Ok,

I would like the govt to get out of everything and leave the private sector to provide services.  GEJ may just be wiser than some have granted him.  And yes I am drinking.

GEJ needs to realise that the citizenry are not completely fools.

How does talking about "elections" answer her question? Q: How does removing subsidy improve the life of future generations?

 

This guy thinks he is smart,

There is a telephone number.  It was repeated at the start, I did not catch it but I think they will repeat it.

The BIG CYNICAL QUESTION is whether they have handpicked people and the number is just for show!

So according to Sanussi:

Nigeria is spending USD$16bn in 2011 on Subsidy.

Nigeria consumes 0.4m barrels of crude daily, roughly translates to 38m litres of petrol a day.

Per year, then Nigeria consumes 38m litres x 365 = 13.870bn litres.

Therefore Nigeria is paying $16bn on subsidy for 13.870bn litres ($16bn divided by 13.870bn = $1.15 per litre).

This means $1.15 (N180) per litre on petrol (note this excludes tax, etc that is charged in other countries).

This government is truly useless if they have allowed subsidy to get sooo bad that we are paying $1.15 per litre on subsidy and SLS is being mischievous when he suggest the solution is to inflict this on Nigerians.

STOP BEING INCOMPETENT AND FACE DOWN THESE OPPORTUNISTS.

Why is everybody asking for a "me"?

UK travel warning to Nigeria - also on another thread.

Spotted on Facebook.  A map of Nigeria showing trouble spots per the UK Govt this Christmas and New Year season.

Milo

Nigeria police we hail you.

Ph.o.cki.ng useless force since 1861!

Possible Pessimistic Subsidy removal scenario (in the absence of functioning refineries):

- Prices go up;
- Prices change frequently due to international price;
- Petrol stations display different prices;
- Petrol shortages due to stations waiting for new prices;
- Prices will differ from state to state;

- Inflation kicks in due to higher input prices;
- CBN raises interest rate to curb inflation;
- Higher interest rates sucks out more liquidity from banks;
- Busineses collapse;
- Unemployment increases.

- Social unrest and noisy headlines leads to Subsidy reintroduced; and
- Projects to rebuild refineries abandoned and we go back to sticking our heads in the sand.

mukina2:

yelsls Torresssss  

Must be an Arsenal fan. GOOONERS!

Interesting points.

I think the focus of the budget is good. But as always more information is needed.

For example what is the funding mix:
- Can certain projects be deferred if the expected funding gap is not bridged?
- Is the total recurrent spend contingent on gap funding being secured?
- What is the connection between the recurrent expenditure and the capital. Ie if capital is deferred, will its associated recurrent be deferred as well?

I have copied below my understanding of the budget break down (also pointed out above by Gbawe and Ekt_Bear).

Raji Enacted A Cruel Tax.

TOLLS

The Rich Use The Homeless.

QATAR

Atiku Crashed Tambuwal's Orange Rolls.


ROYAL

I do not think we should "unlike" him. If he receives more honest and blunt feedback then that would be better.

There are 160m Nigerians with around 3m online on Facebook in Nigeria and a significant portion overseas. If NLs unlike him, no one will notice.

Much better to be vocal.

Did anybody from the IOCs or NOCs show up?

Can we not hike the tax rate (windfall tax) on this Cabal and use the high tax to fix the refineries and build new ones.

Subsidy removal and kicking the people seems to be a fait accompli, while the Cabal carries on regardless.

So it's Nigerians fault that we don't trust our government.

Kudos to GEJ for allowing his ministers come out and discuss.

Is "me" a question?

Short Hairy Orangutans Use Toilets.

HAIRY

Tosin And Rike Do Yoga.

TOSIN

Models Encounter Rich Red Yankees.


EMEKA

Gbawe:


We need to start looking critically at the fiscal policies of individual Parties so that we can understand the innate macroeconomic leanings that may translate into success or failure.

Correct!

So true.

I think the state governors need to be watched closer and the more they outline the easier it is for us all to hold them to account.

Ogun 2012: Budgeting to Rebuild

Generally, a budget is one of the most important activities for any individual, organisation or government. It is a systematic plan for the expenditure of a usually fixed resource during a financial year. It shows the detailed plan of finances.

That is why the recent 2012 appropriation bills presented to the Ogun State House of Assembly by Governor Ibikunle Amosun of Ogun State is very significant.

The governor, who made his first budget estimates since assumption of office, presented a proposed budget of N187.901 billion for the 2012 fiscal year. The estimated income and expenditure for the forthcoming year was N65 billion higher that the N124.61 billion budgeted for the current 2011, with education taking the largest percentage.

Amosun had explained that the budget christened: “Budget to Rebuild,” was made up of N99.594 billion (53 percent) capital expenditure and N88.306 billion (47 percent) recurrent expenditure He said the budget would be financed through Internally Generated Revenue (IGR) of N63.601 billion, or 47 percent and Federation Account of N70.800 billion.

Presenting the budget estimates, recently, at the State House of Assembly, in Oke-Mosan, the governor had also explained that 65 percent of the 2012 budget would be spent on his five point agenda of “Affordable education (N41.483 billion or 22 percent), rural and Infrastructural development/ Employment Generation (N33.432 billion or 18 percent), affordable housing and Urban Renewal(N22.956 billion or 12 percent), Efficient Healthcare Delivery ( N15.706 billion or 8 percent) and Agriculture Production/ Industrialization (N8,813 billion or 5 percent).”


Review of 2011 Budget
In his review of the budget for the outgoing year, the governor explained that the approved budget size for 2011 was N124.61 billion. Of that amount, N41.88 billion was earmarked for salaries and allowances (33.61 per cent), N15.10 billion for Overhead Costs (12.12 per cent) and N21.83 billion for Consolidated Revenue Fund/Public Debt Charges (17.52 per cent) whilst N45.80 billion was allocated to Capital Expenditure (36.75 per cent).

“The expenditure pattern during the period under review can be attributed to the lull in the economic activities in the first half of the year as a result of the general elections. In charting the way forward for the state, we have refused to be daunted by the obvious financial odds.

“This administration has shown that development is not just about having a large amount of funds and resources but judiciously allocating them to meet the needs of the people. In the last six months, we have been able to impact on every sector of our socio-economic life.

“In the area of education, we released funds to cover the half-term running costs of public secondary schools to enable the immediate implementation of the qualitative and affordable education policy; pupils and students in our primary and secondary schools across the State no longer pay school fees; we have completed renovation work on blocks of classrooms in 100 schools across the 20 local government areas in the State. Just recently, we released funds as running cost to all the seven Government Technical Colleges in the state.”


He also revealed that the government had distributed free exercise books and other instructional materials to primary and secondary schools in the state, since he became the governor. This according to him was in addition to the 143,034 free text-books for junior secondary school students and 120,857 for senior secondary school students.

“The infrastructural development in public schools will also be complemented with the construction of 50 new schools. The contract is currently being awarded. The tertiary education sub-sector is not left behind. We fulfilled our promise to reduce tuition fees in the 10 higher institutions owned by the state government.

“We have paid up to date monthly subventions to these institutions of learning since May. To engender qualitative education at this sub-sector, we inaugurated fact-finding and visitation panels to afford us the opportunity to appraise the present situation of these institutions and find lasting solutions. The panels have all submitted their reports and we will soon issue White Papers on the reports, prior to implementing their recommendations,” he added.

The governor also pointed out that another area where his administration recorded success is the area of housing because it affects the workers of the State. He also revealed that the government have been able to resolve the controversy on the Deed of Assignment with regard to the Workers’ Estate, Laderin, Abeokuta.

“Let me explain that this issue had been pending before the advent of the present administration. The allottees had refused to sign the documents as a result of some issues which they felt should not be part of the contract documents. It is interesting to note that our administration has successfully resolved these issues and the deeds of assignment have been signed by the allottees, “Amosun said further.

Education for 2012
The governor said he had decided to give premium to the education sector because of the belief that education is the future of the state, stressing that with a sound education, the future of the state is secured.

He disclosed that his administration intended to “ensure the sustenance of the provision of the free and qualitative education at primary and secondary school levels, construct additional buildings in public educational institutions, embark on massive renovation/maintenance of dilapidated structure in our school and supply furniture to enhance student enrolment, retention and performance.”

He further revealed plans to establish five model secondary schools with hostel facilities in the three senatorial districts of the state, as well as to procure instructional material and textbooks for all students in public schools.

Amosun further told the gathering which included some former governors of the state such as Mr. Olusegun Osoba, Mr. Oladeinde Joseph, Major General Oladayo Popoola, former deputy governor, Alhaji Rafiu Ogunleye as well as the Gubernatorial candidate of the People’s Democratic Party (PDP) in the 2011 election, Gen. Adetunji Olurin, that his government plans to put in place an economic plan that would not continue to be dependent on allocation from the Federation Account.

He explained that he had put in motion a process of re-engineering the finances and the accounting process in the state to eliminate wastages and make the state become financially self-dependent.

Infrastructural Provision
On road, he disclosed that the “sum of N24.56 billion representing 13.07 per cent of the total budget for the year, has been earmarked for rural and infrastructural development in our dear State.

"It is hoped that this will transform the face of our dilapidated infrastructure,’ adding that a total of seventeen roads would be rehabilitated during the year.

On Industrialisation, Amosun said, “our Administration will kick-start the process of industrialization through the implementation of the Industrialisation Master Plan which is currently being fine-tuned. A major initiative in this regard will be the creation of several Industrial Parks across the State while access roads will be constructed in the rural areas to link the existing major roads.”

Other initiatives to be implemented in 2012, includes the provision of soft loan/empowerment facilities to micro, small and medium enterprise in the state, the establishment of technology incubation Centres in Ogun West and Ogun East senatorial districts of the state, as well as the provision of access roads to the Technology Incubation Centre in Ogun Central senatorial district

Transportation
The state government also plans to ease the transportation problems faced by the citizenry as it has decided to provide mass transit buses and taxis. According to the appropriation bills, over N2 billion has been earmarked for this purpose.

Water Supply
The appropriation bill also showed that the state intends to pay special attention to the provision of potable water to residents of the State next year.
According to Amosun, the “government has approved N63 billion for the State Water Corporation to procure water treatment chemicals, especially aluminium sulphate. Approval has also been given for the procurement of another consignment of chemicals for water treatment.

“Our administration is working in collaboration with the federal government and the World Bank regarding increasing access to pipe-borne water in line with the Millennium Development Goals through on-going rehabilitation of water treatment plants at Abeokuta, Papalanto (Ifo/Ilaro), Ijebu-Ode, Sagamu, Ogere and Apoje in Ijebu-Igbo. In 2012, we will spend over N5b on water supply.”

Revenue
The 2012 appropriation bill also revealed the government’s resolve to grow its internally generated revenue substantially. The governor insisted that the state has enormous potential which his administration intends utilise to achieve (or surpass) its revenue targets.
He explained: “Our appeal to the people is to perform their civic responsibility of paying their taxes as and when due. On our part, we will block all leakages in revenue collection and ensure judicious utilization in the service of the good people of our State.

“From the record, the State has been losing substantial revenues through revenue flight for years either out of ignorance of the Tax law on Residency Rule by the public or payment to one Tax authority by the employers for convenience or outright refusal to obey the tax laws, especially the Personal Income Tax Act 2004 (as amended).

“We have therefore launched a mass appeal to residents of the State, in the first instance, to ensure true declaration of their addresses in Ogun State while we expect employers of labour and other self-employed persons to fully comply. We shall continue to put necessary strategies in place to collect all legitimate revenues due to Ogun State.”

Agriculture/Food Production
Amosun, who posited that agriculture remained the mainstay of the state’s economy, added that urgent action would be taken to increase the production of food to keep pace with the population growth and reduce the current inflationary situation.

He emphasised that since food constituted a major item in the cost of living index, especially of the low-income workers, any serious efforts to improve the standard of living of the people must, of necessity, give priority to agriculture.

“It is in this regard that our Administration is poised to act as a major facilitator in stimulating agricultural development at every level of the supply value chain. As a sign of our commitment to Agriculture, a total sum of N5 billion has been allocated to the agricultural sector in the coming fiscal year. I enjoin you to note that our strategy is to concentrate on facilitating huge investments by private sector operators in this sector through the creation of an enabling environment,” he added.

Source: http://www.thisdaylive.com/articles/ogun-2012-budgeting-to-rebuild/105013/

I tire.

Presidential Fleet = N18bn
State House (including food) = N18bn
Total = N36bn.

Nigeria's Presidency budgeted spend of N36bn so far exceeds:
Science and Technology = N31bn
Housing and Land = N25bn
ICT = N18bn

Budget 2011: Presidency to spend N18bn on fleet

Following plans by the Presidency to spend N18 billion from this year’s budget on the maintenance of presidential planes in its fleet, financial and real estate experts have disclosed that the amount is only N1 billion higher than what could provide decent accommodation for the 17 million UN-Habitat estimated un-housed Nigerians.

Figures obtained by BusinessDay has shown that the allocation for the presidential fleet comes under the allocation to ‘Intelligence Community’ which got a total budget allocation of N105 billion, ranking it as one of the top ten allocations in the 2011 budget. - HIDDEN FROM VIEW?

The amount of money the Presidency plans to spend on its presidential fleet of planes which carries it in comfort around the world is about N1 billion higher than the N16 billion with which government plans to confront the housing deficit of over 17 million Nigerians.

The N18 billion on the presidential fleet is also N7 billion higher than the N11 billion the government intends to spend  equipping the country’s police force in 2011, and just about N2 billion less than it intends to spend on the nation’s aviation sector.

Financial analysts have also calculated that the N18 billion, if deployed to the epileptic power supply the country is currently grappling with, could provide 120 megawatts of electricity which is enough to light up Asaba, Delta State capital.

It will be recalled that in August 2010, the minister of Information at the time, Dora Akunyili had, at the end of a Federal Executive Council meeting, announced the acquisition of three additional presidential jets for the Nigerian presidential fleet at the cost of N23.1 billion.

The addition was to complement the eight existing aircraft that were already in the fleet.

Nigeria’s presidential fleet, which is one of the largest in the world, is made up of a Boeing Business Jet (BBJ) bought in 2006 by President Olusegun Obasanjo, a Gulfstream V,  a Gulfstream IVSP, and two Falcon 900s.

It is not clear, though, if the N18 billion allocation to the Presidential fleet in 2011 is purely for maintenance, buying an additional airplane or for both; but a source in the Presidency last night told BusinessDay that there was no plan to buy new planes for the Presidency this year.

In the 2010 proposal, the Presidency had actually proposed the acquisition of four new aircraft for the presidential fleet and had made a budget provision of N23.4 billion in that budget for them.

Akunyili had said then that “the committee set up for the acquisition of the aircraft was able to get a reduction of the sum of $2.9 million from the proposed price of two Falcon 7X aircraft and a reduction of the sum of $5.4 million from the offer of the Gulfstream G550 aircraft.”

She had also explained that “the first Falcon aircraft being purchased will be delivered by the end of the fourth quarter of 2010 while the second Falcon and Gulfstream G550 will be delivered by the end of the second quarter 2011.”

BusinessDay investigations show that Nigeria is one of the few countries in the world with a dedicated presidential fleet. Most countries prefer to convert aircraft used by their national carriers for use by their Presidency crew whenever the President is going on international trips. At other times, such world leaders could use an aircraft managed by the country’s Air Force for local trips.

For example, international trips of the Chinese President are managed by the government-owned national carrier - Air China, while domestic travels are operated by the 34th division of the People’s Liberation Army Air Force.

For the British monarch and other members of the Royal Family, the Prime Minister and other ministers of the British Government, air transport is provided by either No. 32 (The Royal) Squadron of the Royal Air Force (RAF), chartered civilian aircraft or scheduled commercial flights - normally British Airways - for senior members of the royal family, and other commercial carriers for the Prime Minister and aides.

Aside Nigeria, the United States of America is another country that maintains a dedicated fleet of aircraft for its presidency.

With Nigeria’s Presidential fleet parading 11 different planes, BusinessDay analysis shows that the cumulative spend of N41 billion on the presidential fleet in two years would be enough to buy five Boeing 737-600 planes; large enough to start a national carrier for the nation. The average cost of a Boeing 737-600 is N8.5 billion (based on figures obtained from Boeing website). An analyst familiar with workings at airports told BusinessDay that “a national or flag carrier like Air Nigeria can be safely and profitably operated with five aircraft.”

The Federal Government sold Nigeria Airways - the nation’s national carrier - because it could not run it profitably.

The offices under ‘Intelligence Community’ which allocation of N105 billion ranks among the top ten allocations in the 2011 budget include: Office of the National Security Adviser (NSA), Directorate of State Security Service (SSS), the National Intelligence Agency (NIA), and the Presidential Air Fleet.

A breakdown of the allocations to the various units shows that the Office of the NSA plans to spend N37 billion in 2011; the SSS will spend N24 billion, while the NIA is planning to spend N26 billion.

Source: http://www.nigeriannewsservice.com/nns-news-archive/headlines/budget-2011-presidency-to-spend-n18bn-on-fleet