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PenCom Does Not Give Loans to Federal Government, says DG

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Mrs Aisha Dahiru Umar ,DG Pen Com

 

Mrs. Aisha Dahir-Umar, the Director General of National Pension Commission (PenCom), has described as “totally misleading” widespread reports that the Commission gave a N10 trillion loan to the Federal Government.

She also responded to claims that PenCom was owing Federal Government retirees arrears of pensions as well as insinuations that Pension Fund Administrators (PFAs) are not fulfilling their obligations to retirees with regards to access to their retirement savings.

Mrs. Dahir-Umar, in a media interview at the weekend, said apart from the fact that PenCom is not a bank and does not warehouse or manage pension funds, the Federal Government did not take a loan of N10 trillion from the Commission.

“Investments by the PFAs in the securities of the Federal Government of Nigeria (FGN) are not loans as erroneously portrayed, but investments in securities, through bonds and treasury bills, as approved by the relevant government agencies, in this case the Debt Management Office (DMO) and Securities and Exchange Commission (SEC). They are traded on authorized capital markets. That is, the Nigerian Exchange Limited and FMDQ OTC Securities Exchange,” she explained.

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“Moreover, pension fund assets are not managed by PenCom. I have said it repeatedly that when we say pension assets have grown to N15 trillion, that does not mean PenCom has N15 trillion locked somewhere in its office or bank accounts. Pension fund assets are managed by the licensed PFAs and held in custody by the licensed Pension Fund Custodians (PFCs). The PFAs are responsible for investing pension fund assets in allowable asset classes, including FGN debts instruments. The objectives are safety and fair returns. All these are in line with the provisions of the enabling law, the Pension Reform Act 2014, and the rules issued by the Commission. It is obvious from the above that what is referred to ‘loan to FGN’ is just investment in FGN securities by the PFAs, as is done by other institutional investors such as banks, insurance companies, asset managers, etc.”

Mrs. Dahir-Umar added that it is an international best practice to invest in investible instruments issued or backed by the sovereign authority and that the FGN securities meet the objectives of safety and fair returns.

“The FGN has consistently met its repayment obligations, both principal amount and accrued interest, for all investments in bonds and T-bills to all investors including pension funds. The information is always in the open and accessible on our website, www.pencom.gov.ng,” she said.

The PenCom DG further clarified claims about outstanding benefits to Federal Government retirees.

“The delayed payment of retirement benefits to some Federal Government retirees and deceased employees is because of the inadequate and delayed funding for the payment of Accrued Pension Rights for those who were in service before the Contributory Pension Scheme (CPS) was introduced when PenCom was established in 2004,” she said.

“Payment of the accrued rights is subject to release of funds by the Federal Government. So, it is beyond the powers of the Commission. However, we have been engaging the Federal Ministry of Finance for more funds to be released to settle these liabilities, but it is not a secret that the government itself has budgetary constraints.”

She said all those enrolled under the CPS have been receiving their benefits through their PFAs and there is no unsolved complaint before the Commission.

 

 

 

 

 

 

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Table Water Producers Increase New Price for Sachet Water in Kano

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The Kano State Chapter of the Association of Table Water Producers (ATWAP) has officially announced an upward review of the price of sachet water (popularly known as “pure water”) across the state.

This decision is a direct response to the unsustainable surge in the cost of production materials.

In a statement representing the association, it was disclosed that the price of a bag of sachet water, which was previously sold at N220, has now been adjusted to a minimum of 300 Naira.

This adjustment is necessary to prevent the collapse of the industry, as the cost of essential production materials has increased by two-thirds.

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The association highlighted several critical economic challenges, including:

– Printing Film: The price has risen to 3,700 Naira.
– Gas/Fuel: Prices have reached 1,500 Naira per liter.
– Power Supply: The lack of stable electricity has forced factories to rely entirely on expensive generator power.

Despite these financial pressures, the Chairman, Alhaji Ahmad Bala Hudu, has issued a stern warning to all producers against compromising water quality.

The association emphasizes that:
– Reverse Osmosis (RO) systems and water purification standards must be strictly maintained.
– The association is working in collaboration with health authorities to inspect factories.
– Any producer found bypassing health standards will be handed over to the appropriate law enforcement agencies.

The association appeals to the public for understanding and patience during this period, particularly as we are in the holy month of Ramadan.

In a statement issued to newsmen, Anas Idris Hassan, the Public Relations Officer of the association, said the price review is a last-resort measure to ensure that safe drinking water remains available in the state.

 

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Governor Dauda Lawal Defects to APC After Stakeholder Consultations

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The Zamfara State Government has announced that Governor Dauda Lawal has formally defected from the Peoples Democratic Party (PDP) to the All Progressives Congress (APC), following what officials described as “extensive consultations with stakeholders, political leaders, elders, and supporters across the state.” This was contained in a statement signed by Nuhu Salihu Anka, Director General, Media and Communication, Office of the Governor.

According to the statement, Governor Lawal’s decision was driven by the overriding interest of stability, progress, and sustainable development in Zamfara State. “After careful consideration, His Excellency has decided to formally defect to the APC,” Anka said, noting that the move followed prolonged internal crises within the PDP at both national and state levels.

The government explained that unresolved leadership disagreements and structural challenges in the PDP had created uncertainty and distractions that threatened effective governance. “These challenges have continued to hinder the delivery of democratic dividends to the people of Zamfara State,” the statement emphasized.

Governor Lawal reiterated that his primary responsibility remains the peace, security, and development of Zamfara State. “It became necessary to align with a political platform that provides greater unity, stability, and stronger cooperation with the Federal Government,” Anka quoted the governor as saying.

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The statement further revealed that the final deliberation leading to the defection was held at the Government House in Gusau, under the coordination of the Deputy Governor, alongside senior government officials and key political stakeholders. “This was a collective decision reached after wide consultations,” Anka explained.

Governor Lawal expressed appreciation to PDP members and supporters for their cooperation over the years. However, he noted that the prevailing political realities and unresolved crises within the party made it necessary to take what he described as “a bold step in the interest of good governance and the future of Zamfara State.”

By joining the APC, the governor reaffirmed his commitment to strengthening unity, improving security, accelerating development, and ensuring that Zamfara State benefits fully from stronger collaboration with the Federal Government. “This is a new political phase aimed at promoting unity, stability, and development,” Anka stated.

The government therefore called on citizens, political leaders, party supporters, and stakeholders to remain calm and supportive. “We urge everyone to embrace this transition peacefully as Zamfara enters a new chapter of political cooperation and progress,”

 

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Petrol Price Surge to Deepen Cost-of-Living Crisis as Dangote Refinery Hikes Rates Again

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By Yusuf Danjuma Yunusa

The financial burden on Nigerian consumers is set to intensify following a sharp increase in petrol prices by the Dangote Petroleum Refinery, marking the third adjustment in less than a week.

Effective Monday, the refinery raised the gantry price of Premium Motor Spirit (PMS), commonly known as petrol, to ₦1,175 per litre. This represents a significant jump of ₦180, or approximately 18.1%, from the ₦995 per litre price announced just last Friday. In a parallel move, the gantry price of Automotive Gas Oil (diesel) was also revised upward to ₦1,620 per litre.

Confirming the development to our correspondent, a senior official at the refinery, who spoke on condition of anonymity due to restrictions on public commentary, stated that the changes have been formally communicated to marketers and depot operators.

“Yes, the gantry prices have been adjusted. PMS is now ₦1,175 per litre while Automotive Gas Oil is ₦1,620 per litre,” the official said. “The market has been extremely volatile, and replacement costs have shifted significantly in recent days. These adjustments reflect prevailing market fundamentals and the cost environment we are currently operating in.”

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Data from the industry pricing platform, petroleumprice.ng, confirmed that the revised rates have been integrated into depot pricing systems nationwide, effectively resetting the benchmark for downstream marketers.

This latest surge—which has seen gantry prices climb from ₦774 to over ₦1,175 in a matter of days—is already translating to higher costs at the pump. Retail outlets in several states are now selling petrol for approximately ₦1,200 per litre, adding another layer of economic strain on households and businesses.

The increase is expected to trigger a fresh wave of price adjustments across the country. Higher fuel costs invariably lead to increased expenses for transportation, logistics, and production, costs that are typically passed on to consumers. This dynamic threatens to exacerbate Nigeria’s already high cost of living.

The price hikes underscore the challenges facing the Federal Government’s efforts to stabilize the downstream sector. Through the Nigerian National Petroleum Company (NNPC) Limited, the government has been working to secure crude oil supply for the Dangote refinery via third-party international traders in a bid to sustain local refining and, ultimately, moderate prices.

However, officials caution that these interventions may not yield immediate relief for consumers. As the 650,000-barrel-per-day Lekki-based refinery adjusts its prices in response to volatile market realities, Nigerians are left grappling with the immediate consequences of a deregulated market where pump prices are increasingly subject to global and local market forces.

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