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What happened to transparency?

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AT the annual Nigerian jamboree to the Offshore Technology Conference (OTC) in Houston, Texas, Dr. IbeKachikwu, the minister of state for petroleum resources, told a “world press conference” on May 5, 2017 that Nigeria’s refineries would soon have new investors. He said 26 investors had indicated interest in the epileptic refineries. “By September, we will unveil the investors for the refineries,” the minister said smoothly, typically. “When we came onboard, the refineries were not working but as we speak, we have sizeable investment portfolio for them to an extent that we don’t know who to partner with for the investment.”

Let’s say I didn’t go to school at all. Or let’s say it was evening school that I attended. These would still be my takeaways from the minister’s proclamations: one, our refineries are now in a position to attract investment; two, 26 investors have indicated interest in taking over the refineries (on a repair, operate and maintain, ROM, agreement); three, we have not taken a decision yet because there are so many suitors to choose from; and four, we will announce the favoured investors by September. Without attending Harvard Business School, I would still conclude that it appeared the process was going to be competitive and transparent.

On May 11, 2017 (six days later, right?) Mr. Wale Tinubu, the CEO of Oando Plc, told the Nigerian Stock Exchange (NSE) that the group had received approval of the government to “repair, operate and maintain” the Port Harcourt Refinery together with “our partner” Agip, a subsidiary of ENI, the Italian company indicted in the Malabu/OPL 245 affair. Tinubu said: “We plan to increase the refinery capacity from 30 per cent to 100 per cent.” Great news, as far I am concerned. We need the refineries back as soon as possible; we have had enough of the endless TAMs gulping billions of naira and spewing out virtually no products for decades.

Now this is where I need your help. The last time I checked, with the help of Google, May and September are different months. There are June, July and August in-between. With the help of Google, I also discovered that the gap between when Kachikwu spoke in Houston and when Tinubu spoke in Lagos was a whopping six days — or, to make it simpler, less than one week. There are usually four weeks in a month, and from May 5, when Kachikwu spoke, to September, there are 17 weeks, according to the all-knowing Google. With Tinubu’s disclosure, should we assume that May is the new September? Or that September came early for Oando, Agip and Kachikwu?

“We cannot be sealing deals under the table without revealing the details to Nigerians and then claim we are building an open society”

But I think Google is overrated. There were so many questions it could not answer. For instance, I asked: “Is Oando among the 26 investors Kachikwu boasted about in Houston?” I could not make head or tail of the results. Google came up with “FOX 26 Houston KRIV”. Nonsense. But I got more gibberish for other questions: did Oando and ENI send in a bid? Was it an unsolicited bid? Was it selective tendering? If it was competitive bidding, how many bids were received for Port Harcourt? How much did Oando/ENI bid? How much did others bid? How much did the bidders promise to invest? How many years will the ROM run? Are there concessions for the new operators?

I can understand why Google got stuck — that almighty search machine likes transparency. If you do not make your information public, it cannot make it public for you. The best, or should I say the worst, Google would do is to suggest answers that it thinks are related to your questions, even when there is no connection whatsoever. If you google most of the major concessions and major contracts awarded by this government, you will get irrelevant answers on the process. For the same reason: transparency is very scarce in these major deals. We just wake up one day and hear that one company has been awarded a job. Not a word on the process.

Don’t get me wrong: I’m not saying Oando should not take over the Port Harcourt Refinery. I have devoted a significant part of my column-writing career to promoting the cause of Nigerian companies. I believe that one day, made-in-Nigeria will be enjoyed all over the world. I want Nigerian companies to fly our flag honourably. Even though I have been called names and subjected to sickening innuendos for promoting Dangote, Globacom, Oando and Innosons, among others, I am not about to repent. Americans are proud of their Apple, Microsoft and Chevron, and my dream is that our people and our companies will become global brands too.

That said, though, I am very worried about an emerging pattern in this administration. President Muhammadu Buhari campaigned on the strength of correcting the mistakes and misdeeds of the previous government, but I am seeing too much repetition for it to be coincidental. There is too much secrecy in the way many important things are done, and corruption, need we say, thrives on secrecy. Take away competition, take away transparency, take away accountability, and you have a perfect recipe for corruption. We cannot be sealing deals under the table without revealing the details to Nigerians and then claim we are building an open society.

We just woke up one day to learn that GE had secured the concession to take over the railways. How did it happen? What are the details of the deal? Is this the best possible deal Nigeria can get? We were just watching TV one evening and learnt that the federal government had finally signed a renegotiated concession agreement with the Global Steel Holding Limited (GSHL) for Ajaokuta Steel. Up till today, we don’t know the details. Ask questions and what you get as answer is: who paid you to ask? As a journalist, I’m used to the blackmail. I would have quit this job the day I joined if I had to pay attention to personal attacks.

By the way, I know a bit about the procurement options. I know of “sole sourcing”, where you go to one provider only because no other provider does it — like buying a Rolls Royce from the maker. “Selective tendering” allows you to approach a few providers who meet certain criteria. There is “repeat procurement”, where you return to earlier provider because of time constraints and because they did a previous job well. All these need strong justifications because you are restricting competition, which is a major element of procurement. And then there is “competitive bidding”, where you throw it open to all. In all, Nigerians deserve to know the process adopted.

Get me right. I am not saying anything illegal is being done in the case of the Port Harcourt Refinery. It just lacks transparency. That’s my point. And what about other moral issues? ENI again? As I write this, many Nigerians are being prosecuted or wanted by the EFCC for their involvement in the OPL 245 deal. They are being accused of taking part in an elaborate bribery scheme. But ENI, which is at the centre of it all and is being prosecuted by an Italian prosecutor for its role in the $1.3 billion affair, is cornering more deals in Nigeria without getting as much as a slap on the wrist. The impression being created is that our anti-graft war is very narrow.

I sympathise with the government over the limitations imposed by procurement rules, particularly the constraint of speed, but the process was designed for a purpose. More so, this government has been in power for nearly two years, which means a lot could still have been accomplished over the years in spite of the constraints. And, remember, there are many options that can shorten the process which the government has been using for a while now. The biggest headache, though, is that there is too much opaqueness for us to conclude that transparency is a guiding principle. The chaos over the concessioning of Port Harcourt Refinery is a very good example. Dissonance.

 

By Simon Kolawolelive.

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National Issues

Rep. Oseni Urges Urgent Action on Rising Building Collapses in Nigeria

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Engr. Aderemi Oseni, representing Ibarapa East/Ido Federal Constituency of Oyo State in the House of Representatives, has called for a prompt investigation into the increasing occurrences of building collapses in major cities across Nigeria.

In a motion presented to the House on Wednesday, Oseni expressed deep concern over the alarming frequency of building collapses, emphasising the threat they pose to the lives and property of Nigerians.

The APC lawmaker, through a statement by his media aide, Idowu Ayodele, cited the recent collapse of a two-storey school building at Saint Academy in Busa Buji, Jos, Plateau State, on July 12, 2024. The tragic incident, which trapped 154 people and claimed 22 lives, is the latest in a series of similar disasters, raising serious concerns nationwide.

Oseni also referenced a report from The Punch newspaper, which revealed that Nigeria had recorded 135 building collapse incidents between 2022 and July 2024.

“This figure is alarming and unacceptable,” he stated, stressing the urgency of preventing further occurrences.

The Chairman of the House Committee on Federal Roads Maintenance Agency (FERMA), Oseni reminded the House that the Council for the Regulation of Engineering in Nigeria (COREN) and other relevant professional bodies are responsible for ensuring compliance with building standards and practices.

“Despite these regulatory frameworks, the recurring collapses suggest that enforcement is lacking. The loss of lives, properties, and resources is staggering, and this disturbing trend must be addressed immediately,” he remarked.

He proposed the formation of an Adhoc Committee to investigate the underlying causes of these collapses and recommend both immediate and long-term solutions.

Also, he urged the House Committee on Legislative Compliance to ensure swift implementation of any recommendations.

The House agreed to deliberate on the motion and is expected to present its findings and proposed actions within eight weeks.

 

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Corruption Among Political, Religious Leaders Stalls Nation-Building – Olugbon

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The Vice-chairman of the Oyo Council of Obas and Chiefs, Oba Francis Olusola Alao, has expressed deep concern over the increasing involvement of religious leaders in material pursuits, accusing them of abandoning their spiritual duties in favour of wealth and influence.

Oba Alao, who is also the Olugbon of Orile Igbon, made this statement during a visit from the leadership of the Cherubim and Seraphim Church Movement “Ayo Ni O,” led by Baba Aladura Prophet Emmanuel Abiodun Alogbo, at his palace in Surulere Local Government on Thursday.

The monarch accused some religious leaders of sharing part of the blame for the moral and political crises that have engulfed the nation. According to him, spiritual leaders, once seen as the moral compass of society, have become compromised by corruption, aligning themselves with the very forces they should condemn.

Oba Alao was unapologetic in his criticism, stating, “Ninety-five percent of Nigerian leaders, both political and religious, are spiritually compromised.”

He argued that this moral decay among clerics has made it impossible for them to hold political leaders accountable or speak the truth to those in power, as their integrity has been eroded by their pursuit of material wealth.

“Carnality has taken over spirituality. Our religious leaders can no longer speak the truth to those in authority because their minds have been corrupted. Most of the so-called General Overseers (G.O.) are corrupt and perverted,” Oba Alao added.

He stressed that this shift towards wealth accumulation at the expense of spiritual values has greatly contributed to the country’s stagnation in development and social justice.

Olugbon urged both religious leaders and traditional rulers to reflect on their actions, reminding them that they would be held accountable for their stewardship, both in this world and the next.

“The prayers of sinners are an abomination before God, hence the need for our leaders to rethink,” he warned.

The monarch concluded by reiterating the transient nature of power and the importance of staying true to sacred duties, regardless of the temptation to indulge in worldly gains. “I am a traditional ruler. I don’t belong, and will never belong, to any occultic groups,” he emphasised, drawing a clear line between his position and the corrupt practices of some leaders.

In response to the Cherubim and Seraphim Church Movement’s request for collaboration on community development projects, Oba Alao assured them of his support.

“Your requests are aimed at the development of the Orile Igbon community. I am assuring you that necessary assistance will be provided in this regard.”

Earlier, Prophet Alogbo requested the monarch’s collaboration on a range of community development projects. These initiatives include the establishment of a women and youth empowerment center, clean drinking water initiatives, a bakery, animal production facilities, and farm produce processing.

Other proposals included a diagnostic and medical center, a full-size recreational sports facility, and a home care facility for the elderly.

 

 

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Nigeria’s Unemployment Rate Rises to 5.3% in Q1 2024 — NBS

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The National Bureau of Statistics (NBS) has revealed that Nigeria’s unemployment rate increased to 5.3 per cent in the first quarter of 2024. The latest figures were disclosed in a report released by the NBS on Tuesday, marking an uptick from the 5.0 per cent recorded in the third quarter (Q3) of 2023.

According to the NBS, the unemployment rate for males stood at 4.3 per cent, while females experienced a higher rate of 6.2 per cent during the same period. The report also highlighted disparities based on location, with urban areas recording a 6.0 per cent unemployment rate compared to 4.3 per cent in rural areas for Q1 2024.

“The unemployment rate for Q1 2024 was 5.3%, showing an increase from 5.0% recorded in Q3 2023,” the bureau stated in its report. The NBS defines the unemployment rate as the percentage of the labour force, including both employed and unemployed individuals, who are not working but are actively seeking employment.

Youth Unemployment Rate Declines

In a positive development, the report indicated a slight drop in youth unemployment, which fell to 8.4 per cent in Q1 2024, down from 8.6 per cent in Q3 2023. This figure represents the unemployment rate among Nigeria’s young people, a demographic that often faces unique employment challenges.

Educational Attainment and Unemployment

The report further provided insights into unemployment rates based on educational attainment. Individuals with postgraduate education recorded the lowest unemployment rate at 2.0 per cent, while those with post-secondary education faced a rate of 9.0 per cent. For people with secondary education, the rate stood at 6.9 per cent, and those with only primary education recorded a 4.0 per cent unemployment rate.

Employment-to-Population Ratio Falls to 73.2%

In addition to the unemployment data, the NBS also reported a decline in Nigeria’s employment-to-population ratio, a critical indicator of workforce participation. The ratio dropped to 73.2 per cent in Q1 2024, down from 75.6 per cent in Q3 2023. This ratio represents the percentage of the working-age population that is employed.

Breaking the data down by gender, the employment-to-population ratio for males was 74.2 per cent, while it was 72.3 per cent for females. By place of residence, urban areas had an employment-to-population ratio of 69.5 per cent, while rural areas recorded 78.9 per cent in Q1 2024, compared to 71.1 per cent and 80.7 per cent in Q3 2023, respectively.

 

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