Voyage Nouvelles

By Kingsley Jeremiah, Abuja and Waliat Musa, Lagos

. Long queues at stations as price soars above N1000/litre at black market . Operators lament lack of forex to run businesses, mismanagement of subsidy removal

The scarcity of Premium Motor Spirit (PMS), popular known as petrol, which again, resurfaced in some parts of the country, noticeably Abuja and Lagos, yesterday, may have further compounded the woes of Nigerians, who are currently battling lack of healthy diet due to rising inflation, forex challenges to do business, poor electricity supply amidst rising insecurity across Nigeria.

Indeed, yesterday in Abuja, Lagos, Benin, Osogbo, Ibadan and other cities, as monitored by The Guardian, the situation is fast becoming worse amidst the current administration’s poorly planned subsidy removal as most fuel stations were shut.

Fuel stations that managed to open were greeted with long queues in some of the cities. Black marketers dispensed fuel for as much as N1000 per litre, largely in the Federal Capital Territory.

This current scarcity is coming after a series of outcry by fuel marketers, who had insisted that fuel subsidy had returned on PMS as the government uses the NNPCL to manage and monopolise the market.

At the headquarters of NNPC in the Central Area of Abuja, black marketers were dispensing at about N1000 per litre, while a few private outlets sold for N649 per litre. At that, it will take at least 30 minutes before patient motorists can access the pump.

The queues at NNPC Retail stations take about an hour as motorists jostled to buy the product at N614 per litre.

Petrol marketers had raised concerns about the downturn of deregulation of the downstream sector on the country’s oil and gas industry, insisting there is a need for the Federal Government to make foreign exchange available at a subsidised rate.

The marketers admitted that the current pump price of PMS does not reflect market realities, adding that the NNPCL maintained a dominant role due to lack of forex, which marketers are unable to access at the I & E window.

With the high price of diesel, the National Association of Road Transport Owners (NARTO) at a meeting, also demanded for an increase in freight as the haulage firms noted that the state of roads in the country has gone from bad to worse.

The marketers have also asked the government to end dollarisation of local activities, especially by the Nigerian Maritime Administration and Safety Agency (NIMASA) and the Nigerian Ports Authority (NPA).

In Lagos, most stations were shut, while motorists remained on queue for the major productive hours of their days even as fuel stations increased the pump price to N620 per litre.

NNPCL retail outlets at Falomo, Ikoyi and Ikeja in Lagos were shut while the one at Okota sold at N605. Jezco petrol station on Okota road sold for N615 while Majok fuel station dispensed at N618.

Some fuel stations in Osogbo, Osun State sold at the rate of N615, N620, while Bovas in Osogbo sold at the rate of N590.

The Guardian learnt that the situation was better in some parts of Oyo, Osun and in Ogun State as fuel stations sold at the rate of N585.

Speaking with The Guardian, a motorist, Azeez Akanni, decried how the scarcity has affected his business due to time wasting and loss of income.

“Passengers think we are being cruel, yesterday, where we normally charge N200 was N400 because of the time wasted at the fuel station and I had to buy black market which, was sold for N650 per litre.” he said

He charged the government to find a lasting solution to the crisis as he suggested the return of subsidy on PMS.

To a motorcycle rider, Aliyu Ahmed, who expressed anger and frustration, said he was yet to meet his income target as he wasted almost all day at the fuel station.

“I am tired, it’s as if I’m giving a free ride to people because it’s what they pay me to use in buying fuel. I bought N620 when I didn’t even have N1000 yet, ” he said.

A resident and business woman, Adeola Adeoye told The Guardian that the situation has left many Nigerians in great discomfort as they struggle to meet their daily needs.

She added that business has not been booming, with the hope that it won’t come to a halt, as she needs the fuel for her business being a frozen foods trader.

“Electricity is not reliable; the only thing that keeps my business moving is by fueling the generator to ice my goods but with the scarcity, I’m scared, the government should find a solution to it or return us back to the subsidy era, that time was convenient for us,” she said.

Emmanuel Chukwujekwu, a resident of Oke-Afa, Isolo, Lagos, told The Guardian that scarcity returned immediately as the dollar-to-naira climbed to N1100.

Chukwujekwu expressed his dissatisfaction over the scarcity, noting that the best solution is for Nigeria to have a working refinery.

He charged the government to ensure the refineries in the country are working to ease the burden and cushion the effect of FX rate on fuel on Nigerians.

By Iniabasi Umo

Ibom Air has started its regional flight with operations from Lagos, Nigeria to Accra in Ghana.

The Akwa Ibom State-owned airline said the first regional flight is in line with its vision “to be a world-class African regional airline” by offering passengers an industry-leading travel experience that encompasses schedule reliability, on-time departures, and excellent service.

The flight departed Murtala Mohammed International Airport, Lagos, Nigeria at 7. 45am on Tuesday.

General Manager, Marketing and Communication, Ibom Air, Mrs Aniekan Essienette, said the Managing Director, Ghana Airports Company Limited, Mrs. Pamela Djamson-Tettey, received the airline when it touched down in Accra.

Djamson-Tettey who was represented by Mr Kwame Baffour Awuah said the move is a demonstration of the confidence reposed in the Ghana aviation industry.

Executive Director and Chief Operating Officer of Ibom Air, Mr George Uriesi, said, “This is a significant step for Ibom Air as we expand our network out of Nigeria and into the African continent. With this new route, we aim to enhance connectivity between Nigeria and Ghana, fostering tourism, trade, and tighter economic and cultural ties.

“Ibom Air remains committed to delivering exceptional services to our passengers, and we invite travellers between Nigeria and Ghana to choose Ibom Air and experience the best of our service offering”.

Akwa Ibom State Commissioner for Culture and Tourism, Mr Charles Udoh said the inaugural flight marks a significant milestone in the history of Akwa Ibom, owners of the airline.

BY  Jamie Nimmo, Bloomberg News

A ULEZ sign at the emission zone boundary in Bexleyheath, London.  Photographer: Chris J. Ratcliffe/Bloomberg , Bloomberg

(Bloomberg) -- Diesel cars are being moved out of London and into the north of England and Scotland after a crackdown on emissions in the city.

Vertu Motors, one of the UK’s largest car dealers, is responding to London Mayor Sadiq Khan’s expansion of the ultra-low emission zone by shifting diesel vehicles to areas outside the UK capital, according to Chief Executive Officer Robert Forrester.

The expanded ULEZ is also hitting the value of diesel cars that just miss out on being exempt from charges, according to data from Auto Trader, a listing site for used vehicles. Under the new system, aimed at improving London’s air quality, motorists whose cars do not meet emissions standards, including most diesel automobiles registered before 2015, have to pay a daily charge of £12.50 ($15.18) just to leave their driveway.

Diesel cars remain popular elsewhere in the UK because they tend to be cheaper to run over longer distances and because there are no ULEZ-style restrictions, Forrester said.

“We are moving cars from the south to the north,” said the CEO of Vertu, whose brands include Bristol Street Motors. “Normally you make money going the other way because you can get more money for cars in the southeast of England than you can for cars in Scotland. So we tend to ship cars south if you want more money, but there definitely has to be a shift of cars from south to north now, because who the hell wants one in the south of England?”

ULEZ Expansion

Plans for ULEZ were first proposed by former Mayor Boris Johnson in 2015, but it was his successor Khan who introduced the initial restrictions in central London in April 2019. The zone was expanded in October 2021, but the latest extension, which took effect in August and covers the whole of Greater London, has proved the most controversial.

Critics have said it penalizes suburban residents who are more reliant on cars to get around because the public transport infrastructure is not as good as in central London. Khan has described ULEZ as the “best-ever two-for-one offer you will ever receive,” because he says it tackles both air pollution and climate change.

Second-hand diesel cars registered just before the 2015 cut-off to comply with London’s low-emissions regulations have lost more value than the average diesel car since Khan unveiled his expansion plans last November, data from Auto Trader shows.

The average price of the 10 most viewed models of diesel cars that narrowly miss the 2015 cut-off fell by 9.5% in the year to August. By comparison, the average price of a diesel car actually rose by 3.1% in that period.

The biggest drop was a 14.1% fall in the average price of a 2012 Audi A3 diesel model, which fell from £7,084 in August 2022 to £6,085 in August this year – a £999 decline. The average price of a 2014 Range Rover Sport diesel decreased by 13.8% to £24,973.

Market Distortions

The ULEZ expansion has caused “some distortions” in a generally buoyant secondhand car market, according to Ian Plummer, commercial director of Auto Trader.

“Since Sadiq Khan announced the extension at the end of November last year, some models have fallen by 10% or more – almost £3,000 in some cases,” he said.

The fall in the price of some cars is in stark contrast to the secondhand market during the pandemic, when prices soared as supply-chain issues caused a shortage of brand new cars.

Many people like to browse sites such as Auto Trader to search for their dream car without any intention of actually buying it, meaning the 10 most viewed models are not necessarily the ones most frequently bought.

by Adetola Bademosi

Amid the ongoing crisis regarding the availability of fuel across the country, the pump price of Premium Motor Spirit (PMS) now stands at approximately N625 to N630 per litre.

Oil marketers continue to voice concerns about the mass shutdown of filling stations and the inability to transport petroleum tankers due to the skyrocketing costs associated with importation, lifting, transportation, and distribution of petroleum products.

Due to a lack of foreign exchange, marketers are struggling to import petroleum products, compounded by their inability to access products from the Nigerian National Petroleum Company Limited (NNPCL), leading to the current scarcity.

TORONTO — A new study says the number of Canadians struggling with their monthly mortgage payment is on the rise, along with worries of potentially higher payments when it comes time to renew with their bank.

Data released Monday by the Angus Reid Institute shows 15 per cent of mortgage holders say they find the financial aspect of their mortgage "very difficult," up from eight per cent in March and 11 per cent in June.

The survey says that despite expectations the Bank of Canada will hold its key interest rate steady at five per cent when it announces its next decision Wednesday, the current level has 79 per cent of respondents worried or very worried they will face higher payments when it comes time to renew their mortgage.

Those with variable-rate mortgages were less likely than respondents on fixed-rate mortgages to find their monthly payments easy to handle at the moment, but those with variable-rate loans were also less likely to be "very worried" about what their next mortgage renewal might bring compared to those on fixed-rate mortgages.

Canada's central bank held its key interest rate steady last month but left the door open to more rate hikes, citing concerns about the persistence of underlying price pressures.

The September consumer price index report helped ease some concerns about the inflation rate, which fell back to 3.8 per cent.

This report by The Canadian Press was first published Oct. 23, 2023.

The Canadian Press

…Africa Energy Bank targets cross border infrastructure

By Obas Esiedesa

THE Federal Government Monday admitted that Nigeria was ill-prepared to take advantage of the significant increase in the demand for natural gas by European countries following the outbreak of the Russian-Ukrainian war last year.

Following the outbreak of the war and imposition of sanctions, Russia cut gas supply to European countries leading to a huge energy crisis and increased demand for alternative sources of gas.

With over 200trillion cubic feet of natural gas reserve and regarded as one of the leading gas resource countries in the world, Nigeria failed to reap from the huge rise in demand due to poor investments and lack of foresight.

Speaking at the 3rd Biennial International Conference on Hydrocarbon Science & Technology, ICHST 2003, organized by the Petroleum Training Institute, PTI, in Abuja, the Minister of State Petroleum Resources (Gas), Hon. Ekperikpe Ekpo observed that Nigeria’s vast natural gas reserves remain largely under tapped for export and domestic markets.

The conference has the theme: The future of the oil and gas industry: Opportunities, challenges and development.

Mr. Ekpo noted that the country needs to do more to improve investment that would lead to increased gas production that would guarantee sustainable energy supply to its people and generate revenues for the government.   

According to him, “Recent world events like the Russian-Ukraine conflict accentuated the fragile nature of the dynamics of energy demand. With a particular reference to gas, Nigeria was inadequately prepared and did not seize the opportunities created by the increase in the demand for gas supply to Europe and other parts of the world.

“On our home front, there is the need to boost the domestic market for gas. Nigeria is known to be a gas-rich country rather than oil with a proven reserve of over 200tcf of gas. Local issues include inadequate infrastructure, unfair regulatory environment for gas, sabotage of pipelines and the inability to optimize value from abundant gas reserves”, he added.

On his part, the Minister of State Petroleum Resources (Oil), Senator Heineken Lokpobiri tasked industry operators, experts and technologists to come up with solutions that would tackle challenges peculiar to the Nigerian environment including oil theft and pipeline vandalism.

In his keynote address, the Secretary General, Africa Petroleum Producers Organisation, APPO, Dr Farouq Ibrahim noted that given the huge energy shortfall in the continent, the planned Africa Energy Bank would focus mainly on providing finances for cross border energy infrastructures.

Dr. Ibrahim warned that it would be a huge mistake for African countries to abandon their hydrocarbon resources due to energy transition, adding that Africa must seek to make better use of its resources for economic development.

“While the world is committed to a speedy energy transition, Africa owes its people a duty to utilize its abundant oil and gas resources to provide them energy, which is the most potent catalyst for socio-economic development. In other words Africa must create a future for the oil and gas industry”.

He observed that “We have been made to believe that we are too poor to buy energy. So over 70 percent of the oil we produce daily is exported to those who are rich to buy it. Over 40 percent of the gas we produce is also exported outside Africa. Yet, our continent has the largest proportion of its people living in energy poverty, with over 600 million of its population living without access to electricity and 0ver 900 million without access to any form of modern energy for cooking or other domestic use.

“What we have failed to realize is that until we are able to energize the hundreds of millions living without energy, our quest for poverty alleviation shall remain a mirage. Energy is the biggest catalyst for economic transformation. Empower the people to access energy, not just to light their homes but also to create cottage industries and you will be shocked at the multiplier effect.

“Towards this end, Africa Energy Bank, shall aim to support the development of energy infrastructure, particularly the development of cross border energy infrastructure”.

Earlier, the Principal/CEO, PTI, Dr Henry Adimula explained that energy democratization “stands as a paramount concept. It entails the democratization of energy resources and technology, ensuring that clean and sustainable energy sources are accessible to all, regardless of their location or economic status”.

…Africa Energy Bank targets cross border infrastructure

By Obas Esiedesa

THE Federal Government Monday admitted that Nigeria was ill-prepared to take advantage of the significant increase in the demand for natural gas by European countries following the outbreak of the Russian-Ukrainian war last year.

Following the outbreak of the war and imposition of sanctions, Russia cut gas supply to European countries leading to a huge energy crisis and increased demand for alternative sources of gas.

With over 200trillion cubic feet of natural gas reserve and regarded as one of the leading gas resource countries in the world, Nigeria failed to reap from the huge rise in demand due to poor investments and lack of foresight.

Speaking at the 3rd Biennial International Conference on Hydrocarbon Science & Technology, ICHST 2003, organized by the Petroleum Training Institute, PTI, in Abuja, the Minister of State Petroleum Resources (Gas), Hon. Ekperikpe Ekpo observed that Nigeria’s vast natural gas reserves remain largely under tapped for export and domestic markets.

The conference has the theme: The future of the oil and gas industry: Opportunities, challenges and development.

Mr. Ekpo noted that the country needs to do more to improve investment that would lead to increased gas production that would guarantee sustainable energy supply to its people and generate revenues for the government.   

According to him, “Recent world events like the Russian-Ukraine conflict accentuated the fragile nature of the dynamics of energy demand. With a particular reference to gas, Nigeria was inadequately prepared and did not seize the opportunities created by the increase in the demand for gas supply to Europe and other parts of the world.

“On our home front, there is the need to boost the domestic market for gas. Nigeria is known to be a gas-rich country rather than oil with a proven reserve of over 200tcf of gas. Local issues include inadequate infrastructure, unfair regulatory environment for gas, sabotage of pipelines and the inability to optimize value from abundant gas reserves”, he added.

On his part, the Minister of State Petroleum Resources (Oil), Senator Heineken Lokpobiri tasked industry operators, experts and technologists to come up with solutions that would tackle challenges peculiar to the Nigerian environment including oil theft and pipeline vandalism.

In his keynote address, the Secretary General, Africa Petroleum Producers Organisation, APPO, Dr Farouq Ibrahim noted that given the huge energy shortfall in the continent, the planned Africa Energy Bank would focus mainly on providing finances for cross border energy infrastructures.

Dr. Ibrahim warned that it would be a huge mistake for African countries to abandon their hydrocarbon resources due to energy transition, adding that Africa must seek to make better use of its resources for economic development.

“While the world is committed to a speedy energy transition, Africa owes its people a duty to utilize its abundant oil and gas resources to provide them energy, which is the most potent catalyst for socio-economic development. In other words Africa must create a future for the oil and gas industry”.

He observed that “We have been made to believe that we are too poor to buy energy. So over 70 percent of the oil we produce daily is exported to those who are rich to buy it. Over 40 percent of the gas we produce is also exported outside Africa. Yet, our continent has the largest proportion of its people living in energy poverty, with over 600 million of its population living without access to electricity and 0ver 900 million without access to any form of modern energy for cooking or other domestic use.

“What we have failed to realize is that until we are able to energize the hundreds of millions living without energy, our quest for poverty alleviation shall remain a mirage. Energy is the biggest catalyst for economic transformation. Empower the people to access energy, not just to light their homes but also to create cottage industries and you will be shocked at the multiplier effect.

“Towards this end, Africa Energy Bank, shall aim to support the development of energy infrastructure, particularly the development of cross border energy infrastructure”.

Earlier, the Principal/CEO, PTI, Dr Henry Adimula explained that energy democratization “stands as a paramount concept. It entails the democratization of energy resources and technology, ensuring that clean and sustainable energy sources are accessible to all, regardless of their location or economic status”.

Bunmi Bailey 

Sweden is introducing a new model to reduce the work permit application process time for highly-skilled workers from outside the European Union including Nigeria.

Once the new model is implemented, a complete application for a work permit for highly qualified workers will receive a decision within 30 days, according to a statement by the Swedish Migration Agency.

“Helping these employers to make a complete application will reduce the processing time. It will be easier for the employer to contact us and get support in the process”, Mikael Ribbenvik, director general of the agency said.

He said under the new model, work permit cases will be divided into four different categories, based on occupation and industry.

“The new model means a greater focus on the employer’s ability to bring highly qualified workers to Sweden. New international recruitment units will exclusively handle and provide service to the employers who recruit this group,” he added.

According to analysts at KMPG Sweden, the new model which may be introduced at the end of the year, aims to bring flexibility and efficiency to businesses in planning to meet their labour needs.

“When implemented, the old certification scheme was only intended for about 20 big companies that had a recurring need to employ large numbers of individuals outside of the EU,” they said.

“Today there are, according to the migration agency, far too many companies (640 mentioned during the press conference) that have been included in the certification process, and the authority has been unable to meet the target processing times of 10/20 days for the past 18 months,” they added.

KMPG said the extensive processing times have resulted in loss of talent and skills for companies in Sweden.

“The certification scheme has lost its original purpose and will now be replaced with a new system, based on four categories.”

By Mohammed I. Yaba

After a nine-month suspension due to security concerns related to banditry, flights have resumed at the Hassan Usman Katsina International Airport, Kaduna, Kaduna State.

The return of Air Peace’ flight ERJ-145 which touched down at the airport at 5:10pm on Monday signified the reinstatement of flight services on the route.

Recall that the airport’s vicinity experienced a bandits’ attack in March, 2022, resulting in a temporary disruption of flight operations at the airport. While Azman Air did resume operations at a point, it also ceased operations approximately five months ago.

This compelled passengers, especially those travelling on the Lagos-Kaduna route, to either land in Kano or Abuja and then proceed to Kaduna by road.

THE International Air Transport Association  (IATA) Area Manager, West and Central Africa, Dr Samson Fatokun, has described the dollar currency as the language of global aviation, stressing that a situation where the carriers find it extremely difficult to access the dollar for their operations puts enormous constraints on their existence.

This came just as he said the foreign airlines’  trapped funds in Nigeria had issues of legacy debts before President Bola Tinubu’s  administration came into power, while the over $700 million trapped funds had risen.

Describing the I &E window that IATA and airlines have been directed to access as ill-liquid because the banks cannot get money from the window, the IATA representative used the opportunity to call for urgent assistance for the country’s aviation, in order to make it stay afloat and be profitable.

The aviation industry in Nigeria, according to him, needs help from the government by making available foreign exchange, which he described as very acute presently.

According to him, the entire sector is suffering due to the lack of access to forex, which he said is not only peculiar to foreign carriers but also domestic airlines.

While appealing to the Federal Government to come to the rescue of the foreign carriers by ensuring their trapped funds were paid, the IATA representative declared:

“Even though they are flying in this market; almost 90 percent of their revenue is in local currency and they have to attend to their costs which 90 percent are dominated in dollars. How do you want them to maintain their aircraft without having access to foreign exchange? The dollar is the currency of civil aviation. You cannot change it. That is how it runs globally.

“How do we sell this? Even if you have to solve the backlog, what is the plan forward so that we don’t come back to this again in the near future? There must be a way or strategy. How do we help this industry? The aviation industry in Nigeria needs help and the Nigerian government needs to provide that help.”

“You don’t buy aircraft in Naira, you don’t maintain aircraft in Naira, you don’t train your crew or do a simulation in Naira. It is not possible. The currency of the industry is the dollar and our government needs to understand that.”

He said if the government really wants to support the sector, there must be in place a clear line of foreign exchange supply, saying; “You cannot have an industry supporting the whole economy that is a catalyst or the blood-nerve of the industry that makes it to exist is being denied.

“This industry runs on foreign exchange. The Nigerian government needs to support the aviation industry. We know that it is not the only sector of the economy that is suffering but the impact here is more acute than some other sectors and that is why we have been appealing to the Nigerian government to really look into this in addition to other issues.