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Opinion

NNPC Ltd and challenges in the oil sector: Banire misconceives the facts, promotes biased views

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By Olufemi Soneye

 

 

In the face of the challenges in the oil sector, particularly the current tightness in the supply of petrol, it has become fashionable to blame the national oil company, the Nigerian National Petroleum Company Ltd (NNPC Ltd), for everything. Last week, it was Prof. Pat Utomi who railed and fumed at the NNPC Ltd calling it one of the most opaque and unreliable companies in the world. Before then, The Punch had published an editorial in which it described the NNPC Ltd as a danger to Nigeria. The latest of these vitriolic attacks is by Dr. Muiz Banire, a Senior Advocate of Nigeria (SAN), and former Commissioner of Transport and Environment, Lagos State, who contended in his column in The Sun that NNPC Ltd is the black hole of Nigeria.

Considering all that is going on in the petroleum sector, it would appear justifiable to call out the NNPC Ltd as some people have been doing in recent times. But most of the diatribes have been based on sentiments that are not rooted in facts. Railing at the NNPC Ltd without a thorough understanding of the issues that threw up the current challenges in the oil sector, as most of the commentators have been doing, will yield no good for the country. At this critical intersection, the task for all well-meaning Nigerians should be how to find lasting solutions to the mischiefs in the oil sector and not to look for scapegoats, as Dr. Banire has done.

According to Banire, Nigeria has been experiencing fuel scarcity since 1973 on the back of fuel subsidy and the NNPC Ltd is responsible for it. The assertion that the NNPC is responsible for this state of affairs is moot. The policy of fuel subsidy is not the preserve of the NNPC. Various administrations over the years have thought it wise to subsidize the cost of petroleum products for citizens. They came up with different methods of doing that. The role of NNPC Ltd has been to implement the policy as decided by government. At a point when the various administrations felt that the fuel subsidy policy had become a burden that should be done away with, they made it known. NNPC Ltd, as the national oil company, implemented it. This was the case in 2012 when the nation went up in protest against the decision of government to remove fuel subsidy. The same scenario repeated itself in 2019 when the then administration came up with the policy to remove fuel subsidy. NNPC Ltd is neither responsible for the policy of fuel subsidy or its removal.

It is very unfortunate that Dr Banire would descend to the level of castigating the NNPC Ltd for the fuel subsidy debacle that has plagued Nigeria and on the basis of that label the Company that has over the years patriotically borne the brunt of the fuel subsidy policy as a black hole. His analysis fails to take into consideration the huge challenges of products smuggling, pipeline vandalism, and crude oil theft that the company contends with daily, and in spite of which it manages to keep the nation going with crude oil production and fuel supply.

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Barely three months after the Federal Government announced the removal of fuel subsidy, it became difficult for both major and independent petroleum products marketers to import petrol because of the foreign exchange policy. They could not source forex to continue to bring in petrol. Since then, NNPC Ltd has been importing the product and selling at almost half price in keeping with the provisions of the Petroleum Industry Act (PIA) which designates it as the fuel supplier of last resort. Yes, there have been supply hiccups here and there because of the financial constraints imposed by the transaction. Just imagine the hardship the nation would have suffered if NNPC Ltd was not there to play the role of supplier of last resort! NNPC Ltd is the reason Nigerians continue to enjoy lower pump price for petrol than they would ordinarily pay for the product. How then does such a company become a black hole?

For Banire, NNPC Ltd is responsible for everything that is wrong in the oil sector. He even blames smuggling and the unauthorized sale of petroleum products to street urchins who in turn trade it in the black market in jerrycans on the NNPC Ltd. But does he have evidence that the unpatriotic marketers who divert petroleum products meant for local consumption to neighbouring countries are staff members or representatives of the NNPC Ltd? Does he have any shred of evidence that the boys who sell fuel in the black market in jerrycans source their products from NNPC Retail Ltd.’s stations? The least one would expect from a lawyer of Banire’s standing is a fact-based and not speculative commentary.

The NNPC Ltd has turned a corner since 2018 when it began to prepare for the enactment of the Petroleum Industry Act, which was eventually passed into law in 2021. Apart from deepening its commitment to accountability and transparency by regularly publishing its audited annual financial statements, it has become a profitable company with undisputable growth trajectory. It recorded an unprecedented N3.29 trillion profit in its recently released 2023 audited financial report. But this fact is conveniently lost on Dr. Banire who insists that he has not seen any difference between NNPC as corporation and the commercially focused NNPC Ltd that was incorporated in 2021. Fortunately, it does not take Banire to see or believe that NNPC Ltd, as presently constituted, has broken away from its debilitating past for it to be true. He is at home with the legal maxim: “Res Ipsa Loquitur”, meaning the facts speak for themselves.

While one cannot dissuade people like Dr. Banire from criticizing the NNPC Ltd, they must refrain from standing facts on their heads all because they want to be populist or be in the good books of the public. Besides, the Banires of this world should also not be intentionally mischievous in their assertion that the NNPC Limited is exercising an overbearing influence on the regulators. One expects that given the level of their educational accomplishments, they should have the capacity to research very well into the subject matters of their editorial interventions so that they do not argue, assert and progress in error(s). In the corollary, it is either Banire is mischievous or ignorant about the assertion he made in his write-up that the NNPC influences the NUPRC and the NMDPRA who are the two independent regulators. If he lacks a clear knowledge of the workings of the sector, he should be humble enough to seek clarifications so he could be well informed. NNPC Limited is an operator-with a number of refineries under its purview. The Port Harcourt refinery will soon take off. As a matter of fact, the refineries under the NNPC are operators and are therefore subject to the regulatory framework and regulations set out by the NMDPRA. The operator(s) cannot, therefore, exercise overbearing influence on the regulators. This is commonsensically impossible. Pure and simple.

Soneye, is the Chief Corporate Communications Officer of the NNPC Ltd

Opinion

Why is Dangote Blackmailing NNPC?

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Alhaji Aliko Dangote

 

By Vincent Kayode

For two entities that are supposed to work together to provide energy security for Nigerians, you may wonder why Dangote has been using every means available to paint NNPC as the bad guy, while projecting himself and his company as the saviour Nigerians have all been waiting for. After some digging, I found out that Dangote is not telling the whole truth. In fact, he is manipulating the media and using paid influencers to tarnish NNPC’s image. The truth will shock you.

Now follow me, let us get into the facts.

1. The first question is why is DR not releasing its product prices, even after accusing NNPC of being “mischievous“. I was shocked that NNPC was so transparent in its dealings, which you would expect of any company operating in the public domain. But Dangote, even with his blatant accusations against NNPC, is not happy.

2. ⁠While subsidy is gone, most marketers have refused to import PMS because the margins are too low for their profitability calculations. NNPC on the other hand, is interested in the lowest prices for Nigerians, as it was not set up solely for profit. Dangote is not happy.

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3. ⁠If left unchecked, DR would sell the product to Nigerians at 1300 Naira per litre. What NNPC did was to negotiate with Dangote, and drive down the prices to a range that will be cheaper for Nigerians to afford. Dangote is not happy.

4. ⁠By selling crude to DR in Naira, the FG and NNPC have shown not only good faith, but accountability. Reciprocity is the norm in business. This is why NNPC must have an office inside DR complex, to avoid “stories that touch the heart”. I guess DR is not happy that another entity ( NMDPRA, NNPC, MoF) is checking his production and supply claims. Trust me, but verify.

5. ⁠The much-touted business model of Mr Dangote is being tested here. His business successes have usually being around being a monopoly player, stifling competitors through unfair practices, and arm-twisting government to get special favours and waivers. If in doubt , Ask Mr Abdussamad Rabiu of BUA. Go and inquire about Ibeto Cement. The current administration believes in fairness to all players. Dangote is not the only businessman in Nigeria. Do your business, but don’t play blackmail card because you can’t have your way all the time. But Dangote is still not happy.

6. ⁠The crude oil being produced by NNPC and its JV partners are for the benefit of all Nigerians. NNPC is not in business to increase Dangote’s profit margin, but to ensure energy security for all Nigerians. This is a key provision of the Petroleum Industry Act (PIA) 2021. Still Dangote is not happy.

7. ⁠I think Mr Dangote is creating smokescreens to divert attention away from his refining issues. He should focus on producing the products he has promised, and in the quantity that he has promised. He should stop seeing NNPC as a threat.

8. ⁠The sky is big enough for all birds to fly. You cannot monopolise the Nigerian oil sector please. PMS is not cement, it is not sugar, and it is not flour. It is basically an essential commodity that can’t be allowed to be manipulated by just single individual, to the detriment of poor, unsuspecting Nigerians.

 

Vincent Kayode, wrote in from Lagos.

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Opinion

Balancing Work and Parenthood: A Day at the eHA Office with the Little Ones

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By Favour Oriaku

Building a more vibrant, secure, and sustainable future is important to eHealth Africa (eHA). And a key part of that mission is engaging the next generation with real-life work experiences. Where better to do that than around their heroes—their parents? Bringing kids into the office might conjure up images of chaos: papers scattered everywhere, loud noise, and maybe even crayon drawings on the walls. But at eHA, “Bring Your Kids to Work” day has turned into a big hit that everyone looks forward to—kids, parents, and colleagues alike.

For the past two years, eHA has been hosting “Bring Your Kids to Work” days. This event gives families a chance to learn more about what we do, understand our culture, and see our mission in action. We recently held our second edition, and it was a huge success! The office was buzzing with excitement as staff members welcomed their children into the workplace, creating a unique day filled with learning, creativity, and lots of laughter.

The day was jam-packed with activities to engage and educate the children. There were career talks where professionals shared insights into different career paths, inspiring the kids to think about their futures. Health tips were provided, thanks to the eHA Clinics, where the children learned about healthy living and even received vaccinations. They had a chance to ask questions about what their parents do at work, giving them a better understanding of the “mystery” behind the job titles. A campus tour allowed the kids to explore the office space, and creative painting sessions gave them the chance to unleash their imaginations. Of course, it wouldn’t be a kids’ day without playtime—bouncing castles were set up, and they were a big hit. Throughout the day, there were plenty of snacks and a delicious lunch to keep everyone energized. Each child left with wonderful gifts to remember the day by, a little piece of the organization’s branded materials to take home.

The event was about more than just fun, though. As Mr. Adesina, our HR Manager at eHealth Africa’s Kano HQ, put it, “This event was inspired by the HR team to bring families together, seeing that the staff are usually busy with a lot of work. It was also an avenue for the kids to meet other family members of eHA and for the children to see where their parents work, what they do, and integrate family life with work. We want to make sure our staff feel a sense of belonging. After the maiden edition, staff wanted it to be an annual event, hence the second edition.” He continued, “One of the intentions of this event was to educate staff kids on healthy living and career choices. Thanks to Dr. Ben Igbinosa, our Director of Finance and Administration (DFA), and eHA Clinics, these goals were achieved. There is an improvement from last year’s edition with the inclusion of health talks and vaccinations. We have plans to accommodate hybrid and remote staff, using technology as eHA is technology-driven. I appreciate the Executive team and staff for their support to the HR team and for making their children available for the event.”

Safety was a top priority for us during the event. Regina, our Associate HR Manager at eHealth Africa’s Kano HQ, highlighted this, saying, “What stood out for me is ensuring a safe space for the kids. Though eHA is always a safe space, with children, extra attention was needed. Knowing that kids love to explore their environment, we worked to seal up all electrical points.” We wanted to create a memorable experience, so each child went home with gifts to remember the day. “As one of the best places to work, our goal is to make eHA a family-friendly organization, so the ‘Bring Your Kids to Work’ event speaks to that,” Regina added.

Linda, our Senior HR Coordinator in the Abuja office, explained that this event is part of our corporate social responsibility towards our staff. “eHA believes in the power of shared experiences and the value of family,” she said. “Bringing your kids to work is a fun activity for the children while also showing our commitment to creating and supporting an inclusive workplace for all our staff. It also helps us recognize work-life balance, which is part of our culture.” Linda praised our staff for their ability to balance work and family life, noting, “Parents, especially those who have a professional career, are doing so well. I commend eHA staff for being able to balance their work with family life.”

At eHealth Africa, we know that our employees perform at their best when they can balance their professional and personal lives. Events like “Bring Your Kids to Work” not only provide a fun day for the children but also strengthen the bond between employees and the organization. We’re already looking forward to next year’s event and many more opportunities to celebrate our staff and their families.

Favour Oriaku, is a Senior Communications Coordinator, eHealth Africa

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Opinion

Tribute to Dr. Habib Sadauki: A Visionary Leader and Mentor-Kwalwa

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Late Dr Habibu Sadauki

 

The inevitability of death reminds us to live modestly and cherish the memories of those who have impacted our lives. Today, we gather to honor the legacy of Dr. Habib Sadauki, an exceptional mentor, medical director, CEO, and senior consultant.

Dr. Sadauki’s life embodied simplicity, patience, dedication, and collaboration. His commitment to the common good inspired countless individuals, from clinical practice to public life. I had the privilege of working alongside him during our call duties at the Hospital Management Board, where he demonstrated remarkable dedication and responsiveness.

As Executive Secretary, Dr. Sadauki displayed exceptional tolerance and maturity, even in the face of adversity. His leadership facilitated joint efforts and achievements between the board and unions. He championed on-the-job training and sponsored staff for specialized courses locally and internationally.

Dr. Sadauki’s contributions to the MPDRS policy and development were invaluable, drawing from his personal experience. His punctuality, resourcefulness, and tirelessness in attending review meetings were hallmarks of his commitment.

A devout and prayerful individual, Dr. Sadauki’s warm smile and genuine spirit comforted all who encountered him. A 1978 graduate of ABU Zaria, he had an illustrious career as a specialist medical consultant and administrator, alongside notable contemporaries like Dr. Dutse and Dr. Bashir Birnin Kudu.

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As I pen this tribute, I pray that Allah grants Dr. Sadauki peace and mercy in the highest level of paradise. May His blessings be upon his children, and may His comfort envelop his family and friends, particularly Hajiya Maryam.

Rest in peace, Dr. Habib Sadauki. Allah ya gafarta masa.

Abdullahi Ismail Kwalwa

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