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Lawan proffers solutions to budget deficit as Buhari presents 2023 Appropriation Bill 

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Buhari assents to N17.127Trillion budget in company of Lawan,

By John Danjuma

The President of the Senate, Ahmad Lawan, has given tips on how to reverse the increasing trend of deficits in the nation’s budget.

Lawan gave the tips on Friday in his welcome address at the 2023 budget presentation by President Muhammadu Buhari.

Buhari assents to N17.127Trillion budget in company of Lawan,

The Senate President told Buhari shortly before he presented the 2023 budget proposals to a joint session of the National Assembly that “our economy is still challenged by dearth of revenues.

“The main source of revenue to the Nigerian Government is Oil and Gas. We always consider the diversification of the economy as crucial and its indeed crucial.

“The idea of deploying our revenues from the Oil and Gas to support the diversification into real sectors like Agriculture, Manufacturing, Mining, etc is now under serious threat.

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“The large scale and massive stealing of our Oil, is concerning, as this reduces drastically the revenues available to the Government.

“With conflicting figures, projections have put our losses from this malaise at between 700,000 to 900,000 barrels of crude Oil per day, leading to about 29 to 35 per cent loss in Oil revenue in the first quarter of 2022.

“This represents an estimated total fall from N1.1 trillion recorded in the last quarter of 2021 to N790 billion in the first quarter of this year.

“The situation has worsened. Recently, the loss of our Oil has reached 1 million barrels per day. Translated into monetary terms, our loss is monumental. The figures show we are not able to meet the OPEC daily quota of 1.8million barrels per day.

“Mr. President, I consider the Oil thieves the worst enemies of our country. The thieves have declared war on our Country and our people.

“I strongly feel that if we do not take the necessary measures to stop the thieves immediately, our economy will be devastated, as efforts to provide infrastructure and diversification of the economy would both be thwarted. It is time to take drastic and desperate measures against the thieves.

“Mr. President, the situation becomes more unfortunate if we factor in the Budget deficit estimated at N7 trillion and the grim prospect of its increase to about N11.30 trillion as presented in the 2023 – 2025 Medium Term Expenditure Framework / Fiscal Strategy Paper (MTEF/FSP).

“Your Excellency, we can reduce the deficit by stopping the theft. We can also consider other options to source more revenues for government.

“I believe that it is imperative to review the waivers and concessions government has granted to the tune of Six Trillion Naira. In a difficult time like this, some of the waivers may no longer be justified.

“In the same vein, we should consider taking off some of the major revenue generating agencies from direct funding by placing them on cost of collection of revenues, as we did for Federal Inland Revenue Service (FIRS), Nigeria Customs Service.

“In this regard, agencies like Nigeria Ports Authority, (NPA), Nigeria Communications Commission, (NCC), Nigeria Maritime Administration and Safety Agency, (NIMASA), etc can be given encouraging cost of collections of revenues.

“The National Assembly Committees on Finance and the Federal Ministry of Finance, Budget and National Planning should jointly look into this matter immediately.

“The condition would require courageous fiscal policy to redress, by reducing the deficit, not just to avoid further increases in our debts, but to ensure macro-economic stability, grow confidence in the system and guarantee sustainable economic growth.

“The National Assembly will support policy frameworks geared towards prudence, transparency and accountability through rigorous appropriation.”

Lawan also called for the completion of the ongoing legacy projects of the Buhari government.

“Mr. President, I strongly believe that the 2023 Budget should target at completion of ongoing projects, especially our legacy projects.

“This is not only because of the importance of infrastructure to the stimulation of economic activities but also to entrench the efforts as a legacy of this administration.

“Our focus on this sector has been exemplary and the benefit to our growth and development cannot be overstated.

“Mr. President, we note the government drive to address the impact of climate change and reverse its effect. Though complicated and dynamic, we should not rest on our oars in dealing with issues like, floods, drying wetlands, desertification, and coastline erosion.

“The menace of flooding in many parts of our country has been particularly worrisome. It has devastated homes, and disrupted families, lives and livelihoods. We will need to take proactive measures to tackle this and especially manage our Dams and other water bodies to curtail the menace of flooding, now becoming a national disaster.

“Our focus and targets should be on how to prevent these annual floods from occurring in the scale that we experience annually. This year, the floods have not only devastated families, but also destroyed our infrastructure, roads particularly.

“Mr. President, as you may be aware, work on the renovation of the National Assembly has begun in earnest. This is why we are in this temporary facility. Government should ensure timely completion of the renovation of the National Assembly Complex, because of the significance of this arm of government to good governance and the sustenance of our democracy.

“Aside from the National Assembly chambers, there are also the National Assembly Service Commission Complex, the National Assembly Library and the National Institute for Legislative and Democratic Studies (NILDS) complex. These projects are integral to the smooth functioning of legislative work, which is why we will need to pay attention to the completion of the projects.

“Mr. President, from the assessment of the prevailing situation our security agencies are recording more successes and the situation is improving.

“In pushing for concerted efforts toward ridding our nation of criminals, the National Assembly will continue to support the Executive arm of government in finding permanent solutions to insecurity in our country. I also commend our defense and security forces for working harder. There is still some work to do.

“Mr. President, be rest assured that Distinguished Senators and Honourable members of the ninth National Assembly will once more begin work on the 2023 Budget immediately.

“As usual, we shall be guided by an utmost sense of duty, responsibility, equity, fairness, justice and patriotism, in the interest of posterity.”

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Police Link Politicians to 30 Killings Ahead of Osun Gov Election

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The Nigeria Police Force (NPF) has disclosed that some politicians may be connected to the 30 alleged politically motivated killings recorded in Osun State ahead of the August 15 governorship election.

The Force Public Relations Officer (FPRO), CSP Anietie Iniedu, made the disclosure on Tuesday during an appearance on Channels Television’s Morning Brief, saying investigations into the killings are ongoing.

According to him, several suspects have already been arrested, while some have been paraded by the police and charged to court.

Iniedu said the police could not rule out the involvement of politicians based on complaints received during the investigation.

“From the complaints received, we cannot rule out the involvement of some politicians in the killings,” he said.

However, he declined to disclose the identities of the suspects or provide further details, explaining that doing so would amount to sub judice and could prejudice ongoing court proceedings.

He assured Nigerians that more information would be made available after investigations are concluded and the cases before the courts are determined.

Responding to allegations that the police were complicit in the political crisis in the state, Iniedu insisted that the force would not shield anyone found culpable.

“The police will never be part of any cover-up and will not shield any person involved in any crime,” he stated.

He added that while election periods often come with accusations and counter-accusations against security agencies, the Inspector-General of Police (IGP), Olatunji Disu, has directed officers to ensure every suspected criminal is tracked, arrested and prosecuted.

The police spokesperson recalled that the IGP recently visited Osogbo, the Osun State capital, where he met with Governor Ademola Adeleke and other political stakeholders to address rising political tension ahead of the governorship election.

According to him, the IGP warned all political actors against sponsoring violence and stressed that the police would not tolerate any breakdown of law and order.

He also urged parents to caution their children and wards against being used as political thugs.

On allegations of partisanship against the Osun State Commissioner of Police, Ibrahim Gotan, Iniedu said the IGP had already addressed the matter with the commissioner and warned against actions capable of undermining public confidence.

He further disclosed that the police have deployed specialised tactical units, drones and helicopters across Osun State to strengthen security and improve intelligence gathering ahead of the election.

Iniedu also revealed that the Nigeria Police Force currently has more than 400,000 active personnel nationwide.

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FG Pressures Dangote, Marketers to Cut Depot Prices

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Consumers seem to be getting their wish as Nigeria’s downstream petroleum market witnessed another round of price reductions on Monday, as the Federal Government’s pressure on the relevant stakeholder-segment bore fruits.

Biztellers reports that the Dangote Petroleum Refinery & Petrochemical (DPRP) and several major fuel marketers lowered depot prices for Premium Motor Spirit (PMS), popularly known as petrol, and diesel.

Analysts also trace the development to resolution of the MiddleEast crisis, growing competition and improving product availability.

Prior to the price adjustments, the Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, declared before a stakeholders’ meeting that the current retail price of petrol does not reflect the sharp decline in price of crude oil.

The meeting, convened by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), was attended by representatives of the DPRP, Major Energy Marketers Association of Nigeria (MEMAN), the Independent Petroleum Marketers Association of Nigeria (IPMAN), Depots and Petroleum Products Marketers Association of Nigeria (DAPPMAN), Nigerian Association of Road Transport Owners (NARTO), and Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN).

ALSO READ: Old Stock doesn’t Justify High Fuel Prices – FG

The latest mid-day depot price report showed that the DPRP reduced its ex-depot petrol price in Lagos by N3 per litre, from N1,079 to N1,076 per litre, while maintaining its diesel price at N1,500 per litre.

The reduction comes as several marketers also adjusted their prices downward in an apparent bid to remain competitive in an increasingly price-sensitive market.

Among the major Lagos depots, NIPCO cut its petrol price by N2 to N1,076 per litre, while Pinnacle lowered its price by N3 to N1,075 per litre. Sahara, AIPEC, and African Terminal each reduced prices by N4, bringing their petrol prices to N1,075 per litre.

On its part, Aiteo maintained its petrol price at N1,075 per litre.

Diesel prices also softened across several depots. Rain Oil reduced its AGO price by N15 to N1,430 per litre, while Ibeto, Duport, and Ibachem all cut prices to N1,430 per litre. Dangote Refinery, however, retained its diesel price at N1,500 per litre.

Speaking after a stakeholders’ meeting on Cost-Reflective Pricing of PMS, Lokpobiri noted that while the government did not interfere when petrol prices rose in response to higher crude oil prices, there was now no justification for maintaining current pump prices with Brent crude trading below $70 per barrel.

“NMDPRA never faulted anybody as far as the price was concerned because we are operating a fully deregulated economy.

“But deregulation doesn’t mean excessive profiteering. The Petroleum Industry Act also places responsibility on NMDPRA to ensure that steps are taken to prevent unnecessary profiteering.

“When Brent crude was about $118 per barrel, prices adjusted rapidly. Now that crude prices have dropped significantly, why has the pump price not come down in the same way?” he asked.

The Minister said discussions with marketers were constructive and would continue until a framework was agreed to ensure petrol prices better reflected developments in the global crude oil market.

“We had very fruitful and frank discussions with the marketers and leaders of the downstream sector with a view to driving down the price of PMS. The engagements are still ongoing.

“We told them the concerns of Nigerian consumers, and they have agreed to go back and think of what concrete steps can be taken. Discussions are ongoing, and we believe we are getting somewhere,” he said.

In the same vein, Chief Executive of NMDPRA, Rabiu Umar, said the current disconnect between falling international crude prices and sustained domestic retail PMS prices made the engagement with marketers necessary.

He noted that previous consultations with stakeholders had helped ease prices in the domestic Liquefied Petroleum Gas (LPG) market and expressed confidence that similar dialogue would deliver positive results for petrol consumers.

“Deregulation is not a licence for market distortion or unfair consumer pricing. Sustainable profitability for marketers and consumer welfare are not mutually exclusive,” Umar said.

Meanwhile, IPMAN said petrol prices could decline below N800 per litre as independent marketers begin purchasing products directly from the DPRP.

IPMAN National President, Abubakar Garima, said the association had already reduced petrol prices by about N125 per litre across the country and would continue to lower prices whenever product acquisition costs decline.

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Fashola Gives Self Credit for Luring DPRP to Lagos with Land Allocation

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A former Governor of Lagos State, Babatunde Fashola (SAN), has claimed that the state government deliberately discounted the price of land allocated to the Dangote Group to ensure that the multi-billion-dollar refinery project was sited in Lagos.

According to Fashola, the decision made by his administration proved to be a strategic investment that ultimately paved the way for what has become the 650,000-barrel-per-day Dangote Petroleum Refinery and Petrochemicals (DPRP) in the Lekki Free Zone.

He made the assertions at the Chartered Institute of Directors (CIoD) Nigeria Women Directors’ Biennial Conference in Lagos, where he delivered a keynote address titled “From Presence to Power: Advancing Women’s Influence in the Boardroom.”

The former governor was quoted by Nairametrics as saying that the breakthrough came after then Commissioner for Commerce and Industry, Olusola Oworu, urged the state government to look beyond immediate revenue from land sales.

According to him, negotiations with the Dangote Group had reached a stalemate after the company considered the state’s asking price for the land too high.

ALSO READ: Old Stock doesn’t Justify High Fuel Prices – FG

Fashola explained that Lagos operated a fixed pricing regime for land allocations, making it difficult to depart from established rates. However, Oworu argued that attracting a transformational investment was more valuable than insisting on the land’s full price.

Recalling the deliberations at the State Executive Council (SEC), Fashola quoted the former commissioner as saying that with thousands of hectares in the Lekki Free Zone still awaiting development, it was economically wiser to offer a concession to an investor willing to commit about $19 billion to build a refinery.

According to him, she argued that once such a landmark investment took off, it would attract other investors and significantly enhance the value of the remaining land.

“That was a thinking decision. The whole council then looked at me, and I surrendered,” Fashola said, noting that the intervention altered the course of the discussions and ensured that Lagos retained the project.

He said the experience demonstrated that effective leadership should be judged by competence and strategic thinking rather than gender.

“Ineffectiveness is not a gender thing; it is a human thing,” he added.

Fashola cited the episode as an illustration of the value women bring to leadership when allowed to influence critical decisions, stressing that organisations should place greater emphasis on competence, preparation and impact.

Earlier, speakers at the conference urged public and private institutions to move beyond increasing the numerical representation of women on corporate boards and instead create opportunities for them to shape strategic decisions.

First Vice-President of CIoD Nigeria, Amina Oyagbola, observed that although more women served on boards and occupied leadership positions, they remained underrepresented in board chairmanships and executive offices where major corporate decisions are taken.

She called for stronger mentorship and sponsorship programmes to better prepare more women for top leadership roles.

In his remarks, President and Chairman of the Governing Council of CIoD Nigeria, Adetunji Oyebanji, said board appointments should be based on competence, integrity and professional capability rather than traditional pathways that have historically limited women’s access to senior leadership positions.

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