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N458m contract scam: court orders police to produce Dina, J-PROS boss:
Date Added: 2013-04-18 10:17:26
. An Owerri Magistrate court presided by Justice Victoria Isiguzo has ordered the police to produce Mr. Joseph Dina, the Managing Director of J-PROS Int'l Limited to face criminal charges filed against him and his company by the Imo State government.
Mr. Dina is accused of obtaining money from the State government under false pretenses.
The suit as filed by the State Attorney-General and Commissioner, Barr. Soronnadi Njoku on behalf of the State government also seeks to prosecute the contractor for abandoning a major road contract in Owerri capital city after obtaining money in excess of the contract sum.
It will be recalled that the J-PROS boss abandoned the Sam Mbakwe road project awarded to the company after collecting the total contract sum of N1.1billion naira and another N200 million naira overpayment for the same contract.
Mr. Dina, had in the course of investigation carried out by Imo State House of Assembly, accused the former Deputy Governor and Commissioner for Works, Sir Jude Agbaso of demanding and receiving N458M gratification, an allegation he claimed led to the abandonment of the project.
The legislature upon its investigation and in pursuant to its oversight functions as enshrined in the constitution found Agbaso guilty and subsequently impeached him thus becoming the first deputy governor to be impeached since the creation of Imo State.
In another development, Governor Rochas Okorocha has warned contractors handling road projects in the State to expedite action and ensure completion of their jobs to avoid disruption by the rains.
The governor, who handed this warning while inspecting some roads projects embarked upon by the State government in Okigwe town however frowned at the delay and poor quality of job done by the contractor.
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Power fluctuation A bizman’s frustration
DICKSON OKAFOR
Wednesday February 15, 2012
Mr Festus Mbisiogu the CEO Blue Diamond logistics China who is based in China came back and through Imo State Government acquired 12 acre of land worth over N600m to manufacture electronics, cables and Household appliances which stand to employ over 15,000 Nigerians but, the challenge in irregular power has frustrated his effort. This challenge led him to meeting with the Hon. Minister of Power, Prof. Barth Nnaji and the Hon. Minister of State for Trade and Investment, Chief Sam Ortom through his NGO Good Governance Initiative (GGI) as he set agenda for steady power.
Lack of steady power, an investor’s frustration
How things change, either for good or bad but one thing is constant and that is change. At a time in this nation people aspired for position of authority to serve, then leaders had not deemed it necessary to stash public found away in foreign banks. Corruption was at its ebb and investors came begging to be allowed to invest in the country.
We had few roads but they were in good shape, water corporation and water boards were functioning and there was few universities, secondary and primary schools hence quality of education was of high standard, then expatriates were here teaching in our schools as Asians and Ghanaians were teaching in our schools. Our certificate was valued and can give you job anywhere in the world. The driving force for economic and social stability was steady power because the nation generated up to 80 per cent of electricity that drove the economy. Companies sprang up in stipulated areas known as industrial Areas such as Apapa, Ikeja, Ilupeju and Badagry Industrial layouts accommodated multinational and local companies.
According to information made available by the manufacturers Association of Nigeria (MAN) which reveal that between the year 2000 – 2010 more than 1400 companies have shut down or migrated to other countries like Ghana for better business conditions. During the period in question the Textile industry collapsed and employment fell from 35,000 to less than 20,000. In the early 70s and late 80s before you leave school, job is waiting for you either in government or private institutions. There was enough manpower as Nigerians didn’t bother to go abroad for greener pastures and those who did went to study and their school fees were paid in Naira because Naira was equal to dollar, the rate of inflation was low and banks gave loans with low interest rate.
Life was rosy for the citizens, that then head of state Gen Yakubu Gowon “boasted that the problem of Nigeria was not money but how to spend it”. Nigeria experienced oil boom and because it failed to plan and save for raining day it blew the opportunity as oil supplying nation and giant of Africa and as a result gross corruption the economy started drifting backwardness. An industrialist and the CEO Blue Diamond logistic China Mr. Festus Uzoma Mbisiogu laid the blame on lack of steady power, according to hin no economy had ever strived without steady power hence investors won’t invest in such nation. He stated that generator manufacturing companies overseas are booming because of lack of steady power in Nigeria thereby enriching other nations as the nation’s economy is generator driven, to him this had not helped the nation grown her industrial sector.
According to research findings made available by an NGO, Good Governance Initiative (GGI), about N800 billion is spent on diesel to power generators by the manufacturing sector, this is in line with the report that doesn’t account for the corporate industries and government agencies. However, the group stated further that with the recent increase in the petrol pump price, families that spends average of N35, 000 on fuel to power generators monthly now spend over N60, 000.
On environmental hazard caused by generator that had claimed many lives, the group affirmed that no week passes without people dying of generator fume.
The matter worsen considering the housing pattern majority of Nigerians live in popularly referred to as ‘face me, I face you’ apartment and each occupant resorted to buying tiger generators also known as “I pass my neighbor” and the effect of this action is noise pollution as every window in all apartments has a generator causing environmental and noise pollution and this is not good for the health and many at times fume from these generators send people to early grave. The report further discovered that environmental pollution is even worse in the major markets in Nigeria where virtually all shops used generators to run their businesses.
While discussing with the president, Good Governance initiative (GGI) Mr. Festus Mbisiogu he narrated his frustration in trying to convince investor to setup industries in the country. According to the Blue Diamond boss, foreign investor turned down coming to invest in the country on the grounds that the nation lack steady power supply.
So far, according to him, the group had met with the Hon. Minister of Power Prof. Bath Nnaji and Hon. Minister of state for trade and investment Chief Sam Ortom where they set agenda for steady power. He further highlighted his experience in trying to improve the lives of his people in Umuchima in Ideato South LGA of Imo state when he sank 5 boreholes early last year but had continue to spend N1.5M every month on diesel to power the generators so that the people can fetch water from the boreholes because there was no cheap public power to pump the water hence he has continued to sponsor the buying of diesel to power the boreholes.
Unemployment and youths restiveness
The question is what led to the total collapse of the power system, which resulted, to multi-national companies closing shop or migrating to neighboring countries where power is steady? A source that pleaded anonymous attributed the dwindling in power supply to the interference with NEPA installations by the military during the coup that ousted the 2nd Republic and since then all efforts by successive governments to fix power proved abortive. He wondered why Ghana could succeed in achieving steady power and even planning to supply electricity to neighbouring counties whereas Nigeria can’t.
That is why employment had dropped from 35,000 from the year 2000 and 2010 to just 20,000.
Mr. George Ndubuisi revealed that in the 70s and late 80s before young people leave school employment was readily waiting for them after graduation. To him that was when the Nation could generate enough electricity to sustain industries and factories including government institutions.
“Nigeria was investors heaven as Ghanaians, Asians and people from other West African countries trooped to Nigeria to seek employment but today the reverse is the case”.
Another source revealed that power outage in the country is deliberate; the source that pleaded anonymous stated that generator dealer in collaboration with some PHCN officials are aiding power interruption for generator business to continue to thrive as he attributed lack of steady power in the country to corruption. According to him during the reign of Chief Olusegun Obasanjo the Federal Government budgeted N50 billion for the revival of power sector but the amount went down the drain and the case worsened. And late Yar’Adua administration came up with seven point agenda and steady power was one of them as another N36 billion was budgeted for power yet no sign of power till today. The source hope that the present administration will keep to its promise of providing Nigerians steady power.
On the present government transformation agenda, Mr. Mbisiogu highlighted the objectives of the group to include also, the strives to improve the well being of Nigerians and continue to advocate for the improvement and achievement of steady electricity in the country.
“That is the thing that inspired me to float the NGO”. He called on President Goodluck Jonathan to pursue with vigor steady power because as he put it. “If the only thing this administration achieves is steady power I think that is a land mark that history will hold dearly”.
He stated that the entire amount spent by individuals and companies on fuel and diesel to power generators should have be channeled to other sectors of the economy if there is steady power. He gave instances where public sectors such as sea and airports also suffer set back on their operations as a result of power outage thereby causing shame and embarrassment to the nation.
However Mr. Mbisiogu insisted that power as the nucleous of any economy must be given adequate attention, sitting China as an example of a nation transformed by steady power. While commending the Hon. Minister of power Prof. Bath Nnaji he urge him to partner with relevant agencies both here in Nigeria and abroad to make sure steady power is achieved before 2013.
He stated that the entire amount spent by individuals and companies on fuel and diesel to power generators should have been channeled to other sectors of the economy if there is steady power. He gave instances where public sectors such as sea and airports also suffer set back on their operations as a result of power outage thereby causing shame and embarrassment to the Nation.
However Mr. Mbisiogu insist that power as the nucleus of any economy must be given adequate attention, giving China as an example of a nation transformed by steady power. While commending the Hon. Minister of power Prof. Bath Nnaji, he urged him to partner with relevant agencies both here in Nigeria and abroad to make sure steady power is achieved before 2013
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FDA outlines path for lower-priced biotech drugs
WASHINGTON – The Food and Drug Administration is preparing to review the first lower-cost versions of biotech drugs, expensive medications which have never before faced generic competition.
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Since their introduction in the 1980s, biotech drugs have never faced generic competition because the FDA did not have power to approve copies of such medications.
Since their introduction in the 1980s, biotech drugs have never faced generic competition because the FDA did not have power to approve copies of such medications.
The guidelines issued by the FDA on Thursday are the final step in a decades-long effort to lower the price of biotech drugs, high-tech injectable medications that cost the nation billions of dollars each year.
"These draft documents are designed to help industry develop biosimilar versions of currently approved biological products, which can enhance competition and may lead to better patient access and lower cost to consumers," FDA's drug division director Dr. Janet Woodcock said in a statement.
Since their introduction in the 1980s, biotech drugs have never faced generic competition because the FDA did not have power to approve copies of such medications. For years the biotech industry successfully argued that their drugs, often made from living cells, were too complex to be duplicated by competitors.
That finally changed with the Obama administration's 2010 health overhaul, which ordered the FDA to create a system for approving so-called "biosimilar drugs." The industry term arose because biotech scientists insisted it would be impossible to produce exact copies of their biologically engineered drugs. They differ from traditional drugs, which are made by combining various chemicals.
Health care data firm IMS Health estimates the global market for biosimilars will range anywhere from $11 billion to $25 billion by 2020, accounting for 4 to 10 percent of the total market for biotech drugs. The Congressional Budget Office estimated biosimilars would save the government $25 billion in reduced health care spending in the coming decade.
The FDA's draft guidelines, posted online, reflect a final agreement that was largely shaped by the biotech industry's demands. As a result, new biotech drugs will enjoy a 12-year period of exclusive, competition-free marketing before a rival medication can launch. Additionally, companies seeking to market biosimilars will have to submit extensive chemical and biological testing data to show that their products function similarly to the originals. The FDA will also have the option to require human and animal clinical studies, the most expensive forms of testing, though staffers said the requirement would be used only when necessary.
"We do not want companies repeating studies that do not need to be done — that wastes precious resources, and of course, exposing humans and animals to unnecessary testing is unethical" said Dr. Rachel Sherman of FDA's office of medical policy. Sherman said the FDA has not yet received any applications for biosimilars drugs, though companies have submitted three dozen requests for meetings on potential products.
The agency will require human testing to declare a biosimilar "interchangeable," with the original drug, a key point of contention between branded drugmakers and their would-be competitors. Such a designation would allow health care professionals to switch patients to a generic version, significantly curbing sales of the original products.
Examples of biotech drugs include specialty cancer drugs like Roche's Avastin, which costs more than $100,000 for a year's supply, and the diabetes staple insulin, which costs closer to $1,000 per year.
Analysts disagree over how much of a discount biosimilars will provide in the U.S. In Europe, where biosimilars have been on the market for several years, knock-off versions of biotech drugs are generally about 20 to 30 percent cheaper than the original products. Companies marketing biosimilars in Europe include Novartis division Sandoz International, Hospira Inc. and Teva Pharmaceutical Industries Ltd. Several U.S.-based brand-name drugmakers have also announced plans to develop biosimilars, including Merck & Co. Inc. and Pfizer Inc.
The FDA said it would take comments on its guidelines for 60 days before finalizing them.
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Nigeria lost N300bn to strike – Okonjo-Iweala
January 17, 2012 by Ifeanyi Onuba 97 Comments
The Minister of Finance, Dr. Ngozi Okonjo-Iweala, has said that based on Gross Domestic Product estimate, the week-long strike ordered by the organised labour to protest the removal of petrol subsidy cost the country about N300bn.
The minister gave the figure on a television programme monitored by our correspondent on Monday in Abuja.
She noted that the amount was not more than that because the economy was not totally shut down as a result of the strike.
The six-day industrial action was suspended on Monday six hours after President Goodluck Jonathan reduced the pump price of petrol from N141 per litre to N97.
Explaining the implication of the action, the minister said that if the economy was totally shut down, the country would have lost about N500bn for the period the strike lasted.
Okonjo-Iweala explained that while the protests paralysed economic activities in some states, those in the South-East region were bubbling with economic activities.
She said, “I think we can determine the amount lost when the GDP is considered and that would amount to about N500bn. But don’t forget that the economy was not totally shut because we still had some people who went about their normal businesses. So, it will not be right to say that because there were protests in some few cities like Lagos and Abuja, then the whole economy was totally shut down.
“I am sure you are aware that economic activities were not paralysed in the South-East states and some other areas, and if you put that into consideration, then we can say that the economy lost about N300bn to the strike action.”
The Central Bank Governor, Mr. Lamido Sanusi, had said last week that the country was losing N100bn daily to the strike.
The minister commended the organised labour for suspending the strike, adding that the move would ensure the revival of economic activities in the country.
She also said that the Federal Government would continue to pay subsidy on petrol but at a reduced cost to the country.
According to her, instead of the initial N76 per litre, which government was paying as subsidy, it would now have to contend with N44 per litre.
The N44, according to her, is the difference between the reduced price of N97 and the market price of N141 per litre.
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Trouble looms for oil marketers •As FG orders EFCC to probe subsidy payments
Written by Leon Usigbe Monday, 16 January 2012
THE Federal Government has invited the Economic and Financial Crimes Commission (EFCC) to probe all payments made in respect of subsidies on petrol and kerosene and prosecute all those that might be involved in fraudulent practices.
The Minister of Petroleum Resources, Mrs Diezani Alison-Madueke, who disclosed this to State House correspondents after the meeting between President Goodluck Jonathan and state governors on Sunday, said she decided to take the step following the removal of subsidy on petrol and the ensuing protests.
The statement she circulated outlined four steps which government had taken to bring sanity into the petroleum sector.
It stated: “With presidential approval, I have written to invite the EFCC to immediately review all payments made in respect of subsidies on PMS and kerosene and to take all necessary steps to prosecute any incidence of malfeasance, fraud, over -invoicing and related illegalities in an open and transparent manner.
“I have set up a unit within my office to be headed by an independent auditor to review the KPMG and other audit reports on NNPC and other parastatal [agencies], and immediately begin implementation of their findings, ensuring at all times, full probity and value for money.
"I am en-panelling another unit in my office to begin a comprehensive review of the management and controls within all parastatals in Ministry of Petroleum Resources, including, but not limited to NNPC, PPPRA and DPR. Accordingly, I expect a report in 30 days to enable us to take further action in reforming management, personnel and other practices and procedures in parastatals within the ministry.
"It should be noted, however, that this process has already begun in PPPRA and DPR where management changes and reform are beginning to yield desirable results.
“I will be meeting with the Senate President and the Speaker of the House of Representatives in the coming week to seek their cooperation and leadership in the quick passage of the Petroleum Industry Bill so that we can anchor the comprehensive reform of the oil industry,” the statement said.
The minister assured Nigerians that having spent the last 18 months to painstakingly review its operation, it was now time for the Ministry of Petroleum Resources to deliver.
In the letter to the acting chairman of the EFCC, Ibrahim Lamorde, dated January 12, 2012, Alison-Madueke remarked that she was concerned that subsidy bill had grown “exponentially to unsustainable keels.”
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Business
Expatriates, some semi-skilled, take over even menial jobs from Nigerians
WEDNESDAY, 21 DECEMBER 2011 00:00 BY DAVID OGAH, DELE FANIMO, WOLE SHADARE, YETUNDE EBOSELE, ROSELINE OKERE, ADEYEMI ADEPETUN (LAGOS) AND FLORENCE LAWARENCE (ABUJA) FEATURES - FOCUS
THEY are ubiquitous. It is hard to miss them. At construction sites, factories, auto sales outlets, oil and gas installations, the aviation sector, telecommunications among others, there are foreigners in the garb of expatriates performing tasks average, semi-skilled Nigerians can handle.
The unchecked influx of foreigners into the country under the guise of expatriate with skills lacking in Nigeria, has degenerated to the level of abuse, to the extent of aggravating unemployment with its attendant social crisis.
In the midst of staggering statistics from Nigerian Bureau of Statistics (NBS), which puts unemployment rate at 23.9 per cent, foreign nationals, especially from Asia have continued to invade the country under the guise of being expatriates.
Today, you find clocking clerks, sales executives, site supervisors, foremen, fitters, tillers, welders, cooks, in businesses parading themselves as expatriates.
Indeed, to show that the issue of expatriate quota abuse is of great concern, Labour and Productivity Minister, Chief Emeka Wogu, last year, said that part of the condition for the award of contracts should be the employment of local human resources.
The minister had said: “The era when contractors got their labour force outside of the country is over as government will now ensure that Nigerians are employed in strategic places in companies that are executing contracts worth billions of naira in the country.”
Unknown to the minister then, his pronouncement came at an appropriate time to stave off an impending protest by a non-governmental organisation – Shelter Watch Initiative, against some multinational firms known to be violating the expatriate quota law.
But this did not stop the organisation from petitioning President Goodluck Jonathan, urging him to halt the unrestricted influx of foreigners under the guise of being expatriates with its concomitant security implication.
For the avoidance of doubts, the country is not bereft of laws to regulate the activities of these foreigners and ensure that only qualified foreigners are allowed into the country, but like all the other existing laws, implementation has remained the sore point.
The Immigration Act clearly states that expatriate quota can only be granted to a firm for the recruitment of foreigners if the skill required is not available in the country.
It further states that where such approval is granted, subject to the above stated condition, among others, a Nigerian is expected to under-study the expatriate for a specified period, for eventual take over of the expatriate¢s position.
In the guideline posted on Nigeria Immigration Service (NIS) website, it is stated that ²the citizenship and business department of the Nigerian Immigration Service has responsibility for administering and enforcing the provisions of the Immigration Act, 1963 as it relates to the establishment of business in Nigeria and the employment of expatriates.” In other words, the department is entrusted principally with the following responsibilities:
“Issuance of business permit and expatriate quota position; and (2) monitoring the execution of quota positions granted in order to ensure effective transfer of technology to Nigerians and eventual indigenization of the positions occupied by the expatriates.”
It further stated that, “every enterprise desirous of obtaining business permit and expatriates’ quota, is to submit an application to that effect to the Federal Ministry of Internal Affair (now Ministry of the Interior) on form T/I designed for that purpose. Companies are however, to note that emphasis would be placed on employment of Nigerians to understudy the foreign experts for the purpose of training them, to enable Nigeria acquire relevant skills for the eventual take-over of the expatriates’ quota granted. Renewal of quota granted will not be automatic but considered on merit based on submission of the required documents.”
If the tenets of this Act were fully implemented by the NIS, 80 per cent of Asians, who either come in as stow away or through illegal routes, would probably be checked.
In the Nigerian Maritime sector, there are about 100,000 jobs for Nigerians if they are trained to take over from the foreigners who are currently serving on board coastal vessels in various capacities ranging from cooks to captains.
The dominance of the labour market in the sector was as a result of the training requirement, which is international because shipping business is international.
The international training requirement for anyone willing to work on board any vessel, any where in the world, is contained in the international convention on Standards of Training, Certification and Watch keeping for Seafarers of 1978 as amended in 1995.
The convention, a product of the International Maritime Organisation (IMO) stipulates the minimum requirements for the certification of Masters, Chief Mates and officers in charge of navigational watches on ships of 200grt or more.
But only few Nigerians have been able to satisfy this requirement hence the tendency to recruit foreigners on board Nigerian coastal vessels and those servicing oil companies offshore.
Today, there are the Philippinos, Indians and a host of other nationals having gainful employment on Nigerian vessels because of lack of training for Nigerians to take up the available job vacancies on board the vessels.
In 2003, Nigerian tried to correct the trend when it enacted a law that made it mandatory for these vessels to recruit only Nigerians as Seafarers, Ratings up to Captains.
But the country soon found out that it had no enough qualified citizens to take up the jobs in the sector.
Those Nigerians that are gainfully employed in the capacity of Captain, Chief Engineer among others are near retirement age and there has been no training for Nigerians until recently when the Nigerian Maritime Administration and Safety Agency (NIMASA) came up with the National Seafarers Development Programme (NSDP) to develop indigenous seamen that could take over the ship manning from the foreigners. But the programme did not succeed.
In the manufacturing and allied business, the story is the same as illegal aliens parade themselves as expatriates. For instance, The Guardian discovered that foreigners from Asian countries are sales attendants in all the outlets of electronic shops around Lagos.
In a company’s showroom at Allen Avenue, there are Lebanese attending to customers and as receipt officer. The Nigerians were only to bring the goods out of the store and carry same to the truck.
Indeed, the Asians and Indians are more into this unholy act of bringing in less qualified nationals to do the job which Nigerians are more qualified to do against the law.
Allegations are rife that these foreigners circumvent the law with the support of Immigration officials, who grant them work permits as highly skilled expatriates.
The Guardian learnt there is a traveling bags and shoes manufacturing company in Nigeria which smuggles many Chinese into the country to work. According to a source, some of the “expatriates” have been working for more than 10 years in the firm.
In his reaction, the Lagos Chamber of Commerce and Industry (LCCI) expressed concern over the influx of expatriates, especially Asians. The Director-General of LCCI, Mr. Muda Yusuf, said in Lagos that expatriates had taken over jobs where Nigerians had competencies, urging a check of the trend.
He accused some unscrupulous officials of the NIS of violating the expatriate quota policy. The LCCI chief alleged that there was high-level corruption in the immigration service.
He said that government’s efforts to create jobs would be in vain if expatriates were taking over jobs meant for Nigerians, adding that “if we are really serious about tackling unemployment, we should put a stop to influx of expatriates,” Yusuf said. According to him, the chamber had on many occasions, raised the alarm and urged the regulatory agencies to be up to their duties in the interest of the economy and the nation.
Indeed, while the more visible shortcomings in the aviation industry like dilapidated facilities and the serious challenge of high operational costs tend to get more mention among its bundle of problems, however, the industry is fast waking up to the realisation that dwindling human capital is no longer a latent threat to safety but a clear and present danger.
Expatriate quota system law in the aviation industry, is also being violated.
This development has elicited outcry, complaints. Aviation is a highly globalised industry that requires skilled manpower for certain kinds of jobs that are non-existent in the country.
In truth, the country lacks all the requirements to run a sector like the aviation, but where the skills are available, it becomes extremely inappropriate to employ foreigners for the job.
Until now, the Nigerian College of Aviation Technology (NCAT), Zaria could not train enough pilots, cabin crew, engineers and other critical aspects of civil aviation. The long period of inactivity of the apex aviation training institution left a generational gap; a situation that has put the sector in serious dire straits.
To train technical personnel like pilots and aeronautic engineers for about 10 years, the indifference of government at various levels, the demise of the defunct national carrier, Nigeria Airways, and the apathy shown on training of personnel by indigenous airlines contributed hugely to the dearth of capable technical personnel in the industry.
In the last Accident Investigation Bureau’s workshop on Human Capital Development and Succession Plan in Aviation, Sam Oduselu, former bureau’s Commissioner and Chief Executive Officer painted an appalling picture of the state of human capital in the aviation industry, “a serious threat to safety is here with us,” he warned.
Worse, the industry is contending with the brain drain depleting the available pool of qualified professionals.
Speaking on the issue, the Assistant Secretary General of National Union of Air Transport Employees (NUATE), Abdul Kareem Motajo said, “the point we are making is that the expatriate quota law is adequate to address the issue of foreign workers. They (foreigners) get the permit to make sure that the required skill does not exist.
“When you come, you have the indigenous people who understudy the expatriates; it is part of the condition for renewal of expatriates applications,” he added.
According to Motajo, in the case of foreign airlines, they have populated their accounts departments with foreigners, jobs many Nigerians could do.
He was equally irked by airlines bringing in expatriates as cabin crew, asking: “Will these crew serve better than Nigerians?”
The industry’s watchdog, the Nigerian Civil Aviation Authority (NCAA) seems helpless to address the situation in spite of assurances from it, but the Director General of NCAA at a forum recently vowed to sanction any airline that fails to meet the mandatory training of local professionals in its programmes.
An aviation stakeholder in the industry, Sheri Kyari said that it would be practically impossible for most of the airlines to comply with the rules on expatriate quota because of various reasons.
He said: “With a deeper research, by design of their profession, aeronautic personnel are supposed to be in the factory where aircraft are manufactured. Aeronautical engineers are destroying the future of the licensed aircraft maintenance engineers in the country.”
The current, very lucrative and juicy expatriate management workers’ remuneration package as against their very poor Nigerian senior management counterparts at the airlines is an indictment on the various aviation unions because the intent and purpose of the Immigration Act of 1963 concerning the issuance of business permit and expatriate quota as spelt out in the revised guidelines on business permit/expatriate quota administration 2004 is to provide among other things for the training of Nigerian understudies to eventually take-over expatriate quota positions.
The Director General of the NCAA, Dr. Harold Demuren said the Federal Government was likely to wield the big stick on operating airlines in Nigeria that fail to meet the mandatory training of local professionals. It is believed to have received the directive to forward the list of erring airlines to the Ministry of Internal Affairs for appropriate sanction.
He insists: “We need to build our own capacity, we need to train Nigerians, we need to move this forward that is the only future for our country.”
Also, since 2001, the Nigerian IT and telecoms sector was notoriously identified with increasing proliferations of expatriates, which according to industry watchers, was based on the newness of the industry.
Then, the industry was largely dominated by expatriates. Nearly every telecoms firm advertises itself as a truly indigenous, Nigerian company, with a special interest in the promotion of local people, areas and talent. The firms that are owned by Nigerians, or which have Nigerians as chairmen, are usually more forthcoming with this hype about being Nigerian. In reality however, the people who call the shots, the heart, tone, and tenor of the operation, are the expatriates.
According to insiders, the domination then, of this industry by expatriates was easily explained away on three grounds. Besides the relative newness, there was also the absence of quality local manpower.
The explanation here was that many of the firms operate on the basis of partnerships between Nigerian interests and foreign investors as part of the fulfillment of the Nigerian government’s privatisation and enterprise promotion agenda.
The third excuse was that the telecom industry is a cost-intensive and volatile business requiring careful nurturing and management, that, then Nigerians did not have a dependable track record as managers, or as loyal guardians of resources.
But presently, the sector has witnessed great reduction in the number of expatriates, except for some pockets of companies, whose top four are foerigners.
The Guardian investigations revealed that Internet Service Providers (ISP), whose ownership and control are majorly from countries including Indians, Lebanon are still dominated by expatriates.
In spite of the apparently “good” picture of the big telecommunications service providers such as Airtel, Globacom, Etisalat, Starcomms, Multilinks and Visafone, all still have their top shots dominated by foreigners.
The Minister of Communications Technology, Mrs. Omobola Johnson, had at the weekend, promised that a new labour law is coming, which will see to proper functioning of the sector in the years to come.
For the automotive sector, the story is similar to other sectors of the economy.
The sector, which is practically comatose due to inconsistency in government policies, has been taken over by businessmen who are out to make profit and not invest in the sector through profiteering.
The sector, which before the mid ’80s was noted for its contribution to the growth of the nations economy through the manufacturing or assemblage of vehicles, has been turned into ordinary import-driven sector through the sales of imported vehicles.
Many of their sales outlets are largely controlled by foreigners, especially Indians and Lenanese. Some of the positions occupied by the foreigners can be effectively manned by Nigerians.
Speaking on the issue, a stakeholder in the sector, Mr. Etubo Amali alleged that the situation is getting rather worrisome as less qualified foreigners are brought into the country as expatriates to boss better qualified Nigerians.
However, the Public Relations Officer of NIS, Mr. Joachim Olumba, while defending his agency said: “We have a stake in this entity called Nigeria. The problem of unemployment is such that it gives concern to every well meaning Nigerian. No patriotic Nigerian will accede to the coming in of foreigners to take over the job of Nigerians.
“We are talking of attracting Foreign Direct Investments into the country and no investor that comes will not see to it that his investment is in reliable hands. A Nigerian who owns a firm will not want to be dictated to on how to run his business. In a bid to protect their investments, foreign-owned companies bring in expatriate(s) that will deliver on the job they are doing in the country. Sometimes, we claim we have professionals but some are not as good as to those being brought in especially in the construction areas.
“We have such clear difference with our road construction, it does not mean we don’t have Nigerians who are good as well but greater proportion do not measure up to the foreign standard. Julius Berger Plc, for instance, and indigenous firms given the same construction jobs show a great disparity. There could be some determining factor responsible but another practice with Nigerian firms is that they employ expatriates for certain positions for the quality of what they can handle. If we consider welding, there are aspect of the welding like submarine that is underground sea welding which, we do not see the technical training or responsibility in Nigeria, yet we have welders.”
Olumba added: “The employment of expatriates by Nigerian firm was because they believe in the quality of service and its output rather than our local or indigenous contractors claim to know in so many instances. Some firms in the oil service sector engage under water welders, which is not common in our society here. There are many things that are highly technical about the job. Also, we cannot dictate to someone who is bringing his funds because he needs his investment to be protected. People perceive wrongly that we have expatriate all over the place even in common fields without knowing some aspects of welding that require high level of skilled, which we don’t have in Nigeria. They are not only welders but also divers. The total figure of expatriates in Nigeria is not up to 400,000.”
On the issue of technology transfer and training of Nigerians to take over from expatriates, he said: “The case of understudy, we should realize that technology is never transferred because someone who is investing $100 million will not just give away the technicality aspect of the job he has brought into the country though we expect such person to transfer technology within three years. They will not because technology is either stolen or created. They developed their own technology. We also have to develop our own technology. For instance during the civil war, the Biafrans were able to refine crude oil without any external input and developed their own weapons. If we wait for someone to come and develop our technology, it will not work because you don’t expose the secret behind your success.
“We cannot say that the laws are ineffective. The spirit of those laws are right but when we go beyond the surface it is difficult to enforce them, we can’t praticalise them. What should be done is for us to develop our technology or steal as done by other countries.
“We have wealthy Nigerians who invest their money abroad which, if they invest right here and bring expatriates, that will be easier for us to dictate to on technology knowledge transfer to. It is difficult or almost impossible to enforce the understudy aspect of the regulations.”
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DMO: Nigeria owes $40.032b
By Victor Oluwasegun and Dele Anofi, Abuja
Abraham Nwankwo
Nigeria’s current total debt portfolio (both external and domestic debt), including Federal and State Governments, was $40.032 billion or N6.189 trillion as at September 30, 2011.
The Federal Government owes $3.316 billion (or 58.87 per cent) out the $5.633 billion total external debt s portfolio, while various states in the Federation owe $2.317 billion (or 41.13 per cent).
The remaining $34.399 is made up of domestic debts.
The Director General of Debt Management Office (DMO), Abraham Nwankwo made these revelations in an interactive session with the House Committee on Aid, Loans and Debt Management at the National Assembly yesterday.
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21 October 2011 Last updated at 07:04 ET
EU launches drug firms collusion investigation
The EU has launched a crackdown on collusion
Continue reading the main story Related StoriesNew drugs boost Novartis profits
The European Commission has launched an investigation into whether Swiss drugs firm Novartis and its US rival Johnson & Johnson colluded to keep a generic painkiller out of the Dutch market.
It is investigating whether the companies' actions are "hindering the entry onto the market of generic versions of Fentanyl".
The drug is used as a painkiller for chronic pain.
Novartis confirmed the investigation, but refused to comment further.
Generic drugs are far cheaper without compromising on effectiveness.
"I regard this sector as a priority in terms of enforcement of competition rules given its importance for consumers and for governments' finances," said Joaquin Almunia, EU Competition Commissioner.
"Pharmaceutical companies are already rewarded for their innovation efforts by the patents they are granted.
"Paying a competitor to stay out of the market is a restriction of competition that the commission will not tolerate," he said.
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Addax Petroleum hits new discovery in Nigeria
Published Jan 29, 2009
Addax Petroleum Corporation reports a significant onshore oil discovery from the Njaba 2 well (formally Okaka) currently drilling in the eastern part of the OML124 license area in Nigeria. Addax Petroleum has a 100 per cent working interest under a Production Sharing Contract covering the OML124 license area, whereby the Nigeria National Petroleum Corporation is the concessionaire. Addax Petroleum currently produces approximately six thousand barrels per day from the Ossu and Izombe fields in OML124, which is located within the stable and peaceful Imo State.
Jean Claude Gandur, President and Chief Executive Officer of Addax Petroleum said: “I am extremely proud to report an excellent start to 2009 with this successful exploration result in Nigeria as it is a leading discovery that has the potential to be one of our largest fields in Nigeria. The Njaba discovery is the first exploration well to be drilled in OML124 since the mid-80’s and these results will increase the production potential of the license area considerably, as well as significantly upgrade the remaining undrilled prospects. This onshore discovery is a further example of Addax Petroleum’s commitment to development in Nigeria. In addition, this recent success represents yet another highlight for our highly prolific Nigerian operations as it will strengthen our record of growth in Nigeria and it underpins our robust and consistent operational performance.”
The Njaba discovery was consistent with pre-drill estimates having encountered four oil bearing reservoirs totaling 289 feet of gross oil column, including the two main individual gross columns of 149 feet and 115 feet of between 20° and 28°API at depths from 990 to 1,050 metres. Production from the Njaba discovery can be readily tied in as the Corporation has existing production facilities and infrastructure in the OML124 license area. Addax Petroleum continues to drill into secondary, lower sections relative to the newly discovered oil bearing intervals and plans to carry out a test of the main reservoirs. The Corporation also plans to drill an additional appraisal well down-dip of the discovery which may further enhance the recoverable reserves from Njaba.
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Govt, Addax Petroleum Partner on LPG Plant
Tuesday, July 08, 2008 - From Amby Uneze in Owerri
Chairman, Senate Committee on Gas, Senator Osita Izunaso, has said that arrangement has been concluded between the Imo State Government and Addax Petroleum Company to site a Liquefied Petroleum Gas (LPG) plant in Izombe, as a way of attracting investment and employment to the people of the area.
Izunazo, who said he was able to attract such investment to the area based on his commitment to his Orlu zone, also assured that the current Gas Master pipeline pass through Egbema, Ohaji and Oguta areas of the state.
The lawmaker, who was rendering account of his stewardship of one year in office as a senator representing Imo West (Orlu Zone) at the National Assembly at the Orlu Local Government council Hall, said as the first South-east senator since 1999 to head an oil related committee in the Senate, he would work to ensure that the state and his zone were not left behind in the scheme of development.
In the same vein, he stated that as a way of ensuring that Orlu zone received a fair share of all available amenities and opportunities, he had endeavoured to partner with some prominent sons and daughters of the area occupying positions of authorities so as to ensure that the zone was carried along in all federal institutions as a way of bringing in amenities to the area.Enumerating some of the things he had done while in the senate in the past one year, Izunaso had sponsored and co-sponsored some bills and motions that border on improving the lives of his people; such bills include the Liquefied Petroleum Gas Council of Nigeria which according to him is presently scheduled for first reading; and the stoppage of Gas flaring in Nigeria.
Others are bills for additional River Basin Development Authority in the South-east; motion on the resolution of the Niger Delta Crises aimed at funding a lasting solution to the youth restiveness in the region; pursued the release of Chief Ralph Uwazuruike, leader of MASSOB and other; motion on the establishment of trust fund for public office holders; and motion on the collapse of the transport sector in the face of monumental waste of public funds.
Izunaso, who is also representing the State in the Constitutional Review Committee, expressed desire to pursue the creation of the proposed Njaba State from the present Imo and Anambra States, as such an additional state for the South-East would create more opportunities for the people of the geo-political zone.
The highlight of the ceremony was the presentation of a lecture titled "Micro-Finance: Its Advantages to the Rural Populace" by the Deputy Governor of Central Bank of Nigeria (CBN), Mr. Ernest Ebi as well as the cutting of the anniversary cake.
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Cross River’s palm oil refinery to employ 7,000 workers?
TUESDAY, 25 OCTOBER 2011 00:00 EDITOR BUSINESS SERVICES - BUSINESS NEWS
CROSS River State Governor, Liyel Imoke, has announced
plans by his administration to establish a palm oil refinery that will employ some 7,000 workers.
He made the announcement at the weekend in Calabar, while featuring in a radio programme tagged “Two Hours with the Governor” produced by Cross River Broadcasting Corporation (CRBC).
Imoke said a foreign investor had indicated interest to set up the processing plant that would refine palm oil into vegetable oil and other edibles. He said the establishment of the refinery was in line with the commitment of his administration to to ensure food security in the state.
He said the plant would occupy 50 hectares. The governor explained: “I saw the company in Singapore that will come and put this refinery in place.
“In one location alone, the company employed 16,000 people, meaning that if it is here in the state, it will engage as many as 7,000 Cross Riverians, thereby reducing drastically our unemployment rate.
“The state is blessed with agricultural produce, all we need to do at this point in time is to ensure that they are converted into industrial purposes rather than just leaving them for household and immediate use; we need to think of tomorrow.’’
The governor also announced that he had laid the foundation stone of Portside Industrial Park at Esuk Utang in Calabar, where industrial activities were currently taking place.
He lauded the commitment of the private sector in complementing the industrial efforts of the government, adding that partnership with the private sector would ginger confidence in the system.
Imoke said the private sector had already invested N800 million in the portside project at a period when the government had yet to invest in it.
He solicited the cooperation of the people of the state in regulating the activities of tank farm operators at the state industrial areas, adding that orderliness must be introduced to the system to promote investment.
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Why there is dearth of oil palm industry in Nigeria, by minister
MONDAY, 24 OCTOBER 2011 00:00 FROM JOKE AKANMU, ABUJA BUSINESS SERVICES - BUSINESS NEWS
LACK of improved oil palm seedlings, inadequate fertiliser and low adherence to field maintenance practices have been attributed as some of the factors bedeviling the oil palm industry by the minister of Agriculture and Rural Development, Dr. Akinwumi Adesina.
The Minister, who regretted a period whereby oil palm being an economic crop dominated Nigeria’s economy, stated that in the early 60’s, Nigeria was the world’s largest producer and exporter of palm produce, recording highest average production share of 39 per cent between 1961 to 1965, which later fell to 11 per cent between 1980 to 1987 and presently dropping to seven per cent.
He was however optimistic that in the next four years, Nigeria would not only be self sufficient in vegetable oil production, but would also be a net exporter of the produce.
The Minister stated this at the inauguration and the first meeting of the forum of Stakeholders on Oil Palm Transformation Value Chain, convened to design and present a feasible and sustainable model for the oil palm industry.
He disclosed that Nigeria spend $500 million yearly to import 300 tonnes of palm oil, a situation he described as ‘unacceptable’.
For better enhancement, Adesina stressed the need to deepen organised plantings by small holders and estates, which presently is only 360,000 hectares or less than 15 per cent of total area under oil palm, so as to improve the yields which are respectively on the average of six metric per hectare by small holders and 10 metric per hectare.
Speaking through a director in the office of the permanent Secretary, Mr. John Oseni, he said farmers and other stakeholders must make use of available technologies including the value chain approach to transform the industry, adding that the unproductive palms must be replaced with improved high yielding varieties in order to address low production of the crop.
He stressed the importance of Research Institutes in producing improved and quality planting materials or seedlings, calling on Nigeria Institutes for Oil Plantation and Research (NIFOR) to collaborate with reputable Institutes in Malaysia and Indonesia to develop higher yielding varieties.
The minister tasked 24 oil palm producing States to assist in creating access to land for expansion and provide other infrastructure for the attainment of gainful employment, wealth and food security.
He added that the Federal Government intended to drive the oil palm value chain agenda along with State governments to ensure resounding success.
He explained that an oil palm marketing corporation would be established in partnership with the Abuja Enterprise Agency (AEA) to drive the value chain. He pointed that the organisation would be run by private initiatives.
“To enhance the marketing drive, the government will help in establishing the oil palm marketing corporation to be run by the private sector. We expect significant collaboration between Abuja Enterprise Agency (AEA) and this ministry in promoting oil palm marketing activities.” He added.
In an interview with newsmen, National President of Oil Palm Growers Association, Hillary Igwe, decried government’s insincere attitude in addressing plethora of problems bedeviling the oil palm sector.
Igwe observed with dismay the abandonment of oil palm production by the youth, calling on the government to provide credit facility and harvesters to the oil palm farmers to boost its production in the next four years.
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Vibrant private sector necessary for solid economy, says UN report
MONDAY, 24 OCTOBER 2011 00:00 EDITOR BUSINESS SERVICES - BUSINESS NEWS
A UNITED Nations (UN) report, launched in Addis Ababa on Wednesday, said vibrant private sector was necessary to building economic resources needed to address the Millenium Develoment Goals (MDGs).
The 148-page Information Economy Report 2011, published by the UN Conference on Trade and Development (UNCTAD), was jointly launched by Remi Lang of Economic Affairs Office, UNCTAD, and Director, Information Communication Technology (ICT), Science and Technology Division of the UN Economic Commission for Africa (UNECA), Ms Aida Opoku-Mensah.
It stated that quality infrastructure was an increasingly vital determinant of the overall investment climate of a country, and that, governments and development partners needed to ensure that the ICT infrastructure meets the needs of different kinds of enterprises like Small and Medium Enterprises, large and transnational corporations.
The report said leveraging the opportunities created by mobile telephony and its related services and applications were important for smaller enterprises in low-income countries.
“Mobile broadband will require more attention in the coming years as a new way for the private sector in developing countries to leverage the internet.
“To speed up the roll-out of mobile broadband, governments need to allocate spectrum, and license operations to provide the service.”
The report noted that at the end of 2010, some 50 developing and transition economies in the world were yet to launch mobile broadband services.
It also explained that enterprises must be able to make best use of ICTs, as they positively affect productivity in both large and small enterprises.
“Different kinds of ICTs help enterprises to manage their resources more efficiently, access the information needed for better business decision-making, reduce transaction costs, and enhance their ability to bring products and services to customers,” the News Agency of Nigeria correspondent in Addis Ababa, quoted the report as saying.
It also said governments should play a key role in enhancing business use of ICT in private sector development, by ensuring that relevant ICT tools and services were available and affordable, and provide a legal and regulatory framework that supports the uptake and productive use of ICT.
The report said supporting the production of ICT goods and services would provide new opportunities for private firms to start up and grow, create jobs, and spur innovation, thereby contributing to overall economic growth.
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