Mon 27 May 2013 The Guardian Nigeria

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The Guardian www.ngrguardiannews.com Conscience, Nurtured by Truth Monday , May 27, 2013 N150 Vol. 29, No. 12,569 Outrage as crisis of govs’ forum deepens From Saxone Akhaine (Kaduna), Muyiwa Adeyemi (Ado- Ekiti), Leo Sobechi (Abakaliki), Alemma-Ozioruva Aliu (Benin City) and Isa Abdulsalami Ahovi (Jos) N IGERIANS who are shocked at the unre- solved crisis in the Nigerian Governors’ Forum (NGF) over the election of a new chair- man yesterday warned that the dispute could threaten the 2015 general elections. This warning came as Gover- nor of Plateau State, Jonah David Jang, sought the sup- port of Rivers State Governor Rotimi Chibuike Amaechi for his leadership of the NGF. Both Jang and Amaechi are claiming to have won the election for a new chairman of the NGF at the weekend. Jang yesterday attributed his ‘emergence’ as the NGF chair to “divine grace”. In an interview with reporters in Jos at the Yakubu Gowon Air- port, he only responded to three questions. ACN, others decry controversy over group’s election • ‘Probe anti-Amaechi governors’ signatures’ • Jang seeks Rivers helmsman’s support A S part of efforts to check insecurity, the Presiden- tial Committee on Dialogue and Peaceful Resolution of Security Challenges in north- ern Nigeria yesterday visited Boko Haram suspects and some survivors of bomb ex- plosions in Kaduna. The Chairman of the com- mittee who is also the Minis- ter of Special Duties and Inter-Governmental Affairs, Alhaji Tanimu Turaki (SAN), at the weekend led other members of the panel to Armed Forces and Staff Col- lege (AFSC), Jaji, St. Andrew’s Protestant Church, located at Jaji Military Cantonment and St. Rita’s Catholic Church, Ungwan Yero, Kaduna. The committee later met with Boko Haram suspects where they had a closed-door Presidential panel visits Boko Haram suspects, blasts’ survivors CONTINUED ON PAGE 2 CONTINUED ON PAGE 2 Chief of Defence Staff, Rear Admiral Ola Sa’ad Ibrahim (left); Chief of Staff to the President, Mike Oghiadomhe; National Security Adviser to the President, Col. Sambo Dasuki; Deputy Governor of Nasarawa State, Luka Damachi; Director-General, State Security Service (SSS), Ita Ekpeyong and Senate Leader, Victor Ndoma-Egba, during the candle light procession in honour of the 10 SSS personnel that died during the attack on Alakya Vil- lage in Nasarawa State in Abuja … at the weekend. PHOTO: LADIDI LUCY ELUKPO From Saxone Akhaine, Northern Bureau Chief U.S. finally removes Nigeria from Obama’s itinerary - Page 4 The governor, whose char- tered jet marked 5N-BMR landed at the airport at 9.15 a.m., was prevented by the Di- rector of Press Affairs to the Governor, Mr. James Man- nok, from answering more questions. In response to a question whether he really bargained for what he got, he said: “I did not bargain for what I have got. But that is God’s will.”

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The Guardian Nigeria

Transcript of Mon 27 May 2013 The Guardian Nigeria

TheGuardianwww.ngrguardiannews.com

Conscience, Nurtured by TruthMonday, May 27, 2013 N150Vol. 29, No. 12,569

Outrage as crisis ofgovs’ forum deepensFrom Saxone Akhaine (Kaduna), Muyiwa Adeyemi (Ado- Ekiti), LeoSobechi (Abakaliki), Alemma-Ozioruva Aliu (Benin City) andIsa Abdulsalami Ahovi (Jos)

NIGERIANS who areshocked at the unre-

solved crisis in the NigerianGovernors’ Forum (NGF) overthe election of a new chair-man yesterday warned thatthe dispute could threatenthe 2015 general elections.This warning came as Gover-nor of Plateau State, Jonah

David Jang, sought the sup-port of Rivers State GovernorRotimi Chibuike Amaechifor his leadership of the NGF.Both Jang and Amaechi areclaiming to have won the

election for a new chairmanof the NGF at the weekend. Jang yesterday attributed

his ‘emergence’ as the NGFchair to “divine grace”. In aninterview with reporters in

Jos at the Yakubu Gowon Air-port, he only responded tothree questions.

• ACN, others decry controversy over group’s election• ‘Probe anti-Amaechi governors’ signatures’• Jang seeks Rivers helmsman’s support

AS part of efforts to checkinsecurity, the Presiden-

tial Committee on Dialogueand Peaceful Resolution ofSecurity Challenges in north-ern Nigeria yesterday visitedBoko Haram suspects andsome survivors of bomb ex-plosions in Kaduna.The Chairman of the com-

mittee who is also the Minis-ter of Special Duties andInter-Governmental Affairs,Alhaji Tanimu Turaki (SAN),at the weekend led othermembers of the panel toArmed Forces and Staff Col-lege (AFSC), Jaji, St. Andrew’sProtestant Church, located atJaji Military Cantonment andSt. Rita’s Catholic Church,Ungwan Yero, Kaduna.

The committee later metwith Boko Haram suspectswhere they had a closed-door

Presidential panel visits Boko Haramsuspects, blasts’survivors

CONTINUED ON PAGE 2

CONTINUED ON PAGE 2Chief of Defence Staff, Rear Admiral Ola Sa’ad Ibrahim (left); Chief of Staff to the President, Mike Oghiadomhe; National Security Adviser to the President, Col. Sambo Dasuki; Deputy Governor of Nasarawa State, LukaDamachi; Director-General, State Security Service (SSS), Ita Ekpeyong and Senate Leader, Victor Ndoma-Egba, during the candle light procession in honour of the 10 SSS personnel that died during the attack on Alakya Vil-lage in Nasarawa State in Abuja … at the weekend. PHOTO: LADIDI LUCY ELUKPO

From Saxone Akhaine, Northern Bureau Chief

U.S. finally removes Nigeria from Obama’s itinerary - Page 4

The governor, whose char-tered jet marked 5N-BMRlanded at the airport at 9.15a.m., was prevented by the Di-rector of Press Affairs to theGovernor, Mr. James Man-nok, from answering morequestions. In response to a question

whether he really bargainedfor what he got, he said: “I didnot bargain for what I havegot. But that is God’s will.”

2 NEWS THE GUARDIAN, Monday, May 27, 2013

Presidential panel visits Boko Haramsuspects, othersCONTINUED FROM PAGE 1meeting with them. But jour-nalists were barred from themeeting.While at the AFSC Jaji, a milddrama ensued when an offi-cer told the committeemembers that the Comman-dant, Air Vice Marshal Ef-fiong Osim, was not going tosee them because he was at-tending to a permanent sec-retary from the Ministry ofDefence.Although the visit was un-

scheduled, the chairman ofthe committee became furi-ous at the information andordered that the comman-dant must see them as theywere on a presidential as-signment.Turaki said: “This is rubbish,how can he not see us be-cause he is attending to a per-manent secretary? I am aminister of the Federal Re-public of Nigeria and we areon a presidential assign-ment. I have left my officeand have not attended theFederal Executive Councilmeetings for five weeks nowbecause of this assignment.”The commandant later apol-ogised for the earlier infor-mation from one of hisofficers, and immediatelywent into a closed-doormeeting with the committeebefore visiting the sight ofthe bombed church, which isunder construction.At the bomb site, the chair-man assured the victims thatthe President was particular-ly worried about the generalinsecurity across the coun-try, and that he was commit-ted to providing succour tothe victims and families ofdead persons in the bomb-ings, just as he requested thecommandant to quantify allthe damage in the church inmonetary terms and for-ward it to the committee.“We are here to ascertain the

volume of damage in termsof monetary value and rec-ommend appropriate sup-port programme to Mr.President,” he said.At St. Rita’s Catholic Church,Ungwa Yero in the Kadunametropolis, prayers were of-fered at the graves of the fourvictims on the church prem-ises. They died following theblast that rocked the churchin October last year.The committee chairman

said that the affected personswould be adequately com-pensated by the government.

CONTINUED ON PAGE 4

President Goodluck Jonathan (third left) and other members of Heads of State and Government of African Union (AU), during the 21st ordinary session of the Assembly ofHeads of State and Government of AU in Addis Ababa, Ethiopia… yesterday.

CONTINUED FROM PAGE 1

On his ‘emergence’ as theNGF chairman, Jang said:“Well, as far as I am con-cerned, I have been given anassignment and by the graceof God, I will do my best tounite the forum to make surethat the Governors’ Forumhas the right leadership forthe people of Nigeria becausewe are governors that governthe states.“We are bound to work to-

gether with one another. TheNGF leadership election or se-lection or whatever you wantto call it, should not divide thegovernors. We have one pur-pose. We are elected by thepeople and we have to workfor the people. We haveworked with Governor Roti-mi Amaechi very successfullyand Amaechi should justcome down and work withme so that we can continue togive Nigerians the right lead-ership for electing us as theirgovernors.” The governor said that as hehad once worked withAmaechi as chairman of theNGF, he expected him also towork with him so that theywould collectively give the na-

ing? If so, where is the evi-dence that they were forcedto act against their will?’’ itqueried.The ACN condemned what itdescribed as the meddle-someness of the Presidencyin the election of “what is not- in reality - more than a socialclub”, and particularly criti-cised “President Jonathan, asthe leader of his party and ofthe country, for expending somuch of the little goodwill hehas on the NGF elections.”The party added: ‘’Irrespec-

tive of the tepid denial by thePresidency, Nigerians areaware that the arrowhead ofthe puppet governors, Gover-nor Godswill Akpabio, is act-ing at the behest of thePresidency. What PresidentJonathan did by his meddle-someness is to stake his Pres-idency on the NGF elections,thereby making the electionsa referendum on hisleadership of his party andcountry. In both instances, hegot the outcome he deserved:A leader who cannot hold hisparty together cannot hold anation together.‘’And here are some of the les-sons that the Presidencyshould learn, if it so wishes,from the outcome of the NGFelections - There is always alimit to hubris and the use ofnaked power against per-ceived opponents. Needlessto say that latent power ismore potent than nakedpower. A leader should neverdo things just because he can.The Presidency and the rul-ing party have lost control ofthemselves. They are boundto also lose control of the na-tion - democratically - in 2015.Make no mistake about it!’’ The ACN also called for a

probe of the “apparentlyforged document being cir-culated by the losing gover-nors to show they hadharvested the signatures of 18governors pushing for a con-sensus candidate just beforethe elections.”The party said the fact that

the signature of a governor,who neither attended themeeting of the Peoples Dem-ocratic Party (PDP) chapter ofthe NGF nor send a represen-tative, was included in theconsensus list was an indica-tion that the signatures wereharvested long before themeeting and the day of theelection. “Of course, it is also clear thatthe dates on the typed docu-ment were cancelled andnew dates handwritten.

‘’If the losing governors areinsisting that the list is gen-uine and that the signatureswere obtained at the NGF-PDPmeeting shortly before thevoting, then they owe Nigeri-ans an explanation on how aman who did not attend themeeting or send a represen-tative could have signed thedocument in question,’’ itsaid.

The ACN advised Akpabioand his group to accept theresult of the NGF elections in-stead of threatening to breakthe NGF - and overheat thepolity - just to satisfy theirmasters, saying national in-terest should supersedeparochial interest.On his part, Ekiti State Gov-

ernor, Dr. Kayode Fayemi, de-scribed the ‘re-election’ ofAmaechi as Chairman of theNGF as victory for democracy,adding that the decision ofthe forum to opt for electioninstead of consensus was as aresult of democratic growth.Fayemi, who spoke with jour-nalists at his Ishan-Ekiti coun-try home at the weekend,however, urged Nigerians tosee the ‘emergence’ ofAmaechi as NGF’s chairmanas strictly a demonstration ofhis colleagues’ confidence inhis leadership of the forumand not a victory over thePresidency.Fayemi said: “It is a contest

among governors for thechairmanship position and itwould be wrong for anyoneto consider it a contest be-tween President GoodluckJonathan and Amaechi as thePresident was not a contest-ant.“This country belongs to allof us and we are committedto working closely with thePresident of Nigeria. He is ourleader. We have respect forhim and his office. So, let noone think it is a defeat to thePresident. It was a race be-tween Governors Jang andAmaechi.”The governor recalled that

the leadership of the forumsince 1999 was based on con-sensus but took a different di-rection because of thegrowth of democracy. He saidthere should be no contro-versy since the election wascredible.Fayemi described as ‘sad’

comments by the anti-Amaechi governors that theNGF election was rigged. Ac-cording to him, the idea thatthe election was rigged taint-ed the integrity of its propo-nent. He added that the

election which was recordedon tape was one of the mostcredible he had witnessed. He said: “Governors routine-ly decide who becomes theirchairman and they havedone so consistently since1999. The only difference isthat as democracy grows,competition also grows withit. What was usually done onthe basis of consensus beforenow went in the direction ofoutright election and a win-ner emerged.”Fayemi added that the out-

come of such a credible elec-tion ought not generate thetype of reaction from the op-posing camps except somepeople were pursuing someagenda that were never madeknown to others.“There should not be any rea-son for hidden agendaamong the governors sincethe NGF is a voluntary bodywhich lacks recognition bythe Nigerian constitution,”he added.The governor maintained

that it was expected thatthere would be a winner anda loser in any contest and thatthe result of the NGF electionshould not cause a divisionamong the governors.Also, a group of former legis-lators within Ebonyi Statechapter of All Nigeria Peo-ple’s Party (ANPP), known asthe New Frontiers (ANPP-NF),commended the Governorsof Rivers and Yobe states, Ro-timi Amaechi and IbrahimGaidam respectively, for the“boundless democratic spritand sense of brotherhood”exemplified in their recentpublic actions.In an interaction with jour-nalists in Abakaliki at theweekend, leader of the ANPP-NF, Mr. Patrick Mgbebu,praised the Yobe State gover-nor “for finding time to comeand commiserate with usover the death of our formerstate chairman, Chief LivinusNwambe.” Mgbebu, a former member

of Ebonyi State House of As-sembly, said Gaidam’s visit toEbonyi ANPP at such a criticalperiod of the unexpected de-mise of Nwambe had bol-stered their resolve to takethe party to new heights,adding that the ANPP-NF,which he leads, would re-main eternally grateful to theYobe State chief executive forhis fraternal visit.The ANPP-NF leader congrat-ulated the Rivers State gover-

ACN, others decry controversy over govs’ forum electiontion the right leadership.The Action Congress of Nige-ria (ACN) yesterday describedas a bad omen for the 2015general elections the rejec-tion of the result of the NGFby some governors.In a statement in Lagos yes-terday by its National Publici-ty Secretary, Alhaji LaiMohammed, the party said:“The message that the Presi-dency, through the puppetgovernors, is sending to thenation is that the outcome ofthe 2015 elections will only bevalid if a certain candidateemerges the winner.”The party said: ‘’If an electioninvolving only 35 governorscan generate so much con-troversy and threaten to over-heat the polity, what willhappen when millions ofNigerians vote in 2015? Is thishow President GoodluckJonathan, who is the godfa-ther of the losing governors,has been sanitising the elec-toral process as he has beenenthusing?‘’The show of shame by the

bad losers supporting Gover-nor Jonah Jang, of course atthe behest of the Presidency,is an extension of the threatthat has been issued by somerabble rousers that it is eitherJonathan for 2015 or therewill be no Nigeria as we knowit. This is the Gbagbo Optionthat plunged Cote d’Ivoire in-to a crisis in which it is yet tofully emerge. This is what thepuppet governors are push-ing for, hence they must becalled to order urgently!”The ACN continued: ‘’Gover-nors who participated will-ingly and fully in the NGFelection have suddenlyturned around and called theelection a fraud after theircandidate has lost. Whatwere they thinking whenthey voted? Could it be thatthey were so sure that theirarm-twisting tactics hadworked and hence were sureof victory, only to bedrubbed?Did they deviate from the

Presidency’s script that theyshould only use the consen-sus they extracted from un-willing governors instead ofan election to determine theNGF chairmanship?‘’If they realised the ballot pa-pers were not serialised, asthe bad losers later claimed,why did they participate inthe election? Couldn’t theyhave raised an objection andrefused to participate? Werethey dragged to the venue ofthe polls screaming and kick-

THE GUARDIAN, Monday, May 27, 2013 3

NewsAU leaders begin deliberations, chart path to continent’s growth

• Why Jonathan did not speak at opening ceremonyFrom Oghogho Obayuwana(Addis Ababa) and AbubakarMohammed (Abuja)

THE Assembly of Heads ofState and government ofthe African Union (AU) beganyesterday their main delibera-tions for the 21st OrdinarySession in Addis- Ababa, con-sidering a major report on un-leashing Africa’s potential.Meanwhile, an explanation

has come why PresidentGoodluck Jonathan did not ad-dress a special summit of theAU leaders, as he was in an-other meeting at the time itwas Nigeria’s slot to addressthe meeting.In a related development,

leveraging on the AUCommission’s new project -Arise Africa, the continent’s cit-izens are demanding goodgovernance from their leadersas the heads of state and gov-ernment began their 21st ordi-nary session of the AUAssembly in Addis Ababa,Ethiopia.The look on how the conti-

nent can become stronger iscoming just as another report-

the Africa Progress Panel un-der the guidance of formerUnited Nations (UN) Secretary-General Kofi Annan is causingripples at the AU Commissionbecause it detailed how Africais being deprived of revenuesfrom its natural resources byextraneous forces.Under the charge of Nigeria’sformer leader OlusegunObasanjo, the AU had estab-lished a panel tasked with find-ing alternative sources of fund-ing for its activities in tandemwith the continental body’snew focus of unleashingAfrica’s potential in the next 50years (2063) and attain stabledevelopment.Also being considered yester-day by the leaders, is the AU’sExecutive Council’s earlieradopted Strategic Plan 2014-2017 alongside the year 2014budget amounting to $380million. The strategic plan isconstituted of eight priorities.It addresses challenges such aspeace, stability and gover-nance, growth and transfor-mation, regional integration

through the achievement ofthe Continental Free TradeArea by 2017, innovation, har-nessing human and naturalresources, mainstreamingwomen and youth etcOn the margins of the sum-

mit, Nigeria’s PresidentGoodluck Jonathan met yes-terday with UN scribe Bank Ki-Moon to discuss the way for-ward for HIV/AIDS amongother issues. There was a simi-lar meeting with the JamaicanPrime Minister PortiaSimpson Miller. The presidenthad earlier on Saturday nightmet with the U.S. Secretary ofState John Kerry to iron outemerging issues of humanrights and security sustain-ability in the bilateral rela-tions of both countries. Building on that, Nigeria’s

Foreign Affairs MinisterAmbassador OlugbengaAshiru also parleyed with theAssistant Secretary of State forAfrican Affairs DonaldYamamoto who said in theopening segment of the talksthat “Our meeting was to un-

derscore the importance ofour relations”Nigeria urged the U.S. to stopthe practice of basing theircomments on Nigeria, on thirdhand information.Ashiru and the President’s

Special Adviser on Media, Dr.Reuben Abati took turns inAddis yesterday to offer expla-nations on why Jonathanmissed out of Nigeria’s speak-ing slut at the opening of thespecial session of the AU.

Ashiru said: “PresidentJonathan did not miss anyspeaking slot at the summit ashas been reported. When anyissue is up for general debateany country may indicate itswish to contribute to the de-bate. Any delegate can inter-vene from a particular coun-try. I as Foreign minister indi-cated interest to speak and Itook the floor at the timePresident Jonathan was at-tending a side meeting ofECOWAS heads of state contactgroup on Lagos-Abidjan high-way.”According to Abati: “The

President was attending aconsultations meeting with

the presidents of Cote D’Ivoireand Ghana on the proposedAbidjan-Lagos Corridor on thesidelines of the AU event, at thetime Nigeria was called. It wasa meeting on infrastructure inWest Africa. It is perfectly nor-mal for Presidents to meet onthe sidelines of any interna-tional meeting, and as the AUplenary went on yesterday,many Presidents stepped outto hold bilateral meetings, andreturn to the hall. Where theyare listed to make a statementin a plenary session and ashappened in our case, thePresident had gone to attend ameeting on the sidelines, theminister sitting in for thePresident can ask for a differ-ent slot to enable his Principalreturn to the hall to make thestatement.”The grand debate on pan

Africanism and African renais-sance put the leaders whogathered on Saturday resplen-dently in the main hall of theAU Commission (AUC)’s officeon the hot seat as a specialpanel made up of the conti-nent’s activists and respectedStatesmen spoke truth topower, demanding from theirleaders, sensible action to re-claim the continent’s eco-nomic sovereignty.The business of marking the50th anniversary of the AU’sprogenitor, the Organisationof African Unity (OAU) saw adeparture from the usual for-mat where speaker afterspeaker would make speechesechoing the African woundand thereafter ride on suchlamentations to offer somesterile hopes after a usuallylengthy closed door session. Now, instead, the Heads of

state, prime ministers andheads and representatives ofgovernment of the 54 mem-ber body and guests fromaround the world were con-fronted by presentations de-tailing the stark reality of aperennial lack of positive ac-tion by a specially raised panelwho were given high seats onthe main hall looking eyeballto eyeball to the continentalleaders. The panellists demanded

from their leaders a remod-elled governance structure, in-clusion of Africans in the de-velopment process as well asthe compelling need tochange what they have called

Caverton Helicopters faults Reps’ report, denies links with Rivers on aircraft

Prof. Ayo Banjo (left); Prof. Bolanle Awe, Emeritus Prof. Ade Ajayi, his wife, Christie and Michael Omolewa at a meeting of contributing authors plannedin honour of Ajayi in Ibadan ....yesterday PHOTO: NAJEEM RAHEEM

THERE may no end yet to thecontroversy trailing theRivers State owned aircraftN565RS as CavertonHelicopters yesterday faultedthe House of Representatives’Committees on Justice andAviation report that an“agency relationship” existsbetween it and the state gov-ernment on the aircraft. The aviation company de-

nied the existence of such a re-lationship and demandedconcrete evidence from thosewho claim otherwise.In their report laid before theHouse last Thursday, the com-mittees not only submitted

that there was an agency rela-tionship between Rivers Stateand the company, they wenton to call for the prosecutionof Caverton Helicopters “forproviding information thatled the authorities to wronglybelieve that Rivers StateGovernment falsified docu-ments leading to groundingof its aircraft.”However, in a reaction yes-

terday, Caverton Helicopterssaid it was surprising how thecommittees arrived at suchweighty position and recom-mendation “without an inde-pendent, forensic investiga-tion and without any counter-

veiling evidence other thanthe mere say-so of a party to adispute.”“We expected more rigour,

more nuance, more balance,and greater restraint fromsuch an august body,” addedthe statement signed by com-munication consultant toCaverton Helicopters, Mr.Waziri Adio.“We challenge those who in-sist on manufacturing an‘agency relationship’ wherenone exists to show concreteevidence,” the statement said.“Such concrete evidenceshould include mandate fromRivers State Government to

Caverton Helicopters on thesaid aircraft; evidence of pay-ment(s) to CavertonHelicopters with correspon-ding invoice(s) for the pur-ported services provided by usto the State Government inthe last eight months on thisaircraft; executed manage-ment or agency contract be-tween the State Governmentand Caverton Helicopters; andany correspondences(whether through letter oremail) on the issue during thepast eight-month period wewere purportedly involvedwith the aircraft.”

The company maintainedthat the only relationship ithad on the aircraft was an “un-consummated” one. “We wereinstructed by ACASS, aCanadian firm, to help applyfor importation permit forthe aircraft in August 2012,”the company said. “We sent aletter to the Minister ofAviation on August 27, 2012.But the same ACASS told us tostop because it was no longerin charge of the aircraft. Sothat relationship was not con-summated. And that was thelast dealing we had on the air-craft.

Enugu demands N16bspent on federal roads

From Lawarence Njoku, Enugu

THE Enugu State governmenthas asked the FederalGovernment to reimburse itwith N16 billion it claims tohave spent rehabilitating fed-eral roads in the state.The amount, the government,said was spent in rehabilitatingfederal roads in the state since2007 when the GovernorSullivan Chime administrationcame on board. It was learnt that already, thestate government had sent itsbill to the Federal Ministry ofWorks, demanding the pay-ment. Enugu said that twocommittees of the FederalMinistry of Works had carriedout investigations and con-firmed the amount beingclaimed by the state govern-ment.The Commissioner for Works,Godwin Madueke, who dis-closed this at the weekend,gave the roads already com-pleted as the 52-kilometre oldEnugu-Port Harcourt road, the45-kilometre Enugu-Onitsharoad and the 10-kilometre Udi-Ozalla road.Others include the Abakaliki-Garden Avenue road, Agbani-Akwuke-Gariki road and theAgbani road, Enugu the duali-sation of which had been com-pleted by the state govern-ment.

Aviation workersthreaten fresh strike By Wole Shadare

BARELY a week after theNigeria AirspaceManagement Agency (NAMA)workers shut down the airspaceover labour-related issues, theircolleagues at the FederalAirports Authority of Nigeria(FAAN) have given a 21-day ulti-matum to the Authority to meettheir demands or they downtools. Meanwhile, to ensure trans-

parent procurement process inline with the PublicProcurement Act (PPA) of 2007,the Nigerian Civil AviationAuthority (NCAA) has said thatany organisation that does notsend in its Expression of Interestwould not be evaluated.The workers through their

union, Air Transport ServicesSenior Staff Association (ATSS-SAN) yesterday gave the FAAN’smanagement a 21-day deadlineto address all welfare issues, fail-ure of which will lead to a strike. In a petition to the Managing

Director of FAAN, George Ureisiwith copies sent to Ministers ofLabour and Productivity andAviation signed by Mr. OlayinkaAbioye secretary of ATSSSAN, al-leged that the FAAN manage-ment had failed to meet up itsobligations in the issue of work-ers’ welfare.However, FAAN’s spokesman,

Yakubu Dati said: “We are work-ing to resolve the problem.FAAN is a responsible organisa-tion and we want to assure youthat the matter will be resolved.We are partners in progress.Both FAAN and ATSSSAN willmeet to reach an amicable reso-lution of this matter”.

CONTINUED FROM PAGE 2

Jang seeksAmaechi’s support

THE GUARDIAN, Monday, May 27, 2013

Uduaghan, cleric, at democracy day service, urge positive attitudeFrom Nkechi Onyedika, Abuja

AS the nation braces up tomark the yearly Democra-

cy Day on May 29 with an in-ter-denominational churchservice at the National Chris-tian Centre, Abuja, a cleric,G.O. Olutola, has warned thatcitizens need to work forrighteousness as the onlycondition for permanent

peace, unity, security and de-velopment of the country.Speaking on the theme,

“Righteousness Exalts a Na-tion,” Olutola observed thatrighteousness is to do justiceand protect the lives of thepeople, and that the absenceof justice leads to insecurity.And at Enerhen in Delta

State, during an inter-de-nominational thanksgivingservice to mark the 2013Democracy Day and the sec-ond anniversary of his sec-ond term held at the Flock ofChrist Mission, Governor Em-manuel Uduaghan sued forunity among Deltans, im-ploring them to shun de-structive rumours.Speaking about the rumourof his death, he said he had ahealth challenge recentlyand rather than pray for hisquick recovery, some per-sons were wishing him deadand planning to buy a casket

for his burial.At the Abuja service, whichhad the wife of the President,Dame Patience Jonathan, andSenate President David Mark,among others, in attendance,Olutola pointed out that anynation that does not practiserighteousness will face dis-grace, just as Nigeria is ratedas one of the most corrupt na-tions in the world.He tasked Nigerians to showlove, concern and compas-sion, especially to the poor ofthe society. The event, whichrecorded large turnout ofworshipers, largely womenin uniforms, included inter-cessory prayers for the na-tion and its people.However, President Good-

luck Jonathan was absent, ashe was said to be attendingthe ongoing African Unionconference in Ethiopia.

Meanwhile, Uduaghanurged Deltans to do away

with “ethnic hatred,” whichhe said leads nowhere but de-struction, adding: “There istoo much hatred for one an-other in the state and toomuch rumour mongering.Recalling his “stormy elec-

tion,” Uduaghan thanked allthose who prayed for his vic-tory. In a statement from theGovernment House PressUnit, he urged all Nigerians topray for President Jonathan ashe tackles Boko Haram andother national problems, not-ing, “we are all potential vic-tims of Boko Haram and this iswhy we must support thePresident to win this war.”

Meanwhile, Rev. SimeonOkah said that man was creat-ed in the image of God, andfor that alone, man should bethankful to God. He stressed“We must love one anotherand be united as a state, andtogether we shall make it as astate.”

U.S. finally removes Nigeria from Obama’s itineraryFrom Laolu Akande, New York

ADIRECTIVE from the WhiteHouse has cancelled out-right the visit of United States’(U.S.) President, Barack Oba-ma, to Nigeria on his secondtrip to the continent, in-formed U.S. sources have con-firmed. While some middle level

State Department officialshad already intimated someU.S.-based non-governmentalorganisations (NGOs) onplans to include Nigeria onthe U.S. President’s stops inAfrica starting from nextmonth, senior officials of thesame department have hint-ed the Nigerian Governmentof the possibility of the na-tion’s exclusion due to somepressing, immediate and dis-tant concerns of their govern-ment.Apart from the Baga inci-

dent, which is seen as the im-mediate cause of the snub, itwas disclosed that WhiteHouse officials were also in-undated with facts on howthe President GoodluckJonathan administration hasabandoned the anti-corrup-tion fight, especially by par-doning the former governorof Bayelsa State, DiepreyeAlamieyeseigha.Other instances the White

House officials are said to beconcerned about on mattersof corruption include the con-

troversial reports it had re-ceived regarding two impor-tant Federal Governmentministries, the Petroleum Re-sources and Aviation.The U.S. sources added that

before last Monday’s an-nouncement on the issue, theNigerian Ambassador to theU.S., Prof. Ade Adefuye, was in-vited to the State Departmentto be formally updated on thesituation at a meeting withseveral U.S. officials, led by theActing Assistant Secretary ofState for Africa, Donald Ya-mamoto.At the meeting, the Americanofficials presented the Niger-ian envoy with satellite pho-tographs of the alleged Bagamassacre, noting among oth-er things that it made Nige-ria’s inclusion in Obama’svisit very difficult. Indeed, satellite pictures re-vealing damage to house-holds in Baga had been madepublic by the Human RightsWatch earlier, but it was notimmediately clear if the samepictures were the ones pre-sented to the Nigerian envoyat the May 17 meeting the offi-cials held with him.However, it was learnt that

Adefuye disputed the credi-bility of the photos since itclaimed to be depicting morehouses in Baga than actuallyexisted. Also, there were per-sistent questions on the factthat the satellite-captured

photos could not have re-vealed who was responsiblefor the damage in Baga.

Meanwhile, a U.S.-basedNigerian group, the ChristianAssociation of Nigerian-Amer-icans (CANAN) had also madea statement earlier in theweek that “President Obama’svisit would have benefittedthe Nigerian people morethan the Nigerian Govern-ment.”CANAN noted that Obama

went to Cairo “at a time dicta-tors were all over the MiddleEast, and his critical speechprovoked a major and pro-ductive societal revival, whichdemocratic fervour is stillvery much in play in the Mid-dle-East.”It added: “A visit by PresidentObama, based on the wide-spread admiration he enjoysin Nigeria, would have servedto mobilise the Nigerian peo-ple and push the country for-ward towards fulfilling itspotential, the same fact forwhich the U.S. Government it-self had described the countryas its African anchor.”However, State Departmentofficials insisted that Nigeria’sexclusion from the presiden-tial and high-level contact atthis time had already beentaken by the White House. Infact, after the meeting withAdefuye on May 17, the Secre-tary of State, John Kerry, is-

sued a public statement thatfor the first time, the U.S. hadin its custody “credible allega-tions” against the Nigerian se-curity forces in theimplementation of the emer-gency rule ordered by Presi-dent Jonathan.It noted: “We are also deeplyconcerned by credible allega-tions that Nigerian securityforces are committing grosshuman rights violations,which, in turn, only escalatethe violence and fuel extrem-ism.“The United States condemns

Boko Haram’scampaign of ter-ror in the strongest terms. Weurge Nigeria’s security forcesto apply disciplined use offorce in all operations, protectcivilians in any security re-sponse, and respect humanrights and the rule of law.”According to sources, the

groundwork to exclude Nige-ria from the presidential visitto Africa, which was an-nounced by the White Houseon May 20, was perfected afterthat announcement.Nevertheless, it is believed

that Adefuye was still makinglast ditch effort to convincethe White House on the needfor a rethink. Last year, the Sec-retary of State had left outNigeria on his stops on anAfrican tour, until Adefuye’sefforts caused a change ofplans to include a stop in Abu-ja.

4 NEWS

nor on his ‘re-election’ aschairman of NGF. “Governor Rotimi Amaechihas become a pillar of hope inNigeria’s democracy; his re-election has shown that thesanctity of the ballot couldupstage the tyranny of poten-tates. It is our ardent hopethat Governor Amaechiwould discharge those dou-ble responsibilities by fight-ing for the oppressed peopleof this country who yearn thattheir voices and votes wouldcount,” Mgbebu added.The former legislator regret-ted that the dispute over thegovernors’ election wouldlead to intense politickingand concerns for the 2015election thereby slowingdown governance both at thefederal and state levels, stress-ing that the governors wereshort-changing the massesthat gave them the mandateto serve them.Besides, the Coalition to SaveNigeria (CSN) yesterday de-scribed the crisis over theNGF’s election as a shame.A statement by the nationalpresident of the group, PhilipUgbodaga, yesterday urgedthe governors to go back totheir respective states and en-trench development there.The statement said the crisiscould be linked to the 2015general elections.“What happened at the NGFelection is quite dishearten-ing and speaks volumesabout what to expect in 2015.It is not surprising that a bodyconsisting of only 36 Nigeriangovernors is unable to con-duct an election to changetheir leadership. The show ofshame that played out issymptomatic of the generalelectoral immaturity that hascharacterised our electoralhistory since independence,”it said.The statement wondered:

“Where was the NGF whenprices of petroleum productswere criminally raised in 2012in a country that is an oil-pro-ducing nation? What is theNGF position on the mass un-employment, abject poverty,and the unprecedented mis-ery and hopelessness en-veloping our country andwhat is their position on themassive corruption that isthreatening the existence ofour dear nation and the lackof affordable and efficienthealthcare delivery in ourcountry? When some peopledescribe the re-election ofGovernor Rotimi Amaechi asa victory for democracy, ruleof law, good governance, dueprocess, courage, vision andtransparency, we ask: what vi-sion and what courage? Apartfrom perhaps Lagos, Edo, Ak-wa Ibom and a few otherstates, we challenge anyoneto show us the evidence of thecourage and good gover-nance in the rest of the states!We challenge anyone to showus the transparency in the ap-plication or misapplication,the use or misuse and the ap-propriation or misappropria-tion of the billions of nairaentrusted to them since theymounted the mantle of lead-ership in their respectivestates.”According to the group, nei-ther Amaechi nor Jang northe NGF holds the key to thesocio-economic and politicalrejuvenation of the country.

From Njadvara Musa,Maiduguri

Residents revert to traditional communication mode in emergency states

TWELVE days after the shut-down of the Global Systemof Mobile Communication bythe Military Special Opera-tions (MISOP) against theBoko Haram insurgency inBorno, Yobe and Adamawastates, residents and farmersin Borno State have resortedto traditional means of com-munication to reach their re-lations, friends and businessassociates.The traditional means in-

clude the use of markets,schools, mosques and hill-tops bordering Chad andCameroun Republics atGwoza and Pulka in BornoState, and Madagali andMichika in Adamawa State,which are under emergencyrule recently declared byPresident GoodluckJonathan.As the cell phones of over 2.5million subscribers were ren-dered useless since the shut-down of the four telecomfirms’ services by the militarytroops on May 16, 2013, someof the residents have resortedto market places to pass theirinformation to relations andfriends.A housewife and mother ofthree at the Maiduguri Mon-day Market, Hajiya JumaiYakubu, told The Guardian onSunday: “Oga, as I cannot nowcommunicate with any of myrelations to pass informationwith my handset, I met one ofmy friends in this market andhave already relayed the im-portant information to her sothat she can tell exactly themessage.”Asked what the message

was, Jumai said: “This infor-mation that I could have sentthrough my cell phone is veryimportant and confidentialand would not be publiclydisclosed to you newsmen.”Residents that could not goto markets pass or relay infor-mation through their rela-tions or business associates,employ their children in pri-mary and secondary schoolsto orally pass or deliver writ-ten letters to recipients livingin other areas of Maiduguri. Besides schools and marketplaces, some residents usethe churches and mosques.At the Gomari CentralMosque in Maiduguri, whichaccommodates over 1,500worshippers, about 250 par-ents exchanged confidentialinformation through reli-able relations or friends. TheGuardian also learnt thatsuch orally passed informa-tion include naming cere-monies, funerals andweddings billed to take placein other parts of the metrop-olis.

Lagos State Governor Babatunde Fashola (right); Oba of Lagos, Rilwanu Akiolu; National Leader, Action Congress of Nigeria (ACN), Bola Tinubu; Chairman of Phototech, Bola Ade-gunwa and former governor of Lagos State, Lateef Jakande, during a special prayer to commemorate the 10th anniversary of Oba Akiolu at the Iga Iduganran Palace, Lagos… yester-day.

THE GUARDIAN, Monday, May 27, 2013 NEWS 5

Deputy Speaker Emeka Ihedioha (left); Senate President David Mark, First Lady Dame Patience Jonathan and Secretary to the Government, Anyim Pius Anyimat the 2013 Democracy Day Interdenominational Church Service in Abuja… yesterday. PHOTO: PHILIP OJISUA

Medical workers may begin strike ThursdayFrom Collins Olayinka, Abuja

FROM Thursday, all the fed-eral medical facilities inthe country may be shutdown as crisis between theworkers and Minister ofHealth, Prof. OnyebuchiChukwu may take a newturn. The health workers,under the auspices of JointHealth Sector Unions (JO-HESU) and Assembly ofHealthcare ProfessionalAssociations (AHPA), havecontinuously called onPresident GoodluckJonathan to relieve theMinister of the burden of ad-ministering health mattersin the country, saying theuniversity don has demon-strated the lowest level of in-efficiency ever seen inNigeria’s history of healthdelivery. Indeed, The Guardian learntthat their exclusion fromboards might be seen by theunionists as a slight onthem and in equal measure,they have resolved to use

the strike action to forcePresident Jonathan to re-move Prof. Chukwu from of-fice. A document obtained by The

Guardian and signed by thechairperson of JOHESU,Wabba Ayuba; secretary, W.G.Yusuf-Bamus; chairperson ofAHPA, Godswill Okara, wasunequivocal, saying, “we reit-erate our call on Mr.President to relieve Prof.Onyebuchi Chukwu of his ap-pointment as the Minister ofHealth as he has failed in allramifications to bring aboutindustrial peace and har-mony in the health min-istry.” Before now, most presidentsand general secretaries ofunions in the health profes-sion got nominated into theboards of federal medical in-stitutions.

Investigations by TheGuardian at the weekend in-dicated that no union leaderhas so far been nominatedinto the recently announced

Government okays commercialisation of FHAFrom Mathias Okwe, Abuja

IN a bid to confront the hugehousing deficit in the coun-try, the Federal Governmenthas finally approved the com-mercialisation of the FederalHousing Authority (FHA) toallow the establishment de-liver on its mandate. Already,the Minister of Lands,Housing and UrbanDevelopment, Ms. AmaPepple has been appointed tochair the steering committeeconstituted to work out thedetails of the exercise.The approval by the NationalCouncil on Privatisation(NCP) for the commercialisa-tion of the FHA was one of thedecisions taken at the thirdmeeting of the Council in2013 which held on Thursday,May 9, 2013 in thePresidential Villa Abuja, ac-cording to a statement yes-terday in Abuja by the Bureauof Public Enterprises ( BPE),the Secretariat of the NCP.The statement was signed bythe BPE Head of PublicCommunications, Mr.Ochigo Anichebe.

SETRACO to completeEnugu-Abakaliki highwayMarch 2014From Leo Sobechi, Abakaliki

THE contractors handlingthe rehabilitation of theEnugu-Abakaliki interstatehigh way, SETRACO NigeriaLimited, has given March 2014as the completion time for theroad just as Ebonyi State gov-ernment says it has com-menced discussion with thecompany to dualise a portionof the road to compensate forwork it has already done onthe road.Fielding questions from The

Guardian in his office, the StateCommissioner for Works andTransport, Mr. ChukwumaNwandugo, disclosed that thestate government decided toapproach SETRACO with aview to reaching an under-standing over the close to 12.5kilometres it has dualised outof the trans-African highway.Nwandugo, an engineer, ex-plained that instead of waitingfor the Federal Government toreimburse the state govern-ment for the work done on theroad, it saw wisdom in dis-cussing with SETRACO sincethe company was awarded therehabilitation of the road.

board members. Indeed, the Chief Medical

Director of Bida FederalMedical Centre had to call aunion member last week tohelp trace a board memberthat was supposedly nomi-nated to represent the inter-ests of unions. As it turnedout, this ‘member’ was un-known to the union she wassupposed to be representing.

The Guardian also gatheredthat but for a meeting thatwas called at the instance ofHouse of RepresentativesCommittee on Health, whichhas been fixed for Thursday,the strike action would havebeen declared earlier thanthe Thursday date. A source said in Abuja at theweekend: “It is unthinkablethat a minister of health willput together lists of boardmembers for federal medicalinstitutions and no memberis appointed from the union.How then would the inter-ests of workers be protected?We in the movement know

that the minister did this tospite us. But that will onlystrengthen our resolve to de-mand his removal. Out of allthe issues in dispute, not onehas been resolved. We had at-tended a meeting at the in-stance of Minister of Labourand Productivity,Chukwuemeka Wogu, atwhich we agreed on a num-ber of issues but weeks afterthat meeting, nothing con-crete has been achieved. Theminister did nothing to ad-dress all the issues at stake.” The unions had on March 13,2013, issued a 15-day ultima-tum to the Federal Ministryof Health to implement theMay 10, 2012 collective agree-ment but had to shelve go-ing on industrial action afterthe Minister of Labour andProductivity intervened. Afterwards, at a meeting atthe instance of Wogu, amemorandum of under-standing was reached be-tween the warring parties.The memorandum provided

Nigeria lost N2.6trn to2012 flood, says NEMA

AFINAL comprehensive as-sessment of total losses re-sulting from the 2012 floodingwhich ravaged many states ofthe federation has shown thatNigeria lost a total of N2.6 tril-lion. Director General of theNational EmergencyManagement Agency (NEMA)Muhammed Sani Sidi disclosedthis while addressing the 4thGlobal Forum on Disaster RiskReduction in Geneva,Switzerland at the weekend.Sani Sidi said: “The compre-

hensive Post Disaster NeedsAssessment conducted fromNovember 2012 – March 2013with the support of the WorldBank and Global Facility forDisaster Reduction andRecovery (GFDRR), UnitedNations, development partnersand relevant ministries, depart-ments and agencies put the es-timated total value of infra-structure, physical and durableassets destroyed at US$9.6 bil-lion.

Tears, as SSS, families, pay last re-spects to victims of Nasarawa killingsFrom Terhemba Daka, Abuja

IT was a sombre moment atthe headquarters of theState Security Service (SSS) inAbuja at the weekend whenauthorities led family mem-bers and other friends of theService to pay their last re-spect to fallen colleagueswho lost their lives in myste-rious circumstances inAssakio, near Lafia inNasarawa state on Tuesday,May 7, 2013.Wearing black attires, manyof the personnel, includingthe Director-General, ItaEkpenyong Ita, as well assome of the past DGs of theService including theMinister of State for the FCT,

Olajumoke Akinjide and wellwishers last Friday nightfought hard to control tearsduring the candlelight pro-cession in honour of their 10operatives who were brutallymurdered during an officialoperation along with somepolicemen in the area.The operatives who were al-legedly murdered by theOmbatse militia group wereNinsel Ponfa, BenjaminAbughul, Mohammed IsahGobir, Durfa NanduTimman, Paul Samuel, AlliuShehu, Thomas NomsuleTerzungwe, Daniel John,Julius Ber and SalihuSuhununu.Pioneer Director General of

the Service, Gen. AbdulahiMohammed, who also spokeduring the occasion, decriedthe interference by the hu-man rights community andother civil society organisa-tions in the operations of se-curity agencies in the coun-try.Mohammed used the op-

portunity to call on theNational Assembly to comeup with legislations that willprovide protection for the se-curity services assigned onoperations to crisis areas inthe country.“The anger is that if a sol-

dier is killed in these opera-tions it is just a number, if apoliceman is killed it is just a

number and if a member ofthe SSS is killed it is just anumber. But if any memberof the terrorist groups iskilled you see the humanrights people crying to thehigh heavens as if membersof the security agencies haveno human rights and fami-lies.“All these frivolous accusa-tions must be ignored com-pletely,” he said, adding thatsecurity agencies should besupported and allowed totake action when necessaryand not condemned.But the SSS authorities haveassured that the Servicewould not be deterred in car-rying out its task of ensuring

From Joke Falaju, Abuja

a six-week timeframe effec-tive March 21, 2013 withinwhich all outstanding is-sues in dispute would be ad-dressed. The issues in dispute are:

implementation of theJustice Bello AbdullahiPresidential Committee re-port on harmony in thehealth sector; promotion ofhealth professionals fromCONHESS 14 to 15 in linewith their respectiveschemes of service; imple-mentation of the 2008 JobEvaluation Committee re-port; review of retirementage of healthcare profes-sionals in teaching and re-search institutes to be at parwith their counterparts inthe university system; re-composition of the boardsof management of tertiaryhealth institutions to en-sure equitable representa-tion of health professionalassociations and registeredtrade unions.

that security of lives andproperty of Nigerians any-where in the country is safe.In an address at the occa-

sion, the SSS DG, ItaEkpenyong Ita said that thedeath of the 10 operativeswould further embolden theservice in carrying out its re-sponsibility, adding that inspite of the losses, it willnever be cowed.“In the face of the tragedy,the enemy has only suc-ceeded in making the Servicestronger as it seeks to saveour nation from the hands ofevil.”Speakers at the occasion

were the Chief of DefenceStaff, Admiral Ola SaadIbrahim, National SecurityAdviser, Ibrahim Dasuki andothers.

Contractors get deadlineon Imo hospital projectsFrom Charles Ogugbuaja, Owerri

ANNOYED by incessant de-lays, Governor RochasOkorocha at the weekendgave all the contractors han-dling the 27 general hospitalprojects in the local councilsof Imo State six months tocomplete the jobs and handthem over to the governmentor face revocation of the con-tracts.Okorocha, who gave the di-rective while inspecting oneof the projects in Agbala,Owerri-North Local CouncilArea, expressed regret overthe slow pace of work.He reminded the contrac-

tors that the state govern-ment’s plan is to turn Imointo a healthcare destinationwhere sick people from othergeo-political zones wouldcome and get their healthneeds, wondering why theprojects were delayed afterfunds had been made avail-able accordingly. The governor said he wouldstrictly monitor the projectsand the deadline given to thecontractors.

THE GUARDIAN, Monday, May 27, 20136 NEWS

JTF impounds vessel, arrests 21 suspected oil thieves

NAFDAC, others laud verdict onMy Pikin baby mixture

Chairman, Government College Ibadan Old Boys’ Association (GCIOBA), Lagos branch, Wale Babalakin (left); Emeritus Professor of Medicine, Universityof Ibadan, Oladipo Akinkugbe; former governor of Cross River State, Donald Duke and National President of the association, Biodun Jolaoso, at theannual luncheon merit award ceremony of GCIOBA, Lagos branch…yesterday PHOTO: FEMI ADEBESIN-KUTI

From Emeka Anuforo, Abuja

SOME major stakeholders inthe pharmaceutical indus-

try, including the NationalAgency for Food and DrugAdministration and Control(NFADAC) are celebrating thejudgment against BarewaPharmaceutical Ltd, producerof the controversial My Pikinbaby mixture that was said tohave caused the death ofabout 84 children. A Federal High Court in Lagoslast week wound up the phar-maceutical company. TheProduction Manager, AbiodunAdeyemo and the QualityAssurance Manager of thefirm, Ebele Austine Eromosele,were sentenced to 14 years jailterm on two separate counts.Director General of NAFDAC,

Paul Orhii, described the 14-year jail term and confiscationof assets of BarewaPharmaceuticals as a land-mark in NAFDAC’s bid to dealwith counterfeiters.He told The Guardian that “It isthe first time we have eversecured that kind of convic-tion. My Pikin was concludedto have been contaminated.The manufacturer usedDiethylene Glycol in place ofPropylene Glycol in the prod-

uct.”Diethylene Glycol is an ingre-dient in anti-freeze and brakefluid, which is also used asindustrial solvent. Propyleneglycol is harmless and sweet,used in a wide range of medi-cines and foods, but moreexpensive than DiethyleneGlycol. Counterfeiters andchemical dealers push up theirprofits by selling the cheaperDiethylene Glycol as PropyleneGlycol.Meanwhile, Orhii and his

management team have beencommended for the milestonevictory of the agency in thecourt.

The Country Manager ofSproxil Nigeria Limited, Mr.Lawrence Nwosu, commendedOrhii’s courage and forthright-ness in opening the caseimmediately he assumedoffice in 2009 and followingthrough till the end to secure aconviction that would act as adeterrent to others.Nwosu also hailed Justice

Okechukwu Okeke of theFederal High Court, Lagos forsentencing the accused per-sons to 14 years’ jail term, say-ing it is a reflection of hisdoggedness and determina-tion to join the fight to end theincidence of fake drugs in

Nigeria.He said the judge’s action willserve as an inspiration to otherjudges in the world who arekeen about eradicating theincidence of fake drugs byhanding out severe punish-ments to offenders and notjust a mere slap on the wrist.According to Nwosu, the judg-ment will not only serve as abig deterrent but an affirma-tion of the support of the judi-ciary to the zero-tolerance forfake drugs declared byPresident Goodluck Jonathan.He said: “A judgment of this

magnitude has never hap-pened before. This is the firsttime in the last 20 years sinceNAFDAC was established. Thisis a reflection of Orhii’s deter-mination to end the incidenceof fake drugs in Nigeria and Iwould like to urge him to domore.”He said the forfeiture of the

assets of BarewaPharmaceutical Ltd by thecourt would send a strongwarning to companies whichare negligent about the likelyimplication their productswill have on the health ofNigerians, urging drug manu-facturers to take safety issuesseriously in the manufactureof their products.

From Willie Etim, Yenagoa

AVESSEL, christened ERISHNADOLPHIN, suspected to be

used for oil theft, has beenimpounded by troops of theJoint Task Force (JTF), OperationPulo Shield, during anti-illegal oilbunkering water patrols alongSouthern Ijaw Creeks of BayelsaState.The vessel, which was intercept-ed by troops of 343 Regiment ofSector 2 JTF along Obi Creek inSouthern Ijaw Local CouncilArea, has been secured by thesecurity agents pending recov-ery to Brass terminal.Also, 11 persons suspected to beoil thieves operating two bargesladen with 7,500 and 500,000

Group urges rebuildingof NigeriaFrom Nkechi Onyedika, Abuja

AS Nigeria prepares for itscentenary celebration, a

faith-based organisation,Nigeria CentenaryRestoration Group, hasstressed the need to build anew prosperous, strong andunited country that would bea key player in the comity ofnations.Addressing journalists at theweekend in Abuja,Coordinator of the group, Rev.Chuks Alozie, noted that thealleged faulty foundation ofNigeria has affected gover-nance, national growth, inte-gration and the overall devel-opment of the country.Alozie, who called on the

church to use the opportunityof the centenary to review thefoundation of Nigeria as anation, said: “We agree withNigerians that are disenchant-ed with the affairs in ournation, having beenendowed, yet people areimpoverished. There is a highrate of unemployment, pover-ty, hardship, crime and cor-ruption which are challeng-ing our corporate existence”.The cleric observed that the

amalgamation of Northernand Southern Protectorates toform Nigeria in 1914 was bydivine providence, notingthat the beauty of the countrylies in its unity in diversity.“If God has chosen us to livetogether in this geographicalentity called Nigeria, the sov-ereignty and corporate exis-tence of the country are notcontestable and cannot benegotiated under any guise.”Alozie, who faulted the pre-diction from some quartersthat Nigeria would disinte-grate by 2015, said the countrywould not break, stressingthat the unity is sacred andsacrosanct.

litres of adulterated AutomatedGas Oil illegally distilled fromstolen crude, have been arrest-ed at the Benteke Creek andAbonema Water Front in RiversState by troops of 146 Battalionof JTF, Sector 2 for allegedlyengaging in oil theft activities. The Joint Media Coordinator ofthe JTF, Lt.-Col. OyemaNwachukwu, in a statement inYenagoa, said the barges, whichare now secured at AbonemaWharf, were intercepted dur-ing one of the anti-oil theftpatrols carried out by gun-boattroops of the battalion. He said the suspects have beentaken into custody byHeadquarters Sector 2 to helpin preliminary investigations,after which they will be handed

over to an appropriate agencyfor prosecution.

According to him, theCommand’s anti-illegal oilbunkering and anti-pipelinevandalism operations havetruncated the operations of atotal of 21 illegal oil distillersand 41 pumping machines inOndo, Edo and Delta states. Fifteen of the illegal oil distill-eries were discovered alongTakula Creek and Itakpe at theboundary between Ondo andDelta states where 40 steel sur-face tanks and 25 pumpingmachines used in the illegaltrade were scuttled. Otheritems recovered include 426plastic tanks and 10,645 drums

used to store adulteratedAutomated Gas Oil distilledfrom stolen crude oil. “Three other camps used for

illegal distillation of crude oilwere also scuttled in GbelebuVillage in Ovia South-West LocalCouncil Area of Edo State, whilethree of the illegal oil distilla-tion camps, which had 138 plas-tic tanks of 7500 litres capacityeach, 23 steel surface tanks, 16pumping machines, threepower-generating set and onewelding machine were discov-ered by JTF Patrol Team of 3Battalion, Sector 1 at Otumara,Obe/Jesse communities of Deltastate,” Nwachukwu said.

S’South states getN337.9m Sure-P fundFrom Hendrix Oliomogbe,Asaba

AYEAR after the commence-ment of the Federal

Government’s SubsidyReinvestment andEmpowerment Programme(SURE-P) about N337.9 millionhave been disbursed to the sixSouth-South states of Edo,Delta, Bayelsa, Rivers, AkwaIbom and Bayelsa.

Minister of Labour andProductivity, Chief EmekaWogu disclosed this yesterdayduring a town hall meetingwith traditional rulers on thesensitisation and appraisal ofthe Community Service,Women and YouthEmpowerment Project(CSWYE) of the programme inAsaba.

He further explained thateach state has employed 3,000persons in various SURE-P pro-grammes and another 2,000people per state will be addedto the scheme this year.Wogu said that about 3426

Deltans made up of 1610males, 1816 females and 256disabled persons werepresently deployed to 256SURE-P project sites in thestate.The minister disclosed about

N83 million have been utilisedso far from the oil subsidy sav-ing as monthly stipends, basichand tools and managementrequirement for these benefi-ciaries in state.

Minister of Labour andProductivity, Chief EmekaWogu disclosed this yester-day during a town hallmeeting with traditionalrulers on the sensitisationand appraisal of theCommunity Service, Womenand Youth EmpowermentProject (CSWYE) of theprogramme in Asaba

THE GUARDIAN, Monday, May 27, 2013 NEWS 7

Managing Director/Chief Executive Officer, Associate Discount House, Abubakar Jimoh (left), Chairman, Aigboje Aig-Imoukuede and Director, LarryEttah, during the 19th annual general meeting of the Associate Discount House in Lagos. PHOTO OSENI YUSUF

CD urges actionagainst criminal activities in Onitsha

Police arraign four overpipeline vandalismBy Joseph Onyekwere

THE police have arraignedbefore a Federal High Court,Lagos four persons accused ofpipeline vandalism and illegalpossession of petroleum prod-ucts.They are Rasaq Sofiu, 32,Ahmed Bashorun, 40, NofiuBanjo, 33 and OkonlawonOjuleti, 32.They are standing trial on a

three-count charge of conspir-acy, vandalism and unlawfulpossession of petroleum prod-ucts and appeared before thecourt at the weekend. They allpleaded not guilty to thecharges.The trial judge, MohammedIdris, however ordered that theaccused be remanded at theIkoyi Prison, and adjournedthe case to June 28 for trial.The prosecutor, Mr. Justin

Enang, had told the court thatthe accused, all resident at theIkorodu area of Lagos, commit-ted the alleged offence on April15.He told the court that theaccused were apprehended bythe police on the said day atArepo at about 8a.m., with sev-eral gallons of petrol, allegedlyobtained from a vandalisedpipeline.Enang told the court that

since the accused could notprovide a satisfactory explana-tion of their unlawful posses-sion of the products, they werearrested and detained.He said the offence contra-

vened the provisions of sec-tions 7(a) and (b) of the miscel-laneous offence Act, 2004, andSection 516 of the CriminalCode Act, 2004.

ANON-GOVERNMENTALorganisation, Campaign

for Democracy (CD), haslamented the rising crimi-nal activities in Onitsha andurged Governor Peter Obi ofAnambra State to moveagainst the situation.“There is a renewed wave ofcriminal activities by hood-lums and gangsters inOnitsha and its environs,”the CD said in a statementsigned by its Chairman inSouth-East, Mr. Uzor Uzor. According to him, three

policemen were attackedrecently while on duty atNiger Street, Fegge, nearOnitsha Main Market, lead-ing to the death of two ofthe three policemen.“On May 3, a lady was

ganged- raped opposite 15Orlu Street, Fegge, near theformer Onitsha-SouthCouncil Secretariat by hood-lums. A journalist, nameswithheld, was also shot onthe left leg three days agoalong Awka Road, Onitsha,by a gunman on a bike. Also,a school girl, 17, was robbedof her phone and N15,000 atScout-White Street, Fegge,”it said.According to the News

Agency of Nigeria (NANS), CDsaid recently, some motor-cycle riders, who specialisedin robbing people at nightin Onitsha and its environs,especially at major busstops, had been operating inthe area. “Likewise, there have beenincreased thug and hood-lum activities in most parksin Upper Iweka axis,Onitsha, where three liveswere lost recently. Guns andother dangerous weaponswere freely used in theclashes, thus making blood-letting a common scenario,”it stated.

‘Forcing people to become Muslimsis illegal, un-Islamic’By Abiodun Fagbemi, Ilorin

APROFESSOR of IslamicStudies at the University of

Ilorin, Yasir Quadri hasdescribed as heresy anyattempt by any group or indi-vidual to coerce anyone intoIslam.According to Quadri, the

Qur’an and Haddith (sayingsof prophet Mohammed) andthe Nigerian Constitution donot make the issue of religion

a compulsory one. He never-theless did not condemnevangelism through thepeaceful spread of one’s reli-gion.Therefore, in his views, mem-bers of the Boko Haram groupwho seemed to have takenreligion to the point ofextremism leading to intoler-ance are doing what offendsboth the Qur’an andConstitution of the country.The don, who spoke at the

weekend in Ilorin while deliv-ering his inaugural lectureentitled “All In The Name OfGod” said the provision of theconstitution of the countryon religion is in line with thatof the Qur’an, noting thatdemands and mode of opera-tion of the Boko Haram groupare not Islamic.He stated: “The stand of theNigerian 1999 Constitutionagrees totally to the view ofthe Qur’an on multi-religiouscommunity. Qur’an 10:99-100 makes it clear that it isthe wish of Allah not to makeeverybody a Muslim. He hasgiven everybody the choice tochoose which religion he/shewants to adopt.“Qur’an 2:256 is emphatic onthe issue of freedom of reli-gion. It reads: “There is nocompulsion in religion.Verily, the right path hasbecome distinct from thewrong path.”Quadri stated that “from

Canada scores Nigeria’s democracyhigh, votes $5m for 2015 pollsFrom Alemma-Ozioruva Aliu,Benin City

CANADA has expressed sat-isfaction with the level of

Nigeria’s democratic gover-nance and pledged to spend$5 million to help conductthe 2015 general elections.

The Canadian HighCommissioner to Nigeria, Mr.Chris Cooter, who spoke at aninteractive session withmedia and civil societygroups yesterday in Benin,Edo State capital, said theCanadian government wasessentially impressed withthe Independent NationalElectoral Commission(INEC’s) conduct of the 2011general elections and othersubsequent polls in somestates of the federation.“We hope it will get better in2015, and we have dedicatedabout $5 million to that proj-ect. We will be working withProf. Attahiru Jega and INECvery closely to promotedemocracy in Nigeria,” hesaid.According to the News

Agency of Nigeria (NANS), theHigh Commissioneracknowledged that since hisarrival in the country threeyears ago, “Canada has seengreat improvement in gover-nance in your country. It doesnot mean we have to have arevolution. But it just meansthat there has to be a littlemore of transparency in gov-

ernance and a bit more ofgood governance to make adifference in most peoples’lives.“It is never a straight path.But a path that requires a lotof people working together.But I am confident thatNigeria will make lots ofprogress because we have hada great year with Nigeria.”The ambassador called for avibrant presence of civil socie-ty groups as “a guarantor ofgood governance.” “I thinkyou are getting it right now. Ihave travelled to 29 of the 36states and we can see theimproved difference in gover-nance,” he said.Cooter said his country wasbuilding a foundation thatwould work with Nigeria “in away that has never been donebefore”, noting that “It isbrand new. We are going tostand together and will alsoshare our challenges togeth-er’’.Cooter, who spoke on vari-

ous relationships betweenthe two countries with newtrade relationships andexchange programmes thatwould boost socio-economicdevelopment in the country,however, called on theFederal Government toensure that there were nocases of human rights abusesin the on-going state of emer-gency declared in somenorthern parts of the country.

Earlier, the ExecutiveDirector of Africa Network for

Environment and EconomicJustice (ANEEJ), Rev. DavidUgolor, had commendedCooter and his home govern-ment’s interest in the demo-cratic growth of Nigeria.

these Quranic verses, it is clearthat Boko Haram cannot claimto be an Islamic organisation.Neither can it claim to beguided by the Tradition (sun-nah) of ProphetMuhammad.”He added that Qur’an forbidswaging of war in the name ofreligion to coerce others toaccept a particular faith orideology, saying “it is live andlet live.”Quadri who disclosed that

evidences from the traditionof Prophet Muhammad donot support the affiliation ofBoko Haram to Islam said sui-cide bombing which is themajor weapon of attack of thegroup against its target is con-demned in Islam.

8

AfricanNewsTHE GUARDIAN, Monday, May 27, 2013

After 50th anniversary, AU leaders tackle conflicts, others ADAY after the African

Union’s (AU) leadersthrew a lavish birthday partycelebrating everything posi-tive in the organisation’s 50years of existence, they metyesterday to tackle ongoingconflicts on the continentamong other issues.The long-running unrest in

eastern Democratic Republicof Congo, according toAgence France Presse (AFP),dominated the start of thetwo-day AU meeting, as lead-ers from the Great Lakes re-gion met for the first timesince signing an agreementin February aimed at restor-ing peace in the region.

“A lot of progress has beenmade... I think we will be ableto fix it, the Congo is going tobe fixed,” TanzanianPresident Jakaya Kikwete saidafter the meeting, on thesidelines of the main summitat AU headquarters in theEthiopian capital.

Tanzania is sending 1,280troops to join a new UnitedNations brigade with a man-date to conduct “targetted of-fensive operations” againstrebels in DR Congo’s mineral-rich east.

However, UN chief Ban Ki-moon was more hesitant, say-ing that while progress wasbeing made, promises on pa-per must be enacted on theground.“We will need the test of im-

plementation,” said Ban, whovisited the flashpointCongolese town of Goma lastweek as part of a regionaltour.

Mali is also expected to bediscussed at the summit: it isabout to receive a UN peace-keeping force to supportFrench soldiers who havebeen fighting Islamist rebelsin the country’s desert north

since January.War-torn Somalia, where an

AU force is battling Islamistinsurgents, is also being dis-cussed, including the thornyissue of a breakaway south-ern region, which threatensto create rifts between thecentral government inMogadishu and neighbour-ing Kenya and Ethiopia, bothwith troops inside the coun-try.Leaders were also discussinga proposal to urge theInternational Criminal Courtto back off the trial of Kenya’sleaders on charges of crimesagainst humanity.The proposal, agreed by AU

foreign ministers onThursday, would ask the ICCto refer the trials of KenyanPresident Uhuru Kenyattaand Vice President William

Ruto back to their homecountry.

The proposal would haveno legal impact on ICC pro-ceedings if passed, but wouldsignificantly boost Kenyatta’sstanding on the continent.Kenyatta and Ruto, elected

in March, both face trial inThe Hague for their allegedroles in orchestrating deadlyviolence after previous elec-tions in 2007.

However, after hours oftalking, diplomats said mem-bers were divided on the pro-posal.

If passed, it would be sec-ond time the pan-Africanbody has moved formallyagainst the ICC, even thoughKenyatta is the secondAfrican leader to face trial af-ter genocide charges werebrought against Sudanese

President Omar al-Bashir.Amnesty International has

urged leaders to throw outthe proposal it said was a“worrying attempt by theKenyan authorities to avoidjustice”.

The rights group called onthe 34 AU members who havesigned the ICC’s foundingRome Statute – includingKenya – to “protect the inter-national justice mechanismthey have committed to”.

However, despite opti-mistic rhetoric at Saturday’sanniversary celebrations

praising the spirit of pan-Africanism, the continentand the 54-member bloc isfaced with divisions.

Splits revealed by the 2011conflict in Libya – when mem-bers squabbled betweenthose wanting to recogniserebels and those backingleader Muammar Gaddafi –showed its disunity and lackof global clout.

Gaddafi’s death alsostripped the AU of a majorsource of funding. Leaderswill discuss finding backersfor the cash-strapped body at

Africa remains the world’s poorest continent andits most war-prone, but development indicators –including health, education, infant mortality, eco-nomic growth and democracy – have improvedsteadily in the past 50 years.

Mugabe, in intimate documentary, claims Mandela too soft on whitesPRESIDENT Robert Mugabeof Zimbabwe, in a docu-mentary giving a rare and inti-mate look into his family life,has criticised South Africa’sformer President NelsonMandela for being too soft onwhites, according to agencyreports.The 89-year old and one ofAfrica’s longest serving andmost vilified leaders, in a cosylunch setting with his wife andchildren, reportedly speaks ona wide range of issues from hiscontroversial hold on power,to his relationships with for-mer British premiers – TonyBlair and Margaret Thatcher.In the two-and-a-half hourinterview described in detailby British and South Africanmedia ahead of its airing,

shows the usually bellicoseand sharp-tongued Mugabe asa loving family man.A report by Agence FrancePresse (AFP) indicated that DaliTambo – the son of SouthAfrican anti-apartheid hero,Oliver Tambo – produced thedocumentary, which will bebroadcast on South Africanpublic television next Sunday.In the programme, Tambodines with Mugabe’s family athis wife, Grace’s dairy farm.The interview is coming justmonths before crucial general

Mandela has gone a bit too far in doing good to thenon-black communities, really in some cases at theexpense of (blacks)… That’s being too saintly, toogood, too much of a saint. elections in the country whichin recent decades has gonefrom being the breadbasket ofsouthern Africa to its biggestproblem.One of Africa’s most popularliberation leaders, Mugabe hasclashed with the West overcontroversial policies, whichsaw white-owned farms vio-lently seized over a decade ago.In neighbouring SouthAfrica, where white land own-ership is still a flashpoint,Mugabe says former presidentNelson Mandela was not hard

enough.He said former colonial mas-ters Britain – with whom hehas had a fraught relationshipover the land grabs –”willpraise you only if you are doingthings that please them”.“Mandela has gone a bit toofar in doing good to the non-black communities, really insome cases at the expense of(blacks),” Mugabe said of hisformer South African counter-part.“That’s being too saintly, toogood, too much of a saint,” he isquoted as saying in the docu-mentary in South Africa’sSunday Independent.Despite Mugabe’s disagree-ments with former BritishPrime Minister MargaretThatcher, who died in April, he

says he preferred the IronLady to her later successor,Tony Blair.“Mrs. Thatcher, you couldtrust her. But of course whathappened later was a differentstory with the Labour Partyand Blair, who you could nevertrust,” said Mugabe.“Who can ever believe whatMr. Blair says? Here we callhim Blair.”But despite having governedfor 32 years, Africa’s oldestruler also insists on staying inpower.According to The Guardianin Britain, the topic of the up-coming vote unleashesMugabe’s fiery rhetoric as hebangs his fist on an armrestand insists: “There is a fight tofight.”

the summit meeting open-ing yesterday.

Africa remains the world’spoorest continent and itsmost war-prone, but develop-ment indicators – includinghealth, education, infantmortality, economic growthand democracy – have im-proved steadily in the past 50years.The continent is also home

to some of the fastest-grow-ing economies in the world,according to theInternational MonetaryFund, and has attracted hugeamounts of foreign invest-ment in recent years.

Brazil announced onSaturday it was cancelling$900 million (700 million eu-ros’) worth of debt in 12African countries as part of abroader strategy to boost ties.

THE GUARDIAN, Monday, May 27, 2013 9

WorldReport

Supporters of the anti-gay marriage movement, “La Manif Pour Tous” (Demonstration for all), take part in a march inParis during a mass protest against a gay marriage law…yesterday. PHOTO: AFP

Syrian war spills into Lebanon as rockets hit Hezbollah’s heartland ASHI’ITE Muslim district of

Beirut was yesterday hitby two rockets, drivinghome the risk of spilloverfrom Syria’s civil war justafter the head of LebaneseShi’ite militant Hezbollah,Hassan Nasrallah, said thegroup would keep fightingon the Syrian government’sside until victory.A report by Reuters indicat-

ed that it was the first attackto apparently targetHezbollah’s stronghold inthe south of the Lebanesecapital since the outbreak ofthe two-year conflict inneighbouring Syria.

However, another reportby Agence France Presse (AFP)stated yesterday that Syrianregime forces backed byfighters of Hezbollah con-trol 80 per cent of the strate-gic town of Qusayr, quotinga source close to theLebanese Shiite movement.

“We still have to takeanother 20 per cent ofQusayr, since we took 10 percent yesterday and the restwas already in our hands,”the source said, declining tobe named.In addition, “the main road

between Baalbek and Homshas been secured,” he said,referring to a vital arterythrough which the powerfulShiite movement sends men

and equipment to Syria.In another development,

Bahrain’s Foreign Minister,Sheikh Khaled al-Khalifa,said yesterday that theleader of Lebanese Shiitemovement Hezbollah is a“terrorist” who must bestopped.

“Terrorist Nasrallah hasdeclared war on his nation,”said Sheikh Khaled al-Khalifa on his Twitter

Bahrain wants Nasrallah stopped, pro-Assad forces now control Qusayraccount.

“Stopping him and rescu-ing Lebanon from his grip isa national and religious dutyfor all of us,” he said.

Meanwhile, Twenty-twoHezbollah fighters werekilled in the Qusayr battle onSaturday alone, a sourceclose to the Lebanese groupsaid.

“There were 22 killed onSaturday. Nine bodies were

repatriated the same dayand the rest yesterday,” thesource said.

The United States andRussia have proposed aninternational peace confer-ence to douse a civil war thathas killed more than 80,000people, driven 1.5 millionSyrians as refugees abroadand raised the spectre of sec-tarian bloodshed in thewider region.

ABOUT 24 people werekilled in an attack by a

heavily-armed gang of nearly300 Maoist rebels on a con-voy of local Congress partyleaders and supporters incentral India.

The land mine and gunattack on Saturday was thedeadliest in three years, andthe latest in a long-simmer-ing conflict that pits theinsurgents against authori-ties in the forests of mainlycentral and eastern India.

Congress chief, SoniaGandhi, who rushed to theChhattisgarh state capitalRaipur along with Prime

Maoist rebels kill 24 in central India’s ambushMinister Manmohan Singhafter the ambush, con-demned what she called a“cowardly act” by the Maoists.

“It is not an attack onCongress or its leaders, but anattack on democratic values,”she told Congress party work-ers after visiting the injured,according to the Press Trust ofIndia news agency.

State Congress chief NandKumar Patel, his son Dinesh,and former state home minis-ter Mahendra Karma, whohad set up a controversialanti-Maoist group in 2005,were among those killed inthe assault in a remote tribalbelt of the state.

Serbia reburies last Yugoslav king

DIGNITARIES yesterdayjoined hundreds of royal-

ists in Serbia as Yugoslavia’slast king Petar IIKaradjordjevic, who fled theNazi occupation of his coun-try just days after being pro-claimed monarch at the age of17, was reburied with statehonours.

The event took place in thecentral town of Oplenac, 43years after King Petar’s deathin the United States.

“Our king was forced toleave, he was forced never toset his foot back to his home-land, but now, finally, he ishere where he belongs,” Milka

Radojicic, a 78-year old fromthe nearby town of Topola,said with tears in her eyes.Petar was laid to rest along-

side his mother Marija – agreat-granddaughter ofBritain’s Queen Victoria – aswell as his wife, Alexandra, thedaughter of King Alexander Iof Greece, and his brother,Andrej.

Their coffins, draped inSerbian state flags, were laidout in the Orthodox church ofSaint George during the litur-gy performed by SerbianPatriarch Irinej before beingtaken to the royal family cryptin Oplenac.

Thousands rally against gay marriage in Paris THOUSANDS of people yes-

terday marched throughParis to protest a new gaymarriage law, with police onhigh alert amid warningshardliners could infiltrate thedemonstration and causetrouble.

One of President FrancoisHollande’s campaignpledges, the bill allowingsame-sex marriage and adop-tion was voted into law onMay 18 following months ofprotests across a country thathas been bitterly divided overthe issue.“Yes to human dignity”, one

banner read as protestersblowing whistles and hornsmarched. One man dressed inblack, holding a scythe andwearing a mask of Hollandestood behind a coffin in

which lay a mannequindressed as Marianne, theemblem of France.Some 4,500 security forces

have been mobilised for thislast-ditch show-of-force,which has seen opponents ofthe law travel to Paris fromacross France in speciallychartered trains and buses.In Poland some 10,000 pro-

testers marched in solidaritywith the French, to defend thetraditional family structure.

Interior Minister ManuelValls has warned that so-called “ultras” – many of themfar-right nationalists – areexpected to infiltrate theprotest and cause unrest, andadvised parents not to bringtheir children with them.

Many in the protest hadhowever ignored the warn-

ing, bringing their children asothers had in previous demon-strations.“We keep hearing about a far-

right movement, I can see onlyfamilies here,” said one mancalled Raoul, who came fromthe city of Dijon, some 300kilometres (186 miles) away.

By mid-afternoon, no inci-dents had been reporteddespite the presence of far-right activists, some of whomleft the protest and brieflyunfurled a banner urgingHollande to resign on theSocialist party’s headquarters.Supporters and opponents of

the bill began protesting lastautumn when it was adoptedby the cabinet, and continuedto do so at regular intervalsthroughout the country dur-ing the legislative process.

Israeli-Palestinian peace possible, says PeresPRESIDENT Shimon Peres of

Israel has declared thattime should not be wasted inthe search for peace betweenhis country and thePalestinians, calling it “a realpossibility”.“Two points are urgent: We

shouldn’t lose the opportuni-ty because it will he replacedby great disappointment,”Peres told reporters on thesidelines of the WorldEconomic Forum (WEF) onthe banks of the Dead Sea inJordan.“We have to come over scep-ticism and doubts. Second, Ifeel it is a real possibility,” hesaid, speaking in English.He said the two sides alreadyhave a “functioning” solu-tion.“As far as the Palestinians are

concerned, we have a func-tioning beginning and anagreed solution. The solutionis the two-state solution – liv-ing in peace and dignity,”Peres said.“I am aware of the missing

links residing between thetwo ends. From my experi-ence, I believe it is possible toovercome them, it doesn’trequire too much time. It isthe real interest of all partiesconcerned.”Peres said time should not bewasted.“This is an important oppor-

tunity to reiterate our will,not to waste time and toreturn to negotiations andcomplete the peace processwith the Palestinians basedon two states for two peoples— an Israeli state and a

Palestinian state living asgood neighbours and cooper-ating economically for thegood of future generations,”he said.His remarks came a day afterPalestinian president told theWEF that peace betweenIsraelis and Palestinians is“still possible”.Abbas called on Israel to “endthe occupation of our lands”,evacuate settlements and freePalestinian prisoners.“This is what will make peaceand ensure security for youand for us,” he said.

U.S. Secretary of State JohnKerry on Friday urged Israeliand Palestinian leaders totake “hard decisions” torestart talks, at the end of hisfourth visit to the region sincehe took office in February.

10 THE GUARDIAN, Monday, May 27, 2013

Politics

INTRODUCTION to this analysis on the electionof the Nigerian Governors’ Forum (NGF) andits aftermaths last Friday is premised on the fol-lowing assumptions and axioms: • There was an election called, and conductedfor the governors. • Thirty-five governors were present and theyvoted according to their conscience in a secretballoting. • At the end of the voting, Rivers State Governorand incumbent chair of the forum, ChibuikeRotimi Amaechi, was declared winner.• There are photographs from the venue show-ing the results of the election being declared.• Some governors, dissatisfied with the out-come of the election, convened in another loca-tion to choose their preferred candidate, as thenew chairman of the forum.• That a simple election, designed to choose theNGF chairman has been made to engulf, and,indeed, heat up the entire polity. After several postponements, and the interplayof intrigues on both sides to the election, it wasfinally held at the Rivers State Governor’s Lodgein Abuja.As expected in any contest, a winner emergedin Governor Amaechi, who sought a secondterm in office till 2015.But, as it has become the norm rather than theexception in the Nigerian bruised electoral sys-tem, whether for public or private offices, someof the governors; in fact, majority of the stateexecutives that took part in the exercise, protest-ed its outcome.Some of their complaints, which would seem

an after-thought, are that:• Governor Amaechi should have resigned hisposition before seeking re-election• He ought not to preside at the election inwhich he was a candidate. • The governor usedhundreds of armed policemen to barricade theentrance to the venue of the election so as to pre-vent them from staging a walkout before thepolling.So, for these reasons, according to theGovernor of Akwa Ibom State andChairman of the PDP Governors’Forum (PDP-GF), Chief GodswillAkpabio, Amaechi breached the rulesand regulations of the NGF.Consequently, the aggrieved gov-ernors, numbering 19 on paper,announced the choice of the PlateauState governor, Jonah Jang, who stoodat the election against Amaechi, as thenew NGF chairman.The governors include: Akpabio

(Akwa Ibom), Jang (Plateau), IbrahimHassan Dankwambo (Gombe),Seriake Dickson (Bayelsa), GarbaUmar (Deputy Governor of Taraba),Gabriel Suswam (Benue), Peter Obi(Anambra), Idris Wada (Kogi),Olusegun Mimiko (Ondo),Mukhtar Yero (Kaduna),Sullivan Chime (Enugu),Martin Elechi (Ebonyi), IsaYuguda (Bauchi),Emmanuel Uduaghan(Delta), Theodore Orji(Abia), Ibrahim Shema(Katsina), Ibrahim Geidam(Yobe), Liyel Imoke (CrossRiver), and AbdulFatahAhmed (Kwara). The questions to ask are

numerous, among them: • Did the distressed gover-nors participate in the elec-tion? • If so, were they forced todo so? • Did they point out thecomplaints they now lev-eled against Amaechibefore the election? • If yes, what was theresponse?

• If no, what did they do to remedy the situa-tion before the election? • If nothing was done to that effect, why didthey participate in an otherwise flawed andnot transparent process? • Were they hopeful that their preferred candi-date, Jang, would win in the balloting? • Or they knew he would not win, and merelyparticipated, to fulfill all righteousness andprotest the outcome thereafter, to discreditthe process, and achieve a preplanned goal?More questions, and which bring us to the

issue of “picture does not lie.” But that’s beforethe coming of the computer, which adepts canmanipulate to produce images that do not rep-resent or tell the actual story but intended tobe taken as such by the gullible public.Yet, that is not what the photograph on this

page depicts. In it are identified real snapshotsof some members of the Nigerian GovernorsForum at the election. They are, front row: Dr.Kayode Fayemi of Ekiti State; Babangida Aliyu(Niger); Amaechi (Rivers); Murtala Nyako(Adamawa); Sule Lamido (Jigawa); and backrow: Chief Abiola Ajimobi (Oyo) and Mr.Babatunde Raji Fashola of Lagos State. The photograph was taken on Friday duringthe announcement of the outcome of the elec-tion into the vacant seats of chairman and vicechairman of the NGF. Thus, the focus of attention of the governorsand newsmen in the photograph was theDirector-General of the NGF, Mr. Asishana BayoOkauru (speaking into the microphone), thereturning officer for the election, who declaredGovernors Amaechi and Ibrahim Yari ofZamfara State duly elected as chairman andvice chairman, respectively. Announcing the result of the chairmanship,

Okauru said: “The governor of Yobe was notpresent. We counted all the votes, and thechairman, Chibuike Rotimi Amaechi of RiversState emerged winner with a total of 19 votesagainst the governor of Plateau State (JonahJang), who secured a total of 16 votes.”He gave the background to how Governors

Yuguda (Bauchi) and Shema (Katsina) yieldedthe slot to Jang when the two couldnot agree to step down for oneanother.

He also said that GovernorMimiko (Ondo) withdrewfrom the race and yieldedthe vice chairmanship

position toGovernor

Abdul-Aziz Yari of Zamfara State, “who, as fromtoday, is the vice chairman of the NGF.”Interestingly, none of the complaining gover-nors is seen in the photograph, which mightraise the poser: Was the picture taken after theyhad left the place?Still, the issue remains that they were there

while the voting was going on, they voted in theprocess and waited for the results to be counted,collated and being announced without asmuch as raising objection to the declaredresults at the venue of the election.But amid the reported high-fives given by

members of the Amaechi camp over their candi-date’s triumph, the saddened governors madeout of the venue and regrouped at the AkwaIbom Lodge to denounce the election, and picktheir own men — Jang and Mimiko — as chair-man and vice chairman accordingly.If the governors actually participated in the

election, why wouldn’t they accept the results?Commenting on the development, a respon-

dent wondered if the governors have no hon-our, stressing, “Even among thieves, there’s hon-our.” The source queried: “Why won’t these gover-

nors, who claim to be gentlemen, accept theresults of the election, which they participatedin? I’m surprised they turned around todenounce the outcome of the poll in which theyvoted without compulsion.”Except that that outcome did not meet their

expectations, as vividly illustrated by the pressstatement they distributed to journalists.Entitled, Resolution of Nigerian Governors, itreads:

“We, the undersigned governors of theNigerian Governors’ Forum, having taken cog-nisance of the state of the nation, and the per-ception of the Nigerian people, do herebyresolve as follows:“That we thank the outgoing chairman, His

Excellency, Chief Rotimi Amaechi, Governor ofRivers State for his leadership and achieve-ments.“That we strongly agree for a change of leader-ship of the forum from May 2013 to May 2015.“We hereby elect His Excellency, Jonah Jang of

Plateau State asthe new chair-man.”

But as onemediareportnoted,

“the entire statement was typed,” but Jang’sname “was written with pen, which indicatedthat his coming into the race was not pre-determined.”Undeniably, a close scrutiny of the statementshowed that it was prepared well in advanceof the election; or that many of the names andsignatures of the 19 governors were forged.Either of the scenarios is tenable in this cir-cumstance.First, paragraph 2 of the original statement

reads: “That we strongly agree for a change ofleadership of the forum from April 2013 toApril 2015.”Does that ring a bell? Well, the dates were

crossed out with pen and replaced with:“from May 2013 to May 2015.” Second, the 19 governors purportedly signedthe statement after the election was rejected.But when the statement was being read tojournalists at the Akwa Ibom Lodge, only 10governors were present. They were: GodswillAkpabio (Akwa Ibom), Sullivan Chime(Enugu), Isa Yuguda (Bauchi), Idris Wada(Kogi), Liyel Imoke (Cross River), Martin Elechi(Ebonyi), Jonah Jang (Plateau), IbrahimShema (Katsina), Peter Obi (Anambra) andTheodore Orji (Abia).The logical question: Where were the other

nine governors who signed the statement? Third, when actually was the statement

made and signed? Was it before or after theelection, and at what grounds — at the pollvenue or elsewhere?It would have been plausible to assume thatthe statement was prepared after a meetingof the aggrieved governors at the behest ofGovernor Akpabio. “But a close examination of the statement

would reveal otherwise,” according to asource. “Note that Governor Ibrahim Geidam(of Yobe State) and Governor Dankwambo(Gombe) were reportedly not at the meet-ing(s), including, maybe, the one at the AkwaIbom Lodge, and the election, although theDirector-General of the NGF only mentionedGeidam as being absent from the voting.

Yet, they signed the statement per-sonally — and not that some per-

sons signed for them. So, where

did

By Ehichioya Ezomon(Group Political Editor)

Governors’ Forum poll:Dangerous dress rehearsal

Results of the election being announced by the Director-General of the Nigerian Governors’ Forum... on Friday.

they get them to append their signatures to adocument that was prepared immediately afterthe election?

Except, of course, the signatures were forged.“And that’s something the governors wouldn’tdo or like to be associated with,” a source said,stressing, “the statement was prepared well inadvance of the election.”“And I can tell you that the statement was taken

to the election venue, but its release was shelved,perhaps to save themselves (governors) theembarrassment of reading it there and facequestioning from journalists.”

Which leads to the next line of reasoning: Thestatement was prepared ahead of the election.

Recall media reports in the run-up to the elec-tion that the pro-presidency governors, in leaguewith the PDP secretariat and its affiliate PDPGovernors Forum, headed by Akpabio, were col-lecting signatures of anti-Amaechi governors.This would explain the appearance of the names

and signatures of Governors Geidamand Dankwambo on the statementread to the press by the anti-Amaechigovernors on Friday.Governor Jonah Jang, who claimed to

be the chosen new chair of the NGF,partially answered this puzzle whenhe addressed his new group and thepress. According to him: “The northern gov-

ernors met in the morning (of Friday)and both Shema and Yuguda (whohad obtained the form to contest thechairmanship of the NGF) agreed tostep down and I was asked to take theirplace.

“The PDP governors also agreed andendorsed the action.

“Any further discussion about theNigerian Governors’ Forum, I shouldbe addressed as the chairman of theforum as from today.”Jang’s declaration that he stood by the

pre-election arrangement of the PDPgovernors endorsing him as their can-didate is amusing, and a further proofthat the statement to the press wasprepared in advance of the election.

Besides, as a respondent argued, theanti-Amaechi group’s claim that they“elected” Jang outside the purvey ofthe NGF’s constitution, and withoutthe participation of the 36 states’ gov-ernors “amounts to a coup against theleadership, and, indeed, the entiremembership of the NGF.”

This sits well with the alleged issue ofa ‘Plan B’ by the anti-Amaechi gover-nors, which, beyond doubt, they dis-played on Friday. From the foregoinganalysis, it is definite that the gover-nors’ statement read to the press wasprepared in advance, as the signaturesthereto signify.

And why would they prepare a statement inadvance of the election? The only explanationbeing that they saw the handwriting on thewall, even as they were marching into thevenue of the poll.

Indeed, on the eve of the election, a sourceclose to one of the arrowheads of an anti-Amaechi group disclosed that, “the situation(getting majority votes for the pro-presidencycandidate at the election) is very dicey. We arenot sure of the outcome.”Pressed for details, the source said: “We fear he

(Amaechi) will win. Everything we have tried,but the outcome is still cloudy. We hope thingswill change as we move along.”

And in the event of failure of their candidate,the source said: “We wait and see. But I knowthere’s an option. We may have to use that.”

Is that option or ‘Plan B’ the same as the state-ment the disaffected governors read to journal-ists, discounting the election the ReturningOfficer, Mr. Okauru, described as transparent?If it were, it has served one purpose: to discred-

it the election, and further polarise the totter-ing forum. But the bigger purpose is to weakenthe body and take out bite from its bark, as thathad reportedly been the presidency’s grousewith the group, and especially its chair,Governor Amaechi.Amaechi is accused of standing up to the pres-

idency in matters concerning the Federal andState Governments, which the governor pur-sued and defended in the interests of the states.

While he has had brushes with presidentialaides, and also allegedly tangled with the wifeof the president over the demolition of thewaterfronts in Port Harcourt; Amaechi crossedthe Rubicon when he dared to aspire to thepresidency as a possible running mate to SuleLamido of Jigawa in 2015.

This ambition directly challenged PresidentJonathan’s reported, but obvious bid for a sec-ond term in office in the same 2015.

“An Amaechi from the same South-Southwould put that ambition in jeopardy,” a sourcesaid last night.“This is the crux of the crusade to stop Amaechi

from even re-contesting not to talk of winningthe chair of the Nigerian Governors’ Forum,”the source added.

But that plot, if there was one in reality,appeared to have failed last Friday, givingAmaechi a somewhat temporary reprieve.Like his Nemesis, certainly, the under fire gov-

ernor could have had a Plan B in the event thathe lost at the election, which was not a far-fetched possibility, considering the forces thatwere ranged against him: the presidency; thenational leadership of the PDP; a faction of theRivers State chapter of the party; the individualgovernors opposed to his aspiration; the PDPGovernors Forum; and a motley of former mili-tant leaders in the Niger Delta, who protestedin Port Harcourt for days and demanded hisresignation.

But the supposed Amaechi Plan B is of no useat the moment; it has to be reserved for futureeventualities, as the forces against him may notrelent unless wise counsel prevails in the reali-sation that power belongs to God.

It’s noteworthy that while hailing his electionas a sign of matured democracy, the governorpledged to work with the president, who’saway in Addis Ababa, Ethiopia when the elec-tion held, to achieve his government’s agendafor the country.

But whether this assurance encompasses hisbacking for Jonathan’s 2015 push will be dis-cernible in no distant time. And the earlier hedefines that position, the better for his politicalcareer.

Until then, the public keenly is watchingAbuja, Port Harcourt, Jos, Gusau, Akure, andUyo — the operational bases of the Presidencyand the PDP national secretariat; GovernorAmaechi and the local chapter of the PDP;Governor Jang, Governor Yari, GovernorMimiko, and Governor Akpabio, correspond-ingly — for the latest scheming on the road to2015!

REACTIONS have continued to trail week-end election of the Nigerian Governors’

Forum (NGF) and the aggregate view is that ofbewilderment, disappointment, fear and con-demnation.Among those who spoke to The Guardian are:

Lagos lawyers Femi Falana (SAN), SundayAdeeko and Fred Agbaje; and formerGovernors Balarabe Musa and Segun Osoba.

Falana, a former President of the WestAfrican Bar Association (WABA, deplored theaction of those governors loyal to the PlateauState Governor, David Jang, who refused toaccept the outcome of the Forum’s election.

Falana noted that the wrong message theiraction has sent to Nigerians and the interna-tional community is that the governors couldnot conduct a valid and acceptable election.

“The inability of the 35 state governors toconduct the election of their officers hasexposed Nigeria to ridicule before the inter-national community,” he said.

“I have confirmed that Nigeria was a butt ofjokes at the venue of the just-concludedConference of the African Union when it wasreported that governors in Nigeria could notsuccessfully conduct election of their clubmembers.”

He feared that if state executives could rejectthe results of a club election, the dangerouspractice might be extended to the 2015 gener-al elections.

“More so, that some official thugs havethreatened that Nigeria would break up if aparticular candidate is not re-elected byNigerians,” he said.

Falana said it is disturbing and distasteful tohear self-confession by the pro-Jang gover-nors that the name of those who would votefor Jang had been compiled before the elec-tion.

“What this clearly means is that the electionhad been concluded even before voting start-ed,” he said, adding, “this is not only un-acceptable, but it also gave a glimpse intohow rigging is carried out in the country’svarious elections.

He criticised the governors for saying thatAmaechi did not resign before the election,and challenged them to tell the public if theyresigned before they re-contested their elec-tions as governors.

“In any case, having not complained beforethe NGF election  for the candidates of theirchoice, all the 35 governors, who took part inthe election, are deemed to have waived anyright to challenge the procedure collectivelyadopted and agreed upon by them at the vot-ing centre,” he said.

Mr. Adeeko, who is also a political commen-tator, described as a show of shame the pro-Jang governors’ rejection of the results of theForum’s election.

He blamed the crisis on the presidency,which, he said, was bent on hijacking all insti-tutions to satisfy the political interest of justone person in 2015.

“Although I am not particularly impressedwith the achievement of NGF since its incep-tion, the controversy generated by the pastelection shows that it has become a majorstakeholder in Nigeria’s polity,” he said.

“The reactionary forces are bent on decimat-ing the NGF, as they have done to other likeinstitutions. It is such a shame.”

Alhaji Balarabe Musa, who heads theConference of Nigerian Political Parties(CNPP), has called on President GoodluckJonathan to tread carefully over the contro-versies surrounding the election of the NGF.

Musa blamed the president for unnecessarymeddling in the governors’ affairs, as a resultof his 2015 ambition.

He said nobody should try to deceiveNigerians again, as the president is personal-ly involved in the Governors’ Forum electionbecause of his desperation to contest in 2015.

“He wanted to manoeuvre every institutionin the country ahead of 2015 and the NGF arenot willing to concede to such; that was thereason such controversy is coming up thistime,” he said.

“I don’t see why Mr. President should beinterested in who becomes the chairman of

the forum, as long as the body is a mereassociation of state executives where theyregularly meet to discuss and thinker onthe development and happenings in theirstates.

“The bond of unity, nationality and focusof the NGF is becoming a threat to the 2015ambition of Jonathan and he is ready to dowhatever is in his power to dislodge themor impose a surrogate chairman on theforum.”

Interpreting what he claimed Jonathanwas trying to do by imposing his choicechairman on the NGF, Musa said,“Jonathan is gradually tilting towards dic-tatorial tendencies to achieve his aim. Heshould allow the governors to do whatthey want, choose their chairman withoutinterference.”He added that what the Governors’ Forum

is doing is better than what the governorsin the Second Republic did.

“I personally salute the courage of thepresent governors and I can boldly say thatthey are doing better in terms of coopera-tion and progressiveness than what we didduring the Second Republic,” he said.

“They are more progressive in nature andirrespective of their different politicalbackgrounds, states and parties, they wereable to form a common front, discuss theprogress and development in their states,rally round their members whenever thereis the need and also extend developmentalideas across to one another.

“The forum has brought development tothe politics in the country; it is about theonly existing institution in Nigeria todaythat represents oneness.”

He also condemned the purported moveto impose Governor Jang as chairman ofthe forum, saying: “I wonder where thiscountry is heading. Someone like Jang,who has not been able to bring aboutpeace in his state in the last eight years,cannot be imposed as chairman of theforum.

“My advice to Mr. President is to desistfrom anything that would plunged Nigeriainto more crisis.”

To constitutional lawyer, Mr. Agbaje, thepresident has no right to interfere in theNGF election, “if we are practicing a trueand fair federalism.” Calling for caution on both sides, he urged

that the presidency and the governorsmust maintain the principle of integrityon the matter.

“What happened has revealed that thepresident has always been in control ofwhat goes on in the various states and thatwas what the governors tried to avoid byvoting their choice chairman,” he said.

“Principle of intimidation, headmasterand school boy or master servants muststop in this country.”

Explaining that Jonathan could not claimnot to be involved in the NGF election,Agbaje said if Governor Amaechi had lost,Jonathan would have been the first to con-gratulate whoever was the winner. “But with the development, the two paral-

lel sides that emerged would be very goodfor the coming 2015 election,” he said.

“The governors can now strategise andwork according to their conscience in thecoming elections instead of the usualbandwagon effect of the past.”

Still, Agbaje expressed worry that if thegovernors could not organise their elec-tion free from rigging, “how can we thenthrust them to conduct free and fair elec-tions in the various councils.”

“The NGF election has revealed a lot ofissues that would make the 2015 electionsvery interesting,” he said.

However, Chief Osoba, a chieftain of theACN and former governor of Ogun State,said President Jonathan has every right tomeddle in anything, as long as it has to dowith politics and interest. “It is, however, the governors, who should

stand up and defend their right,” he said,adding, “as long as it remains a game ofinterest and politics, you cannot rule thatout.”

11POLITICS THE GUARDIAN, Monday, May 27, 2013

Governors’ Forum poll: Dangerous dress rehearsalInterestingly, none of the com-plaining governors is seen in thephotograph, which might raise theposer: Was the picture taken afterthey had left the place? Still, theissue remains that they were therewhile the voting was going on, theyvoted in the process and waitedfor the results to be counted, col-lated and being announced with-out as much as raising objectionto the declared results at thevenue of the election.

Results of the election being announced by the Director-General of the Nigerian Governors’ Forum... on Friday.

NGF’s crisis portends danger to democracy,say Falana, Musa, Osoba, Agbaje, AdeekoBy Abiodun Fanoro and Seye Olumide

THE GUARDIAN, Monday, May 27, 2013 METRO 13

Photonews

Head, Legal Services, Stanbic IBTC,Angela Omo-Dare (left), Headmistress, Corona School, Victoria Island (VI),Ifueko Thomas, Head Girl of the school,Adi Shnayder, Head Boy, Kero Ogufere, and Special Duties, SeunOsiyemi, during an interactive forum on financial literacy with pupils of Corona School, VI, as part of the 2013Children’s Day activities ...on Saturday Senior Programme Manager, Africa, Vital Voices Global Partnership, Celena Green (left); President/Chief Executive Of-

ficer, Vital Voices Global Partnership,, Alyse Nelson; Chairperson, Women in Management, Business and Public Serv-ice(WIMBIZ), Mrs. Adeola Azeez, Management and Strategy Consultant, Mr. Adedotun Sulaimon and Senior Advisor,Africa Economic Development Policy, Open Policy Foundations, Obiageli Ezekwesili at the Supporting Public Advocacyfor Regional Competitiveness (SPARC) Programme and Forum organised by Vital Voices Global Partnership and WIM-BIZ in Lagos.

WAPA trains women in Lagos

EKITI State Governor, Dr. Kayode Fayemi will speak on how to“tackle the challenge of health and social inequity” at theeighth yearly Professor Olikoye Ransome Kuti Memorial Lec-ture, on Saturday, June 1, 2013 at the Lagos University TeachingHospital (LUTH), Idi-Araba, Lagos at 11.00a.m.Organized by the Women’s Health and Action Research Centre(WHARC) and the National Primary Health Care DevelopmentAgency (NPHCDA), it is named after Professor Olikoye Ran-some-Kuti, who epitomized ethical standards and principles inhealth care throughout his career.The Chairperson of WHARC Board of Trustees, Lady WinifredOnyeonwu, said the lecture would demonstrate an example ofgood health governance by a state in Nigeria and point the way

PHOTO: FEMI ADEBESIN-KUTI

Former Prelate, Methodist Church Nigeria, Dr. Sunday Mbang (middle), organizer of Mbang’s Spelling Prodigy forPrimary and Secondary Schools in Akwa Ibom, Mr. Ini Mbang (aka Brandiny) with the winners of the SpellingProdigy: Bright Future Secondary School, Uyo and Pegasus Primary School, Eket after the competition in Uyo,Akwa Ibom State…

Ransome Kuti

Fayemi to deliver eighth Ransome Kuti Memorial Lecture

President of Sierra Leone, Dr. Ernest Bai Koroma, his wife, Lady Sia Nyama and Wife of Nigeria’s President,Dame Patience Goodluck Jonathan receiving a flower from a girl during the launch of Teenage Pregnancy Strat-egy and the Second National Conference of Traditional and Religious Leaders in Sierra Leone

Chairman, Grand Oak Nigeria Limited, Mr. Anil Ahhiwelia (left), outgoing Managing Director, Grand Oak Limited, Mr. Ba-batunde Bajulaiye, new Managing Director/Chief Executive Officer, Grand Oak Limited, Mr. Askay Kumar and Commercial Di-rector of the company, Aare Fatai Odesile, at the sendforth ceremony in honour of the retiring Bajulaiye, in Oregun Lagos...atthe weekend.

LAGOS State Ministry ofWomen Affairs andPoverty Alleviation (WAPA)has commenced its regularSkill Acquired Training Pro-gramme at the instance ofthe Deputy Governor ofLagos State, Mrs. AdejokeOrelope-Adefulire, The training programme,which runs simultaneouslyin different locations acrossthe state, is designed totrain grassroots women andyouth to make them self-de-pendent.Ikorodu Constituency 1,Mosan Okunola Local Coun-cil Development Area(LCDA) Secretariat, Apapa,Coker Aguda and MainlandLocal Government are ex-pected to benefit from thefirst phase of the pro-gramme, while other local

By Banji-Idowu Bolanle

forward for others tofollow.Nobel Laureate, Pro-fessor Wole Soyinkawill chair the session,while Niger StateGovernor, Dr. Mu’azuBabangida Aliyu,Ogun State Gover-nor’s wife, Mrs. Olu-funso Amosun andDr. Ado Muhammad,Executive Director ofthe NPHCDA will bespecial guests.

PHOTO STATE HOUSE

councils will benefit fromthe second phase.Ikorodu Constituency 1 andMosan Okunola LCDA wereamong the constituencythat started the programmepenultimate Monday andabout 1,000 people partici-pated in the programme. Various vocations such asballoon decoration, cakebaking, pomade/soap mak-ing, beads stringing, weav-ing, hair dressing,insecticide production,stove thread making andevent decoration, tie anddye are being taught at thecentres.Honourable S.O.B. Agunbi-ade from Ikorodu Con-stituency 1 said WAPA isabout women, even thoughsome men also participatedin the programme. He saidthat among the things theybenefited from the pro-

gramme was the Ministry ofHealth that came to do thetest for breast cancer, hyper-tension and others. He saidthe programme is not forfun, is to make people to beself-employed. He said theywould try and empower thebest 50 participants to givethem stipend to start ontheir own as soon as theyfinish. He said almost 100 peopleare enjoying interest-freeloan from Skye Bank. One of the participants, Mr.Ogunfeyibo Adeolu, a re-tiree that came to the pro-gramme, said that he learnta lot of things about soapmaking. He said that afterthe programme, if the gov-ernment can empowerthem by supporting them fi-nancially, he would be ableto make the soap.

THE GUARDIAN, Monday, May 27, 2013 13

TheGuardian

Editorial

14 | THE GUARDIAN, Monday, May 27, 2013

LETTERS

Conscience is an open wound; only truth can heal it. Uthman dan Fodio 1754-1816

Conscience Nurtured by Truth

FOUNDER: ALEX U. IBRU (1945 – 2011)

Opon Imo yet to be launchedSIR: Having read through

the article written by oneAyo Aluko-Olokun in ThePunch of Thursday 16th ofMay, 2013 titled ‘Osun: WhyLaunch Opon Imo in Lagos?’, Icame to the sad conclusionthat the writer does not havethe slightest clue of what`Opon Imo’ is all about. I gotmore disappointed that thewriter is a journalist and apublic affairs analyst. Withthis kind of writing, thewriter has succeeded in mis-informing the public aboutthe computer learning tabletcalled Opon Imo.

For your information, Mr.Aluko-Olokun, the Opon Imohas never been launched any-where under the sun, not inLagos and not even inOsogbo. What has been heldso far has been series of pressbriefings, including the one

in Lagos, on the conceptionand progress on the project.There has been a pilot studylast year when the device wasgiven to a few students inOsogbo for test running andcollected from them after afew weeks. To date Opon Imo isyet to be launched, but it willbe launched on June 3rd, 2013at Ilesa.

The Opon Imo is the bestthing that could happen toany student anywhere in theworld. The advantages thislearning tablet has over phys-ical textbooks are immense.Which textbook in the worldcan ever have up to 63 sub-jects in it? Perhaps the writerneeds to come down to Osunto see for himself. You cannotsit in Lagos and be passingjudgement on the govern-ment of Osun. This preciousgem in the hands of these stu-

SIR: There are many forcesthat threaten the existence

of National Integration in oursociety.  One of them is thestrong feeling we harbourabout our tribes or religion,which often clash as a result ofmanipulation by some politi-cians.  This diversion hindersthe contribution by the indi-vidual to the development ofthe country.

Political instability is alsoanother factor that makesintegration look like a myth. 

Again, our children tend togrow up with the least orien-tation about how important itis for them to dwell togetherin peace and harmony.  It

means more resources, peace-ful co-existence, sharing andcaring, development andmost of all living life to thefullest.  I have learnt that agood name is better than rich-es. Nigeria can be that excel-lent example in the future ifwe strive towards this greatachievement. 

Nigerians should join handsto be their brother’s keepers.Addressing the root of conflictcould change so many things.We all need social orientation.But then, a visionary leader-ship is needed to initiate theconcept.• RahilaMatagi John,The University of Maiduguri.

dents is equipped with solarchargers and does not relyonly on electricity to function.It contained a lot more thantextbooks. It is compact. Thestudents cannot visit any othersite on it apart from the pur-pose for which it was made for.It is loaded with all the learn-ing aid the students need onthe senior secondary schoollevel to make good grades insenior secondary school exam-inations.

In this generation of ours thateven JAMB is trying to makestudents write examinationson the computer, how willthey learn to use computers ifthey are not introduced to itwhile in school? All over theworld people now gatherinformation on the internet. Indeveloped world, big book-shops are folding up by theday.

I also wish to correct yourclaim that there are demon-strations and strikes every-where in Osun. The govern-ment of the state of Osun is aresponsive government thatdoes not joke with the wellbeing of its citizens and work-force. The lecturers that are onstrike have already called it off.Other workers in the state areat work and doing well.

Mr. Aluko-Olokun’s write upwas characterized by biasesand condemnation through-out. He refused to acknowl-edge the good work the pres-ent administration is doing inOsun. My advice to him is toalways get his facts rightbefore heading to the press.• Mrs. Titi Ajayi,Ilesa, Osun State.

THE activities of the recently inaugurated Amnesty Committee seem tohave become a media fanfare in ways that could detract from its

salient task of producing a blueprint for finding peace and weaning theIslamic militants currently attacking Nigeria from the path of violence.While the media is awash with news of persons it has met, locations it hasvisited, speculations about the psychological state of its members and itsinability to establish contact with the leader of Boko Haram, Alhaji ImamAbubakar Shekau, the committee further raised the media hype with aninterim report. In the controversial report, it advised the government onthe need to release women and children of Boko Haram members to facili-tate dialogue with the sect it has yet to meet. Its position was based onthe absence of concrete evidence to establish their culpability in terroristactivities. Also, the committee sought to convince the cynical members ofthe sect and the general public of its commitment to fairness and justicewithout any discrimination.

Given the weight of its assignment, there ought to be no basis for theseavoidable diversions and publication of an interim report, which has fur-ther stirred victims’ sensibilities. Achieving its objective is more impor-tant than the distracting media hype and attention. It is common knowl-edge that Nigeria is in the throes of a national security crisis with the per-sistent and continuing attacks on innocent Nigerians, churches and secu-rity personnel in northern parts of the country, especially the North-Eastfor four years on by the Islamic militant group – Boko Haram.

In the light of the state of affairs, managers of the country have beenchallenged to find lasting solutions to the lingering insurgency. Indeed,the need for an all-round strategy to rein in the Islamic insurgents hasbeen canvassed by well-meaning Nigerians. Amnesty for the insurgentslately gained currency and the Jonathan administration after an initialhesitation moved to embrace the suggestion and concretise the effort bythe constitution of The Presidential Committee on Dialogue and PeacefulResolution of Security Challenges in the North, otherwise known as theAmnesty Committee. Made up of eminent Nigerians, its task is to dia-logue with the Boko Haram Islamic sect at the centre of the simmering cri-sis.

The Amnesty Committee is expected to squeeze water from stone or inthe words of President Jonathan ‘perform magic’ to end the problem thathas ruptured the peace in the country and hampered development. TheCommittee headed by Special Duties Minister, Kabiru Turaki, has a three-month mandate to establish link and open up dialogue with the Jama’atuAhlis Sunnah Lid Da’awati Wal Jihad, otherwise known as Boko Haram, todevelop a structure for disarmament, work out an enduring preferencethat could form the basis for granting amnesty, including a comprehen-sive victims’ support programme. Besides, the committee is expected tocome up with suggestions on how to deal with the root causes of the cri-sis to avert future security breaches in the country. Truly, this is an enor-mous task.

The activities of the Islamic militants have remained a cause of concernto many Nigerians and the international community. Perception andreality underscore the country as anarchical, fragile, and failed followingthe activities of the insurgents who have bombed targets in severalplaces, including the country’s capital city of Abuja with heavy toll onlives and property. Websites of many embassies in the country are repletewith travel warnings about safety in many parts of the country. This hasobvious implication for Foreign Direct Investment flow and ultimatelydevelopment in the country.

Today, the questions in search of answers are: Are there genuine politi-cal reasons behind the activities of terror organisation such as the BokoHaram and how could they be addressed? This is the urgent and sensitivetask before the political authorities in our country and in particular theAmnesty Committee.

It is important that the committee should remain faithful, stay thecourse and come out with results and avoid diversionary reports. The taskbefore it is more than a media affair and events seemed to be movingfaster than the pace of its work with the recent declaration of a state ofemergency in three states of the federation, namely, Adamawa, Bornoand Yobe by the president. The state of emergency underscores the sheersize of the problem at hand and a further prod for the committee to pro-duce results. It is an arduous task, the success of which would be animmense contribution to the peace and development of the country.

Given the integrity of its members, there is no doubt that the commit-tee will justify the confidence reposed in it by all Nigerians.

Amnesty Committeeand the task ahead

The reality about national integration

15ThE GUARDIAN, Monday, May 27, 2013

Business

BOA,ministry seal N3.5b pact fortractor procurement

ThE Minister ofAgriculture and Rural

Development, Dr.Akinwumi Adesina, has saidthat the era when farmers inNigeria  toy endlessly withbabies strap on their backsunder the sun and rainusing toes and knives forcultivation of their farm-lands are fast coming to anend.

he made the declaration atthe weekend in Abuja, dur-ing the signing of a

How multiple levies, insecurity, unfavourableclime harmstring port operations Page 54

Memorandum ofUnderstanding (MoU)between his ministry andthe Bank of Agriculture(BOA) for the procurementof 400 tractors for farmersunder a Public PrivatePartnership (PPP) arrange-ment.

Under the deal worth N3.5billion, tractors are to besupplied to some 60 centresacross the country, wherefarmers who have been reg-istered and identified canhire from a pool for the cul-tivation of farmlands aimedat reducing the stress associ-

ated with manual farmingmethods so as to attract theyouth back agriculture andupscale food production inthe country.

The new strategy replacesthe former system, whichthe minister said wasfraught with corruption astractors procured were

refurbished and always col-lapse after few usage.

Adeshina said: “The MoUwill form the basis for estab-lishing AgriculturalEquipment hiringEnterprises to be equippedwith 400 units of tractorsthat all help to put up anadditional 152,000 hectares

of land under cultivation,expected to add 760,000tons of food to our nationaloutput per annum. Thefinancing will be donethrough public privatePartnership  (PPP) as BOAhas undertaken to financethe interested Serviceprovider operators

“The Ministry will provideadequate fund towardsfacilitating the financing ofthe enterprise, in partner-ship with the BOA and theprivate sector. In the refi-nancing window for theservice providers operators,the Government is provid-ing 35 per cent of the loans;BOA, 35 per cent; tractorsvendors. 10 per cent; Serviceproviders operators 20 percent as equity for the take-off of the scheme ‘s hiringCentres.”

Also at the occasion, theMinister of  State, FederalCapital Territory, Mrs.Akinjide, was excited overthe scheme and announcedFCT’s contribution of 10 percent to the deal to defray thecost of hiring to the farmersand encourage their patron-age of the machineries.

On how farmers are toaccess the machineries, theMinister explained that hisMinistry has already under-

taken a registration of farm-ers in the country with 14million of them already cap-tured between last year andnow while another estimat-ed four million are to becaptured next year andwould be contacted viaphone and issued withcoupons with which theywould go to the Centres andget a tractors as has beenthe case with the fertilizerand seed distribution underthe Growth EnhancementScheme.

Commenting on the part-nership, the ManagingDirector of BOA, Dr.Mohammed Santuraki saidthe partnership waste out-come of the rejuvenatedBOA which capital base hasbeen raised to N15 billionand declared that the bankwas now poised to play itsrole of providing access toagro allied activities financ-ing, particularly in such away as to diversify labour toother areas that could facili-tate the country’s earningsand growth.

he said  the Bank was alsofinalizing plans for anothersum of N2 billion financingthe youth and women  inagriculture  programmeaimed at attracting themback to agriculture.

President Goodluck Jonathan (right); in a warm handshake with Managing Director, Ecobank Nigeria, Jibril Aku; and Group Chief Executive Officer ofEcobank Transnational Incorporated, Thierry Tanoh, during a courtesy visit to the President.

From Mathias Okwe and JokeFalaju, Abuja The MoU will form the basis for establish-

ing Agricultural Equipment HiringEnterprises to be equipped with 400units of tractors

CBN explains stakeholding in N5.7 trillion AMCON bond

ThE Governor of theCentral Bank of Nigeria

(CBN), Mallam SanusiLamido Sanusi, said that outof the N5.7 trillion bonds,the apex bank is holdingN3.6 trillion, under theSpecial Class bond, which itused as a risk mitigationstrategy.Sanusi made the disclosure

in Lagos, at the firstNational Risk Managementconference, with the theme:“Our Ever-Changing RiskContext: New Channels,New Risks.”

Sanusi explained thatAMCON, as an agency underthe regulation of CBN, didnot just purchase non-per-forming loans, but that itwas a measure to fill in thehole that existed because oftheft and recklessness in thefinancial system, leaving anegative networth in manyfinancial institutions.

“The unique thing we did,in recognition of the holethat was created was to havea structure that preventedthe loan taken by AMCONfrom being borne by gov-ernment and taxpayers andagreed with the bankingindustry that they will putin the money over 10 years.

“Today, AMCON has bondswith a face value of N5.7 tril-lion, with CBN holding N3.6trillion value. This was notthe original intent, but alsopart of the risk manage-ment.

“Many banks that got earlybonds, did so when interestrate was seven per cent andby the time we completedthe capitalization of theother banks, interest ratehas moved up with about500 to 600 basis points.This would have been hugeerosion of the capital ofthose banks and that wouldhave just thrown thesebanks back to where they

were.“So, CBN swapped the

AMCOM bonds for OpenMarket Operations bills andother instruments that willnot carry those market risksand we had N3.6 trillion outof N5.7 trillion. AMCON isexpected to pay back N1.7trillion by December thisyear or at least refinance itand N4 trillion next year,”he said.

CBN governor said theoption of the apex bank’sbond holding was weighedagainst raising fundthrough European bondsand domestic capital mar-ket, noting that it wouldhave compounded the riskswith the economic issues inEurope and the prevailinginterest rate of 13 or 14 percent in the country.

“There was no way AMCONwould have paid back in 10years, unless we doubled ortripled the levy on thebanks, which would have

been reactionary too. Itwould have been a situationwhere banks had to pay oneor 1.5 per cent of their bal-ance sheet every year toservice an extensive debt.

“We also worked out howmuch AMCON can pay byDecember this year. Theidea was that if it can stretchitself, it can build up its cur-rent N800 billion to aboutN1.1 trillion, which isenough to pay every holderof AMCON bond maturingin December 2013, exceptCBN.

“Now, CBN will refinanceand restructure the N3.6 tril-lion bond it invested with acoupon of six per cent. ByOctober 2014, AMCON’sN980 billion bond underseries five will mature,which AMCON will pay withsinking fund and recoveries.Actually, after Decemberthis year, AMCON will be leftwith the Special Class bondwith CBN only,” he said.

By Chijioke Nelson

THE GUARDIAN, Monday, May 27, 201316 BUSINESS

EITI compliance countries raise N157 trillion revenueEXTRACTIVE Industries

Transparency Initiative(EITI) has put the totalworth of revenue fromtaxes, royalties disclosed by21 EITI compliant countriesat $1 trillion (N157 trillion)as at May 2013.EITI in its Fact Sheet

released recently listed thecomplying countries toinclude Nigeria, Albania,Azerbaijan, Burkina Faso,Central African Republic,Ghana, Iraq, KyrgyzRepublic, Liberia,Mauritania, Mali, Mongolia,Mozambique, Peru, Niger,Norway, Republic of Congo,Tanzania, Timor-Leste,Yemen and Zambia.Another 16 countries haveachieved EITI Candidate sta-tus: Afghanistan,Cameroon, Chad, Co�ted’Ivoire, DemocraticRepublic of Congo,Guatemala, Guinea,Indonesia, Kazakhstan,Madagascar, Sierra Leone,Sa�o Tome� and Pri�ncipe,Solomon Islands, Tajikistan,Togo, Trinidad and Tobago.

The Nigerian ExtractiveIndustries Transparency(NEITI) financial audits for2009, 2010 and 2011 had dis-closed that the Nigeriangovernment received $143billion over these threeyears.

It however noted thatdespite similar oil produc-tion over the past years, gov-ernment revenues havefluctuated significantly. “In2009 they went down 50per cent to $30 billion, thenclimbing 50 per cent ineach of the following years,to $45 billion in 2010 and arecord $68 billion in 2011.

“While following world oilprice volatility, these gov-ernment revenues fluctuat-ed more than the spot crudeprice, despite relatively sta-ble production and sales”, itadded.The EITI Fact Sheet disclosedthat it has won the supportof over 80 global invest-ment institutions that col-lectively manage over $19trillion.

It disclosed that severalother countries, includingthe United States ofAmerica, have signalledtheir intent to implement

the EITI and were workingtowards meeting the sign-up indicator requirements.“Almost 80 of the largest oil,gas and mining companiesare committed to support-ing the EITI”, it added.In a media statement made

available to The Guardian byEITI’s CommunicationsManager, Anders TunoldKrakenes, the global agencydisclosed that UK PrimeMinister David Cameronand President of FranceFrancois Hollande were

ready to implement the EITIin the ir countriesKrakenes said that the twocountries would join othercountries in implementingthe EITI Standard, whichrequires full disclosure oftaxes, royalties and otherfees from the country’s oil,gas and mining sectors.

Chair of the EITI, ClareShort said: “I am delightedthat the French and UKGovernments have commit-ted to implement the EITI.This demonstrates a com-mitment to getting theirown houses in order on

extractive industries bestpractice. It is only throughtransparency of the produc-tion of oil, gas and miningacross the world that we canlimit corruption, make surethat the sector is well gov-erned, and that the incomefrom it leads to develop-ment. In France and the UK,the EITI will hopefully pro-vide a focus for informeddebates about the sector.Globally, it will signal thattransparent management ofthe extractive industries isnot an aspiration for coun-tries, it is an expectation.”

DESPITE challenges facingthe domestic aviation

sector, Caverton OffshoreSupport Group (COSG) post-ed a turnover of 47.6 percent turnover and 1,625 percent in profit for the 2012financial year endedDecember 31st, 2013.

Shareholders also at thecompany’s fourth yearlygeneral meeting (AGM) heldat Southern Sun Hotel Ikoyi,Lagos, approved 9.5 kobo asdividend for every N1.00share. This amounting to atotal of N318.3 million, rep-resenting 18.6 per centincrease on the N286 mil-lion dividends paid for the2011 financial year.

The group, made up ofCaverton Marine Limited,Caverton HelicoptersLimited and other sub-sidiaries, is a wholly indige-nous conglomerate and oneof the leading provider ofmarine, aviation and logis-tics support services to the

Nigerian oil and gas sector.According to its yearly

reports audited by Ernst &Young and ECN & Co., thecompany recorded impres-sive growth in all indicators.The group’s turnoverincreased from N10.928 bil-lion in 2011 to N16.132 billionin 2012 (an increase of 7.6percent); while its profit aftertax and exceptional itemrose from N60.373 millionto N1.035 billion (a rise of1,625 per cent). Also, earningper share increased from0.02kobo in to 31kobo in2012, an increase of over 150,000 per cent.“The recorded increase wasdue to the positive impact ofthe revenues generated onour new fleet of aircraftdeployed in our existingcontracts,” said Mr. AderemiMakanjuola, the Chairmanof the group. “Growthwould have even been moreimpressive if not that wedecided to buy helicopters

instead of leasing them.”Despite its buoyant out-

look, the group decided topay 9 kobo as dividend inorder to plough most of theprofit back into the busi-ness, Makanjuola added.“The adoption of this cau-tious approach of low divi-dend payout is in view ofthe belief to conserve fundsfor future growth andexpansion, which will trans-late to greater advantagesfor the company in the notso distant future,” heexplained. The companypaid 5kobo per share in2009; 7.5kobo per share in2010; and 8kobo per sharein 2011. Incorporated in June 2008,Caverton Offshore SupportGroup was formed inresponse to the LocalContent Policy of theNigerian Government,which is aimed at increas-ing indigenous participa-tion in the oil and gas sec-

tor. Caverton Helicoptersand Caverton Marine, whichinitially made up the group,together have providedservices to clients workingwithin the Nigerian oil andgas industry for a combina-tion of 15 years and current-ly have a global workforce ofover 600 employees.

Caverton Helicopters,which started operationswith an intra-city helicoptershuttle services in Lagos in2004, has grown steadily tobecome a dominant playerin the oil-and-gas aviationsub-sector within and out-side the country. It will berecalled that in March 2012,it started a five-year contractto provide surveillance andpassenger transfer servicesto the Cameroon OilTransportation Company(COTCO), its first interna-tional operations. Thatsame month, it received an$85 million facility fromShell for the provision of six

AW139 helicopters in thefive-year contract, which itwon alongside its partnerDancopter of Denmark in2010. It was also appointedthe Authorised ServiceCentre for AgustaWestland,the Anglo-Italian manufac-turer of military and com-mercial aircraft. On its part Caverton MarineLimited, which was incorpo-rated in 1999, has, amongothers, provided premiummarine services to theNigerian Ports Authority,Oando Plc, Total Fina Elf,African Petroleum, ShellTrading and ShippingCompany and ShellPetroleum DevelopmentCompany. Since 2007, it (inconjunction with BW GasASA of Norway) has provid-ed a mother vessel to theNigerian Liquefied NaturalGas (NLNG) to transport andstore LPG from its BonnyExport Facility to coastalLPG depots in the country.

By Roseline Okere

Caverton Group’s profit rises, pays N313.4m dividend

Several other countries, including theUnited States of America, have signalledtheir intent to implement the EITI andwere working towards meeting the sign-up indicator requirements.

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THE GUARDIAN, Monday, May 27, 201324

InvestmentWatchPublished in association with

Understanding Mutual Funds Investing (II)MUTUAL funds are a veritable investment

vehicle that accommodates a wide varietyof investors no matter your investment style andfinancial goals because they offer the advan-tages of diversification and professional man-agement. Last week on mutual fund investing,we explained extensively what mutual fundsare, the advantages of investing in mutual fundsand some disadvantages too. In today’s editionon mutual fund investing, we will look at thevarious types of mutual funds vis-a-vis theirinvestment style and mix in terms of their assetclassification and investment objectives as wellas some valuable guidelines for mutual fundinvesting.Types of Mutual FundsMutual funds are designed to suit differentinvestors’ risk appetite. No matter your invest-ment preference there is bound to be a mutualfund that fits your risk appetite. It is importantto understand that each mutual fund has dif-ferent risks and rewards. In general, the higherthe potential return, the higher the risk of loss.Although some funds are less risky than others,all funds have some level of risk. It is never pos-sible to diversify away all risk. There are three varieties of mutual funds at thefundamental level: 1) Money market funds2) Fixed-income funds (bonds) 3) Equity funds (stocks)Money Market Funds:The money market funds are the safest place toinvest your money. Returns on this fund maynot be so attractive but you do not have to wor-ry about losing your principal. The money mar-ket consists of short-term debt instrumentswhich include treasury bills, commercial paper,banker's acceptances, repurchase agreements,government securities, certificates of deposit,and other highly liquid securities. Bond Funds:When referring to mutual funds, the terms‘income’ ‘fixed-income’, and ‘bond’ are inter-changeable. These terms denote funds thatinvest primarily in government and corporatedebt for the purpose of providing currentincome on a steady basis. Bond funds differ fromactual bonds in that funds have no stated matu-rity date and no promise of principal paymenton a certain date. The investment objective isalmost always high current income and preser-vation of capital. While fund holdings mayappreciate in value, the primary objective ofthese funds is to provide a steady cash flow toinvestors. As such, the audience for these fundsconsists of conservative investors and retirees. Equity Funds:In this type of Mutual funds, funds are investedalmost entirely in ordinary shares of companies.Funds that invest in stocks represent the largestcategory of mutual funds although their objec-tives vary considerably. Generally, the invest-ment objective of this class of funds is long-termcapital growth with some income. All mutual funds are variations of these three

asset classes. The fund manager strives to get aperfect mix of the asset classes that will min-imise risk and maximise returns. Every mutualfund has an investment objective, which itdescribes in its prospectus. The fund’s nameoften reflects its investment objective; for exam-ple, a fund that seeks a balance of growth andincome might be called Growth and IncomeFund. Most fund objectives are designed to pro-vide a particular type of return. As a result, thefund objective has a major impact on the typesof securities that dominate the fund’s portfolio.Mutual funds come in many different flavors,each offering something different to help meetthe investor's objectives. Below is a list of Mutualfunds further sub categorised according to theirinvestment objectives. Growth funds: Growth funds seek capital appreciation byselecting companies that should grow morerapidly than the general economy. The primaryobjective of these funds is capital appreciationrather than current dividend income. Growthfunds hold shares of more established largegrowth-type companies and could includesome blue chips companies. Normally, theseestablished companies will grow at a moderatepace, and will pay regular dividends to ownersof its shares. Mutual fund collects these divi-dends and passes them to the unit holders ofthe fund once or more per year. While capitalappreciation is the major objective of this typeof fund, income derived from dividends is a sec-ondary objective. Investments are typically inlong growth stocks, with a lower portfolioturnover than the aggressive growth funds. Aggressive Growth Funds:This fund has an investment objective of max-imum capital gains, with minimal or no con-cern for dividends or income. It is also calledCapital Appreciation Funds. Aggressive growthfunds purchase shares of smaller companieslike startup companies, new industries whichhave a chance to grow at a faster pace than more"mature" companies. The investment policiestend to be more aggressive and riskier that forgrowth funds. Aggressive growth funds are usu-ally recommended for the investors who seeklong term capital appreciation and will notneed access to that money for at least ten years.These funds tend to be some of the most volatile,with share price rises that can be thrilling anddrops that can be unfavourable. Income funds:Funds whose primary goal is to achieve currentincome as opposed to capital appreciation forits investors are referred to as income funds. Theinvestment objective of income fund is to pro-duce current income rather than long termgrowth, typically by investing in securities suchas bonds of government, municipal and corpo-rate debt obligations, dividend-paying stocks,preference shares, money market instrumentsand ordinary shares that pay relatively high cur-rent returns. The fund will generate an amountof income proportionate to the related risk

posed by the investments securities. Investors,especially those who have retired or are aboutto retire, may prefer income funds to potential-ly more volatile growth funds.Income Growth Fund: Income growth fund invests in both highgrowth companies and companies known forpaying dividends. It has an investment objec-tive of capital appreciation (growth) and cur-rent income generation through dividends orinterest payments as a result they have morerisk and higher returns than income funds andlower risk and lower returns than growth funds.Growth and income funds are popular amonginvestors with moderate (but not excessive)appetites for risk. Balanced funds:Unlike most of mutual funds that make invest-ment exclusively in one asset class, balancedfunds invest in a mix of ordinary shares and cor-porate bonds. It invests a portion of its moneysinto each of the major asset classes: cash andcash equivalents, government securities, corpo-rate bonds, and companies’ shares. The mainobjective behind this is that if one asset classwere to fall in value, the rise in value of anoth-er would compensate, thus giving investors abalanced rate of return. The weighting of eachpiece of the mix depends on the fund manag-er's perceptions of where the markets and econ-omy are going. Guidelines for Mutual Fund InvestingMutual funds are a veritable investment vehi-cle that accommodates a wide variety ofinvestors no matter your investment style andfinancial goals because it can offer the advan-tages of diversification and professional man-agement. You can buy mutual funds by contact-ing fund or Asset management companiesdirectly. Other funds are sold through brokers,banks, financial planners, or insurance agents.If you buy through a third party, you may pay asales charge. Here are some key points that willbe helpful in your choice of investment in amutual fund. Define your financial goals/objectives: Before choosing a mutual fund, it is essential tounderstand your investment needs and goals.This helps you select funds with objectives thatmatch your own. But to gain this understand-ing, you need to create a personal investmentpolicy statement – your "blueprint" for invest-ing in mutual funds. Here are three steps to cre-ating your personal investment blueprint:• Identify your investment needs and goals: Listthe reasons why you are investing. This includesyour fundamental financial needs, as well asyour personal goals. Do you need safety of prin-cipal, income, or growth (through capitalgains)? Will you need to access your money inthe short term, or can you leave it invested forseveral years?• Set your investment time horizons: How longdo you have to achieve your investment objec-tives? Generally, you can divide your investmenttime horizons into three periods:

Your decision to call a professional investment adviser may just be what you need to giveyou a broad and comprehensive feedback on how to invest in Mutual Funds to help you achieve your investment goals and financial objectives.

Please join us next week Monday to learn more on how you can successfully navigate the investment waters.Kindly let us know if you have found this article useful. Please contact us at: [email protected]

• Short-term objectives, such as saving for a vaca-tion or a new car. • Medium-term objectives, such as saving for ahouse or a child's education. • Long-term objectives, such as saving for retire-ment. As a rule, the longer you have to achieve yourobjectives, the higher the proportion of equityfunds you should have in your portfolio.Conversely, when you have less time to achieveyour objectives, you should commit less of yourportfolio to equity funds and more to bond andcash-equivalent funds, which have lower risk.What is the Objective of the Mutual Fund? You must look beyond the name of the fund andcheck out the objective or purpose for the cre-ation of the fund to see if it suits your own invest-ment goals and financial objectives. Is the fundan all-out ‘growth fund’ irrespective of risk, totalcaution, or something between the two? All ofthis must be clearly defined before an investmentdecision is made. It is still absolutely vital thatyou take the time to read a fund's prospectus,which is the document which contains keyimportant information about the fund. Who is the Fund Manager?Look at the reputation of the company manag-ing the fund. The Fund’s Net Asset Value (NAV): This represents the value of a mutual fund. It isthe number that is publicly quoted (newspapers,web sites). It is derived by deducting the fund'sliabilities from its assets. The NAV fluctuate every-day as fund holdings and units’ outstandingchange. NAV per unit is the value of one unit inthe mutual fund.Past Performance of the Fund: Past performance of a mutual fund can help youaccess a fund’s volatility over time. While pastperformance does not necessarily predict futurereturns, it can tell you how volatile (or stable) afund has been over a period of time. Generally,the more volatile a fund, the higher the invest-ment risk. If you will need your money to meeta financial goal in the near-term, you probablycannot afford the risk of investing in a fund witha volatile history because you will not haveenough time to ride out any declines in the stockmarket.Risk Tolerance: Determine your comfort level for risk: While yourinvestment time horizons largely determine thebest types of funds for your portfolio, your toler-ance for risk is also an important factor. If youfind it difficult to handle price fluctuations, con-sider investing a greater percentage of your port-folio in more conservative funds, such as incomeor balanced funds.Fees and other charges: All mutual funds have cost that lower your invest-ment returns. As with any business, running amutual fund involves costs including: fund man-agement fees, transaction costs, marketing anddistribution expenses. Funds pass along thesecosts to investors by charging fees and expenses.It is important that you understand thesecharges because they lower your returns.

THE GUARDIAN, Monday, May 27, 2013 25BUSINESS

Finance Director, Lafarge Cement Wapco Nig Plc, Alfred Amobi (left); Managing Director/CEO, Joseph Hudson and Company Secretary, Uzoma Uja, at the companyshareholders forum in Lagos… at the weekend. PHOTO: SUNDAY AKINLOLU

Seven states control 90 per centcash transactions in Nigeria

THE Central Bank ofNigeria (CBN) said that

Lagos and the six other statescontrol about 90 per cent ofcash transactions in thecountry.

The Deputy Governor,Operations, CBN, TundeLemo, who disclosed this,listed the other states asRivers, Anambra, Abia, Kano,Ogun and the FederalCapital Territory (FCT),adding that it was the reasonfor their selection in the sec-ond phase of the cash-lessproject billed to kick off inJuly.

Lemo, who acknowledgedthat there were challengesfor the cashless project, withsome still overhanging, saidmost of them are beingresolved now.

He said that besides the useof alternative channels oftransactions such as Point ofSales (PoS), the cash-less proj-ect would be driven through

the telephone now.According to him, one of the

major challenges includedinterconnectivity in some ofthe clusters, which he said isbeing addressed, adding thatNigeria is second in numberof mobile phone users in sub-Saharan Africa, after SouthAfrica. 

“We still have a few chal-lenges, but if I look back, Ireally would say that we havedone a lot to transform thepayment system in Lagosthrough PoS,” he said.Recently, the Chief Executive

Officer, Electronic PaymentProviders Association ofNigeria (E-PPAN), Mrs. OnajiteRegha, said the coming onboard on the next phase ofthe cash-less policy in Julymay up the game of electron-ic funds transfer in the coun-try.

Regha said: “By the time wedo six months into the newphase, the figure is likelygoing to rise by over 100 percent.

By Chijioke Nelson

Renaissance Capital rates GTBankhigh on value creation

RENAISSANCE Capital, aninvestment advisory firm,

adjudged Guaranty TrustBank (GTBank) Plc as the bankthat created the highest valuefor investors in 2012 out ofthree Tier One banks in thecontext.The other banks evaluated in

the analysis include First Bankof Nigeria and Zenith Bank.

After a review of the 2012financial results of thesebanks, the analysts said thatGTBank outperformed itspeers, with a Return on Equity(RoE) of 34 per cent againstZenith Bank’s 24 per cent andFirst Bank’s 18 per cent. GTBank’s returns were said to

have been driven by bettergross yield, lower-than-peersimpairment charge and alower cost base.

The Economic Value Addedanalysis of the 2012 results ofthe banks to estimate the

absolute Naira value creationby each bank revealed thatGTBank had the highestexcess return at 16 per cent,with Zenith Bank and FirstBank’s figure put at six percent and 0.3 per cent respec-tively.

The report further consid-ered the value created by thethree banks since 2004, not-ing that GTBank only had anegative value creation in2009, when its RoE fell to 13per cent, with the peers stillworse off. The report concluded by put-

ting a “BUY” rating for GTBank,based on the tangible valuecreated over a period of time.

The analysts believe GTBankis still the best entry point intothe Nigerian market for long-term investors seeking thebest-in-class in terms of deliv-ery, which further justifies itspremium rating.

MTN begins data verification for 48m subscribers on network

IN culmination of its 18thmonth long Subscriber

Identification Module (SIM)registration campaign, MTNNigeria has kicked off a sub-scriber data verification exer-cise for all subscribers on itsnetwork put at about 48 mil-lion in the country.

According to the CorporateService Executive at MTNNigeria, Wale, Goodluck,“even though the vast majori-ty of MTN subscribers havesince complied with the NCC’sdirective to register their SIMs,we feel an obligation to cross-check all subscriber informa-tion. This is because the NCC

has made it clear that allunregistered SIMs or thosewith incomplete informationwill be disconnected by June30th.”

Goodluck advised sub-scribers to check their regis-tration status by texting ‘REG’to a verification short code,746, which has been set upspecifically for that purpose.

“In ensuring that customersmeet the NCC deadline, and toforestall any inadvertent dis-connection, our call centreagents will also call sub-scribers to verify information.If need be, customers will bereferred to the nearest MTNcentre to complete their regis-tration,” he said.

By Adeyemi Adepetun

THE GUARDIAN, Monday, May 27, 201326

Regulators move to reposition underwritingbusiness for greater efficiency

Insurance

By Joshua Nse

Bailey floats foundation to promote professionalism THE former Commissioner

for Insurance, Dipo Bailey,and other Nigerians whobelieve in professionalism,came together to promote theProfessional ExcellenceFoundation of Nigeria(PEFON) and inducted 40 newmembers into the founda-tion.During the maiden edition of

the induction ceremony heldin Lagos recently, theFounder, Bailey, said that pro-fessional people in gover-nance will create a betterNigeria and create betterfuture for the younger gener-ation.”

He said, “PENFON plans toincrease its members acrossthe country. It aims to identifythe Nigerian professionals athome and abroad who wishto be part of the foundation.”

From his observation, he said,there were not enough profes-sionals in different fields in thecountry.

Bailey said that part of theobjectives of PEFON was torecognise those who haveexcelled in their chosen profes-sions and also to raise a schol-arship fund to assist the youngones to study and become pro-fessionally qualified.

He said that PEFON plans toassist professionally qualifiedones to be employed as muchas possible, and also to organ-ise fora to seek ways of devel-oping Nigeria further.

“The foundation plans to rec-ognize those who, eventhough are not professionals,have established conglomer-ates that have employed alarge number of professionals,such as the builders of profes-

sionals,” he said.Chairman, Board of Trustee,

PEFON,  Julius Adelusi-Adeluyi,said the foundation has set atask in promoting high ethicalstandard in the country,adding that it would grow andbe useful in mentoring theyounger generation.

He said that professionalismwas not only about smiling tothe bank every time but a pro-fessional will never bend orturn away from ethics no mat-ter the competition in themarket.

According to him, “True pro-fessionals will have these eightcharacteristics which includeaccountability, respectability,honesty, integrity, transparen-cy, confidentiality, objectivity,and obedience to the law.”

He worried that in the coun-try today, it was not all those

who claimed to be profession-als that posses these qualities.

The professional urged thetrue professionals to stick towhat they can defend and notdo what is wrong becausethey feel they were not beingwatched.According to him, there werethe code of ethics and consti-tutions of the land, whichspecified what should bedone and what not to do.While urging professionals in

the country to always do whatis right, he said that ignoranceunder the law was never anexcuse at anything.“I urge you to be professional

and advocates of true profes-sionals in the country for thepursuit of high ethical stan-dards in your professionalsand Nigeria will be a betterplace,” he said.

THERE is no doubt that theinsurance industry regula-

tor - National InsuranceCommission (NAICOM), hasfought a long battle againstmarket indiscipline in theindustry, and from all indica-tions the commission is hav-ing an upper hand in thestruggle.

Gone are the days wheninsurance practitionerscaught in unethical practicesby industry regulators arekept secret , thereby shieldingthe practitioners and compa-nies from the public eye. Butthe stage has changed.

To drive home the point thatit meant business, a state-ment from the commission

said. “It is time to put a halt tocriminal breaches of insur-ance law. The commissionwill henceforth wield thestick and publicly too. Goneare the days of keeping sanc-tions of criminal breacherswithin the family. Laws aremade to be obeyed and sanc-tions are available for anyonewho violates the law. We willbe decisive, short and sharp.No long lasting prosperitywill be built in an atmosphereof indiscipline and disorder.”

Therefore, to enforce disci-pline, transparence andaccountability, the commis-sion, the Nigerian InsurersAssociation (NIA) - the marketumbrella body for the under-writers, the Nigerian Councilof Registered Insurance

Broker (NCRIB), all took strin-gent measures to enforce reg-ulatory responsibilities onbleaches of insurance regula-tions in the industry.

The commission immediate-ly after the consolidation exer-cise, underwent some struc-tural changes that had assist-ed the regulatory agency tomeet challenges in the newsetting in the area ofenhanced personnel, skilledmanpower and IT driven plat-form. The commission havingstrengthens its structureswent into action. TheCommissioner for Insurance,Fola Daniel, said “it is time toput a halt to all the indisci-pline in the market. The com-mission will henceforth wieldthe stick and publicly too.

Laws are made to be obeyedand sanctions are availablefor anyone who violates thelaw. We will be decisive shortand sharp. No long lastingprosperity will be built in allatmosphere of indisciplineand disorder.”

The commission came outstrong to enforce section 50of the 2003 Insurance Act,which had remained dor-mant in the statue book tothe admiration of all stake-holders in the industry.

Section 50 of the act statesthat the receipt of an insur-ance premium shall be a con-dition precedent to a validcontract of insurance andthere shall be no cover inrespect of an insurance risk,unless premium is paid in

full.”The council of NIA, however,

admitted the breach in themarket agreements endorsedby member companies target-ed at checking against pricewar in the industry otherwiseknown as rate cutting, but setup the Customers ComplaintBureau to deal with the issue.

The council of NCRIB in astatement said “In further-ance of the desire of the coun-cil, to uphold ethics and pro-fessionalism amongst itsmembers as well as increasepublic confidence in theinsurance industry, particu-larly the insurance brokingprofession, NCRIB is using thismedium to advise insurancecompanies to forward namesof insurance brokers that arewithholding insurance pre-mium due to them, as well asany insurance company thatis withholding brokeragecommission and claims set-tlement cheques due to themand their clients.”

Industry chieftains com-mended the commissioner

for Insurance for the strate-gies he has introduced for theindustry to play its role of riskbearer.

The Managing Director/CEO,Risk guard Africa, RemiSholadoye, said the biggestachievements of the regulato-ry strategy particularly onMDRI was the fact that theNigerian insurance industryhad a united focus. “ You arevery clear of where we aregoing, you are clear about themilestones you want toachieve.

Before the MDRI initiative, itwas the operators that wereleading the regulators. Nowunlike before the operatorswere blaming the regulators,at public forum you will hearoperators complaining that ifthere had been serious regula-tor in the insurance industry,things would not be like this.

However, he said, you wouldnot hear that again. Now, thefear of the regulator is thebeginning of understandingwishing in the businessunderwriting.

ANEW analysis fromHealthPocket, Inc. has

compared health insuranceplans offered by nonprofitand for-profit insurers oper-ating in the same region. Itstated that on average, non-profit plans are more likelyto have lower premiumsand better protectionsagainst out-of-pocket costs.

The study included healthplans in a cross-section ofmajor United States cities:Pittsburgh, Miami, KansasCity (Missouri), Dallas, LosAngeles, and Portland(Oregon).In 47 per cent of the compar-isons, HealthPocket foundthat non-profit plans hadthe lowest average premi-um. For-profit health planshad the lowest premium in39 percent of comparisons,with the remaining 14 percent classified as ties.

In 56 per cent of the com-parisons of limits on out-of-pocket costs, nonprofitplans had less expensive lim-its for the consumer, whilefor-profits had the lowestlimits in only 28 per cent ofthe cases. The two types ofplans were statistically tiedin the remaining 17 percentof the comparisons.

For decades, analysts havedebated whether profit is animpediment to affordablehealthcare or whether theelimination of commercialinsurers would translateinto lower-cost insurancefor consumers.HealthPocket’s researchdemonstrates that whileprofits are a relevant factorto plan affordability they donot preclude competitive

premiums.“Nonprofit health plans are

more likely to have lowerpremiums, but the notionthat nonprofit health insur-ers will always provide lessexpensive plans is not defen-sible. It wasn’t the case forhalf of the premium compar-isons we performed.Consumers need to look atall options when shoppingfor health insurance,” saidKev Coleman, head ofResearch & Data atHealthPocket. “When planofferings become more stan-dardised under theAffordable Care Act in 2014, itwill be crucial for consumersto examine all types of plansto get the best deal.”The results of the study were

based on analysis of 2,372premium quotes collectedon May 6, 2013, from 593health plans in Pittsburgh,Miami, Kansas City(Missouri), Dallas, LosAngeles, and Portland(Oregon). Nonprofit and for-profit health plan premiumswere compared in each cityfor individual female andmale nonsmokers ages 25and 50.

This HealthPocket InfoStatis part of a series usinghealth plan data to produceunbiased market analysisand guidance for consumersnavigating America’s chang-ing health insurance envi-ronment. To compare hownonprofit and for-profithealth plans are currentlypriced, visit HealthPocket’sPlan Comparison Tool,which also designates whichplans are non-profit by the“NP” icon.

Nonprofit health plans tohave edge on price

An inductee, Badru Olaogun (left); Professional Excellence Foundation of Nigeria and Chairman, Board of Trustees, Julius Adelusi-Adeluyi; and Founder, Dr. DipoBailey, during the maiden edition of the induction ceremony in Lagos… recently.

THE GUARDIAN, Monday, May 27, 2012 INSURANCE 27

Swiss Re European insurance report SWISS Re sees huge privateprotection gap amongEuropean consumers, lifeinsurance products shouldbecome more attractive,more affordable and easierto understand.

Swiss Re’s EuropeanInsurance Report 2012 high-lights potential gapsbetween the insuranceindustry’s product offeringsand current consumerdemand. The reportincludes the results of a sur-vey commissioned by SwissRe among 15,000 consumersin 14 European countriesand presents the followingkey findings: The main rea-son for the insufficient mar-ket penetration of life insur-ance is that consumers con-sider it to be too expensive.The industry should look todevelop products to fill thegaps taking into account theconsumers’ price sensitivity. The insurance industry andgovernments should worktogether and build aware-ness to the benefit of con-sumers. Europe’s consumers under-insured by EUR 10,000 bil-

lion Swiss Re has calculateda mortality protection gapamounting to sums assuredof more than EUR 10,000 bil-lion across all 14 Europeancountries featured in thereport. The gap is the differ-ence between the moneyneeded by dependents inthe event of the untimelydeath of a breadwinner andthe financial provisions putin place should the unex-pected occur.The financial crisis and

related savings programmeshave had a serious impacton public trust in state pen-sions and benefits and con-sumers have grown aware ofthe necessity for private pro-vision. Even so, they arereluctant to buy insurance

products for the followingmain reason: Cost – insur-ance cover is considered tooexpensiveThe Swiss Re European

Insurance Report 2012 (PDF,989 KB) reveals a huge needfor protection, and the Life& Health insurance indus-try is in a unique positionto close this gap at afford-able prices for consumers.The main reason for the

insufficient market penetra-tion of life insurance is thatmany consumers cannotafford it. But the survey alsoshows that for countries inthe eurozone, where levelterm life insurance is a rela-tively well-known product,consumers are willing to paybetween 22 and 30 euros a

New York Life donates $100,000 to relief efforts in Oklahoma

NEW York Life announcedtoday it would donate

$100,000 to the relief effortsin Oklahoma with a $50,000donation to the AmericanRed Cross and a $50,000donation to one or morelocal nonprofit organisa-tions to be determined inthe months ahead.The Chairman/CEO of NewYork Life, Ted Mathas, said:“On behalf of the entire NewYork Life family, we extendour heartfelt sympathy toall those touched by the tor-nado that struck the sub-urbs of Oklahoma City. Ourthoughts are with the fami-lies, the rescue workers andthe volunteers who, in themidst of catastrophicdestruction, are workingtirelessly to recover fromthis tragedy. Accordingly,the company will be makinga contribution to help thepeople of Moore and the sur-rounding areas begin therecovery process.”New York Life customers

are eligible for crisis relief.For those who are in imme-diate financial need, NewYork Life can quickly pro-vide emergency loansagainst the cash value of acurrent policy to help inrecovery and rebuilding.New York Life can also assistif a policyholder needs apayment extension for ashort time, or if a policy hasbeen lost or destroyed.Policyholders should visitNew York Life’s website atwww.newyorklife.com orcall the toll-free line, 800-695-4331, for assistance.New York Life Insurance

Company, a Fortune 100company founded in 1845, isthe largest mutual lifeinsurance company in theUnited States and one of thelargest life insurers in theworld. New York Life has the high-est possible financialstrength ratings currentlyawarded to any life insurerfrom all four of the majorcredit rating agencies:

Headquartered in New YorkCity, New York Life’s familyof companies offers lifeinsurance, retirementincome, investments andlong-term care insurance. New York Life Investmentsprovides institutional assetmanagement and retire-

ment plan services. OtherNew York Life affiliates pro-vide an array of securitiesproducts and services, aswell as retail mutual funds.Please visit New York Life’swebsite at www.newyork-life.com for more informa-tion.

The financial crisis and related savings pro-grammes have had a serious impact on public trustin state pensions and benefits and consumershave grown aware of the necessity for private pro-vision. Even so, they are reluctant to buy insuranceproducts for the following main reason: Cost –insurance cover is considered too expensive

month for life insurancecover of EUR 100,000.The industry should high-

light that even a low level ofcover is better than none.Consumers are often willingto put aside small amountsto provide for difficult situa-tions in the future. There are two main items

for insurers to considerregarding complexity. Thefirst is the formulation ofinsurance terms and condi-tions and product details,the second one concerns theactual application process.Both aspects provide a touchpoint at which consumerscan withdraw from a poten-tial sale.Simple and transparent

products, and a smooth buy-ing process, are essential forsuccessful distribution.The way in which a productis distributed has a strongbearing both on how com-fortable consumers arewhen taking out life insur-ance and on their confidencein the actual product.Surprisingly, the Internet isthe most trusted source ofadvice, followed by the insur-ance company itself. Banksare ranked fifth, indicating arelative lack of trust which islikely to be a consequence ofthe financial crisis.Most consumers would bevery or fairly comfortabletaking out cover throughcomparison websites on theInternet or through theiremployer, followed by tradi-tional sales channels such asindependent advisors andinsurance sales staff.

THE GUARDIAN, Monday, May 27, 201328

THE GUARDIAN, Monday, May 27 , 2013

StockwatchIn association with Lead Capital

29

MAJOR equity markets around theglobe moved upwards as their

various indexes gained marginalpoints. In our universe of sampleequity markets; the S & P 500 andNASDAQ lost points by 0.21% and0.24% respectively, while the DowJones gained point by 0.21% at the endof last week. In Europe, The GermanDax, FTSE 100 and France CAC 40gained points by 2.01%, 2.19% and 1.73%respectively. In the Asia/Pacificregion, Nikkei 225, Hangseng and BSESensex lost points by 3.68%, 1.79% and2.83% respectively. In Brazil, theBovespa gained point by 2.72% whileRussia’s RTS INDEX gained points by5.10%. On the local setting, NSE ASIclosed at 36,472.43 recording a 0.20%appreciation at the end of the week’s

INthe week, the total vol-ume appreciated by5.19% and value tradedappreciated by 6.13%. Aturnover of 2.23 billionunits of shares valued atN25.95 billion wasrecorded, in contrast to aturnover of 2.12 billionunits of shares worthN24.45 billion that wasrecorded in the previousweek.Volume this week wasdriven by activities in theshares of SKYEBANK,FIDELITYBK, ABBEYBDS,ZENITHBANK, UBA,COSTAIN, ACCESS, CUS-TODYINS, FBNH and DIA-MONDBNK.

DURING the period under review, forty five(45) stocks recorded price appreciationcompared to fifty four (54) that depreciated inthe previous week, COSTAIN was first on the topgainers chart to close with 58.14%, followed byCADBURY with 33.36%, EVANSMED with 32.40%,MAYBAKER with 24.31%, PZ with 22.22% andNNFM with 20.96%. Other gainers in the top tencategories were CCNN with 16.30%, NPFMCRFBKwith 16.16%, NAHCO with 15.79% and CONTIN-SURE with 14.55%.On the flip side, thirty five (35) stocks depreciat-ed in price last week compared to twenty four(24) that depreciated a week ago. MRS led on theprice losers’ table with 18.18%, followed by LEAR-NAFRICA by 17.50%, CUTIX by 16.09%, JOSBREW by15.04%, COURTVILLE by 14.77%, UTC by 14.29%,IPWA by 14.29%, WEMABANK by 9.45%, CUS-TODYINS by 8.57% and OKOMUOIL by 8.23%.

ANNOUNCEMENT

Stock Market Report for the week Friday, 17th May to Thursday 23rd May, 2013

THE GUARDIAN, Monday, May 27 , 201330 STOCKWATCH

COMPANY’S RESULT CONTINUE ON PAGE 51

Lead Capital Stock Valuation

Housing Sequel to a directive by the Presidency, the minis-ter of Lands, Housing and Urban Development hasbegan moves to resolve infrastructural challengesfacing Festac Town. Committees have been set upto thrash the issues

THE GUARDIAN, Monday, May 127, 2013

Lagos central business district, recently

FG wades into Festac’s infrastructuredecay, raises committee

PRESSED to seek an endur-ing solution to the unend-

ing disputes and deteriora-tion of Festac Town in Lagos,the Minister of Lands,Housing and UrbanDevelopment, Ms Ama Pepplehas raised committees torestore the estate to its for-mer glory.

The two committees are tolook into the long-standingissues of Land Use Charge andthe physical planning whichhave for long thwarted devel-opment in arguably Africa’slargest residential estate.

The minister while speakingat a stakeholders meetingwhich had representatives ofthe Federal, State and LocalGovernment as well as the res-idents association, stressed

that she was acting on thedirective of the PresidentGoodluck Jonathan who isdisturbed by reports of thedecay of the estate.

Appointing the Lagos StateCommissioner for PhysicalPlanning and UrbanDevelopment, Toyin Ayindeand Special Adviser on TaxMatters, Lagos State, Mr. BolaSodipo as heads of the twocommittees, Pepple empha-sized that the meeting was toenable all stakeholders’resolve pending matters andcome up with a joint imple-mentation plans.

Two firms in race for BOI site redevelopment contract�Having set the stage forthe construction of anultra- moderncommercial complex atthe grounds of the 21-storey Nigerian IndustrialDevelopment Bank(NIDB) building that col-lapsed in 2006, the Stategovernment is reviewingdocuments submitted bytwo private developers,who are in fierce con-tention to grab the PPPcontract

Urban Development

public interest. �  Initially, seven investors had

indicated interest in the ten-ders for public- private part-nership (PPP) project towardsthe construction of ultra-modern edifice, but out ofthe pack, two private devel-opers have submitted theirproposals and currentlybeing studied by the appro-priate officials in the LagosState government. � 

Coming as part of regenera-tion programme embarkedupon by the Lagos govern-ment in Lagos Island, the siteof the demolished Bank ofIndustry (BOI) is expected toaccommodate a mixed-usedevelopment with all thestate of art facility.  �    Stateofficials told The Guardianthat the proposed buildingwould be 100 per cent privateinvestor’s driven with gov-ernment providing land asits equity and the necessarydocumentation. �

The State’s Commissioner

for Physical Planning andUrban Development, Mr.Toyin Ayinde, who confirmedthe development last week,said that the project is part ofthe regeneration pro-gramme in the Lagos CentralBusiness District (LCBD). � 

According to Ayinde, gov-ernment has received pro-posal from different archi-tects who are members ofAssociation of ConsultingArchitects of Nigeria (ACEN),

who shared the same visionon the project. � He said thestate will appoint a consult-ant to study the proposalsand make recommendationto government. Any of theprequalified architects thatemerge as bid winner will actas the developer for the proj-ect.

His said:�“ Completion ofTinubu square and Balogunmarket few years ago waspart of the global develop-

mental project of the CBD,including the proposed proj-ect and others that are inpipeline. Therefore, what weare waiting for is to see theirdesign and financial models,this would convince govern-ment of their level of serious-ness, competence and finan-cial capability. Governmentwould not want a situationwhere investors commence aproject and abandons it”. The Commissioner who held

the annual ministerial press

TWO developers haveemerged as the preferred

bidders in the process initiat-ed by the Lagos authorities toredevelop the land formerlybelonging to the Bank ofIndustry (BOI), on BroadStreet in the Central BusinessDistrict (CBD). � 

The Guardian learnt thatLagos authorities are alsoconsidering a multi-use facili-ty, which will house luxuryapartments, offices andshops of different categoriesas well as parking space forup to 100 vehicles, and capa-ble of meeting the needs andtaste of modern businessenvironment.

The race for the redevelop-ment of choice site began in2012, when the umbrellabody of consulting architects-Association of ConsultingArchitects of Nigeria (ACEN)received proposal from dif-ferent architects for the pro-posed ultra- modern com-mercial  complex, envisionednot only to add value to theCBD, but also restore theglory of the burnt BOI build-ing. �  On March 22, 2006, the  22-

storey Nigerian IndustrialDevelopment Bank building(NIDB), now BOI collapsed.This happened after a fire hadgutted two stories in thebuilding and heavy windsduring a thunderstormcaused the building to cavein from the structural weak-ness after the fire. Before it’sdemolition, the governmenthad acquired the property in

She said: “I am giving theFederal Housing Authority(FHA) a seven-day ultimatumto give the master plan ofFestac town to the Lagos min-istry of Planning andInfrastructure. This meetingis to come up with a jointimplementation plans. I cantell you no one is happy withwhat has happened in theestate and how it has degener-ated into a parlous state”.

The minister furtherexpressed concern over thecollapse of the central sewagesystem in the estate, the total

CONTINUED ON PAGE 45

By Tosin Fodeke

Rivers in one-stop-shop build-ing approvalprocess

Mansard,Capital Allianceend N5b iconicoffice project

Practical Habitatunfolds N1.9bPraiseville GardenEstate project

Page 32 Page 33 Page 36

briefing on his ministry’sactivities last week, also hint-ed that government hasembarked on the regenera-tion of burnt properties inOjo-Giwa/Okoya, in the sameLagos Island.

He said the approach adopt-ed in that location is similarto the one inIsalegangan/Aroloya, whichinvolves pooling of smallplots for meaningful devel-opment to meet basic plan-ning standards. �

By Tunde Alao

Homes & Property

Festac, recently

31

THE GUARDIAN, Monday, May 27, 2013HOMES & PROPERTY32

ProjectsBy Chinedum Uwaegbulam

ATEAM of private investorshave draw the curtain on a

five-storey, twin-tower officebuilding, which incorporatescutting edge technology andenvironment-friendly spacesin the heart of Victoria Island,Lagos.Christened Mansard Place,

the N5billion project, devel-oped through a joint venturebetween Mansard InsurancePlc and African CapitalAlliance, is built to an interna-tional standard and it com-prises 7,000 square meters oflettable space, premium fin-ishes and high quality build-ing services.

The project incorporatesmultiple elevator banks,ample parking bays, securitysystems and CCTV and 24-hour utilities. The iconic building formallyopened at the weekend by theLagos State Commissioner forFinance, Mr. Tokunbo Abiru,brought together corporatebigwigs from both from thepublic and private sectors.The complex is located on

Bishop Aboyade Cole StreetVictoria Island, close to ExxonMobil headquarters, theKPMG Building and the Lekki-Epe Expressway.

In his speech, the ChiefClient Officer, MansardInsurance Plc, Tosin Runsewedescribed the new edifice as“Lagos commercial officedevelopment of choice, boast-ing of a simple, yet functionaliconic design with an equallykeen focus on aesthetics andpracticality of the building’shigh quality interior. “For a Principal at ACA’s Real

Estate Fund, Mr. Obi

The newly completed Mansard Place, Victoria Island, Lagos

Mansard, Capital Alliance end N5b iconic office project

Nwogugu, the developmentof Mansard Place has raisedthe bar on grade-A office stan-dards in this market. “The layout of the building’sfloor plate enabled us achievegreat flexibility for users ofvarious sizes. There has been astrong response from multi-national tenants which has

pally in Nigeria and the Gulf ofGuinea. The firm’s mission isto mobilize capital, manageri-al expertise and technology tocreate a modern economy inAfrica; reshaping the conti-nent’s economic agenda byunlocking it’s private sectorpotential. With over $750 million in

funds under management,ACA is a dominant player in itsmarkets and has a significanttrack record of successfullyexiting investments. ACA’sreal estate fund continues tomake investments in the WestAfrican region focusing pri-marily on the hospitality,retail, office, industrial andresidential sectors.

led to us achieve a high occu-pancy of the building,” hesaid.Mansard Insurance plc is

quoted on the Nigerian StockExchange with a market capi-talization in excess of N20 bil-lion.The company has evolvedfrom being a subsidiary ofGTBankplc into a wholly inde-

pendent insurance companywith major shareholding byAssur Africa Holding, a consor-tium of three EuropeanDevelopment FinanceInstitutions and two PrivateEquity firms.ACA is a leading Lagos-basedprivate equity firm thatinvests in West Africa, princi-

THE GUARDIAN, Monday, May 27, 2013 33

Practical Habitat unfolds N1.9b Praiseville Garden Estate projectThe first phase consists of 52units and the entire estatewill gulp N1.9 billion. Allrooms en-suite, and havesteward / guest room, andfamily play room Amenitiesinclude swimming pool andgym, clubhouse, childrenplayground, central sewagesystem, paved walkway,drains, water treatmentplant, borehole, dedicatedtransformer, ample carspace and mini mart.

The owner of PraisevilleEstate, Rev. Benson Edwardsaid at the open house con-ducted at the project sitethat the development willstart in earnest. He saidthere is a plan for full-detached and semi-detachedhouses in subsequent devel-opments within this area.

According to the ChiefTechnical Officer, PracticalHabitat, Mr. Robert Paulson,disclosed that the buildingsystem “allows us not tohave walls. With this we canafford to have the entireground floor wide open. Youcan easily make a change ifyou want to make a changein your home. We do to usethe straight flow block andwe incorporate the beamsand columns in the straightflow block. Bringing downthe cost of constructiondepends on the type of tech-nology that we are applying.You can’t get the exact num-ber but you get the costthrough the materials andthe time saved.”

Projects

Aerial view of the proposed terrace houses at Praiseville Garden, Lagos

By Chinedum Uwaegbulam

Prime Estates NEW grounds have been

broken in the real estatemarket,  with the launch ofPraiseville Garden estateproject, targeted at meetingthe yearnings of mediumincome earners who cravefor homeownership.

Praiseville, a residentialdevelopment promoted byPraiseville estate in collabo-ration with Practical Habitatand E. B. InternationalNigeria Limited is located on1.7 hectares of land in OguduPhase II extension in KosofeLocal Government Area.About two minutes drive tothe third mainland bridge.The firm plans to adopt newbuilding technology calledOpen Web Steel Joist in theconstruction of the estate.

The estate consists of four-bedroom townhouses,which are in blocks (fourblocks of five units and eightblocks of four units). Thedevelopment offers elegantarchitecture and rich ameni-ties. According to the pro-moters, Praiseville GardensEstate “forms part of theexciting new concept oflifestyle living inspired bythe freedom of open spaces.The environment is dynamicwith the perfect balance ofnature and activities whichmakes it the ideal locationfor a family.”

Coming under four phases.

THE GUARDIAN, Monday, May 27, 2013HOMES & PROPERTY34

ProjectsProjects

Professional Practice

After over coming itsearlier challenges, suchas demolition of struc-tures and compensa-tion, and obstructionsto carriageway pathfrom immovable infra-structure, such asPHCN, NNPC equip-ments and others, thecontractor is asking forsix months extension

The State authorities have embarked upon landreform and adopted new strategies to ensure theland ministry takes full control landed propertiesand increase its internal generated revenue. TheMinistry also plans to establish its LandManagement Information System

From Njadvara Musa, Maiduguri

By Tunde Alao

Borno adopts land reform, introducesnew land title documents

TO align on-going urbandevelopment plans in

Borno with growing concernsfor insecurity in land owner-ship, the state authority hasmoved to control the circula-tions of fake land titlesthrough the adoption of landreform and introduction ofnew title documents.

The State’s Commissioner ofLand and Survey, AlhajiBabagana Buhari made thedisclosure at a press confer-ence to mark Democracy Dayand second year in office ofGovernor Kashim Shettima’sadministration in Maiduguri,the state capital, said theGovernor has delegated thepowers of approving consentto the Commissioner.

He said since the inception ofShettima’s administration,the state has embarked onland reforms toward makingland ‘accessible and afford-able’ to the general public.

In his words: “it is amazing tonote that most citizens use toquote that this Ministry hadlost her glory, because of lowlevel of land titling, which hadaccumulated the activities ofthe ministry to an unprece-dented level over the years. Inthe current dispensation, theBorno state government hadplaced greater emphasis onthe issues of land reform, par-ticularly land titling and haddelegated some of its powersof approving consent to thecommissioner to facilitatep r o p e rfunctioning of land titling.”

The adopted strategies,according to Buhari, includethe introduction of new titledocuments printed for thefirst time by the NigeriaSecurity Printing and MintingCompany (NSPMC), introduc-tion of passport photographson application forms for prop-er identification; and evidenceof three years tax clearancecertificate by applicants todetermine the responsibilitystatus of applicants. He addedthat the measures would alsohelp in boosting the states

Internal Generated Revenue(IGR), which has currentlyshot up to N45.942 million.

Speaking on the proposedmodernization and comput-erization of the ministry tofully implement the adoptedstrategies, the commissionersaid the government plans tore-validate all the title andnon-title documents to ensurethe land ministry takes fullcontrol landed properties inthe state.

He disclosed that theMinistry will also establish itsLand ManagementInformation System (LAMIS),along with the upgrading ofBorno GeographicalInformation System (BOGIS)in the near future for effectivecontrol of landed propertiesin this state.

He also added that the stategovernment had embarked

on the assessment of layoutswith a view of ascertaining thelevel of development and mapout strategies to encourageland developers. Buhari said that it was in real-

ization of this move that thestate government discoveredillegal developers in some ofits layout and swiftly appliedthe rule of law by the demoli-tion of illegal structures toprotect the “interests andrights” of genuine title hold-e r s .

“This had in turn opened anopportunity on the part of thetitle holder; and furtherstrengthened the position ofland and importance of thisMinistry live up to its responsi-bility,” explained the commis-s i o n e r .

On the achievements of theMinistry in the last two years,he said that three layouts had

been acquired and designedat three locations inMaiduguri metropolis onDikwa road, Baga road byepass, adding that arrange-ments had been concludedfor the allocation of third lay-out BOSA/179 at Njimtilo vil-l a g e .

He also added that duringthe last one year in office,Governor Shettima approvedthe compensation to theNigeria Union of Journalists(NUJ) secretariat complex,amounting to N18.5 million.The secretariat will sited andrebuild on Biu road toimprove the welfare of work-ing journalists in the state.

Buhari said that the ministryhas approved ten land devel-opment sites located in vari-ous parts of Maidugurimetropolis for the 2, 500housing units projects. Theprojects include the officecomplex of NationalDirectorate of Employment(NDE), Borno StateEnvironmental ProtectionAgency (BOSEPA), FederalMortgage Bank of Nigeria(FMBN), Agoro IndustrialEstate, and Renewable EnergyFarmland of 560 hectares.

Interior designers mark WID, seek waiver on imported materials

DETERMINED to improve thestandard of interior

designs, practitioners haveurged the Federal Governmentto give waiver to indigenousfurniture and accessories deal-ers to enable them maintainthe highest professional andethical standards.

The designers under the aus-pices of the Interiors DesignAssociation of Nigeria (IDAN)said the high import dutiesplaced on materials have madesome products expensive andencouraged sub-standardproducts in the industry.

They said their members havebeen the forefront of promot-ing the relevance of profession-al interior design in buildingthe economic and culturalwealth of the Nigerian societyas well as providing network-ing support and forge strategicpartnerships within the interi-or design community inNigeria and internationally.

In chat with The Guardian onthe annual home and designexhibition tagged GUIDE 2013to celebrate World Interior Day(WID) 2013, the GeneralSecretary, Mrs. Titi Ogufere

explained that the WID is anannual worldwide event initiat-ed by the international federa-tion of interior architect,designers (IFI) to bring interiorarchitecture/ design to theattention of the public,enhance knowledge andunderstanding about the pro-fession. IDAN also encouragescooperation between profes-sionals with a focus on therange of work of interiordesigners and their contribu-tions to society. IDAN is a mem-ber of New York-based IFI.

She noted that the organisa-tion provides the platformfrom which all interior design-ers may lend a collective voiceto government and industry

Member, Board of Trustees, REDAN,Mr. Ugo O. Chime(left)FIG Head of Task Force on Housing and Property; Dr.Chryssy Potsiou, President, Nigerian Institute of Quantity Surveyors, Mr. Agele Alufohai,and Immediate PastExecutive Secretary, REDAN, Mr. Anthony A. Okwa, at F.I.G Working Week 2013 in Abuja recently.

Plycon pleads for contract extension onIpaja-Ayobo road project�

THIS is not the best of times forthe contractor handlingMoshalashi Ipaja-Ayobo, asthe  July completion date fixedby the Lagos State govern-ment for the completion ofthe project may not be feasi-ble.�  The contractor, Messrs Plycon

Limited has heaped the blameon it’s non -performance onthe  relocation of infrastruc-tures and demolition of somephysical buildings,  and calledfor the extension of his con-tract to November “to ensurethat the needed amenitiesand facilities connected withthe project are put in place”. � 

Awarded in May, 2011, theRoad Survey and Design Stagetook place between June, 2011to September, 2011, while con-struction work commencedin October 20, 2011, with aduration of  18 months�   

Reacting to the  delay in thecompletion of the 7.4-kilome-tre road last week, while con-ducting Journalists aroundthe area, the Senior ProjectManager,  Mr. Leke Adeniyi, anengineer, said  challengesencountered included thelack of natural outfalls for dis-charge of water that led toextended design period tofind solutions.� 

The significant encroach-ments on the right- of -way(ROA) led to protracted nego-tiations over demolition ofstructures and compensation,while obstructions to car-riageway path made designfor the area difficult and thatdesign choices forced byimpossibility of relocating thePower Holding Company ofNigeria (PHCN), pylons atAbesan.�“This situation made it neces-

sary to encroach onto Federal-Government-Constructedservice lane for Gowon Estate,with permission for thisencroachment took severalmonths to obtain fromFederal Housing Authority

(FHA)”, said the engineer.�He also said that location of

Nigeria National PetroleumCompany (NNPC) pipelinespassing through Abesan gatearea further compoundeddesign challenges of that sec-tion.

“But most dauntingly, inces-sant and extended rainfallslows progress of earthworkshas frequently destroyedwork already done”, he said,adding that the Alimosho’stopography in general isprone to heavy rainfall andsubsequent flooding. �

However, status report pro-vided last week by the officialsfrom Lagos State Ministry forWorks and Infrastructure,indicated that as opposed tothe condition of the road priorto beginning of construction,all portions of the road arenow motor-able withoutmajor challenges, save for theportion after Abewenla toMegida.���

�“To expedite earthworks inthis section even during thisperiod of heavy rainfall andeliminate the inconvenienceto road users, the contractorhas switched from using lat-erite to fill the remaining por-tions of the road by usingsharp sand and stone baseaggregate. These are signifi-cantly more expensive thanlaterite but are more stable inwater and will enable fastcompletion of the sectioneven during this rainy peri-od”, said a supervising engi-neer, who attested to theimproved work pace at thesite.�It was also observed that com-

pletion of culvert at Abewenlawould facilitate dispersal ofwater currently pouring atOluwaga and environs.Culvert will be completedover the next three weeks.�Itwould be recalled that .�thatwould have expired next July.“But based on reality onground, expected total projecttime overrun is additional sixmonths that would elapse inNovember 2013”.�Among the initial challenges

that were eventually over-came were the demolitionand relocation of 50fences/buildings along theright of way, relocation of util-ities (PHCN poles and cables,Telecom cables, Water pipes)along both sides of entire5.5km of drain alignment”.�

He said: “Once earthworksand the remaining drains arecompleted, the most challeng-ing phases of the constructionare done, with paving work onthe road is expected to beginfrom Baruwa by the end ofMay and asphalt portion fromMoshalashi to FederalHousing Estate will start inSeptember, when rainsshould have subsided and fin-ish in October 2013. Theexpected project and han-dover is November 2013”, theProject Manager said.�

initiatives and the first of theannual exhibition series thisyear will hold this week inLagos. About 38 exhibitors willbe showcasing their productsin the two-day event, and therewill also be design clinic for freeconsultation, private viewingand a design lounge.

According to Ogufere, IDANwill plays host to events high-lighting the merits of theInteriors profession and theimpact on the quality of life andthe built environment. Eventsare planned by individuals andhosted all over the world,linked by a common themechosen each year to reflect thevalues of not only IFI but theindustry as a whole. This year’s

theme “Celebrating 50 Years ofDesign Around the Globe” rec-ognizes the rich history of glob-al communication and consen-sus within the Interiors profes-sion over the past 50 years.

She disclosed that the organi-zation is working with LagosState to establish interiordesign training institute todeliver high-value businesstools and address issues thataffect practitioners andUniversity of Lagos to set up adepartment on interior design.We are presently puttingtogether the curriculum to givethe very best in the industry.

Ogufere further hinted thatthe association has begun dis-cussing with the Lagos State

Government Agency - LagosState Technical and VocationalEducation Board - to deepenand expand the training intheir vocational centres to effec-tively train students in arts andcraft.

Mrs. Bukky Adeyeye ofHouse to Home InteriorDesigns said the governmentban of imported furniturebrought about creativity andmade the practitioners to lookinwards. “It did has an effect,but it was positive.” She listedchallenges facing local furni-ture makers to include lack ofgood raw materials suchupholstery fabrics and gettingwaiver from the governmenton imported fabrics. Adeyeyesaid there is big market for fur-niture in Nigeria.

On standards, Ogufere saidthat the organisation is cur-rently working with theNigerian StandardOrganisation (SON) to have abenchmark for the industry.“We are making sure that ourmembers comply with ourconstitution and impose sanc-tions members’ standard ofproduction does to complywith standards. Its an on-goingprocess, but we have donewell,” Adeyeye said.

IDAN President, Anselm Tabansi Ogufere Adeyeye

By Chinedum Uwaegbulam

THE GUARDIAN, Monday, May 27, 2013 HOMES&PROPERTY 35

Professional Practice

Lagos architects urge review of planning approval levies under their efforts on cityplanning and urban design, asthe various levies made to gov-ernment for approval processis enormous and hindersdevelopment in Lagos State.The 5th edition of LAF confer-ence, which had about 1000participants, had attendeesfrom the public service, pri-vate practice, academia, alliedprofessionals in the built envi-ronment, manufacturers andsuppliers of building materi-als.The theme focused on evolv-ing an efficient urban spacevia the art of creating andshaping of cities in threedimensional form and charac-ter to make them livable andsustainable through the appli-cation of planned multiplebuildings, public spaces,transport systems and infra-structure in the public sphere.Scientific sessions with sea-

soned professionals on topicsranging from planning inurban centres, internationalstandards in planning anddevelopment processes, intro-duction to urban design,urban spaces and social con-flict, urban projects with casestudy in Dubai, real estatedevelopment and mass hous-ing, made some observationson militating against urbani-sation including absence ofcollective ownership gives riseto urban social conflict andprivate developments of icon-ic standards are not surround-ed contextually by supportivefacilities that may enhancetheir urban value.Also, they observed that

bureaucratic bottlenecks cre-ated at the approval authoritywith the time line for obtain-ing approval is unduly long,

Institute of Architects (NIA),Lagos Chapter, has said.In a communique issued

after the Lagos ArchitectsForum 2013 (LAF 2013), NIAsaid the time to ensure totalreview of the planningapproval process is now.According to them, the build-

From Nkechi Onyedika, Abuja

ing approval process neededto be simplified to ensurespeedy project delivery, whichimpacts positively on the over-all economy of the city.Under the theme of the

Conference “LAGOS 4.0,Architecture and UrbanDesign’’ the architects saidthat planning laws must be

reviewed to make them com-pliant with global best prac-tices.Still on planning, NIA said

that the inability of profes-sionals to have access to requi-site planning documents thatmay guide and specify build-ing regulation requirements,

Projects

which impacts negatively onthe life of the project and over-all economy of the city.They recommended that

there must be integrated,planning which takes intocognizance the way of life andculture of the people so that itreflects on the urbanization ofthe city as well as involvementlocal participation to meet thechallenge of attaining a fluidUrbanization process.“There is need to foster col-

laboration amongst profes-sionals to create sustainableand prosperous urbanizationand review the historicaldevelopment of public hous-ing concepts which have thusfar created social conflicts ofisolation.“Cities should be planned

appropriately for economicgrowth as they affect the pro-ductivity of the people;Involvement of local contentparticipation to meet the chal-lenges presently faced by con-ventional construction, byexploring alternative con-struction systems, which aidspeed and efficiency.

“A checklist of buildingapproval requirementsshould be made available toarchitects’ firms to enablethem comply with requisitebuilding regulation require-ments from the conceptualstage, which will cut down ontime required to secure build-ing approval.”

They also demanded theinclusion of pre-screening ses-sions with the local planningofficers prior to submission ofdocuments for planning per-mit / planning approvalprocess and access to masterplan as well as planning infor-mation and regulations.

EXCEPT planning approvalprocesses are reviewed tosooth the prevailing citygrowth, the work of urbandesigners, predominantly,architects, and all stakehold-ers in the building industry,whose efforts are gearedtowards seeing the Nigeriaspace transformed into urbansettlement will continue to bea mirage, the Nigerian

Ogun, firm plan Agbara industrial estate

OGUN authorities havekick-started two schemes,

which will boost residentialaccommodation and indus-trial development in the state.

The State’s Ministry ofHousing has undertaken pre-liminary works on a 50hectare of land at Kobape onwhich a residential housingscheme will spring up.The Ministry has also sealeddeal with a private investor,ROTH Incorporation to

embark on a 650hectareindustrial estate in Agbara. Amemorandum ofUnderstanding for the proj-ect was signed recently.

The commissioner forHousing, Mr. Daniel Adejobimade these known whilebriefing newsmen on theactivities of the ministry inthe last two years.

Adejobi disclosed that insimilar vein, design work hadcommenced on the proposed50-hectare residential devel-opment at Agbara, adding

that preparatory work hadequally commenced on theconstruction of a 549 housingunit estate at Idi-Aba inAbeokuta.

According to him, theministry which also engagesin consultancy services andmaintenance work hadalready completed the con-struction of some housingestates in Ijebu Ode, Sagamuand Ikenne, saying that theministry had also completedand handed over keys to own-ers of the media village estate,

a project inherited from theimmediate past administra-tion in the state.

The commissioner alsorevealed that governmentunder its mass housing pro-gramme had opened talkswith some experts fromMalaysia which had beenfound to process designs thatcould be afforded by the com-mon man, adding that thegroup would be involved indesigning and executing theAbeokuta City Centre project.

Housing

FHA gets interim management committee

IN a renewed effort to bridgethe housing gap, the FederalGovernment has set up aseven-member InterimManagement Team to com-mence the process of com-mercializing and reposition-ing the Federal Housing

Authority (FHA) for efficientservice delivery.Speaking at the inaugurationof the committee yesterday inAbuja, Minister of Lands,Housing and UrbanDevelopment, Ms AmmaPepple urged the committeeto develop a new corporateplan for FHA and work closelywith the Bureau of PublicEnterprise (BPE) to commer-

cialize the operations of theagency.The minister explained thatthe on-going restructuringprogramme in the FHA isaimed at enhancing the capac-ity of the organization. Shenoted that governmentwould not tolerate the cases ofmissing files and other sharppractices, urged the commit-

tee to computerize the opera-tions of the authority for easyissuance of titles and recordkeeping.

Pepple explained that thecommittee is transitional andwould last only through theperiod of restructuring andcommercialization of FHAadding that the positionswould be re-advertized earlynext year.

The marriage between architecture and urban design can not be separated andNigerian cities can rise above unplanned growth, but urbanisation will continue tobe a mirage in the nation’s space, if planning approval processes are not reviewedto sooth the world best practices

By Emmanuel Badejo

THE GUARDIAN, Monday, May 27, 201336 HOMES&PROPERTY

Rivers in one-stop-shop building approval process

TO encourage investmentand to sanitise the build-

ing industry, Rivers StateGovernment, has broughttogether professionals inprivate practice and somegovernment officials to vetdrawings of any sort, andrecommend same forapproval. The new initiative, known

as a “one-stop-shop,” beganrecently and is brain childof the Rivers State Chapterof Nigerian Institute ofArchitects (NIA). The part-nership is among otherthings, aimed at eliminat-ing time wasting, corruptpractices, touting and alsoto enhance the state’s rev-enue.Unfolding this last week

when the officials of thechapter paid a visit to TheGuardian, the Chairman ofthe chapter, Mr. EmmanuelDike, said the initiative hasbrought sanity into build-ing approval process inRivers State.According to him, the one-stop-shop has reduced timelimit of approval period to“at most, one month”. Thepartnership involves archi-tects, engineers, town plan-ners and the Special Adviserto the Commissioner forPhysical Planning andUrban Development.

Explaining the workingsof the body, Dike said uponreceiving an application,these professionals wouldvet it to ensure that thearchitectural drawing is inconformity with the bestinternational practice,meet the structuralrequirements, includingthe planning and environ-mental regulations.

“The initiative haschanged the face of build-ing plans in Rivers State, byeliminating bottleneckshitherto associated withapproval process, eliminat-ing quackery, touting andother anomalies. In RiversState today, approval isbeing processed withouttears”, said Dike.

Professional Practice

The initiative has changed the face of building plansin Rivers State, by eliminating bottlenecks, quack-ery, touting and other anomalies hitherto associat-ed with approval processOn how to achieve mass

housing delivery, the NIAChairman hinted that the institute is workingtowards how to make alter-native building materialsattractive to the develop-ers.

According to him,research is ongoing onhow to exploit abundantlocal materials that are inconsonance with Nigeria’sdivers culture in buildinghouses, looking at thepeculiarity of the differentethnic groups.“We need to look at the

different ways the north-erners, the Ijaws, theUrhobos, the Yorubas and

other ethnic groups tradi-tionally building theirhomes. This is the area weneed to look into and cer-tainly, we will get solutionto produce affordable hous-ing to the generality of ourpeople”. He also spoke on the forth-coming programme,tagged Architecture Weekplanned by the Rivers NIA,slated for July 9-12, 2013, atthe Civic Centre, PortHarcourt. The event has asits Theme: “Oil and GasIndustry-Impact onArchitecture andEnvironment in Nigeria”.The four-day programme

would bring together pro-fessionals in the built envi-

ronment, businessmenfrom various sectors, theenvironmentalists, proper-ty developers, among oth-ers.

Dike noted: “With thegrowing complexity in thebuilding and constructionindustry and the impact onoil and gas vis-à-vis agricul-tural activities, the pro-gramme is to equip archi-tects and other profession-als with current skills andbusiness competencies nec-essary to compete intoday’s professional andbusiness environment”,adding that internationalexperts in the related fieldshave been invited to deliverlecture at the occasion. Similarly, topics on activi-

ties that may cause environ-mental impacts includingdrilling, exploration, wastemanagement, noise pollu-tion, destruction of culturalresources and solutionswill be discussed. Othersare Architectural designand new techniques- build-ing information modeling,Business Management forBuilding Professionals,advanced Land Planning,Site and InfrastructureSystems Development’, heconcluded. Companies who have busi-ness interests in RiversState and Nigeria havethrown their weightbehind the event to ensurea successful outing includ-ing Total Nigeria PLC, DeltaAirlines and Kon –X Ltd.

Expected to grace theoccasion are the RiversState Governor, ChiefRotimi Amaechi, who willhost the Vice President,Namadi Sambo, who is theSpecial Guest of Honour,Governors from South-South, Ministerial ofPetroleum Resources Mrs.Deziani Allison Madueke,among others.Niche PR, the event coordi-

nators confirmed thatthere have been over 1,000hits on the newly launchedNIA, Rivers website, exhibi-tion and participation reg-istrations, which areencouraging indicationsthat the target expectationfor, and outcomes from theevent will be met.On the entourage of the

Chairman are the ViceChairman, Mrs. ChiomaOgbonna, the treasure ofthe institute, Mr. GregUmanah and a team fromNiche PR firm, led by Mrs.

ByTunde Alao and Emmanuel Badejo

Chairman, NIA Rivers State chapter, Mr. Emmanuel Dike (left), Vice Chairman, Mrs. Chioma Ogbonna, treas-ure, Mr. Greg Umanah during their visit to The Guardian, last week PHOTO: OSENI YUSUF

THE GUARDIAN, Monday, May 27, 2013 37

38 THE GUARDIAN, Monday, May 27, 2013

THE GUARDIAN, Monday, May 27, 201339 HOMES & PROPERTY

NIQS canvasses long term mortgagefinancing

FOLLOWING the increasingpopulation in Nigeria’scommercial capital city ofLagos, the President of theNigerian Institute of QuantitySurveyors (NIQS), Mr. AgeleAlufohai, and other renownedprofessionals in the industryhave renewed the call for along term mortgage financingand its acceptance by themasses.The NIQS boss made this call

during the FIG Working Week2013 – Environment for Sus-tainability, held in Abuja Nige-ria while speaking on thepaper; “The Lagos State 2010Mortgage Law and the Supplyof Housing. Mr. Alufohai de-cried that the growth of thepopulation in the metropoli-tan Lagos has assumed a geo-metrical proportion; theprovision of urban infrastruc-ture and housing to meet thisdemand is, not at commensu-rate level.He stated that Lagos is the sec-ond most populous city inAfrica after Cairo in Egypt andestimated to be the fastestgrowing city in Africa and theseventh fastest growing in theworld with a population in-crease of about 600,000 per-sons per annum. Lagospopulation is growing tentimes faster than New York andLos Angeles with grave impli-cation for housing delivery. Atits present growth rate, theUnited Nations had estimatedthat, Lagos state will be thethird largest mega city in theworld by the Year 2015 afterTokyo in Japan and Bombay inIndia.Mr. Alufohai remarked that inview of the foregoing, the Fed-eral government has set up the

National Housing Fund (NHF)to provide mortgage finance toNigerians through the PrimaryMortgage Institutions set upacross the country. Also theLagos State government hasalso set a machinery in place toensure sustainable housing de-livery This scheme is designedto ensure that residents of thestate irrespective of their levelof income, be it low ormedium, are able to buyhouses, at affordable term. Theobjective of the state govern-ment is to show the way for pri-vate sector by investing indelivering the houses. The stategovernment invested in build-ing the structure and recoversthe cost by spreading the pay-

ment over a period of 10 to 15years.The houses, he continued arebuilt in categories of one, twoand three bedrooms so that in-come earners of every categorywould benefit, taking the op-portunity according to theircapability. The payment sys-tem is also made easy in such away that applicants only payabout 30 per cent of the cost toown the house and the re-maining is paid over a periodof 10 – 15 years. He urged stake-holders; the federal govern-ment other tiers ofgovernment, and privatebuilding developers to pursueand sustain the model to easehousing scarcity in the state.

Professional Practice

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THE GUARDIAN, Monday, May 27, 2013 HOMES & PROPERTY

Lagos, property owners tango over demolished houses

the manner by which theexercise was done, madethem to doubt whether theywere agents of the govern-ment as claimed or not.“They condoned off theaccess roads to street, EdithBendel, Oke-Afa, Isolo,Lagos”, one of the affectedlandlords said.Mr. Kene Ochije, a distribu-tor with Dangote Cementand owner of a block makingfirm, whose two-storeybuilding of six flats, wasdemolished, told TheGuardian, that the wholething still looks like a dreamto him, said he had boughtthe land from late ChiefOsuji, left it for four yearsbefore erecting his buildingvalued at N60million.“I have been residing in

Lagos for the past 15 years. Ibought this land seven yearsfrom late Chief MartinsOsuji. After concluding allprocesses, leading to thepurchase of land, I took pos-session. I left the land forfour years before I came tobuild on it.”Ochije, who witnessed thedemolition exercise said: “Atabout 9.00am on 6th ofApril, I was brushing mymouth when I heard a bangon my gate. I quickly rusheddownstairs and I saw heavilyarmed policemen and a bull-

dozer. I asked them what theproblem was and they toldme that they had directivefrom the top to effect demo-lition and while I tried to fur-ther question them, the bull-dozer was at work, pullingdown my life investment. Infact, the exercise was donewithout allowing me to sal-vage any of my belongings.”Asked if there was any con-troversy on the land and if hehad any inkling of the exer-cise, Ochije said, “They saidanother persons owns theland and that he has gone tocourt and won the caseagainst us”, wondering howa court action could be insti-tuted against him withouthis knowledge.Another victim, Chief UcheFrancis, whose storey build-ing of three flats, claimed hegot his root title to the landfrom Ashamu family ofEjigbo in 2008.He said he started noticinghanky-panky over the landsometime last year whensome officials from LagosState Government came toseal the gate leading to hisapartment, adding thatwhen he lodged complaintat their office, he wasshocked when they told himthat the land does notbelong to him and that hisdocument were not genuine.

Land Matters

Another house pulled down by the bulldozer

While the property owners said the landed propertybelongs to them having bought it from the rightfulland-owning family, and taken possession for sev-eral years, the Lagos State Government said some-one else has certificate of occupancy on the landand government is protecting his interest

SEVERAL weeks after someheavily armed uniformedmen moved in to bringdown some choice proper-ties located within Bucknorarea of Jakande Estate,Ejigbo, Lagos, owners of theaffected homes have allegedfoul play, and now consider-ing the option of courtaction against what theydescribed as executive law-lessness.

But the Lagos StateGovernment had risen todefend the exercise, sayingthe occupants do not havethe legal title over the parcelof land, and therefore theydo not have right to remainthere.And the issue now is whothe rightful owner of thelanded property? Supposinganother person, as beingclaimed by the state had got-ten a Certificate ofOccupancy (CofO) over theland, from whom did the yetto be known person get theland? Is it possible for anindividual to get C of O on alanded property he/she didnot buy from legitimateowner? Why did the govern-ment notify the occupants ofthe land of its intention todemolish? These are some ofthe questions begging foranswers, as the occupantscontinue to wonder on thewhole scenario.Five different properties

were affected by the demoli-tion, which was carried outon April 6, 2013. The affectedlandlords and tenants said

According to him, he wasstill in the process of sortingthe said anomaly when thebulldozer came on his prop-erty valued at N15 million.To Mrs. Ethel Osuji, who

bungalow worth N15 mil-lion, said she had to a vigil inher church, the Friday beforethe exercise and she wascalled to hurriedly returnwhen the demolition teamarrived, saying all appeal torescue some of her proper-ties from her apartment andher shop, which was filled tothe brim with foodstuff, fellon deaf ears, as two police-men forcibly dragged herout of the premises, whileshe was trying to recoversome of her wares.”Osuji, a widow, said havinglost her husband, now shehas lost everything, askinghow will she survive the situ-ation of homelessness?Another property owner,

Mr. Abiola Lawal, said heacquired the property fromthe Ashamu land owing fam-ily through an agent Messrs.

Babatunde Fashola orderedthe demolition, becauseanother person had gotten aC’ of ‘O on the property, call-ing the occupants toadvance any title and gov-ernment’s recognition theyhave to the land.Ayinde, who said the demo-lition had been signedbefore he joined the govern-ment, added that he onlyimplemented Governor’sdirective.According him, it is an

offence in the first place foranybody in the state to buildwithout approval from thegovernment, adding: “In anycase the land is the bone ofcontention and somebodyhas government’s C’ of ‘O onthe land.”When he was asked he wasaware of the Supreme Courtjudgment conferring owner-ship on Ashamu family, fromwhom the occupiers bought,Ayinde simply: “Was LagosState Government a party tothat suit?”, adding “Let themcome up with any documentthey have to the land.”

Adeola Almaroof withoutany problem and he hadsince taken possession of hisspace.Lawal, an engineer, said hehad heard that somebody,who did not buy the landfrom the rightful owner hasbeen claiming ownership ofland, questioning how any-one could be claiming own-ership of what he did notowns in the first place?According to Lawal, his ven-dor, had since gotten aSupreme Court judgmentover the disputed land. Incase between Saka Atuyeyeand others and EmmanuelO. Ashamu, the court hadsaid: “after careful consider-ation of the matter, theappeal lacks merit and it isaccordingly dismissed withN300.00 cost to the respon-dent, the Ashamu family.The judgment was deliveredin 1987.But the Commissioner forPhysical Planning andUrban Development, Mr.Toyin Ayinde, said Governor

By Emmanuel Badejo

Minister sets up committee on Festac town refurbishmenttakeover by squatters of thebuffer zone meant to shieldthe estate from the busyLagos-Badagry Expresswayand the unresolved issue ofpayment of ground rents.FHA Managing Director, Mr.Terver Gemade whileresponding to the minster’sconcerns said the authoritywas determined to rehabili-tate the ageing infrastructurein the estate but lamentedthat the money involved inconducting a total overhaulwas beyond the resources

available to the Authority.Gemade who stressed thatmost residents no longerobserve the original terms ofoccupants agreement,bemoaned residents’response to the new publicwater supply, as well as con-version of residential to com-mercial buildings and use ofheavy-duty trucks in theestate.He said more roads wouldbe fixed in the comingmonths and thanked theFederal Government for itsrenewed interest in the estate.However, President of Festac

Town Residents Association,Jola Ogunlusi, while reactingto the FHA GM’s statement,debunked the allegations andstressed that some of theclaims were over exaggerated.According to him, residentshave been the ones fightingthe battle to restore the estateby kicking against the sale ofgardens and parks for build-ing and removal of illegalshops.He said, “We are the one whofought where three of ourmembers lost thier livesagainst the sale of the park at206. Some few years ago it was

also our members thatremoved about 200 illegalcontainer shops.”Ogunlusi further called on

govt to help provide an alter-native route for Abule Ado res-idents who are also part ofFestac town.Earlier, the Commissioner forPhysical Planning and UrbanDevelopment explained thatfor Festac Town to be fullyrestored, a review of its mas-ter plan was necessary even asall stakeholders in the areaneed to work on the samepage to improve the situa-tion.

He also urged the Federalgovernment to come to theaid of the estate by resuscitat-ing the entire dilapidatedinfrastructure.Similarly Special Adviser onTax Matters, Lagos State, Mr.Bola Sodipo, who spoke onthe part of the governmentcalled for all stakeholders tocome up with suggestionsand amicable ways of resolv-ing disagreements.He assured that the issue ofproperty tax would be harmo-niously settled adding thatthe best way forward can onlybe through negotiations.

On his part Amuwo Odofin’sLocal Government’sChairman, Ayodele Adewalelamented the deplorablestate of some basic facilities inFestac Town due to abuse byresidentsOn the state of the sewagesystem in Festac Town,Adewale regretted the actionsof some residents who divert-ed their sewage pipes intoopen drainage stressing thatthe unsanitary act poses greatdanger to the environment,which will manifest eithernow or in the future.

One of the demolished property in Ejigbo, Lagos

45

CONTINUED ON PAGE 31

THE GUARDIAN, Monday, May 27, 201346

THE GUARDIAN, Monday, May 27, 2013 47

THE GUARDIAN, Monday, May 27, 201348 HOMES&PROPERTY

Housing Wemabod plans to provide more housing units to curtail the surge of inadequate housing as well expand its list of growing estates to other southwestern states.

WEMABOD unveils Golden Court, plans housing scheme

boosted soon, followingmoves to increase the hous-

ing stock in the Southwest ofthe country.

Under the ambitious proj-ect, renowned propertyfirm, Messrs WEMABODEstates Limited, owned byOdu’a investment group,plans to collaborate withstate governments in theconstruction of about 5,000housing units. Former Governor of Ekiti

State, Otunba Niyi Adebayowho dropped the hint

recently at a seminar tomark WEMABOD’s bicente-nary, explained that the firmis in talks with governmentfor the actualization of theproject.He stressed that housing

provision is a priority of thecompany even as the meas-ure is planned by the compa-ny to ease housing andaccommodation challengesin the Southwest.

Similarly Director ofDirector Odu’a InvestmentCompany Limited, Ola Bellorevealed that the firm wouldsoon be unveiling thelargest shopping mall in thecounty adding that it is outto build 500 housing unitsin Abeokuta, the Ogun Statecapital, and 5,000 shopstagged ‘NeighbourhoodMarket’ across the state.Prof Babatunde Agbola,

from the Department OfUrban And RegionalPlanningFaculty Of The Social

Sciences, University OfIbadan, while taking partici-pants through the rudi-ments of housing delivery in

the country explained thatdespite government’s inter-vention and huge invest-ments in housing provisionsince the colonial times,Nigeria’s housing problemsstill remained intractable. He stressed:“In fact, before

the emergence of the trans-formation agenda in 2011,access to decent housing hasworsened for increasing seg-ments of the Nigerian popu-lation. A cursory look at thestate of the housing sectortells a tale of a huge paradox- a paradox of achieving solittle with so much. Inspiteof the activities of past gov-ernment in Nigeria, housingsector is in a state of coma,neither dying nor living.After more than six decadesof independence, the hous-ing sector still remains high-ly undeveloped. Agbola while extoling

Wemabod for its rich historyand its continuing good per-formances, called on thefirm to set housing produc-tion goals that would bene-fit a cross section ofNigerians especially in itsmandates states of opera-tion.“Indeed, one of the reasons

why the country is yet tomaximize the developmentimpact of housing industryon the national economy isthe high foreign content ofher housing components.Therefore, a major focus ofthe future housing sector inNigeria is the one with highlocal content. This will relyheavily on reform in ourindustrial and manufactur-ing policy, particularly toensure availability oflocal/indigenous buildingmaterials of the right qualityfor mass housing.” AgbolaaddedAs to the challenge for

Wemabod, Agbola stressedthat the firm must play anactive part in regard for thegeneral populace stressingthat it must spread its longlist of estates in Lagos aloneto other states.Chairman, WEMABOD

Estates Dr. Adebayo Adewusiat the event also revealedthat government alone can-not solve the problem ofhousing which points to thefact that the private sector iskey to addressing the chal-lenge.Also President of theNigerian Institution ofEstate Surveyors and Valuers(NIESV), Mr. Emeka Elehcalled on government totackle three strategic areaswhich are land titling, mort-gage finance, and infrastruc-ture decay in other to solvethe problem of housing.He stressed that the sectorlike other sectors whichhave receieved governmentsupport need a form of sub-sidy boost.“If the government hasassisted other sector whynot the housing. I truly com-mend the management ofWEMABOD which is still oneof the few property firms setup by the government thatis still thriving” he added.Wemabod also recently

commissioned 12-unit apart-ment block at Adeniyi Jonesarea of Ikeja Lagos statetagged Golden Court estate. The estate consists of three

bedroom flats with facilitiessuch as security, borehole,standby generator, inter-com in each flat and Jaccuzibath areas.

MOVES toward easinghousing and accommo-

dation challenges may be

By Tosin Fodeke

THE GUARDIAN, Monday, May 27, 2013 49

TheEnvironment

The Environment

With their focus centered on rural and urban settlements, planners recentlysounded a clarion call for governmental agencies and emergency responsegroups to improve disaster management strategies.

With the growing nuisance of air and water pollution, associated with contin-ued urbanization and industrialization in the country, stakeholders have begana process to overhaul policies  that will put in place veritable environmentalsafe- guards that improve human health, promote economic growth and engen-der sustainable development

LAWMAKERS, governmentofficials and other stakehold-

ers last week at the NationalConference on Environment,lamented the absence of holis-tic approach in  safeguardingthe Nigerian environmentfrom further deterioration.

The stakeholders sought forsolution to environment chal-lenges like desertification anddrought, ocean surge andcoastal erosion, oil and gas pol-lution, flooding as well as theprovision of waste manage-ment infrastructures.  They alsoagreed that the review of someenvironmental andpolicies  will improve humanhealth, promote economicgrowth and engender sustain-able development.

Chairman of HouseCommittee on Environment,Uche Ekwunife who set thetune of the Conference held inAbuja, recently organized bythe Committee said, membersrecently concluded a publichearing on the Bill which,when passed into law, willbring back sanitary inspectorsin the country.

Ekwunife pointed out thatprotecting the environmentwas the responsibility of allstakeholders including indus-tries, indigenous groups, envi-ronmental groups and the gen-eral population, adding: “whenthe environment is abused andneglected, poverty and instabil-ity follow. When it is nurtured,well being and prosperity flour-ish.”

While expressing the commit-ment of the National Assemblyto strengthen the institutionalcapacity of the Ministry of envi-ronment and its agencies, thelawmaker explained that theparliament has taken pragmat-ic steps to create the awarenessand sensitization that put envi-ronmental issues on the frontburner .

She disclosed that theCommittee was also in theprocess of amending the NOS-DRA Act, adding that the pro-

posed amendment seeks tostrengthen NOSDRA with thestatutory power to charge ade-quate fines, introduce criminaloffenses and penalties in orderto ensure strict compliancewith all existing environmen-tal legislation in the petroleumsector among others.

Ekwunife noted that everyenvironmental problem has

Reps, stakeholders seek new blueprintfor environmental sustainability

causes, effects as well as solu-tions. According to her, the pur-pose of the conference was to“bring together major publicand private sector organiza-tions involved in environmen-tal activities to deliberate andagree on a common agenda forenvironmental sustainability.

Speaker, Aminu WaziriTambuwal who was represent-

ed by the House MinorityLeader, Femi Gbajabiamilatasked the stakeholders to takeactions aimed at reducing pol-lution among other degrada-tion and save energy.“The overwhelming evidenceposed by the devastatingimpact of gully erosions in theSouth East, coastal erosionsand ocean surge in the South-

Minister of Environment, Hajiya Hadizah Mailaifia (left), House Committee Chairman on Environment, Uche Ekwunife and Wife of the Governor of Ogun State, Mrs. Olufunso Amosun during theconference

Disaster Management

South, desertification and crip-pling drought in the North,and heavy rainfalls in 2012which resulted in the floodsthat affected over 27 of the 36states of the Federation”, theSpeaker said the country can-not afford anymore wrongturns.

The Minister for Environment,Mrs. Hadiza Mailafia urged thestakeholders to earnestly worktogether to achieve the feat ofnational development andequally secure the futurethrough the prudent utiliza-tion of limited human andmaterial resources, and ensurethe effective translation of

cy and scale of disasters as wellas rising costs. �

Governor of Lagos State,Babatunde Fashola, represent-ed by the Commissioner forPhysical Planning and UrbanDevelopment, Mr. ToyinAyinde, urged town plannersto initiate decisions and ideasthat could prevent risks anddisasters in rural and urbansettlements. �

He emphasised that townplanners possessed the profes-sional skills to evolve mitiga-tion strategies to combat natu-ral disaster and risks in thecountry. �

�President of TOPREC, Mr.Anthony Chukwuma, said that

IN the wake of looming rainyreason and multiple cases of

collapse structures, town plan-ning professionals have taskedgovernment and emergencyresponse groups on the needto adopt more proactivenational strategies in disastermanagement. �

The professional drawn fromthe Nigeria Institute of TownPlanners (NITP) and TownPlanners Registration Council(TOPREC) while speaking atthe 2013 Lagos edition of theMandatory ContinuingProfessional Development(MCPD) programme, observedthat natural disasters havedominated news coverage inthe past several years, noting adistressing rise in the frequen-

the MCPD would educate par-ticipants on disaster mitiga-tion measures and control ini-tiatives as it affected theNigerian environment.According to him, the pro-gramme will enable partici-pants to appreciate and under-stand the causes, nature andprocesses of human and natu-rally induced disasters. �“The training was designed to

enhance our knowledge ofbasic issues in disaster riskmanagement in reducinghuman suffering and econom-ic loss caused by natural andman-made disasters,’’ he said.�NITP President, Steve Onu, inhis submission at the event

Environmental Policies intopractical initiative that candemonstrate the value of sus-tainable management of theenvironment.

Governor Ibikunle Amosun ofOgun State who was represent-ed by the First Lady of OgunState, Mrs. Olufunsho Amosunsaid said environment-relatedissues have become one of themost topical matters in theworld agenda today.She said that evidence hasshown that the impacts of envi-ronmental crisis have becomemajor threats to the survivaland sustainable developmentof humanity.

Planners call for national disaster management action plan

From Terhemba Daka, Abuja

By Tosin Fodeke

called on the Lagos state gov-ernment to effectively collabo-rate and give the proposals ofplanners the teeth needed tobite and function better.

He urged the need for com-missioning of indigenous orlocal planning consultantsregistered with our profession-al body to prepare plans at var-ious levels of details to guidethe physical development ofour living environments inline with current best prac-tices. �

“We also seek effectively sup-port the officials in public serv-ice for implement the plansand schemes designed for ourtowns and villages, political

support needed to implementthe plans, assistance for plan-ners by funding urban plan-ning and development proj-ects to ensure that proposalsare not left as paper works andemployment of planners intothe public sector to enablethem effectively implementplanning proposals made bygovernment.”�

Similarly, Chairman of theevent, Dr. Bolanle Wahab,noted that experiences haveindicated insufficient informa-tion and preparation inNigerian rural and urban com-munities to combat disasters,thereby making Nigerianstakeholders responses to bereactionary in the form of pro-viding relief-materials toaffected population. � 

He stressed that Urban andregional planning is a key toolto assist city managers as com-

munities build resilience torisks and natural disastersthrough effective adaptationmeasures. �

“However, due to insufficientinformation and inadequatepreparations, some disasters,especially floods, drought, ero-sion, fire and oil spillage, stillstrike Nigerian communitieswith devastating impacts. Thistrend needs to be reversed byproviding required knowl-edge to professionals in urbanand regional planning andallied fields to minimize vul-nerabilities and disaster risksand their impacts in rural andurban communities. �

He highlighted that in mostof the Nigerian coastal andinland cities, there are hazard-prone areas: encroached floodplains, edge of ravine (deepnarrow valley), and flood-prone embankments. ��

THE GUARDIAN, Monday, May 27, 201350

THE GUARDIAN, Monday, May 27, 2013 STOCKWATCH 51

Weekly Lead Equity Ratings

COMPANY’S RESULT CONTINUE FROM PAGE 30

THE GUARDIAN, Monday, May 27, 201352 STOCKWATCH

Introduction to dividendsINTRODUCTION

ADIVIDEND is a distribution of a portion of a company's earnings toa class of its shareholders. Dividends can be in the form of cash,

stock, and less commonly, property. Most stable companies offer div-idends to shareholders. Often the stock prices of these financiallysecure companies do not move much, and dividends are offered as away to entice, reward and retain investors. Investing in dividend-pay-ing stocks can be an effective method of building long-term wealth.This guide with introduce dividend terminology and explore thebasics of dividends - from how dividends work, to researching, rein-vestment and taxes.TERMS TO KNOW AND OTHER BASICSCash DividendCash payments made to stockholders, paid on a per share basis, quot-ed as a dollar amount or as a percentage of the current market value.Cash dividends are typically paid out of the company's current earn-ings or accumulated profits. Date of RecordThe date the company uses to determine its shareholders or "holdersof record."Declaration DateThe date a company's Board of Directors announces an upcoming div-idend. DividendA distribution of a portion of a company's earnings paid to its eligibleshareholders. Dividends can be in the form of cash, stock and proper-ty. Dividend Coverage RatioThe ratio between a company's earnings and its net dividend to share-holders. This ratio helps investors measure if a company's earningsare sufficient to cover its dividend obligations. Dividend coverage iscalculated by dividing earnings per share by the dividend per share. Dividend Reinvestment Plan (DRIP)A plan offered by certain dividend-paying corporations that allowsyou to automatically reinvest cash dividends by purchasing addition-al shares of stock on the dividend payment date.Dividend YieldA financial ratio that illustrates how much a company pays out in div-idends each year relative to its share price. It is calculated by dividingthe annual dividend per share by the current price of the stock.Ex-Dividend DateThe date on or after which a stock is traded without a previouslydeclared dividend.One-time DividendA special dividend paid in addition to regular cash dividends.

Payment DateThe date a declared dividend is scheduled to be paid. .ShareholderAny person, company or institution that owns at least one share in acompany. Also called stockholder.Stock DividendStock dividends are dividends in the form of additional shares of stockinstead of cash.Dividend BasicsCompanies that earn a profit can:• Reinvest the profits through expansion, debt reduction and/orshare repurchases; or• Pay a portion of the profits to shareholders; or• Both reinvest and payout to shareholders. When a company pays a portion of its profits to shareholders, it doesso through the payment of dividends. A dividend is a payment madeto eligible shareholders, paid on a quarterly or yearly basis that repre-sents a portion of the company's profits. Companies in the UnitedStates typically pay quarterly dividends, while non-U.S. companiesgenerally pay annual or semi-annual dividends. In Nigeria, compa-nies typically pay interim dividend semi annually or annually at fullyear. Not all companies pay dividends to shareholders, and compa-nies that do pay may increase, decrease or eliminate future dividendpayments, depending on the performance of the business. For exam-ple, a company may decrease its dividend to free up cash to acquireanother company. Most companies, however, try to maintain orincrease dividends to keep shareholders happy and avoid drawingnegative publicity.

Dividends are normally quoted on a per share basis, meaning thatthe dividend each shareholder receives is based on the number ofshares that he or she owns. For example, if you own 100 shares of stockin company XYZ and the company decides to pay an annual dividendof N5 per share, your dividend would be N500 (100 shares x N5 pershare). Dividends can also be quoted in terms of a percent of the cur-rent market price; for example, the company may announce a 2.5%dividend. The dividend will be equal to 2.5% of the current stock price.Each eligible shareholder's dividend will be that figure multiplied bythe number of shares currently held by the shareholder. For example,assume stock XYZ is currently trading at N50 per share and the com-pany offers a 5% dividend. The dividend would be N2.50 per share (.05dividend x N50 share price).A stock's dividend yield is the expected yearly dividend divided by the cur-

rent stock price:

For example, assume stock XYZ is trading at N50 per share and thecompany offers an annual dividend of N5 per share. The dividendyield would be 10% (N5 dividend ÷ N50 share price). Note that if thestock is trading at a higher price, say N100, the dividend yield decreas-es (N5 dividend ÷ N100 share price = 5% dividend yield). Conversely, ifthe stock is trading at a lower price, such as N25, the dividend yieldincreases (N5 dividend ÷ N25 share price = 20% dividend yield). It is easy to become enamored with companies offering high divi-

dends; however, keep in mind that these impressive figures mightnot represent a stable investment. High dividend yields are frequent-

ly indicators of low future growth prospects. A very high dividendyield might be a flag that the company is facing financial difficulty andthat the market expects it to be accompanied by cuts to future divi-dends. Stocks with a low dividend yield, on the other hand, often indi-cate an expectation of high future growth. Cash Dividends, Stock Dividends and One-Time DividendsCash Dividends

Cash dividends are what we normally think about when referring todividends. These are cash payments made to stockholders, paid on aper share basis, quoted as a Naira amount (such as N5 per share) or asa percentage of the current market value (for example, a 2.5% divi-dend). Cash dividends are typically paid out of the company's currentearnings or accumulated profits. Often, investors are able to reinvestthe dividends to purchase additional shares of stock.Stock Dividends Stock dividends are in the form of additional shares of stock instead ofcash. The number of additional shares you receive depends on thenumber of shares you currently own. For example, a company mayissue a stock dividend equal to five shares of stock for every 100 ownedby each shareholder. If you have 500 shares, you would receive 25shares. The price of the stock will likely respond to the dividend so thatshareholders' post-dividend wealth remains the same. The stock divi-dend increases the number of shares each stockholder owns but doesnot necessarily have an immediate effect on the overall value of eachstockholder's shares. One-Time Dividends A company may also pay a special one-time dividend in addition to itsregular cash dividends. A company may pay a one-time dividend for avariety of reasons, such as a sudden increase in cash resulting from thesale of a business or substantial litigation winnings. During the lastquarter of 2012, with the "fiscal cliff" approaching in the U.S., manycompanies issued one-time dividends in anticipation of the higherdividend tax rates presumed to go into effect starting Jan. 1, 2013.DIVIDEND DATESA corporation's Board of Directors must declare all dividends. Fourdividend-related dates are important to this process: Declaration DateThe declaration date is the date that the dividend is announced by theBoard of Directors. The declaration statement includes the size of thedividend, the date of record and the payment date (see below). Oncethe dividend has been declared, the company has a legal responsibili-ty to pay it. Date of Record (or Closure Date)Once a company announces a dividend, it sets a date of record on orbefore which you must be on the company's books in order to receivethe declared dividend. On the date of record, the company will deter-mine its shareholders, or "holders of record," and the company willuse this date to establish to whom it will send financial reports, proxystatements and other information. Ex-Dividend Date (or Ex-Div. Date)After the company sets the date of record, the ex-dividend date is set bythe stock exchange. If an investor purchases a stock on or after its ex-dividend date, he or she will not receive the declared cash dividend;instead, the seller of the stock will be entitled to that dividend.Investors who purchase the stock before the ex-dividend date willreceive the dividend. For example, stock ABC recently announced a cash dividend with an

ex-dividend date of December 7. If you purchase 100 shares of ABCstock on December 7 (on or after the ex-dividend date) you will notreceive the dividend; the person from whom you bought the shareswill receive the dividend. If, however, you purchase the shares onDecember 5 (before the ex-dividend date) you will be entitled toreceive the next dividend. The ex-dividend date for stocks is typicallyset two business days before the date of record. A stock's price mayincrease by the dollar amount of the dividend as the ex-date approach-es. On the ex-dividend date, the exchange may reduce the price pershare by the dollar amount of the dividend. Note: Procedures for non-cash dividends are a bit different. For exam-ple, if a company pays a stock dividend, the ex-dividend date is set thefirst business day after the stock dividend is paid.Payment Date (Payable Date)The payment date is the scheduled date on which a declared dividendwill be paid. Only shareholders who owned the stock before the ex-div-idend date are entitled to the dividend.The following table illustrates an example of the relationship between theseimportant dividend-related dates:

INVESTING IN DIVIDEND STOCKSMany people invest in dividend-paying stocks to take advantage of thesteady payments and the opportunity to reinvest the dividends to pur-chase additional shares of stock. Since many dividend-paying stocksrepresent companies that are considered financially stable andmature, the stock prices of these companies may steadily increaseover time while shareholders enjoy periodic dividend payments. Inaddition, these well-established companies often raise dividends overtime. For example, a company may offer a 2.5% dividend one year, andthe next year pay a 3% dividend. It's certainly not guaranteed; however,once a company has the reputation of delivering reliable dividendsthat increase over time, it is going to work hard not to disappoint itsinvestors. A company that pays consistent, rising dividends is likely a financial-

ly healthy firm that generates consistent cash flow (this cash, after all,is where the dividends come from). These companies are often stable,and their stock prices tend to be less volatile than the market in gener-al. As such, they may be lower risk than companies that do not pay div-idends and that have more volatile price movements. Because many dividend-paying stocks are lower risk, the stocks are an

appealing investment for both younger people looking for a way togenerate income over the long haul, and for people approachingretirement - or who are in retirement - who desire a source of retire-ment income.

Contributing further to investor confidence is the relationshipbetween share price and dividend yield. If share prices drop, the yieldwill rise correspondingly. The Power of Compounding

Dividends often provide investors with the opportunity to takeadvantage of the power of compounding. Compounding happenswhen we generate earnings and reinvest the earnings, eventuallygenerating earnings from the earnings. Dividend compoundingoccurs when dividends are reinvested to purchase additional sharesof stock, thereby resulting in greater dividends. With dividend investing, the more often you receive and reinvest

your dividends, the higher your eventual rate of return. To illustrate amore realistic example of compounding, assume you purchase 100shares of stock XYZ at N50 per share, for a total investment of N5,000.The first year that you own the stock, the company pays one 2.5% divi-dend, earning you N125 in dividend income. If the dividend increasesby 5% each year (5% of the previous dividend; not 5% of the stock'svalue), your N5,000 investment would be valued at N11,226 dollarsafter 20 years (assuming there's no change in the stock price and thatyou reinvested all of the dividends).To take advantage of the power of compounding, you need:• An initial investment• Earnings (dividends, interest, etc.)• Reinvestment of earnings• Time DRIPsA dividend reinvestment plan, commonly called a DRIP, is a planoffered by a company that allows investors to automatically reinvestcash dividends by purchasing additional shares or fractional shareson the dividend payment date. This can be an excellent way forinvestors to take advantage of the compounding potential. Instead ofreceiving your quarterly dividend check, the entity managing theDRIP (which could be the company, a transfer agent or a brokeragefirm) puts the money, on your behalf, directly towards the purchaseof addition shares.In some environments, many DRIPs allow you to purchase the addi-

tional shares commission-free and even at a discount for the currentshare price. DRIPs that are operated by the company itself, for exam-ple, are commission-free since no broker is involved. Certain DRIPsextend the offer to shareholders to purchase additional shares incash, directly from the company, at a discount that can be anywherefrom 1 to 10%. Because of the discount and commission-free structure,the cost basis of shares acquired in this manner can be significantlylower that if bought outside of the DRIP.

From the company's standpoint, DRIPs may be attractive becausethe DRIP shares can be sold directly by the company - and not throughan exchange. This means that the proceeds from the stock sale can bereinvested into the company. DRIPs can also allow companies to raisenew equity capital over time while reducing the cash outflows thatwould otherwise be required by dividend payments. Additionally,DRIPs tend to attract shareholders with long-term investment strate-gies; as such, these investors may be more willing to "ride out" anyrough periods.From the investor's perspective, DRIPs offer a convenient method of

reinvesting. The primary disadvantage to shareholders is that theymust pay taxes on the cash dividends reinvested in the company eventhough they never receive any cash.DIVIDEND PAYMENTS IN THE NIGERIAN CAPITAL MARKET

For many investors, dividend-paying stocks have come to make a lotof sense in Nigeria given the almost cultural belief that makingreturns on investment is the essence of engaging in any investmentor business plan. Many investors think of dividend-paying companiesas having low-return investment opportunities compared to high-fly-ing small cap companies whose volatility can be pretty exciting; thusrepresenting dividend-paying stocks as more mature and pre-dictable. In the last few years, activities in this regard appear to bedull; the practice nonetheless provides a combination of consistentdividend with an increasing stock price – which offers earnings poten-tial powerful enough to get excited about. Dividends paid by corporate firms are therefore viewed positively by

the investors, firms and the general public – without question. Thefirms which do not pay dividends are conversely rated by thesegroups without consequential impact on share prices. The peoplewho support the relevance of dividends payment clearly state thatregular dividends reduce uncertainty of the shareholders i.e. theearnings of the firm is discounted at a lower rate, thereby increasingthe market value. However, it is exactly the opposite in the case ofincreased uncertainty due to non-payment of dividends.The dividend policy of a firm traditionally helps the decision to pay

cash dividend in the present or paying an increased dividend at alater stage – building a perception of growth, strength and viability.The firm could also pay in the form of stock dividends which unlikecash dividends do not provide liquidity to the investors; however, itensures capital gains to the stockholders and as such determines theform of payment. In the year 2010, out of the 199 First Tier Equities listed on the main

board of the Nigerian Stock Exchange, Eighty-Four (84) firms repre-senting 42.21% of the entire listed first tier equities, paid dividends toits investors. The number of companies that paid dividend in the year2011 witnessed a slight drop in total figure – Seventy Six (76) out of 186First Tier Equities listed on the main board in the year under review (adrop of 8 or 10% from 2010 figures). As at Q1 2012, Twenty (20) quoted firms out of the 187 First Tier Equitieslisted on the main board have proposed dividends to its investors rep-resenting 10.70% of the listed First Tier Equities. 3 Large CAP compa-nies are characterized in the figure while Medium and Small CAPsfirms have 7 and 10 correspondingly.CONCLUSIONMany investors seek dividend-paying stocks as a means of generatingincome and growing wealth. As with any investment, it is importantto do your homework and find investments that are suitable to yourinvesting style, time horizon, financial situation and financial objec-tives.

THE GUARDIAN, Monday, May 27, 2013 53

54 THE GUARDIAN, Monday, May 27, 2013

BusinessInterview

What would you say are the operational chal-lenges facing multinational shipping compa-nies operating in the country?

THE multinational shipping companiesthat are operating in Nigeria, first, they are

incorporated to do business in Nigeria. Theycame here to set up a legal local company andget registered with all authorities concerned:the CAC, Port Authority, NIMASA and NigeriaCustoms Service (NCS). They set up businesshere because Nigeria is a huge market. Butthe major challenges, which I think they arefacing are not different from the challengeswhich others serious operators are facing. Inthe ports, these challenges, I will start withthe security challenge, which has increasedrecently, are not only for the ships waiting toberth, but also lately the personnel. There aresecurity threats and alerts everywhere, so thatis one. Challenge is the multiplicity of govern-ment agencies. Sometimes you have so manyagencies asking for the same information,and you tend to repeat yourself all the time.The authorities in the port sector don’t seemto be working in a synchronised way thatenables you to get on with your business ofserving your customers. Take something likeproviding documentation for the cargoes theship carries, you deal electronically with cus-toms through the ASYCUDA system that goesto your control line in Abuja, at the sametime, you have various agencies asking for

hard copies of ships’ manifest, includingNIMASA, even NPA, NAFDAC, SON, the securityagencies and so on. Those of us who have beenin the port system quite a while would under-stand this to be taking us even beyond a cen-tury, because when we started, as young grad-uates in the shipping companies, we devel-oped interaction with the authority that onceyou lodge your document with Customs, anygovernment agencies that want this docu-ment can go to Customs to get a copy. Butnow you are confronted with the challenge ofmultiplicity of agencies. The other challengeto the shipping companies has to do with theport services. Why are shipping servicesexpensive in Nigeria? It is because you pay fora service and you don’t get the service.Sometimes you are forced to spend moremoney to get the services done, and in somecases, you have to get third party to render theservice at extra cost. This should not be. Mostof the challenges have to do with the environ-ment, which is not very friendly to business.And it is a harsh economic reality, whichmany multinational, even small-scale busi-nesses, are facing in this country. So we arepart and parcel of the victims of a hostile eco-nomic environment.Can you tell us what the Shipping Associationof Nigeria (SAN) is all about? How is it differ-ent from any other trade unions likeIndigenous Ship Owners Association of

addressed. For instance, if you look at theinfrastructural deficit, which affect thethroughput of vessel in the various ports andin the waters within and around the ports, youwill see that these were left for too long and soyou don’t expect miracles to occur overnight.But as we sympathise with government, theCustoms which our members serves are notall that patience, because all these things costmoney, and they tend to believe that ourmembers are making money at their expense,which is not case. So in the summary, the asso-ciation caters for the interest of members, butby the terms of our articles of association, theassociation as a body, because of its interna-tional connection, do not fix rate or discussthe commercial interest of members for tworeasons. One: Most of the developing worldshave outlawed all these trade association andconferences. It is almost internationally unac-ceptable for group of companies to fix rate.The penalty is very stiff and it can also give youa bad name. Secondly, because internationalshipping, like airfreight, is open skies, aCustom tries to get the best deal, and I am notsurprised that each of our members is in com-petition with each other. What good clientnormally do is to look around and get the bestdeal. So you don’t have a uniform freight rateor uniform charge for a particular service. Theprofiles are different as I said. Each of them arein competition and, globally too, you will

Nigeria (ISAN)?Well, originally, the shipping companieswere part of the Lagos Chambers ofCommerce. Many of them had and still havetheir headquarters in Lagos here. So LagosChambers of Commerce was a veritable plat-form through which the challenges could beheard. But over time, members felt that thechamber was not sufficiently or adequatelyaddressing the critical issues that concernedthem, especially in their interaction withgovernment, through the budget proposals.So in early 2000 or thereabout, the associa-tion was formed specifically to deal with gov-ernment directly, and through its agencieson those critical issues that affect the busi-nesses of various members. The associationis not a trade union. It is registered as a trustand it interfaces with government agenciesto discuss issues whenever they arise, partic-ularly, I will say the Federal Ministry ofTransport and its agencies, Federal Ministryof Finance and its agencies, which includeCustoms, Federal Ministry of Internal Affairs.It has direct access to these bodies and gets alot of mileage in these dealings. We holdmeetings, we sent representations and theylisten to us and it gives them a better per-spective of the challenges that serious andbig time operators in the maritime industryare facing. Our members also appreciate thedifficulties in getting some of these issues

Val Usifoh is the chairman, Shipping Association of Nigeria (SAN), a body of multinational shipping companies in Nigeria. In a chat with DAVID OGAH, he bemoaned the mul-tiplicity of agencies at ports and the high cost of doing business at the nation’s gateways despite reforms. Excerpts.

Usifo

Multiple duties, insecurity and unfavourable

THE GUARDIAN, Monday, May 27 , 2013 55

notice that because of long run econom-ic recession, some of these big shippingcompanies are contracting. Some aregoing out of business, others are beingswallowed up.Who is qualified to become SAN mem-ber?Any big shipping operator in Nigeriacan join the association. The acceptanceof membership is very democratic. Earlythis year, we have a new member, a com-pany that started newly. So if you applyto the association, the application goesround the membership and if there is amajority decision to accept the compa-ny, it will be accepted into the associa-tion.How is SAN different from IndigenousShip owners Association of Nigerian(ISAN)?ISAN is purely an indigenous organisa-tion and their mandate is slightly differ-ent. I am a Nigerian, I have a lot of sym-pathy, a lot of affiliation and plan for thegrowth and development of ISAN. Theyare actually in the cabotage. The days ofAfrican Ocean Line, NNSL and Green Lineare gone forever. Although they are try-ing to come back into the nation’s ship-ping sector, the emphasis now is forthem to maximise the natural priv-iledges that comes with the CabotageAct. Also we have the oil and gas relatedfield. You can not be a big oil producingnation and you don’t have any flag ves-sel carrying the oil. No member of ISANis in position to favourably competewith the big merchant shipping compa-nies or international ones operatinground the world. SAN is made up ofmultinational shipping companies thatoperates round the world. Those ofthem operating in Nigeria are Nigerianregistered companies. But policies aredirected from their head office which co-ordinate all the activities of membersround the world and that is why it triesto maintain own profile, have its ownfinancial and operational standard with-in commercial standard. That is the dif-ference between us and ISAN.The Nigerian import prohibition list isgetting elongated by the day. How hasthis affected shipping business?I will like to answer your question bymaking a comment on import prohibi-tion list. For reasons best known to thegovernment, the list is getting longer.The intention is to protect the local pro-duction and indigenous manufacturers.Tariff and barriers are not enough tostop these things from coming. You findthat most of these items that are prohib-ited still enter the country one way orthe other. If you want industry to grow,first, we have to provide a healthy opera-tional environment, there have to beincentives for local capacity building.And there are certain things that needsprotection. However, the import prohi-bition do not seem to address the needof the private sector. What is happeningis that most of our local businesses arebeing driven out of business. But theanswer is not in prohibition becauseNigeria is basically an import depend-ence economy. So prohibition is not theanswer from my point of view. Exceptfor security items like our currency,arms and ammunition, anything that istraded in the world, that has a huge mar-ket here, should be allowed to come in. Ifyou want to import Rolls Royce as localTaxi here, why not. It is better you raisethe tariff benchmark than to ban it. Ifyou ban it, and there is a market for it, itwill still find its way into the country,especially if you don’t have the capacityto produce these things locally. It doesnot mean that our economy is struc-tured in such a way that these thingscannot be produced. It is just that thereis no support for local manufacturing,

be it small, medium scale, even the bigindustries. I have a friend in MAN whoseoutfit is heavily burdened by some ofthe things you can take for granted, butfor which they pay tax. They have to pro-vide their own bore hole, they don’tdepend on public power supply. Thisbuilding where we are today, 90 percent of the power it uses is provided bythe company to keep software and oth-ers going. Many companies have to runtheir own hospitals and clinics for theirstaff. These shouldn’t be so. The compa-ny that pays its tax, both to the state andfederal level, is entitled to some basicthings, plus some local protection togrow. That is why our textile industrywent away. A long import prohibitionlist is not the solution.Is the policy of 48-hour goods clearanceworking? How has it affected turn-around time for vessels?This is very impressive. It is a currentissue. You said it started three years ago,and it is on-going. We are migratingfrom a regime where we have 30-40days of clearance time to currently 20-21days. The volumes are down because ofthe current global recession. But 48hours clearance is a destination. Stepsare gradually being taken to get there.There are so many things to be done. Ifyou compare the way we do things inour ports here with the way it is done insmaller neighbouring countries thatare in competition with our ports, youwill see that there are too many actorsin our scheme. There are so many agen-cies interfering in the port processes.There are lots of infrastructural deficit.Our cargo documentation process isvery cumbersome. For security andother reasons, our cargo examination,

clime still albatross at ports, says Usifoh You find that most

of these items that are prohibited still enter the countryone way or the other. If you wantindustry to grow, first, we haveto provide a healthy operationalenvironment, there have to beincentives for local capacity

building. And there are certainthings that need protection.

However, the import prohibitiondoes not seem to address the

need of the private sector. Whatis happening is that most of ourlocal businesses are being driv-

en out of business

Except for securityitems like our currency, arms

and ammunition, anything thatis traded in the world, that has a

huge market here, should beallowed to come in. If you wantto import Rolls Royce as localTaxi here, why not. It is betteryou raise the tariff benchmarkthan to ban it. If you ban it, and

there is a market for it, it will stillfind its way into the country,

especially if you don’t have the capacity to produce these

things locally

there is too much of physical examina-tion. Port reforms have helped some-how, but there are still issues in theport reform that we know governmentis addressing. So 48 hours is a destina-tion. We want to get there, and we arenot there and we are happy and fullycommitted to be part of these mea-sure’s including single window, reduc-tion of processes. So with all these com-plexities, business is bound to beexpensive, and it is well known that ourports are relatively very expensive.The other issue you should know isthat our port business is concentratedin few places. We have no deep-sea portin this country, unlike other countriesin West Africa. So they have a hugeadvantage. When all these things areput in place, the Inland ContainerDepots are not functional, our railwaynetwork is still undergoing major over-haul. If all these things are working andthe ports work as a transit area, whichthey are, we will be talking of 28 hoursclearance, and not 48 hours.The ports were concession majorly toreduce cost, seven years on; the cost ofdoing business is still very high. Whatdo you think is responsible for this?Using cost as a major parameter tomake comparism is inappropriate.Take a simple reason for inflation, costhas never gone down. We are talking ofcomparative cost. People have investedmoney to make the concession work.The concession, port reforms, haveworked very well. The critical elementto be discussed are two. One: relative tothe concession agreement, which eachconcessionaire signed, is he keeping tothe spirit and intention of that conces-sion? More fundamentally, the moni-toring agencies, it is playing its rolewell so that government is able to com-pare milestones? You started from A,what we expected you to achieve. Wehave now moved to B, C, D. You havenot gotten there, what are the reasons?It should be easy for government tosee, and even for the public to see thatthings have not got to where theyshould be for so, so reasons. As muchas this concession agreements aresecrete, government hasn’t come outto say terminal A, B, C, D, this is howthey have performed, this is wherethey are lacking, this is the informa-tion that is missing. But in terms ofcapacity and productivity, they aredoing a good job. Nearly all the termi-nals have invested massively in capac-ity upgrading. Mark you, the tem-plates were different. Here forinstance was a housing estate. Theystarted from the scratch. In someother older areas like Apapa Port andsome part of Tin-Can, there was somuch dilapidation, a lot of invest-ment has been put in to bring thingsto the standard they are now andinvestment continues in terms ofmanpower, infrastructure, hardware,and upgrading of the system to makethem customer responsive and toyield the dividend which their govern-ment expect from them. They are hereto make money. Each space that wasconcession is money. If cargo cease inthat space and it is not moving, theywill be losing money, governmentwill also be losing money. These areissues. Take Lagos ports, for instance,they have become cosmopolitan portsin the sense that the city has eventual-ly grown round the ports and there islittle room for expansion, infrastruc-tural deficit is massive. So what it isyou have gained from the port, youlose outside the port. We said before,the challenges which these terminalface can also be measured by thethroughput of cargo from their areas.

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THE GUARDIAN, Monday, May 27, 201358

THE GUARDIAN, Monday, May 27, 2013 59BUSINESS

From Terhemba Daka, Abuja

NIGERIA NationalPetroleum Corporation

(NNPC) has yielded to thedemands of the House ofRepresentatives committeeon Finance to open its bookas the parliament moved toimprove the revenue gener-ation of the federal govern-ment.The corporation had fol-

lowing previous invitationsextended to it snubbed theAbdulmumin Jibrin-ledHouse Committee onFinance, but NNPC officialshowed up recently withapologies for snubbing theHouse panel.But NNPC Group Executive

Director of Finance, BenardOtti who appeared yester-day further pleaded formore time to put the corpo-ration’s records together.The GED had earlier apolo-

gised to the Committee thatthe delay in coming up withthe presentation was as aresult of the absence of theofficer in charge, whom hesaid had been out of thecountry for about a week.He told the panel that the

absence of the GMD at themeeting due to another offi-cial engagement elsewhere,just as he appealed for twoweeks to make the presenta-tion available.

NNPC succumbsto Reps’ move toprobe revenue

Jonathan to kick off construction of Zungeruhydroelectric dam projectFrom John Ogiji, Minna

PRESIDENT GoodluckEbele Jonathan is to offi-

cially kick off the construc-tion of the multi-billionnaira Zungeru hydroelec-tric dam project in theWushishi local govern-ment area of Niger State onTuesday. The flag-off of the con-

struction work of the proj-ect is part of activities linedup for the one-day visit ofthe President to NigerState.Though details of the visitsare still sketchy the NigerState Commissioner forInformation ProfessorMohammed Kuta Yahayatold newsmen in Minna onThursday that the state gov-ernment would give thepresident a befitting recep-tion during the visit to thestate.

According to ProfessorYahaya the state govern-ment and its people appre-ciated the gesture of thepresident for approvingthe execution of the projectand other projects in thestate, which he said hadbeen on the drawing boardfor over 15 years.

NCDMB canvasses for revival of manufacturing sector for local contentBy Roseline Okere

THE Nigerian ContentDevelopment and

Monitoring Board (NCDMB)has said that the develop-ment of the country’s man-ufacturing sector wouldassist oil and gas companiesin implementing local con-tent policy.Executive Secretary of the

board, Ernest Nwapa, statedin a media statement madeavailable to The Guardianrecently that local manufac-turing holds the key to cre-ating jobs in the oil and gasindustry.

According to him, theboard was planning usingthe Nigerian Content Fundto create industrial parksclose to the oil fields and get

original equipment manu-facturers to mentor smalland medium scale enter-prises to manufacture com-ponents of their equipmentused in the industry.He added: “The responsi-

bility of the Nigeria ContentDevelopment andMonitoring Board is towork with the industry todrive the establishment of

these manufacturing facili-ties and that is why theMinister of PetroleumResources, Diezani Alison-Madueke, is pushing for thelaunching of the NigerianOil and Gas Industrial ParkScheme.“The big manufacturers

would come to the park andselect a local partner thatwould manufacture theircomponents.” Nwapa warned that failure

to sufficiently domicile theservice and manufacturingends of industry operationswould mean that invest-ments would flow into thecountry, but take flight inthe form of overseas pro-curement of equipmentused for operations andremuneration of expatriatepersonnel working on theprojects. He explained: “It is expect-

ed that when the Petroleum

Industry Bill (PIB) is passed,it would result in massiveinvestment flow and thoseinvestments will yield rev-enue for Nigeria. But whatwe are looking for is a kindof impact that can give usemployment on top of therevenue. “That type of impact wouldonly come from the invest-ments that result in domi-ciliation. It is a good thingwe have had a three-yearshead-start in the imple-mentation of the LocalContent Act which hasenabled us create somecapacities in Nigeria suchthat as the PIB is beingpassed and investments arecoming, we would thenhave jobs arising from theinvestments being execut-ed locally.” The executive secretary

also canvassed for industrysupport for the Board’s ini-

tiatives especially theNigerian Oil and GasIndustrial Park Scheme andthe establishment of a newpipe mill to support theexisting SCC Mill in Abuja.He explained that when theinitiatives were successful,Nigerians would reapimmense benefits from thePIB, as more industry activi-ties would be domiciled.He added: “It is a good

thing to get the investmentsin, because we need toincrease our revenue intakefrom oil production, but thereal endgame for us is toensure that when as we aregetting revenues, we are get-ting our people to work. “Government agencies can

only employ a few thou-sands, but the real employ-ment can come from com-mercial activities that wouldarise from our preparednessto expand operations.”

“Niger state is appreciativeof what the president hasdone for 15 years the projecthas been on the drawingboard. With the projectNiger State will take itspride of place as the powerhouse of the country.”Professor Kuta said that

government believed thatvery soon the federal gov-ernment would commencethe damming of the Gurarafalls even as he expressedgratitude to the federal gov-ernment for the ongoingdualisation of the Suleja toMinna road.

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Oil & GasWeeklyTHE GUARDIAN, Monday, May 27, 2013 65

in association with

UPSTREAM NEWS

FINANCIAL NEWS

DOWNSTREAM NEWS

Remi Aiyela,Editor-in-Chief

[email protected]

MIDSTREAM NEWS

Gas Infrastructure To Attract N2.4Trillion In Four YearsNIGERIA’S gas infrastructure development pro-

gramme will attract an investment of over N2.4tn($16bn) within the next four years, in line with thethree-point strategic focus of the Gas Master Plan(GMP).

The Group Executive Director, Gas and Power,Nigerian National Petroleum Corporation, Dr. DavidIge, stated this at the 4th annual Oil and Gas FreeTrade Zone conference in Lagos recently. Ige who wasrepresented by the General Manager, Pipelines,

Lekoil Lists On London StockExchange’s AIM MarketLEKOIL has been admitted to the London Stock

Exchange after listing on its AlternativeInvestment Market (AIM).  The company  raisedapproximately $50 million giving it a market capi-talisation of $112.1 million at admission. The Lekoillisting is remarkable, as it is the largest capital rais-ing on AIM so far in 2013. It follows the recent admis-sion by another exploration and production compa-ny, Eland Oil & Gas. Lekoil was welcomed to market by Alderman Roger

Gifford, Lord Mayor of the City of London, who pre-sented a commemorative plaque to the company tomark the occasion.Ibukun Adebayo, Head of Primary Markets for Africa,London Stock Exchange Group, said: “We are delight-ed to welcome Lekoil to AIM. This is the third Nigeriancompany in eight months to raise money and issueshares on our markets, highlighting London’s roleas the leading international equity finance centre forthe economic development of Nigeria.”

AIM is the London Stock Exchange’s internationalmarket for smaller growing companies. A wide rangeof businesses including early stage, venture capitalbacked as well as more established companies joinAIM seeking access to growth capital.  

Lekoil was founded in 2010 as an indigenousNigerian company focusing on Africa. It currentlyhas assets in Nigeria and also offshore Namibia.Commenting on its successful listing, LekanAkinyanmi, Chief Executive of Lekoil, said: “This is animportant step for Lekoil on our journey towardsbecoming a leading E&P company with an aim ofshaping the future of oil exploration and productionin Africa.”

Lekoil is the fourth oil & gas explorer with signifi-cant operations in Nigeria on London’s markets.Since 2007 oil and gas companies have raised overUS $21.6 billion on London’s markets.

The company is now in a position to fund theexploratory well being drilled at the Ogo prospecton offshore block OPL 310, in which it has acquireda 17.14 per cent equity interest and a 30 per cent eco-nomic interest.

Nigeria’s $1 billion Sovereign WealthFund To Start Investing In June NIGERIA’S Sovereign Wealth Fund (SWF) is prepar-

ing to begin investing as from June. The NigerianSovereign Investment Authority (NSIA) said this in astatement this week. The Authority said it would allo-cate 32.5 per cent of the fund to infrastructure invest-ment, and the same for a future generations savingspot. Two per cent, it said would be used to protectagainst commodity price shocks, while 15 per centwould remain unallocated.

“This formula aims to balance the infrastructureneed of the current generation and the need for sav-ings for the future generation of Nigerians,” said thestatement.

Investment in the infrastructure fund will bedelayed while further details are worked out.However, investment in both the future generationand the stabilization fund will proceed in June,according to the statement.

NNPC, MPN Considering BondMarket Alternative Funding  THE Nigerian National Petroleum Corporation

(NNPC) and its Joint Venture partner, MobilProducing Nigeria Limited (MPN) are consideringgoing into the bond market as an alternative sourceof funding by the year 2016.  

This was disclosed by the NNPC’s Group ExecutiveDirector, Finance and Account, Mr Bennard Otti atthe opening ceremony of a 3-day workshop titled:“NNPC/MPN JV Project Bond Workshop” held inAbuja.In his opening remarks, the GED stated that: “NNPCis meeting with her JV partner to brainstorm on alter-native sources of funding such as bond market inorder to enhance the revenue and also create employ-ment opportunities.”

Marginal Fields Licensing Round To BeAnnounced Within Two Months THE Minister of Petroleum Resources, Diezani

Allison-Madueke has confirmed that the next mar-ginal fields round will be announced within twomonths. She confirmed this while speaking at a spe-cial lecture at Oxford University hosted by StAnthony’s College in conjunction with the OxfordInstitute for Energy Studies and the African StudiesCentre at Oxford University. The lecture was entitled“The Future of African Energy in a Changing GlobalMarket.”

During the lecture she spoke about Africa’s richresource and its prodigious reserves, stressing thefact that, as the largest producer and exporter andthe second largest economy in Africa, “Nigeria hasbeen at the heart of every conversation on Africanenergy for the last five decades.” During the questionand answer session of the lecture, Remi Aiyela, theeditor of NOGintelligence asked the Minister for aspecific timescale for the announcement of the nextmarginal fields licensing round. Remi pointed outthat the Director of the Department of PetroleumResources had stated at the official launch ofNOGintelligence that the Department had complet-ed the work necessary for the commencement of thenext licensing round, including mapping out thefields and preparing accompanying the data pack-ages.

Responding to Remi’s question, the Ministerexplained that the delay in announcing the licens-ing round was because the government was keen toensure that the mistakes of the last round were notrepeated this time. She then went on to confirm thatan announcement would be made within twomonths.The Marginal Fields Programme was devised to bringmeaningful indigenous participation into theupstream landscape particularly given the largenumber of reported oil and gas discoveries in theNiger Delta, which over time had remained undevel-oped, unproduced and, in some cases, only partiallyappraised by the international oil companies (IOC’s)which deemed them uneconomic. The first marginal fields licensing round, which washeld in February 2003 and in which 24 licences wereawarded, brought smaller indigenous players intothe upstream sector of the industry. Unfortunately,out of those 24 licences only 9 are producing.

The government is keen to ensure a higher level ofsuccess with this licensing round, which the Ministerexplained, was the reason why the announcementhad been continuously delayed.

Afren Completes OPL 310 Farm Out  LONDON Stock Exchange (LSE) listed Afren Plc has

announced the completion of its OPL 310 farm outagreement with Lekoil Limited. At the same time, thecompany also announced the commencement ofexploratory drilling at the Ogo prospect. Lekoil,recently listed on the LSE’s Alternative InvestmentMarket (AIM) will acquire a 17.14 per cent participat-ing interest in the block, subject to Ministerial con-sent.

The agreement will enable Afren to obtain a totalcarry of up to $50 million in respect of the explorationwell. Indigenous company, Optimum PetroleumDevelopment’s 60 per cent interest remainsunchanged. Optimum, which acquired the block in2008, is the “Operator” of the block and the compa-ny will continue to receive technical assistance fromAfren under a Technical Assistance Agreementbetween the two companies. Following the farm in by Lekoil, the companies’ inter-est in the block will be as follows:Participating interest:  Optimum: 60 per cent; Afren:

22.86 per cent;  Lekoil: 17.14 per cent.

OPEC Daily Basket Price Stood At $100.36A Barrel Wednesday, 22 May 2013THE price of OPEC basket of twelve crudes  stood

at $100.36 a barrel on Wednesday, compared with$101.39 the previous day, according to OPECSecretariat calculations. The OPEC daily basketremains under pressure and has been falling sincethe 20th before which it had been rising for a fewdays.

The new OPEC Reference Basket of Crudes (ORB) ismade up of the following: Saharan Blend (Algeria),Girassol (Angola), Oriente (Ecuador), Iran Heavy(Islamic Republic of Iran), Basra Light (Iraq), KuwaitExport (Kuwait), Es Sider (Libya), Bonny Light(Nigeria), Qatar Marine (Qatar), Arab Light (SaudiArabia), Murban (UAE) and Merey (Venezuela).

NNPC Invites Applications For Crude Oil Term ContractsTHE Nigerian National Petroleum Corporation

(NNPC) has announced the beginning of the appli-cation process for its annual round of term contractsfor lifting Nigerian crude oil for the period starting1st August 2013 to 31st July 2014.

The Nigerian government has very stringent rulesabout who can be awarded a contract. It is generallyintended that only end users are awarded term con-tracts and so only refinery owners or retail outletsand large volume traders are to apply. The applicanthas to show details of its facilities, markets and vol-ume of crude processed over the previous 3 years or,in the case of traders, evidence of its global network,activities and volume of crude oil handled over theprevious 3 years.  Indigenous companies are excepted however from

these stringent entry requirments, and only need toshow that they are engaged in Nigerian oil and gasbusiness. The low entry bar will make it easier forindigenous companies to qualify.  

The financial requirements are quite steep and arelikely to take all but the most serious players out ofthe running. Applicants must have not less than $500million annual turnover and a net worth of not lessthan $100 million. Many indigenous companies willnot be able to scale this hurdle and will probably fallout at his stage.  

Successful applicants also have to make an imme-diate payment of $2.5 million, which will be treatedas a deposit against the first cargo.Other criteria are that applicants must comply with

the Nigerian Content Act including demonstratinga strategy to grow Nigerian equity in the tankers tobe used to lift the allocated crude oil. Applicants mustalso submit commitments for sub-contracting insur-ance and legal services, banking and financial serv-ices as well as training and capacity building.

In addition, applicants are to include investmentplans for investing in any of a number of areas of theNigerian economy including upstream, down-stream, gas utilisation, independent power plants,agriculture, railway construction, solid mineraldevelopment, healthcare sector development andreal estate development. The deadline for applications is 4pm on the 18th of

June.Last year, to the surprise of many industry observers,

and in spite of the $600 million annual turnoverrequirement, Nigerian firms won a large share of thecontracts. Almost half of the $60 billion worth of oilcontracts went to Nigerian companies.Nigeria normally allocates about 75% of its daily pro-duction for sale through term contracts that last fora year. About 580 million barrels of oil a day will be

Economic interest: Optimum: 30 per cent; Afren: 40per cent;  Lekoil: 30 per cent.Commenting on the new acquisition, the Chairman

of Afren, Mr. Egbert Imomoh, said: “We are delight-ed to have successfully concluded a farm-out on OPL310, offshore Nigeria and welcome Lekoil as a Partnerin exploring the significant potential of this under-explored region of the West African TransformMargin.”

The exploration well being drilled at the Ogoprospect includes a side-track well and the drillingprogramme using Transocean’s drilling rig, Monitor,which began in April the drilling is expected to last90 days.

OPL 310 extends from the shallow water continen-tal shelf to deep water, in close proximity to the TanoBasin. Detailed evaluation of the block has identifiedseveral prospects lying in the same Turonian,Cenomanian and Albian sandstone intervals thathave yielded significant discoveries in Ghana andCôte d’Ivoire.

Shell, NLNG Declare Force Majeure On Gas SuppliesShell Petroleum Development Company (SPDC) hasdeclared force majeure on its Liquefied Natural Gas(LNG) supplies following a leak in its Eastern GasGathering System (EGGS-1) right-of-way (RoW)pipeline near Awoba in Rivers State. As a result of theleak, Shell shut down its gas production at GbaranUbie as plant in Bayelsa State and reduced produc-tion at its Soku gas plant in Rivers State.

SPDC, said the pipeline, which carries some 1.5 bil-lion standard cubic feet per day (SCF/D) of gas, wouldnecessitate the shutdown of the Gbarain Ubie plant,“until the source of the leak is identified and neces-sary remedial actions are completed by SPDC, toensure safe operation.”SPDC supplies LNG to the Nigerian Liquefied Natural

Gas (NLNG) company through the pipeline and as aresult of the disruption in supplies, the 22.5 milliontonnes per annum capacity NLNG plant has also hadto declare force majeure on its exports of LNG. TheSoku plant provides up to 40 per cent of the compa-ny’s gas supplies and with the disruption in suppliesits overall exports are now down by up to 50 per cent.

NLNG’s General Manager in charge of ExternalRelations, Kudo Eresia-Eke said in a statement: “NLNGnot being able to meet its contractual commitmentsfully, declared Force Majeure to its customers on the15th of May 2013.”Eresia-Eke said in the statement that NLNG was work-

ing with SPDC and its other gas suppliers to mitigatethe effect of the disruption, having delivered over3000 LNG and natural gas liquids (NGL) cargoes toits customers in Asia, the US and Europe.NLNG is a joint venture company whose sharehold-

ers are the Nigerian National Petroleum Corporation(49per cent), Shell Gas BV (25.6per cent), Total LNGNigeria Limited (15per cent) and ENI International(N.A) NY (10.4per cent).The force majeure declaration has compounded the

problems of NLNG. Only two weeks ago, its faced ablockade of its vessels at Bonny Channel after a faceoff with the Nigerian Maritime Administration andSafety Agency (NIMASA) which was trying to collecta 3 per cent statutory levy on freight leaving or enter-ing the channel. NLNG had argued that it was exempt-ed from paying the levy by the NLNG Act.  

The dispute has now been resolved in NIMASA’sfavour with the Government directing NLNG to paythe statutory levies, possibly going back to 2009, thatare determined to be owed to the agency. Both par-ties have been directed to meet to work out the out-standing fees and modalities for payment.

The pipeline leak comes barely a couple of weeksafter SPDC released a progress report on its Gbaran-Ubie project, saying it was testing the potentials offive gas wells as it progresses implementation of theproject in Bayelsa State. The Imiringi Power Plant inOgbia Local Government Area in Bayelsa State wasexpecting the Gbaran-Ubie project to provide a boostin its gas supplies once tests were successfully com-pleted.  It is not known whether the pipeline leak was

NNPC, Mr. Sam Ndukwe also disclosed that NNPCwas set to build on the achievements of the free tradezone with the establishment of the Ogidigben GasCity, the largest of its kind in Africa.He stated that the GMP will deliver gas to power for

at least a threefold increase in generation capacityby 2015; achieve a reasonable level of gas-based indus-trialisation by positioning Nigeria as the undisput-ed regional hub for gas-based industries such as fer-tiliser, petrochemical and methanol plants by 2014;and achieve high value export via Liquefied NaturalGas and regional export drives.Ige said the ongoing work to consolidate the agen-

da had thrown up investment opportunities in thegas sector to the tune of $16 billion. “Opportunities for investments exist in the areas of

financial services, gas transmission pipelines, pipemilling and fabrication yards, upstream gas devel-opment, LNG and LPG plants and gas processing facil-ity/gas-based manufacturing industries,” he said.

On the proposed Ogidigben gas-based industrialpark, the NNPC GED said investment opportunitieswere available in the areas of Free Trade Zone infra-structure, port infrastructure and real estate devel-

sold through term contracts while the rest of its oilis sold through its IOC production sharing partners.Last year many of the large oil traders such as Vitol,

Glencore and Trafigura lost out as their usual alloca-tions were cut in half. Asian traders, mainly Chineseand Indian, are expected to fare well this year as theydid last year when Unipec (China’s SinopecCorporation’s trading arm) and Indian OilCorporation saw their allocations increased.

The 20 successful Nigerian companies last yearincluded the usual suspects, Oando, Masters andSahara.

THE GUARDIAN, Monday, May 27, 201366

By Nosa Omorodion

67THE GUARDIAN, Monday, May 27, 2013

By Akin Oyebode

ONE of the axioms of international relations is that the foreignpolicy of a state is, more often than not, contingent on its do-

mestic policies. If foreign policy hinges on the domestic situationof a country, it should be asserted with equal timbre that as far aspolicies go, perception can actually be more critical than reality.The way a country is perceived by others can be most critical andimpactful on the effectiveness of its postures at the internationalplane, hence the effort exerted by many countries to look good, winfriends and influence people generally within the internationalcommunity.Nigeria is, undoubtedly, an important actor within the family ofnations. With the largest concentration of black people in the worldas well as humongous natural resources, unbelievable human cap-ital and abundant military hardware, it is somewhat paradoxicalthat its scorecard in the foreign domain has been far less than ex-pected. Even its nominees for posts in many international organi-sations in the recent past have generally not met great success.The doomsday forecasts about Nigeria, especially on account ofthe prevailing security challenges in the country at the presenttime had not helped either. Widespread terrorist activities coupledwith innumerable incidents of kidnapping, armed robbery, drugand human trafficking, internet fraud and other unsavoury actshave pushed the country to the unhappy company of failing stateswhich might, much sooner than later, go under if drastic actionsare not immediately taken.Admittedly there is a body of opinion within the country that con-tinues to trumpet the shibboleth about the non-negotiability ofNigeria’s unity, but the sad reality is that foreign observers of theNigerian scene seem to have a better grasp of the situation than lo-cal self-opinionated voices that have decided to bury their heads inthe sand. The friends of the country have continued to wonder whyNigeria has consistently failed to actualize its potentialities and in-stead, always manage to snatch defeat from the jaws of victory.It is against this background that it is intended to approach thetheme of today’s lecture. Accordingly, we would begin by examin-ing the issue of perception and reality in relation to domestic andforeign policies generally before revisiting the linkages of domes-tic and foreign policies with a view to establishing the broad out-lines of Nigeria’s foreign policy. Finally, an attempt would be madeto interrogate the scenarios unfolding before our very eyes in or-der to postulate actions that need to be taken urgently in order torefurbish Nigeria’s image and re-position the country within the

international system.Nigeria’s foreign policy in historical perspectiveAs I have observed in different fora, the foreign policy of our coun-try since political independence has generally remained lacklustre,docile and unimaginative, characterized as it has been, by moder-ation, caution, indecision and timidity.The emergence of Nigeria as an independent actor on the worldstage was heralded with tremendous hope and optimism that thelion had finally awakened and was poised to fulfil its manifest des-tiny by discharging its leadership role and potential as leader ofAfrica if not the entire black race. Regrettably, that was not to be.On the very night before independence, Balewa, Nigeria’s incom-ing Prime Minister had entered into an engagement with HerMajesty’s Government, promising to uphold all the treaties andagreements which the latter had concluded for and on behalf of itserstwhile colony without even sighting any of them! No further ev-idence of neo-colonialism was needed as Nigeria assumed the roleof lackey of British imperialism within the international politicalspace.As Balewa’s maiden speech at the UN General Assembly on Octo-ber 7, 1960 revealed, Nigeria was not about to embark on a radicalor militant foreign policy. The major thrusts of the country’s for-eign policy were allegiance to the UN, Africa as centrepiece of thecountry’s policies, decolonization, adherence to non-alignment, re-spect for international peace and security, etc. However, the firsttest-case for the stated stance –the Congo crisis – revealed the con-servative, pro-western bias of the country by its opting for the west-ern stooge – Kasavubu – as against Lumumba, the patriotic,nationalist leader of the Congolese.And if there was any doubt on the gradualist, conservative stanceof Nigeria, this was to be removed during the negotiations that ledto the creation of the OAU in 1963 when Nigeria found itself in thecompany of the generally right-wing Monrovia Group as againstthe left-leaning, progressive and militant Casablanca Group, suchthat Africa ended up with a tame, slow moving coach rather than afull steam locomotive towards unification of the African continent.Of course, this was not altogether unexpected since a country thatcould see nothing wrong in signing a defence pact with its formercolonial ruler could not have been in the forefront of those hoistingthe anti-imperialist banner. As Chinweizu had reminded us, themiddle-class nature of Nigeria’s decolonialization process meantthat the British merely pretended to have left while the colonial um-bilical cord continued to wax stronger.Nigeria’s foreign policy during the military interregnum can beconsidered more or less a mixed-bag. It is generally acknowledged

that the civil war had enabled the emergence of an even keel in Nige-ria’s relations with other powers as the duplicity and complicity ofthe West enabled the Soviet bloc to score cheap, political points bymaking in-roads through supply of much-needed military materieland proffering of diplomatic support in the effort to keep Nigeriaone by Gowon and his confederates. While Murtala Muhammedwas a nationalist leader who was able to call the bluff of the Westduring the Angola imbroglio, Babangida, it should be recalled,swung the pendulum to the other extreme by imposing IMF con-ditionalities on the country, much to the chagrin of many peoplesuch that, in the end, Nigeria really became a shadow of itself. How-ever, in 1999, great stock was generally placed on the in-coming civil-ian administration in terms of refurbishing Nigeria’s foreign policy,especially Nigeria’s vaunted image as “Giant of Africa.” Besides,many believed that with yet another bite of the democratic apple,Nigeria was poised to reap the benefits of playing the game as dic-tated by the West.Today, it has become clear that a country wracked by insurrection,political instability, religious strife, terrorism and economic down-turn can hardly prosecute a dynamic foreign policy. Since 1999,when Gen. Obasanjo became virtually his own Foreign Minister, itis sad but true that Nigeria has endured numerous reversals at theforeign plane despite the humongous peregrinations of the Presi-dent and his successors in search of non-existent foreign investors.The euphoria of the present government over its trophies in theforeign domain notwithstanding, one cannot be oblivious of thedamning verdict of Adekeye Adebajo recently to the effect that Nige-ria’s foreign policy “resembles a battered jalopy with a rookie driverasleep at the wheel on a road to nowhere…” The whitewashing ofNigeria’s forays into the global arena has done little to justify thehuge financial outlay in the foreign domain in the face of compet-ing demands for ameliorating the scandalous existential conditionsof the preponderant majority of the country’s citizens.While the jury may still be out regarding the true state of affairs atthe foreign front, we can now direct our gaze on the theme of to-day’s lecture: the image issue in Nigeria’s foreign policy. How isNigeria perceived by her neighbours, Africa and the world at large?Does perception bear any semblance with reality? To what extentcan the so-called Transformation Agenda have a bearing on foreignpolicy formulation and implementation? Where do we go fromhere? Answers to these and related questions form the thrust of theremainder of this presentation.• To be continued tomorrow.• Prof. Oyebode is member of the Governing Council, Nigeria Institute ofInternational Affairs (NIIA).

Image issue in Nigeria’s foreign policy (1)

OpinionBetween the consumer and NCC’s regulationOVER the last decade or so, the Nigerian Com-

munications Commission (NCC) has earned areputation for itself as one of the foremost regula-tory agencies in Africa. Though the Commission was established in 1992,its affairs took a remarkable turn during thetenure of the former Executive Vice Chairman,Engr. Ernest Ndukwe, who, buoyed by the liberal-ization efforts of the day, successfully charted thecourse of the Nigerian telecoms landscape today.It is no longer news that under his charge, theCommission pushed the telephone subscriberbase from 400,000 lines to over 78 million in lessthan a decade, attracting $18 billion investmentinto the telecoms sector. His era freed Nigeriansfrom the throes of NITEL’s inept services and de-mystified telephone services, hitherto regarded asthe sole preserve of the wealthy, making it acces-sible to all Nigerians.Within a short period, the sector that used to besubsidized from the Federation Account hadadded over N300 billion in fees from licensed op-erators to the same account and the telecom sec-tor began to contribute significantly to thecountry’s GDP. Typical of sustainability issues that have plaguedthe public sector in Nigeria, by the time, Mr.Ndukwe’s stewardship was over in year 2010,through the transition period, the industry madelittle or no effort to consolidate the achievementrecorded in the voice telephony services to deployBroadband services. To public dismay, even thegains made in the voice services segment weregradually being replaced with glaring services in-eptitudes by some of the largest operators. Al-though subscriber numbers continued to grow,quality of services plunged so low that many con-sumers subscribed to two or more mobile teleph-ony services providers to assure uninterruptedaccess to services. Notably, the level of competition in the sectorstarted to decline, with most of the smaller net-works, particularly the CDMA and a host of fixedline providers, gradually eased out of the marketby seemingly unchecked anti-competitive prac-tices of the large mobile networks. Clearly, the in-

dustry was ready for a new phase of regulation.Without doubt, it has taken a few years for Mr.Ndukwe’s successor, Dr. Eugene Juwah to settlein, but recent regulatory trends in the sectorlends credence to the notion that the NCC ap-pears yet again on the right path to bringing suc-cour to consumers’ demand for efficient andaffordable telecommunications services, thistime around including broadband services. Inwhat most keen industry watchers are beginningto regard as the next phase of ICT revolution inNigeria, the Dr. Juwah led NCC began by taking acautious approach in the first two years of his ad-ministration to appraise and understand the in-dustry dynamics and its players. Theadministration has since gone to work with re-forms that are beginning to reshape the Niger-ian telecommunications markets in favour ofconsumers. Signs that the Commission would reform thesector began to emerge when the NCC started toturn-on the heat on operators to improve thequality of their services or face sanctions. Latch-ing on well-defined KPIs, the regulator madegood its threat when it took an unprecedentedstep and slammed errant operators with N1.17 bil-lion penalty for failure to achieve target networkKPIs in 2012. Even as these operators cried fouland engaged in a PR showdown, the regulatorheld firmly to its position and the fines werepaid. The impact of the fine and the service ac-countability it is driving in the industry is be-coming visible from the series of networkinvestments currently being driven by the majoroperators and receiving ample prominence inthe media. It is unlikely that these investmentswould have been made but for the NCC’s inter-vention, even as it is certain that it was an essen-tial requirement for improving the networks andthe quality of their services. With the fine came a clampdown on frivolouspromotions, which had become the order of theday in a bid by the mobile operators to increasemarket share despite their network facilities’ in-ability to meet the requirement of existing cus-tomers. The Commission swung into action bybarring operators from further promotion andlotteries until their KPIs, which appeared to have

reached an all-time low, recovered to acceptablelevels, to ensure that existing consumers receivevalue for their money. Not stopping at quality ofservice, the Commission swiftly sought to ad-dress SMS pricing in January 2013 by fixing newrates for domestic Off-Net Short Messaging Serv-ice (SMS) at N4, and a few months thereafterslashed interconnect termination rates betweenoperators from N4.90k to N4.40k, with asymme-try in favour of the smaller operators. As with pre-vious interconnection rate determinations,industry experts agree that this would further re-duce prices of telephone services for the con-sumers. April 2013 birthed the long-awaited Mobile

Number Portability, a system that offers mobiletelecom subscribers the opportunity to movefrom one network to another without changingtheir phone numbers. The portability scheme hasbeen lauded as exemplary, and as it is already be-ing reported, would make operators more ac-countable to individual consumers in a bid toensure retention on their networks.Most recently, the NCC released its study on theDetermination of Dominance in selected com-munications markets in Nigeria. The release fol-lowed a series of well-coordinated engagementsbetween the NCC and industry stakeholders, withthe involvement of experts as consultants. It un-earthed series of market imbalances in thetelecommunications sector and determinedsome of the large mobile operators dominant incertain segments of the market, affirming thatthey also use their dominance to negatively in-fluence the level of competition in the market tothe detriment of consumers. Much as it was already common knowledge thatMTN has been dominant in the voice segment ofthe market by all accounts and regulatory pre-scriptions, having held reign over more than 40per cent of the market, either by revenue share orsubscriber number, for a long time, it took theNCC’s bold leadership to embark on the studyand publish its findings to the industry and thegeneral public. The determination of MTN asdominant in the voice segment underscores theoverwhelming influence that the mobile opera-tor has maintained in the voice segment, which it

has continued to exploit to its advantage to crip-ple competition. MTN had used its critical massand promotional activities, such as the airplanegive-away, to increase its market share by dis-criminating against off-network calls and callers,even as the quality of its services suffered gradualdecline.In addition, the NCC announced study equallydeclared MTN and Globacom are dominant in theleased line transmission market, through theirvast ownership of majority of the fiber optic andmicrowave transmission networks in Nigeria to-day. Operators, industry experts, and in fact gov-ernment, have blamed the near extinction ofCDMA operators and the current low level ofbroadband penetration in the country on the lim-ited access to last mile infrastructure eventhough three new submarine cables have landedin Nigeria. The study uncovered high incidence of failureto share infrastructure by these dominant opera-tors, as well as sharing at exorbitant prices in afew cases where they do, as a key limiting factorto the more effective distribution of broadbandservices in Nigeria. Once the proposed price capand price floor that the NCC determination seekto impose are implemented, and the infrastruc-ture is made available on an open access basis, itshould unleash expansion of Internet services toaddress the current lows in the Broadband seg-ment in Nigeria and make such services more af-fordable for every consumer. Evidently, the NCC EVC is gradually reviving

hope in the Nigerian telecoms sector with its fo-cus on resolving some of the market issues thathave for long held the industry back from con-solidating the gains made in the early days. At itscurrent pace, it is not only ensuring the sustain-ability of the existing structure, but it is creatinga competitive environment capable of promotingadditional investment in the sector that will leaveconsumers with more options for improved serv-ices. Above all, it would help rescue Nigeriansfrom the clutches of operators that have for longfocused on increasing their profits at the expenseof consumers who they have held hostage withexpensive inefficient services. • Omorodion is a telecoms analyst.

THE GUARDIAN, Monday, May 20, 2013

lifestyle, their weltanschauung and upturnedthem into the lives of the rest of the world.Knowingly or unknowingly, since the 1950swhen Chinua emerged as one of the authors ofnote on the African continent with his Things FallApart, the centre has refused to hold for the rest ofthe world, as we have transferred our centre tothe Igbo cosmology; we have become slaves ofhis Igbo thinking which we drink in intoxicat-ing suffusion.

We can reel into tomes of Achebe’s literaryscholarship, a shuttle of which Wole Soyinka re-cently made in an interview with Sa-haraReporters. But, after all that and all thatabout Achebe’s literary scholarship, full stop!Chinua was an extremely bigoted man who sawthe world only from the prism of his Igbo peo-ple. For him, humanity ceases to exist outsidethe locus of Igbo and indeed, the world could gojump inside the Zambesi River once his Igbopeople are sequestered inside the safe haven of adecent existence.

For anyone who was alive to witness the 1966pogrom and the Nigerian civil war, especially ifyou were Igbo, you already possess in your beingcicatrices that will last you through a life time.The reprehensible massacre of the Igbo in theNorth, the beheading of Akaluka in Kano and therecent extinguishing of several Igbo in a South-bound bus in Kaduna, are some of the callous vil-ifications of the Igbo and his unfortunate lot inthe Nigerian nation.

The above could anger anyone and it did gnawat the pancreas of the great storyteller. ButChinua became so paranoid about these ethnicvilifications of the Igbo and refused to forgiveany race he presumed had a hand in the sup-pression of his people. His vituperations werevivid in virtually all the interface he had with therest of Nigeria in his literary voyage. He ampli-fied most of the character flaws that the Yorubanoticed in Nnamdi Azikiwe and his West AfricanPilot. Those who were alive during this periodwould recollect that The Pilot over-celebratedIgbo who travelled overseas for the golden-fleeceat their departure and arrival in Nigeria. The con-verse was the case whenever any other ethnic na-tionality recorded same achievement. MbonuOjike, ace Pilot columnist and Zik, with his Week-end Cathecism, did a great job of trumpetingIgbo achievers and relegating any other nation-

ality with same achievement. It was this per-ceived media projective inequality that led tothe establishment of other newspapers and theupturn of Daily Service, the National YouthMovement (NYM) organ, edited by Ernest SeseOkoli, into a converse of Zik’s Pilot which alsobegan to fan ethnic agenda the moment edi-tors like Samuel Ladoke Akintola and Bisi Ona-banjo took over the editing suite.

If the 1966 pogrom bored crevasse of hatredthat could never be filled in Chinua’s heart, thecivil war even dug a greater cesspit of anger inhis subconscious. Everyone who contributed tothe failure of the Igbo Biafran agenda becameobject of literary crucifixion and denigration inthe hands of Chinua. Odumegwu Ojukuwu,whom many Igbo hated immediately after thewar, especially over alleged voyeuristic liaisonwith Cuban imports inside his bunker inUmuahia while hunger and kwashiokor killedchildren of war-front soldiers, Chinua uppedthe ante of his heroism. Conversely, adminis-trators on the side of Nigeria who sought everymeans to return Nigeria to normalcy, he scur-rilously disparaged. The archetype of his dis-dain and vilification, till death, was ObafemiAwolowo whom he disdained in death andeven while alive.

Achebe had shown his disdain for Awo whenthis man of uncommon sagacity passed on onMay 2, 1987. In the defunct Thisweek magazineof June 15, 1987, while Nigerians and African po-litical maestros poured encomiums on Awo,Achebe chose to insult the dead. In a rather in-sipid piece he entitled The Apotheosis ofAwolowo, Chinua wrote, “Chief Awolowo was agreat Nigerian leader in so far as he was a Niger-ian and a leader. But his contribution to Nigerianpublic affairs of the last 40 years did not qualify himas a great national leader… to turn the burial of atribal leader to a state funeral with invitations toforeign countries is both absurd and unaccept-able”.

The novelist and poet was not done yet. Hiswords got more pungent and caustic. “It is in thelight of this simple fact that the decision of the fed-eral government to accord the status of a Head ofState to him in death should be seen as no less thana national swindle” As a parting shot, the formerprofessor of English at the University of Nigeria,Nsukka summarized the bile in his lacerating

cudgel: “Despite the clowning circus of ex-politiciansand would – be politicians in Ikenne in recent weeks,there is no doubt that serious minded Nigerians arehighly critical or even contemptuous of the expensivehocus-pocus which is now being staged in theirname”.

Where Achebe got it wrong was that, at the warfront, you are to fight and not to preach morals.The moment Ojukwu declared war against Nige-ria, he was no longer the Odumegwu thatAwolowo and co. visited but an enemy of Nigeria.All his people (unfortunately) became enemies ofNigeria and they could not be treated as friends.Biafrans didn’t treat Nigerians as friends as well.That was why Murtala Muhammed faced his wa-terloo in Asaba where hundreds of Nigerianswere killed by Biafran soldiers and the heavy ca-sualty suffered by Nigeria in the Abaagana disas-ter, amply romanticized by Achebe in There Was aCountry. How then did Achebe expect Nigeriansand Awolowo to deal with Igbo as friends whenBiafrans were killing Nigerians at every availableopportunity? Indeed, only a fool feeds and notstarve his enemies!  

Soyinka’s recent interview, where he reasonedthat Achebe’s There Was A Country was a poor read-ing of the ethnically-biased person that Achebewas, was too patronizing. Perhaps, the laureatealso fell into the African mantra of not speakingill of the dead. Achebe’s ethnic irredentism didnot just start with his last book. It was merely acontinuation of the war against Awolowo and hisrace. If you read the book very well, you would seehis profuse eulogies for the Flora Nwapas, theChristopher Okigbos, the Cyprian Ekwensis andnone for any other ethnic national. It was as ifonly the Igbos existed.

As great as Achebe was as a literary icon of note,his global size was terribly diminished by his con-suming tribal inclination. What then is the dif-ference between Achebe the tribal warlord andJoseph Conrad whose Heart of Darknesshe vilifiedfor his racist inclination? The eulogy penned byJohn Pepper Clark and Wole Soyinka made a tersereference to how Chinua, an icon the world ven-erated, was probably killed by the shocking newsof the bombing of his Igbo people in a South-bound bus in Kano. Talk of a tumbling down ofanother Zik of Africa to Zik of Owelle!• Mukaiba is an Ibadan-based journalist and news-paper columnist.

ONE  of the reasons why Africa’s growth isstunted is what I call – pardon the bombast

– the fetishization of the dead. We turn the deadinto so great a fetish and canonize them imme-diately they breathe their last. Evil men a fewseconds ago suddenly assume the garb of an-gels the moment they die, so cloaked because ofthe age-long aphorism that cautions againstspeaking ill of the dead. In a great way, this em-boldens evil men of today and has made theirevil hydra-headed.

This rankles my stomach to no end. What big-oted hypocrisy this is that has become the re-frain on the lips of the living! Why can’t weprogressively shame evil doers in their lifetimesand even at their departure, so as to serve as adisincentive to potential evil doers that when-ever they exit, society will reserve the hottestscurrilous tongue against their acts and misactswhile alive?

Chinua Achebe, great author, literary scholar,poet and storyteller of note comes under refer-ence here. His death has depleted the literary fir-mament of writers whose works breathed lifeinto the inertia of our intellectual environment.There are seldom as talented writers as Achebein this part of the world any longer. In the eu-logy penned by John Pepper Bekeredemo-Clarkand Wole Soyinka, these equally great authorsspoke of the near irreplaceability of Chinua inthe literary firmament.

When you read Things Fall Apart and its suffu-sion with African proverbs, culture and lan-guage, you will almost mystify Chinua as agnome who hailed from the spirit world butwas loaned to humanity by the spirit world; thathe took temporary residency on earth.

How could a man, born of a woman, aggregatethe thinking and culture of his people into suchan unputdownable book for posterity as this?How could a man codify the worldviews,thoughts, philosophy and ways of life of his peo-ple in such a way that he colonizes other peo-ples as prisoners of his people’s ways of life? For,before Achebe’s book, many of us were alien tothe persona of the Igbo man. But Achebeopened the book of the lives of his people bare,threw the gate open into their historico-societal

In dispraise of AchebeBy Ayinla Mukaiba

and the armed forces. But they prevailed. Since then, our troopshave been focusing on participating in many UN peacekeepingoperations in the sub region and far-flung places. Again, theyhave been conducting themselves well and have won laurels. Itis the nation’s pride that the Nigerian Army saved Liberia andSierra Leone from disintegration. Our troops rescued Mali fromanother set of terrorists and helped out in Sudan, Congo, Burmaand many others. But what we are facing now is a different kindof war. It is a lot more difficult to fight against terrorists than towage a conventional war.

As a nation at war, we have a duty to ensure that our troops suc-ceed. First, the military high commands and their politicalbosses in Abuja must make certain that the fighting forces arewell resourced. Their weapons, protective gears, vehicles, food,allowances and other material comfort should be in good andtimely supply. The Chief of Defence Staff must be on top of thisand the president must not, for a moment, take his eye off theball. There would be a major uproar if there is any report that thetroops are not well taken care of. He must keep the key segmentsof the country regularly updated and the nation ought to bebriefed on the progress of the war at least once a month. The mil-itary leaders should also implement morale-boosting activitiesfor the troops. This includes surprise visits from the c-in-c, othereminent and respected leaders and even our movie stars. I ex-pect the president to make his Democracy Day (May 29) broad-cast from the frontline in Yobe, surrounded by our soldiers. Atchurches and other places of worship, we must remember ourmen and women in uniform. At family altars, Nigerians shouldpray for the success of our soldiers. Political leaders should re-flect the mood of the nation in their conduct. They cannot be in-dulging in ostentations, flamboyance and wastages while thecitizens face misery.

Also, our political leaders must now comport themselves. Thereis a particularly large tribe of contumacious and irascible politi-cians who take delight in inflaming passions. They have to keeptheir partisanship aside and rally behind the president and ourtroops to defeat the common enemy. At this moment, we are allNigerians! General Buhari, Nasir el Rufai, Junaid Mohammed, Lai

Mohammed, Balarabe Musa, Tunde Bakare, Edwin Clark, AsariDokubo, Bola Tinubu, Ango Abdullahi and all other rambunc-tious headline grabbers should tone down their rhetoric andsupport our troops. This is not the time to grandstand for 2015;debate zoning or fight over appointments. In the height of theU.S. presidential election campaigns in 2004, Osama Bin Ladinissued a threat to harm that country. It was just three years afterthe unprecedented 9/11 attacks, so the country was on the edgewhen the Al-Qaeda spoke. Immediately, Senator John Kerry, theDemocratic challenger (he is now the Secretary of State), mo-mentarily suspended his campaign tour and spoke in a very clearand strong terms against Bin Ladin. “We are all Americans, irre-spective of our political differences, and I do hereby condemnany further threat to our homeland”, he said. I expect Buhari,himself a war-tested General, to show statesmanship and lead-ership and visit our troops in the frontline as a mark of encour-agement. By so doing he will endear himself to Nigerians a lotmore than trying to score political points by attacking the pres-ident now. General Buhari cannot be campaigning for electionwhen his Daura village is bombarded. He cannot afford to throwbarbs when Nasarawa, the only state governed by his party, CPC,is a hotbed of dangerous cultists. Does he love Aso Rock morethan his kith and kin?

Some insurgents have been killed and captured, while othershave run away into the forests, and perhaps across into theneighbouring countries of Cameroun and Chad. They may re-group and resurface in another vulnerable village or town. What-ever the case, I urge the president to soldier on. As a wartimeleader, fearlessness, courage and determination will be his ma-jor weapons. Americans recovered quickly after 9/11 and wrestledterrorists to the ground. Decapitated, their offspring are stillcausing problems. The British have trampled upon these crimi-nals and have succeeded in infiltrating their ranks. Israel, a tinynation in a hostile neighbourhood, has prevailed against allodds. With strength of character and support from our allies andfriends, Nigeria will win this war. May the God Almighty blessour nation and protect our troops and leaders.• Etim is a banker and journalist.

FOR the first time in over 30 years, the Nigerian armed forcesare being called upon to defend their fatherland against for-

eign invaders. They are also expected to fight and keep the na-tion from dismemberment. I salute our men and women inuniform for their patriotism, valour and gallantry. I am reallyproud of their service and sacrifice to our country. Until the pres-ident announced a state of emergency and ordered massivetroop deployment to north-eastern corner, a lot of Nigerians, es-pecially those in the southern half of the country, did not have agood sense of the magnitude of the problem. Many Nigerianswere shocked to learn from Dr. Jonathan’s announcement thatthe terrorists had over time occupied some parts of Borno andYobe states, replaced Nigerian flags with theirs and burnt downseveral government buildings. The handshake has surely ex-tended beyond the elbow. Clearly, the invaders were becomingmore daring by the day, encouraged largely by the pliancy of thepopulation and the manipulative intrigues of the northernelites.

In nearby Nasarawa State, hundreds of policemen and secretservice officials were massacred by a cult group. I commend thecommander-in-chief for taking extra-ordinary steps to protectlives and property. The nation is now at war against foreign in-vaders, terrorists and armed bandits. Nigerians have been quiteupbeat about the president’s bold respond and reports that theenemy is already on the run.

In 1982, General Muhammadu Buhari led a brigade of troops torepel marauding Chadian troops from that same north-easterncorner. Apparently escaping a raging civil war in their country,the Chadians had invaded Nigerian villages at night, stealing andraping. It was the first major foreign invasion that the countryhas ever witnessed, so frightening that President Shehu Shagari,who was out of the country, had to cut short his trip to attend tothe ensuing diplomatic row as Buhari’s forces had gone far in toomuch into the Chadian territory. The civil war was however amuch bigger crisis to the nation’s young politico-military leaders

Salute to our troopsBy Etim Etim

Opinion68

THE GUARDIAN, Monday, May 27, 2013 69

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THE GUARDIAN, Monday, May 27, 2013 71

Media72 THE GUARDIAn, Monday, May 27, 2013

Conference

Promo

APRA roadmap for Africa’s economic renaissanceTHE need to exploit Africa’s immense poten-

tials for its economic development to give allits citizens a better life formed the fulcrum of therecently held All Africa PR and StrategicCommunication Summit. It was held in AddisAbaba, the Ethiopian capital. It had as theme,‘The Rising Africa: The Imperative ofCommunication’.

180 participants across Africa took part in thesumit that was organised by Africa PublicRelations Association (APRA). It’s aim was toensure that Africa’s immense potential for devel-opment is fully exploited for the benefit of its cit-izens while barriers that hamper communica-tion such as language, trade and inter-countrymovement restrictions, rigorous visa processesshould be lifted.

After rigosous deliberations, participantsresolved that to kick-start the continent’s eco-nomic revival, African leaders in politics andbusiness should create a realistic but more posi-tive image of Africa, noting, “African citizens andgovernments should be the ones creating andtelling their stories, which is a key area of engage-ment for public relations practitioners and com-munications professionals”.The three day event, which was formally opened

by the Prime Minister of Federal DemocraticRepublic of Ethiopia, Mr. John HailemariamDesalegn, was followed by a keynote addressdelivered by the President of Ghana, Mr. JohnDramani Mahama and entitled: Rising Africa:The Imperative of Communication.

The event also attracted distinguished profes-sional from across Africa and they included Mr.Erastus Mwencha, African Union Commission,Deputy Chairperson, Justin Green, GlobalAmbassador for APRA, Habiba Mejri-Cheikh,Chairman of Public Relations Association,Gambia, Dr. Remi Aiyede, Department ofPolitical Science University of Ibadan, Oyo State,Chido nwakanma, President, Public RelationsConsultants Association of nigeria, Mrs. TikoloKentice, Chairperson, Public Relations Society,Kenya amongst several others.

According to the Secretary-General of APRA,Yomi Badejo-Okusanya, over 180 Public Relationsand Communication professionals attended the1st All Africa Public Relations and StrategicCommunication Summit convened by theAfrican Public Relations Association (APRA) atthe African Union Complex, Addis Ababa,Ethiopia.He said participants were from Gambia, Ghana,

Ethiopia, Kenya, Libya, nigeria, Tanzania,Zambia, Zimbabwe, Mauritius, Sierra Leone,Mozambique and South Africa. There was also

representation from India, United Kingdom andnorthern Ireland.

Badejo-Okusanya, who spoke on the success ofthe summit, said that apart from removal of bar-riers that caused free trade across the continent,it was also agreed that  a communication cam-paign be created for Africa applying the keysteps including research in overall continentalsocial and economic development.

He said, “We call upon the African UnionCommission particularly in this endeavor to re-brand Africa and create its own platform foreffective information communication and dis-semination. There should be consistent trainingto enhance public relations practitioners’ activi-ties, and also build relations with media houses,which can in turn reduce differences that detercommunication.

The summit also resolved that in creating thisdesired image, public relations practitionersand communicators should utilize diverse con-ventional media such as sports, entertainment,export commodities and so forth.

Champions of Africa brand were urged torecognise new media of communication such associal media because it was crucial to provideinteractive platforms that enhanced measure-ment and evaluation of communicationsthrough feedback from target audiences while

not completely discarding traditional media.Beyond recommendations, the summit also

noted the encouraging growth in the economicindices of several African countries that affirmedthe notion of a rising Africa. Six out of the 10fastest growing economies in the world arefound in Africa

The current failure to tell the correct Africanstory in its entirety and the current misrepresen-tation of the African story was equally spotted asa bane. Africans therefore needed firstly to estab-lish mutually binding agreements with identi-fied global stakeholders, especially the interna-tional media, and geared towards projecting amore favorable image of Africa, said Badejo-Okusanya.

The summit communique said in part, “Theneed for greater integration of African countriesthrough the promotion of free movement ofpeople, goods and services across the Africancontinent. This would enhance understandingand bonding between and among the peoplesof Africa.That the rise of Africa will be accelerated if there

was a change in the perception of the continentthrough effective communication and publicrelations and the resolve of the African UnionCommission to ensure that the African Unionmoved from being a collection of member states

to a union of the African peoples and one drivenby a common vision, consensus and by its citi-zens”

Security concern was also spotted as drawbackto the continent’s economic growth.  TheSecretary-General said that security concernsacross Africa were growing and often arose froma disconnect between governments and citizens,and that most of such conflicts could be resolvedthrough effective communication and increasedand improved stakeholder engagement.

Strong opportunities to leverage sports andtourism across Africa, both to engage citizensand to develop the economies of African coun-tries, through the enormous revenue potentialsand contribution to socio-economic develop-ment of these two key areas were also canvassed.Finally, participants then resolved and declared

as follows: “We recognise that for Africa toachieve envisioned peace and economic stabili-ty, we seek the formulation of a continental com-munication strategy that will promote commu-nications between Member States and also pro-mote a positive image internationally.

“We therefore recommend for an urgent estab-lishment of an International Marketing &Communication Council (IMCC), made up ofappointed members of the African Union andAPRA, to develop an effective communication &marketing strategy document for Africa.

“In pursuit of creating a realistic but more posi-tive image of Africa, African citizens and govern-ments should be the ones creating and tellingtheir stories, which is a key area of engagementfor public relations practitioners and communi-cations professionals.

“We recommend therefore that a communica-tion campaign be created for Africa applying thekey steps including research in overall continen-tal social economic development.

“We call upon the African Union Commissionparticularly in this endeavor to re-brand Africaand create its own platform for effective informa-tion communication and dissemination.“There should be consistent training to enhance

public relations practitioners’ activities, and alsobuild relations with media houses, which can inturn reduce differences that deter communica-tion.

“To ensure that Africa’s immense potential fordevelopment is fully exploited for the benefit ofits citizens. Barriers that hamper communica-tion such as language, trade and inter-countrymovement restrictions, rigorous visa processesshould be lifted;“In creating this desired image, public relations

practitioners and communicators should utilizediverse conventional media such as sports, enter-tainment, export commodities and so forth.

experience, he said: “It was a veryinteresting, wow experience. It’sbeen wonderful and awesome; thehospitality and shopping; every-thing about it was exciting. It’s beena wow experience. All thanks toLegend, the Real Deal.

When asked the extent to whichLegend Extra Stout has impacted hislife, he said: “Sincerely speaking, if Ihave to go by that, I will say thatLegend has really brought in what Iwill call technology changes into mylife. I didn’t believe I was going to own

all these and it’s going to change mylife technologically.”When asked if he shopped for items

to resell or for personal use, he saidhe was going to use the items andnot sell any. He, however, targetedhigh-end smart phones but could

How Legend Extra Stout spoilt DubaiUnique Shopping Experience winners

not lay his hands on them.When nwabuokei Ikechukwu

Ambrose, from Delta State wasinformed that he was a winner, hedid not believe. He said: “I thought itwas a joke or a scam. But after somedays, the Legend people came toUghelli to visit me. That was when Iknew that it was real.”

He described his experience asmemorable, saying, “I will never for-get it for the rest of my life. I am verygrateful to Legend Extra Stout andnigerian Breweries Plc.”

One of the items, which Ambrosepicked that excited him was a laptop.He explained: “Well, my employersshared laptops in the office I work,and deductions were to be mademonthly from our salary, but I couldnot get one because at that time, Iwas involved in the burial of mymother, so I was not around. So,when I returned, they told me thatthe laptops had been exhausted andthat I had lost the opportunity. But Iprayed to God that I would have a lap-top. But here I am in Dubai and I havegotten a brand new laptop on a plat-ter of gold. For more than three yearsI’ve been looking forward to having alaptop. I’ve even been looking for-ward to getting a BlackBerry phone,but I could not afford it. But now, I’vegotten these items. I also got a newphone for my wife and for my chil-dren. I have two boys and two girls.”

On Friday, May 17, 2013, sevenyoung nigerians left the shores

of nigeria to Dubai, courtesy ofLegend Extra Stout, manufacturedby nigerian Breweries Plc. Whenthey touched down in Lagos onMonday, May 20, they had in theirpossessions several gift items, whichthey had shopped for, courtesy ofthe beer brand.

These items consisted of televisionsets, laptops, home theatres and soon. They had participated in theLegend Unique ShoppingExperience, in which they had oneminute to shop for items worth n1million.The ‘Legends’ that embarked on the

Dubai unique shopping experiencewere Uchechukwu Dennis Chukwufrom Ebonyi State, nwabuokeIkechukwu Ambrose from DeltaState, Oluwabusuyi KelvinOlubusuyi from Ekiti State andSolomon Okoro Ike from Owerri,Imo state. The others are John Akojifrom Abuja, the Federal Capital City,as well as Temitope Ogunyemi andAustin nwakaife, both from LagosState.

Temitope Ogunyemi’s ticket waspicked at the first raffle draw at theDems Bar, Egbeda, Lagos. Whenasked how to describe the Dubai

Some senior members of Africa Public Relations Association with its Secretary-General and Nigeria’s Yomi Badejo-Okusanya (middle) at the summit in Ethiopia

Some of the winners at Dubai

MEDIA 73THE GUARDIAN, Monday, May 27, 2013

How to foster ethics-driven journalism, by stakeholders

By Tunde Akinola

izens’ engaged in the business of governance.To him, a healthy political process requiredmedia pluralism and open communicationwhich could not be achieved without an ethicalmedia.

Deme, who was represented by a democraticgovernance specialist, Mintwab Zelelew,stressed, “All over the world, the practice ofjournalism is guided by code of ethics thatguides the role of the media as the Fourth Estateof the Realm, as an institution that holds gov-ernment accountable and as the voice of citi-zens.”

He tasked journalists to ensure that the mediapresented and clarified the goals and values ofsociety. Deme said the media should providefull access to the day’s intelligence.

Similarly, National President, Nigerian Unionof Journalists (NUJ), Mohammed Garba stressedthe imperatives of reviewing the existing codeof ethics for Nigerian journalists to tally withexisting realities. He noted that when the firstcode of ethics was promulgated there was noInformation and Communication Technology,but now that there were social media plat-forms, they necessitated the need to review thecodes.

Garba noted, “We are reviewing the codesbecause we have received a lot of complaintsfrom quite a number of organisations and indi-viduals about the increasing case of profession-al misconduct and abuse of privileges by themedia”.

THE adherence of journalists to the profes-sional code of ethics has been described as a

sine qua non if the embarrassment bedevilingthe business of information management inthe country is to be addressed. As a result, the code has been recommended to

address the realities in the Nigerian media anddemocratic landscape and also as an effectivetool for regulating journalism practice andensuring professionalism. This is with a view toensuring journalism development in line withinternational best practices.

Last week in Abuja professionals gathered fora two-day Stakeholders Meeting on the Reviewof the Code of Ethics for Nigerian Journalists,and organised by the Democratic Governancefor Development (DGD) of United NationsDevelopment Programme (UNDP) in partner-ship with Nigerian Union of Journalists (NUJ).At the forum, stakeholders in the country’smedia industry brainstormed on how to devel-op a new code of ethics for Nigerian journalists.

The DGD project, which is an electoral cycle, issupported by the European Union (EU), UnitedKingdom Department for InternationalDevelopment (DFID), Canadian InternationalDevelopment Agency (CIDA), UNDP, which alsomanages the project.

Present at the workshop were representativesfrom stakeholders in the Nigerian mediaindustry including Nigerian Press Council(NPC), Nigerian Guild of Editors (NGE),Nigerian Broadcasting Commission (NBC) andBroadcasters Organisation of Nigeria (BON),Radio, Television and Theatre Arts WorkersUnion (RATTAWU) among others.

Some of the issues raised at the meetingincluded how poor remuneration of journal-ists could be improved upon, noting that cor-rupt practice exhibited by some journalists wasborne out of poor salary being paid journalists.

For instance, it was noted that some mediahouses have become notorious for not payingtheir reporters regularly, with some for as longas up to six months’ salary yet to be paid. This,according to the forum, created an avenue forjournalists to being amenable for collectingbribe, which hindered the objectivity of theirreportage in the long run.The forum reviewed the requirements needed

to assume the post of an editor. It noted that ifan incompetent editor managed a mediahouse, it would reduce not only the news judg-ment of the media house, but also diminish theprestige of journalism profession.They, therefore, recommended that every jour-

nalist be provided with a copy of the code ofethics by the media house they work with inorder to equip him with the knowledge of howto operate as a journalist.Stakeholders advocated for the imposition of

sanctions on defaulters so as to entrench fear inthem against breaking the code of ethics. Theissue of syndicating stories by one reporter toother media houses was also condemned at themeeting. It was observed that a lot of mediahouses were in the habit of lifting stories fromvarious news agencies without acknowledgingthe source from which they got the stories.They described this practice as criminal andhighly unethical to the profession of journal-ism. While addressing participants, the UNDP/DGD

Project Director, Dr. Mourtada Deme noted theimportant role the media played in keeping cit-

Garba, who is also the President, Federation ofAfrican Journalists (FAJ), urged every stake-holder to pledge and abide by the provisions ofthe codes, as the only way ethics could beentrenched in journalism.

He said NPC should be headed by a journalistwith at least 20 years’ working experience andthat the board should be composed of stake-holders in the media industry, noting that wasthe only way the provision in the reviewedcode of ethics for journalists could beentrenched.

FOR the President, Nigerian Association ofWomen Journalists (NAWOJ), Asabe Baba

Nahaya, the importance of the code of ethicscould not be overemphasised. She said with-out the code there would be no journalismpractice.

Nahaya said the meeting was aimed at tack-ling a wide range of issues pertaining to thelife, welfare and career of a journalist, adding,“As stakeholders we have a lot of work to do.We need to make our members have copies ofthe code and also check why some media hous-es are really established”.

According to her, the hindrances journalistsfaced included intimidation, vested interestand the issue of ‘who pays the piper dictatesthe tune’.

For the Managing Editor, News Agency ofNigeria (NAN), Alli Hakeem, who representedthe NGE president, said the code of ethics was

important to any professional group and mustbe kept sacrosanct to avoid infringements onthe rights of journalists. He noted that the codemust be put in place in a manner that its obser-vances were monitored.

He stated, “If you do not have a code of con-ducts for journalists people will be writing a lotof libelous things against people, particularlyin this political dispensation where journalistsmay become very vulnerable to abuse either bythose in power against the opposition or thosein opposition against those in power”.The factors militating against journalists from

complying with these codes were mainly polit-ical and socio-economic. According toHakeem, “if a reporter is being paid say, fourthousand naira monthly (N400,000), it wouldbe difficult for such a person to be lured withN5,000 to flout the code of ethics”.The Executive Secretary, NPC, Mudashiru Bayo

Atoyebi said the moment any profession abdi-cated the codes guarding it the professionbecomes ordinary and loses public respect,adding, “Any who says he is a journalist and isnot aware of the code of the profession is defi-nitely operating in isolation”.

He bemoaned editorial interference in thecountry’s media houses, saying it was one ofthe factors undermining the code of ethics ofjournalism. He urged all stakeholders in theindustry to come together to look at the chal-lenges facing journalism in the country andhow it could be addressed.

Solid FMhosts advertisers as competition intensifies in South East radio market

WHEN Dr. Obiageli Pat Ndumounts the rostrum on May 30

to welcome guests to the SheratonLagos media launch for Enugu-basedSolid FM 100.9FM, she would be mak-ing a definitive pitch for a slice ofadvertising spend meant for theSouth East radio market.

Guests of the General Manager ofSolid FM would be advertisers, mediaplanners, publicists and other pro-fessionals in the broad marketingcommunication industry. The Lagosmedia launch event of Solid FM 100.9FM comes against the backdrop ofincreased competition and vibrancyof the Frequency Modulated radiospectrum in the region.

Many entrances and exits havemarked the South East radio marketin the last 24 months but particular-ly so in the last 12 months. FRCN ledthe push by opening about five FMradio stations to serve the region inaddition to the Coal City FM that hadexisted for years. It established nineFM stations to service South East andSouth South with the following fivein the South East: Coal City 98.2 FM,Enugu, Purity 102.5 FM, Awka, Unity101.5 FM, Abakaliki, Heartland 100.5

By Chido Nwakanma FM, Owerri and Pacesetter 103.5 FM,Umuahia. Others are in PortHarcourt, Yenagoa, Uyo and Calabar.

Private players soon joined the fray.Enugu currently witnessed a three-horse race in a competition thathitherto featured five players fromthe private sector. In the race wereSolid FM, Dream 92.5 FM and the afore-said Coal City FM.

Currently out in the cold areRaypower FM and Cosmos FM, the lat-ter shut by the Economic andFinancial Crimes Commission as itchased funds allegedly looted by itspromoter former GovernorChimaraoke Nnamani. Before themall was Minaj Radio from out ofObosi, near Onitsha, which heldsway for a long while and then wentunder. Surprisingly, Cosmo still fea-tures in some monitoring reports!

Hot FM, which made its mark inAbuja, has established a foothold inOwerri, the Imo State capital.Specialty broadcaster Brila FM estab-lished a beachhead in Onitsha.

The latest entrant is Magic 102.9 FM,the first station to establish in thecommercial city of Aba, Abia State.That market had long yearned for amedium such as this as advertising

and listenership from Aba featuredprominently in the success of theRadio Rivers 2 FM in the 80s and 90s asthe premier hip station of the SouthSouth and South East. Magic hopes toperform the magic of contributingto the revival of Aba as both a city ofcommerce, culture and living space. Magic FM’s vision for its target audi-

ence encapsulates the philosophicalapproach of the new FM stations run-ning on digital technology andstreaming on the Internet: “We aretargeting the new Nigerian, eager tobe informed, entertained, educatedand ready to move up the ladder. Theincreasing population of workers,businessmen and traders, the edu-cated and not-so-educated but ambi-tious, upwardly mobile adults hun-gry for information and entertain-ment are catered for. We also heavilycater for youths and children whoeasily constitute a huge percentageof population in our coverage area.More importantly, our support forprivate sector growth targets corpo-rate bodies intent on increasingtheir market share. We have a widerange of programmes  to cater forevery group in relation to our focusof broadcasting in English, Pidgin

and Igbo.”The South East market for FM is par-

ticularly attractive because of theyouth demographic. There are about20 major towns and over 30 institu-tions of higher learning fromNsukka to Nsugbe through Awka toOko and Umunze, to Uturu, Ihiala,Owerri, Abakaliki, Afikpo all the wayto Umuahia and Aba. FM with itsbreezy presentation composedmainly of music and chat appeals tothe lifestyle and aspirations of theyoung.

Veteran broadcaster and formerDirector General of Federal RadioCorporation of Nigeria Kevin Ejioforsays FM radio is “a good medium forpromoting the new hip culture. Itappeals to young people.” Ejiofornotes that radio is comparativelycheaper than television both for thepromoters and the audience andlends itself well to give expression topopular culture.

Politics features prominently in thecalculus as well. Three serving legis-lators and a former minister ownfour of the FM stations. Politics 2015and beyond is clearly in the frame.Radio also lends itself well to politi-cal communication.

There is also the economics and eventhe politics of broadcasting.Regulator National BroadcastingCommission no longer has spectrumto grant anybody to open in Lagos, nomatter the amount on offer.Investors interested in playing in thebroadcast market for radio have tolook outside Lagos or take communi-ty broadcast licenses for rural Lagos.

While some speculate whether theeconomy of the South East can bearthe burden of sustaining the stations,indications are that the new Enugustations are becoming self-sustainingwithin the first year. The real challenge ahead seems to lie

in content and presentation. The sta-tions suffer from so much similaritythat unless their call signal comes onit is difficult to tell one from the other–breezy presentations, audiencephone-in programmes, not muchdepth and plenty of music. Then theoccasional Pidgin programme andplenty of foreign sports –UEFA,English Premiership etc- but nary amention of the local league or thesporting activities around theirimmediate vicinities.

Yemisi Bamgbose; Toyin Adewale-Gabriel; Mohammed Garba; Mudashiru Bayo Atoyebi and Alli Hakeem... at the forum in Abuja

THE GUARDIAN, Monday, May 27, 201374

SportsDelta, Edo for final ofChannels NationalKids Cup

Weightlifting boss sets agenda for Elegbeleye

THE 2013 ChannelsNational Kids cup title

could be heading to theSouth-South region of thecountry as Delta and Edostates will be playing in thefinal of the tournamentscheduled to hold today atthe Teslim Balogun Stadiumin Surulere, Lagos.

Delta State’s representative,Ogedegbe Primary School,Warri defeated LocalGovernment EducationAuthority Primary School,Kaduna 5-2 in the first semi-final match played at theweekend.

In the other semi-finalencounter, Uwa ModelPrimary School, Edo State ranout a 4-2 victory over LocalAuthority Primary School,Osun State to reach the final.

Host Governor, BabatundeFashola will join by his coun-terparts from Akwa-Ibom,Godswill Akpabio; OgunState, Ibikunle Amosun; EdoState, Adams Oshiomhole;Delta State, EmmanuelUduaghan and Kaduna State,Mukhtar Yero to grace thegrand finale.

Grand finale of MRS U-12 football tourney holdsBy Tony Nwanne

TODAY at the Campos MiniStadium in Lagos Island,

four teams will battle in thefinal games of the maidenedition of the MRS Under-12Kids soccer competition.

For the top prize, DamilolaTaylor FC of Mainland willslug it out with Lagos Island’sJokers Star FC, while the thirdmatch will feature Success FCof Mushin and B. United FC ofEbute Meta.

To berth in the final,Damilola Tailor FC defeatedSuccess FC with a lone goal,just as Jokers Star FC over-came B. Unit FC with thesame margin.

Over 32 teams drawn fromlocal councils in Lagos com-peted in the tournament.

AHEAD the AfrobasketballChampionship scheduled

for Abidjan, Cote d’Ivoire onAugust, the NigeriaBasketball Federation (NBBF)yesterday opened the men’straining camp, which isexpected to run till May 30.

In the camp are 12 playersfrom the home league, whoare battling for inclusion insubsequent camps, invita-tional tournaments and ulti-mately in the team toAbidjan in August.

The federation has alsoreappointed Coach, AyoBakare to head the team’scoaching staff as it aims tobuild on the success of theprogramme started in 2011and ensure the sustainablegrowth of the team into awinning unit.

The Olympic team’sAssistant Coach, Sani Ahmed,as well as Union Bank Coachand ex- national Captain,Ayinla Johnson, were alsoreturned to the senior teamstaff. Johnson left the teamafter the 2005/2006 seasonwhen he assisted Coach SamVincent.

Two young coaches,Abdulrahman Mohammedof Abuja team, Mark Mentorsand Ogoh Odaudu of Port

Harcourt-based RoyalHoopers were added to thecoaching staff as a deliberatesuccession plan and toensure that they grow withthe program and take over atthe appropriate time.

The federation hinted that itis considering  an essentialaddition to the coaching staffwith expertise in strengthand conditioning and or sta-tistics.

The NBBF also announcedthe coaching staff for theAfrobasket women’s team,with Scott Nnaji, who washead coach when Nigeriawon the Afrobasket in 2005in Abuja and was an assistantat Mali 2011, as head coach.

He is to be assisted bycoaches Lateef Erinfolami ofFirst Deepwater andAdewunmi Aderemi of FirstBank. The staff also includesCoach Emmanuel Odah ofFCT Angels and a femalecoach to be determined andannounced later. They willform the succession pair forthe future survival and suc-cess of the team.

The federation explainedthat the home-based staff wasselected in anticipation of theimpending FIBA change ofcalendar and competition

format from 2017, whichentails playing home andaway for continental, worldand Olympic qualifiers andtherefore requires a unit thatis easily mobilised and canstick together over long peri-ods of time.

WE I G H T L I F T I N GFederation President,

Chibudum Nwuche hasthrown his weight behindnew Director General of theNational Sports Commission(NSC), Gbenga Elegbeleye, buthe wants the former lawmak-er to prove his critics wrongby lifting reposition Nigeriansports.

Some critics have ques-tioned the appointment ofthe former deputy chairmanof the House ofRepresentatives Committeeon Sports, who they say ismore of a lawmaker than asports technocrat has.

However, Nwuche said,“Nigerians have overfloggedthe issue of technocracy andthey have attached unduemysticism to it. What is a tech-nocrat? Is it that you were a

footballer before or you werean athlete before?

“What is required is the man-agerial skills and we shouldunderstand that most func-tions in this life first requirescommon sense.

“You must have commonsense in abundance, you musthave administrative skills,zeal, passion and integrity.That is why a lawmaker likeGbenga Elegbeleye would dowell even without having seenhis performance. I know thathe will do well because as alawmaker you do not underes-timate people. Lawmakersinteract with the public andlawmakers must be proactive.”

Nwuche advised Elegbeleyeto ensure that he lived up toexpectations of those, whomade him the director gener-al.

From Ezeocha Nzeh, Abuja

THE National SportsCommission (NSC) and

some stakeholders inNigerian football during theSenate Committee on Sports’public hearing at the week-end kicked against the pas-sage of the bill seeking fullautonomy for the NigeriaFootball Federation (NFF).

If passed into law, the billwould grant the NFF presi-dent the power to sack oremploy the general secretaryof the federation by recom-mending such to the board.

Minister ofSports/Chairman, NationalSports Commission (NSC),Mallam Bolaji Abdullahi toldthe Committee that the billwould reduce the commis-sion to only financial controlof the federation and wouldgive absolute power to thefederation’s president andboard members.

Abdullahi, who received around ovation from stake-holders, insisted that if thefootball federation has thestatus of a parastatal, it mustbe subjected to the normalministerial supervisions.

Insisting that only financialcontrol was not enough, theminister advocated for theinclusion of more regulatorypowers to the commission.

He said, “I am happy thatthe NFF Bill that has beenpending for a long time isgetting to this stage. It is asymbol of your commitmentand I want to confidently saythat passing the bill wouldremain one of the majorlegacies of your tenure in theSenate.

“As you know, we have suf-fered greatly from theabsence of this act and it hasremained the fertile groundsfor generating all kinds ofcrisis within the footballcycle.

“Every single move the NFFmade has been questionedand interrogated on thebasis of the absence of theAct. This effort will help us to

make progress and build amore tranquil system thatwill develop Nigerian foot-ball. NSC has reviewed thisbill and as I said, we arehappy that you provided thisopportunity.

“However, one of the majorthings we noticed was thataside from the provision forfinancial accountability,there is virtually no role forthe NSC in the bill. The chal-lenge that we have thereforeis how to reconcile the needfor football in Nigeria to begoverned virtuallyautonomously in accordancewith the internationalstatute governing the rulesof the game and still ensurethat this autonomy isembedded within thenational authority withinwhich we play the game inthe country.

“As the bill is now, if tomor-row the honourable ministerinvites the president of theNFF to his office, he or any ofhis board members couldrespond out of courtesy orrespect. This is absolutelynothing that obligates thepresident or any board mem-ber to respond to the minis-ter’s invitation or take anypolicy directive from theminister.

“As one of the distin-guished senators said, lawsshould be made for all times.Today, I, as the minister ofsports enjoy excellent rela-tionship with the NFF presi-dent and the board mem-bers. But, even as we do so,we must also bear in mindthat Alhaji Aminu Maigariand his board members willnot remain there forever.

“I will not also remain min-ister of sports forever. What iftomorrow, we have the presi-dent of NFF, who won’t wantto work with anybody orrecognise that there is anauthority outside him towork with. I look at the provi-sions for financial regula-tions that provide for theNSC to have oversight func-tion over the fund given to

NSC, stakeholdersfault NFF bill

NBBF opens men’s camp, reappoints Bakare national team coach

Nigeria’s Ike Diogu (left) pursues France’s Tony Parker during their Men’s Basketball preliminary round match atthe London 2012 Olympic Games. The D’Tigers have started preparation for the 2013 AfrobasketballChampionship billed for Abidjan, Cote d’Ivoire in August.

UDINESE have signedGolden Eaglets striker,

Isaac Success on a record-breaking four-year deal worth1.4 million Euros,MTNFootball.com hasscooped. A top source, who was part of

the deal, toldMTNFootball.com, “Udinesehave signed Success on a four-year deal. It’s a great deal forboth the club and the player.”

The deal, which was bro-kered by a France-based FIFAagent, will see the Serie A clubsplash out a transfer fee of400,000 Euros to the youngstriker’s youth club in BeninCity, while he would earn250,000 Euros a year for thenext four years.

MTNFootball.com further

Eaglet’s Success set for record Udinese movegathered that Success will besent to Spanish La Liga sideGranada on loan to gain expe-rience and playing time.

Udinese are believed to haveshares in Granada and anotherNigeria striker, Odion Ighalohas been playing on loan inSpain from the Italian club.

This is believed to be a mas-sive transfer coup as Udinesehave thus beaten bigger clubslike Manchester City, Lille andBenfica to the promising cen-tre forward.

Udinese though are yet toannounce the capture of theyoung striker, who was topscorer at the recently conclud-ed African U17 Championshipin Morocco where he scoredseven goals as Nigeria reachedthe final.

Ahead Abidjan 2013 Afrobasket Championship

SPORTS 75THE GUARDIAN, Monday, May 27, 2013

Serena: A goddess waiting to join the greatsBy Christian Okpara

AS she sat beside her oldersister, Venus, occasional-

ly nodding to the hard-hit-ting beat of D’Banj’s OliverTwist, Serena Williamsacknowledged cheers fromher numerous fans, whohad come from acrossNigeria, and neighbouringcountries to watch theiridol live at the Lagos LawnTennis Club.

While she took in the‘efforts’ of the specialguests, who were fallingover themselves to cornerher attention, the MC of theday, the Late Ayo Ositelu,was busy reeling out theachievements of theWilliam sisters.

Serena, the youngerWilliams was, perhaps, alsothinking of ways to reclaimthe zenith of women tennisfrom ‘usurpers,’ includingCaroline Wosniaki, VictoriaAzarenka and the on and offMaria Sharapova.

Though just off her sea-son-ending victory at theWomen’s TennisAssociation (WTA)Championship, Serena wasalready thinking of newconquests, including hold-ing on to the number oneslot, which she justregained, and setting newmilestones in the game thathas made her a “monster” tosome and a god to many.

Listening to DeaconOsitelu reel out her con-quests, some of which shehad even forgotten, Serenatold some journalists nearthe Lagos Lawn TennisClub’s bar that she hadnever felt so at home andwelcome as she was thatafternoon.

“We are excited to be inNigeria. My first time was abrief stopover when I  trav-elled to an African country afew years back. It was disap-pointing that I could notinteract with Nigeriansback then, that’s why  Iam  going to cherish every

minute I have to spend herenow.

“It also makes me crazy toknow that we have manyfans in Nigeria, in fact, Ireceive thousands of mes-sages everyday on Twitterfrom Nigerians, who wereasking if I would come here.Well here I am and it will bean honour to play againstmy sister for Nigerians andwe will give you a goodshow… I hope that our pres-ence and what we do wouldhelp to change Nigerian ten-nis. I hope that these playerswill be inspired to becomethe best,” she said.

Serena has come a longway from that starry-eyedgirl taken to a tennis clubwhile she was barely out ofher diapers by her father inthe 1980s.

From learning how to han-dle the racquet at VicBraden’s club in California,Serena is now the proudholder of 51 trophies and theoldest ever world numberone.

Penultimate week, she beatSharapova in the final of theMadrid Open to retain hernumber one ranking andcollect her 50th career title.She added the 51st crown lastweek at the Italian Open, andwith the French Open herewith us, the smart money isthat she would make it her52nd title at the RolandGarros.

She won her first and onlyFrench Open title 11 yearsago, but such is her currentdominance, coupled withrecent clay court successes,that it is hard to see beyondthe powerhouse American.But Serena is in France with a

touch of caution becauseshe has almost always fal-tered when it mattered mostat Roland Garros.

Based on form, she has noserious opposition in thecompetition… she is worldnumber one, unbeaten in 24matches and has won fourconsecutive tournaments.But she was in spectacularform last year when she wasbooted out of the competi-tion in the first round.

Whatever happens at theFrench Open this year, noth-ing would subtract fromSerena’s new status as theundisputed best womanplayer ever.

Born Serena JamekaWilliams on September 26,1981, she has been the worldnumber one in singles on sixseparate occasions since shefirst held the title on July 8,2002.

She regained it for thesixth time on February 18,2013, becoming the oldestworld number one player inWTA’s history. And so has themoney been coming in. Sheis the only female player tohave won over $40 millionin prize money.

Williams, who calls herself“hardest working woman intennis, is the only player tohave achieved a careerGolden Slam in both singlesand doubles, and is regardedas one of the greatest tennisplayers of all time.

She is the most recent play-er, male or female, to haveheld all four Grand Slam sin-gles titles simultaneouslyand only the fifth womanever to do so. Williams haswon four Olympic goldmedals, one in women’s sin-

Serena celebrates with the Rome Open trophy of the WTA Rome Masters. PHOTOS: AFP

gles and three in women’sdoubles.

After beating Sharapova towin her 50th title at theMadrid Open two weeks,ago, Serena walked in forher news conference wear-ing a T-shirt proclaimingher the “Bestest Ever.” Butanalysts says she will not bethe ‘Bestest Ever’ until sheadds at least one moreFrench Open title to a Hall ofFame list of accomplish-ments.

While she has won allthree clay court tourna-ments, she has played in2013, including her lateststraight-set triumph overnumber two-rankedAzarenka in the Italian Openfinal last week, the next testcould be the toughest.

Battling an 11-year waitcould be a psychologicalwar too tough for the greatWilliams, especially since

she has gone no further thanthe quarterfinals since 2003.Last year, she lost in the firstround to an unseeded and111th-ranked VirginieRazzano. That was her firstloss in the first round of aGrand Slam in her career.

But she rose from the ashesof that defeat to win theWimbledon, the Olympicgold medal, the U.S. Openand the Masters.

“Every time I play, I reallyrelish it more,” Williams toldreporters after the Madridtitle. “I feel like, ‘Honestly,Serena, when are you goingto get tired?’ I don’t know.”

At 31, Serena has defied allthe stereotypes about toplevel tennis belonging toplayers between 18 and 26.

ESPN’s tennis analyst andformer perennial top-10 play-er, Pam Shriver, said ofSerena’s chances in thisFrench Open: “Usually thepattern with Serena is that ifshe sets her mind on revengeor reclaiming something; shehas been fueled and angeredby that loss. “I think she lovedthat record of having neverlost a first-round match in amajor before (last year’sFrench) and the way she lostthat match.

“It is her weakest major. Isit possible for her to be upset

two years in a row on thissurface? Of course. But allsigns point toward her get-ting even.”

She started her campaignat the French Open yesterdaywith a commanding display,reeling off the first ninegames against Georgia’sTatishvili, allowing heropponent only seven pointsin the first set. She clinchedthe tie with a 6-0 6-1 victoryin 51 minutes.

Serena is still a long wayfrom matching the all-timeleaders in Grand Slam titles(she has 15, while MartinaNavratilova and Chris Everthave 18 and Margaret Courttops the list at 24); matchwin streak (she is currentlyriding a career-best 24 in arow, while Navratilova holdsthe record at 74) and careersingles titles (Navratilovahas 167 to Williams’ 51).

But she is two titles awayfrom equaling Monica Seles,who is ninth on the all-timelist, and Shriver said win-ning her second French titlewould be nice for Williams,but is not mandatory inorder to take her placeamong the all-time greats.Adding to the French Opento her collection of titles thisyear would be a great prepa-ration for her favourite sur-face…the Wimbledon.

After beating Sharapova to win her 50th title at the Madrid Opentwo weeks ago, Serena walked in for her news conference wear-ing a T-shirt proclaiming her the “Bestest Ever.” But analysts sayshe will not be the ‘Bestest Ever’ until she adds at least one moreFrench Open title to a Hall of Fame list of accomplishments.

United States’ Serena Williams hits a backhand shot to Georgia’s Anna Tatishvili during a French tennis Openfirst round match at the Roland Garros stadium in Paris at the weekend.

76

InsideTaxTHE GUARDIAN, Monday, May 27, 2013

THE GUARDIAN, Monday, May 27, 2013 77

78 THE GUARDIAN, Monday, May 27, 2013SPORTS

UEFA Champions League Fallout

Bayern targets dominationafter Champions League gloryDESPITE the upheaval of a

coaching change andhints at buying anothermain striker, Bayern Munichbelieve they can dominateEuropean soccer for years tocome after triumphing inthe Champions League at theweekend.

Arjen Robben’s 89thminute goal sealed a 2-1 winover Borussia Dortmund inthe first all-German final inEurope’s top club competi-tion and wiped away bitterBayern memories of show-piece defeats in 2010 and2012.The Bundesliga champions

can complete a German tre-ble in the German Cup finalagainst VfB Stuttgart nextSaturday and such is thestrength of their overallsetup, further success is fullyexpected in the next few sea-sons.

Bayern Coach, JuppHeynckes, 68, is retiring atthe end of the season havingbecome only the fourth man-ager to have lifted theEuropean Cup with two dif-ferent clubs having also wonwith Real Madrid in 1998.

He gives way to ultra suc-cessful former Barcelona

boss, Pep Guardiola and withDortmund’s Germany mid-fielder, Mario Goetze alreadysigned up for next term andtheir striker RobertLewandowski also eyed,Bayern’s confidence can onlyskyrocket.

“Bayern will have to provethat they can continue toachieve these things but it isquite possible a new eramight have begun for BayernMunich,” Heynckes told anews conference.

A year ago, the Bavarianswere distraught after losingthe final to Chelsea from awinning position on theirhome ground but afterweathering an earlyDortmund storm atWembley, their experienceshone though.“We didn’t resign ourselves

to our fate (after the Chelseadefeat),” Heynckes said. “Weupped the ante and triedeven harder. You have seenthe result.”Bayern may not be as youth-

ful as Dortmund, leavingGuardiola and the boardwith work ahead of them torenew the squad, but genera-tion of top players includingRobben, Franck Ribery,

Bastian Schweinsteiger andPhilipp Lahm have nowfinally won the ultimate clubprize.“The team is in the right agegroup and we’ve got rosytimes in front of us. We wantto win the treble and as far asI’m concerned this can keepgoing next year too,” rightback Lahm said.

Bayern, winners of fiveEuropean Cups dating backto their 1970s dominationwhen they won threestraight titles, have alsoachieved renewed successdespite changing their maincentral striker almost everyseason.

Luca Toni, Ivica Olic andMario Gomez have all beeneased out, although Gomezis still at the club, andincumbent MarioMandzukic will be nervouslylooking over his shoulderdespite an excellent first sea-son and the 60th minuteopener on Saturday.

The Croatian will be wellaware of Lewandowski’sattributes and if the Poledoes head to Bayern, thecompetition for places willonly make them an evenscarier prospect.

Hummels confident about Dortmund’s futureBORUSSIA Dortmund

defender, Mats Hummelsinsists the club can maintaintheir place among Europe’selite even with the loss ofsome star players.

Mario Gotze is heading toBayern Munich, Saturday’sconquerors of Dortmund inthe Champions League finalat Wembley, while Polishstriker, Robert Lewandowskiis also expected to leave.

Hummels said Dortmundwould remain true to theirvalues and would be able torecover from the 2-1 defeatand the departures.

“Of course it is going to behard if we have two of ourbest players going but otherscan come in and take theirplace,” said Hummels.

“We don’t buy stars, wedon’t buy big players, wemake them in to stars andthat’ s the way I really like it.It’s going to be really hard but

we know we will get somenew players and I am reallylooking forward to that.“We have showed how well

we can play. We want to proveit further in the coming years,and I hope we will achievethat and make it to the finalagain.”

Dortmund succumbed toArjen Robben’s 89th-minutegoal after a pulsating finaland Hummels admitted theypaid the price for focusing onthe likelihood of extra time.“We started thinking about

extra time,” he added. “I don’tknow how we let Bayern playso many long balls, and fromone of them they managed toscore the second goal.”

His fellow centre-backNeven Subotic, who had beenan outstanding leader in therearguard action as Bayernsearched for the late winner,claimed there was more thana touch of fortune about

Robben’s goal.“It was kind of depressing

how they scored that secondgoal,” he said. “I’m not surethat (Franck) Ribery wantedto backheel it to Robben, butthat’s how football is.

“You’ve got to take it forwhat it is and learn from it.We are a young team, that’sfor sure, and we’re going totake this as a lesson andmove forward.“This would have been the

top of the mountain. But wegot so far, and it was a greatjourney up until now. It wasanything but a bad perform-ance today, so we can’t reallysay that we didn’t try and did-n’t run.“We might have set a new

running record; that’s whatit felt like today. We reallygave it our all, but, in the end,in football sometimes luckdecides the match and that’sjust how it is.”

Bayern Munich’s Dutch midfielder, Arjen Robben celebrates at the final whistle after their victory in the UEFAChampions League final match against Borussia Dortmund at Wembley Stadium in London at the weekend.Bayern Munich won the game 2-1. PHOTO: AFP

THE GUARDIAN, Monday, May 27, 2013 79

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DEREGULATION trends definitely are sweepingover all the energy industries in the world. The

ultimate reason for deregulation globally is eco-nomic efficiency. However, while the economicbenefits of deregulation are desirable, there couldbe implications, though surmountable, if there iscollective responsibility. Deregulation, as one ofthe economic reforms of governments becomesrather imperative since it is geared towards reviv-ing the ailing sector. Deregulation has globally been embraced by sev-eral countries, in order to lessen public sectordominance and for developing a liberalised mar-ket, while ensuring adequate supply of products.Such is the story in Peru, Argentina, Pakistan,Chile, Philippines, Thailand, Mexico, Canada,Venezuela, Japan, USA, and all the Asian countries.In most of these countries, the oil refining indus-try is dominated by private sector participationand pricing mechanism is market based, subjectto a monthly price adjustment to reflect the cur-rent international prices. All of which have sys-tematically dismantled their state-owned oilcompanies, for a significant turning point in thesuccess story of their oil industry reform efforts. Nigeria has systematically failed to grasp the nec-essary palliative measures rolled out by the gov-ernments of the respective countries aforemen-tioned, towards a collective acceptability of thepolicy. Every other country that embarked onderegulation, met with stiff opposition from theanti government groups, but they were able tostrategically woo them over to the extent that theactivists could see no more ground to stifle theefforts of the government towards the introduc-tion of the policy, probably, because of the pack-aging of the palliatives.In 2003, Federal Government opted for deregula-tion with the overall objective of introducingcompetition, enhancing and improving supply,removing government control on pricing, allow-ing market forces to determine prices, and open-ing up of the sector for private participation,which will create more jobs for our teemingyouths. It is curiously obvious that over a longperiod of time, government’s deregulation policyof the downstream petroleum has not beenaccepted by Nigerians. This is in spite of the per-sistence and consistence efforts at which preced-ing governments had pursued deregulation poli-cy of downstream petroleum sector. For instance,when the late President Yar’Adua, announced hiscommitment to deregulation, he set up aPresidential Committee on Deregulation with theresponsibility of dialoguing with the stakehold-ers and fix the date for commencement of dereg-ulation in the downstream sector. Despite itsgood intention, the civil society kicked against it,given the deplorable state of the refineries and

other socio-economic infrastructures. In continuation, the Jonathan administra-

tion also showed commitment to the policy,by ensuring availability of petroleum prod-ucts to enable him carry on with deregulation,

but the move was still resisted especially by theorganised labour and civil societies, on the con-dition that there were no palliatives on groundfor the commencement of deregulation.However, the two attempts by PresidentJonathan to deregulate the sector, was trailedby discordant voices, heating up the airwavesand pages of newspapers. This was to forestallany upward review of pump prices and likelyprotest that most often than not, snowballedinto a national strike. A typical example wasthe unprecedented protest that happened atthe beginning of the incumbent President’searly days in office, when there was a nation-wide strike that lasted for complete seven days,paralyzing the nation’s economic activities,until a compromise of N97 per litre wasreached to appease strong public oppositions. Indicatively, it is obvious that the governmenthas consistently and continuously, brandishedthe notion to revamp the sector to cut downcost. As long as the downstream oil sector isnot deregulated, setting up new refineries willnot be a profitable because the refineries willnot achieve full capacity. Deregulating thedownstream sector, will not only save thenation money but could also do to the sectorwhat deregulation did to telecoms in Nigeria.It is stating the obvious that the amount spentsubsidising fuel is absolutely unnecessary. Theintent of fuel subsidy has been defeated as itsadministration is beset by ineffectiveness, leak-ages and corruption. Again, it’s not as thoughthe Federal Government is not aware of thenegative impact of regulated prices on thedownstream sector as well as the huge burdenit poses on government finances, but itappears that the will to implement deregula-tion is lacking.

In view of the recent hullabaloo that thePresident’s speech has generated, and to closeup the gulf between the deregulation and pub-

lic acceptability, and for the purpose of this piece,Public Hearing Committee was inauguratedrecently to criss-cross the country in order to sellderegulation to Nigerians. The Committee wassaddled essentially, with the responsibility oftouring the six geo-political zones in order to fur-ther enlighten the people, as well as, give eachzone equal hearing on their views on the deregu-lation, before full implementation. The PublicHearing, to an average Nigerian is an effort infutility based on their past experiences of unful-filled promises. It is worthy to note that the rea-son for the unacceptability of the policy does notrest with the “product” but could be with thepackaging. Nevertheless, government can still garner con-

fidence from among Nigerians, if, theCommittee members are made up of people ofproven integrity, rather than people of question-able personalities, so that the Committee will notbe seen as a “wild goose chase”. Hence, the prod-uct “deregulation” must be properly repackagedto make it saleable to the generality of Nigerians.This is because, the acceptability or otherwise ofthe policy becomes the onus of the government.No change has been smooth sailing, thus, sacri-fice is inevitable between the two parties for con-cessions to be reached to usher in the desiredchange. On the contrary, it will be a near impossi-ble attempt for government to initiate any proj-ect, if the people the change is meant for are notcarried along. The antagonistic antecedencesthat usually coloured deregulation since its birthshould be of great lesson to the government.As a matter of urgency, Nigerians should have arethink so that the present scenario that encour-ages sharp practices and makes Nigeria the onlyOPEC member that still imports refined petrole-um products does not continue. While expect-ing to see a functioning industry, creating themuch needed atmosphere for an industrialboom after best practices, creating favourableinvestment climate for local and foreign capitalin a manner that would ensure optimisation ofthe nation’s downstream potential, a self financ-ing and self-sustaining sector as well as a down-stream sector that promises return on invest-ment, is a necessity.In the light of the above, we should endeavor to

borrow a leave from the success stories of thecountries that have arrived at the destinationport of deregulation, and their achievements. Inaddition, Nigeria should not only learn howthese countries had forgotten the scares of theinitial experiences, but endeavour to accept a lit-tle discomfort to achieve results. Nigerian gov-ernment should not only be cautious with dereg-ulation in terms of selling state-owned enterpris-es, rather, should also opt to opening up of thesector to private and foreign indirect investmentas in other countries of the world. • Okafor wrote from Abuja.

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Deregulation:The gulf between

Gov Orji and foreign trips

By Loretta Okafor

IT has become obvious that the Abia StateGovernment House, Umuahia,

is no longer conducive to Governor T.A Orji, ashe is seemingly bent on spending more timeabroad than at home. He just returned from aweeklong trip from Canada that his kowtowingaides dubbed economic trip and as welldescribed it as “a huge success”. Whatever thismeans!The “huge success” Orji could not give to Abia

people in the cause of governance is what he hasalways enjoyed abroad where governmentknew the true meaning of governance and hasmade sure that success always comes to play,while the governor was mouthing that his tripwas investor-friendly.

Addressing Abians who thronged theUmuahia Government House BanquetHall, shortly after his return, he said he had dis-cussed areas of interest with prospectiveinvestors. Always making cymbal out of anyjourney he made to overseas, Orji would rent hiscronies and friends to throng the GovernmentHouse, Umuahia, to celebrate his return. Hooey!The same last year, he was travelling like schoolchildren on excursion to Abuja and Lagos, lur-ing and lobbying Abia people in the places tobelieve his speechifying that works were goingon in Abia State, when such speech-makingswere only but a ruse.Orji’s fresh trip to Canada will not make a dif-

ference from other ineffectual trips he hadmade and told the world that very soon AbiaState would be flooded by investors. The sad-dening part of the whole nuisance is that hisgovernment functionaries who always enjoy

The trip can never be in the overall interest ofAbia State as he wanted us to believe, when Orjicould not utilise the resources already in thestate. He expected that the people-oriented pro-grammes that Abia people have always beentasty of under his government could only seethe light of the day when foreign investorscome and manage our affairs. Was it not thesame Canada that the governor said that wouldbe building monorail in Abia State? Where isthe Monorail?Why is it that anytime Orji returned from any

trip overseas, he calls for celebration? When hehas nothing to show in Abia State in terms ofdividends of democracy and when Abia peoplein the state wear baked tears with only reposeon fate to give them a better governor in thefuture who would polish the state from theruins it has come to suffer under Orji.It should not surprise us if by tomorrow we

read from Orji’s ingratiating aides that thiswriter is not certified to judge their public ser-vant; if they will not even call Yours Truly namesand fabricate stories against him because theyare experts in such, and tell the world how theirBible said that the masses should pray fortheir leaders, even in the face of tyranny.It is annoying that Orji always runs to overseas

to contract companies there to come and helpdevelop Abia State, even when he has refused toyield to the purportedly call by the Akwa IbomState Government to enter into an agreementwith it, so that Akwa Ibom would extend its net-works of good road projects to Abia State, sinceOrji has an inadequate approach to good gover-nance.• Onwumere, poet/author, contributed this piecefrom Aba,

the trips with him will not call him to orderthat Abia people are asking questions aboutthe much touted Monorail and Waste man-agement projects that his government spentthe Abia people’s hard earned money in themedia advertising elusive projects that onlyexisted in the minds of the Orjis than thoseprojects could possibly be drawn on groundin Abia State. But at his back, you hear thesame government functionaries bemoaningtheir unhappiness with the ‘Emperor of AbiaState’.Do we still remember the German company

which only came for presentation on thewaste management project in the state andthe government advertised the visit in themedia as if it had a contract signed with theGerman company? The same thing is aboutto happen as it was news that Orji hadinstructed some of his aides to make surethat the apparently Canadian investors visitthe state soon.

It can be construed that the government ofAbia State-led by Orji is doing everything with-in its reach to launder its decrepit representa-tion. If not, how could the same governmentwhich last year amplified how it gave andshared (N10 billion?) to farmers be talkingabout imploring the services of a Canadiancompany in the area of agriculture?We are not even talking about environmen-

tal control in the state on which a lot of mon-ey has been spent on contracting the servicesof indigenous contractors, yet Abia State ischanging from bad to worst in waste manage-ment.The issue of oil and gas in Abia State is a story

for another day. Can anyone imagine that Orjiwas quoted as saying that his ‘business’ trip tothe Canada would strengthen the two-pronged relationship between Nigeria andCanada, as if he is the President of Nigeria. Nodoubt, Orji lacks the perimeter of gover-nance!

By Odimegwu Onwumere

Allison-Madueke, Petroluem Minister