assembly will on T Easter Sunday, April 20, 2014, celebrate the risen Jesus in a high praise celebration service tagged Resurrection Praise, at the church headquarters, Revival Assembly Miracle Cathedral, located at Cocoa Road, opposite Guinness Brewery, Ogba, Ikeja, Lagos. It will feature– Midnight Crew, Seun Bankole, Minstrel Edith, and a solo performance by Pat King. The church choir, Higher Dimension, will lead in worship and praise. The Founder and General Overseer, Apostle Anselm Madubuko, said: “Resurrection Praise is about God resurrecting everything that is dead in the life of his children. Hence, we are going to praise God like never before. God has promised me tremendous blessing of breakthrough and open doors in this event. Revival Assembly Ministry, popularly known as the Church with the New Anointing, will host the yearly Asuza Conference in July.

Madubuko

Monday, April 14, 2014 19

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Delta laments death of two persons in Warri From Hendrix Oliomogbe, Asaba HE Adhoc Committee on Environmental Sanitation in Warri, Uvwie and Udu has mourned the victims of last Tuesday’s tragedy, which happened when one of the heavy duty equipment hired for the clean-up operations in Warri earlier in the day, crashed into two tricycles. The accident, which resulted in the death of two persons, occurred around Water Resources Junction area, Effurun, when the hired pay loader operated by its driver lost control after close of work. Two persons died while four others were injured. A statement by Commissioner for Information, Chike Ogea, explained that members of the Environmental Sanitation Committee, who worked in the axis led by Water Resources Commissioner, Dr. Chris Oghenechovwen, on hearing of the accident, promptly mobilized to the scene and rescued the victims. The team also began treatment of the injured persons and evacuated all those involved to the hospital for better medical care. The Information Commissioner added that a medical team coordinated by Health Commissioner, Dr. Joseph Otumara, also facilitated the immediate treatment of the injured persons at the Central Hospital, Warri. One of the accident victims, Mr. Eze Emesiobi, a welder, has since been discharged while three others, including a six yearold-girl are receiving treatment. All being treated are in stable condition. Those who died are an infant and a 14- year-old boy. Ogeah added that the committee regretted the unfortunate incident and commiserated with the families of those who died in the accident as well as those injured.

Vetland student to become Lagos Assembly parliamentarian By Wole Oyebade STUDENT of Vetland Grammar School, Agege, Lagos, A Basirat Abiona, will be first secondary school student to be a parliamentarian at the Lagos State House of Assembly – even if just for a-day. There will be no campaigns or elections though. Abiona’s membership of the House will be honourary, as a reward for her brilliance and outstanding performance in the West African Examination Council (WAEC) preparatory class, organised for Senior Secondary School III students in Ojokoro. Lawmaker representing Ifako-Ijaiye II constituency, Ipoola Omisore, will be vacating his seat for a-day, as he host the One-Day Lawmaker. One-Day Lawmaker is a replica of State Executive’s One-Day Governor initiative – introduced by the former First Lady, Senator Oluremi Tinubu, to reward winners of the Spelling Bee yearly competition. Omisore, at the official presentation of certificates to outstanding participants, disclosed the parliamentary reward, describing it as a worthy incentive for hard work. Omisore said the WAEC-preparatory programme, which he has sponsored in the last five years, was to encourage students to believe in themselves as future leaders. He said: ‘’I want to assure you that the tutorial is to motivate students in my constituency. This time around, we have a One-Day honourable member of the House. The Speaker, Adeyemi Ikuforiji will announce that at a later date, when I will vacate my seat and she (Abiona) will step in.” Continuing, he said: “On this date, Basirat Abiona will enjoy all the privileges I am entitled to as a lawmaker. This preparatory initiative will continue, even if I’m no longer in the House. I have already told my children and also indicate this in my will,’’ Omisore said. Abiona emerged overall best among a selection of four winners, pulled from four centres of the programme. Odey Faith of Micolat College, Alakuko; Akinyemi Paul of Ijaiye-Ojokoro College and Akinpelu Quadri of Saint Anthony, are other three. Omisore, who is also the House Committee Chairman, on Service and Special Duties, added that the winner would visit the State Governor and the Commissioner for Special Duties, as part of activities lined up for the event. In her remarks, Tutor-General / Permanent Secretary Education Secretary District I, Florence Ogunfidodo, expressed satisfaction on the lawmaker’s initiative. She said: “What we know is the One-Day governor, but this new initiative by Omisore is quite commendable. He has set up standard for others to emulate. This is the first of its kinds.’’

‘Why I killed my husband and three others’ • Fourteen-year-old bride poisons husband as 10 lucky victims survive after eating local delicacy From Murtala Muhammad, Kano POISONED my husband “I because I was forced to marry him. I did not mean to kill him but only wanted to show him that I have no feelings for me. I thought after eating it, he will divorce me and I will return to my father’s house.” Those were the bitter confessions from Wasila Umar, a14year-old bride, who poisoned her 35- year-old husband Umar Sani and three other persons, seven days after their marriage, with a substance suspected to be a rat killer. The new groom Umar Sani reportedly died two weeks ago at Yansoro Kademi village in Gaya Local Council of Kano State after eating the dinner prepared by his first wife alongside his friends, three of whom also died. Although the first wife of the late Umar prepared the food, Wasila the second wife finally opened up that she deliberately smeared the food with a rat killer substance before their husband arrived to have the meal. Confessing how she carried out the heinous act while being paraded at the state Police Headquarters in Bompai, Kano, Wasila said she did it because she was forced to marry her late husband. “When my father told me that I should marry Umar Sani and I told him I didn’t love the man, he refused. Be-

The bride fore our marriage when I protested again, my father beat me up and said I must marry the man.” Wasila continued: “So after our wedding I started thinking of what to do and the idea of rat poison came to me. I went to the village market and I bought it for N80. I returned home and hid it. And when the food of our husband was served in the sitting room I went there and spread it on the Dan-wake, a local del-

icacy,” she said. She, however, regretted her husband and the other victims’ death, saying she only wanted to teach her husband and father a lesson. “I did not mean to kill my husband, I only wanted to show him that I have no feelings for him. I thought after eating it, he would divorce me and I will return to my father’s house. The poisoned food was not meant for the other 13 victims, they were

just victims of circumstances.” Wasila’s father, Mohammed Tasiu, who was also at the Police headquarters, however, denied the claims of his daughter that she was forced into the arranged marriage. He insisted Wasila brought the late husband home herself as the person she wanted to marry. “I didn’t collect one kobo from the deceased, she was the one that brought him to us that she wanted to marry him. Before Umar she brought two other persons to us but she later told us that she doesn’t love them and that was why, when she brought Umar Sani, we allowed her to marry him,” Tasiu maintained. Police Public Relations Officer in Kano ASP Magaji Musa Majiya confirmed that investigations have shown that Wasila killed her husband with rat poison. He said a total of 14 persons ate from the food but only four of them died. The Police spokesperson hinted that Wasila has since confessed the act and claimed that she did it because she doesn’t love her husband noting that further investigation would be conducted before the suspect is charged to the Juvenile Court. Wasila got married to late Umar, who was a trader based in Gaya, two weeks ago. Before his marriage to Waslia, late Sani had a wife and two children.

Suspect remanded for culpable homicide in Kogi From John Akubo, Lokoja HIRTY-YEAR-OLD Ezekiel Okpe has been remanded at the federal prisons in Ankpa Local Council of Kogi State for alleged culpable homicide contrary to Section 221 of the Penal Code Law. Chief magistrate Levi Nda Animoku gave the remand order after the accused was arraigned by the police. Okpe was alleged to have

murdered one Ochenemi Alfa on March 26, 2014 at a stream in Onole-Ugo village. The prosecuting counsel, Corporal Ganagawa told the court that one Abel reported at the police station that on March 23, his younger brother Ochenemi Alfa, went to the stream to wash clothes and that he saw people running back home from the stream. The prosecutor said when

Eleojo went to the scene to ascertain what was happening, she saw the accused attacking her brother, submerging his head forcefully inside the stream until he died. He added that investigation into the matter led to the arrest of the accused. The prosecutor said the offence was not bail-able as it is punishable by death. He urged the court to re-

mand the accused in prison custody as he applied for a date for mention. In his ruling, Chief Magistrate Animoku ordered the accused to be remanded at the Federal Prison Ankpa. He said the offence is punishable by death hence the bail of the accused would not be granted. He, therefore, adjourned the case till April 23 for mention.

Enugu police arrest woman with locally- manufactured guns From Lawrence Njoku, Enugu EVERAL manufactured Sothers, guns and tools, among were at the weekend

recovered by the Enugu State Police Command from an illegal gun manufacturing factory located at Ihuoha Amansiodo Oghe in Ezeagu Local Council of the state. TRACE deploys officers for crash-free Easter The Command has also arrested a widow Mrs Juliet celebrations in Ogun Nwachukwu, a mother of HE Traffic Compliance and Enforcement Corps (TRACE) in Ogun four, in connection with the State is deploying 150 officers and men on daily basis to man incident, while it has strategic locations from Monday 14th April through 27th April 2014 launched full-scale manhunt to ensure safety on the roads during the Easter period. for the fleeing operator of the The Corps Director of Operations, Seni Ogunyemi, who made this illegal gun manufacturing disclosure in an operational order urged the officers and men to company. exhibit high level of professionalism, be civil and observe the shift Although Mrs Nwachukwu system strictly between 0645hrs – 1400hrs, 1400hrs – 2100hrs and is not the operator of the illenight operations as scheduled by the Corps. gal factory, the police said He said the operational locations include Abeokuta metropolis, Abeokuta-Kobape, Isiun-Sagamu interchange, Ijebu-Ode-Benin Ex- she is being held for allegedly receiving the manupressway, Abeokuta-Ewekoro/Papalanto-Sango-Ota, Papalantofactured guns, cartridges, Ilaro, Owode/Idi-Iroko, Sango-Ota, Atan/Agbara and Lagos Ibadan tools and others from the facExpressway. The Corps is also establishing help areas during the period where tory operator, Ejike Eze who is now on the run. road users can receive prompt help at Kobape-Siun axis, MoweEnugu State Police Public RCCG, Ogere toll gate, Sagamu-Interchange, Ijebu-Ode Expressway/Mobalufon Junction, Owode roundabout along Idi-Iroko axis Relations Officer, Ebere Amaraizu said officers of the Comand Ilaro junction towards Ibese axis. mand had stormed the gun He said the mission of the operation was to educate and enfactory, apparently to arrest lighten road users on the road on the need to use the road safely the operator but discovered through the distribution of flyers and handbills at motor parks, ensure compliance with road traffic rules and regulations, reduce that he fled the place two road crashes, provide prompt and effective rescue and emergency days before the police struck. services to crash victims and evacuate broken down vehicles He said: “When the eagle promptly. eyed operatives struck, sus-

The suspect with the guns pect (Ejike Eze) had relocated some of the manufactured cut-to-size double-barrel and single-barrel guns, his manufacturing tools and some of the manufactured cartridges to the woman friend also identified as one Juliet Nwachukwu, a widow with about four children and allegedly absconded. “When the operatives

stormed her residence, so many manufactured and about-to-be-manufactured guns with some manufactured live cartridges as well as some tools for the manufacturing were intercepted. “On her part, Juliet admitted that the guns and the tools were brought to her two days before by the manufacturer who did not tell her the rea-

son for bringing them to her house but, however, revealed that Ejike has been a manufacturer of guns for some time now and regretted accepting the guns from him”. Amaraizu said investigation has commenced into the alleged incident, adding that efforts would be made to arrest the fleeing suspect.

Monday, April 14, 2014

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PROPERTYGUIDE /32

BUSINESS INTERvIEW / 60, 61

APWEN, Nestle may collaborate to develop engineering field

‘How to mould a public sector firm for competitiveness’

MONDAY, April 14, 2014

Banks, discount houses record mixed fortunes By Chijioke Nelson

Disburse N12.1 trillion to domestic economy

hERE were indications that T the total assets and liabilities of deposit money banks

results at the end of January 2014. The Central Bank of Nigeria, in its Economic Report for the period under review showed

and discount houses in the country recorded mixed

that while banks had a marginal increase of 0.3 per cent in total assets and liabilities, discount houses however, plunged by 10.6 per cent.

For the banks, the total assets and liabilities amounted to N24.41 trillion at the end of January, an increase of 0.3 per cent above the level at the end

of the December. Funds for the banks were mainly sourced from mobilisation of time, savings and foreign currency deposits; accretion to capital; and unclassified liabilities, which were also used, largely, for the acquisition of foreign assets, unclassified assets and Federal Government securities. At N12.1 trillion, banks’ credit to the domestic economy fell by 1.2 per cent below the level in the preceding month, but the development has been

attributed to the 1.2 per cent fall apiece in claims on the Federal Government and the private sector during the review month. Total specified liquid assets of all the banks stood at N6.71 trillion, representing 40.1 per cent of their total current liabilities, which also translated to increase in the liquidity ratio by 0.5 percentage point above the level in December and 10.1 percentage points above the stipulated minimum ratio of 30 per cent.

CONTINUE ON PAGE 22

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56)78, Chief financial Officer, GTBank Plc, Banji Adeniyi (left); Head of Investor Relations Group, Muyiwa Teriba; Managing Director and Chief Executive Officer, Segun Agbaje; and General Manager, Communication and External Affairs, Mrs Lola Odedina, during the bank’s 2014 Business Editors’ forum with the chief executive, in Lagos, at the weekend.

Financial stocks lift NSE’s volume by N23.2 billion By Helen Oji TuRNovER of 1.642 bilA lion shares worth N23.163 billion was exchanged in 21,620 deals by investors on the floor of the Nigerian Stock Exchange (NSE) last week, higher than 1.937 billion shares valued at N21.264 bil-

lion that changed hands in 21,641 deals during the preceding week. Specifically, the financial services industry (measured by volume) led the activity chart with 1.375 billion shares valued at N14.241 billion, traded in 12,596 deals, thus contributing 83.73 per cent and 61.48

per cent to the total equity turnover volume and value respectively. The conglomerates industry followed with a turnover of 108.548 million shares worth N597.556 million in 1,346 deals. The third place was occupied by the consumer goods industry with 60.379

million shares worth N5.526 billion in 3,407 deals. Trading in the top three equitiesZenith International Bank Plc, Access Bank Plc and Guaranty Trust Bank Plc (measured by volume), accounted for 504.129 mil-

CONTINUE ON PAGE 22

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22 Monday, April 14, 2014

FINANCIALGUARDIAN

Zenith Bank issues $500m Eurobond at 6.5 per cent By Chijioke Nelson ENITH Bank Plc has joined the league of Eurobond issuers among the nation’s deposit money banks, as well as increased the continent’s level of debt obligations on the European market, at the weekend. The bank sold $500 million in five-year senior unsecured Eurobonds, with a coupon of 6.25 per cent. The move may have been strategic for the financing of its power sector, oil and gas and other project loans, even as the financial institution appeared to have taken advantage of a favourable window of opportunity in global capi-

tal markets characterised by a further compression in emerging market. According to market analyst at the Standard Bank, Samir Gadio, the stronger Naira at N160.8 per dollar in recent days may have also eased foreign investor concerns about the bank’s exposure to foreign exchange risk. The order book for the bank’s issue amounted to $1.3 billion, which indicated oversubscription, with United States of America, United Kingdom and European investors accounting for 44 per cent, 35 per cent and nine per cent of the allocation. Also, in terms of investor

type, fund managers dominated by 74 per cent, followed by banks and private banks, 15 per cent, hedge funds, nine per cent and insurance and pension funds, two per cent. However, Nigerian entities only represented six per cent of the allocation, which is rather

low compared to previous Nigerian corporate Eurobond issuances. “Because Nigerian financial institutions need to match dollar assets and liabilities and since a dollar Eurobond is a natural hedge against any future Naira weakness, we suspect onshore accounts will probably get

involved at a later stage in the secondary market. The domestic bid will gradually squeeze supply, as has been the case with other Nigerian corporate Eurobonds. “The appointment of the outgoing Chief Executive Officer of Zenith Bank, Godwin Emefiele, as next CBN Governor, may have

also boosted the momentum for the bond issue. While the CBN leadership factor possibly shaped and influenced the market perception of the bank’s Eurobond, there is however no scope to suggest any implicit or explicit institutional support for it,” Gadio said.

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Managing Director, Marketing Edge, John Ajayi (left) President National Institute of Marketing, Ganiyu Koledoye, Chairman/Chief Executive Officer, Brand Ville, Bola Akingbade and Chairman, Troyka Holdings, Biodun Shobanjo at the Stakeholders Summit of Marketing Edge in Lagos, at the weekend. PHOTO: FEMI ADEBESIN-KUTI

Banks, discount houses disburse N12.1tr to domestic economy CONTINUE FROM PAGE 21 The loans-to- deposit ratio, at 37.5 per cent, was 0.1 per cent and 42.5 percentage points

below the levels at the end of December and the prescribed maximum ratio of 80.0 per cent, respectively. Meawhile, the total assets and liabilities of the discount houses stood at N119.6 billion at end- January 2014- a decline of 10.6 per cent below the level at end-December 2013. The development was accounted for, largely, by the 11.3 per cent and 35.7 per cent fall in claims on the Federal Government and on others, respectively. Also, the decline in total liabilities was attributed, largely, to the 25.3 per cent fall in money-at-call. However, discount houses’ investment in Federal Government securities of less than 91-day maturity rose to N36.83 billion and accounted for 42.1 per cent of their total deposit liabilities. This showed that their investment in Federal Government

Securities was 17.9 percentage points below the prescribed minimum level of 60.0 per cent. It also showed that their investment on the Nigerian Treasury Bills rose by 17.5 per cent above the level at the end of the preceding month. However, the report also showed that foreign exchange inflow and outflow through the CBN in the month of January 2014 was $2.54 billion and $4.65 billion, respectively. There was a net outflow of $2.11 billion- a negative position, compared with the net outflow of $0.69 billion in the preceding month, and a sharp contrast to the net inflow of $1.78 billion- positive position, recorded in the corresponding period of 2013. Relative to the level in the preceding month and the corresponding period of 2013, inflow fell by 19.6 and 23.4 per

cent, respectively. But the in inflow has been attributed to the 22.2 per cent decline in receipts from crude oil sales, while outflow, which rose by 23.3 per cent and 202.5 per cent above the levels in December and the corresponding period of 2013. This has also been attributed, largely to the increase in Retail Dutch Auction System, bureaux de change and interbank sales, which amounted to US$2.99 billion, US$0.56 billion and US$0.49 billion, respectively The aggregate foreign exchange flow through the economy indicated that total inflow was $12.13 billion, representing a decrease of 2.9 per cent and 0.2 per cent below the levels at the end of December and the corresponding period of 2013, respectively, driven by the decline in receipt from crude oil exports.

Financial stocks buoy volume on the Exchange CONTINUE FROM PAGE 21

last week in 30 deals. Similarly, 38 units of FGN bonds valued at N42, 484.92 were traded this week in two deals, compared with 900 units of FGN bonds valued at N936, 348.16 transacted last week in nine deals. The NSE All-Share Index and market capitalisation appreciated by 0.96 per cent to close on Friday at 39,083.66 and N12.6 trillion respectively. All the NSE indices appreci-

lion shares worth N9.443 billion in 4,087 deals, contributing 30.7 per cent and 40.77 per cent to the total equity turnover volume and value respectively. Also traded during the week were 84,238 units of Exchange Traded Products (ETPs) valued at N2.038 million, executed in 24 deals, compared with a total of 86,775 units of valued at N2.210 million transacted

ated during the week with the exception of the NSE industrial goods index, while the NSE ASeM closed flat. Also, 33 equities appreciated in prices during the week, higher than 32 equities of the preceding week, while 36 equities depreciated in prices lower than 41 equities of the preceding week and 129 remained unchanged, higher than 125 of the preceding week.

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MONDAY, April 14, 2014 23

FINANCIALGUARDIAN

CBN reads riot Act over rendition of returns By Chijioke Nelson He Central Bank of T Nigeria (CBN) may soon wield the big stick on the deposit money banks and discount houses, which persist in flouting the timelines for rendition of statutory returns through the prescribed information technology. In a circular signed by the Director of Banking Supervision, Mrs. ‘Tokunbo Martins, the apex bank has now begun enforcement, with appropriate sanctions scripted and to be “promptly” administered for defaulting banks. The move, according to her, may have become necessary as the bank earlier allowed time for the lenders to become familiar with the solution, but some

have relapsed to the point of not using the application, while others miss the targeted timeline. The timeline for the renditions of returns were scheduled to run daily, monthly, quarterly and semi-annual, throught the application known as e-FASS and FinA, with the daily being turned in by 10am of next working day and others on fifth day of the new month. The circular reads: “Subsequent to the ‘GoLive’ of the FinA Regulatory Reporting Application in December 2013, all banks and discount houses have been required to submit Daily, Monthly, Quarterly and Semi-Annual returns concurrently via the e-FASS and FinA Applications. “In consideration of the need to enable reporting

institutions become familiar with the new Application (FinA), the deadlines for submission of returns were not strictly enforced. It is also observed that some institutions do not even render their returns through FinA. “Consequently, it has

become necessary to remind all banks and discount houses about the timelines for the rendition of statutory returns through eFASS and FinA, shall henceforth, be strictly enforced: Daily returns to be submitted on or before 10.00 a.m. of the following

working day; and Monthly, Quarterly and Semi-Annual returns to be submitted on or before the 5th day after the month end. “Where the fifth day happens to be weekend or public holiday, returns should be submitted the previous day.

“This letter takes immediate effect and all reporting institutions are hereby requested to note the above timelines as any future breach shall be promptly met with the applicable sanctions.”

Unified Payments unveils Payarena NIFIeD Payment Services U Limited, one of the leading payments service provider, has unveiled its new service platform, Payarena, to ensure convenience. According to the company, Payarena offers customers access to value added services, which include purchase of Airtime for all telecommunication service providers in

Nigeria; payment of bills to major service providers such as PHCN, DSTV, GOTV, Swift Networks among others. “The platform also offers payment collections platform for public institutions for collections of taxes, levies; corporate organizations and religious institutions for collection of tithes and offerings etc. Payarena is also poised to offer funds transfer services

in a manner that has not been offered in the industry. “The platform accepts multiple card schemes such as Visa, MasterCard, UnionPay and carefully designed to accommodate all other local and international card or payment options including contactless payment solution. It is accessible on multiple channels including Web via www.payarena.com, over

40,000 Point of Sale (POS) terminals and ATMs all over the country”, the statement added. Director, Marketing and Sales for Unified Payments, Babatunde Okeniyi, further noted thus: “For the very first time, Visa, MasterCard and UnionPay cardholders can now enjoy Value added services on a single platform.

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EQUITY MARKET SUMMARY

MARKET REPORT AS AT 11=04=2014

PRIMERA AFRICA www.primera-africa.com

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MARKET INDICATORS

MARKET REPORT AS AT 11=04=2014

PRIMERA AFRICA

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INSIDE TAX

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Stakeholders strategise to improve tax system By Laolu Adeyemi Stakeholders from Federal and state tax authorities, tax managers in various organizations, consultants, among others have considered far reaching issues on the nation’s tax system, resolving to embark on education of Nigerian taxpayers. Specifically, issues like multiple taxation, withholding tax, among others, formed the fulcrum of the discussion at the bi-annual tax seminar

organized by WTS Adebiyi and Associate- tax attorneys and solicitors, in Lagos. Speaking at the event, themed “Tax administration in Nigeria: Events of the last

two years and a preview of the future,” the Chairman, Federal Inland Revenue Service (FIRS), represented by Coordinating Director, Standard and Compliance

The nation’s tax system needs to be decentralized and laws and policies guiding tax payment in Nigeria need to be reviewed...There are cases where FIRS contradicts the provision of the law and many organizations have taken them court severally.

More winners emerge in Ecobank’s loyalty scheme COBANK Nigeria has E rewarded another set of winners that emerged from its Card 4 Prizes initiative at the second monthly draws held simultaneously in Lagos, Port Harcourt and Abuja. The 15 winners emerged from an electronic draw, witnessed by officials of the National Lottery Regulatory Commission (NLRC) and the Consumer Protection Council (CPC), with smart phones, LED television sets, air conditioners, home theatres and power generating sets as prizes. The bank’s Head, Cards and e-Banking, Tunde Kuponiyi, said the promo, which was flagged off in February, is gradually achieving its objectives as more customers now utilise the alternative payment channels like ATMs, Point of Sale (PoS) terminals and Internet bank-

ing. Kuponiyi however, called on those who are yet to obtain Ecobank’s cards to do so in order to enjoy the benefits embedded in the various epayment channels. According to him, “a pointbased rating” is usually applied when selecting winners, noting that customers are awarded points for every transaction done on the bank’s alternative channels. He stated that the grand finale draw, which will also hold in the three centres in May, would be based on total accumulated points during the course of the promo. The Senior Surveillance and Enforcement Officer, Consumer Protection Council (CPC), Chinyere Iloene, who witnessed the Port Harcourt draws, lauded the process of selection. She also commended Ecobank for its tradition of

rewarding customers, noting that the card promo will further promote business transactions. Winners at the Lagos draws include Bankole Adedayo Grace (mobile phone); Atoh Jude Nyemike (television); Adeyeye Olagoke Charles (air-conditioner); Kasarachi Opara (home theatre); and Shuaibu Adams Ebenechi (power generating set). The Port Harcourt draws produced Nwanya Chibuzo (mobile phone); Doris Andy Inyang (television); Wilson Effiong Ita (air-conditioner); Ositadimma Ngozi Lynda (home theatre) and Asianya Chibuzor Emmanuel (power generating set) as winners. Also, at Abuja, Kabiru Akande (mobile phone); Luka Mikailu (televison); Ikurior Peter (Air-conditioner); Mayowa Akanji (home theatre); and Hayatuddeen Suru (power generating set).

Group, Samuel Ogungbesan, and the National Senior Partner KPMG Professional services, Seyi Bickersteth, said there are much more to be done to make the Nigeria’s tax system function effectively like its counterparts globally. The duo said if more professionals come into the system, process of paying tax would be made easier and it will boosts the number of taxpayers in the country. Ogungbesan, specifically argued that much may have been done by FIRS in tackling problems associated with tax in the country in the last decade, but more efforts are required to turn the system for better. He advised stakeholders to do the needful to foster progress in the nation’s tax

system. He however disclosed that FIRS was working on using Integrated tax System (I-tax) to solve many problems faced by taxpayers and to effectively handle cases of tax evasion. Bemoaning tax evaders in the country, he advised Nigerians to ensure they pay tax, saying that the nation can only progress when citizens pay their dues. Speaking on the legal perspective, Partner at WTS Adebiyi and Associates, Olaleye Adebiyi, said the nation’s tax system needs to be decentralized and the laws and policies guiding tax payment in Nigeria need to be reviewed. “There are cases where FIRS contradicts the provision of the law and many organiza-

tions have taken them court severally,” he explained. Starting withholding tax, Adebiyi urged taxpayers to contact his firm at any point they find FIRS contradict the provision of the law. “Our 23 years experience providing tax and business advisory services on matters relating to tax regulation and compliance is a leverage to efficiently manage any tax related issues,” he said. Also speaking, the Chairman, Lagos Inland Revenue Services, Dr. Tunde Fowler, urged all Nigerians to ensure compliance with the Lagos tax laws, either at horizontal or vertical levels, to ensure equality, saying that the state could only achieve its developmental plans when residents pay their tax dues.

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APWEN, Nestle may collaborate to develop engineering Page field32

Good Shepherd choice estate berths in Lagos

Africa may become a wasteland due to desertification, research warns

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MONDAY, APRIL 14, 2014

UN-Habitat, UNEP launch N344m greener cities partnership Urban Development From Chinedum Uwaegbulam, Medellin, Colombia

The Greener Cities Partnership aims at implementing demonstration projects that will improve city-level resilience and resource efficiency through infill, densification, brownfield redevelopment, and revising city-region plans. The programme will also produce integrated waste management strategies in at least 10 selected cities by 2016 ITH urban areas around W the world becoming not just the dominant form of habitat for humankind, but also the engine-rooms of human and economic development, two major United Nations agencies have reached an agreement to commit $2 million (N344 million) into promoting environmental sustainability in urban development. The new partnership between the United Nations Human Settlements Programme (UNHabitat) and United Nations Environment Programme (UNEP) launched last week at the World Urban Forum (WUF7), aims at mainstream the environmental perspective into urban policy-making, while incorporating urban perspectives into environmental policies. Coming as the Greener Cities Partnership, the initial phase will cover the period 2014-2016 leading up to the Third United Nations Conference on Housing and Sustainable Urban Development (Habitat III) in 2016, and beyond. Top priority areas include resilient,

resource efficient cities; sustainable transport and mobility; and waste and waste water management. Under the programme, implementing partners include Cities Alliance, Concordia University, UN Department of Economic and Social Affairs (UNDESA), Global Initiative for ResourceEfficient Cities (GI-REC), ICLEILocal Governments for Sustainability, Lincoln Institute of Land Policy, Network of Regional Governments for Sustainable Development (nrg4SD), OECD, UN Regional Commissions, Secretariat of the Convention on Biological Diversity (SCBD). UNEP and UN- Habitat will also work with the World Bank and the United Nations Centre for Regional Development (UNCRD) in implementing the Africa Sustainable Transport Forum(ASTF). The objective of ASTF is to establish a forum for policy dialogue and support African countries and their partners in developing an action plan for sustainable transport in Africa. The expected outputs include review of city and metropolitan legislative and planning frameworks, implementation of demonstration projects that improve city-level resilience and resource efficiency through infill, densification, brownfield redevelopment, and revising city-region plans as well as an integrated waste management strategies in at least 10 selected cities by 2016. Over 50 per cent of the global population now lives in cities and it is expected that by 2050, 70 per cent of humanity will be urban. Urban population

The Mayor of Medellin Mr. Anibal Gauria (fourth left) gestures as he makes a point to UN-Habitat Executive Director Dr. Joan Clos (centre). Looking on are UN-Habitat Deputy Executive Director Dr. Aisa Kirabo (second left), Colombian Permanent Representative to UN-Habitat Ms. Maria Eugenia Correa (extreme left) and the UN Resident Coordinator in Colombia Mr. Fabrizio Hochschild (extreme right) during one of the WUF7 ceremonies in Medellin, Colombia, last week growth is predominantly taking place in cities in developing countries, most notably in Africa and Asia. This growth trend is most pronounced in small to intermediate-sized cities, where infrastructural backlogs are often highest and technical and financial capacity the lowest. Regrettably, rather than achieving greater efficiency, cities are forfeiting their potential agglomeration

advantages related to concentration and connectivity and are instead losing density. From 1990 to 2000 cities around the world grew spatially faster than their populations; those in the developing world grew 20 per cent faster. During the next two decades the world will more than double the amount of land used for cities. As cities lose density and intensify sprawl they lock

themselves into unsustainable land use patterns where jobs and people are far from one another, transportation costs and congestion are high, infrastructure runs are longer and more costly, segregation of socioeconomic groups and land use types are more pronounced and environmental impacts are greater, climate change concerns ever more exacerbated. Speaking at the launch of the

programme, UN UnderSecretary-General and Executive Director of UNHabitat, Joan Clos noted that “cities are not only victims of the effects of climate change, but the way in which we plan and build them can have a huge impact on their resilience and resource-efficiency. This partnership will enhance our understanding of that relationship.”

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FCTA, investor in N22b ultra-modern Utako park project Urban Renewal From Ezeocha Nzeh, Abuja HE urban upgrading template of the Federal Capital Territory Administration (FCTA) on the Abuja municipal would receive a further boost with the unveiling of a plan to construct a N22b ultra modern Utako Park Project. This is the highlight of a twoyear tripartite agreement involving FCTA, the Abuja Municipal Area Council and the Intercity Terminal Transport Limited (ITTL) for the development of the park Utako Motor Park project, which was put at $134,483,543 about N22b would be completed in 48 months from the date of commencement with the investor having 70 percent equity while the FCTA and

The project, valued at $134,483,543 (N22bn) is planned for completion in 48 months with the investor having 70 percent equity while FCTA and AMAC have 20 and 10 percent equity respectively AMAC have 20 and 10 percent equity respectively. Minister of State for the Federal Capital Territory, Oloye Olajumoke Akinjide, who signed for the Administration, said the project was concession for 25 years. According to her, the success of the ceremony was a show of government at its best as it sought to represent the best interest of the residents. Akinjide added that the agreement has an important milestone in the transportation model of the city as the project would incorporate facilities such as inter-modal bus terminal, terminal building, shopping mall, parking area, a 200-

room four star hotel and a 50 room bread and breakfast amongst others. The Minister said FCTA has leveraged on the past failures of Public Private Partnerships (PPP) to prepare the present documents of PPP, which pro-

vides the Administration with a window to enable it avoid incurring unnecessary debt following the failure of the investor to meet his mandate. She charged the investor, to ensure that they live up to their representation that they have made to the FCT especially the post due diligence to the United Kingdom, United States and Tanzania amongst

others. Responding, Chairman and CEO of Intercity Terminal Transport Limited (ITTL), Prof. Charles Inyangete said the organization has the capacity and capability to deliver on the project, adding that the Bank of America would be giving financial backing. He noted that the post due diligence by the FCTA has exposed

the Administration’s technical team on the capability as they saw live projects that are ongoing, complete and those being started. He pointed out that the project would generate about 1,000 jobs directly on its facility and drive sustainable city development even as it would herald several other mass transit project.

Lagos uncovers distressed buildings, to relocate 180 residents Building Collapse By Tunde Alao OLLOWING scientific discovery, a number of homes built 30 years ago by the Lagos State Development Property Corporation, LSDPC, have been

Government had set up 20 flats in Iyana-Iba and Amuwo Odofin, where the affected residents would move to, while the remaining families, who opt for financial assistance to enable them get accommodation of their choice would also be offered money to do so. adjured to be unsafe for habitation and consequently, the Lagos State Government has proposed to relocate about 180

residents, to pave way for the reconstruction of the distressed buildings. To ascertain government’s

readiness to safe lives and property, Governor Babatunde Fashola recently visited Anikantamo area in Lagos Island, to have on-thespot assessment of the structurally defective buildings.

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APWEN, Nestle may collaborate to develop engineering field Professional Practice By Emmanuel Badejo

The partnership may be by supporting the programme of the Association of Professional Women Engineers of Nigeria (APWEN) in encouraging a girl child in studying engineering and creating more job opportunities for qualified women engineers ESIROUS to grow the proD fession of engineering in the country, a group of women engineers under the aegis of Association of Professional Women Engineers of Nigeria (APWEN), has asked Nestle Nigeria Plc to collaborate with it towards the expansion of the sector. President of APWEN, Mrs. Nnoli Akpedeyi, made the call last week during an industrial tour of the company’s Agbara plant, located within the active Agbara Industrial Estate in Ogun State. Akpedeyi, who became APWEN’s president just two months ago, said the visit was necessary for her and her team to have on-the-spot assessment of some issues that have to do with employment opportunities, and ultimately development of women engineer in Nigeria. The group’s chief, who also is a fellow of Nigerian Institution of Civil Engineers, was accompanied by APWEN’s Osun State

Chairperson, Mrs. Oloruntoba Mojilade, Osim Adebisi, Nwokokeabia Ozoemena among others. On behalf of Nestle, they were received by Mr. Emmanuel Nto-Nwane, Mr. Ekundayo Idowu, Ifeayin Ogwunniyi, Kolapo Abodunrin, Blessing Aigbona and Kikelomo Adedeji. In her speech, Akpedeyi said their visit to Nestle was for three reasons: firstly,’’ I wanted the female engineers to get familiar with what it takes to produce some of the households we use, produced by the company. I wanted to get to meet female engineers working in Nestle with a goal to interacting with them towards development of our profession. And the third one is to explore areas of collaboration between Nestle and APWEN.’’ With our visit today, she said the association has come to realize that the factory is going automated, which she said they did not realize until they came here, adding that they would would go back and see automated engineers, who may prefer to take up job opportunities in this company and we shall not hesitate to recommend them to Nestle. According to her APWEN is passionate with training and retraining women engineers so that they can compete favourably in their various fields, and again, it is also working to encouraging girl child to study engineering and so we are seeking for how Nestle could help us achieve this goal much better and faster.

Engr. Oloruntoba Mojilade(left), Engr. Ossim Adebisi, President, Professional Women Engineers of Nigeria (APWEN); Engr. Akpedeye Nnoli and Engr. Nwokokeabia Ozoemena all Engineers during the Industrial visit to Nestle Agbara Factory PHOTO AYODELE ADENIRAN On the challenges facing APWEN, she said: “They are similar to what the field of engineering as a whole is contending with and we are working to develop ourselves to overcome these challenges. We would soon launch a mentoring programme whereby the older engineers would be able to positively impact on the younger women engineers. Beside this, basically, this year, our vision is to encourage entrepreneurial skills among women engineers, this is so because white

collar jobs are not readily available now and we need to do something that would be make us relevant to ourselves, families and the society.” Commenting on the tour as far women engineers are concerned, Akpedeyi said: “When we came here today and they told us that they have just two female engineers, that has to change, because we expect them to have more in their employment in this factory. Although they do advertisement in national dailies as to vacancies and recruitment,

but perhaps, the message might not be getting to the target audience. “ She continued: “Also it possible that they might not be reaching the female community when advertising because people don’t understand what the opportunities are in this type of factory and we have told them that we can be of help in this regard. We are not asking for them to lower their standards, not all. What we are saying is that more women engineers should be encouraged to be in their employ-

ment.” Growing the membership, according to Akpedeyi, is one of the core vision of her tenure, revealing that plans are on ground to open another chapter in either Uyo or Eket in Akwa-Ibom soonest. In his response, Acting Factory Manager, Mr. Emmanuel NtoNwana, said Nestle being an international company was ready to assist APWEN in any way possible towards the development of engineering in Nigeria.

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Good Shepherd choice estate berths in Lagos Projects By Tunde Alao PIRITED to impact positively on the nation’s housing industry, Messrs. SF Engineering Limited has commenced the construction of a 70 units of residential apartments, located within the neighborhood of Ketu in Kosofe Local Government Area of Lagos State. The new housing estate, christened “Good Shepherd”, is sitting on a 5.7 acres of land owned by The Apostolic Church, LAWNA Territory and it was designed to accommodate 12 units of 4-bedroom semidetached houses and 58 units of 4-bedroom terrace houses. The developer hinted that the estate offers a safe, secure and serene environment for family’s living. Besides, exceptional ancillary facilities and infrastructure in the estate include 24hours power supply, central waste disposal system, CCTV camera, 24 hours security service, constant water supply, recreational facilities and fitness centre. Others are passable road network, functional drainage system, street lighting, swimming pool, mini mart and ample parking space. The estate being financed by First Bank of Nigeria

An illustration of proposed units by S.F Engineering Limited in Ketu, Lagos (FBN) Plc. is also has mortgage facility for prospective subscribers who prefer mortgage financing option. Managing Director and Chief Executive Officer of the firm handling the construc-

tion, SF Engineering Ltd, Mr. Sesan Obe, has said the estate would be delivered in 12 months. According to him, members of the public would have opportunity to subscribe for

the accommodation, adding however, that preference will be given to TAC household. “The houses will be affordable and all members of the public are eligible to acquire

a residential space of their dream in the estate” said Obe, adding that construction works will commence on the site as soon as the building approval are being finalized by the state

government. National President and Chairman of The Apostolic Church, LAWNA Territory, Pastor (DR) Gabriel Oladele Olutola JP, performed the groundbreaking ceremony.

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Lafarge tasks artisans, block-makers on modern technology Professional Practice By Tunde Alao ONTINOUS skill acquisition on modern technology by artisans plying their trade within the construction industry will go along way to reduce cases of failure of buildings in Nigeria, a notable cement manufacturer, Messrs Lafarge Cement WAPCO Nigeria Plc., has said. Representatives of the company spoke last week in Lagos during an enlightenment programme organized for the artisans. The programme, which held at Amador Suites, Sangotedo, Lekki, had in attendance, participants that included block moulders, bricklayers and other related artisans. The event’s theme, titled: “Requirements of Quality Blocks in Building Construction”, examined issues bordering on how to ensure proper material mix, competence of artisans, description for block making and recommended production process and technique, among others. Speaking on the need for such training and sensitization programme, Lafarge General Manager, Sales and Customers Services, Mr. Sam Ndionyema, said the firm was always alarmed whenever issue of housing collapse occurs in the country. According to him, building collapsed has become a thing of national embarrassment to the stakeholders and majority of them are being traced to the use of substandard materials on one hand, and use of less qualified artisans and other professional quacks. “Lafarge’s contribution is to train and inform the end users of our cement on mix composition to ensure quality products.

Reasons being advanced for poor quality production by the block moulders include the quest for excessive profits, inadequate understanding of product mix, poor supervision/ regulation, wrong selection of materials, poor workmanship and use of non-professionals, among others This is because some block molders lack the requisite knowledge of modern methods of making quality blocks. Besides, our bricklayers also have things to learn as we also have things to learn from them”, said Ndionyema, who stated the importance of participants in building of modern cities. He also listed the uniqueness of his firm’s products that he described as “segment of various products”. This is different cement for different infrastructure. He listed these to include cement for deep underground, surface resistance cement for swampy locations such as in Delta region, cement for roads and the one for skyscrapers, among other segments. Listing the requirements for quality products, Lafarge Relationship Manager and Precast Segmentation, Mr. Soji Okesina, said proper mix of materials was a requirement for quality sandcrete (blocks made out of cement sand and water). Okesina highlighted various reasons that informed poor quality production by the block moulders. These he said include the quest for excessive profits, inadequate understanding of product mix, poor supervision/ regulation, wrong selection of materials. Others are poor workmanship and use of non-professionals, among others. He also made it known that recommended production process and techniques

involved a wide open but shaded space, especially in the raining season and that such space should be wide enough to mix concrete and pour mold. He hinted also that a mold that can produce certain standard of blocks should be used, while in preparing for concrete mix, one of the part of cement, four parts of sand and water weight one quarter of the weight of cement and four wheel barrows of sand are good mix. And lastly, one can start mixing the cement and sand on a firm prepared surface until there is no visible difference between the two. Commending the efforts of the firm, President, National Association of Block Moulders of Nigeria (NABMN), Alhaji Rasheed Adebowale, said since Lafarge commenced the training of block makers and bricklayers, experience garnered has been of greater advantage. According to Adebowale: “Bringing the block makers and artisans together has saved us from loss occasioned by blocks gotten broken in the course of production process, especially, the introduction of new variety of cement. The only thing we are looking for is the enforcement of our laws in the area of weeding out quacks in our midst. But we are very sure that the involvement by the Standard Organisation of Nigeria (SON) would help in achieving the desired goals”, said Adebowale.

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ESVArBoN increases membership, urges inductees’ to improve estate- surveying profession The 163 newly inducted members have been told not to rest on their hoarse or abuse the privilege, which could be withdrawn at any time by the regulatory board. They were told to be worthy ambassadors of the estate surveying and valuers’ fold Professional Practice By Emmanuel Badejo S part of the strategies to shore up the number of qualified estate surveyors in Nigeria, the Estate Surveyors and Valuers registration Board of Nigeria (ESVArBoN), has added 163 new members into its profession, thereby increasing its membership to 3395. Speaking during the induction ceremony, which was held within the old chamber of the National Assembly, ESVANBoN chairman, Mr. Williams odudu, said part of his plan was to double the number of qualified practicing estate surveyors before the expiration of his tenure in 2016. But Idudu, as usual, cautioned the newly inducted members not to abuse the stamps, seals and certificates being given them, which he said remained the properties of the board and it has the right to withdraw them if misused.

In his words: “Let the rule and regulations of the board be your guide, and that he board will not tolerate any violation of its regulations. therefore, the ethics and ethos of the profession should be carefully guarded by all and sundry. May I emphasize at this juncture that integrity is the hallmark of success of every professional, so it should be consciously protected with the fear of God.” He urged them to ensure that they, like the forefathers of the profession, made their marks, while ensuring that they remained worthy ambassadors of the estate surveyors in Nigeria. Meanwhile, the need for practitioners to hone their skills in latest technology that impact positively of their profession, could not be over-emphasized, the newly elected president of the Nigerian Institution of Estate Surveyors and Valuers (NIESV), Mr. James omeru, has said. this, according to omeru, would place the realtors at advantage to render worldclass technological based services to the people and clients. represented by his first Vice President at the event, Dr. Joshua Patunola-Ajayi, omeru, said job opportunities abound for those who invest to develop themselves, adding they could not afford to perform less than the set standards, hence, the need for training and retraining.

According, the world is dynamic, so also is the filed of estate surveying practice, urging the newly inducted members not to hesitate to seek professional counsel from those ahead of them, when confronted with daunting challenges in the course of their engagement. though, he was excited with the pace at which ESVArBoN, was inducting new members, he however, added that the board needed to do more as the few population of estate surveyors in the country now was grossly inadequate to service the entire nation. “Looking at the ratio of estate surveyors and valuers to the population of 160 million Nigerians, it would be essential to register more members in order to meet the need of people who require the services of professionals.” In his charge, Mr. olalekan Dosunmu called on the newly inductees to lift the beckon of the profession by maintaining professional dignity, dexterity, honesty, nobility and probity, adding that these virtues, if imbibed, they would become proud professional improver of estate surveying field. “My charge to you today therefore, my noble professional inductees, is to be professional improvers. Always ensure that the following exude from the totality of your professional practice: professional dignity, professional dexterity, profes-

sional honesty, professional nobility and professional probity. It is my honest belief that if you put all these into your

professional practice every hour, every day, you will be a very proud professional improver and you will able to

proudly announce to the whole world that you are indeed a ‘Dig-Dex-Ho-No-Professional’ estate surveyor and valuer.”

L-R: Vice Chairman, Nigerian Institute of Architects (NIA), Lagos Chapter, Mrs. Titi Adeleye, Chairman, NIA Lagos,Mr. Ladi Lewis, Past President, NIA, Mr. Dele Ogunneye and Managing Director/Chief Executive Officer, Portland Paints and Products Nigeria Plc, Mr. Femi Oguntade during the launch of Jaguar showroom in Ikeja, Lagos

Portland Bathrooms launches Jaquar showroom in Lagos ortLAND Bathroom, a diviP sion of Portland Paints and Products Nigeria Plc, has launched “Jaquar” brand of sanitary ware and bath fittings in Lagos. the showroom showcases contemporary and unique designs in sanitary ware and bath fittings. Managing Director/ Chief Executive office, Portland Paints and Products Nigeria Plc. Mr. Femi oguntade, said the showroom launch is in fulfillment of the partnership

agreement with Jaquar Pvt Co Ltd, India, which is to offer their customers complete bathing solutions and satisfaction. Portland Bathroom is renowned for delivering quality Sanitaryware and Jaquar is a brand to trust. “Jaquar, one of the largest manufacturers of quality Bath fittings and Sanitary ware in India with key markets in Europe, Africa, Asia and Middle East, is proud to offer Nigerians (Home owners, Dealers,

Architects and Building professionals) who value quality and comfort that come with the Jaquar Experience”, he said. He noted that Jaquar brings a complete range of bathing solutions that consists of Brass fittings (Faucets, Ceramics, Acrylic Bathtubs and Showertrays); Wellness (Whirlpools, Spa’s, Shower panels and so on, including enclosures that are available to customers at the Aromire showroom, Ikeja and Lagos.

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Govt, conglomerates sign $18b MOU on Abuja Centenary city project Projects From Ezeocha Nzeh, Abuja

The mass land, which spreads across 2500 hectares, would provide over 1250 units of houses, which would be ceded to the developers as concession, while the federal government through the FCT would be holding the remaining portion, adding that the project would be completed under a period of 60 months ET to achieve the centenary Sernment, city project, the federal govlast week in Abuja signed an $18b Memorandum of Understanding (MoU) with a conglomerate of developers under the Centenary City Plc (CCP). CCP is charged with the task of building the city. The project is expected to create over 500,000 jobs for Nigerians. Signing on behalf of the federal government, the Minister of the Federal Capital Territory (FTC), Senator Bala Mohammed, noted that the mass land, which spreads across 2500 hectares, would provide over 1250 units of houses which would be ceded to the developers as concession, while the federal government through the FCT would be holding the remaining portion, adding that the project would be completed under a period of 60 months. According Mohammed, the Centenary City Plc has paid full compensation to the original inhabitants of the earmarked area for the city, which would lead to the displacement and relocation of about four Gbagyi communities along the Nnamdi Azikiwe International Airport road in the FCT, adding that FCT administration would soon commence the enumera-

tion of those living on the affected land for payment and relocation. He noted that as provided in the conceptual design, eighty percent of the city would be for commercial which would provide employment opportunity for over 500, 000 Nigerians during the implementation and after completion of the project respectively. He also informed that the city would have convention centers, hotels and other facilities that offer employment opportunities for the teeming unemployed Nigerians. The Minister assured that certain measures have also been taken to make sure that the project is completed as at when due and would not be abandoned as it has been the case in the past, adding that it was as a result of the FCT administration’s resolve that the project should not be rushed into until all the necessary enablement are provided that brought about the disagreements and differences it had with the office of the Secretary to the Federal Government (SGF), which has been coordinating all centenary issues on the immediate take off of the city project. “It is a federal government directed programme but private sector funded in a manner that the president has started something different that will give a boost and positive effect on the economy. We are assessing about $18b to build a smart city from the private sector. We have carried out due diligence to make sure that Nigerians are not shortchanged. The land is going to be subjected to due diligence and nobody will be shortchanged; it will be developed in a manner that would provide employment that will accelerate the development of the Federal capital city and the

territory as per the concept of the FCDA act. He added: “The FCDA will be part of the programme to make sure that it complies with the Abuja master plan and indeed it will be accelerated because all the due diligence in terms of financing and technical capabilities have been done. To think of $18b coming from other sources outside the federal government revenue of oil, is a salutary effect on the economy. “The conceptual design has been done and the final preliminary design has been approved so they can go to site. Government, especially the office of the Secretary to the Federal Government has shown so much interest in the project. We have severally discussed and agreed to move on after series of disagreement over the concept of the city. In the agreement, a portion of 1250 units is being ceded as a concession to the centenary city Plc and the federal government through the FCDT would be taking a small portion where our own premium and development charges are going to be put as part of the equity contribution. We have packaged this in the best global practice to make sure that FCT and Nigerians are not shortchanged. In the agreement, we have set out a period of 60 months for the completion of the city. “We have already earmarked a particular area within the FCT, measuring approximately 1200 hectares of land for the project. The demographic enumeration in that area has been done and the compensation has been made and right now the Centenary City Plc is ready to move in to the next stage of discussing with the Federal Capital Development Authority (FCDA) to produce all enabling technical details of the city,” he assured.

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PRIME ESTATES

UN-Habitat, UNEP launch N344m greener cities partnership CONTINUED FROM PAGE 35 “Cities have historically constituted efficient settlement patterns because of the correlation between higher density and lower per-capita rates of resource use and emissions. Today, they accommodate about 50 per cent of the world’s population – an estimated 3.5 billion people – on just three per cent of the Earth’s surface. This concentration of wealth, resources and shared infrastructure offers the potential to make cities both highly resource-efficient and resilient to external pressures such as socio-economic shocks. “Urban growth, however, is trending in the opposite direction. By some estimates, urban areas now consume 75 per cent of the planet’s natural resources and produce 60 per

cent of its greenhouse gas emissions and half of its waste. Sprawling development is destroying the very natural capital that would provide resilience to brace against resource scarcity and climate change, especially for the poorest.” For the UN Under-SecretaryGeneral and UNEP Executive Director Achim Steiner, “ensuring that future urban growth does not result in further environmental degradation represents one of the biggest development challenges today. The Greener Cities Partnership will generate a better understanding of how resource efficiency impacts the resilience of cities, and will aim to build political support for the establishment of an innovative initiative for

resilient, resource-efficient cities.” Steiner disclosed that African countries often considered to be low-greenhouse gas emitters will in not-too-distant future be a major source of greenhouse gas emissions. “African cities are expanding at unprecedented rates and are facing rapid population growth, higher motorization rates, rapidly worsening traffic congestion, as well as a resulting increase in health problems associated with traffic pollution,” he said. On waste and waste water, the Partnership’s work will build on several joint and individual initiatives by UNHabitat and UNEP. These include the Global Partnership on Waste Management – an open-ended partnership for

Lagos discovers distressed buildings, relocate residents CONTINUED FROM PAGE 35 And to ensure the residents are carried along in the proposed plan, a stakeholders’ meeting was held last week, where the Lagos State Commissioner for Physical Planning and Urban Development, Mr. Olutoyin Ayinde said that government had to relocate the residents before the buildings give way. The Commissioner, who informed that the buildings in question had failed structural integrity, noted that government would not wait to allow tragedy to strike before doing what is necessary. To this end, government had set up 20 flats in Iyana-Iba and Amuwo Odofin, where they would move the residents to, while the remaining families, who opt for financial assistance to enable them get accommodation at their choice area would also be offered money to do so. Noting that the reconstruction of the building might last for two years or more, Ayinde assured that government would make a formal arrangement for the residents to enable them return to their flats after renovation, regardless who succeeds the present administration. Ayinde, while lamenting Nigerians’ penchant for praying for safety without making effort to ensure safety of their lives, noted thus: “We always pray God forbid bad things but we don’t work towards safety. We enjoy learning in hard way, which is not good. We mustn’t wait until the buildings collapse before we start moving out of the place declared dangerous for habitation. Experience, they say, is the best teacher but is not good to experience tragedy before we adopt necessary safety measures” said Ayinde, adding that the sad incidence in Oke Afa LSDPC housing over a year ago which cost at least two important lives, among them a medical practitioner, made government to set up a tribunal to look into the state of the estates generally. One of the residents, Alhaji Ibrahim, however commended the government for the planned re-construction of their estate, but appealed that a solid legal contract should be made to ensure they are allowed to return to their houses after the reconstruction. Allaying the fear of the residents, Ayinde said the legal agreement that the government plans to have with the resident would be binding on

successive government, assuring that they would all be relocated back to their homes. It would be recalled that a two storey building, Block M20, built by the Lagos State Development Property

Corporation, LSDPC, Housing Estate also known as Jakande Estate, Oke-Afa in Ejigbo Local Council Development had in November, 2012 caved in, killing two sisters.

international organizations, governments, businesses and others which was launched by UNEP in 2010 – and the UN-Task Force on Wastewater and Global Wastewater Initiative, which is co- chaired by the two agencies. By 2025, the world’s cities will

be generating about 2.2 billion tonnes of solid waste per year. Waste generation will be more than double in lower income countries, according to the World Bank. Contaminated water, due to inadequate wastewater management, is a major threat to public health

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PROPERTY GUIDE

Lagos seeks private investments to provide sanitation, public toilets Sanitation By Tunde Alao ITH the growing population in Lagos on daily basis, the need to step up sanitation activities and ensure adequate provision of toilet facilities, especially, in public places is one of the major concerns of the state government. Therefore, private investors are expected to take on the challenge by investing towards ensuring that the state meets up with the demand of providing sanitation for her rapidly increasing population, Mr. Tunji Bello, Commissioner for the Ministry of the Environment, has said. Poor quality and inadequate toilet facilities in public places in Lagos have been perceived as potential cause of impending epidemic explosion across the city. At an advocacy/sensitization campaign/ stakeholders’ meeting held last week to address the issue of how best to provide the populace with facilities in public places, organised by the Lagos State Ministry of Environment, Bello, while emphasizing the need to discourage the acts of open defecation, said its environmental implication was too much to ignore. The event, which took place at Lagos Chamber of Commerce and Industry Hall, Alausa, Ikeja, titled: ”Eradication of Open Defecation and Urination in the State: Public Toilets in Focus”, drew speakers, from health, environment and public sectors, who highlighted the health, socio-economic and environmental implications of the unwholesome practice of open defecation and urination. In his address, Bello said Lagos has become a victim of its own success. “Our state has become a victim of its own success. With the population of over twenty million, we contend with the challenges of inadequate of water and sanitation as people now do open defecation and urination across the state”, Bello attributed the acts to the increasing migration by the people from different parts of the country and outside, many without good accommodation. He noted that the cost of open defecation and urination was too much to ignore, because it is not only the underground water is being polluted, but also it contaminates agricultural produce and aids diseases. “Besides, the health implications are grave and monumental. We are told that about 2,000 children die every day across the world from diarrhea and other preventable diseases as a result of poor sanitation. “In view of the massive pressure on the existing sanitation infrastructure, it has become apparent that government alone cannot do it, therefore, we call on individuals, groups and communities to collaborate with government in ensuring proper, adequate and sustainable sanitation for all”, Bello pleaded. Mr. Soji Adeyemi, of Kondason Associate Limited, who spoke on the topic: ”Hazard Risks and Vulnerabilities Involved in Unhygienic Usage of Public Toilets (Management and Operation), gave a shocking statistics that only 578 public toilets are available serving 21 million population in Lagos. According to Adeyemi, out of this number, 413 were constructed and managed by private groups and individual, while only 165 belonged to government. Thus, making it one toilet to serve 37, 859 persons. He highlighted problems bedev-

iling public toilets to include inadequate water supply, substandard construction of such toilets, lack of proper maintenance, accessibility and lack of regulations and penalties. He recommended that there must be an increase in provision of public toilets, a borehole to be provided with signpost, provision of public toilets in all filling stations, garages, markets and other public places. “People will not make use of open place to urinate or defecate if public toilets are functioning, clean and accessible. Besides, proper maintenance of these facilities and provision of water supply and moderate charges would definitely attractive and at the same time, discourage open defecation and urination”, said Adeyemi. Director, Environmental Health, Ministry of Health, Lagos, Dr. Fakunle O. Enigbokan, In his presentation, ”Health Implication and Foster Preventive Measures to Build the Resilience of the Citizens Against Open Defecation and Urination”, gave a grim picture of health implications of the acts. Enigbokan explained that wind,

water and air are part of vehicles by which diseases from exposed excreta through viruses get into human being. According to him, open defecation and urination are not peculiar to Nigeria, but that almost 18 countries are affected by inadequate public toilet facilities. Enigbokan hinted that it would require $2b to provide for the 18 countries, but added that 12 countries that included Indonesia, India, Pakistan, Burkina Faso, Cambodia, Nepal, Nigeria among others are highly affected, noting that 34 million Nigerians still practice open defecation and urination. In Lagos, he listed AlabaRago, Boundary, in Ajegunle, Mile 12, and Oyingbo markets as places that require urgent need to get the facilities. The First Lady of Lagos, Dame Abimbola Fashola, while appealing to the participants to spread the message at the forum to every part across the state, charged transporters, market men and women, artisans and others to ensure that they collaborate with the government to ensure a better environment.

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PROPERTY GUIDE

Developer unveils Abuja’s Grenadines Katampe estate new housing estate, the A “Grenadines Terraces Katampe”, is to debut in Abuja, the Federal Capital Teritory, by Messrs Propertymart Limited. The company is introducing what the developer described as “an artistry estates”, edifice of 25 terrace, of 4-bedroom all en-suite, including maid rooms, dining and fitted kitchen. The Grenadines has the folowing features, namely: dual swimming pool, an ornamental fish pond, a lawn tennis court- 24 hours CCTV surveillance camera installation, asphalt road network, invisible cable network, 24 hours

constant electric power supply, among other amenities. Price for each unit is 85 million Naira with a considerable payment plans of 10 percent commitment fee and 70 percent balance spread through 12 months. The amenities in the estate are to provide conveniences to widen the horizon of its residents. Grenadines is just ten minutes’ drive from the Centre of Business District (CBD), Abuja. The estate is a creative masterpiece estate-a place where toils of life is forgotten and tremendous family memories are cherished. “ “This magnificent estate is an orchestration of novel minds

to make resident experience the luxury in living, relaxation and most especially a blissful feel of a resort. where you can keep your body in shape to remain on top of your game and other state of the art facilities that will throw you into the sandy, beach, breezy and greenly feel of a resort”. Propertymart, a real estate company since 2008 has been investing in the nations’ real estate sector. As an outstanding real estate company, Propertymart Limted is poised for excellence, professionalism, innovation and tremendous customer satisfaction.

Xeus makes allocation in Ogun Lighthouse estate Housing By Ijeoma Opara real estate firm, Xeus Realties Limited, has made first allocation to 50 would-be homeowners, who subscribed to its 60 acres Lighthouse Estate, located at the Agbara/Igbese area of Ogun state. Briefing journalists while presenting allocation papers to its subscribers, Managing Director, Xeus Realities Limited, Mr. Emilola John Odulate, said that the firm has helped their clients gained access to National Housing Funds. He however noted that their target was to see 50 buildings standing on the land by June 2015, “we don’t just want to sell lands but make sure that people live in their own houses”. On why they chose that location, he said, “Agbara is a

strategic location, a home to more industries in Nigeria than so many other areas. The 10-lane road expansion and light rails from Orile to Badagry spearheaded by the Lagos State Government, also makes that region an attraction for real estate. We equally have the presence of the Ogun/Chinese free trade zones with about 40 companies already in operations.” Odulate stressed that they went into partnership with some mortgage institutions, construction companies and suppliers of building materials to ensure that they deliver decent shelter within the shortest time to their clients. “There is a large population in the middle class, seeking to own their first home who earn good income but not enough to pay cash and they have difficulties in obtaining mortgages. By starting lower on the ladder and purchasing

smaller lower cost homes, they can steadily build equity and move up into a large home as it is done in many other societies. “While we wait and hope that government would address challenges facing the sector legislation; especially the land use act, registration of titles, absence of national credit database, unstable macro- economic environment, lack of long term finance and infrastructure to mention a few, we continue to creatively service the housing needs of Nigerians within available resources. “All over the country, there are housing deficits that need to be addressed and we are going to make our presence felt in more parts of this country. We want to be the firm that meets the needs of the low and middle-income earners, where housing is concerned”, he added.

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THE ENVIRONMENT

PROPERTY GUIDE

Desert area

Africa may become a wasteland due to desertification, research warns The Environment FRICA is a continent laden A with diversity. Diversity in climate, vegetation and people. A land of potential beyond imagination, yet ruined by mans wrecking influence. Not all man however is to blame, primarily those who arrived as settlers from Europe to colonise Africa about 200 years ago. These settlers caused radical change in Africa. This change spoilt the delicate natural balance, which had evolved over thousands of years. Today the economies of Africa are the weakest in the world, and the desperation of the rural population has also had adverse effects on the environment. The people of Africa must learn not to ruin the environment, as it is a non-renewable resource, it will disappear. A consequence of man’s destruction is the fact that a mere 1percent of Africa’s vast flocks of wildlife remains, a horrific statistic that indicates what Africa once was. All that is left are slight fractions of its former glory and greatness. The greatest of all man’s disturbance of the natural balance is desertification. Desertification is the environmental transformation from savannah grassland into arid desert-like land. Many of the factors causing desertification are natural, such as drought and soil erosion, but the effects of man on the environment leading to desertification are plentiful. The population of Africa has boomed over the last century and the food supplies avail-

Africa is faced with insurmountable obstacles, something has to be done soon, or else Africa will become a barren wasteland worth nothing, and her people will never survive. The world already has to help Africa a lot, but if the people of Africa do nothing soon, I’m afraid the rest of the world to help us can do nothing able are dreadfully insufficient and many areas of Africa now rely on foreign food aid. However as the amount of food aid sent to Africa has increased so the production of food in Africa has decreased. This shows that the people are relying on food aid, and have stopped producing food. This just makes the desperate situation even worse. The primary food source for the rural population is their domestic livestock, mainly cattle and goats. In some areas a herdsman’s livestock is a symbol of his status and wealth and large herds are kept. These herds destroy the natural vegetation. Cattle originate from Europe and Asia, and are not suited to the climate found in Africa, nor are they resistant to African diseases. Cattle, even in small concentrations, create cattle paths that destroy natural vegetation and create channels for water to flow down. Therefore infiltration of rainwater decreases and the runoff increases, carrying soil with it and robbing the soil of vital nutrients. Agriculture is also very important in feeding the masses, and is practised all over Africa. Agriculture has many detrimental effects on the environment. Vast land is

needed to plant the crops, and equally vast amounts of water are required to irrigate and sustain them. Great areas of natural vegetation are cleared to make way for agriculture; this leads to soil erosion, another factor causing desertification. The millions of tons of soil carried away by our rivers not only cause flash floods and reduce the carrying capacity of dams; they also destroy many areas of fertile land by removing the fertile topsoil. Man is not the only animal to blame. Elephants are also extremely destructive; they destroy trees and other vegetation and depend on great amounts of food and water to survive. The over concentration of elephants in an area can lead to complete destruction, such as in certain areas of Kruger National Park and in Chobe National Park in Botswana. One might say that this is a natural factor, and is not mans fault, but before man arrived and fenced areas, forcing elephants to concentrate in smaller areas, there wasn’t a problem. Fences have been erected all over Africa, dividing it into a maze of farms and properties; these fences have wreaked havoc with the migratory routes of many animals, such as wildebeest. The fences cut

the animals off from their perennial water supplies, and force them to find new water holes. Foreign elements quickly kill the animals in new territory as they adapt to their new surroundings, thus a drop in their numbers occurs. Another factor hampering the migration of animals is the construction of dams, not only do dams inundate some previously dry areas up stream, they dry up previously “wet” areas downstream. These areas may have been drinking holes for the animals during migration, but now they have to find alternative supplies. The tsetse fly is one of nature’s only defences against man’s influence. The indigenous wildlife is immune to the disease carried by the tsetse fly, but cattle being exotic are not. This forced man to live in areas where there were no tsetse flies, as their cattle were quickly decimated. But today man is ruthless in his use of insecticides, and is spraying vast areas of Africa. This serves the purpose of killing the tsetse fly, but it has dreadful effects on the rest of the environment. The poisonous insecticides kill many other species, and when they enter the water streams, the potential for disaster is great

because the poison strengthens more as it get passed on by the ingestion of an infected animal. So the insecticide can cause damage to humans as well as destroying an already fragile and dying ecosystem. Cattle are certainly the biggest culprits in the destruction of the environment and an alternative to cattle seems necessary to preserve African environment as we now it. The farming of wildlife today is very popular and is arguably a better option than cattle. Wildebeest, as an example, being indigenous are immune to disease and do not require expensive dipping, as cattle do. Their reproductive rate is much higher and they live longer. They do not destroy the environment as cattle do; therefore the land can sustain them for longer and the vegetation regenerates. The expense of farming wildlife such as Wildebeest and Springbok, as opposed to cattle, is much lower, as the animals do not require such attention and are extremely hard, they have adapted to their surroundings over thousands of years whereas cattle have only had about 150 years. Game farms and wildlife reserves attract tourists and hunters, who bring with them valuable foreign currency. The wildlife of Africa is a major draw-card for foreigners venturing to Africa, and the vast majority go to Game Parks or Farms, therefore these parks need to be maintained to keep the tourists coming. Hunting is

also vital in bringing in money, and hunting decreases the amount of illegal poaching. However the hunters kill the “trophy” animals of the herds, the strongest ones. This conflicts with the natural balance of “survival of the fittest” as man kills the strongest animals, and the weakest are killed by nature. This weakens the herds, and so there are less “trophy” animals for the hunters. All of the factors coupled with Africa’s erratic and dreadfully unpredictable climate have lead to Africa gradually turning into an arid wasteland. Desertification is an environmental disease rapidly spreading across Africa, 100 square miles of land are being “infected” by the disease every day. If this rate keeps up, 80 % of Africa will become desert. Africa already has the largest desert in the world, and two other significantly large deserts, these are growing rapidly and are engulfing large areas. Africa is faced with insurmountable obstacles, something has to be done soon, or else Africa will become a barren wasteland worth nothing, and her people will never survive. The world already has to help Africa a lot, but if the people of Africa do nothing soon, I’m afraid the rest of the world to help us can do nothing. The End Of Eden Desertification In Africa, is an essay directed at examining the negative impacts of desertification in Africa.

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For The Record Regulating power sector in Nigeria: Opportunities, challenges and prospects Being text of a lecture delivered by Dr. Sam Amadi, chairman/chief executive of the Nigerian Electricity Regulatory Commission (NERC) at the yearly public lecture of the Institute of Chartered Secretaries and Administrators of Nigeria (ICSAN) on Thursday, March 27, 2014 at the Agip Recital Hall of the MUSON Center Lagos Continued from Tueday, April 8, 2014 UT in real life what is on paper as law may be B very different from what is experienced in the market. The temptations for a government ministry like the Ministry of Power, or even the Presidency, to feel compelled to interfere unduly in the decisions that the regulator makes regarding the working of the market is such that may be irresistible. But to resist this temptation is a critical discipline that determines whether the nascent electricity market in Nigeria will survive. Now note this. Independence does not mean recklessness or lack of accountability. Independence means that the regulator should be free to make the best decisions based on the evidence available to it. The regulator is independent to achieve the legislative mandate granted it by government. But the regulator is accountable to political authorities and the market. Accountability is even a more important feature of an effective regulator. A regulator is accountable to follow the laws establishing it and mandating its function. It is accountable to other political institutions that oversee its administrative and financial transactions. It is accountable to the ordinary jurisdiction of the court of justice, in the case of Nigeria, the Federal High Court, to review its decisions and interventions. The effective regulator is also accountable to operators and consumers to ensure that decisions are made after due process and through a consultative process. As we enter a private electricity market the government needs to go through a culture change. It has to realize that the market has to be governed through rules made and administered by the regulator. It has to learn to focus on policymaking and use other established methods to oversee the work of the regulator. If the government falls to the temptation of usurping the work of the regulator it increases the risks of the new market and truncates the reform. The Discipline of Transparent, Prudent and Regulated Public Sector Funding: Even as government has privatized the generation and distributions assets it still retains ownership of the transmission network. This is a wise decision because of the need to ensure that transmission is continuously funded. Being a public good the private sector may not adequately fund expansion of the critical network needed to wheel power to the grid. So, government will continue to make investments in the transmission. One reason this sector collapsed in the past is because of corruption ad waste in public investment in the networks. Government spent billions in electricity and yet, there is no electricity. This waste would not have happened if public sector investments were subjected to the same degree of transparent review and regulation as private sector funding. This is a pressing challenge today as government is working hard to attract local and foreign investments into the Transmission Company of Nigeria (TCN). NERC is urging government to ensure that every naira or dollar spent on TCN is part of TCN’s long-term investment plan and properly reviewed and approved by it. If investments are approved, this ensures that they are prudent and relevant because they should be recovered through the market. Government should learn to submit its investment to NERC’s prudency review in order to avoid the mistakes of the past. The Discipline of Smart Project Management: Electricity projects demand smart management skills. The collapse of the electricity industry in the past is partly a function of the lack of project management skills. Network planning was not carried out properly. Until very recently, the

Amadi Transmission Company of Nigeria (TCN) did not have a system plan for the electricity sector. Plans were not integrated. Project management cycles were dysfunctional. One of the major challenges in the new market is that if we hit 6000MW now, we don’t have the capacity to transmit the power to distribution companies. Many projects started many years ago that could have given us such wheeling capability could not be finished because of poor project management. This weakness in project management has caused us infrastructural development. This malaise derives even from our method of budgeting for projects not based on project life cycle but based on envelopes to be spent yearly. There is however a cure in sight for poor project management in the electricity market being constructed by NERC. First, there is a project management framework established by the licensing process which provides for monitoring all through the construction stage of the project. NERC is also empowered by law to issue or withhold approvals for project development and construction. This way, it can detect and deter project failure. Again, the recently approved Bulk Procurement Regulation stipulates a competitive bidding process for projects in the sector. The Discipline of Consistent Policymaking: Consistency in policy is a critical ingredient of the reform. Success is now being recorded with the consistent implementation of the reform policy and the provisions of the EPSR Act. It is important to keep this consistency so that we don’t bring back the risks of the past. Foreign investors will not continue with investment in the sector if the policies are changed too often. This is why the present government has been exemplary in the management of the power sector reform. The government has kept faith with the policy on power sector reform. The lack of serious discontinuity in policy has given credibility to the reform and helped to make Nigerian electricity market attractive to foreign investment. The Discipline of Public Participation in Sector Reform: Public understanding and buy-in of the reform process is vital to the sustained success

of the reform. The discipline of public participation projects the fact that those who will be affected by the consequences of a decision should, logically, be involved in the process leading up to that decision. This sort of participation is also termed “stakeholder engagement”. The regulator has enshrined these principles of consultative rule-making into its processes upon the strong conviction that where stakeholders are given the opportunity to make contributions in an open, transparent and rule-based process, they will also be committed to the obligation of abiding by any decision reached, even where it is different from that proposed by them. A recent example is the consultative process towards the formulation of interim rules for the market which has been going through various stages of stakeholder engagement. As a result of this constant engagement, when a decision is finally reached by the Commission on the rules to govern the market during this interim period, the enforcement of these rules will be much easier as “ownership” of the rules and resultant obligations are taken by stakeholders. Technical Aspects of Cultural Restructuring: After the handover of electricity assets to private sector operators, power supply has not improved as many expected. This raises another aspect of the challenges that the sector faces. We have changed the structure of the market. We need to also deal with technical challenges. Since November 2013 the generation capacity has not reached the 4,500MW we got in December 2012, the reason being that there is an inadequate supply of gas to power plants. At some point, generation capacity dropped as low as 2,500MW throwing the market into a minor crisis. The immediate reason for shortage of gas is pipeline vandalism. But the long-term reason is weak policy and commercial framework for gas supply to power plants. Due partly to the low tariff that power pays for gas, gas supplier are more inclined to supply gas to other industries and to export as LNG. There are also gas fields in the hands of persons who have low incentive to develop them. All these combine to undermine the efforts to grow generation capacity. Government is thinking of diversifying the energy mix. There is a growing focus on renewables like solar, small hydro and wind energy.

Coal is another area where load base is being built. At the moment gas fired plants contribute 80-85% of generation capacity. This percentage will grow up to 90% in next 5 years when some of the new independent power plants are commissioned. The looming tragedy is that if nothing drastic is done to revamp gas supply to power plants the market will witness severe stress. This may lead to the collapse of the sector. Fortunately, the government has realized this and is working hard to increase the supply of gas to power plants. But I advise that a national emergency should be declared on gas to power. For a start, government should direct gas from the export market to the domestic market to bridge the shortfall before new pipelines are constructed and more gas is processed for power plants. This is time for bold actions on gas to power. Safeguarding the Reform: Many Nigerians have expressed disappointment that since after the handing over of the assets to private sector there has not been noticeable improvement. There is now a significant degree of disappointment with the state of power supply. Now this disappointment could be positive inducement for the regulator to push for quick improvement in power supply. This is what the regulator is already doing. But if this disappointment snowballs into deep skepticism about the value of the privatization and descends into uncharitable criticism of the power sector reform it could lead to an unfortunate regression of the success of the reform. We should not forget that policy reform is a contested and reversible social program. Because of the entrenched interests of those who benefit from the old order there is always a fight over the nature of the reform. The ancient regime is not finally vanquished. It will take advantage of deep disappointment to launch a rearguard attack on the reform. The Nigerian power sector reform is still fragile. It is still reversible. This put a challenge on both the regulator and operators to ensure quick wins to consolidate its successes. It also puts a responsibility on the consumers and the general public to manage expectations in order not to create a social environment that enables the defeated enemies of the reform seek to reverse the process and truncate the reform. The challenge of reversibility therefore requires real thinking on the part of the new owners. The new owners have been more concerned with recovering their costs and paying the interests on the loans they used to acquire the assets. This has meant that they have not paid sufficient attention to service improvement in the short term. The widespread outcry against the drop in the quality of power by consumers is understandable. The privatization was sold on the basis of quick improvement by a more efficient and financially resourced private sector. The new owners also acquired the assets by demonstrating their technical and financial capabilities to reduce technical, commercial and collection losses and improve power supply and customer care. If they are now not doing so now it sustains the impression that the privatization was an attempt to sell off public assets to business cronies on sweet heart terms. Conclusion: After privatization the challenges of electricity regulation have not vanished overnight. They may have changed and taken new forms. It is true that the reform has changed the structure of the Nigerian electricity supply industry. We have erected the fundamentals of a competitive private sector electricity market. We have reversed the decline and instituted a regime of rules that ensure commerciality and financial viability. We have established a framework for sustainability in the sector. But we still need to meet the challenges of cultural and technical restructuring so that we can achieve the goal of adequate and reliable supply of electricity to Nigerian homes and businesses.

CONCLUDED

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Improved sanitation will reduce poverty, says World Bank ORLD Bank Group W President, Jim Kim, said that poverty would reduce in most countries of the world if governments took urgent measures to provide access to sanitation. Kim stated this at the ongoing Spring Meeting of the

World Bank and the International Monetary fund in Washington DC with the theme “Global Challenges: Global Solution”. According to The News Agency of Nigeria, Kim as explained that leaders in the world must evolve ways of

ending preventable deaths. “We are here today to prevent millions of needless deaths of people, most of them poor children who die because of lack of sanitation,” he said. According to him, an estimated 2.5 billion people lack access to functioning

Lafarge hosts dialogue on building collapse WAPCO Cement Plc, LondAFARGE will tomorrow, host the secnational dialogue series as part of its contribution to concerns on the menace of building collapse in Nigeria at the Congress Hall, Transcorp Hilton Hotel, Abuja. The theme of the workshop, which is being held in partner-

ship with Standards Organization of Nigeria, the Nigerian Society of Engineers and the Nigeria Institute of Architects is “Building Collapse: an assessment of building practices in Nigeria and the imperative for sustainable construction”. The one-day national dia-

logue is expected to bring together policy makers, professionals and other key stakeholders in the construction industry to discuss the critical issues associated with building collapse and proffer lasting solutions in the overall interest of the entire nation.

FirstBank, Oyo partner to boost state’s economy Bank of Nigeria FOyoIRST Limited is partnering State government for the planned economic summit, as part of its strategic initiatives to drive financial empowerment and contribute to the nation’s economic development. The summit, slated for, April 14 and 15, at the Ibadan Civic Center, Oyo State, has the theme “Oyo State: Right for Business.” The event is organized to highlight the various opportunities that abound in the state for both local and foreign investors, as

well as identifying practical solutions to developing key strategies that will serve as an integrated roadmap to achieving the economic transformation of the state through a framework of private sector partnership. The Governor of the state, Senator Abiola Ajimobi, will declare the summit open, while other dignitaries and discussants expected at the summit will include the South African Ambassador to Nigeria, J. N. K. Mamabolo; Nigeria’s foremost businessman, Alhaji Aliko Dangote; Group Chairman, FBN

Holdings Plc, Dr. Oba Otudeko; Dr. Oby Ezekwesili; and Mr. Bismarck Rewane. According to the Head, Marketing and Corporate Communications, FirstBank, Mrs. Folake AniMumuney “FirstBank remained committed to promoting thought leadership and driving economic development in various states of the federation. With our support of the Oyo State summit, we hope it will foster business development and enhance capacity building in the state.”

toilets or hygienic means of disposing of human faeces. He said that the figure included the one billion people who practise open defecation near rivers and fields, adding that the act often spread germs from human waste through food, water and washing of clothes. “The resulting diarrhea leads to the death of thousands of children every day and countless other negative impacts like child stunting. “The economic impacts

from morbidity, health and environmental and industry losses are equally staggering. “And despite almost 1.9 billion people gaining access to toilets and latrines since 1990, sanitation remains one of the most off-track Millennium Development Goals globally,” he said. Kim said that the World Bank was committed to doing it parts in financing and improving delivery of sanitary services. He also said that the bank

would strengthen its role in creating and sharing knowledge and in working with public and private sector partners. He disclosed that the UN had laid groundwork to raise global awareness and set goals around sanitation issues. He gave the assurance that the bank would broaden stakeholders’ engagement with leaders from private sector who were eager to understand the “science of service delivery.”

CWG records 10% growth in revenue By Adeyemi Adepetun NFORMATION and Communications Technology firm, Computer Warehouse Group Plc, has released its audited financial results for the year ended December 31, 2013 to the Nigerian Stock Exchange (NSE). From the report, which showed positive performance, the firm’s revenues grew by 10 per cent to N20.7 billion (2012: N18.7 billion), while Profit After Tax increased by 81 per cent to N612 million (2012: N339 million). The result revealed a Return on Equity of 13 per cent in 2013, as against 11 per cent in 2012 and Returns on Capital Employed (ROCE) of 13 per cent against seven per

cent in 2012. The firm’s asset increased by N2 billion to N13.4 billion as at 2013 year end, while shareholders’ equity increased by 66 per cent to N5 billion in the same period. The company finished with a strong cash position of over N1.1 billion at the year end, with a 38 per cent increase in cash from operation over 2012. Based on this improved performance, the directors have recommended a 33 per cent increase in dividend to 8k per share (2012; 6k) The Group Chief Executive Officer, Austin Okere, whilst reviewing the results, disclosed that CWG used 2013 to consolidate her operations by investing in new systems and processes which has culminated in the

cost efficiencies which has, in turn, resulted in the percentage growth in her bottom line. “This shall give CWG a cost leadership position whilst delivering superior service to its customers. According to him, we shall continue to make investments that would make CWG a global brand to behold. “The focus in the future would be to continue growing the brand through initiatives directed towards empowering the African entrepreneur. This would be done by making IT available to SME’s on a subscription basis, thereby lowering the entry barriers to the use of information technology. It is also a social impact investment.”

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FINANCIALGUARDIAN

How to mould a public sector firm In retrospect, what were the challenges confronting this business when you came on board nine years ago? NITIALLY, the challenges that stirred me in the face was the mindset of the people about Odu’a and the general perception of the company, which made it to be perceived purely as a government agency and that really affected our initial developmental strives and looking at that, I saw a very big developmental challenge due to the general perception of the people about this great company, as well as the externals in terms of investments. So how did you set out at least given some re-orientation about the firm? What we actually did was to firstly organize a business retreat to redefine the mission and vision statement of this company, which every staffer was involved in. We were at the lowest ebb of perception in terms of people partnering with the company as investments and even local direct investments. What we did during the retreat was to say, let us channel and change the previous image. So, we involved every member of staff, brought in some consultants, did some need assessments to identify the investments gaps, capacity gaps of our holdings, that is, the resources we had – people, land, capital and all others. We used these as bases to channel what other ways can we run the firm, to change the public perception about the company. In the mindset of the staff, we defined new core values, we were able to have new vision statement and now prepared our staff for the journey. So, a new road map was drawn to define our journey through the vision and mission statements. We were able to identify ourselves and we realised the fact that those skills gap had to be met through training. We involved everybody in modern ways of doing things and that was the beginning of that process for the internal. In the areas of the external, what we did was to extend our activities beyond the South West. We organised through partnership with Nigeria Investment Promotion Commission (NIPC) in 2010, a national investment forum, hosted by Odu’a and during this period, we were able to sell the company to other development financing institutions in Nigeria, and outside the country. So, that made us to work in harmony with NIPC and that made them (NIPC) to give us a desk in Abuja. That was the first time for a regional institution to have a desk and an office in NIPC and that took Odu’a beyond the level of a regional institution. And we were involved in several fora, like international conferences; national conferences, build relationship with African development banks and other financial institutions worldwide and these really gave Odu’a a different image by the investment public, both locally and internationally. And till date, our desk at NIPC is functioning very well. We really set out a very huge task to achieve from the retreat. One other thing we introduced when we came on board was to organise the speaker forum, on a bi-monthly basis.. All members of staff of Odu’a were usually in a hall and during that period, we would discuss things we were doing right and what were we doing wrongly. We do a lot of analyses of our activities. There, our staffers would say their minds. Lots have been achieved through the forum. We’ve not been able to achieve all that we set for ourselves. What I would want to see happen but unfortunately will not happen before I leave is the rebranding of our hotels. The greatest task that I am very happy with is relocating Odu’a headquarters and reviving of Cocoa House. Cocoa House is the greatest pride of every Yoruba man because this is the best asset Yoruba have. But if for any reason, we had abandoned that place, it would not have augured well for posterity.You know a true Yoruba man will not use the left hand to describe his father’s house. I think coming here

Jimoh

Adebayo Jimoh took over as Group Managing Director of Odu’a Investments Limited nine years ago, when the indigenous company, jointly owned by five states in the South West, was reeling in operational hiccups. However, the consummate administrator adopted some strategies that turned around the fortunes of Odu’a, to make it the most successful government-owned company in the country, outside the oil industry. Jimoh, who has concluded plans to exit the company next month, reveals, in this interview with Business Editor, ADE OGIDAN, the strategic options that have made the conglomerate a success story today. Excerpts. (Cocoa House),has given us the opportunity to have an opulent functional premises and beautiful space for our operations. Operating a business organisation within a public sector setting could be challenging. How were you able to ensure cooperation with the the various owner-states, to the extent that the bureaucratic bottlenecks did not scuttle your vision and mission? Odu’a, as you know, is owned by the five states of Western Nigerian – Oyo, Osun, Ogun, Ondo and Ekiti States. And each state has a representation on the board. And there is a rotational process for the chairman. The relationship between Odu’a Investment Company and the states was very cordial because the board itself saw that there was a need to achieve specific goals, based on established frameworks

that strategically improved communications within the whole system. In the past, there was a big gap and the states did not really know what was happening. But I can tell you now that we have developed a process that make activities of the group to be known to each state stakeholders through the board and even sometimes direct communications with the governors. And for a period, there was a time we started paying dividends to the states. The state governments saw that we were also encouraging some CSR in their states. We went out to their states to give scholarships on an even basis. Every year, 40 indigent but brilliant students from each state gets scholarships from the company, in conjunction with the ministries of education and the respective governors’ offices. So,

when we improved on this and they knew we were doing things right,they became more comfortable with us. We ensured that all stakeholders were kept abreast of our activities and there was no hidden agenda, with everything based on facts and figures. The board also has the opportunity of asking questions because our statutory governance committee meetings were regularly held and all these processes made this company very transparent. I didn’t have any issues with the governors. There was never an issue during the nine years, and we were supporting them thoughout. We held meetings to provide guidelines for various projects going on in the states in conjunction with Odu’a. When you talked about activities, how would you describe the operational profiles

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BUSINESS INTERVIEW

for competitiveness, by Jimoh of these companies within Odu’a, especially in the last nine years? Well, there is a fundamental law of life that says that certain companies get to a level of extinction and at point you are no longer able to operate within that scope of economic activities. Some of our companies went through life cycle and we could not revive them especially in the industrial sector. For example, Cocoa Industryand Epe Plywood, because their activities,were no longer within the focus of our growth sectors,as we had already redefined our priorities to achieve our set objectives. So, the growth sectors were clearly identified as real estates; hotel and tourism; telecommunications; and publishing. So, that made us have a deliberate programme of minimising our activities in some certain areas, especially in the real sector. We also focused on the stock market and from there,some improvements started coming in and that led us to a project called the PRP - Property Redevelopment Programme, because, Odu’a had prime properties, but the saddest thing is that most of these properties were left to rot despite their prime locations. They were all in prime locations, either in GRAs, prime commercial centres and cities. So, we saw an opportunity there and started bringing down those dilapidated properties and redeveloping them and that led to Estates like Odu’a Estate in Ikoyi (Lugard); Wemabod Estate in Ikoyi too. We came to Ibadan, we did the Orange Court; Almond Court; Odua Shopping Complex; and Mango Court. We also saw an opportunity in the shopping mall business and we said to ourselves that if any company will bring such to South West, of course, it must be Odu’a. We then went into that project and to God be the glory, we were able to put up the largest malls in terms of letable areas in Ibadan. We are not stopping there, we are developing another one in Apapa, which will be commissioned in June. The Apapa Mall, in partnership with TSL, which is also our developer has been able to sign on such international brands like Ancor, Shoprite and Mr. Price, among others. The good news about this, is that we are also empowering our society. The Shopping Mall created a lot of jobs and activities. I can tell you that the one we created in Ibadan has generated as at the last count over 2000 jobs, not to talk of other capital appreciations and even backward integrations. Most of the food items you see in Shoprite are produced by our farmers. Most of them have now upgraded their packaging systems, all to satisfy this process. So, we said rather than wasting resources, time, in trying to revive our industrial activities ,we decided to look at low hanging fruits. On our hotels, we are not satisfied with what we have because our objective to ensure we get international brands has not been achieved, but we are still looking for partners Gradually, we reduce the hands of government and from there government will just be providing the enabling environment and resources. At the end of it all, we are improving earnings for states and the people and the GDP of our country. What about the telecommunications company? The telecommunications company has always been a big challenge for Odu’a, because the company, when we came in nine years ago, was in serious debt- one that could have swallowed the whole of Odu’a and even Wema Bank. It was running into between N6 billion and N8 billion. We did everything possible to ensure that we paid the debt but, we now made it clear to our stakeholders, that is, the governments of the states, that Odu’a should not put money into this telecoms company again but look for a partner that has the fund and technical efficiency to run the company. And when we advertised, we got Concare Communications that has come in. But it came in a bit late, just three years ago but it has been able to establish a position in the market by providing broadband technology to majority of higher institutions in Nigeria, including University of Ibadan, Federal University of Technology. The company’s strategy is to focus on where it can get the best of returns. So,in answering your question, we have been able to revive O’net, but it is in partnership with an international company that has the core

We ensured that all stakeholders were kept abreast of our activities and there was no hidden agenda, with everything based on facts and figures

I see a future that would bring Odu’a and Ibile together to strengthen the asset base of South Western Nigeria. That is the drive we should all work towards because Odu’a without Lagos is not complete and vice-versa

We have different styles of management. But any style that does not believe in the people may not fly. I want my successor to continue to develop the people working in the company and challenge them the more

competence in telecommunications. So, what has happened to the industrial outfits? Did you dispose them off? What we are doing is that we are looking at other opportunities for our industrial outfits. As we speak, the Cocoa Industry’s premises is being let out to generate some income. But that is not enough, it is very rudimentary. We have to develop that place to a very high level logistic centre, because the cocoa processing has gone out of the area, like Lagos. It has gone back to areas that are very close to the farm. Private sector operators are investing heavily into this cocoa processing plant and there could not be too many of them even though the harvest are not as high as it used to be. Right now, Nigeria is probably not ranked among the first five cocoa processing companies of the world, unlike before. We can have like one or two firms processing cocoa, they are already there, so, no need to struggle to invest in them. So, any other investments within that framework that will give us return for our investment with a partner is what we are looking for. As for Epe Plywood, we are still talking with some partners who have said that they want to bring in equipment, funds and we will use our resources there as our equity, but we are not selling because they keep appreciating, so that they can be used to get good returns for the company. Is there any political or structural hindrance that has made Lagos not to be part of Odu’a? I think this will lead me the current drive by the South Western State to ensure that Lagos State becomes part of the economic agenda for South West Nigeria. That is being anchored by the Development Agenda for Western Nigeria, (DAWN) Commission, under this South West Region Integration, which is a DAWN initiative. Lagos is very active on that. In historical term, Lagos State had never been part of the old Western Nigerian. It was a colony historically and it has an investment company called Ibile Holdings and it’s doing well. But I see a future that would bring Odu’a and Ibile together to strengthen the asset base of South Western Nigeria. That is the drive we should all work towards because Odu’a without Lagos is not complete and vice-versa. Currently is there any strategic interface between Odu’a and Ibile Holdings? No. There is none between both. Except that we are all members of the Association of Development Finance Institutions of Nigeria. And here, we exchange lots of ideas. To which extend has Odu’a being involved in the regional integration programme of the South West? We have been involved seriously. As a matter of fact, Odu’a Investment is the landlord for the regional development agenda for the South West. We have been attending meetings and exchanging ideas. They states too are involved in Odu’a programmes. Back to the issue of political structure in which Oodua is domiciled, has there been issue of quota system in respect of personnel structure like your management been compelled to take certain people to do some state balancing? Yes, there have been. But it has been a fair process and I have always looked at it as issues that have to be taken on board because it will interest you to note that each state has equal representation, 20 per cent equity. There is no Oodua state that doesn’t have strong and brilliant human resources personnel. We are will trained in Oodua state and education has helped us this far. Yes there have been cases like that, but on some strategic positions, we play low on stateism because we are looking at performance efficiency. You will be leaving office in May, are there areas you want your successor to work on? We have different styles of management. But any style that does not believe in the people may not fly. I want my successor to continue to develop the people working in the company and challenge them the more. Because I have seen that if people are exposed and well trained, the leadership processes become easier and he should be a good listener and also understand and appreciate the peculiar nature of the Yoruba people. He should make sure he disseminates information as at when due and more importantly, he should do more to achieve more.

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Insurance NIA, FRSC collaborate on road safety, claims payment By Joshua Nse HE Nigerian Insurers T Association (NIA) and the Federal Road Safety Commission (FRSC) have expressed commitment to making Nigerian roads safe and secure for motorist and the public. This was restated during the official presentation of some units of HP Elite Pad 900 by the association to the commission to assist in the verification of genuine insurance documents of

motorist on the Nigerian roads. The Director-General of the NIA, Sunday Thomas, who led a delegation to the commission at Abuja, said the Nigerian insurance industry appreciates the efforts being made by the FRSC at ensuring safety of Nigerian road users. He said the donation of HP Elite Pad 900 units to the FRSC was to assist its fieldsmen ensure that vehicles on the road carry genuine insurance documents so

that there would be compensation to unfortunate victims who sustain injuries or die as a result of road accident. He said “We see this collaboration as one that should enhance value creation for the Nigerian people and also enhance insurance sector contribution to the social and economic development of the Nation.” The Corps Marshal of FRSC, Osita Chidoka, in his remark gave the assurance of effective policing and enforce-

ment of compulsory motor vehicle insurance which will ensure that crash victims have adequate and prompt medical attention, and owners of damaged properties resulting from insured motor vehicles are adequately compensated. He said the Commission was working out strategic collaboration with relevant agencies and stakeholders including the insurance industry through a technology base platform that would promote right atti-

Director General, Nigerian Insurers Association, Sunday Thomas, Corps Marshal of Federal Road Safety Corps (FRSC), Osita Chidoka and FRSC board member, Jackie Umoru, during the presentation of HP Elite Pad 900 units by the association to the FRSC in Abuja.

Mansard Insurance records 31% growth in profit ANSARD Insurance Plc, M provider of risk and investment management services announces its audited financial results, for the year ended December 31, 2013. Financial Highlights and Ratios, gross premium written of N13.59 billion (December 2012: N12.44 billion) an increase of 9 per cent, growth was stifled by regulatory enforcement of No Premium, No Cover regulation. This is a section of the 2003 Insurance Act that stipulates that premiums must be paid for before an insurer can incept cover. This regulation was enforced by the regulator (NAICOM) with effect from January 1, 2013. Net premium income of N7.53billion (December 2012: N7.10 billion); grew by six per cent predominantly due to efficient underwriting capacity. Investment income and other operating income of N3.73 billion (December 2012: N2.36 billion)increased by 58 per cent ; as a result of fair

value gains on financial assets and increase in rental income. Profit before tax of N1.99 billion (December 2012: N2.17 billion), a decline of nine per cent . This is as a result a 13 per cent decline in underwriting profit (occasioned by higher claims due to large oil &gas claims) and a 34 per cent increase in operating expenses (due to retail expansion costs and writeoff of prior year receivables of a large public sector group life account). Profit after tax of N2.09 billion (December 2012: N1.60 billion), an increase of 31 per cent attributable to tax write back Balance Sheet, total assets of N36.13 billion (December 2012: N32.11 billion) an increase of 13 per cent, trade receivables of N166 million (December 2012: N2.04 billion) a reduction of 92 per cent reflective of the No Premium, No Cover regulation. Reinsurance and co-insurance recoverables of N2.85 billion (December 2012: N1.79 bil-

lion) an increase of 59 per cent driven by prepaid reinsurance assets. Insurance liabilities of N7.69 billion (December 2012: N5.87 billion); up 31 per cent driven by unearned premium and increase in life fund Shareholder’s Fund of N14.27 billion grew by one per cent (December 2012: N14.11 billion) Commenting on the 2013 results, Chief Client Officer, Tosin Runsewe said “We achieved growth in a rather difficult year where the industry experienced a decline in growth rate. Growth was stifled by the ‘No Premium, No Cover’regulation. The institutional end of the market was most affected. On the other hand, we had a much better cash flow into the business reflecting our compliance with the regulation”. He further said “Overall, we achieved 31% increase in our net earnings as a result of significant growth in the income from our increasingly diversified invest-

ment base”. Mrs. Rashidat Adebisi, the Chief Financial Officer said “This is the first time, since our renaissance, that we wouldrecord a single digit growth, but we understand the peculiarities of 2013. “We are unwearied because we are seeing growing numbers in Mansard’s penetration of a resilient market. We will continue to work enthusiastically to deliver on our assurance of financial security to our customers. We also find the 2013 financial year interesting as we saw retail business being a major driver of both revenue and profit. We find this very exciting and rewarding as we seem to have started reaping the rewards of our significant investments in retail”. According to her, “To this end, we successfully opened three more Mansard Welcome Centres in Lagos and a branch in Port Harcourt. This brings our distribution network to 14

tude of motorists to ensure safety and protection of road users. According to him, “We have one solution that has multiple facets that would assist in guaranteeing safety of road users and motorists, for instance, the new vehicle plate number which when concluded will help several agencies key in to make the roads safer and secure for the Nigerian people.” He acknowledged that “Insurance industry in Nigeria has come of age because they have become more responsive to their obligations, so medical bills of crash victims should no longer be an issue, while crash vehicles will no longer be abandoned on the roads, because insurance companies will pick the bill once the insurance policy is established.” He frowned at a situation where hospitals or doctors deliberately reject to attend to crash victims or deny them emergency treatment, adding this attitude was over because insurance companies will pay the claims once the policy cover are established.” The Corps Marshal, however, sounded a note of warning that “the era where insurance companies refused to honour obliga-

tions on claims payment when there is an accident, as we shall raise alarm and make such company face the law.” The NIA in June, 2012 unveils the Nigerian Insurance Industry Database (NIID) – an information technology based system that will facilitate the collation of information relating to insurance, and also serve as a vehicle for easy identification of genuine insurance documents by relevant authorized persons. Some of the benefits of the database system include monitoring and authenticating insurance transaction documents and policies most especially for motor and marine policies, reducing red tape and corruption by integrating with the vehicle registration system of the FRSC, the Police and other relevant government agencies and ensuring easy access to statistical data for decision making, improve proper collection of taxes on compulsory insurance transactions, facilitate recovery of stolen vehicles, minimize multiple fraudulent claims and enhance transparency and accountability among stakeholders, thereby restoring confidence in the insuring public.

Mutual Benefits unveils new products UTUAL Benefits insurance penetration is M Insurance Plc at the less than 0.5 per cent, all weekend unveiled 36 new the new entrants coming life and non-life insurance products into the nation’s insurance industry to meet specific needs of the insuring public. Speaking at the presentation of the products in Lagos, the group managing director, Akin Ogunbiyi, said that the unveiling of the new products, Mutual Benefits clearly stood out as number one insurance company with innovative products to meet the needs of the insuring public in different sectors of the economy. He recalled that when the company presented the products to the National Insurance Commission (NAICOM) for approval, they were extremely excited by the effort of the company in creating products that Nigerians want. According to him, the company has 7,200 staff in 60 branches of the company throughout Nigeria, taking insurance to the nooks and crannies of this country. He regretted that insurance business in Nigeria has taken the back bencher unlike the developing economies where insurance is the rallying point of every other investment. In Nigeria, he said,

into the economy – South Africa and others coming to participate, there is nothing they are looking for than the singular opportunity that Nigeria population presented. What are the practitioners doing, he said, we have always relied on corporate insurance to survive but some seven years back, we identified the growth area in the retail sector where our people can actually participate in insurance. We spent quality time and money to do research on what Nigerians want, and we found out that accessibility remains the core issue. If people are buying third party insurance, where do they get it from, touts and fake. “Where are the products that can actually meet the needs of the people and bring out values for them to appreciate insurance. That is, where Mutual Benefits have taken the retail initiative, and we find a way of reaching out to every facet of the Nigerian economy who are able to buy insurance. That is the reasonn why we are presenting 36 new life and non-life products the Nigerian market.

Monday, April 14, 2014 INSURANCE 63

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INSURANCE

Custodian and Allied declares N4.3b profit USTODIAN and Allied Plc, C has recorded total asset base of N45.6 billion, while profit before tax and profit after tax of N4.3 billion and N3.6 billion respectively were achieved according to the consolidated audited annual results for the year ended 31 December 2013. The results show a strong performance across all of its operations. Accrding to a release from the company, the result was achieved on the back of robust of the insurance subsidiaries whose gross premium written rose to N22.9 billion and gross premium earned was N18.7 billion plus notable fees and investment income contributions from the pension fund administration subsidiary and the holding company. Custodian remains a leader in the other financial services sector and its subsidiaries lead in their respective sectors. Going by the achievement of the group this year, Custodian has once again lived up to its promise to always exceed stakeholders’ expectations. A Director of Custodian, Wole Oshin, has said that “Our performance demonstrates Custodian’s commitment to its clients and shareholders. We will always endeavour to remain one of the most attractive stock options in the financial sector, through innovative services, expanded product portfolio, improved opera-

tional efficiencies and stronger financial capacity. The merger exercise we concluded last year is yielding favourable results and we will not rest on this performance. We have expanded services offered from general insurance to life business, pensions

and trusteeship and remain committed to upholding the best standards and practices in the financial sector in Nigeria”. The Custodian and Allied Plc Group is involved in Investments, Insurance, Pensions and Trusteeship.

Prudential buys Express Life of Express Life ShasTAFF Insurance Prudential Plc announced the completion of the acquisition of Express Life Insurance Company Limited in Ghana following approval from National Insurance Commission (NLC). The acquisition, which was announced on December 2, 2013, marks the entry of Prudential into the nascent but fast-growing African life insurance industry. Matt Lilley, Group Director of Strategy and Corporate Development, Prudential Plc said: ‘We are very excited by the opportunities created by the acquisition of Express Life and by the outlook for Ghana in general. The acquisition continues Prudential’s well established strategy of pursuing long-term opportunities in emerging markets which have robust economic growth and an expanding

middle-class with significant needs for the investment of their growing wealth, as well as the protection of their health.’ Emmanuel Aryee, Chief Executive Officer (CEO) of Express Life, said: ‘We are looking forward to working with our new colleagues at Prudential and over the coming months, we will be announcing our plans for updated products, our distribution and policy servicing channels and our community investment programme.’ ‘We are confident that we can build Ghana’s leading life insurance business. At the moment, far too few Ghanaians enjoy the benefits that life insurance offers. Life insurance gives people the opportunity to face uncertainties with greater confidence to save for a more prosperous future and to provide better lives for their children.

Managing Director, Continental Reinsurance Plc, Olufemi Oyetunji (left); Commissioner for Insurance, Fola Daniel and Managing Director, Continental Reinsurance, Kenya, Calisto Ogaye, during a seminar for African chief executive officers in Mombasa, Kenya, recently.

Sanlam plans acquisitions in Africa OUTH Africa’s largest Africa said. South African home market. Sconclude insurer Sanlam, plans to “I would hope to have one Sanlam is separately hopthree or four wrapped up either in acquisitions in other African countries this year as it chases faster-growing markets, a senior official said. Sanlam, which already has businesses in 10 Englishspeaking countries on the continent, is turning its focus to neighboring Portuguese-speaking nations and further afield to north Africa, its head of business outside South

Mozambique or in Angola. I would hope for one or two in east Africa,” Sanlam’s Margaret Dawes told the Reuters Africa Summit. “Three or four I would hope.” Chief Executive Johan van Zyl said last month Sanlam had a $374 million kitty to spend on purchases in Africa and Asia. The company is moving into other countries to hedge against a maturing

ing to conclude a transaction to buy Malawi-owned Nico’s NICO.MV general insurance operations in four African countries by next month. The bulk of that deal has been completed, with only Tanzanian regulatory approval still pending, Dawes said. The insurer, South Africa’s No.1 by market value, is also looking to increase its controlling stake in Kenya’s Pan Africa Insurance.

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Monday, April 14, 2014

Media Marilyn Ogar... ‘Iron’ lady manning intelligence service Public Relations By Adedoyin Adewumi N her responses and remarks to national Ikesperson issues, especially on rádio and TV, the spoof the Department of State Service (DSS/SSS), Marilyn Ogar cuts a personality of a tough security officer, who speaks firmly and authoritatively on issues concerning the operations of her agency. Since enlisting in the Service in 1988 as intelligence officer, after obtaining a Degree in Languages from University of Calabar, Ogar has held several positions and served in various State Commands and Training

Institutions. Not only that, she has also participated in several capacity building programmes at home and abroad including her participation in the pioneer class of the Advance Intelligence Management Course (AIMC) in 2008 which was held at the Institute of Security Studies (ISS). Since 2009 when she was deployed to spearhead the restructuring of the Open Source Intelligence Department, the PR arm of SSS in the Office of the Director General, she has demonstrated her skills in PR practice in projecting the image of the agency to the world. She is currently a member of several committees including the Presidential Committee on Public Awareness and Civic Responsibility, Joint Security Information Committee, Strategic Action Plan for Public

Ogar

Information Management and Forum of Spokespersons in Security and Response Agencies. Behind the media screen, at private level, she has a softer side, the woman-instinct, motherly care. She always sheds away the toga of her toughness to crack humorous jokes in lively interactions. At the recent private media interaction hosted by the Forum of Spokespersons on Security and Response Agencies (FOSSRA), that softer side was further manifested when her lively countenance and joking demeanour gave way to her emotional side. She was asked if the attempted jail break at the SSS Headquarters was staged by the operatives, as reported on social media, as a cover to execute hardened terrorists in custody. Her smiling face changed suddenly and emotion took over her mien. With reddened eyes, but in firm though quivering voice, she said that as a mother with grown up children, she could not imagine how a respected institution like the SSS would stage-manage a show in a sensitive area just to kill people. At this time, a ball of tears rolling out her visage, she swore that if the accusation was true, may the Almighty God judge her, but if it wasn’t, may the accusers be judged accordingly. Though, she was able to overcome the emotional outburst and calmed down after a while, she told the bewildered audience how SSS operatives had sacrificed their lives in different operations nationwide to protect the citizens from terrorists and criminal elements but yet the agency is unnecessarily attacked mostly on social media. The Spokesperson’s Digest, in its latest edition, examined some salient issues from the recent attempted jail break by insurgents in managing crisis or disaster through information management in the age of Social Media. The findings, though not strange, confirmed certain features of the new media that information managers should be conscious of at all times. The emergence of the social media has reduced the obsession over traditional media. Gone were the days when you have to wait for traditional media as the social media has triggered a need for quick response. The news of the attack with pictorial evidence first broke on twitter with different theories been thrown around with little or no understanding of what was really happening. Realizing how the news travel fast on mostly twitter on that Sunday morning when people should be enjoying the weekend or worshipping in the

church, Marilyn Ogar issued the first terse statement at about noon disclosing that it was an attempted jailbreak to debunk the rumours of ‘coup plot,’ and ‘terrorist invasion.’ That statement hit the target as it allayed the fear of citizens and international community. A spokesperson can’t wait for the damage to be done before setting things right. There has been a change in the old way of doing things. The idea of organising press briefing in order to interface with journalists before sensitive information is put into public domai nis no longer fashionable. The advent of the social media has given way to a spontaneous response on various social platforms from the comfort of offices of spokespersons. While the first release was issued, updates were provided by Marilyn Ogar and her team on Social Media. Social media monitoring and measurement is also a top priority of any Office of Spokesperson or Press Secretary. You don’t need to buy all the papers or watch all the television channels. You only need to google the latest on the issue to track what is trending. Probably, in a response to such demands, Ogar issued three statements in less than six hours to provide further updates to correct errornous impressions and attend to enquiries. It is imperative that one responds to emergencies and other things that may come up, but at the same time, one must put at the back of one’s mind that the social media isn’t as ethical as the traditional media. Rules and ethics guide the traditional media, unlike the social media where everyone is a “journalist” and there are always unscrupulous elements who are bent on being mischievous. No matter the imperfection, spokespersons should discharge their responsibilities without fear or favour. While efforts of SSS to douse the tension by providing information when it mattered should be commended, Ogar as a professional PR person surely has constraints on what to say, how to say it and when to say it because national security has various layers of approval which is not easy to come by. We may blame spokesperson for not being forthcoming, we can only encourage them to know that in a democratic setting, there shouldn’t be too much secrecy when it comes to security because the citizens want to be adequately informed for them to be “securely safe.” Keeping information from people makes them wary and suspicious. As much as possible, security agencies should endeavor to give out as much information as they can. Adewumi is a member of Youth Against Disaster Initiative

FanRoyale… brand extension from FAN Milk N order to ensure that its brand IMilk keeps exciting the market, FAN Nigeria Plc has launched a new

product, Fan Royale Ice Cream, into the market. The new product, which is available in three flavours, Vanilla strawberry stripping, Cappuccino Chocolate chip and Rum N’ Raisins, according to the Managing Director of the firm, Mr. Steen Hodsbjerg, is something the company is proud to introduce. He disclosed that the product came out after spending some years to research into the product. He said it is a new premium product made in Nigeria for Nigerians. Hodsbjerg, who said that the ice cream is a blend of the smoothest of

cream and the richest of flavours, revealed that though the company is trying to minimize the sugar content of some of its products which was why of the new variants has low sugar taste, it would not compromise on taste and quality because some of the sugar substitutes apart from being banned are unhealthy for human consumption. The Brand Manager, Charity Ilevbare, maintained that it is the first premium ice cream in Nigeria and that the different variants are available for purchase in major supermarkets and stores in Nigeria. She also said that for better engagement with the market, several experiential launch activities have been

scheduled to welcome ice cream lovers to the delicious taste of FanRoyale at shoprites and major shopping malls. This, she said, would be an addition to doing a lot of publicity through the different media platforms. “Ice cream lovers would be pampered like never before at the Royale Lounge and it promised to be a very exciting and indulgent experience. The Royale Lounge tour and its activities can be followed using the #RoyaleTreatment’ hashtag on twitter, Facebook and Instagram and also by following and liking the Fan milk Nigeria Plc Social Senior Brand Manager, Fan Milk Nigeria Plc, Charity Ilavbare (left); and Media pages.” Managing Director, Steen Hadsbeerg, at the launch in Lagos PHOTO: FEMI ADEBESIN-KUTI

Monday, April 14, 2014 MEDIA

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How top brands connect market through music Branding By Gbenga Salau N building its brand, many corporate oganiIgood zations in the country have seen music as a platform to connect the brand with their target market especially the youth. So year in, year out, managers of top brands, who are eager to attract the youths, especially those between the age of 18 and 24 sign in top musicians to draw support for their brands. And for Star that is out to appeal to those young people who are witty, daring and bold, music becomes a compelling tool. In 2002, Star Quest appeared as the market’s most innovative talent hunt on the music and entertainment scene. The platform thus became a launch pad some burden talents needed to activate their career and garner much experience. Through it, Star didn’t only win more followers; it also grew in equity. A similar development was the introduction in 2013, of Star Music App - a revolutionary music tool and a first for any brand in Nigeria. The official unveil of Star Music Trek 2014 occurred before a select audience comprising Nigerian Breweries management, members of the press and other guests in Lagos. Reiterating the brand’s commitment to continue offering a veritable platform that positively engages, nurtures and promotes Nigerian youth through music, Corporate Media and Brand PR Manager, Nigerian Breweries, Edem Vindah, said the brand recognises how powerful this tool is; and always strives to ensure that it positively promotes the strong values the brand is well known for. “Over the years, Star Music Trek has evolved rapidly with exciting facets to appeal to its ever-burgeoning youth market. This year, we chose an exciting theme, My City Rocks, reflective of the great diversity within the country and the fascinating things that make each city unique and endear them to young Nigerians. “The impressive response has been gratifying; it’s inspiring to know that young Nigerians are so in tune with their cities and are willing to proudly represent them any way they can.” “This year, we’re even more inspired by our theme My City Rocks as we tour areas within the country that this immensely popular music platform has never visited before. It is a significant opportunity to once again connect with our fans and we look forward to It,” he added. One after the other, artists were invited to the podium to append their signature and take bows before hundreds of fans. The list include; 2face, Tiwa Savage, M.I, Olamide,

Davido, Wizkid and Wande Coal. Others are; Sound Sultan, Pasuma, Mr. Raw, Dr Sid, Naeto C, KCee, Sean Tizzle, Phyno and May D. The pan Nigerian concert, which has been in existence since early 90’s, has become the country’s most anticipated yearly music festival with Nigeria’s biggest artistes offering exciting performances every year to the delight of thousands of fans across the country. With several years of consistently delivering on its platform the brand has been able to reach millions of young Nigerians all across the country, furthering reaffirming its brand values and successfully dictating the pace of music entertainment Among other cities that hosted Trek 2014 were Nsukka, Makurdi, Onitsha, Benin and Ado Ekiti. Music and brand building HAT Star is moving towards entertainment is not unusual practice but a global trend. Over the years, Philips Sound has become a master sort of in using music creatively to

drive sales of its headphones and speakers. Through the platform the brand has consistently cultivate a fan following that appreciates good music and creativity. One of the brand’s recent campaigns has revolved around the concept of “Obsessed with Sound.” With agency Tribal DDB, Amsterdam, Philips created an interactive music experience that streamed the Grammy Award-winning Metropole Orchestra online, and singled out certain musicians to hear the details of their sound. It also gave insight into each musician’s personal tastes and musical tendencies. To turn pubs into music destinations Ogilvy London was reported to have worked with Philips to partner with bars to design handcrafted tables that pumped out music when headphones were plugged in. A recent development within the popular Coca Cola family is also a good example. As the world recognises International Day of Happiness, Coca-Cola is joining the celebration by releasing Happiness Remix, a brand

new track designed to bring out the happy in all who hear it. Produced by acclaimed pop music ‘super producers’ Rock Mafia, Happiness Remix is an infectiously upbeat pop song, which fuses beats, melodies and rhythms from 17 songs created by independent artists from around the globe. Since 2006, the combined power of Star Quest, Star Trek and Star Mega Jam has placed Star’s promotional strategy ahead of its advertising and media marketing campaign. Consequently, its advertising platform took a cue from the promotional efforts and developed the concept of “Music in Every Bottle” against the peculiar background of live entertainment. Star Lager’s brand managers and marketing communications gurus should be hard at prayers and strategy meetings to push the fortunes of its brand ambassador bands. Having found an exciting promotional direction for the brand, it behooves them to keep up the momentum or Star Quest will lose its shine. The other option, of course, is to drop the quest as a dream unattainable.

Entertainers with brand loyalists at events

FBN… Many decades of communicating with customers effectively By Femi Babatunde HE recent unveiling of the new T corporate identity for FBN Holding, umbrella company that houses the First Bank of Nigeria with all its subsidiaries has further validated impressions by keen observers in the marketing communication industry that the brand knows what it means to sustain its enviable position among the comity of brands in the country. To have survived a century and a score in the nation’s boisterous economy, FBN surely deserves some gravitas. By cashing in on this anniversary to refresh its corporate identity, the organization is making a statement as such that knows how to breathe fresh air for the benefits of her customers when it is most necessary. Coming years after the last refresh which was when the brand clocked a century year-old, the current corporate identity refresh, is a strategic communication that reaches deep to the heart of discerning customers. Through the thick and thin, the bank has survived the various evolutions in the financial sector over the years. Indeed, Alfred Louis Jones, a shipping magnate from Liverpool, United Kingdom, from whose adventure emerged this oak tree would have been filled with grati-

tude if he were to be alive today. From being the only bank in Nigeria for decades, to the indigenous banking explosion in the 1930s to 1950s, to the era of indigenous ownership and control, to the various growth spurts of the 1980s and in the 1990s, down to the eventual consolidation of banks in the country by the Central Bank of Nigeria which whittled down the number of banks in the country from 89 banks to just 24 conventional banks, First Bank has weathered the storms all the way. More so, it has done so in grand style garnering several awards in the process, which has not only made her just a national brand of choice, but a global brand with root in Africa. And this definitely has caught the attention of global observers. For the third consecutive year, the bank has been ranked as Nigeria’s number one banking brand in the 2014 The Top 500 Banking Brands Ranking as released by The Banker Magazine, Financial Times Group and Brand Finance based in the United Kingdom. According to a release by the Country Representative, The Banker, Kunle Ogedengbe, FBN which was also ranked number one banking brand in 2012 and 2013, came top amongst the Nigerian banks and was joined in the ranking in second

and third by Guaranty Trust Bank and Zenith Bank respectively. First Bank is ranked 382 in the world from 414 last year. The brand value of the bank also increased to $228 million from $201 million from the preceding year. GTB ranked 422 from 415 while Zenith Bank is ranked 453 from 454 last year. Apart from the three banks, no other Nigerian bank made the ranking. The bank was the first Nigerian bank to explore the impressive option of offshore banking by establishing a financial subsidiary in the United Kingdom, paving the way for other ambitious banks in the country. Currently, First Bank has expanded its operation into Congo, Ghana, Guinea, Gambia, Sierra Leone, France, China, United Arab Emirate and South Africa. With an indomitable brand essence of being the bank that is dependably dynamic, the brand with one of the widest branch reach in the country totaling about 500 branch networks, one cannot but admire the brand for its boldness and an enduring promise of stability which has consistently made the bank to be easily one of the biggest and the most profitable in the country. All these show that the bank and its managers have learnt and put to heart the age-long aphorism that cherishes the customer as being

king. The bank has shown that impossibility is nothing even in the face of crass near unavailability of enabling infrastructures. And if the many promises made by the institution at the latest shot at corporate identity refresh are anything to go by, then it does not appear as if the institution is taking a back seat any time soon. Folake Ani-Mumuney, the directing mind at the bank’s Marketing and Corporate Communications department, already hinted that the refreshed identity embodies “our internal values and the direction we are headed in as a group, like the iconic elephant, which signifies strength and resilience, two of the greatest traits to have as an individual, as an institution and as a nation.” She said that since 1894 when First Bank was created, the financial institution has established itself as a brand of strength and dynamism, with the vision to be the leading international financial services group in Africa. Expectedly, there are number differences in the new corporate identity. The brand is synonymous with the colour blue and iconic elephant, kept the elephant, but with a few noticeable changes. The elephant’s head has been lifted, the tusk is larger, the fore head wider, the ear is less

pointy, the trunk longer and the eyes looking upward. More noticeable is the absence of the hind legs of the elephant which has instead been replaced by the company’s name. The deep blue colour on the new logo represents momentum, innovation and evolution. “We believe that our continued success will be built on the principle that we will add value nationally, regionally and at continental level. Our customers have always come first and each and every change that we implement as a group is designed to ensure that continues,” Ani-Mumuney said. The group’s CEO, Bello Maccido, did not mince word to say the bank is committed to building a financial institution that consistently supports growth and that celebrates and showcases the unique characteristics of the diverse nations on the African continent. Great brands are great brands because they are consistent, dynamic and focused on delivery best possible values to their customers. One can only hope that as FBN moves further the second century of operation, the customer’s interest further inspires more greatness that Nigeria can be proud of. Babatunde writes from Lagos

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Monday, April 14, 2014

GlobalStocks Japan’s GPIF seeks investment managers for foreign bonds HE world’s largest penT sion fund is seeking external managers for its holdings of bonds outside Japan, including for active investment in inflation-linked, high-yield and emergingmarket debt. The 128.6 trillion yen ($1.26 trillion) Government Pension Investment Fund is taking applications from investment managers with existing pension portfolios of at least 100 billion yen, it said today on its website. GPIF held 11 percent of its assets, or 13.6 trillion yen, in foreign bonds as of Dec. 31. The offshore debt returned 8.2 per cent in the December quarter, compared to 0.2 per cent on the fund’s Japanese government bonds. “The foreign debt and overseas currency portion of assets will be in countries that have higher growth than Japan, so the expected

return will of course be higher,” Shogo Fujita, chief Japan bond strategist at Bank of America Corp.’s Merrill Lynch Japan Securities Co. unit in Tokyo, said by phone. “I think GPIF may increase its foreign bond allocation to between 15 per cent and 20 per cent, probably over five to 10 years.” GPIF faces mounting pressure to boost returns, increase active management and diversify its assets as pension payouts for the world’s oldest population swell. The fund is being urged to reduce its dependence on JGBs as Prime Minister Shinzo Abe and the Bank of Japan seek to spur consumer price gains that would erode the debt’s value. “They’re doing as much as they can to diversify, and they’re aiming for returns that are closer to the foreign investment managers,” said

Makoto Yamashita, the chief Japan rates strategist at Deutsche Bank AG’s brokerage unit in Tokyo. “From a risk-return perspective, I think it’s part of a larger plan to increase returns even if they have to take on more risk.” GPIF will start investing in domestic inflation-linked bonds this month, the health ministry, which oversees GPIF, said in December. The retirement fund will continue to use the Citigroup World Government Bond Index excluding Japan as a benchmark for its passive investment strategy and the Citigroup World Big Bond Index for active management, it said today. They are based in yen and unhedged, it said. For the emerging, highyield and inflation-linked bonds, GPIF will consider var-

ious benchmarks proposed by the managers. While the benchmark will also be yenbased, the fund didn’t specify whether it would be hedged or not. GPIF held 8.3 trillion yen in passive foreign bond investments as of March last year, while 3.5 trillion yen in such assets was actively managed, according to the most recent figures on its website. Investment managers including Pacific Investment Management Co. and Goldman Sachs Asset Management Co. were among seven managers of GPIF’s active foreign bond investments as of March 31 last year, according to GPIF’s fiscal year 2012 report. State Street Corp. and Northern Trust Corp. were among six passive foreign bond investment managers, the report shows.

Investors at a stock exchange

Why do investors make bad choices? By Cass R. Sunstein OR many years, I have studied human behavior, including the mistakes occasionally made by fallible people, including investors. But a few years ago, I made a really dumb investment decision. In a single day, I hit the trifecta, committing at least three classic behavioral mistakes. The year was 2011. The stock market was recovering well from its terrible collapse during the Great Recession, but over a short period it had a series of stumbles. I got nervous. What if it collapsed again? At the time, I was working in the federal government, with a daughter in college, a 2year-old boy and a new child on the way. Could I afford to lose a lot of money? Wouldn’t it make sense to sell equities and to put the money into a safe, reliable certificate of deposit? Economists know that if you invest in stocks, it makes sense to choose passively managed, highly diversified index funds. I had done exactly that. But seeing a decline in the fund’s value, I decided to sell a significant chunk. I e-mailed Richard Thaler, the great behavioral economist and my co-author on “Nudge,” and before proceeding, I asked him whether I would be making a mistake. His response: “Reread our book!” I pretty much knew what he meant, but that was a bit vague for me (our book is long), so I proceeded as planned and sold that significant chunk. Giving Thaler the news, he exclaimed, “No! ‘Nudge’ explains that you shouldn’t have done that!” The fund is now up about 66 percent from the date I sold it. It looks as if Thaler was right. In fact, a little voice in my head told me, even at the time, that I was acting rashly. Of the behavioral mistakes to which I fell victim, the first is called “availability bias.” Behavioral scientists have shown that if something has happened in the recent past, it is cognitively “available,” and people tend to exaggerate the probability that it will happen in the future. Availability bias isn’t exactly irrational, but it can produce big mistakes. The stock market did collapse in 2008, but it doesn’t collapse very often, and in 2011 I shouldn’t have focused on the risk of another meltdown. The second mistake

involves “loss aversion.” People tend to hate losses from the status quo – in fact, they hate them far more than they like equivalent gains. If you suddenly lose $10,000, the distress you would feel would almost certainly be greater than the joy you would feel if you suddenly gained $10,000. The irony is that if we make our decisions on the basis of loss aversion, we’ll end up as big losers. A case in point: As the stock market started to fall, I wanted to prevent losses, and as a result, I lost a lot. The third bias is called “probability neglect.” Human beings tend to focus on worst-case scenarios, especially when their emotions are running high, and not on the likelihood that such scenarios will actually come about. When I made my stupid decision, the worst-case scenario (another collapse!) loomed large. I devoted far too little attention to the question of whether it was probable. Behavioral economists now have a detailed account of the biases to which investors are subject. For example, they are also prone to the “disposition effect,” which means that they sell stocks too quickly when they have appreciated in price while holding on too long to stocks that have depreciated in price. In addition, a lot of individual investors are overconfident. (Men are worse than women on this count.) They like to buy, and they like to sell, and they think that they can work some magic to make a lot of money. Forget about it. The stock market isn’t a Steven Spielberg movie. It cannot be said too often that the best advice, for most people, is boring and simple, so here’s a nudge: Have a diversified portfolio, consisting in large part of low-cost index funds, weighted toward equities; add money as you get it, and diversify it as well; keep the cash you need; and otherwise hold steady (and spend a lot of time with the sports pages). If your emotions start to get the better of you, and you think it’s time to make a big move in a significantly different direction, it’s good to have Thaler’s voice in your head, saying a single, beautiful word: “No.” Culled from Bloomberg.com

Greece ends its bond market exile, issues new sovereign debt REECE, at risk of crashing G out of the euro zone just two years ago, will issue its first sovereign bond in almost four years on Thursday, seeking to send a strong political and economic signal it is on the way out of its debt crisis. International banks have been mandated to sell a benchmark five-year, eurodenominated bond under British law, with the sale to be completed “in the immediate future,” the country’s

finance ministry said in a statement. According to sources speaking to Reuters and Thomson Reuters news and information service IFR, pricing is set for today. Greece initially priced the sale at a yield of between 5 and 5.25 per cent and has already attracted more than 11 billion euros ($15.21 billion) of investor interest. “We aim to raise up to 2.5 billion euros,” one Greek government official said. “It will

be a great success if the coupon is below 5.3 per cent.” The sale is an important milestone for one of Europe’s most troubled economies. The last time it sold bonds, as opposed to very short-term paper, was back in March 2010. Greece has been kept afloat since by 218 billion euros of E u r o p e a n Union/International Monetary Fund bailout money and about 15 billion

euros of treasury bills. Athens has no pressing funding needs but wants to test the waters for more and bigger bond sales in the future, as part of its strategy to cover all its funding needs from the market by 2016. Bailout payments from the EU expire later this year and Greece has said it needs no further bailout to stay afloat. The IMF welcomed the news, saying it proved the country’s tough austerity policies, which have helped eliminate

its underlying budget deficit, were working. “This is an important milestone and clearly speaks to the success of the (bailout) program,” the head of the IMF’s Greek mission, Poul Thomsen, told reporters. The sovereign has hired Bank of America Merrill Lynch, Deutsche Bank, Goldman Sachs International, HSBC, JP Morgan and Morgan Stanley to arrange the deal.

Athens originally planned to tap bond markets in the second half of the year, after more tangible evidence that its ongoing, six-year recession is over. But rapidly falling bond yields and pressure to produce an economic success before the European Parliament elections in May have persuaded Prime Minister Antonis Samaras and his fragile coalition government to bring the sale forward.

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Monday, April 14, 2014

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Monday, April 14, 2014

OIL&GAS WEEKLY

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editor@NOGintelligence.com www.NOGintelligence.com

UPSTREAM NEWS

Afren Plans Production Boost, Appoints New Director ONDON Stock Exchange listed Afren Plc has made L a key change to its board as it outlines future plans for its operations in Nigeria. The successful Africafocussed exploration and production company says it has plans to boost production in three of its fields. The Aje field situated in water depths of around 3,000 feet is looking commercially viable with three out of four wells drilled on the field encountering oil and gas at intervals. Two of the wells, says Afren, have the capability to produce in commercial quantities. The company, which seems quite satisfied with its performance, says that they estimate the mean contingent resources on the oil mining lease (OML) 113 to be 167 million barrels of oil equivalent (mmboe) most of it related to the Aje field, with an additional 205 mmboe of mean prospective resources on the block. The company is moving full steam ahead after receiving approval from the Department of Petroleum Resources (DPR) on its Field Development Plan (FDP) for the Aje field. The Aje field has the capacity of production between 50,000 and 80,000 barrels per day. The first phase of development includes two subsea production wells, tied back to a leased FPSO. The first phase of the FDP includes the recompletion of the existing Aje-4 well. In addition, a new well is to be drilled in the Aje-2 subsurface location. Afren envisages being in a position to take a Final Investment Decision (FID) within a very short time with first oil expected in late 2015 with mid-case reserves of 32.4 mmbbls. Afren has also begun acquisition of 3D seismic over both its OML 113 and OPL 310 containing the more recent Ogo discovery on. They are hoping to be able to get a better view of the prospectivity in both licences and in particular to further assess the Ogo discovery, which was the largest discovery in the world last year. Afren has a 40 per cent interest in Ogo while Optimum Petroleum and, more recently, Lekoil own the rest of the equity in the block. Afren stated in its report that OPL 310 extends from the shallow water continental shelf to deep water in an under- explored basin with a proven working hydrocarbon system. Afren recently announced record cash flows for 2013 and an improvement in its historical liabilities after successfully managing to re-negotiate its tax position in respect of its investment in the Ebok field. Whilst making plans for a production boost, Afren is also beefing up its board. Iain McLaren joins the company as a non-executive director. He will join the Audit and Risk Committee, and eventually become its Chairman. A chartered accountant, Mr McLaren has over forty years’ experience working in international financial markets, accounting and auditing as well as the oil and gas industry. He currently serves as a non-executive director of Cairn Energy Plc, and chairman of Investors Capital Trust Plc. Chairman of Afren, Egbert Imomoh, commented on the appointment: “On behalf of the Directors of Afren, I am delighted to welcome Iain McLaren to the Board. Mr McLaren brings extensive financial accounting and capital markets experience having held senior leadership positions in both the finance and energy sectors. His experience will be particularly valuable as Afren embarks on its next phase of growth and I look forward to working with him.”

Oando Awaits Ministerial Consent for Final Closure Conoco-Phillips Nigerian Asset Acquisition ANDO has confirmed that it has completed the financial closure of the Conoco-Phillips acquisiO tion for which it bid $1.79 billion and that it is now just waiting for Ministerial consent for the final closure of the deal. Oando’s current predicament has seen it having to agree extension after extension of the longstop date with Conoco-Phillips as they all await the consent of the Minister of Petroleum Resources (MPR) to the mammoth acquisition, which took over a year to achieve financial closure. Now, the final closure is being delayed by what many investors see as the thorn in their flesh, Ministerial Consent.

Analysts are perplexed by the process, which requires that the MPR’s consent to the assignment of any interest in any petroleum licence. The requirement for consent has now been widened following the case of Moni Pulo. In view of the first instance decision in that case, the consent of the MPR is also required where a transfer of an interest in the company that holds the licence takes place. Many lawyers are outraged by the decision, which does away with principles that are enshrined in corporate law. Unfortunately, the decision was never appealed and remains the law unless or until a higher court overrules that decision. Financial advisory firms are saying that the issue of Ministerial Consent is not conducive to investment because no one knows the criteria for consent and even more worrisome, how long that consent will take. It is known that the Department of Petroleum Resources (DPR) has a role to play in conducting an inquiry into the background and capability of the investor. However, once that inquiry is completed everything becomes opaque and it has been known to take months and in one or two cases more than a year for Ministerial Consent. Investors are clamouring, through their advisers, to have a definite time period within which Ministerial Consent will be granted following the DPR review. As investors and their advisers ponder the situation, some in the industry are talking about taking a test case on the Moni Pulo issue to the courts to get a decision from the highest court in the land. In the meantime, while Oando continues to wait for Ministerial Consent, others are managing to find a way to begin operating through economic interests while they await the consent of the MPR to the transfer of equity. It is much more difficult for a listed company to be able to be able to get around the problem that way and so the Conoco-Phillips divestment continues to play on with no saying when final completion can be achieved as the await Ministerial Consent.

field reserves before deducting royalties and taxes): Net Present Value (Before Tax) discounted at 10% Reserves Category Proved Reserves Developed Producing Developed Non-Producing Undeveloped Proved Probable Reserves Probable Proved plus Probable Possible Reserves Possible Proved plus Probable plus Possible

Umusadege $ million USD

$207 $136 $140 $484 $209 $693 $229 $922

Mart has a working interest of 82.5% (before capital recovery) and 50% (after capital recovery) in Umusadege. The company says its output for March was 13,183 barrels of oil per day with just 1.5 days of downtime. The company says that its output from the Umusadege for the month of March averaged 13,183 barrels of oil per day while crude delivered into the Agip Oil export pipeline was 350,750 barrels. Crude losses from the pipeline allocated to Umusadege for the month of February was 20,849 barrels representing about 10.1 per cent of delivery for the month. Mart also gave an update on the Umugini pipeline construction project which it said progressed during 2013 and is due for completion in the second quarter of 2014. The Umugini pipeline will provide sufficient pipeline capacity to fully realize the current production potential of Umusadege field. Mart and its coventurers plan to drill additional wells in the Umusadege field in 2014 to continue to develop the field and enhance the efficiency and productivity of the field. Mart says it is also pursuing a number of potential opportunities that could diversify and expand the Company's holdings and operations.

Ogunbiyi Steps Down from FHN, Afren

ONSTANTINE ‘Labi Ogunbiyi, founding chief execFINANCIAL utive officer (CEO) of independent indigenous C upstream player, First Hydrocarbon Nigeria (FHN), has stepped down from his role as CEO. He has been CEO of the company since its inception in 2011. He also steps down from the board of Afren Plc from where he was instrumental in setting up FHN and leading the fund raising effort for the acquisition of oil mining leases (OMLs) 26 and 113 by FHN. Labi rose through the ranks of Afren to eventually become general counsel, then associate director and finally, executive director in charge of business development. From there he went on to become the founding CEO of FHN. Afren said in a statement that: “Mr Ogunbiyi has been a core member of the executive management team since Afren’s inception and assisted in establishing Afren’s business from the early days of Afren’s existence.” Chief Executive Officer of Afren Plc, Osman Shahenshah, said in the statement: “We would like to thank ‘Labi for the instrumental role he has played in the evolution of both Afren and FHN into leading players in the Nigerian and African oil and gas industry.” Speaking about giving up his roles in Afren and FHN, Labi said: “I am extremely proud to have been a part of the establishment and evolution of Afren and FHN and to have been a part of their incredible success. From small and humble roots to becoming the leading Nigerian and independent E&P players in Africa with a world-class management team, I am safe in the knowledge that they could not be better positioned for further growth. I will remain a passionate advocate, interested and ready to support however I can. I would like to thank the board and my colleagues for their support and assistance over the years.” Labi has not confirmed what his future plans are although industry watchers are predicting that he is planning to set up his own exploration and production business to replicate the Afren story himself. The various international oil company (IOC) divestments going on at the moment could present the perfect opportunity for the personable former CEO from an oil family to finally strike out on his own or partner with other like minded individuals.

Mart Resources Umusadege Field Reserves Update Out

SX listed Mart Resources has released the results of its reserves report prepared by RPS the international consultants who are generally regarded to be among the leading reserves analysts in the world. The report is based on an evaluation of the year end position for 2013 and includes an evaluation of the UMU11 well, which was completed in sands previously encountered by, but not completed in, the UMU-9 and UMU-10 wells. Summary of oil and gas reserves using forecast prices and costs (net reserves mean net reserves after royalty): Gross Net Gross Reserves Reserves Reserves 12/31/12 12/31/12 12/31/11 (Mbbl) (Mbbl) (Mbbl)

Net Reserves 12/31/11 (Mbbl)

Light and Medium Oil Reserves Category Proved Reserves Developed Producing 4,272 4,028 4,622 4,341 Developed Non-Producing 3,941 3,699 1,056 990 Undeveloped 4,578 4,111 8,249 7,553 Proved 12,791 11,838 13,927 12,884 Probable Reserves Probable 5,675 5,058 5,367 4,844 Proved plus Probable 18,466 16,896 19,294 17,728 Possible Reserves Possible 6,729 6,004 6,154 5,378 Proved plus Probable plus Possible 25,195 22,900 25,448 23,107 Summary of the net present value of Mart's reserves as at December 31, 2013 before taxes (gross reserves means Mart's working interest share of total

in association with

largest international stock exchange for African companies. Since 2008, Africa-focused companies listed on London Stock Exchange have raised over $9.5 billion in new and further issues.” The chief executive officer (CEO) of the Nigerian Stock Exchange (NSE), Oscar Onyema was also buoyed by the Nigerian listing. He said that he expects major listings from oil and gas companies following Seplat’s listing. Currently, only 2.6 per cent market capitalization of the NSE is made up of the oil and gas industries. Ventures Africa magazine, says it expects an increase of 5.9 per cent after the listing of Seplat on the NSE. BNP Paribas, Standard Bank, Citigroup, RBC Capital markets advised on the London IPO while Renaissance Securities and Stanbic IBTC were appointed to handle the Nigerian offering.

Total Nigeria Plc Reveals Audited Results for 2013 OTAL Nigeria Plc, the downstream company of the international oil giant has revealed details of its T year-end results for 2013. Revenue was up from N217,843,731 in 2012 to N283,163,160 in 2013. Profit before tax also rose from N7,098,173 in 2012 to N8,120,018 in 2013, while profit after tax rose from N4,670,917 in 2012 to N5,334,091 in 2013. In a statement, the directors said that the company’s performance was commendable as far as the operating income was concerned. They said that in spite of constrained supply, due to limited import allocations granted to the company, sales volumes grew by 13 per cent. Financial charges however increased by 21 per cent due to the delay in the reimbursement of the subsidies, the statement said. As a result of the sustained pressure on company cash flow, due to the high and unanticipated interest charges, said the directors, dividends would remain unchanged for the year.

CORPORATE SOCIAL RESPONSIBILITY

Addax Petroleum Launches N37 Million Micro Credit Scheme for Women DDAX PETROLEUM has launched the first phase of a N37 million micro credit scheme for women in A its host communities. By the time the scheme has ful-

Seplat Lists in London with Market Capitalisation of $1.9 Billion As it Targets Production of 85,000 Barrels Per Day FTER many months of preparation, leading Nigerian oil and gas firm Seplat has finally listed A on the main board of the London Stock Exchange. It sold 143.2 million shares to investors at £2.10 pounds per shares, giving the company a market capitalisation of $1.90 billion. Conditional trading of its shares began in London on Wednesday while formal admission and unconditional trading is expected on 14 April. Seplat chose to list simultaneously on the Nigerian Stock Exchange offering 26.4 per cent of its shares in the combined market debut. The shares are priced at N576 per share. Seplat says its intentions are to raise $500 million dollars on the two markets. Seplat, which was founded in 2009 by business-men, Austin Avuru and A.B.C. Orjiakor, says it has the option to issue an additional 10.33 million shares to investors within 30 days. A leading indigenous producer, the company currently has around 60,000 barrels per day of production. Chief Executive Officer of Seplat, Austin Avuru said: “We are already a leading indigenous independent in our home market but the market opportunities opening up in Nigeria for companies like ours are significant. The proceeds from the global offer place us in a strong position to make further acquisitions as the IOCs divest their onshore assets in the Niger Delta. We have a production target of 85,000 barrels per day by the end of 2016 from our current assets, but our ambition is to secure acquisitions which enable us to exceed this target.” Also commenting on the listing was Ibukun Adebayo, Head of Primary Markets for Africa, London Stock Exchange who said in a statement: “We are delighted to welcome Seplat to London. The successful completion of its simultaneous IPO in London and Lagos is a demonstration of how London Stock Exchange and the Nigerian Stock Exchange can complement each other in financing Nigerian industry and infrastructure. A London listing ensures that Nigerian companies have access to the world’s largest pool of International equity capital and to the world’s marquee investors while a Nigerian listing ensures that all available domestic funds are tapped and Nigerian citizens are provided the opportunity to participate in the wealth that is created by the development of their country’s natural resources.” Seplat is the sixth oil & gas explorer with significant operations in Nigeria on London’s markets. It will be the first Nigeria registered company to list its shares on London’s Main Market Overall there are five Nigerian or Nigeria focussed oil companies on London’s markets. There is one other upstream explorer & producer with Nigerian operations on the Main Market (Afren). There are four oil & gas explorers on AIM, London’s junior market (Sirius, SacOil, Eland & Lekoil) Ibukun wished to add: “London Stock Exchange is the

ly evolved, it would have benefitted 868 million women. The first phase of the scheme will provide 443 women with access to the micro-credit facilities. The women in this first phase are from the host community of Addax’s sole onshore mining (OML) 124 in which it owns a 100 per cent working interest. The women who will benefit from the N27.6 million first phase of the scheme are from seven communities in Oguta Local Government in Imo State, namely Amakpu, Eziorsu, Ndioko, Ofekata III, Orsu-Obodo, Ugbele and Umuamaka. The scheme is intended to provide the women with seed funds to engage in and develop small enterprises. Addressing the gathering at the launch of the scheme, Senior Vice President and Managing Director of Addax Petroleum Nigeria, Cornelis Zegelaar, who was represented at the event by Deputy Managing Director, Corporate Services, Tunji Mayaki, said: “We believe that access to formal financial institutions to fund a given entrepreneurial activity at the micro and small level, is challenging, as banks may simply not extend loans to rural dwellers with little or no assets for reasons ranging from requirement of collaterals to high interest rates that erode profits generated from business ventures.” Zegelaar hopes the fund will create and support entrepreneurship and improve the livelihoods of their host communities. He said that he hoped that beneficiaries would be enabled to take advantage of the diverse economic opportunities within their local communities. Addax Petroleum has interests in 6 other offshore licences.

Ecobank Donates Vans to Fight Pipeline Vandalism COBANK Nigeria says it donated two Hilux vans to the Pipelines and Product Marketing Company E (PPMC), a subsidiary of the Nigerian National Petroleum Corporation (NNPC) to help in the fight against pipeline vandalism. The donation was revealed at a presentation ceremony in Warri, Delta State. At the presentation event, Managing Director of Ecobank Nigeria, Jibril Aku, who was represented by the Executive Director, South South/South East, Mr. Kingsley Umadia, said the bank was making the donation to support the efforts of PPMC in its fight against pipeline vandalism, which he said is negatively impacting Nigerians and the economy. He said that vandalism is totally unacceptable and people suffer needlessly during the fuel crisis that inevitably occurs any time pipeline damage interrupts fuel supply. He said: “We will continue to do whatever we can to support PPMC in this fight." Managing Director of PPMC, Haruna Momoh, thanked Ecobank for the donation. However, the donation is only expected to scratch the surface in the seemingly endless battle against pipeline vandalism. It seems that every time a pipeline is repaired another section is damaged the next day. It has become a very dangerous fight. Last year, two PPMC staff were killed by pipeline vandals whilst undertaking repairs to a damaged pipeline

THE GUARDIAN www.ngrguardiannews.com

Monday, April 14, 2014

Interview

2015 poll will not depend on the whims and caprices of the president, says Nda-Isaiah Presidential aspirant on the platform of the All Progressives Congress (APC), Mr. Sam Nda-Isaiah, who is so concerned about the parlous state of affairs in the polity spoke to ADAMU ABUH and other selected journalists on a wide range of issues including a glimpse of how he intends to make the difference if voted into power in 2015. Excerpts:

Nda HAT informed your decision to aspire to the presidency at W the 2015 poll? I think we should start from the beginning. It is not as if I have not thought about it in the past; of course I did, but whenever the thought came I quickly push it away because it is not a job that a normal person will love to do. If you’re a serious person and you want to do it, it’s not a job. But after the 2011 elections, so many things started happening. You know what happened; the violence, then Boko Haram came and the whole place was in disarray. Starting from my group, which was The Buhari Organisation (TBO), in fact somebody called and said we have been holding meetings and your name has been coming up, I was there in South Africa. He said come back home and let’s discuss this issue. At the first time, I was amused, first I laughed, then at a point it was no longer a laughing matter at all. Then different people started talking, even from outside the group, then I knew immediately that I will have to make up my mind quickly so that I am not pushed to what l have not thought through. One thing led to the other and the whole thing took on a life of its own and it got beyond me and that is why we are in it today. When you say the job is not for normal people, are you invariably saying you are an abnormal person? I don’t know, but I think there is a certain level of abnormality for anybody to want to leave his comfort zone, because now honestly speaking I love what I am doing, I have a good job and the job I am doing pays well; I am enjoying it. I don’t think another person will want to trade that, for what? If I am going to do it at all then I will do it properly. I am not one of those who think the job of the President is one that you should feel good about or very cute that you’re President. In fact from the first day that you become President, you should be uncomfortable, until you know that you’ve achieved that thing that changed

the nation then you now relax. And we all know that implementing any life changing ideas will not going to be easy, any history changing idea is not easy because you face hostility even from those that are not bad people because people are not used to change, it won’t be easy at all. It won’t be easy because even though we’re pretending about it, Nigeria is a failed state now as we speak. If you ascend the exalted position of the presidency, how do you intend to do the job properly? I think everybody including my three-year-old daughter knows that for $20 billion to get lost and you are the President and you are not even angry enough, then you should not be President.

So is it the turn of anybody to destroy this country? First I have never believed in zoning, and that is clear. I have been saying this for the past 15 years. What I said 15 years ago, that what zoning would do to us is what is happening now. If you really believe that it is the turn of the South-South, it’s okay, but bring a good candidate that you think can win. But if it is this Jonathan, I don’t think that in the name of zoning, we should destroy this country, because this country cannot survive another term of Jonathan. Do you think what is happening now can continue till 2019? It is not possible, lets tell ourselves the truth. No country can survive it.

But it is yet to be proven that such a huge sum is missing? I don’t know if it is lost. I am glad with the way you are putting it. It is either missing, or allegedly missing or lost. Whatever it is, we expect the President to leave everything he is doing and face that, unless he is in the know of it. How do you feel with all your intellect taking a plunge into the presidency race with the requisite structures to prosecute the agenda? It may not be correct. First I want to thank you for the generous words. It may not be correct to say that I have not thought over this. It will be very wrong for somebody to want to be President unless if of course he is not ready for the challenges. From the little you know about me, I am not one of those to take this type of thing lightly at all. It is not true that I have not thought through it, as we speak now we have structures everywhere. We have the structure in every state; in fact in few states we have campaign offices even though the campaigns have not started. We are preparing to start. In the South -South we have structures at the local government levels, up to ward level. In virtually all the states too even though in some states, it is on-going. Do you see yourself surviving the intrigue of the politics that is within the APC with Asiwaju Bola Tinubu, your friend Gen. Muhammadu Buhari, and several others well entrenched? I don’t know about the intrigue but what I know clearly is that I intend to win this thing, we have our strategies and we keep fine-tuning it every day. If I have not seen a clear path to victory I will not be wasting my time. Can you shed light on your agenda for the nation? We have documents, we have programmes and it is summed up into three categories. It is not time for campaign so I can’t start to give you details. One, the first thing we do in govern-

CONTINUED ON PAGE 72

72 Monday, April 14, 2014

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Interview

The people will decide who leads them in 2015 CONTINUED FROM PAGE 71 ment from day one is to unite this country. This country is too divided for any meaningful progress to take place. I have never seen a country or society this divided that makes any progress, it’s not possible, whether you’re Christian or Muslim or from the middle belt or you’re this or that. You don’t need money to unite people, you just need to be serious about doing it through fairness, justice, rule of law, punish all crime, you don’t punish crime because it is perpetrated by that other person and then when your own persons say that there will be violence and you won’t do anything. When Asari-Dokubo said that if my brother doesn’t win or if you don’t vote for him I’ll kill all of you, I have guns, you didn’t do anything, then when El-Rufai said something similar, the person has no guns, then you send people to go and start looking for him. This is the type of things that cause disunity. You see capitalism has failed, socialism does not work; it has collapse. The right thing has to be somewhere in between. Any policy or doctrine that works for the people, that’s where I will start because government should be about the common man, about creating prosperity for the people. That is what it should be about, not for a few people, not for your friends or your family. There are so many good parts of capitalism that we should do. I’m not that far right type of capitalist, I am not even on the left side as you wanted to see today. I am somewhere around the centre. I’m one of those who believe that government must do the big things that individuals can’t do. Even in United States where there’s capitalism, even the government did the big hard job of creating the Internet for instance. Today you have big enterprises like Facebook and Google and so many others. The government first had to do the really big one by creating the enabling environment. Let us even come back home here. If the government did not kick-start Abuja by building the Hilton and Sheraton, tell me who has come since then to build a comparative facility to attract people. The government has to do the really big things and then create an enabling environment for other big infrastructures. So you can’t leave everything to the private sector. I believe that government should take a large part of education. There should be free education up to a level, and we can afford it. N20 billion is lost; that’s the one that you know. How about the almost N2 trillion that was stolen from fuel subsidy? Have you ever gone to any of these teaching or general hospitals lately, you’ll know that the Nigerian society is very wicked. The government should take more interest in things like health-care and education. There’s no country where you don’t have some form of healthcare insurance, not all this one we do here halfheartedly. That should be the duty of government, including security of course. In this country you must take care of everything. But since Jonathan came, for example, you must get two generators, you must get your own borehole, you must get your own security; very serious one, you have to get an army around you to protect you from the incompetence of government because these days that at night we hear of this unknown gun men that goes around and the government has no clue on how to hunt them. You also have to send your children to good schools otherwise you take your children to some schools and they’ll graduate without knowing how to speak English. But the President has constituted the national conference to chart the way forward. I expected you to be optimistic that something good will come out of this? The responsibility of leadership lies with the President, with the leader, not with people that have no responsibility and besides this confab, why do you want to waste N7 billion, in fact it would get to N10 billion eventually. Why do you want to spend such amount on something that will not achieve any result? If you want to change the constitution or you want to do anything, there are clear path of achieving it. If you want federalism, do you need to spend N10 billion to get that? We already said we’re a federal republic, so do federalism. Why do you need to spend N10 billion to bring people together who will say the same thing and then you still take the same

thing to the National Assembly. If you want to change anything, start to draft a bill, and send it to National Assembly and convince people the way that is meant to be in a democracy and pass it. Why do you need to do this? You don’t have the apparatus of winning election, yet you want to challenge the incumbent President Jonathan? It is about to happen. I think that is what I strongly believe. Democracy should be about credible election and we intend to have one. The 2015 poll will not depend on the whims and caprices of President Jonathan or as you said any apparatus of winning the election. It will be by the will of the people and we intend to make it so. You are not known to be among the big billionaires in Nigeria. Where are you sourcing your funds from to run this campaign? Can you tell me the name of any big billionaire that has won election in this country recently? Is it Jonathan that is a millionaire or is it Obasanjo that just came out of prison to be President or is it late Yar’Adua? Maybe the only guy who won even though he didn’t become president was Abiola, and I was part of the system then and I knew that Abiola didn’t use half of his money. If it is your money that you need to enter into the race then don’t waste your time, you won’t win because people must buy into your presidential ambition. A common denominator among all these ones that have been President in Nigeria, including the present one, is that they have godfathers. Do you believe in godfatherism? (Cuts in) God is my godfather. We are told you are in the good book of General T.Y Danjuma and he’s like your Godfather? T.Y is just one person I know and respect. There are so many other people I know. I’ve read this thing that you said in the papers and you can’t control what people say. I have a good relationship with him, I have a good relationship with many people, in fact I have a good relationship with every former President of this country, except Obasanjo. What is your problem with Obasanjo? I have nothing personal against him; I just believe that he is the harbinger of all these problems that we have. Even the Jonathan thing, it’s because if he had allowed free and fair primaries in his own party, there’s no way an entirely ill person in the person of Yar’Adua and Jonathan would have picked the ticket to run for the presidency. Within the PDP there were people that were by far better than that combination. You used to be a good friend of President Goodluck Jonathan. Have you at any time gone to him to advise him on certain matters? Several times, all my meeting with him before we stopped seeing has been on that. I don’t go to meet him to discuss about women or drinks or anything at all. All my meetings with him from day one and I have had severally with him since when he was VP is all about Nigeria. At what point did you stop going to him? I didn’t see him throughout last year. It’s been long I saw him. There was no point because when I was going I will give him some advice but none was taken, I tried to push without any meaningful outcome; I mean there’s no point, just going there for a meal. What advice did you give him specifically that he didn’t take? That is personal; I don’t want to go into that. If you notice in all my criticism of Jonathan I never said I went to him to discuss this thing and that thing. The only person I did that with was Yar’Adua, and that was after he died. I did that because people didn’t know the other relationship I had with Yar’Adua before some of

my friends created that problem. Some of the things I discussed with him and he did; I’m not one of those who will come and tell you. Even with Jonathan, it’s personal; I won’t come and tell you some very personal things that we discussed. No I will never do that. They are personal because I gave him a personal advice about the nation. How do you think we can effectively tackle the security challenges in the country? The first thing you have to tackle is corruption. Corruption kills everything. Now as we speak, even state governors get about half of their monthly allocations and this half actually comes from excess crude accounts and our reserves. So that means that once that also gets depleted they may not even get anything again, all because of corruption and nobody is saying anything. And then the third thing after security is to give them their money and these days the nature of crime has changed, these days crime is based on technology and Internet, so we should also change. We cannot be using the same techniques we used in the sixties to fight crime of this age. That is the issue and some of these equipment are there on the shelve. There are equipment that you can put all around Borno and Yobe State, bury them underground, you will see all these people as they move, you don’t have to go and invent a way. But if $20 billion gets missing every time, where will we get the money to get all these things. Why do you think there’s no Boko Haram in Niger and Chad? They tell us that many of these people come in from there and it is true, why are they not there? Our government will be a government of big ideas, big dreams. Like I always say, I will not tell you that when I become president I will build roads or I will pay salaries, no, I won’t tell you that, the bureaucracy will do that. If we are the biggest country in Africa, why shouldn’t we have the biggest seaport, the biggest airports, the biggest this and that? The leader of one very small country called Singapore sat down one day and said I want to have the biggest seaport in the world and he achieved it. That was a long time ago; even up till now they are still about 5 million in population or less. Now we still import some of ours goods from Cotonou, of course we can’t be the biggest country in Africa with 174 million people and we don’t have the biggest economy. Meanwhile South Africa, that’s the biggest economy now, is coming into Nigeria to expand its economy using our own comparative advantage. I don’t want anybody to think that

The responsibility of leadership lies with the President, with the leader, not with people that have no responsibility and besides this confab, why do you want to waste N7 billion, in fact it would get to N10 billion eventually. Why do you want to spend such amount on something that will not achieve any result? If you want to change the constitution or you want to do anything, there are clear path of achieving it. If you want federalism, do you need to spend N10 billion to get that? We already said we’re a federal republic, so do federalism. Why do you need to spend N10 billion to bring people together who will say the same thing and then you still take the same thing to the National Assembly. If you want to change anything, start to draft a bill, and send it to National Assembly and convince people the way that is meant to be in a democracy and pass it. Why do you need to do this?

this is nuclear science or he is just talking. No, they are very possible. When I talk about big ideas I mean historychanging ideas that by the time you’re leaving as president, either after one or two terms you would have changed the country. As we speak now Singapore refines 2 million barrels of oil every day, our own production has fallen to 1.9 million barrels. These things are very achievable, we need to do it. Anything a president does not see as a legacy issue, if you’re interested in acquiring wealth and just coming out to become one of the richest people in the world, of course you may achieve that but you will also leave behind an appropriate history for how you’re going to be remembered. What is your take on views in certain quarters that it is the turn of the south-south to take the seat of the presidency that Nigerians should just cope with Jonathan for eight years, whether good or bad? So is it the turn of anybody to destroy this country? First I have never believed in zoning, and that is clear. I have been saying this for the past 15 years. What I said 15 years ago, that what zoning would do to us is what is happening now. If you really believe that it is the turn of the South-South, it’s okay, but bring a good candidate that you think can win. But if it is this Jonathan, I don’t think that in the name of zoning, we should destroy this country, because this country cannot survive another term of Jonathan. Do you think what is happening now can continue till 2019? It is not possible, lets tell ourselves the truth. No country can survive it. Was that the reasons why you preferred the APC? I wouldn’t have been part of PDP, it’s not possible. If I had gone to register in PDP, they will call the police to go after me, thinking that their adversaries sent me. But that doesn’t mean there are no good people in PDP. They’re just very few. If you go to Bayelsa now, that is the state Jonathan is from, there are still many good people in Bayelsa State that can become President. But why must he be the one to emerge? That’s what I’m saying. I came into APC believing that it’s a new platform. All of us created it. I’m sure you read my articles a long time ago when I said that the opposition must merge and I can’t remember any other person doing that. I was doing it consistently. I kept saying they must merge if they will have a fighting chance of defeating the ruling party. But now that they’ have merged. If they want to be like PDP, of course then they will be like PDP, then I don’t know what will happen. But it won’t even be like PDP because not even one person in APC has that power to impose anything. You can say. Somebody like Tinubu has his way in the South West but I know Tinubu, he’s trying his best to do things correctly? If you watch him well he’s not behaving the same way as he was behaving under the ACN. So it is for people to come and campaign, contest fairly and win and have eternal democracy. As we speak now, everybody has agreed in APC that there will be eternal democracy and it will be transparent for people to see that they are different from the PDP. But if for any reason APC fails, that is a big IF, then all options will be on the table. So it is in everybody’s interest that Jonathan should not continue beyond 2015. In fact our concern should be what will happen to us between now and 2015.

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Monday, April 14, 2014

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74 | NEWS EXTRA Monday, April 14, 2014

Groups task INEC, govt on Ondo by-election result By Seye Olumide NON-GOVERNMENTAL A organisation, Egalitarian Mission for Africa (EMA), has condemned the refusal of the Independent National Electoral Commission (INEC) in Ondo State, to return the Labour Party’s (LPs) candidate, Victor Kolade Akinjo, who contested in the Ilaje/Ese Odo Federal Constituency byeelection as the member-elect of the House of Representatives. The group claimed that Akinjo won the election by scoring the highest votes cast. EMA is therefore calling on concerned Nigerians and civil society organisations to participate in a protest slated for today (Monday) at the INEC office in Abuja, while it has also petitioned the United Nations (UN) over the situation. In a statement yesterday, the Executive Director, Kayode Ajulo, said the problem started when INEC, on Sunday April 6, 2014, declared the Ilaje/Ese-Odo bye-election as inconclusive. According to him, “the Ondo Resident Electoral Commissioner (REC), Mr. Akin Orebiyi and the returning officer erred both in law and in the principles of universal adult suffrage, having bowed to the pressure of usurpers, who simply wanted to rig their candidate in. The Egalitarian Mission for

Africa cannot give-in to the ‘scheme of inconclusivity,’ as selfishly introduced by INEC. “It is instructive to note that the bye-election took place, and returns were respectively made in 21 out of 22 wards, which made up the Federal Constituency. “For the records, the results already collated showed that LP candidate, Kolade Victor Akinjo was leading with 23, 926 votes, being closely followed by the Peoples Democratic Party (PDP), which had 22, 628 votes, while the All Progressives Congress (APC) had 9, 232 votes.” The group accused INEC of bias and illegally calling for supplementary election in Arogbo Ward 2 of Ese-Odo Local Government Area, New Jerusalem in Arogbo Ward 1 and some units in Mahin Ward, where election did not take place on Saturday (April 5, 2014), saying, “EMA found this most reckless and irresponsible. This underscores the fact that Orebiyi is acting the scripts of some power mongers. As a matter of fact the returning officer’s duty is to collate the votes from various units, wards and declare winner the candidate who had majority of lawful votes.” Wondering why INEC should declare the election inconclusive, Ajulo added, “it is the election tribunal that has the sole responsibility and duty to determine any

complaint of irregularity, compliance or non-compliance of the election under law. “The use of the word ‘inconclusive’ introduced by the returning officer to abort the will of the people is not applicable in this case, because the only condition for declaration was that the candidate must have majority of lawful votes, which was satisfied in this case.” Meanwhile, a social-political group, Restoration Alliance has called for the probe of the Minister of State for Defence, Ambassador Musiliu Obanikoro on his role during the by-election. In a statement issued in Akure signed by its General Secretary, Akin Ulenuse, the group said the minister has questions to answer regarding his activities in Ilaje area about a week before the election as well as the role he played on the by-election day. The group also wants the minister to explain “why he had to lead soldiers to intimidate voters in an election which does not directly affect him or his people of Lagos Island in Lagos State.” “It should be ascertained if the minister acted alone or he was by his action, doing somebody or some person’s bidding,” the group said. Also, reactions continue to trail the declaration by INEC that last Saturday’s bye-election in Ilaje/Ese-Odo Federal

People of Ondo State should not be made to go through the rigour of the election they passed through in the last Saturday’s poll because of a ward election both in terms of money and energy. We agreed that LP candidate be declared winner so that the existing peace in the state be maintained Constituency was ‘inconclusive’, as the electoral body has been called upon to declare Akinjo, as winner. This was the submission of chairmen of three of the political parties that took part in the poll. The parties made their decision known in a joint statement by State Chairman of Peoples for Democratic Change (PDC), Mr Lawrence Oyebamiji, his counterpart for Democratic Peoples Party (DPP), Hon. Lawrence Kehinde and State Chairman of Progressive Peoples Alliance (PPA), Chief Alamuren Ogunbodede. According to the chairmen, their decision was based on the fact that the results of 21 out of the 22 wards had been collated, saying that the Commission had already publicly announced that the LP candidate got the highest votes of over 23,000. While commending INEC for a “job well done during the election,” they appealed

to other party candidates to “accept defeat in good faith and cooperate with the winner.” They stated, “people of Ondo State should not be made to go through the rigour of the election they passed through in the last Saturday’s poll because of a ward election both in terms of money and energy. “We agreed that LP candidate be declared winner so that the existing peace in the state be maintained.” Also, former governor of Abia State, Dr. Orji Uzor Kalu has applauded the present administration in Ondo State for prioritising the basic necessities of life. The politician and business mogul spoke with newsmen on Tuesday, shortly after his inspection tour of some people-oriented facilities put in place by the Dr. Olusegun Mimiko-led government in Akure, the state capital and Ondo town. The former governor and

chairman of the Sun Newspapers was led by Governor Mimiko to the caring heart market at NEPA in Akure, St Patrick mega school, mother and child hospital, truama centre, doctors’ quatres and dialysis centre all in Ondo town. Dr. kalu opined that the governor’s efforts in addressing the challenges facing traders, pregnant women and children and child education were of paramount importance to national development. He submitted that provision of quality education to children in a conducive learning environment would give them sense of belonging as truly future leaders of the country. He said, “I’m very excited seeing governor Mimiko performing. The man is really on course. I’ll tell you, what he is doing is the software, the roads and the buildings are the hardwares. In a computer system, the software is more important than the hardware. A man who remembered the traders, a man, who thought about the child education, you see many of our pregnant women dying of child labour, many of our children are misbehaving because of the type of environment where they go to school. “Now I know the reason Ondo people gave him their mandate for the second

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Monday, April 14, 2014

Sports Ultimate Commander commiserates with US, Warrior’s family

Ahead Brazil 2014 World Cup

Thread softly with Yobo, Laloko cautions NFF, Keshi

• Begins consultations for Nelson Mandela Commonwealth Nations and America Unifying Championship

From Ezeocha Nzeh, Abuja UPER EAGLES’ chief coach, Srelease Stephen Keshi, will soon the list of players for

NIVERSAL Professional U Wrestling Federation’s (UPWF) world champion, Nigeria’s Osita Offor, also known as De Ultimate Commander, yesterday described the death of American wrestling icon, The Ultimate Warrior, as a huge loss not only to the US, but also to the entire sports world. Speaking when condoling the United States of America and the family of the late Ultimate Warrior, De Commander described the American wrestling legend as one of the role models to ‘made me interested in wrestling. He was such a brilliant wrestler, who brought flair, flamboyance and theatre to the profession. “Alongside Hulk Hogan, Jake the Snake and Shaun Michaels, among others, the Ultimate Warrior made wrestling a must watch for many Nigerian homes. “That I am now a top wrestler is partly because of the seed he sowed in me early in my life. If I knew he would die so soon, I would have asked him some of the questions that have been on my mind for so long. May his soul rest in peace.” Speaking on the forthcoming Nelson Mandela Commonwealth Nations and America Unifying Championship, which will take Nigerian, American, Canadian, South African and European wrestlers to South Africa, Britain, the US, Canada and Nigeria in celebration of the late South African legend, Dr. Nelson Mandela, DE Ultimate Commander said he has been in consultation with top local and foreign wrestlers to ensure that he emerged from the bouts with his title still intact. “I have been in touch with my coach, Jimmy Superfly Snuka, as well as the Barbarian and Earthquake because they are the ones in charge of my training. I am also training locally here with Jimmy Palm because I want this title to remain in Nigeria. “If you look at the belt, even though I am the world champion, Nigeria’s flag is not among those emblazoned on it. The authorities are waiting for me to confirm my superiority to other wrestlers before they put Nigeria on the belt, so that is why I am leaving no stone unturned in my quest to defend the title successfully.” De Commander said the Mandela Championship will begin in the South African cities of Johannesburg and Durban on July 18 and 20 respectively, hold in Lagos (July 25), Abia (July 27) and two cities in Britain on August 1 and 3, 2014.

De Ultimate Commander (left) battling with US’ Shelton Benjamin in a past World Heavyweight Wrestling title fight in Lagos. PHOTO: FEMI ADEBESIN-KUTI

NFF explains partnership with Orlean Invest IGERIA Football N Federation President, Aminu Maigari, at the weekend described as a huge boost to the country’s football, the partnership the Federation sealed on Thursday with Port Harcourtbased oil services company, Orlean Invest West Africa Limited. “I must say that this partnership is a brilliant one. Orlean Invest will provide so many good things for Nigeria football. This is a technical partnership that is a win-win situation for our country.

“Certainly, the partnership with Orlean Invest West Africa is a watershed in the history of Nigeria football,” he said. Reiterating that football is the most potent weapon for unifying the peoples of Nigeria across geographical, ethnic and religious divides, Maigari praised Orlean Invest’s strong commitment to the project as demonstrated in the patience and understanding they exhibited before the agreement was sealed. “This gesture of provision of

facilities and equipment, and to facilitate technical and administrative training, deserves praise from the Nigeria football family, coming at a time that facilites and equipment are needed to further spur extensive and speedy growth of the Nigeria game. “Orlean Invest could not have come with their proposal at a better time than now, when Nigeria football is witnessing true renaissance under the present NFF administration. “These facilities and equip-

ment will benefit not only the NFF and the National Teams, but scores of clubs in our various Leagues as well.” Orlean Invest West Africa, which has been operating in Nigeria for the past 26 years, was represented at the signing by Capt. Damir Miskovic, a Director of the company and Vice President of Croatia Football Federation, Husseini Garba (Director of Abuja Football College), Bojour Majetevic (Technical Adviser), Kumbi Titiloye (Sole Administrator, Abuja Football College) and Aminu Balele, Consultant to Orlean

NFF names Malta Guinness Super Eagles’ official Malt drink HE Nigerian Football Federation (NFF) has named Malta Guinnes the official malt drink of the Super Eagles ahead of the Brazil 2014 FIFA World Cup coming up in June. In a partnership with Malta Guinness, the beverage besides promoting the Super Eagles, is expected to further boost the development of football in Nigeria on and off

the pitch in line with the brand’s premise of ‘Fueling the Rise of Naija’, aimed at inspiring the rise of Nigerians in every sphere of life. Explaining reasons behind the partnership, Guinness’ Marketing Director, Austin Ufomba, disclosed that it was in line with the brand purpose which is to galvanise the rise of Nigerians to achieve

their goals and aspirations. “We see the Nigeria National Team as an embodiment of the Nigerian spirit. Nigerians have a resilient spirit which is why as a people we often take risks and do things others might not do. We see the winning spirit and the immense possibilities that any Nigerian can accomplish great things with the right

level of support and encouragement. We feel that Malta Guinness as the official Malt drink for our boys through this tournament will give that support.” NFF’s Assistant Director (Media), says he is delighted by the partnership, adding that the alliance would go a long way in boosting morale of the team, ahead of the runup to the FIFA World Cup.

English Premier League

Liverpool pips Man City 3-2, Chelsea beats Swansea 1-0 IVERPOOL took a giant LPremier stride towards the Barclays League title with a thrilling 3-2 victory over Manchester City at Anfield. Philippe Coutinho scored the winning goal with a superb first-time finish from the edge of the box 12 minutes from time after a blunder from Vincent Kompany. City had fought back from 20 down but Liverpool took the three points for a 10th victory in a row. The Merseyside club now

have a seven-point advantage over Manuel Pellegrini’s men, although the Etihad Stadium outfit still have two games in hand. With the 25th anniversary of the Hillsborough disaster falling on Tuesday, floral tributes were presented to Kenny Dalglish and Ian Rush by City’s Mike Summerbee, Joe Corrigan and Tony Book before the kick-off and there was a ‘96 25 Years’ Kop mosaic for the impeccably observed minute’s silence.

Chelsea striker, Demba Ba (left), watches his shot as he scores during the English Premier League match against Swansea City…yesterday. PHOTO: AFP

the final phase of preparations for the Brazil 2014 FIFA World Cup camping, but former technical director of the Nigeria Football Federation (NFF), Kashimawo Laloko, has cautioned the coach against including Skipper Joseph Yobo in the squad. Reacting to calls for the inclusion of the Norwich of England defender in the squad, Laloko says Yobo has no business in the World Cup in Brazil, stressing that going there only to create a record would not help the country. Laloko, who was a resource person at the just concluded C-License Coaching Course in Abuja, said apart from the desire to chase record as having appeared on about three World Cups, Yobo is not fit and in turn not supposed to be in the team. He urged the NFF and the media to desist from actions capable of influencing the World Cup list to enable Keshi select the players he believe he can work with. “It’s the coach that knows what he wants and will stand by his selections and in doing so, players have to be picked on merit. For example, I don’t see what a person like Yobo is coming to do other than to create record; he wants to say he has been to the World Cup three, four times.

DStv BB: Islanders fine form continues By Adeyinka Adedipe SLANDERS Basketball Club Iimpressive of Lagos continued its form in the DStv Premier Basketball League, beating Kwara Falcons BC 7333 in a week six game at the National Stadium, Lagos at the weekend The club’s inspirational point guard, Chiwendu Nwaigbo was in superb shape scoring a double double in the encounter. Nwaigbo, who was the court for 28.50 minutes posted 18 points, 10 rebounds, 6 assists and 2 steal, as the Coach Lateef Erinfolami tutored side crushed the visitors. Islanders who led the Ilorinbased Falcons on the board with 49-24 rebounds were also the better side in other departments of the game with 21-12 assist; 17-20 turnovers and 14-11 steals to seal a 5-1 records. In the other week-6 game played in Lagos, Nigeria Customs Basketball Club shook off a lack-lustre first quarter performance to beat Dodan Warriors 62-53 points (07-17, 19-06, 11-20 and 25-10). Customs guard, Emmanuel Balogun had an excellent game combining well with point guard, Abayomi Joshua to lead the border boys with 15 points, 4 rebounds and 3 assists.

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NAGAFF lifts Maritime Cup, beats Micura 2-1 HE National Association of T Government Approved Freight Forwarders (NAGAFF) emerged winners of this year’s Ships and Ports Maritime Cup, beating Micura Stevedoring Services 2-1 in the final to lift the Pa John Olayiwola Okunloye trophy at the National Stadium, Surulere, Lagos at the weekend. NAGAFF took the lead five minutes into the game through Jide Olufeinti and scored the second goal in the 32nd minute through Chukwudi Membis. Micura’s goal was scored in the second half through a penalty. Speaking shortly before presenting medals and trophy the winner, Executive Secretary/CEO of Nigerian

Shippers’ Council, Barrister Hassan Bello commended the organisers for putting together a befitting event. He also praised the players for exhibiting high level of discipline throughout the competition. “I am impressed with what I have seen here today and I want to assure you of our support,” Bello stated. President General of the Nigerian Football and Other Sports Supporters Club, Rafiu Ladino, also showered praises on the organisers and the players. “With what I have seen here today, there is no doubt that Nigeria is a footballing nation. We have talents. The players here can hold their own against any opposition’’.

Lagos plans successful South West Secondary School Games State has finalised plans to stage a befitting LfirstAGOS edition of South West

Okagbare

C’wealth Games: AFN plans glorious outing in Glasgow HE President of the T Athletics Federation of Nigeria (AFN), Solomon Ogba over the weekend told athleticsnigeria.com that AFN and the National Sports Commission (NSC) are working hard to ensure a superb outing at the Glasgow 2014 Commonwealth Games. Speaking after the Abuja Golden League held at the Abuja National Stadium on Saturday, Ogba said with the federation’s programs for the season was going according to plans, noting that track and field would not only make the podium appearances in Glasgow, but better what they did in Delhi in 2010 where Ajoke Odumosu and Tosin Oke won gold medals in women’s 400m

hurdles and men’s triple jump. “Whatever you may achieve in sports, if you don’t appear on the podium, it makes no meaning to Nigerians. At the London 2012 Olympics, we were in 11 semi-finals and six finals, but Nigerians believed we didn’t do well at all, but I can tell you that it is no small feat to be in 11 semi-finals and six finals; some sports did not even qualify to be in London,” Ogba stated. Ogba revealed that with podium appearance in mind, the federation started working towards succeeding in Glasgow early with the conditioning camp for top athletes in Abuja: “We opened our season for home-based athletes with the

over distance event in Ijebu Ode. To keep them in shape for the national trials in Calabar in June, they will compete in the five legs of the Golden League meets with the final is slated for Benin. “Apart from the prize money the athletes will win at each leg of the league, there is a jackpot of N2 million. Then, there is the Warri Relay and Grand Prix before the All Nigeria Championship.” For the elite athletes and those based in the United States and Europe, Ogba said: “We started giving the elite athletes training grants since last year; some of them competed at the World Indoor where they made it to the finals and set a new African record in the

4x400m. “Eighteen of our elite athletes from home will join their counterparts overseas this weekend. They are to compete in the Mt. Sac and other meets across America before heading to the Bahamas where they will compete in the inaugural IAAF World Relays.’’ The President of AFN further revealed that after the All Nigeria championship in Calabar, athletes that would represent the country at the Commonwealth Games would be selected, adding, “We shall also look for a suitable camp in Europe for final preparation. We urge Nigerians to get behind us and support us with their prayers,” Ogba stated.

Egypt sweeps medals, as Nigeria finishes second at ITTF Junior Championship ll the 11 gold medals at A stake at the International Table Tennis Federation (ITTF)-sanctioned African Junior Championship were won by host, Egypt with Nigeria finishing second at the one-week tournament held in Cairo. From proceeding early in the tournament, Egypt was obviously the favourites with its players winning all their games right from the group stages to the knockout stages. Although, there were little challenges from the likes of Tunisia and Congo Brazzaville, but the Egyptians ensured that no foreigners picked gold at the championship. From what transpired in Cairo, it is now clear that there are minnows in the game as nations like Congo Brazzaville and Angola are now rubbing shoulders with the continent’s best like Egypt and Nigeria. From the cadet and junior

singles to the doubles event, Egypt inspired by Mahmoud Fathy and Fagr Shouman clinched all the top medals leaving few for the other nine countries that participated. However, Nigeria finished second with two silver and three bronze medals courtesy of the performance by Tosin Esther Oribamise and Olasunkanmi Oginni. To clinch the junior singles titles, Egypt’s Fathy defeated Congo Brazzaville’s Christ Bientaki in the quarterfinals (11-7, 13-11, 11-13, 9-11, 11-6, 11-8), before causing a major upset by defeating Algeria’s Yaniss Douifi, the top seed 4-3, in a tense semi-final (13-11, 5-11, 1416, 11-9, 9-11, 12-10, 12-10). In the final, he beat his compatriot - Aly Ghallab in four straight games (11-7, 11-8, 11-9, 11-7). In her own category, Fagr Shouman emerged champion in an event that saw all eight quarter-finalists from Egypt, Fagr Shouman, the

no.1 seed, beat Reem Morad in the round of the last eight (8-11, 10-12, 11-6, 11-9, 11-8, 8-11, 118), before accounting for

Oginni

Ruwidi Ali (11-7, 11-9, 16-14, 11-6) in the semi-finals and Aida Rahmo, the no.2 seed, in the final (11-9, 11-8, 5-11, 11-8, 11-3).

Secondary School Games, as the Local Organising Committee (LOC) has been inaugurated at the weekend. The Games will hold from May 16 to 24 at different venues in the state. Speaking at the Local Organising Committee (LOC), the Chairman of the LOC and Commissioner for Youth, Sports and Social Development, Wahid Enitan Oshodi, charged members of the LOC and Chairmen of the sub committees to work toward the successful hosting of the Games as mandated by Governor Babatunde Raji Fashola. He assured the LOC and the sub committees that the Lagos State Government has made funds available and other logistics for the hosting of the Games. “This is a call to service and the Governor is looking forward to us delivering a well

packaged and glamorous Games”, said the Commissioner. He charged the LOC and all the sub committees to get down to work immediately, considering the very short time left to the commencement of the Games. Also, the Vice Chairman of the LOC and Commissioner for Education in Lagos State, Mrs. Olayinka Oladunjoye said, “Let’s show our brothers and sisters from the other southwest states the wonderful hospitality Lagos is known for, as demonstrated to the whole world at the 18th National Sports Festival held in Lagos in 2012.” The sub-committees for the 2014 Games are Accommodation/Games Village, Technical Games Services, Ceremonial and Protocol, Medical, Transportation and Logistics, Venue and Facilities. Others are Media and Publicity, Feeding, Catering and Security.

Warri Tennis Classic: Organisers bait kids with South African trip By Gowon Akpodonor HE skills displayed by kids taking part in the on-going Warri Tennis Clinic is thrilling officials of Delta State Sports Commission. Over 300 children drawn from various schools in Warri and environs are learning the ropes at the clinic, a youth development exercise meant to teach children the basic techniques of tennis. It is taking place at the Shell Club, Ogunnu, Warri and being organised by Iso-Black Concept, a Lagos based outfit. The Chairman of Delta Sports Commission, Amaju Pinnick, paid a surprise visit to the venue at the weekend and was shocked by the level of skills displayed by the kids. Pinnick, an ardent tennis fan, showered praises on the organisers, promising to give them the necessary support whenever the need arises. The clinic is the first of its kind in that part of the country. Five veteran coaches, led by former national tennis player, Roy Odoko, are on ground in Warri to help the kid grow in the game. It was learnt yesterday that the organisers have penciled down names of 10 kids who have distinguished themselves so far in the clinic. They will be given more training in

Lagos and are expected to travel to South Africa later in the year. Other kids are expected to emerge within the week. Some of the participating schools in the clinic includes Urhobo College Effurun, Yonwuren College, Our Lady’s High School, Hussey Boy’s Model College, Federal Government College, Warri, Benchill Schools, Ugborikoko Secondary School, Igbudu Primary School, Orhuwhorun High School, Adagwe Secondary School, Eruemukohwarieri, Good Shepherd’s Boy‘s Schools, Oyede and SnappsFGCWarri. Others are Cambridge International School, Majesty International School, International Unity School, Twin Fountain School, Government College Ughelli, Delta Careers Nursery/Primary School, Great Grace Montessori School, Deen Foundation School, Eagle Height International School, Kingdom Heritage Model School, Edulyn College, Seat of Wisdom School, Crestview School, Cradle Schools, Richland Schools, Unique International Schools, NNPC Staff School and Heroes Academy. The clinic will end on April 19.

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‘Victory over Wigan will boost our performance’ RSENAL’s stubborn A refusal to admit FA Cup semi-final defeat to Wigan can silence Arsene Wenger’s detractors and propel the Gunners to a top-four Barclays Premier League finish, according to Thomas Vermaelen. Belgium defender Vermaelen hailed Arsenal’s 4-2 penalty shoot-out victory over Wigan at Wembley on Saturday, praising Wenger’s side for grinding their way to the final. French Under-21 striker, Yaya Sanogo wasted a hatful of chances to put Arsenal out of sight before Jordi Gomez handed Wigan the lead from the spot. Per Mertesacker headed Arsenal level before the game meandered to penalties, where goalkeeper Lukasz Fabianski pulled off two saves to seal victory. Vermaelen hopes Saturday’s nervy victory will ease pressure on both Arsenal and under-fire manager Wenger, as the Gunners bid to end their stint of nine years without silverware. “There was a lot of talk about needing the result for a few different reasons, for the manager and showing we could fight and I think we did that,” said Vermaelen. “It will give us a boost for the rest of the season now, we can move forward with confidence. “I’m very happy that we’ll go to the final, that’s why you play these games of course. “It was a long game with extra-time and penalties, it’s

never easy but it’s a good win.” Hailing Poland stopper Fabianski’s spot-kick heroics, Vermaelen admitted Arsenal had practised penalties in the previous week’s preparations. “We did have some practices but I wasn’t down to take one,” he said. “Lukasz is an outstanding goalie, he works hard for it; he works so hard that he deserves this.” Arsenal host West Ham tomorrow night in a quickfire return to Premier League action, but Vermaelen said the tight schedule must not cause any problems. “It was a long day and a quick turnaround but we’ve done that before, playing Saturday and Tuesday, so we can’t use that as an excuse,” he said. “I don’t think they will come to the Emirates and just settle, I think they will come to win. “We have to make sure we compete hard for the victory now because they certainly will.” France striker Olivier Giroud challenged Arsenal to end their trophy drought and lift the FA Cup, for boss Wenger as much as anyone else. “It’s been a long time without a trophy as everyone knows, and now we have an excellent chance to change that,” said Giroud. “We really want to win it for the fans, for the club and for the boss as well, it would be huge for him.”

Martino under pressure after loss to Granada ARCELONA coach Gerardo Martino was left to rue his side’s lack of cutting edge after their Primera Division title prospects took a severe dent in a 1-0 defeat at Granada. The match was settled by Yacine Brahimi’s early strike, the Algerian racing through a Barca defence containing no natural centre-backs and scoring past Jose Manuel Pinto. The visitors, who began without midfielder Xavi and first-choice full-backs Dani Alves and Jordi Alba, were unable to respond thwarted on a number of occasions by Granada’s outstanding goalkeeper, Orestis Karnesis. “I don’t have any complaints for how my players played,” Martino said at his post-match press conference. “This is a game that we should have won. “The rotations have nothing to do with the result. “We didn’t score the goals we needed to win. We lacked accuracy. In a normal game, we would have won by three or four goals.” Real Madrid’s 4-0 win over Almeria in the late kick-off on Saturday saw them leapfrog Martino’s men into second place in La Liga, and Atletico

Madrid can go three points clear at the summit with victory at Getafe on Sunday evening. But, while the Argentinian acknowledged Barca’s fate was now out of their hands, he vowed not to throw in the towel. “We no longer depend on ourselves to win the league title,” he said. “(But) we shouldn’t confuse sadness after a defeat with us giving up on the title race. I will give up only when there is no mathematical chance.”

Liverpool’s midfielder, Raheem Sterling (right) prepares to round Manchester City’s English goalkeeper, Joe Hart (second left) to score the opening goal during the EPL match that ended 3-2 in Liverpool’s favour. PHOTOS: AFP

Barca will fight till end, Ancelotti warns EAL Madrid coach Carlo R Ancelotti does not think Barcelona’s shock defeat at Granada will have any bearing on Wednesday’s Copa del Rey final between the arch rivals. The reigning Primera Division champions went down 1-0 in Andalusia on Saturday, allowing Ancelotti’s men to climb into second place - level on points with leaders Atletico, who visit Getafe on Sunday with a 4-0 home win over Almeria in the late kick-off. While things may be hotting up at the summit of La Liga, attention now turns to the midweek cup final at the Mestalla. And Ancelotti reckons Gerardo Martino’s side will not be affected by Saturday’s setback. “It was a surprise because Barcelona has more quality than Granada, but at this time of the season all teams are fighting for a goal and those fighting for salvation are the most dangerous,” he

said at his post-match press conference. “I think Barcelona are thinking they can still win the league. “There are many surprises in this league, and I think they will fight to the end. It will not change the dynamic of Wednesday’s match. “In our heads, we do not consider what will happen with the other teams. We must look at our games. “We have an incredibly important match on Wednesday, and we don’t have time to think about anything else.” The Italian paid tribute to the fans, after having walked over to greet them at the fulltime whistle at the Bernabeu. “It was to thank a group that has really helped the team,” he said. “The atmosphere in the stadium was great, and that is important because it helps us give our all. Having fans that help us in all our games is very important for us.”

Granada’s Algerian midfielder Yacine Brahimi (left) celebrates with his teammates after scoring during the Spanish league football match against Barcelona at the weekend.

Angel Di Maria, Gareth Bale, Isco and Alvaro Morata were the men on target against Almeria as Real clinched their third successive league win - a run which has seen them score 13 unanswered goals. “The team played good football,” Ancelotti added. “It

was a good game. “The goal is to win all the remaining matches. “It is a very dangerous league and, at this point of the season, all the matches are tough. We are in the fight for every competition. It isn’t easy, and we have to give everything in all our matches.”

Guardiola accepts blame for Bayern defeat EP Guardiola suggested P his heavy rotation policy could have been to blame as Bayern Munich suffered back-to-back league defeats for the first time since November 2011. A 3-0 loss at home to Borussia Dortmund on Saturday will not affect the destiny of the Bundesliga title, which has already been wrapped up by Bayern, but it did show that the Bavarians are fallible after a 53-game unbeaten streak was ended by Augsburg a week ago. Guardiola said keeping his side motivated for important DFB-Pokal and Champions League semifinals is now his biggest challenge. “It happened to me in Barcelona too that, after we had clinched the league title, we really struggled to raise our game again,” he told Sky Sport. “The aim as coach now is to build the team up again. Maybe I made a mistake. “Maybe it was a mistake not just to carry on as we were, but I don’t want to make rotation out to be an excuse.” Guardiola fielded his strongest team against Dortmund on Saturday, but he had rested key players in a recent 3-3 draw with Hoffenheim and 1-0 defeat to Bayern. He is now unlikely to make any unforced changes to his

starting XI for the midweek cup semi-final with seconddivision Kaiserslautern as he looks to regain some momentum ahead of the Champions League semifinal clash with Real Madrid the following week. “I think the problem is we’ve already won the Bundesliga and we’ve just dropped off,” he said. “We’ve got to see things the way they are.” Goalkeeper Manuel Neuer added: “We’ve got to say we beat Dortmund 3-0 in the game where it mattered, so now they’ve just evened things up. “I think our priorities lie elsewhere now, but we still cannot ignore the Bundesliga. We would have preferred to have a different result, and a different performance from us.”

Guardiola

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Mo Farah finishes eighth on London Marathon debut RITISH Olympic champiB on, Mo Farah finished eighth on his marathon debut as Kenyan world record holder, Wilson Kipsang won his second title in London. Farah, 31, failed to break Steve Jones’s 29-year-old British record of 2:07.13 and finished in 2:08:21. Kipsang set a course record 2:04.27 with compatriot Stanley Biwott second. Edna Kiplagat pipped fellow Kenyan, Florence Kiplagat to win the women’s race, with Olympic 10,000m champion, Tirunesh Dibaba third on her debut. Farah elected to sit among the second pack of elite runners, but soon found himself 38 seconds behind the lead group, headed by Kipsang, at the halfway mark. That gap increased to 49 seconds after 15 miles and then over a minute by the time they reached 19 miles. The Briton, who won 5,000m and 10,000m gold at the 2012 Olympics and last year’s World Championships, also made errors at two drinks stations when he tried to pick up fluids. Despite missing out on the British record, Farah recorded the fourth fastest time by a Briton and set the fastest time by an Englishman. Asked if he would do another marathon, Farah, who finished almost four minutes behind the winner, said: “Yeh, definitely, 100 per cent. I’m not going to finish it like this. I will be back. “I would have been disappointed to do my first marathon somewhere else. I gave it my all but I just wish I gave a little bit more to the crowd and all the supporters. “It was pretty tough. I’m quite disappointed but you try things and if they don’t work, at least you gave it a go. It was really just the pace - I should have gone with the front group. The pacemakers I had were slightly ahead of me but you learn - life goes on.” Former British world champion, Paula Radcliffe believes Farah made the correct decision in choosing to make his marathon bow in London. “If you are a British runner and you want to attack the marathon, you do it in London, there is no better stage,” she told BBC Sport. “The plan was to go through the first half at slower pace and that was what he did, but he wasn’t quite able to come back in the second half of the race. I think he has found out what the marathon is all about.”

Timothy Bradley of U.S and Manny Pacquiao (right) of Philippines during their WBO World Welterweight Championship title match at the MGM Grand Arena in Las Vegas, Nevada on Saturday. PHOTO: AFP

Pacquiao outpunches Bradley EARLY two years later, N Manny Pacquiao finally got the decision most people thought he deserved the first time against Timothy Bradley. Pacquiao won a unanimous decision in his rematch with Bradley on Saturday night, avenging his 2012 loss and claiming the WBO welterweight title. Pacquiao (56-5-2) pursued and peppered the previously unbeaten Bradley around the MGM Grand Garden ring with an aggressive effort occasionally recalling the Pacman in his prime. Bradley fought back with counterpunching and elusiveness, but Pacquiao kept up his attack while Bradley (31-1) struggled down the stretch. In the same arena where the fighters met for their first bout, Pacquiao left little doubt about the result although that’s what he thought last time, too. Bradley’s split-decision victory astonished most ringside observers, who felt Pacquiao had earned a clear decision. ‘’I knew I had to do more in this fight than I did in the last fight,’’ Pacquiao said. Judges Craig Metcalfe and Michael Pernick scored the

rematch 116-112 for Pacquiao, while Glenn Trowbridge favored the Filipino congressman 118-110. The Associated Press scored it 116-112 for Pacquiao. After the fight, Bradley said he injured his right calf early on. But he also applauded the decision when it was announced, and he congratulated Pacquiao in the ring. ‘’I tried, I really tried,’’ Bradley said. ‘’I wanted that knockout. Manny is a great fighter, one of the best in the world. I lost to one of the greatest fighters in boxing. I kept trying to throw something over the top. That’s what we worked on in camp. That was the plan, but Pacquiao has great footwork.’’ Pacquiao landed 35 percent of his 563 punches, while Bradley connected with just 22 percent of his 627 blow. Pacquiao’s jab was much more effective, landing 23 percent to Bradley’s measly 11 percent, and the Pacman had a slight edge in landing 148 power punches to Bradley’s 109. Pacquiao’s performance righted one of the biggest perceived wrongs in recent boxing history. Pacquiao was an eight-division world champion on 15-fight winning streak

when Bradley was awarded a split decision in their last bout. Pacquiao was more aggressive and accurate from the opening minutes of the rematch, sticking to trainer Freddie Roach’s pleas to take the action to Bradley. They exchanged big shots in the opening rounds, but Pacquiao appeared to wear out Bradley with the heavy early pace - and the Pacman never slowed down. ‘’I didn’t want to get careless,’’ Pacquiao said. ‘’I picked up more steam in the second half when I made adjustments that Freddie gave me in the corner. Bradley was much better than in the first fight we had. He hurt me on the chin.’’ Although Pacquiao couldn’t knock down Bradley, he answered the questions raised by Bradley about his killer instinct with a consistent attack all night. Bradley couldn’t match that consistent aggression with counterpunching, apparently trying and failing to catch Pacquiao out of position. ‘’It looked to me like Bradley was just going for a onepunch home run,’’ Roach said. The arena was crackling with

energy when both fighters made their ring walks, with Pacquiao in the unusual position of going first as the challenger. Pacquiao landed a series of big left hands in the early rounds, knocking back Bradley with gusto. Bradley responded impressively in the fourth round, wobbling Pacquiao twice with a right hand. The pace slowed in the fifth, with Bradley showing off his defense and movement while Pacquiao attempted to trap him against the ropes. Pacquiao appeared to stagger Bradley late in the seventh round with a vicious combination, but Bradley stood with his back against the ropes and defiantly encouraged it, blocking most of the shots. Bradley appeared to pretend to have wobbly legs at one point after a Pacquiao miss, but his open mouth betrayed his weariness while Pacquiao steadily racked up rounds midway through the fight. Bradley came on strong in the 12th, and the fighters’ heads collided late in the round. Pacquiao avoided any trouble until the final bell, when he did a short dance step to his corner.

Djokovic looks to maintain edge over rival Nadal OVAK Djokovic looks to N continue his recent dominance over archrival, Rafael Nadal at the Monte Carlo Masters, where he beat the Spaniard in the final last year, and boost his confidence heading into the French Open. Monte Carlo is the first of three Masters tournaments played on clay and is followed

by Madrid and Rome in May, leading up to the French Open, which starts May 25. The French Open remains the only major that six-time Grand Slam champion, Djokovic has not won. The Serbian player narrowly lost to Nadal in a dramatic semifinal last year at Roland Garros, where a clumsy error at the net late in the fifth set

curtailed his comeback, and then Nadal beat him in their next two meetings. “Winning this title last year in the final against Nadal was definitely one of the highlights of my career. I really love playing in this tournament,” Djokovic, who lives in Monaco part of the year, said Sunday. “My family comes in big numbers during this

week so it makes me feel very comfortable, and at home.” The top-ranked Nadal’s last win against No. 2-ranked Djokovic was in the U.S. Open final, but since then Nadal has lost three consecutive matches to his great rival in straight sets. Nadal leads him 22-18 on head-to-heads and has 62 career titles compared to 43 for Djokovic.

‘’We’re more or less the same generation. We’re still 27 and 26 so we still have lots of time in front of us,’’ said Djokovic, who is the younger player. “It’s a huge challenge, there’s no question about it ... I do not exclude any other players, but the rivalry I had with him is the biggest one so far.”

Rogers may retire in 2015 HE 36-year-old has enjoyed T a late-career blossom on the international stage and was last week named as one of Wisden’s five Cricketers of the Year. Rogers was the leading runscorer in the back-to-back Ashes series - following his recall after five years - before scoring his fourth Test century during Australia’s recent series win in South Africa. The left-hander has returned to captain Middlesex this summer and, while he admits he is enjoying life at the top, his advancing years means he has started to think about retirement. “In an ideal world it would be nice to finish with the Ashes here next year, see out the season and then think about whether it’s time to call it a day then,” Rogers told The Sunday Times. “But who knows? You’re a long time retired and I love what I do, so it will be hard to say it’s all over.” Rogers has backed his fellow Middlesex opener, Sam Robson, to earn his first England call this summer, and suggested Joe Root was not the right option to bat up the order. Australia-born Robson has been touted as the man to partner skipper Alastair Cook after an impressive winter with the England Lions,. “He’s going to be a very good international player,” Rogers said. “He’s got a good head on his shoulders. He’s saying all the right things and his first focus is still Middlesex.” Rogers believes Robson is a better fit at the top of the order than Root, who struggled at the during the winter’s 5-0 Ashes whitewash before being dropped. “I don’t particularly think he’s an opener,” Rogers said. “He plays spin well and he’s probably better suited to the middle order.”

THE GUARDIAN www.ngrguardiannews.com

Monday, April 14, 2014

TheGuardian www.ngrguardiannews.com

Monday, April 14, 2014

Conscience, Nurtured by Truth

By Onoakpoma Ohimor N recent weeks the issue of the Naira’s exchange rate has again seized our nation’s consciousness. It was merely exacerbated by the suspension of the Central Bank governor sometime last February. This article seeks to examine the subject of the value of the Naira and attempts to make a case for resisting further devaluation and possible options in this regard. In simple terms, the value of a currency is a measure of what it can acquire by way of goods and services. The greater the value of a currency the more goods and services it can provide and ultimately enhance the standard of living of its owners. In other words, the cost and standard of living are inextricably tied to the value of a nation’s currency. A currency’s value is typically expressed in terms of its exchange rate relative to other currencies. This is even more poignant in our interconnected world and for us Nigerians due to the high level of imports. The importance of the exchange rate was recently underscored by a statement credited to the suspended Governor of Central Bank of Nigeria (CBN), Mallam Sanusi Lamido Sanusi that he is ready to expend the nation’s foreign reserves to defend the Naira. With external reserves around $42 billion and monthly demand for FOREX sometimes more than $3 billion, one wonders how far our reserves can go in defending the Naira in the face of worsening oil revenues. Almost everyone wants a stable and valuable currency. Besides the brief explanation above, economic planners and business persons whether importers, exporters and portfolio investors are gratified by the assurance of knowing both for the present and future value of the money they hold. What then is the appropriate value of the Nigerian Naira? Perhaps in attempting an answer a look at the official exchange rates of the Naira over the past years will be helpful. Jan 2008 Jan 2009 Jan 2010 Jan 2012 Jan 2013 Feb 2014 N116 $ N131 $ N147 $ N156 $ N155 $ N156 $ Source – CBN Website Clearly, there has been a systematic and progressive decline in the value of the Naira. If reports and commentaries in the media are anything to go by, further devaluations await us. The essential question, however, is whether the past devaluations have served any positive purpose or better still whether it has improved the lot of Nigerians. This leads to the issue of how the exchange rate is obtained. Modern economic thinking supports the idea of market forces of demand and supply in determining the price of goods and services. The market would be an efficient determiner of prices if it possesses the characteristics of a perfect competitive market whose main feature is the presence of large number of sellers and buyers. The Nigerian foreign exchange market(s) (comprising WDAS, RDAS, Inter-bank etc) where the value of the Naira is determined is far from this and as such ought not to be solely relied on in determining the price (exchange rate) of the Naira. With the CBN as the main supplier of foreign exchange attempting to meet the demands of thousands of buyers from banks to bureau de change, importers of tangibles and intangibles and from portfolio investors seeking to take their gains offshore. Our foreign exchange market is the perfectly imperfect market expecting to benefit from the features of a perfect market. It makes no sense to tie the fortunes of the Naira and indeed the living standards of Nigerians to such a contraption. How then should the exchange rate be determined? While I do not propose determining the exchange rate by fiat, I believe a form of intervention makes perfect sense as the market is far from being perfect. By continuing to subject the rate to the forces of demand and supply in an imperfect market we leave ourselves with just two options which have confronted us in cycles; continued depletion of our reserves to defend the arbitrarily set exchange rate band or devaluation of the Naira voluntarily or involuntarily. Both options are not sustainable in the long run for obvious reasons.

Depleting our reserves can only make us vulnerable to economic downturns, particularly with the vagaries of the international oil price. Continued devaluation on the other hand will lead to pauperization of Nigerians as more Naira will translate to less goods and services in view of our unrelenting crave for foreign goods. The option of devaluation would be more plausible if the economy was tilted towards export (of manufactured goods, refined mineral products and services). This is unlikely to happen soon due to challenges with electric power and infrastructure.

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The case against naira devaluation

Acting Governor of the Central Bank of Nigeria, Dr. Sarah Alade Depleting our reserves can only make us vulnerable to economic downturns, particularly with the vagaries of the international oil price. Continued devaluation on the other hand will lead to pauperization of Nigerians as more Naira will translate to less goods and services in view of our unrelenting crave for foreign goods. The option of devaluation would be more plausible if the economy was tilted towards export (of manufactured goods, refined mineral products and services). This is unlikely to happen soon due to challenges with electric power and infrastructure. When markets are imperfect, some form of

intervention makes good sense. I need not give examples of countries that have intervened in their foreign exchange markets. What kind of intervention is appropriate for the Nigerian foreign exchange market? This is the million dollar question which if the right answer is gotten, will go a long way to ensure a very stable exchange rate. While determining the exchange rate by fiat is a form of intervention, it is one that will lead to abuses and arbitrage as the gap between the official rate and the parallel market widens. Another form of intervention is the varying of demand from buyers. This would require an in-depth profiling of the buyers and utilisation

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Editor: MARTINS

OLOJA

ABC (ISSN NO 0189-5125)

of Nigeria’s foreign exchange. In the words of a notable economist, “there have been continued speculative attacks on the Naira”. Who are those buying foreign exchange and to what purpose? Are there buyers that can be redirected to other sources? Are there buyers whose demand can be restricted or anticipated and better managed? If the answers to these questions are in the affirmative then, the CBN can considerably control demand and ensure a stable exchange rate. A snap review of the CBN quarterly reports for 2013 showed that as much as 55 per cent of demands for foreign exchange are invincible while the petroleum sector takes up as much as 15 per cent. Without prejudice to a detailed profile of the two groups, I posit that demands from them are at the centre of the downward pull on the value of the Naira. The prudent management of the demands from these groups among others through appropriate policies and in-concert with other economic regulators and drivers will go a long way in solving at least in the medium term the issue of stable exchange rate for Naira. The role of foreign portfolio investors (FPIs) cannot be over looked. These investors have had and continue to have profound impact on economies of nations not least because of the speed with which they take their flight to safety at the slightest sign of crisis. They contrast with foreign direct investors who seek to build factories, import machinery and technical personnel for production of goods or exploration of mineral resources. The impact of FPIs needs to be looked into, call it a socio-economic impact assessment of FPIs. The role of FPIs in the Asian crisis of the 1990s should not be lost and in fact should serve as basis for our economic regulators to fashion out a policy to manage the unmitigated impact particularly as their sneaky growth and influence continue to rise. The irony of the scenario is the fact that FPIs are perhaps the loudest voice in crying for stable exchange rate. Some analysts would be quick to respond that FPIs keep our equities and bond markets liquid. A cost benefit analysis of a liquid market viz a viz the effect of significant outflows on the larger economy needs to be done. In summary, when markets are far from perfect, intervention makes good sense. The trend over the years have been, the CBN appears helpless with the ever growing demand for forex, draws on reserves to defend the self-imposed rate band till reserves falls to so-called psychological limits and then resorts to devaluation with a new lower rate band. This unfortunate vicious cycle is a journey to nowhere that only benefits a few and impoverishes the generality of Nigerians. My humble advice to our regulatory authorities and economic managers is to get off the beaten track and try something new and more positive. Ohimor is a finance and SME consultant oohimor@gmail.com