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Dangote refinery is a game challenger for Nigeria’s economy – Buhari
President Muhammadu Buhari says that the 650,000 barrels per day Dangote refinery is a game changer for Nigeria’s economy.
Buhari disclosed this at the inauguration of Dangote Petroleum Refinery in Ibeju-Lekki, Lagos on Monday.
He said that the refinery was expected to enable Nigeria to achieve self-sufficiency in refined products and even have surplus for export.
The President described the feat as a significant milestone for Nigeria’s economy and the downstream petroleum products market in the entire African region.
‘‘This mega industry we are commissioning today is a clear example of what can be achieved when entrepreneurs are encouraged and supported and when an enabling environment is created for investments and for businesses to thrive.
‘‘I am confident that my successor, His Excellency Asiwaju Bola Ahmed Tinubu, will sustain the improvement in our economic and business environment and strengthen the framework of our public private partnership policies to accelerate the pace of our economic growth and development.
‘‘I am happy to leave our economy in very competent hands,’’ he said.
Buhari commended Alhaji Aliko Dangote’s leadership in executing the 650,000 barrels per day refinery, urging other entrepreneurs to emulate his example in driving economic growth and realizing Nigeria’s economic potential.
He stressed the need for African countries to come together, integrate their economies, eliminate trade barriers, and rally their populations to achieve agenda 2063 for the continent’s prosperity.
‘‘I urge and encourage our other great entrepreneurs to emulate this iconic Nigerian industrialist and join the Government in accelerating our growth in order to realize our country’s globally recognized economic potential.
‘‘When I travel around Africa and meet and engage my brother Heads of State (and I am delighted some of their Excellences are here).
“I often sense a quiet expectation that our country is blessed with resources and human capacity to lead Africa’s rise to economic prosperity and the attainment of Agenda 2063 – ‘The Africa we all want.’
‘‘But to achieve the goals of Agenda 2063, Africa must come together – we must integrate our economies, eliminate barriers to trade and energize our youthful population to scale up our productive capacity.
‘‘We must create necessary conditions for our private sector to grow and partner with the public sector to accelerate economic growth across the continent.
‘‘We must not allow outside powers to use some of our leaders to destabilize our economic and political trajectory,’’ he said.
Buhari acknowledged the visionary investments made by the Dangote Group, under the leadership of Dangote, in transforming Nigeria’s economy through its involvement in critical industries such as cement and fertilizer.
He noted that investment in these sectors have played a crucial role in shifting Nigeria from heavy import dependence to becoming a net exporter.
Buhari acknowledged that Nigeria’s economy has faced significant challenges over the years, including deficits in economic infrastructure due to insurgency.
He said that the economy has also faced external crises such as the Global Financial Crisis, oil price collapses, the COVID-19 pandemic, and the Russia-Ukraine war.
‘‘The consequence of these challenges constitute a severe strain on our economy, limiting Government’s ability to provide basic infrastructure without resorting to huge borrowings.
‘‘Our Government, therefore, took the decision to focus attention on creating an enabling environment for the private sector to thrive and fill the enormous gap in investments not only in infrastructure but also in all critical sectors.
‘‘We recognise that without the active participation of the private sector and a strong commitment to public private partnership, our economy would continue to remain severely challenged and our economic growth impeded.
‘‘Government therefore, will and should continue to provide an enabling environment and encourage innovative public private partnerships in all sectors of our economy,’’ he said.
The President emphasised the administration’s commitment to this approach, citing Executive Order 007 of 2019 which facilitated the rehabilitation/construction of many roads by private sector investors using a Tax-credit scheme.
‘‘It is my hope that the succeeding administration will continue to apply such innovative schemes in partnership with the private sector to accelerate the provision of critical infrastructure in particular roads, power and gas pipelines,’’ he said.
Alhaji Aliko Dangote assured that the refinery would turn out its first product to the market before the end of July this year.
Dangote said: “Beyond the constant availability of high-quality fuels for our transportation sector, the refinery will also make available to our Industries vital raw materials for a wide range of manufacturers in the plastics, pharmaceutical, food and beverages, packaging, construction, and many other industries.
“While the refinery operation and ancillary businesness will generate massive job opportunities, the downstream value chain will equally provide far more absorptive capacity for labour in hundreds of thousands.
“Once our plant is fully onstream, we expect that at least 40 per cent of the capacity will be available for export and this will result in significant foreign exchange inflows into the country,” he said
He emphasised the refinery’s role in fulfilling the group’s corporate vision of promoting self-sufficiency and global competitiveness.
”We have built a Refinery with a capacity to process 650,000 barrels per day (plus 900,000 tonnes of polypropylene) in a single train – which is the largest in the world. We have selected the best plants and equipment and the latest technologies from across the world.
”Our products slate is designed to meet the highest quality standards and high-value products including Premium Motor Spirit (PMS) and Automotive Gas Oil (Diesel).
“Others are Aviation Turbine Kerosine (ATK); all of Euro V Standards that will enable us not only meet our country’s demand but also to become a key player in the African and global market.
”Our coastal location and offshore loading and offloading (SPM) facilities with a capacity to receive all our crude oil supplies and evacuate up to 75 per cent of our liquid products give us direct access to the rest of Africa and the global market for exports.
“In addition, 80 per cent of our production can be discharged through trucks nationwide.”
Dangote disclosed that the huge investment of over $18.5 billion in this industry was prompted by the company’s desire to support and contribute its quota to the Federal Government’s sustained effort to transform the economy and reposition Nigeria as the leading nation in Africa.
According to him, apart from ensuring a consistent supply of high-quality fuels for the transportation sector, the refinery will provide essential raw materials to a wide range of manufacturing sectors, including plastics, pharmaceuticals, food and beverages, packaging, construction, and more.
He further stated that the refinery’s operation and related businesses would generate a substantial number of job opportunities.
Dangote said the downstream supply and distribution of its products would significantly contribute to the absorption of labour, potentially benefiting hundreds of thousands of individuals.
”Once our plant is fully on stream, we expect that at least 40 per cent of the capacity will be available for export and this will result in significant foreign exchange inflows into the country.
“Overall, we are committed to operating our plant in line with international best practice requirements, recognising the importance of protecting the environment.
“And putting in place stringent environmental, health and safety policies to ensure that the Refinery operates in a safe and sustainable manner,” he said.
Also speaking, the Governor of the Central Bank of Nigeria(CBN), Mr Godwin Emefiele, disclosed that outstanding debt by Dangote refinery has dropped appreciably from over $9 billion to $3 billion.
This was even as he said the CBN also partnered, as always, with the Dangote Group in ensuring the successful completion of the project by providing about N125 billion, to cover domestic currency requirements for the venture.
Emefiele said that the Dangote Group has started repaying some of the commercial loans even before the inauguration of the facility, saying this reflects the commercial capability of the Group and its Chairman.
“I must at this juncture appreciate all the participating local Nigerian banks, who did not only partner with the project through effective financing but were keenly aware of the importance of the project for our nation.
“They provided immense support and exceptional understanding, even when interest payments and principal repayment had fallen due,” he said.
Emefiele assured that under the incoming administration of Sen. Bola Tinubu, Nigeria would cease importing petroleum products, fertiliser and petrochemical that drained over US$26 billion in 2022.
According to him, the self-sufficiency in refined petroleum, urea, and polypropylene, which Nigeria has attained with the Dangote refinery is a strong testament to how leadership, dedication, focus, commitment, and resilience have helped Nigeria on its drive towards import substitution and export orientation.”
He added that the take-off of the Dangote Refinery and Petrochemical factories came with numerous economic benefits to Nigeria.
” In the first instance, it will have enormous impact on job creation by generating thousands of direct jobs and millions of indirect jobs, with over 135,000 permanent jobs.
” I understand that, so far, there are nearly 4,000 Nigerian personnel on site, excluding employment by the various contractors and subcontractors at the project site.
” I am also proud to state that the project will generate up to 12,000MW of electricity.
” In addition, the refinery and the other ancillary projects will have significant multiplier effects on other sectors of the economy by supporting a diverse range of sectoral value-chains,” he added.
The dignitaries at the inauguration are Presidents Gnassingbé Eyadéma of Togo, Nana Akufo-Addo of Ghana, Macky Sall of Senegal, Mohamed Bazoum of Niger Republic, and Mahamat Déby of Chad.
…As LASG calls for calm, promises swift response
…Trash in floodwater: Lagos Govt identifies, takes action against culprits
…‘Area Boys’ arrested for extorting ‘N100’ pedestrians at make-shift Bridge
By Sodiq Adelakun
Torrential rainfall in Lagos on Wednesday has left a trail of devastation, with flooded streets, restricted movements, and crippled economic activities.
Residents, workers, and commuters in the state lamented the difficulties caused by the flood, which has wreaked havoc on the city’s infrastructure and daily life.
The flood has not only disrupted transportation and business operations but also raised concerns about the state’s preparedness to mitigate the effects of heavy rainfall.
Amid the relentless rainfall and ensuing floods, residents and workers have voiced their frustration over restricted mobility and increased transport costs.
The flooded roads are nearly impassable causing gridlock and discomfort for commuters.
Many Lagosians heading out for daily activities on Wednesday morning registered their lamentations on social media while advising others to stay at home.
It was gathered circulating on social media and verified that places like Iyana-Oworo, Oshodi, Lekki, Ikeja, Egbeda, and Gbagada were flooded on Wednesday morning.
Meanwhile, Ayodele Olatunbosu, a civil servant, expressed his frustration to NewsDirect, saying, “This rain is frustrating, I’m late for work and stuck on the road.
“The government needs to act now. It’s unacceptable that we’re stuck in this situation every year, and nothing seems to be done about it.”
Also, Alimi Akeem, a trader, lamented the spoilage of his goods, saying, “My goods are spoiling because I can’t reach the market. This flood is disastrous, The government should have fixed the drainage system long ago. It’s not like this is a new problem, but they keep neglecting it.”
Abolade Rasheed, a teacher, stated that the flooding has affected his productivity, saying, “The rain is affecting our productivity. We can’t get to school. The government needs urgent action. How can we expect our students to learn when we can’t even get to school?”
The flooding caused gridlock and disruption in transportation, businesses, and daily activities, with many calling on the government to address the issue of flooding in the state.
Meanwhile, the Lagos State Government has promised to address the issue by constructing larger drainage channels and improving the state’s drainage system. However, residents and workers are urging the government to take immediate action to alleviate the suffering caused by the flooding.
Residents and workers are calling on the government to act swiftly to address the issue and prevent further damage to properties and disruption of economic activities.
The current flooding has also led to a surge in transport fares, compounding the hardships faced by residents and workers.
Oluwaseun Olatunbosun shared, “Fares from my house to Ikeja rose from N1,000 to N1,400 due to the rain. It’s unbearable!”
Favour Blessing added, “Sometimes I miss work because I can’t afford the higher fares during rainy periods. It’s concerning given the economic situation.”
While urging patience, the Lagos State Government assured residents that floodwaters would subside soon.
Nevertheless, there’s a growing chorus demanding tangible actions rather than assurances from the government.
Shola Ayodele emphasised, “We need action, not just promises. The government must resolve this issue once and for all!”
As residents brace for further challenges posed by the ongoing rains, the call for effective flood management measures remains urgent in Lagos.
The Lagos State Government has also called for calm over the flash flood caused by the torrential rainfall experienced throughout the state.
The Commissioner for the Environment and Water Resources, Mr. Tokunbo Wahab, made the plea in a statement on Wednesday in Lagos.
“Lagos has experienced about nine hours of non-stop rainfall since the early hours of Wednesday. This is coupled with the heavy rainfall which the state has been experiencing daily since the previous week, resulting in the rise in level of the Lagos lagoon,” Wahab said.
He assured residents that the flash floods, which inundated areas such as Iyana-Oworo linking the Third Mainland and several other areas, would recede once the rains abate and the level of the lagoon reduces.
“We have deployed officials of the Emergency Flood Abatement Gang to major black spots, including Iyana-Oworo, which has been cleared of all blockages,” Wahab said.
He urged all those in low-lying areas to relocate to higher grounds to safeguard lives and properties.
“We urge residents to desist from wading through floods with their vehicles, as it takes only a feet of flowing water with high tide to sweep away a vehicle, irrespective of the number of occupants,” he warned.
Wahab also urged all residents to avail themselves of daily weather reports as issued by the State Ministry of the Environment and Water Resources, as it serves as a guide to daily itinerary.
“Lagos is a coastal city with almost one-third of its landmass under water, as such necessitating a genuine reason for every resident to be more responsive to the state of the environment,” he noted.
The government, on its part, has embarked upon a year-long maintenance and cleaning of all its secondary and primary collectors to be able to contain runoffs that may come from heavy rainfalls.
“We are committed to ensuring the safety of lives and properties, and we will do everything possible to mitigate the effects of the flood,” Wahab assured.
He also revealed the Lagos State Government has identified and taken action against two residents caught disposing of trash in floodwater in the Ijesha community, Itire-Ikate Local Council Development Area.
A photo shared on social media showed a man and woman rolling a trash drum in the flooded water on their street.
The resident who shared the photo, Adetutuadeoye3, alleged that the accused threw their waste into the floodwater. “These people just poured out their waste in the flood water. This is no 2 Akewukewe Street beside Ikate Local Government in Ijesha Surulere,” she wrote.
Wahab responded, “Thank you for bringing it to our attention. @muyiwag @lawma_gov, please take note.” The commissioner confirmed that the building had been identified and locked by the Environmental Health Service Department of Itire-Ikate LCDA.
This incident highlights the broader challenges facing Lagos residents, who have been struggling with flooding in various parts of the city.
Videos and pictures posted online showed the extent of the flooding, which began around 3 a.m. and left many residents stranded in their homes and streets impassable.
Recall that similar flooding incidents have occurred in Lagos in the past, causing damage to properties and disrupting economic activities.
The government has promised to address the issue by constructing larger drainage channels and improving the state’s drainage system. However, residents and workers are urging the government to take immediate action to alleviate the suffering caused by the flooding.
As Wahab noted, “Lagos is a coastal city with almost one-third of its landmass under water, as such necessitating a genuine reason for every resident to be more responsive to the state of the environment.”
He also said the Lagos State Government has taken swift action against miscreants who were extorting pedestrians at a make-shift crossover bridge in the Trade Fair area of the state.
The miscreants, popularly known as “area boys,” were arrested by the Lagos State Environmental Sanitation Corps (LAGESC) after a citizen reported the extortion on Wednesday.
According to him, the arrests were made possible thanks to a complaint filed by a concerned citizen, #ARISE0214, on (link unavailable) Wahab confirmed the arrests on his X (formerly Twitter) account, stating that the miscreants would be prosecuted according to the law.
The extortion incident occurred following heavy rainfall in the area, which led to the creation of a makeshift crossover bridge. The area boys had taken advantage of the situation to charge pedestrians N100 to use the bridge.
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Ban on importation best way to prevent dumping of substandard petroleum products — Senate Committee
…Begins probe, sets up 15-member investigative committee
The Senate Committee investigating the importation of hazardous petroleum products and dumping of substandard diesel into Nigeria has stated that a ban on importation is the best way to prevent dumping of substandard petroleum products.
Senator Asuquo Ekpeyong, APC, Cross River South a member of the committee made this known at the plenary.
Asuquo sponsored the resolution titled “Urgent Need to investigate the continued importation of Hazardous Petroleum Products and dumping of substandard Diesel into Nigeria.”
Senator Asuquo Ekpenyong noted that on 16th June, 2024, 12 diesel cargoes, conveying a total of 660kt of diesel, were exported by refineries to offshore Lome, Togo for further distribution to West African markets, mainly Nigeria. He lamented that the quality of the said diesel is below the Nigerian standard in terms of flash and Sulphur levels.
Ekpenyong said, “However, in spite of the substandard nature of the diesel, it still finds its way into the Nigerian markets, as & track on Mt ‘Kallos’ which arrived Lome on the 16th of June, which immediately did ship-to-ship (STS) transfer to DV MT (Matric Triumph and then proceeded to discharge into Matric jetty in Warri on 21st June, 2024. Thereafter, another STS was made to DV MT ‘Matric Pride,’ which then proceeded to discharge into Obat Oil terminal on 22nd June, 2024.
“The diesel is priced below fair market value, which constitutes dumping on the World Trade Organisation (WTO) rules, which stipulates that countries are permitted to take measures to protect their local industries in the event of dumping. The WTO also recognises the impact of dumping on domestic industries, and therefore stipulates tariff regimes such as anti-dumping duties and import rection measures to ensure that domestic producers are not unfairly disadvantaged.”
The Senator emphasised that, despite the fact that the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) recently revised the importation standards for diesel into Nigeria in accordance with the Petroleum Industry Act, 2021, it is evident that they lack the authority to enforce adherence to the regulations.
He claims that in spite of enough local production capacity, NMDPRA has persisted in granting import licences for diesel and jet.
According to him, to the extent that our local refineries are able to meet Nigerian demand, a complete prohibition on the importation of diesel is the best way to safeguard Nigerians and the refineries from dumping.
Ekpenyong further said that “The said ban on importation of diesel will be beneficial to the Nigerian petroleum Industry and indeed the entire nation, and as such, the NMDPRA should cease to import licences in order to address all concerns.
“However, if the situation is allowed to continue, local production will have no option than to stop the commissioning of gasoline units and shutdown refineries until the regulatory environment improves.”
Speaking on the health effects, he emphasised that importing substandard diesel has an impact on both people and machinery because the toxic emissions cause respiratory ailments and other health problems in addition to shortening engine life, which forces drivers to deal with more frequent car and generator breakdowns and associated higher maintenance costs.
He also raised concerns about the lack of proper protection and regulation against dumping, or exporting goods below fair market value, which would hinder the expansion and sustainability of domestic refineries and result in job losses and a downturn in the economy.
Commenting on the issue, the President of the Senate, Senator Godswill Akpabio said that in order to ensure transparency, the issues raised within the PIA should be reviewed.
The Senate therefore set up a 15- Member Ad- hoc Committee to carry out a holistic investigation into the pre-shipment and pre-discharge standard test parameters, adopted by the Nigerian Midstream and Downstream Regulatory Authority, with a view to uncovering loopholes, if any, exploited to get toxic cargoes into the country.
The Senate President charged the committee with the responsibility of determining the level of compliance of the Nigerian National Petroleum Company Limited, NNPCL’s Direct Sale and Direct Purchase (DSDP) arrangements in line with the provisions of the Petroleum Industry Act, including the extent of transparency and accountability in the scheme.
According to the Senate, the Ad-hoc Committee will beam legislative searchlight on the activities of the Petroleum Equalisation Fund, including payments made to transporters in the last 10 years, just as it will enquire from the NNPCL the state/status of the 22 Depots built by the NNPC to eliminate road distribution of petroleum products.
The Committee in carrying out its functions, would engage with stakeholders within the oil and gas industry with a view to identifying possible gaps in regulating and strengthening the surveillance and monitoring structures in place to enable Nigeria detect violations of best practice standards in the importation of products before they enter into domestic supply chains.
The Committee will also engage with the NNPCL with a view to understanding the extent of its determination and timelines for the start-up of Government funded oil refineries as well as investigate how institutions across the importation and distribution chain failed to conduct quality sampling, shipped in products without auditing, port validations by the Nigerian Customs Service; Department of Petroleum Resources (DPR); National Maritime Authority (NMA); and Standard Organisation of Nigeria (SON).
The Committee which has the Senate leader, Senator Opeyemi Bamidele, APC, Ekiti Central as Chairman, has Senators Asuquo Ekpenyong, APC, Cross River South; Abdullahi Yahaya, PDP, Kebbi North; Mohammed Tahir Monguno, APC, Borno North; Ipanibo Banigo, PDP, Rivers West; Khabeeb Mustapha, APC, Jigawa South West; Olamilekan Adeola, APC, Ogun West; and Diket Plang, APC, Plateau Central as members.
Others are Senators Adams Oshiomhole, APC, Edo North; Osita Izunaso, APC, Imo West; Tokunbo Abiru, APC, Lagos East; Sahabi Ya’u, PDP, Zamfara North; Abdul Ningi, PDP, Bauchi Central; Ipinsagba Emmanuel, APC, Ondo North and Ekong Williams, APC, Cross River Central as members.
The committee is expected to report back within 3 weeks.
The Economic and Financial Crimes Commission (EFCC) has alleged efforts by corrupt elements to recruit students to take up arms in a planned protest against the Commission.
Head, Media & Publicity, EFCC, Dele Oyewale, made this known in a statement on Wednesday.
According to the Commission, in the last couple of days, the group has been actively campaigning in the social media, recruiting impressionable young Nigerians, including students to take up “arms” against the EFCC.
“This insidious campaign is being promoted as resistance to the operational activities of the Commission especially in respect of the enforcement of the laws dealing with cybercrimes.
“The Commission, while not averse to protests by citizens, is alarmed by emerging evidence that suggest a grand design by corrupt elements under investigation or prosecution by the Commission to exploit the so-called protest to orchestrate a national uprising that may threaten the peace and security of our dear nation,” It stated.
The Commission further noted that it will not tolerate any breakdown of law and order anywhere in the country especially around its office locations across Nigeria.
“EFCC, working in concert with sister security agencies, is therefore taking necessary measures to deal with possible threats to the peace and security of Nigeria.
“The Commission, however, appeals to parents, guardians and heads of tertiary institutions to take responsibility in ensuring that their wards are not recruited to be used as cannon fodder in a proxy war against the Commission by vested corrupt interests.
“The war being waged by the Commission against corruption and cybercrime is to protect the future of the youth of this country. That future is imperilled if Nigeria degenerates further in global reckoning as a den of fraudsters,” the EFCC noted.
9mobile appoints Obafemi Banigbe as CEO
Nigeria’s economy can experience turnaround in few months — Dangote
