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NNPC Ltd: An All-round Asset to Nigeria

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By Olufemi Soneye

In its editorial of 2nd August, 2024, the BusinessDay newspaper, characteristically, launched another scurrilous and baseless attack on the Nigerian National Petroleum Company Limited (NNPC Ltd).

In the editorial entitled: “NNPCL: Liability or Asset to Nigerians?”, the newspaper set out to paint the picture of NNPC Ltd that is a liability to Nigeria instead of an asset that it should be.

It chronicled a litany of issues which in its estimation have made the company to lose its place as an asset to the nation. As to be expected, all the issues it raised were either outright lies or unfair misrepresentation of facts. Let’s take a look at them one by one.

According to the newspaper, NNPC Ltd.’s status as an asset is undercut by the opacity of its operations and corruption.

The truth, however, is that this is a regurgitation of age-long allegations that have since been overtaken by the emergence of Mr. Mele Kyari as the Group Chief Executive Officer of the company and the transition of the old NNPC as a corporation into a limited liability company under the Petroleum Industry Act.

One of the key thrusts of the Kyari-led management since 2019 has been its focus on transparency and accountability. This was what gave rise to the Transparency, Accountability and Performance Excellence (TAPE) management philosophy under which the company’s audited financial statements began to be published annually since 2019.

In fact, the same BusinessDay newspaper that is so bent on hanging the tag of opacity on the company actually honoured Kyari with its “Energy Executive of the Year” award in 2021 for turning the fortunes of the company around and entrenching the culture of transparency in the company. But out of sheer mischief, the newspaper has forgotten so soon and chosen to borrow some ignoble tricks from Josef Goebbel’s playbook, that of repeating the lies of opacity and corruption against the NNPC Ltd frequently with the hope of sustaining the propaganda just so well the public would believe the lies to be the truth.

The next point made in the editorial is that of mismanagement of resources and inefficiency. In its bid to present a semblance of balance, the newspaper acknowledged the role of government interference in the company. A bulk of the legacy problems, such as the age-long lack of maintenance of the refineries, is traceable to government interference.

Any old refinery staff member of the NNPC Ltd will tell you that NNPC engineers used to carry out the turn-around maintenance of the refineries until past governments started dabbling in to influence contracts for their cronies.

However, with the PIA, all that is behind as the NNPC Ltd now operates as a limited liability company under the Company and Allied Matters Act (CAMA). As is presently constituted, the company is owned by the government through the Ministry of Finance Incorporated and the Ministry of Petroleum. But the PIA envisages that in no distant time, the company will be listed on the stock exchange with shares owned by Nigerians in their individual capacities. But prior to that time, the management of the company under Kyari has instituted a management system encapsulated in the Performance Excellence element of the TAPE philosophy.

Under this, the company has made great strides in moving from a position of loss in 2019 to consistent profitability. This is in spite of the fact that the company contends with monstrous odds in the form of crude oil theft and pipeline vandalism.

The fact is: companies like Saudi Aramco, with which the newspaper tried to benchmark the NNPC Ltd, do not contend with such odds that have very practical implications for crude oil production.

The newspaper is only being disingenuous in blaming the nation’s suboptimal crude oil production on inefficiency in the NNPC Ltd when it is common knowledge that the security challenges are not of the company’s making. But even at that, the NNPC Ltd has not fared badly in managing the bad situation to get the results that it has been posting in the past few years. The truth is that the current reality of the NNPC Ltd, in terms of management and performance, does not reflect the picture of mismanagement and inefficiency that the BusinessDay tried to paint in its editorial.

The question that arises from all this, which the BusinessDay must answer, is: do companies that have issues with mismanagement of resources and inefficiency make profits as the NNPC Ltd has consistently done in the past three years?

The other issue that has stymied the NNPC Ltd from being an asset to the nation, according to the BusinessDay, is its monopolistic control of the petroleum sector. Supporting its position, the newspapers states: “The corporation’s dominant position as the sole importer of petrol and the primary issuer of import licenses for diesel creates market distortions”.

This allegation, coming from a business newspaper like the BusinessDay, is very curious. For the newspaper to state that NNPC Ltd is the “primary issuer of import licenses for diesel” shows how little it knows about the oil and gas industry. It only means that the BusinessDay either does not know the difference between an industry regulator and an operator or it just wants to take its mischief to a ridiculous level, hoping that the public would swallow its lies hook, line, and sinker.

For the avoidance of doubt, NNPC Ltd does not issue import licenses for diesel or any petroleum product for that matter. This is because, NNPC Ltd, as provided in Section 64 of the PIA, is an operator just like any other company that operates in the oil and gas sector, and not a regulator. The PIA makes provision for the establishment of two regulatory agencies in the sector.

They are the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).

The newspaper actually acknowledged these two regulatory agencies in the editorial. But how it came by the idea that the NNPC Ltd issues import licenses to marketers, a clear regulatory function, is really difficult to understand. This, however, goes to show that the newspaper and its editors know very little about the subject matter of their editorial.

On the allegation that NNPC Ltd runs a monopoly in the importation of petrol, here are the facts that the BusinessDay failed to acknowledge in its editorial.

When the downstream sector was deregulated on 29th May, 2023, with President Bola Ahmed Tinubu’s declaration that fuel subsidy was gone, every petroleum marketer was automatically empowered to import the product and sell at whatever price(s) they chose.

NNPC Ltd only stepped in to close the gap as a supplier of last resort, a role assigned to it by the framers of the PIA to guarantee energy security for the nation. NNPC Ltd did not muscle any marketer out of petrol importation to become a monopoly. Besides, it does not look like the company is making any profit from being the sole importer of petrol which is usually the major objective of monopolists.

In fact, by playing this role of sole importer of petrol at this time when others are not able to import the product, NNPC Ltd has proved to be a huge asset to the nation- much more of an asset than the BusinessDay would want Nigerians and the world to believe!

Soneye, is the Chief Corporate Communications Officer, NNPC Ltd.

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Opinion

The Log in Your Eye, by Hassan Gimba

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The Log in Your Eye, by Hassan Gimba

There is a phrase that has gained widespread currency across the world: “Physician, heal thyself.”

Not many know it is a biblical proverb and a direct quote from Jesus (AS). He said, “You will surely say to me this proverb, ‘Physician, heal yourself’: do here in your country what we have heard was done in Capernaum.”

This phrase is similar to another quote from Jesus in Matthew 7:3-5: “Why do you see the speck in your neighbour’s eye, but do not notice the log in your own eye? Or how can you say to your neighbour, ‘Let me take the speck out of your eye,’ while the log is in your own eye? You hypocrite, first take the log out of your own eye, and then you will see clearly to take the speck out of your neighbour’s eye.”

Unfortunately, instead of adhering to these timeless exhortations by Jesus (AS), those who are supposedly his acclaimed adherents feel they are too important to heed such urgings and the laws of their lands because they are The Chosen, God’s Favourites!

They consider themselves “different”—people with specially created souls—while viewing the rest of us as “goyim”; people without souls, fabricated to serve them. While they make the law and its custodians bow and tremble before them, we are held spellbound in front of those custodians who trade justice to the powerful and the highest bidder while trampling over us, hewers of wood and drawers of water, the wretched of the earth.

This is why some individuals, who can at best be described as “accidental” leaders, forget that they are where they are courtesy of God, who grants such positions to whom He wishes—not because they are any better than the next person.

With their heads in the clouds, their brains supplanted with those of donkeys, and therefore insensate to citizens’ sufferings, some of these leaders keep braying their right to ride roughshod over the laws but cry foul when they find themselves on the receiving end.

About two weeks ago, I had cause to call out a governor – who, but for Atiku Abubakar, would have been defeated by a political Amazonian – for accusing some people in the ruling All Peoples Congress (APC) of “bastardising” democracy. In contrast, he is shamelessly in cahoots with those blinded by the love of filthy lucre and inordinate ambition to destroy the party that made them what they are.

As if that drama was not enough, the minister of the Federal Capital Territory (FCT) last week regaled us with tales that the Rivers State Governor Siminalayi Fubara was not obeying court orders and, therefore, peace would continue to elude the state.

He declared: “I was a governor; I have always obeyed the rule of law. You heard the governor say that our state is turning into a state of anarchy where people do not obey the rule of law.

“You must obey the judgement of the court. You must not take the law into your hands. The moment you don’t obey court judgement, you are inviting anarchy; you are inviting violence,” Wike said on national television. But has Wike always obeyed the lawful orders of the court—especially in a country where living above the law is the true mark of a big man?

For the record, Wike was one of the best governors at obeying court orders in the breach, and now, as minister, he is behaving true to type.

In 2018, Governor Wike disobeyed the court’s judgement to pay teachers their salaries immediately. In February 2016, he stopped the salaries of almost 300 primary and secondary school teachers working in the demonstration schools of Rivers State University of Science and Technology, Ignatius Ajuru University of Education, and Ken Saro-Wiwa Polytechnic, leading to litigation and protests.

The National Industrial Court of Nigeria, on June 26, 2018, granted the reliefs sought by the teachers, holding that the teachers’ employment was valid. It ruled that the stoppage of the payment of their salaries by the state government was unlawful and awarded the cost of ₦2 million to the claimants, to be paid within 30 days.

The government of Wike appealed the industrial court judgement at the Court of Appeal, which struck it out in October 2020. One year later (making it five years), the Rivers State government had not obeyed the court judgement.

Or is it about choosing which court to obey? In August 2016, Justice Okon Abang of the Federal High Court, Abuja Division, issued an interlocutory order postponing the People’s Democratic Party’s (PDP’s) convention until September 7. However, Wike did not like it and obtained another judgment from a Port Harcourt High Court, allowing the convention to proceed.

In May 2024, a claimant in an Abuja High Court case asked that the minister of the Federal Capital Territory, Nyesom Wike, and the director of the Federal Capital Development Authority, Mukhtar Galadima, be imprisoned for disobeying court orders.

Still, in another legal notice, the defendants were put on alert that they must provide reasons why an order of attachment should not be issued for “an order for committal to prison of the 3rd and 4th defendants/contemnors, represented by Nyesom Wike and Mukhtar Galadima, for having disobeyed the order of this court made on the 18th day of October 2023 enjoining and restraining them from tampering with the rest of this matter pending the hearing and determination of the motion on notice.”

The matter was an offshoot of demolition activities in Abuja.

Yet, in October 2023, despite a court ruling, Wike ordered the demolition of a multi-billion-naira property next to Gbajabiamila’s residence. The property, owned by Shrodder Nigeria Limited, is located in the Cadastral Zone of Maitama District.

Just a month later, the National Industrial Court in Abuja began contempt proceedings against Minister Wike and others over the alleged disregard of a series of court orders. The court had affirmed Faruk Abubakar as managing director and chief executive officer of Abuja Markets Management Limited (AMML), while the minister refused to accept him.

In Form 48 marked NICN/ABJ/62/2023 and filed on November 3, entitled: “Notice of Consequences of Disobedience to Order of Court,” the application read: “Take notice that unless you (the defendants) obey the orders and directions contained in the judgement of a court on July 20 and the order of this Honourable Court made on July 26, you will be guilty of contempt of court and will be liable to be committed to prison.”

To be continued.

Hassan Gimba, anipr, is the publisher and editor-in-chief of Neptune Prime.

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Opinion

The Arbiter: Re-readers’ comments (1)

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From time to time, we try to give way to our readers to make their voices heard through their input. Well, it has been quite a while since we did that. We will start serialising such inputs.

Nigeria and Presidential Democracy: Any Better Alternative?

I enjoyed reading this. I wish it didn’t end. Sannu da kokari, Sir. I hope and pray that everyone who reads this, including our lawmakers and other segments that make up the government, brood over this.

We are a people whose identity is being lost every day, while the new one we have borrowed is yet to be understood not to imagine working for us. As a result, as you rightly pointed out, we are neither here nor there. Sad.

Much as I believe in a united Nigeria, I fear aligning with others who see the marriage between the Northern and Southern parts of this country as one of inconvenience. Marriage, like any other relationship, works out well only where the parties involved sincerely understand, accommodate, honour and respect one another, and agree not to undermine the other. This is not the case with us.

I fear adding that, except for the Southwest, other regions have continued to be further divided by varying interests, most of which are ethnic and religious in nature. We must find a way out, and that way out should preferably be homegrown. More ink to your golden pen, sir.

Yahaya Abdulrahman

Wow! My brother Dr. Gimba, sir, we appreciate you very much for the superb and quality journalism. You are making impacts continuously. Thank you for your everlasting support for the citizens and for advocating for a great Nigeria.
Dr Umar Baba Blisco

Very interesting and well-written. We’re following with keen interest. More ink to your pen, sir.

Yusuf Lawan

Not simple research, wonderful and so interesting.

Keen Fahad

May Allah bless you with all the happiness this world has to offer. Keep tears away from your eyes and grant you the highest level of Jannatul Firdaus.

Highly educative piece. It means Nigeria has experimented with many forms of democracy in different fashions, including the “hybrid regime”. Perhaps trying the Switzerland type of direct democracy where citizens are at the pinnacle of power could offer the best of options for Nigeria. Alternatively, a system that could accommodate our peculiarities should be developed, not necessarily copying from the Western world that has no consideration for diversities. Just my opinion, sir. Allah ya kara maka basira.

Abubakar Habib Ndagi

This is deep, sir. All the questions you raised and probably more need to be answered. On my part, I believe that continuing this way will only aggravate our problems. So, we have to look deeply inward. While awaiting the continuation of this rich piece, and soonest, I pray Allah continues to bless your pen, so it continues to pen down informative, educative and problem-solving articles such as the one I just read.

Yahaya Abdulrahman

Your doggedness on contemporary issues in our land is unmatched. The articles are current no matter the duration. Bless you, Editor!

Raymond Gukas

Scamming NGOs and the need for government intervention
Good observation about this NGO, but corruption in this country will not allow us to checkmate them properly. I pray the two NGOs you mentioned will be honest and brave to stand their ground in checking their activities properly and, secondly; I believe if Nigeria as a whole can address this corruption, all other things will fall in shape.
Sqd Ldr (retd) Hajara Kolo

Good evening, Mr. Gimba. I just read your article posted above. It is brutally honest. Thank you. However I will advise a different approach considering that the government is also given to bad behaviour. Donors should give conditions that grants should be distributed to sub-grantees using the same currency in which they receive the grant so that they don’t underpay the beneficiaries.
However, I salute your courage.
Mr Ajibola

Elite Brigandage and Tinubu’s Class Suicide
This is an interesting submission on the state of the nation. The issues discussed therein are the true situation of things in our dear country and if not for writers like (Dr.) Gimba, one hardly hears a discussion on vital aspects of our societal lives like these, especially those that require reflection and pondering. Time will tell if President Bola Tinubu will differ from his predecessors if the trial of some notable Nigerians is political or otherwise. May Allah reward you for the enlightenment. Thank you, sir.
Yusuf Nasidi

El-Rufai and the trek to posterity
This is a beautiful piece, worthy of a cable view. God bless you, sir, for this.
Begun Onibiyo

Honestly, El-Rufai is harvesting what he sowed, because of ego, he condemned the northern elders, and killed innocent Shiite members on several occasions, all in an attempt to twist Tinubu, after clinching power, thank God! Tinubu has taught him a lesson of betrayal and Gov Uba Sani, is doing the right thing by informing the masses of the state of the destroyed economy he inherited. You’ve said all in this commendable article, more grease to your elbow. Your assessment of El-Rufai and his son’s thoughts pointed out his true colour and the consequences of selfishness in choosing successors.
Malam Umar

One standard hospital per state
Very interesting. Sir, I don’t think our so-called leaders who are supposed to be addressed and called looters can do such in the country and the worst of it is the third ingredient (manpower) would not allow such investment to be for the public.
Bilyaminu Z Mamu

May Allah grant you complete healing, sir. I took my mum to Makkah Saudi German in December 2023. All you wrote about the hospital is exactly as it is. Just the way you are received alone will psychologically boost your healing mechanism and I feel they are affordable, too. We pray our government and wealthy Nigerians we have will invest in health care.

Hajiya Husseina Babaninna

This is a very common-sense suggestion that our leaders have ignored so far. Both Federal and state governments. I don’t know what they discuss at the Governors’ Forum meetings. Or at the Association of Local Government Chairmen’s meetings.
Ezekiel Oloriegbe

Yes, sir. We do. So unfortunate that the Governors have no time to care for the health of their citizens. They have nothing to lose. Their health issues have been taken care of. They can be taken to the best hospitals ANYWHERE IN THE WORLD. They always forget their relatives who are also ordinary citizens. So sad. The self-certainedness (I hope there is a word like this) of these so-called leaders.
Hajiya Rakiya Idi

Our Parlous Health System and the Yobe Example
Lagos is moving out of this rot gradually. Not there yet, but Lagos now attracts the best medical personnel and also enjoys good patronage because of world-class health facilities in areas of the state. Not cheap though!
Ade Adebola

It gladdens my heart to know that Yobe State has gone this far in terms of good healthcare delivery, especially at the Yobe State University Teaching Hospital. I pray this is sustained and expanded to other hospitals in the state. Governor Mai Mala Buni has indeed set the pace; other states have a less task in improving theirs as an example is already on the ground. Dr Hassan Gimba is an illustrious son of Yobe, who always derives pleasure from seeing the state moving forward. At every discussion one has with him, you will understand that he has the state at heart. This week’s column has further demonstrated that. In fairness to him, he is the only one I’ve read who cares to tell the world these facts about Yobe. May Allah continue to bless Yobe with people like you.
Yusuf Nasidi

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Opinion

The Global Patriot Newspapers’ Dialogue on the theme: “The Media of the Future: Bridging the Gap Between the West and People of African Descent” was held on Friday, September 20, 2024, as a side event of the Black Futures Summit convened on the sidelines of the United Nations Summit of the Future.

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AJAGBE ADEYEMI TESLIM

SPONSORED BY: H&H

The international meeting, attended by personalities from the media, government, civil society, and academia, emphasized the importance of media representation for people of African descent worldwide.

It also addressed the need for Africa and people of African descent generally to rebrand journalism for effective mass communication and to build influential international media platforms to close the wide gaps existing between the media of people of African descent and the media of the West. It focused on the future of people of African descent and the role of the media in shaping a new narrative about the potentials of African peoples worldwide. It emphasized the importance of people of African descent controlling their own stories, changing negative narratives about themselves, and having a clear vision for a better future.

The meeting criticized the tendency to repeat negative portrayals of people of African descent from Western media and called for media professionals to elevate their game to gain more respect and credibility. The speakers highlighted the issue of low trust in African media and the reliance on Western media sources by media platforms in the continent and elsewhere. The conversations ended with a call for African peoples to take control of their own destiny and to be proactive in shaping their future.

The panelists included Dr. Leo Stan Ekeh, chairman of Zinox Group; Simon Kolawole, Founder and Publisher of TheCable Newspaper; Yul Anderson, President of the African American Future Society (TAAFS), Laolu Akande, Editor-in-Chief of Empowered Newswire and host of ‘Inside Sources…’ on Channels TV; Nicky C. Spencer-Coker, Spokesperson for the Permanent Mission of Sierra Leone to the UN; Hon. Abike Dabiri-Erewa, Chair/CEO, Nigerians in Diaspora Commission (NiDCOM); Toyin Umesiri, CEO of Nazaru, LLC, USA; and Professor Akil Khalfani, Director of Africana Institute, Essex County College, Newark, New Jersey, USA.

The issues covered included:

1. Explore ways to develop and support African-owned media platforms

2. Focus on wealth creation and business education content for African and black audiences

3. Prioritize covering of African Continental Free Trade Agreement (AfCFTA) and its potential for wealth creation

4. Invest in capacity building of and education for African journalists,

5. Develop strategies for incorporating artificial intelligence in journalism

6. Create a collaborative network for sharing positive African stories

7. Reduce reliance on Western news agencies for African content

8. Promote Diaspora investment opportunities in African media

9. Focus on telling African success stories and highlighting positive developments

10. Develop African-centered critiques of global issues and events

11. Improve working conditions and timely payment for journalists in media owned by people of African descent

12. Create global pan-Africa media platforms

13. Increase coverage of African diaspora communities worldwide

14. Educate African media professionals on African history and cultural views

15. Continue the dialogue on changing media narratives of people of African descent to combat disinformation and promote positive stories.

In a goodwill message delivered by Laolu Akande, the immediate-past Vice President of Nigeria, Professor Yemi Osinbajo, SAN, expressed support for the meeting and commended the efforts of Simon Ibe, Publisher/Editor-in-Chief of Global Patriot Newspapers and convener of the Dialogue, in promoting African courses and encouraged him to sustain the efforts.

Ably co-moderated by Tunde Akindele and Professor M.O. Ene, the meeting involved a diverse group of attendees, including senior journalists, scholars, clerics, activists, community leaders and family members, such as Pastor (Dr.) Toyin Laoye, Regional Pastor, Redeemed Christian Church of God (RCCG), the Americas 1, in charge of New Jersey and Vermont; Chief Femi Adesina, former Special Adviser, Media & Publicity to Nigeria’s ex-president Muhammadu Buhari; Dr. Remi Alapo, professor of Black Studies and Cultural Diversity, City University of New York (CUNY); and Mr. Eze Anaba, president, Nigeria Guild of Editors (NGE).

Also present were Professor James Small, a scholar activist, pan Africanist, former bodyguard to Malcolm X, International Vice President, Organization of Afro-American Unity (O.A.A.U.) and Int’l Vice President of World African Diaspora Union (WADU); Chief Goddy Uwazuruike, Lagos-based lawyer and leader, Credibility Group; Isaac Umunna, publisher of News Express online and Business Express magazine; Sufuyan Ojeifo, publisher, The Conclave; Prince Onochie Jon-Igwesi, publisher of Pacesetter magazine; Dr. Adeola Popoola, president of NIDO, New Jersey chapter; Chief Uzoma Nwagwu; Mr. Shawn Yearwood; Mr. Garfield Simpson; Mrs. Olanike Awoleye, CEO, Lord & Nike’s LLC; Mr. Obi Emekekue, former United Nations, New York correspondent of the News Agency of Nigeria (NAN); Mrs. Grace Yusuf, former NAN Deputy Editor-in-Chief; Prof. Mondy Gold, president, Ijaw Diaspora Council and chairman, NADECO USA; Surveyor Jide Adeyemo; Engineer (Mrs.) Temi Boyo-Aboderin; Publishers Emmanuel Malagu, Yemisi Izuora, Remmy Nweke, and Emmanuel Enebeli; Pastor Olatunji Jegede; Deacon Sunday Ode; Ms. Lilly Anyanwu; and family members, including Mrs. Florence Ibe, Sir (Architect) Linus and Dr. Mrs. Stella Korieocha, Sir Lawrence Ibe, Princess Caroline Onyesonwu, and Chief Dike & Lolo Maureen Ogbuehi.

In his closing remarks, Simon Ibe thanked everyone for participating and expressed gratitude for the insightful discussions, assuring that there would be a follow-up soon.

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