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Nigerians Lambast Emefiele on Shift of Old Naira Notes Deadline

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Emefiele Proffers Solutions to FX challenges

There has been much controversy surrounding the redesigning of certain denominations of the naira, Nigeria’s national legal tender.

The Central Bank of Nigeria (CBN) had unveiled a policy for the redesign of the N200, N500 and N1000 currency notes in Q4, 2022 and set a January 31, 2023 deadline for the old currencies to be cut-off the legal tender list in Nigeria.

The policy had attracted the attention of various segments of the society, with attendant media blitz and theatricals, with notable political actors – serving and aspiring inclusive, taking turns to have their say.

While that raged, the CBN, through its governor, Godwin Emefiele, maintained that it’s actions were thoroughly thought out, and backed by the highest authority in the land, so the January 31 date would not be shifted.

The apex went ahead to engage the public through Short Message Services (SMS) and market-storms across the federation to warn the public sternly that it was dead serious.

Well-meaning Nigerians took sides with apex bank, because it canvassed that it was targeted at curbing ‘oppression’, instilling sanity and sanitizing cash within the Nigerian economy.

While elected state governors sought the attention of and met with the apex bank on this to no avail, the National Assembly weighed-in with resolutions, after summons to Emefiele went unheeded.

The Senate in resolution, passed in panic resolved that the deadline for the old notes to stop being legal tender be shifted to June 31, 2023. (The month of June has only 30 days!).

The Senate in a video that has gone viral on social media was seen debating the need for a shift of the January 31 date to the middle of the year on the grounds that rural Nigeria lacked necessary infrastructure to meet the set deadline.

Senate President Ahmed Lawan ruled in favour of the “ayes” at the end of the debate and voting to uphold the Upper Chamber’s position that the January 31 date be shifted.

The House of Representatives on its part, summoned Emefiele, who shunned the summon, for what many thought was a desire to keep to the set dates, with Speaker, House of Representatives, Femi Gbajamiala threating to issue a warrant of arrest against Emefiele.

In an interesting scenario, Emefiele, took refuge under President Muhammadu Buhari, running to the Presidential Villa on regular basis to seek validation or endorsement for the policy, as the drama was unfolding.

So well did Emefiele act his script that the public was taken-in that he was acting President Buhari’s script. This make-believe played out, even on Sunday, when the governor announced that President Buhari had approved, a 10-day extension and a 7-day grace period, which terminate on February 10, and February 17 respectively.

The first cut-off date, of February 10 applies to the commercial banks and other agents mandated by the CBN to facilitate the collection of the old notes in exchange for the new currency notes. However, the grace period is in compliance with legal provision for the apex bank to mop-up what would have been left after the others would have delivered on the policy as spelt out.

It appears that members of the public could not hide their disappointment at the apex bank for succumbing to cheap blackmail from the political class, despite the banks, having been perceived to have sold out by ‘trading-off’ the new notes, which occasioned its scarcity in the economy.

In a series of tweets and Facebook posts, Nigerian’s expressed dismay that the date had to be shifted after a lot had been invested into the making the policy work.

Kayode Ogunwale, would not buy into the shift in day, because to him, it would not solve any problem.

He wrote, “what we need is availability of new naira notes. Extension cannot solve the problem.”

In what points to connivance by commercial banks against the apex bank and the populace, by ‘trading off’ printed new currency notes to people of means and political actors, Media Personality, Uzo Maxim Nwatu, decried that the new notes were being re-routed.

He stated, “The new Naira of the CBN is missing road and entering ‘fiam’ into Big Men’s homes.”

On his part, Jide Ojo, decried the torture of the old notes being rejected by even reputable businesses well before the cut-off date, because they believed Emefiele and his CBN were a serious bunch.

Ojo lamented, “Walahi! It’s no longer funny! This morning I took my old Naira notes received from POS yesterday to make a purchase at a big supermarket in my area, only to be told that they no longer take the old Naira notes.”

With the postponement, said to be with President Buhari’s approval, people like Ojo can heave a sigh of relief, hoping that the 10-day extension would be enough for those in charge to discharge on the policy professionally.

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Adoption of AI Feature as NIPetGE Pays Courtesy Call at NNPC Ltd

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Enhanced adoption of artificial intelligence and other digital technologies to improve operations in Nigeria’s oil and gas industry is taking the centre stage in relevant circles.

The issue came up strongly when the President-elect of the Nigerian Institute of Petroleum and Gas Engineers NIPetGE, Prisca Kanebi, paid a courtesy call at the Nigerian National Petroleum Company Limited (NNPC Ltd), Abuja.

Biztellers reports that the Kanebi led delegation was received by the Group Chief Executive Officer of the NNPC Ltd, Bayo Ojulari, represented by the Executive Vice President, Gas, Power and New Energy, Olalekan Ogunleye.

According to a statement made available on Sunday, discussions at the meeting focused on the future of Nigeria’s hydrocarbon industry amid global energy transition concerns, technological changes and sustainability targets.

ALSO READ: NNPC Ltd, IOCs Raise Crude Supply to Local Refineries by 103% in 4 Months

The statement indicated that the NNPC Ltd acknowledged the role of NIPetGE in policy advocacy, technical development and innovation within the sector.

Speaking during the meeting, Kanebi highlighted recommendations from the institute’s recent conference, including the proposed establishment of a national centre for intelligent energy systems to support the deployment of artificial intelligence, the Internet of Things and robotics across the petroleum value chain.

She also commended the Federal Government’s decarbonisation efforts and reiterated the institute’s support for policies aimed at improving sustainability in the industry.

The institute also recommended the creation of a hydrocarbon-linked emissions trading system to allow Nigeria to take part in global carbon markets.

The institute also proposed fiscal incentives to support local manufacturing and service delivery in the oil and gas sector, as well as the expansion of the Energy Transition Plan to include measurable upstream decarbonisation targets backed by tax credits.

Other proposals included increased public-private partnerships in emission control infrastructure, carbon capture projects and hybrid renewable energy initiatives.

Both organisations also stressed the need for stronger collaboration between industry and academic institutions to improve professional capacity and align petroleum engineering practice in Nigeria with international standards.

The institute further disclosed that its bill seeking chartered status had passed second reading and was progressing towards a third hearing at the National Assembly.

It added that NNPC Ltd pledged support for future collaborations with the institute on initiatives aimed at improving efficiency and innovation in the energy sector.

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FHC Orders NUPRC to Comply with PIA

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Local Firms Lead Revival of Idle Oil Wells – SPE

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Nigeria’s indigenous oil and gas companies are reopening dormant wells and ramping up production from assets acquired from international oil companies (IOCs) to boost crude oil output.

The Society of Petroleum Engineers (SPE), Nigeria Council, made the assertion through its Chairman, Francis Nwaochie, on the sideline of the Offshore Technology Conference (OTC) which ended at the weekend in Houston, Texas.
Nwaochie said indigenous operators were already taking advantage of opportunities created by disruptions in the global energy market to increase production from existing assets.

According to him, local firms that recently acquired onshore and shallow water assets from IOCs were aggressively reviving inactive wells and maximizing available infrastructure to raise output levels.

“What we are seeing now is that indigenous companies are reopening wells from the assets they acquired from the IOCs. Some of them have almost doubled production from those existing assets,”.

He explained that the renewed focus on dormant wells and existing facilities had become critical at a time the global oil market was facing supply shortages triggered by geopolitical tensions in the Middle East.

The SPE Nigeria Council Chairman noted that Africa, particularly Nigeria, was well positioned to benefit from the supply gap because of the continent’s relative stability compared to some other oil-producing regions.

“There is a huge opportunity for Africa right now. The focus is gradually shifting to Africa because of the volatile environment in many other producing regions.”

He stated that indigenous operators were leveraging digital technologies, financing opportunities and local expertise to improve production efficiency and optimise existing fields.

He added that stronger implementation of local content policies was also helping to create a more stable operating environment for oil and gas investments.

“Local content is very critical. Once communities and local companies clearly understand their roles and benefits, then you create peace across the industry. Business only thrives in peaceful environments.”

ALSO READ: Nigerian Navy Recovers Large Cache of Illegal Refined Petroleum Products

Nwaochie also stressed the need for Nigeria to move beyond crude oil production and begin developing indigenous technologies for the energy industry.

According to him, SPE Nigeria Council was actively supporting innovation and technology development among young Nigerian engineers and researchers.

He disclosed that the association was engaging the National Universities Commission(NUC) on reforms to engineering curricula in universities to better prepare graduates for the future of the energy industry.

“One of our major focuses in SPE is technology development. We should not only import machines and equipment, we must begin to develop our own technologies locally.”

Nwaochie revealed that SPE was already supporting local innovators working on technologies such as remotely operated underwater vehicles (ROVs), noting that indigenous technology development will strengthen Nigeria’s economy and deepen local participation in the oil and gas sector.

“We may not get everything right immediately but we must start somewhere. That is how countries that dominate the global energy industry built their capacities.”

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