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Opinion/Feature

Downstream Deregulation: Between Obasanjo’s Half-measures And Tinubu’s Bold Leadership

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By Temitope Ajayi
A video of former President Olusegun Obasanjo’s interview with News Central Television has been trending on social media platforms for the past week. In the interview, the former President, in a veiled reference to the current administration, said Nigeria has a President who came into office without a plan. Yet, the same ‘planless’ president is implementing a bold economic reform programme that Obasanjo initiated and abandoned mid-way.
This intervention is essentially about a tale of two leaders and how they both handled fuel subsidy removal, a very touchy issue every president of Nigeria has avoided since 1973 because of its disruptive nature and potential to precipitate a pushback that may lead to civil unrest. This serious matter in itself can make a difference between a bold and courageous leader from one that is pretentious and hesitant.
It is a fact of history that one of the things former President Obasanjo set out to do, among other reforms his administration embarked upon, was complete deregulation of the downstream oil industry. But hard as he tried, he failed to actualise it. Obasanjo faced so much opposition from organised labour and civil society groups that he abandoned a good policy that would have led to massive economic gains for the country. All he could muster the courage to do was to raise the pump price four times during his two-term tenure.
Twenty years after Obasanjo failed to implement complete downstream deregulation, President Bola Tinubu had the courage of his conviction to implement the policy, redirect the economy, and ensure efficiency in the management of public finance.
Despite his foibles and messianic complex, former President Obasanjo is no doubt a remarkable leader. His administration opened the economy and implemented essential reforms that his immediate successor should have continued with. What most critics find offensive about the former president is how he sees himself as the only saviour God created for Nigeria. As far as he is concerned, no other leader before and after him has been good enough. For context and clarity, it is essential to recall the former president’s position on deregulating the downstream oil sector when he was in charge.
In a national broadcast on October 8, 2003, President Obasanjo expressed his frustration and anger at the Nigeria Labour Congress for its opposition to the deregulation of the downstream sector to the point of accusing labour leaders of sedition thus:
“As you are aware, my government has embarked on fundamental reforms designed to depart from the waste and unproductive exercises of the past and leave lasting legacies for the prosperity and improved welfare and well-being of all Nigerians. Since 1999, we have gradually but steadily embarked on the programme of liberalisation and deregulation of the Nigerian economy to promote efficiency and effectiveness of service delivery. Most Nigerians and certainly all organised key stakeholders in the Nigerian economy, including the Nigeria Labour Congress, have endorsed the deregulation programme of government.
“It is a fitting symbol of our administration’s commitment to the welfare of workers and in an effort to cushion the effects of deregulation that the government provided 80 buses to the NLC in 2002. The transliner buses were delivered to the Congress for management without government interference. It is noteworthy that every step taken to deregulate the downstream oil sector has been dogged by, sometimes, irresponsible opposition by the Labour Congress. The result has been that we took too little steps to achieve no meaningful and satisfactory progress. We have tolerated all of these in the interest of promoting popular dialogue and informed dissent.
“Let me inform Nigerians that when government first came up with the deregulation programme, it was endorsed by the NLC and other stakeholders. In fact, the NLC had requested that we call it a “liberalisation” programme. It was thus more a matter of label than of substance. If we had been successful in implementing the deregulation or liberalisation of the downstream oil sector as earlier agreed by all stakeholders, including labour, we would not have been worrying about the periodic and unsatisfactory price-fixing which has led no where except to frustration. The failure to fully deregulate or liberalise has also cost Nigerians billions of naira which are currently wasted on millions of man-hours in queues at the petrol stations.
“The tens of billions of naira currently being lost in money that could have been used to increase capital spending in the universities, fund agriculture, repair and rehabilitate our roads, invest in education and health, improve security with extra police for security of lives and property.
“Realising that the investment of well over $400 million (excluding pipelines and depots) in the last six years mostly on Turn Around Maintenance (TAM) and repairs had not improved the performance of the refineries significantly, government had decided that it was unwise to put additional money into the repair of the Kaduna and Port Harcourt refineries before privatising them.
“What most Nigerians must know is that the contracts for the Turn Around Maintenance for the Kaduna and Port Harcourt refineries were awarded with 50% of the cost paid upfront before the advent of this administration in 1999. Allow me to add that two of the three refinery locations in the country today, were built by my administration as military head of state. This means that if for no other reason, I should be interested in keeping them working. Already, 18 private firms have been licensed to build refineries but they have been reluctant to go into the industry because of Government’s price control in the sector.
“If only 30% of these firms had been able to establish and operate private refineries, thousands of jobs would have been created and Nigeria would have been in a position to even export refined oil products. All these benefits and more have been denied to Nigerians by the stop-go approach to the deregulation or liberalisation programme, and only a few Nigerians are benefiting from the prevailing government-controlled system. In fact, the NLC’s approach has been counter-productive, and inflicted more pains on Nigerian workers. Each time there is a small increase of three naira or more, transporters have used the opportunity to jerk up transportation cost thereby making the ordinary worker poorer.
“A once-and-for-all total deregulation would have meant a once-and-for-all increase in transport cost and the pump price for petroleum products. Without a doubt, a once-and-for-all total deregulation would have resolved the problem of availability and thus bring down prices for those outside Abuja, Lagos, Port Harcourt and their environs who have always paid much more than the official posted price. Pump prices arising from the present total deregulation would, in reality, amount to a reduction in prices of majority of Nigerians.”
Interestingly, excerpts from the 2003 national broadcast by President Obasanjo present a contrast between the former leader and President Tinubu. They also showcase two leadership visions. One leader saw the need to fight for the country’s long-term sustainability but chickened out because he lacked the courage to upset the status quo. Two decades later, another leader saw the damage the failure to make the right economic decision had caused the country. He decided to correct it to avert a looming calamity. While former President Obasanjo left the most challenging task of his presidency undone, President Tinubu tackled head-on what has become an existential threat to our collective well-being from his first day in office. He has remained focused on the bigger picture.
President Tinubu recognises the burden of leadership and responsibility he bears on behalf of Nigerians. In discharging this burden, he knew from day one that he would have to make the right but unpopular decisions that would ultimately serve the best interest of the country and her people.
It is certainly not correct to say this president came to the office without a plan. President Tinubu came into the office with a clear plan titled “Renewed Hope 2023: Action Plan for a Better Nigeria.” It was a well-thought-out programme, with which he canvassed for votes across the country and was elected by our people.
In the past 17 months, he has remained faithful to the document as he implements the distilled eight-point agenda.
At the heart of President Tinubu’s economic revitalisation is gas development and expansion of gas pipeline infrastructure to enable Nigeria to compete with Russia in the European markets. In fairness to him, former President Obasanjo himself recently lamented he did not pay adequate attention to gas during his term of office.
Expanding the pool of available talents and human capital through granting of loans to young Nigerians who are the future of the country to enable them acquire tertiary or vocational education is part of the plans that propelled Tinubu into office. Consumer credit initiative that will promote local production and further stimulate the economy is also high on Tinubu’s action plan. To the President’s credit, these two important policy initiatives among several others are being implemented through NELFUND and Nigerian Consumer Credit Corporation (CrediCorp).
If there is one President of Nigeria that came prepared and well armed with a clear cut plan to reposition the country across sectors for better outcomes, that President, undoubtedly, is President Bola Ahmed Tinubu.
-Ajayi is Senior Special Assistant to President Tinubu on Media and Publicity

Opinion/Feature

Nigeria Can’t Achieve Electoral Reforms Without Effective Democracy Communication

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NASS shuts down main entrance gate for reconstruction work

By Audu Liberty Oseni, PhD

Conversations around Nigeria’s electoral reform focus mainly on electoral laws, institutions, technology, and the credibility of elections. While these are central and fundamental, a deeper dimension that must be at the centre of the conversation has emerged in my research.

My study, “Democracy Communication and Citizens’ Perceptions of Political Trust and Democratic Legitimacy in Nigeria,” examined how democracy communication shapes citizens’ perceptions of political trust and democratic legitimacy.

Relying on qualitative data collected through Focus Group Discussions and Key Informant Interviews across 12 Local Government Areas in Abuja and Lagos, the study showed that democracy communication plays a central role in how citizens understand and engage with democracy. Citizens engage with the core principles of democracy, including free, fair and credible elections, rule of law, separation of powers, participatory decision-making, accountability, as well as fair and equitable representation, through communication.

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The study further revealed that citizens who show a stronger preference for participatory democracy communication are those who have experienced dialogue-based engagement.

This is because participation, inclusion, collective decision-making and accountability are not external to communities. They are rooted in people’s socio-cultural systems of indigenous knowledge used for social interaction and collective decision-making.

Citizens showed an understanding of what strengthens and erodes trust in democratic institutions in all 12 Local Government Areas studied. Their dealing with democracy was conditional. They would be more willing to engage and support democracy and democratic institutions when accountability, participation and responsiveness are present, whereas they disengage when distrust rises and dominates.

These findings reveal central and fundamental issues. Citizens actively evaluate, negotiate and respond to how democracy is communicated and practiced; they are not mere passive recipients of democracy. Despite this, a significant mismatch between institutional communication and citizens’ preferences exists. The reliance of government and political institutions on top-down communication is a dominant practice.

A preference for communication that allows citizens to ask questions, deliberate, negotiate, contribute, and influence decisions was strongly expressed. Democratic communication is seen as more credible and legitimate, especially when facilitated through trusted local community structures.

This has profound implications for electoral reforms. Nigeria cannot achieve electoral reforms while communicating with citizens as though they are merely an audience. Electoral reforms are not only about changing laws or introducing technology. The citizens must understand the reforms, participate in the conversations, question them, have opportunities to influence implementation, and must be able to hold institutions accountable.

This is why this study argues that electoral reforms are largely ‘a communication process’. Electoral credibility and service delivery are not the only factors that determine citizens’ support for democracy. Communication processes that create opportunities for dialogue, negotiation, and meaningful participation in governance shape citizens’ support for democracy.

The understanding of democracy should not be based on its assessment as a system of institutions and procedures; it is also an ongoing communicative relationship between the state and her citizens.

Nigeria must reposition democracy communication from a peripheral activity to a central pillar of her democratic practice and electoral reform. Political actors, electoral institutions and policymakers must champion the institutionalization of participatory democracy. These communication processes enable citizens to engage, deliberate, negotiate and co-create solutions to governance challenges.

If we Nigerians want electoral reforms that citizens trust, understand and own, we must embrace communication. A means by which we stop communicating to citizens and start communicating with them. We cannot achieve electoral reforms without effective “Democracy Communication”.

Oseni, Director, Centre for Development Communication (CDC), sent this via email – [email protected]

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Opinion/Feature

Unlocking NPFL’s Market Value, Potential (1)

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By Andrew Ekejiuba
The Nigeria Premier Football League (NPFL) possesses all the ingredients required to become one of Africa’s most valuable domestic football competitions.

With a population exceeding 230 million people, an enormous football-loving fan base, fierce regional rivalries, an abundance of talented players, and a rapidly expanding digital audience, Nigeria has a foundation that many leagues across the continent can only aspire to.

Yet, despite these enormous advantages, the commercial value of the country’s elite league remains far below its true potential.

Unlocking this value requires a fundamental shift in how NPFL clubs are managed. Clubs must stop operating merely as football teams and begin functioning as professional sports businesses. Unfortunately, many NPFL clubs continue to run as extensions of government ministries rather than commercially driven organizations. This governance model has significantly hindered both the growth of the clubs and the development of the league itself.

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Every NPFL club should have a Board with competent professionals overseeing strategic decisions and policies. Equally important is the appointment of qualified Chief Executive Officers, Commercial Directors, Marketing Managers, Digital Media Teams, Fan Engagement Officers, and Business Development Executives.

All these are necessary because sustainable football success is built on strong institutions, not merely on performances on the pitch.

It has been revealed that most government-owned NPFL clubs rely almost entirely on state government funding despite the potential to generate incremental revenues annually. This dependency creates numerous challenges, including unstable financing, political interference, weak accountability, and little motivation to generate independent revenue. Such a structure inevitably limits innovation and commercial growth.

To become financially sustainable, clubs must progressively diversify their revenue streams through sponsorships, merchandising, hospitality services, membership programmes, ticket sales, academy transfers, digital subscriptions, media content, and other commercial initiatives. All these can be achieved through verifiable metrics and analytics that are attractive to various local and international partners. Government ownership, where it exists, should target direct intervention in key strategic areas and create a conducive environment that will facilitate the accelerated growth and development of the Clubs.

Another significant opportunity lies in building stronger club brands.

Although many NPFL clubs boast rich histories and passionate supporters, their brand identities remain underdeveloped. Every club should possess a clearly recognizable identity defined by its colours, logo, slogan, traditions, legends, and deep community roots.

Successful football clubs across the world sell identity before they sell football. Supporters do not merely buy tickets—they buy belongings. Consequently, every NPFL club should invest in a consistent visual identity, professionally managed websites, vibrant social media platforms, documentaries, podcasts, player profiles, and well-preserved historical archives. Football fans connect with stories just as much as they celebrate trophies.

Equally important is improving the matchday experience. Many NPFL venues still struggle with poor seating arrangements, inadequate parking facilities, poor sanitation, limited food and beverage options, weak security, and insufficient entertainment before and after matches. A football match should be an event that supporters eagerly anticipate, not simply ninety minutes of action. Creating enjoyable and memorable matchday experiences will strengthen emotional attachment between clubs and their supporters while increasing attendance and spending.

Digital media also presents one of the greatest opportunities for unlocking the league’s commercial value. Today’s football audience increasingly consumes content on mobile phones and digital platforms long before watching matches on television. Consequently, clubs must invest heavily in digital content creation.

Media departments should consistently produce engaging content, including training sessions, behind-the-scenes footage, player interviews, tactical analysis, academy updates, fan competitions, historical features, documentaries, and interactive social media campaigns. Around the world, digital engagement has become a significant source of commercial revenue through advertising, sponsorships, subscriptions, and fan monetization. The NPFL cannot afford to be left behind.
Another area requiring strategic attention is player development and transfers. Evidence from several emerging football leagues shows that player trading can become a major source of sustainable income when properly managed. Nigeria continues to produce exceptional football talent, yet too many players leave for relatively insignificant transfer fees.

NPFL clubs should strengthen their youth academies, offer longer-term contracts to promising players, improve scouting networks, negotiate favourable sell-on clauses, secure development compensation rights, and create attractive welfare packages to retain outstanding talent for longer periods. European clubs such as Red Bull Salzburg and Genk have built highly successful business models around player development and strategic transfers, an approach worthy of emulation.

In addition, club licensing regulations should enforce the requirement for every NPFL club to own and operate a functional youth academy that consistently feeds the first team. Such academies reduce recruitment costs, reinforce club identity, generate future transfer income, and strengthen community engagement. Beyond football, these academies should prioritize education, nutrition, sports science, psychology, and life-skills training to ensure the holistic development of young athletes.

Finally, clubs must begin to view their stadiums as commercial assets capable of generating revenue year-round, not merely on matchdays. Properly managed stadiums can host concerts, conferences, exhibitions, restaurants, museums, gyms, club shops, guided tours, and corporate events while also generating income through naming rights and other commercial partnerships.

In part two of this series, attention will shift to other critical drivers of football economics, including improved officiating standards, broadcasting rights, sponsorship development, data analytics, fan engagement strategies, and governance reforms.

Ultimately, the NPFL’s greatest untapped asset is not merely the quality of football played on the pitch. A vast domestic market, an intensely passionate football culture, a large diaspora community, and an endless pipeline of talented players provide a foundation that very few African leagues can match. If these assets are strategically harnessed, the NPFL can emerge as one of the continent’s most commercially successful and globally respected football leagues.

Ekejiuba of GTI, writes from Lagos Island

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Opinion/Feature

AKK: NNPC’s Continued Drive for Nigeria’s Development

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By Adeyemi Ilori
I have followed Nigeria’s gas story for the better part of two decades. I have sat through presentations that promised the world and delivered little. I have seen feasibility studies gather dust while flares continued to burn across the Niger Delta.

So, when I say that something feels different this time, I want you to understand the weight of that admission.

For years, the conventional wisdom among energy analysts was that NNPC was a black box – opaque, slow, and better at consuming budgets than delivering pipelines. But the evidence accumulating over the past eighteen months, particularly under the current Ojulari leadership at NNPC, suggests that the corporation is finally translating its gas into tangible infrastructure. The AKK pipeline, the OB3 interconnector, and the relaunched Gas Master Plan 2026 are not just slide-deck fantasies. They are, against considerable odds, becoming physical realities.

Let me be clear: this is not an uncritical endorsement. There are still legitimate questions about cost overruns, contracting transparency, and the long-term commercial viability of some projects. But the direction of travel is unmistakable. Nigeria is moving from a flare-heavy crude economy to a gas-industrialised powerhouse. And NNPC, for all its historical baggage, is the engine of that transition.

Any credible analysis of NNPC’s gas ambitions must start with the Nigeria LNG story. Not because it is new, but because it remains the single most successful energy partnership in sub-Saharan Africa. The experiment began in 1995 with a final investment decision. Four years later, the first cargo left Bonny Island for France. That is a turnaround time that would impress any international project manager.

As the majority shareholder with 49 per cent equity, NNPC’s role, among others, was to secure gas supply through its joint venture partners, most of whom were also shareholders. The structure was complex, but it worked. NLNG has since generated over $114bn in revenue for Nigeria and dramatically reduced gas flaring. Train 7, approved in 2019, will increase capacity by another third.

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But here is the critical observation that many inside Nigeria miss: NLNG succeeded partly because it was insulated from day-to-day political interference. It had a dedicated special-purpose vehicle, world-class partners (Shell, Total, Eni), and a clear export mandate. The question has always been whether NNPC could replicate that discipline for domestic gas infrastructure, where profit margins are thinner and political pressures are heavier. That question is now being answered.

Let me give credit where it is due. The Escravos-Lagos Pipeline System, commissioned in the same year as NLNG’s incorporation, does not get the attention it deserves. It moves gas from the Niger Delta to the industrial corridors of Lagos, Ogun and Oyo. Most of the power plants in that zone run on ELPS gas. If you have ever wondered why Lagos State’s economy dwarfs that of other Nigerian states, a reliable gas supply is a significant part of the answer.

But a critical observer would also note that ELPS is now decades old and operating below optimal capacity due to maintenance backlogs and third-party vandalism. The lesson is that building pipelines is only half the battle. Operating and protecting them is the long game. NNPC has made progress on security architecture – surveillance contracts, community engagement – but the threat landscape remains challenging. Rather than cower, NNPC’s scope has grown by leaps and bounds.

The Ajaokuta-Kaduna-Kano pipeline is the most ambitious inland gas project in Africa. Flagged off in 2020 under President Buhari, it spans 614 kilometres and costs roughly $2.8bn. When fully operational, it will transport 2.2 billion scf per day, support three new independent power plants in Abuja, Kaduna and Kano, and serve as the first leg of the Trans-Saharan Gas Pipeline toward Europe.

Now, for the critical part: I have watched enough infrastructure projects in emerging markets to know that ribbon-cutting ceremonies are cheap. What matters is crossing the River Niger, physically and metaphorically. True to type, in July 2025, the Ojulari administration celebrated exactly that engineering feat. The project team managed to lay pipe across one of Africa’s most challenging waterways. That is not a small feat.

Since then, momentum has increased. First gas is expected to reach Abuja in a matter of months. If that happens on schedule, it will be a watershed moment. But I would caution that the AKK has already faced delays and cost escalations. The original completion timeline was optimistic. The current management seems to have learned from that – they are now under-promising and over-delivering, which is refreshing.

The real test will be whether the industrial revival in Kano and Kaduna follows the pipeline. Textile mills and manufacturing hubs will not spring back to life automatically. They need complementary policies – tariff reform, export incentives, and reliable electricity distribution. NNPC can bring gas to the gate. It cannot force factory owners to turn on their machines. Yet, NNPC seems undeterred.

If there is a case study in Nigerian project perseverance, it will be the Obiafu-Obrikom-Oben (OB3) pipeline. Construction began in 2013. It was not meant to take this long to complete. I have written reports predicting its completion every two years since 2016. I was wrong every time, but the horizon is promising now.

The terrain was unforgiving. Swamps, rivers, community disputes, and funding gaps.

But NNPC, under the current leadership, finally deployed specialised micro-tunnelling equipment to breach the last major obstacle. As of February 2026, the OB3 is flowing approximately 300 million scf per day. That is real gas, moving from the stranded Eastern fields to the industrial West.

I want to highlight something that warms an analyst’s heart: the project is being handled by a local contractor, Oilserv. That is a testament to deepening local content. But it also raises a legitimate question about oversight. Local contractors bring lower costs and faster mobilisation, but they also require rigorous quality assurance. So far, Oilserv appears to have delivered. I would like to see independent audits published – transparency breeds confidence. And if the thoughtfulness in aggregating gas supply and delivery is any indication, the omens are very encouraging.

The crown jewel, in my view, is the NNPC Gas Master Plan 2026, relaunched with additional partners under the Ojulari management. That is not another glossy brochure; it is a coherent framework connecting AKK, OB3, ELPS, and future projects into a single national grid. Think of it as the operating system for Nigeria’s gas economy.

Previous master plans failed because they were aspirational but not sequenced. This one prioritises: it focuses on power generation first (the largest demand centre), then industrial feedstock (fertiliser, methanol, petrochemicals), then compressed natural gas for transportation and liquefied petroleum gas for cooking. That is logical.

But here is my main reservation: the master plan relies heavily on continued international partnership and financing. The Trans-Saharan Gas Pipeline to Europe is a multi-billion-dollar project that requires alignment with Algeria and Niger, both of whom have their own priorities. And European gas demand, post-2022, is less predictable than it once was, although the recent Middle East crisis appears to herald a silver lining for Africa-leaning investments. Despite that, Nigeria should not bet the house on exports only. Domestic industrialisation is the safer, more transformative bet.

So where does that leave an analyst like yours truly? I am overwhelmingly supportive of the direction, but I am not naive about the distance still to travel.

The positives: AKK is crossing rivers. OB3 is flowing. The Master Plan is coherent. NLNG’s success proves the model. ELPS shows what is possible. Ojulari’s first year has delivered more on-the-ground progress than recent years. Gas flaring is declining. Local content is deepening.

The critiques: Costs need to be more transparent. Project timelines have historically been fiction. Security of pipelines is an ongoing vulnerability. And gas alone cannot fix Nigeria’s broken electricity distribution network – that requires state-level reforms and private sector participation that lie outside NNPC’s mandate.

Let me end where I began. I have watched Nigeria’s energy sector for a long time. I have seen grand plans evaporate. The current moment feels different. Not because the challenges have disappeared: they haven’t. But because the leadership is finally treating gas infrastructure as a war, not a workshop. Pipelines are being laid. Rivers are being crossed. Molecules are moving.

AKK is coming. And for about the first time in years, I believe it.

Ilori is an energy analyst

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