Business

Why FG Can’t Intervene In Rising Kerosene Price – Sylva

Published

3 years ago

January 9, 2023

The Minister of State Petroleum Resources, Chief Timipre Sylva, said on Monday, that the federal government has no powers to intervene in the rising price of household kerosene, a major cooking energy for low-income earners and rural dwellers in Nigeria.

The minister, who made the claim at a media briefing in Abuja to unfold the achievements of the Buhari administration in the petroleum industry since the assumption of office in 2015, pointed out that the price of kerosene had already been deregulated and could no longer be controlled by the government.

The minister said: “Kerosene, which is the fuel for the average household, is already a deregulated product. It is not necessarily within the purview of the government but a now a commercial decision. Companies will import and sell kerosene at a commercial rate. It is a deregulated product”.

The latest data from the National Bureau of Statistics shows that kerosene price has risen by 145.86 per cent from N441 per litre in November 2021 to N1,083 per litre in November 2022.

Chief Sylva expressed the hope that Nigerians would see the need for petrol to be similarly deregulated to free up funds for the government to execute other development projects.

The minister explained that it was important for Nigerians to understand that petroleum products prices are market-driven and based on the prevailing exchange rate, adding that petroleum products were still being sold at the cheapest rates in Nigeria compared to its neighbours.

While insisting that the best way to make petrol readily available for all Nigerians was through the removal of subsidies, which is not sustainable, the minister however pointed out that the government is to ensure that the price is market-driven.

“If petroleum product prices are market-driven it would drive a lot of investments. A lot of private investors want to come in and invest in the Nigerian petroleum industry but who would want to invest under a subsidy regime?

“If you build a refinery, how is your refinery going to make a profit under a subsidy regime? But if you have a market-driven situation, a lot of investors will come and the problem of access to petroleum products will be a thing of the past,” Sylva stated.

He disclosed that the rehabilitation of the Port Harcourt Refinery was on track, saying the 60,000 barrels per day component of the refinery would come on stream before the end of the first quarter of 2023.

Chief Sylva also expressed optimism that oil production would continue to improve as security in the Niger Delta region is beefed up, insisting that the Federal Government’s target of three million per day production was realisable.

He said the government was committed to the expansion of gas development, adding that the $250 million funding from the Central Bank of Nigeria would facilitate investments into domestic gas usage in Nigeria.

The minister dismissed the notion that the new Nigerian National Petroleum Company Limited, NNPCL, which was created under the Petroleum Industry Act, PIA, was an independent company, pointing out that it remains under the Petroleum Resources Ministry.

“NNPC is not a private company; it is still 100 per cent government-owned. What has happened is that NNPC is now a commercial company and we allow it to operate commercially but it is still NNPC Limited, 100 per cent owned by the Federal Government of Nigeria and still under the purview of the Ministry of Petroleum,” Sylva pointed out.

Earlier, the Minister of Information, Alhaji Lai Mohamed, who coordinated the press briefing, berated those who accuse the Buhari administration of doing nothing tangible since coming into power, pointing out that the administration has left a legacy of achievements in all sectors of the economy.

Mohammed said, “Distinguished ladies and gentlemen, between the last edition of the PMB Administration Scorecard Series on Dec. 22nd, 2022, and today’s opening edition for 2023, a lot of things have happened in the polity.

“But the most significant has been naysayers and the opposition trying to distort the achievements of President Muhammadu Buhari for their own selfish ends.

“While some of the Administration’s fiercest critics said we have achieved nothing, others have admitted, though seemingly tongue in cheek, that it’s only in the area of infrastructure that the Administration has performed.

“Well, I want to say that both groups are wrong, very wrong. Yes, infrastructure development under the Buhari Administration is unprecedented since the nation’s return to democratic rule in 1999, and it has set the country on the path of development. But no, our legacy is more than infrastructure.

“The Buhari Administration is leaving a legacy of a revamped security sector, in the face of unprecedented security challenges in the country. Today, the Nigerian military is being restored to its glorious past, thanks to Mr. President’s foresight and doggedness in re-equipping the various services. And this has made it possible for the military to tackle insurgency and all other security challenges facing the country.

“As you can now see, this military has been recording success after success. Compare this with those who literally passed a vote of no confidence in our military by bringing in mercenaries to fight insurgency. Not only that, they looted dry all the funds earmarked to buy arms and ammunition for the military.

“Some of the alleged looters said they spent billions just praying against Boko Haram! The Nigerian military, which has excelled in global peacekeeping operations since 1960 and has sacrificed a lot to keep our country united, has regained its respect and influence.

“Ditto the Nigeria Police, which is steadily being repositioned to be efficient and well-motivated, and to improve its capacity to face modern-day security challenges. As the Honourable Minister of Police Affairs told us here last month, the Nigeria Police now has a state-of-the-art National Command and Control Centre.

“This is unprecedented. Other security agencies have not been left behind in the area of capacity enhancement through training and modernization of equipment.

“The Buhari Administration is leaving a legacy of inclusiveness, especially in the areas of infrastructure and social development. There is no state in Nigeria that is not witnessing at least a road, a bridge or a housing project. None!

“The Honourable Minister of Finance, Budget and National Planning has also told us here how Mr President approved tranches upon tranches of funds to states, irrespective of their party affiliation, to enable them to meet their obligations to the people.

“We dare any part of this country to say that it has not benefitted from the programmes of the Buhari Administration in one way or another and we will happily counter that with verifiable evidence,” Mohammed boasted.

VANGUARD

Business

Fixed Income: CBN Announces Fresh Regulations To Control Nigerian Market

Published

11 hours ago

October 3, 2025

Editor

The Central Bank of Nigeria has announced sweeping regulations to take control of the Nigerian fixed income market.

The regulations expected to begin in November are aimed at boosting transparency across Nigeria’s financial sector.
The apex bank disclosed this in a recent statement.

CBN noted that the intervention is a key part of broader financial market reforms.

Accordingly, it said its core objective is to enhance regulatory oversight and strengthen the market’s ability to effectively support the transmission of monetary policy and, ultimately, foster economic growth.

“This transition will enable the CBN to assume direct responsibility for the management of the trading platform and handle end-to-end settlement activities under the bank’s established settlement system for financial market transactions,” the statement read.

According to DAILY POST, Fixed income securities refer to investments which provide a return in the form of fixed periodic interest payments and the eventual return of the principal at maturity.

Business

Confusion Over Euro-Africa CCI’s $250m Investment In Edo

Published

4 days ago

September 29, 2025

Editor

The $250m investment deal Governor Monday Okpebholo claimed to have secured during his recent trip to Scotland is generating ripples over capacity of the European African Chamber of Commerce and Industry (EACCI) to make such a huge investment.

The EACCI, headed by a Drector General, Dr. Kingsley Obasohan, is not known to have made any prior investment in Edo State or any part of the country.

Obasohan, who attended the Edo State Global Investment Summit virtually, announced the $250m investment.

He said the investment would be made for a period of three years.

An online search was launched to unravel the EACCI as well as the man Obasohan.

A number on the site was answered by a lady who claimed not to understand English language.

Several foreign partners were listed on the site as board members and advisory council.

Some closed associates of Obasohan said he would have to get clearance from the Board members before talking to journalists on the issue.

Spokesman for the Edo Peoples Democratic Party, Daniel Noah Osa-Ogbegi, said the party would hold Governor Okpebholo accountable to Edo people and demanded clarity on the $250m investment from Glasgow.

Osa-Ogbegi said the proposed investment has become a source of embarrassment to Edo people because of unfolding information about EACCI.

He said the party would shine light on fiscal management practices that appeared to ignore transparency and responsibility.

Secretary to the State Government (SSG), Umar Musa Ikhilo, had earlier said those that attended the Glasgow summit were interested in keying into the SHINE agenda of Governor Okpebholo.

“One of the chambers of commerce that attended, the European African Chamber of Commerce and Industry signed an MoU with the Edo State Government to invest a sum of $250 million over the next three to five years.

“Last year, diaspora remittances were the second-highest source of foreign income in Nigeria after crude oil, over $20 billion, but only 2% of that went into investment. We are creating a vehicle to help convert more of that into direct investments.”

He added that a delegation from Scotland was expected to visit Edo State in the coming months to explore specific investment projects as a follow-up to the summit.

Business

Dangote Hits Out At PENGASSAN, Says Union ‘Serial Saboteurs, Serving Oligarchs’

Published

5 days ago

September 28, 2025

Editor

The management of Dangote Petroleum Refinery has berated the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), accusing the union of decades-long sabotage of Nigeria’s oil and gas sector and serving the interests of its leaders rather than ordinary Nigerians.

In a statement issued at the weekend, the refinery described PENGASSAN’s latest directive to cut crude oil and gas supplies to the facility as another act of economic sabotage designed to inflict untold hardship on Nigerians.

“Indeed, over time, the Association has consistently proved itself as serving interests other than those of Nigerians and Nigerian workers,” the statement declared.

Dangote recalled that in 2007, when the Federal Government sold its moribund Port Harcourt and Kaduna refineries to Blue Star Consortium, led by the Dangote Group, for $750 million, it was PENGASSAN and its ally, the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG), that sabotaged the deal. “It is now obvious to everyone that the FGN’s decision at the time was the right one and that PENGASSAN and NUPENG ignominiously wrote their names on the wrong pages of history,” the company said.

The refinery also faulted the union’s role in the much-publicised rehabilitation of the Port Harcourt Refinery, describing it as a “ruse” which PENGASSAN “knowingly celebrated despite being a scam on Nigerians.” The statement further accused the union of opposing amendments to the Petroleum Industry Act (PIA) that would have freed up federal liquidity and attracted private-sector funding into Nigeria’s upstream oil ventures.

Beyond policy obstruction, Dangote Refinery accused the association of mismanaging billions of naira in annual check-off dues to allegedly bankroll the “lavish lifestyles” of its leaders, without accountability to members. By contrast, the refinery highlighted its own record of economic contributions within a short period, citing road construction, worker training, the creation of thousands of Nigerian jobs, and a compensation structure that “outdistances the best in the Nigerian oil and gas industry.”

“The Dangote Group is the highest employer of labor in Nigeria and the highest contributor to the tax revenues of Nigeria and its sub-nationals. What comparable social responsibility has PENGASSAN, with its billions of Naira in annual check-off dues and subscriptions, lived up to?” the statement queried, challenging the union to publish its audited accounts for the past ten years. “Can it publish publicly its account for the last 10 years and list out its corporate responsibility activities within that timeframe?”

The refinery insisted that PENGASSAN’s recent directive to withdraw services and cut off essential fuel supplies, including but not limited to petrol, diesel, kerosene, cooking gas and aviation fuel was reckless, lawless and dangerous. It said the order is not about protecting Nigerian workers, but it is about a cabal of oligarchs weaponising hardship against over 230 million Nigerians.

“In the process, it (PENGASSAN) cares little if at all about the unbearable hardship and terror it would thereby inflict on all Nigerians, including but not limited to the provision of essential services in our hospitals and medical facilities, schools (nursery and right up to tertiary and research institutions), emergency services, communications facilities, transportation systems, etc,” it said.

Dangote Refinery called on the Federal Government and security agencies to step in immediately to protect the facility and the nation’s energy security, stressing that the union must not be allowed to “bully Nigerians into chaos and economic sabotage.”

According to Tribune Online, the federal government has announced readiness to broker peace between Dangote Refinery and PENGASSAN, inviting both to a meeting scheduled for Monday.