News
Electricity Tariff Hike Looms As FG Raises Gas Price
The Federal Government, on Monday, announced that the new price of natural gas for power generation companies is now $2.42 per metric million British thermal unit, higher than the previous rate of $2.18mmbtu.
Nigeria generates over 70 per cent of its electricity from thermal power plants that are fired by gas. Therefore, the rise in the cost of the commodity may lead to a hike in the tariff payable by power consumers once the Nigerian Electricity Regulatory Commission carries out another tariff review.
The Nigerian Midstream and Downstream Petroleum Regulatory Authority, an agency of the Federal Government, unveiled the new domestic base price and wholesale prices of natural gas for 2024 in an announcement on Monday.
The NMDPRA also pegged the cost of commercial gas at $2.92mmbtu, up from the previous cost of $2.5mmbtu. The announcement was signed by the Chief Executive, NMDPRA Farouk Ahmed.
Recall that the Multi-Year Tariff Order released by NERC in January 2024 for the electricity distribution companies was calculated based on the previous price of natural gas.
Therefore, going by the latest cost of the commodity, there is a high tendency for an upward review of power tariffs, as gas is a major component used in power production.
Gas producers including international and domestic oil and gas companies, have repeatedly called for the upward review in the price of the product, stressing that this would be an incentive to ramp up production.
In the announcement on Monday, Ahmed said the Petroleum Industry Act 2021 assented to by the President on August 16, 2021, and gazetted in August 2021, provided a clear regulatory framework for the determination of a market-based pricing regime for the domestic gas market.
The NMDPRA boss further stated that the latest action was taken in line with section 167, the third and fourth schedule of the PIA 2021, which mandated the regulator to determine the Domestic Base Price and the marketable wholesale price of natural gas supplied to the strategic sectors.
He said, “The DBP at the marketable gas delivery point under Sector 167(1) and other provisions of the PIA shall be determined based on regulations which incorporate among such other matters, the following principles.
“(b) The price shall not be higher than the average of similar natural gas prices in major emerging countries that are significant producers of natural gas.
“(c) Lowest cost of gas supply based on three-tier cost of supply framework. (d) Market-related prices tied to international benchmarks.”
The NMDPRA, therefore, emphasised that it had set the “2024 Domestic Base Price at $2.42/MMBTU and wholesale prices for natural gas in strategic sectors, following consultations with stakeholders and in compliance with the PIA and Gas Pricing Regulations.”
News
Triple national stampede: Adopt realistic actions to tackle corrosive hunger- Reps Minority Caucus tell FG
…mourn victims of stampede across Nigeria
By Kayode Sanni-Arewa
The House of Representatives Minority Caucus has advised the Federal Government to adopt a more realistic approach to tackle corrosive hunger as it mourn those who paid the supreme sacrifice in the Okija, Ibadan and Abuja stampedes.
This was contained in a statement dated December 22, 2024, signed on behalf of the caucus by its Leader, Rep Kingsley Chinda stating that:
“The Minority Caucus of the House of Representatives is deeply pained by the unfortunate triple disasters that occurred in Ibadan, Okija, and Abuja which led to multiple deaths, and many injuries during distribution of empowerment palliatives, and other giveaways.
” We are shocked at the severity of the pains, deaths, and injuries that happened at these respective locations while people were gathered to receive foods, and other items to mark the yuletide season.
“As a Caucus, it is saddening that in just few days, we lost about 70 people; including children, nursing mothers, women, and the elderly as a result of stampedes that happened at the distribution points.
” It is heartbreaking, and heartrending that these victims payed the supreme price in search of what to eat. Pathetic, and dehumanizing!
The caucus further stressed that: “Due to biting economic situation that has led to debilitating poverty, and corossive hunger, it is worrying that these terrible occurrences are gradually becoming the norm across the country.
“We are saddened that as a result of harsh economic realities, many people; who have fallen into untoward hardship, and penury throng any, and every empowerment palliatives event in search of what to eat.
“As a result of these disturbing trend, the Caucus strongly appeal to the Federal Government and various intervention agencies to take immediate actions towards increasing, and improving empowerment programmes.
“With the negative global attention these avoidable incidents have generated, we reiterate that the FG and State Governments should do more by ensuring that these palliatives percolate to the right people that need such.
“As we commiserate with the families of those who died at the stampedes, and identify with those who suffered various degrees of injuries, the Caucus calls for proper security arrangements; full-proof crowd management; and appropriate medical services at the venues of distribution of empowerment palliatives by governments, agencies, politicians, religious bodies, social groups, and individuals.
News
2.1 tons cocaine seizure: 4 drug barons get 28yrs in jail, forfeit VGC houses, N67m, $50,000+Photos
By Kayode Sanni-Arewa
. Their conviction and forfeiture of their assets a historical blow to illicit drug trade, says Marwa
Four drug kingpins arrested in connection with the historic seizure of 2,139.55 kilograms of cocaine at an Ikorodu residential estate in 2022 have been convicted by a Federal High Court, Lagos, presided over by Justice Yellim Bogoro who sentenced them to various jail terms totaling twenty-eight (28) years with hard labour.
The convicts: Soji Jubril Oke, 71; Wasiu Akinade, 55; Emmanuel Arinze Chukwu, 67; and Kelvin Christopher Smith, 44, a Jamaican, were charged with six counts in charge number: FHC/L/607C/2022 in October and December 2022, while the trial of the fifth suspect, Oguntolure Sunday arraigned along with them is still ongoing in court. The charges border on conspiracy to form and operate a drug trafficking organization (DTO); management and financing of a DTO; importation and possession of 2,139.55 kilograms of cocaine, among others.
Operatives of a special operations unit of NDLEA had in a well-coordinated and intelligence-led operation on Sunday 18th September, 2022 raided a house located at 6 Olukuola crescent, Solebo estate, Ikorodu, Lagos where the over 2.1 tons of cocaine were seized, the largest singular cocaine seizure in the history of Nigeria’s anti-narcotic operations. The drug kingpins were picked from hotels and their hideouts in different parts of Lagos between the night of Sunday 18th and Monday 19th September, 2022.
After over two years of diligent prosecution, the trial judge handed the Jamaican, Kelvin Christopher Smith four years imprisonment with hard labour; Emmanuel Arinze Chukwu got a total of 16 years; Soji Jubril Oke got five years with hard labour and Wasiu Akinade three years with hard labour. The trial judge however gave the convicts varying options of fine with the exception of one of them who will serve his full jail term without an option of fine.
They were also to forfeit a grey colour Toyota Tacoma SUV marked AAA-734HT registered in the name of Emmanuel Chukwu; $50,000:00 USD (Fifty Thousand US Dollars) belonging to Chukwu; N55,099,509.50 (Fifty-Five Million, Ninety-Nine Thousand, Five Hundred and Nine Naira, Fifty Kobo only) also belonging to Chukwu; the sum of N9,003,168.06 (Nine Million Three Thousand, One Hundred and Sixty Eight Naira Six Kobo only) belonging to Wasiu Akinade and N3,052,295.20 (Three Million, Fifty Two Thousand, Two Hundred and Ninety Five Naira Twenty Kobo only), also belonging to Akinade.
The Agency also in another suit marked FHC/L/MISC/672/2024 and filed before Justice Bogoro on 9th December 2024 after an initial interim forfeiture order, secured the final forfeiture of two houses linked to members of the drug cartel.
According to the trial court: “That an Order of final forfeiture and confiscation is granted in favour of the Federal
Government of Nigeria, Landed Property/House Number 6 Olokunola Street,
Sholebo Estate, Ikorodu Lagos, Lagos State, as contained in Exhibit NDLEA 2A, 2B,
and 2C attached to this application used for the storage and concealment of 2,139.55kg (More Than Two Tons) Cocaine, an illicit substance similar to Heroin and LSD.
“That an Order of final forfeiture and confiscation is granted in favour of the Federal Government of Nigeria, Landed Property/House Number J9, Road 3, Close 1,
Victoria Garden City (VGC) Estate, Lagos, Lagos State, as contained in Exhibit NDLEA 3
attached to this application reasonably believed to be bought with proceeds derived
from trafficking in illicit drug substances (proceeds of crime) as in relief 1 of this Motion.
“That an Order is granted directing the sale or disposal by any other means provided by law of the forfeited House/Landed Property by the Applicant and the payment of the proceeds
therefrom to the Federal Government of Nigeria.”
While commending all the officers and men of the Agency involved in the extensive investigation and prosecution of members of the drug cartel, Chairman/Chief Executive of NDLEA, Brig. Gen. Mohamed Buba Marwa (Rtd) said the case is a historical blow to the drug cartels and a strong warning that they’ll not only go to jail but will equally lose all their investments in illicit drug consignments including all the properties and wealth acquired through the criminal trade.
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