₦airaland Forum

Calyb:
Mr. Whynotthethruth, thanks. So far, two (double) trips of gravel @ 25000 naira each making it 50000 naira, 5 trip of sharp sand @ 13000 each making it 65000 naira, 50 bags of cement @ 2000 each totalling 100000, plumbing material total cost will be 150000 plus workmanship, the digging cost 40000 naira, 7 iron rod. The cost breakdown will be tedious for me to give freely, except it will cost me something. Not withstanding towards the end of the project, I will spell out the cost estimated.

Afrocatalyst:
That's taken care of in the sewing of the net and its construction. That's the first line of defence.

FarmTech:
..
Tnks.

Afrocatalyst:
Sent!

Calyb:
We have standards in pond stocking density, ok? It might interest you to know that I am a fishery graduate. So live that stocking things alone. Those fish go enjoy the pond like die. Thanks though.

atlwireles:
Buhari is as corrupt as any other Nigerian politician. He knows his limitations and Fayose understands the game very well.

pafpatmo:
you talk as if you reason from the ass. Or is it because it's not your father that was in the battle front, but remember that southerners too were killed because GEJ refused to equip them. You're so sentimental that you forget that you should reason like a rational human being. GEJ confessed with his own ohogoro mouth that he underestimated these group. In short its pointless explaining these to an asshole.

veraponpo:
Jonathan, the worst president we ever had in Nigeria.He was definition of everything that was wrong in givernance- bad utterances , bad carriage, poor body language , poor team members, mismanagement , corruption, etc

kaboninc:
Here is a chronicle of events.... I hope it makes sense to anyone who reads it.

The truth is that the disparity between the exchange rates between the inter-bank window and the black market being very high is not healthy for the economy - the manufacturers, the working force, the cottage industries, etc who cannot access FX via the official channel will be greatly affected in a negative way. This is so mostly if the rate is not a true representation of its value.

We actually brought this on our own. In the market lately, after Sanusi's hammer on Bank CEO's and the exposure of bank's health spiking reforms in the entire banking sector, most of these bankers laid off, resorted to establishing BDCs - which initially was meant to meet the growing need of FX to fund imports - imports not covered in the non-prohibition items as Nigeria is heavily import-oriented. Fortunately, the price of crude oil was high earning us huge FX earnings boosting our external reserves (foreign exchange component) and meeting our import demands.

However, when the price began to fall, the balance of trade tilted against us and CBN had to tamper with the exchange rate. Devaluing it places more naira in meeting most government spending and stimulating growth. Most importantly, there have been strong demands for FX from the CBN and the CBN usually finds it very difficult to meet these demands. Too much demand puts too much pressure on our naira and causes our naira to depreciate (or lose its value) against the dollar.

Being curious, this led CBN to investigate/find out the rationale behind these demands. Were they used to fund items allowed or prohibited? Where they fictitious demands? Were they terrorism financing related activity? Or speculative bidding (whereby individuals mop up the dollar and "bet" against it, and they "win"? The answers to these questions were very important because if the CBN continues to hold/protect the value of the naira against the dollar in international trade using the foreign exchange reserve, some day, not too soon, the reserve will be depleted and that we do not want.

The first move was to close the official exchange window (RDAS and WDAS). This window allows dealers (deposit money banks, BDCs, money transfer companies, etc) to purchase USD at very low subsidized rates (some on behalf of others, like the banks) after which they sell at very high rates to other dealers mostly via the black market. Some of these purchases do not get exhausted. So the purpose is being defeated. The next move was to stop banks from selling USD to BDCs because most demands come through BDCs and in very large volumes. I know that for sure. In fact this where the deposit money banks were complicit.

Then CBN told the banks to ensure that monies purchased must be utilized for that particular purpose else, it must be returned to the bank's (CBN) vault between 48 and 72 hours (even this too, the banks played a fast one on the bank and that was why there was panic-sale as these banks had large sums of USD in their vault). Another step was to ensure that the only currency to be used for payment of goods and services must be the naira; no goods or service must be paid in the USD (exception applies to transactions in the oil industry). All hotel rates, rent rates, school fees, or any other services must be paid in naira.

The CBN also increased their oversight activities on the BDCs - some of them can attest to this. Long ago, the CBN stopped BDCs from transferring USD to offshore accounts using their own (BDC's) accounts because of their easy access to the USD. As at that time, they were not adequately regulated and there was growing fear of terrorism financing. Even now, you can't pay in cash to a non-BDC account and transfer out of the country. Then again, going forward, from the 1st of August, 2015 all BDC transactions must be accompanied with a Bank Verification Number - that is close monitoring of the activities of BDCs.

Having found out some of the purposes for which these FX were being purchased, the CBN issued another directive banning access to foreign exchange for purchase of some commodities (import prohibition list). In Nigeria, there are three official windows to access FX. One is the inter-bank window, the second is the BDC market and the third is the export proceeds. All three must not be used to finance imports on the prohibited items. The CBN earlier restricted the use of dollar denominated debit cards issued by Nigerian banks - including the daily, monthly and yearly limit (for withdrawals via ATM).

Last week, due to CBN's insistence of not reversing their earlier support (and perceived government support) for non-inclusion of these products, the banks and dealers had no choice than to sell off. The speculators have lost. Banks do not accept FX. In fact, CBN stopped them because they must have gotten credible information that there is so much USD in circulation. Big loss for money speculators. Big loss in foreign exchange earnings for banks too. That is why you read in the news that people go to Benin or Ghana to deposit their money and transfer out. I wish they consider the risk. Well high profit, high risk. People look for holes in the system to make a profit.

The whole essence is to protect our local tender, protect our economy and our industries. Protect, very importantly the SMEs as they are the engine for expected growth in the country. Please note that the large corporations and industries source FX directly from the CBN. But there are smaller companies which might find it difficult to access FX due to the nature of their business and to also by-pass the tough and strict documentation required to assess FX. CBN's recent directive is to encourage local growth and development. To challenge us and make us see and exploit the opportunities in our country. Why do we need to import tooth pick? Why import rice? Why import palm oil? Why import poultry products? Even with the various milestones reached in the rice policy. Now we have so much cement in the market to the point of an incident of a glut, yet someone will someday, just wake up and request for FX to finance cement import? These imports hamper the growth of our local manufacturers. These imports causes more pains than gains. We may say the imported products are cheap but should we forsake standards? Should we allow dumping?

We need to consolidate on the gains of the previous administration. The previous administration did a wonderful job at diversifying our economy - the service industry, the agriculture, manufacturing and even the oil and gas industry where we witnessed increased local content participation. That is why we had a single digit inflation figure even at the peak of low ridiculous oil prices. Even when we had no oil imports because government could not re-imburse funds for subsidy due to reduced earnings. Remember the inaugural speech given by Emefiele - a CBN that is committed to inclusive growth and job creation. That is the focus of the CBN's various directives. There are policies to promote local production of goods as seen in the previous administration. The automotive industry, dry season farming, sugar cane production, cassava production and even oil refinery.

Also, rising commodity prices do not always translate to danger in the economy. It could also mean increasing growth in the middle class, expanding economy, increasing spending power by consumers, increasing government spending to stimulate job creation and growth. My concern is that this new administration is yet to give us a direction. That will go a long way at reducing tension and restoring credibility in the system. The restriction on depositing USD in domiciliary accounts will be lifted after the CBN must have found a way around abuse.

Lastly, this is a monetary policy intervention to protect the economy. We need the fiscal component to support this policy and this is where Mr. Buhari's Ministry of Finance should come in. And yes, the CBN is indirectly regulating the black market.

It is instructive to note that other countries will do everything to also protect their currency, their economy and industries. Look at China. Everyone goes to China for cheap labour, cheap production cost and make stupendous profit from it. Yet the country's currency is protected as the exchange rate is not the true value. So they earn huge foreign exchange against the dollar. Look at the policy of the US government towards rice export to countries like Haiti. Same with the European Union and Russia.

Later in the year or early next year, Iran will begin to ship oil (if the negotiations sail through and sanctions are lifted) and her government will do everything to protect their interest. The foreign investors in the capital market just know when and how to exit the market. They feel our currency is highly overvalued. Even at 199 to 1 USD, they think the currency still needs to be devalued. To tell you, they do not have our interest at heart.


Long one!

Mynd44:
Because the devaluation in 1984-85 was not the same as the one that caused that of 2014.

The results of the Oil price crash in 2014 is what is still being felt now. Now run along

obi4eze:
Exactly bro. U just took the words out of me. I just want to see what effect this CBN policy will have on the economy because they can't continue to devalue the Naira.

Mynd44:
To answer these questions, the OP needs to put in the post above what led to the Naira depreciating from 154/156 in November2014 to 196 in December 2014 first.

When you do that, we can then start to track the primary factors and how we can tackle the strength of the Naira viz-a-viz the price of goods in the market.

To take this issue from the events of May 2015 is just you attempting to put squares pegs in round holes.

agarawu23:
why should dollar be deposited instead of naira our own currency? CBN just wake up from sleep.

importers should save naira and withdraw dollar or euro when they get to their business countries.

I pity chad and Ghana ppl, if nja guys sell una fake dollar, make na know cry o

uniklinkum:
So you can be this dumb and cool. Are you not the reetard spoiling for war with a girl for calling out your stupidity in another thread. Anytime on this forum you or any other nitwit from your block cross my line, I will kill, cremate and make sure yaba confined lunatics smoke the ashes from you iidiots cadavers till they get high. Now f***k and go take cyanobacteria for dinner.

uniklinkum:
Don't tell me your a f***king coward you brainless pisces with the world view of a crustacean.

vicadex07:
bros abeg softly softly on mizmycoli. She is just being led blindly by some innate fools here

uniklinkum:
You scum of the planetary bodies, go bring your personal saviour and God whynotthetruth to come save you. Your needless gif is as boring as the routine early morning s£x you always have with your father.

tola9ja:
The President is so dumb by that statement of Goat (corrupt officials/pdp) and Yam (National Treasury). He's said if you don't want Goat to eat

the yam, you pack the yams away from the goat... what! How about leave the yam and the goat while you are close by holding a stick

(EFCC/ICPC), with a stern look in your face, would the goat approach the yam? Goat being a sturbon animal like every pdp criminal will

definately try to make attempt but when you hit d goat or corrupt official with the stick (EFCC/ICPC) gbam! The goat won't come near again

and other goat/pdp criminal will learn from the punishment.

We have a President that's so dull and evil. Why worrying yourself packing truck loads of yam away because of some few Goats (Fayose,

Fani-kayode, Daizine, Ngozi, Clark, Koro, Ihejirika, Maina, Moro) etc

What a silly analogy! This President is NOT in anyway inspiring

MizMyColi:
This is what I can't seem to fathom exactly.

It is a tool of mind manipulation/control and I'm so done falling for that.

engineerboat:
@Whynotthetruth, the CHANGErian agent will not read, all they are concerned about is to pull down all the efforts of the GEJ administration, this has blindfolded their eyes from seeing the truth.
Well its a pitty how some people have been programmed for LIES and PROPAGANDA.

But as for me and other NIGERIANS, those CHANGErians lies and propaganda will NOT and shall NOT stand.

nairamaniac:
IRONY of LIFE:


All I see above is a gang of very intelligent men and woman(ECOTTERRORS, in absentia) worshipping a very foolish and daft ex-president.

I dont need to read the entire epistle. What I know is enough to debunk the merit of the refinery-revival to Jonathan.

1) Why did Jonathan set 2016 as the time for the refineries to be in adequate-capacity as against 3rd quarter of 2015 which Buhari's Government made it possible.
2)if there was any plan for Jonathan to make it work this 2015, he sure would have used it for campaign. As he used anything possible that gained popularity during his tenure including those locomotive trains, invincible niger-delta bridge and several other rubbish.
3) why was the federal government's yearly budget for subsidy at its peak during Jonathan's regime?

barcanista:
Setting The Record On The Proposed Refineries Privatisation By GEJ's Administration.
I believe it will be great that I also addressed this issue.

On the 8th of February 2012, the FG inaugurated a National Refineries Special Task Force. The task force was to ensure self sufficiency of petroleum products in the country under a strong framework in the shortest possible time. Memebers of the Task Force are Kalu Idika Kalu (Chairman), Mallam Yusuf Alli (Alternate Chairman); Prof. Ayo Ogunye; Mr. Imo Itsueli; Mr. M. B. Shehu, Mr. Olumuyiwa Ajibola and Dr. N. J. D. Erinne. Others are Mr. Alex Ogedengbe; Mallam Bello Maccido; Mr. Emeka Ene; Mr. Stanley Lawson; Mr. Akin Kekere-Ekun; Mrs. Fatima Wali-Abdulrahman; Mallam Abba Dabo; Mr. Harcourt Adukeh; Mrs. Mayen Adetiba; Mr. Babatunde Ogun and Mr. Achese Igwe.
The Task Force was also called "Idika Kalu Task Force".
www.punchng.com/business/business-economy/idika-kalu-heads-refineries-task-force/

In late November 2012, the Task Force Submitted their report where it tasked FG to SALE ALL 4 Refineries. Because lots of money has been spent by successive governments in the name of TAM without yielding result. See Excerpt...


www.punchng.com/editorials/jonathan-sell-the-refineries-now/

In December 13, 2013 the FG constutited a steering committee to look into the privatisation process(in line with the Idika Kalu's Committee recommendation). According to the DG Bureau for Public Enterprises, Benjamin Dikki,

“The President has also approved the constitution of a steering committee on the privatisation process that involves all relevant stakeholder ministries and agencies.

The Steering Committee’s terms of reference would be to, among other things, advise the National Council on Privatisation (NCP) on the best way to privatise the refineries in a manner that would enhance the gains of the privatization programme of the Federal Government; review the diagnostic reports and recommendations of the transaction advisors and make recommendations to the NCP, propose modalities and make recommendations to NCP on labour matters to ensure the successful privatization of the refineries."
www.thisdaylive.com/articles/president-approves-privatisation-of-four-refineries/167056/

On December 18, 2013, the Labour spat fire threatened War because they were erroneously made to believe that the FG has approved "Sale of refinery"

“Our message is very clear; if between now and December 24, 2013, the government fails to cancel the planned privatisation of the refineries, we will wait for the Yuletide period to come and then mobilise between that time and the first week in January 2014; the entire oil and gas workers in Nigeria will go on a total strike and shut down the economy.”
www.businessnews.com.ng/2013/12/18/oil-workers-threatens-nationwide-strike-january-1/

On January 03, 2014 the FG came out to set the record straight that it hasn't authorised ANYONE to sale the refinery. According to spokesman Ruben Abati

“The Federal Government will not sell the refineries. There is no authorisation for anybody to do so; there is no presidential endorsement. Even the minister does not have the powers to sell government’s property,”
www.punchng.com/news/jonathan-hasnt-approved-sale-of-refineries-says-abati/

While the author of that thread made it look like the FG was thorn between privatisation and TAM, the truth is that the GEJ led FG was keen on mthe TAM (as explained above) and also working out modalities that will be acceptable to all stakeholders (including labout) with respect to refinery privatisation by setting up the Steering Committee to yield a permanent solution. Was this not commendable?

I want to enjoin Nigerrians to be very wary of reports from APC. We can't distort facts for politics. The records are there. GEJ inherited a dilapidated refineries and put it on the right path. Let us give honor to whom it is due.


May God Bless Us All (Amen)

360ng:
Thanks.

barcanista:
Good Afternoon and Happy Sunday to all. I am so glad to be writing on a very important subject that is generating unnecessary controversy powered by supporters of the ruling party. To cut the story short, this article is to set the record straight and counter the distortion of facts by a pro-APC poster on this thread Jonathan's Government And The Refineries, Lest We Forget.

1. The Situation/Capacity of Our 4 Refineries Before Jonathan:
To appreciate where we are we need to cast our mind where we were. Let's see the refining capacities between of our 4 Refineries between 2001 and 2010.

PORTHARCOURT REFINERIES:
In 2001, it operated at 60.73 percent, 52.17 (2002), 41.88% (2003), 31.04 percent (2004), 42.18 percent (2005), 50.26 percent (2006), 24.87 percent (2007), 17.84 percent (2008), 9.08 percent (2009), and 9.17 percent (2010), averaging 34 percent in ten years.

***Jonathan Inherited PHCR at 9.17% capacity***

KADUNA REFINERY:
Kaduna refinery operated at 31.39 percent capacity utilisation in 2001, 34.95 percent (2002), 15.96 percent (2003), 26 percent (2004), 33.08 percent
(2005), 8.34 percent (2006), 0.00 percent (2007), 19.56 percent (2008); 20.02 percent (2009), and 20.46 percent (2010). On average, in the ten years, the
Kaduna Refining and Petrochemical complex attained capacity utilisation of 20.97 percent.

***Jonathan Inherited KDRPC at 20.46% capacity***

WARRI REFINERY (WARPC)
Warri refinery operated at 48.29 percent in 2001, 55.53 percent (2002), 14.27 percent (2003), 9.10 percent (2004), 54.85 percent (2005), 3.85 percent (2006), 0.00 percent (2007), 38.52 percent (2008), 43.01 percent (2009), and 43.36 percent (2010), averaging 31 percent between 2001 and 2010.

***Jonathan Inherited WARPC at 43.36% capacity***
www.thisdaylive.com/articles/the-case-for-increasing-refining-capacity/105378/

Nigeria's Refining Capacity During GEJ Era:
May 2013: Portharcourt Refinery (66%)Kaduna Refinery (65%), and Warri (63%)
The Nigerian National Petroleum Corporation, NNPC, Thursday, announced an improvement in Nigeria’s refining capacity, declaring that domestic refining of Premium Motor Spirits, PMS, at the country’s three refineries has increased to 10.23 million litres per day.

He disclosed that the Kaduna Refining and Petrochemical Company is currently running at 65 percent installed capacity, while the Warri Refining and Petrochemical Company is producing at 63 per cent and the Port Harcourt Refining and Petrochemical Company at 66 per cent of installed capacity.

“Infact, these refineries have been running consistently for over three months now.”
www.vanguardngr.com/2013/05/nigerias-refineries-now-producing-10m-litresday-of-fuel-nnpc/

Before that statement was made, the then Minister of Petroleum Mrs Alison Madueke had stated in March that early turn around maintenance was already ongoing while the MAIN TAM that was expected to yield the 90% projected capacity was expected to commence later that year.

"Our early turnaround maintenance work has commenced at the Port-Harcourt refinery while the main work is expected to commence in April and may of this year. The TAM and rehabilitation work for Kaduna and Warri refineries are intended to follow in quarter four of this year and quarter one of next year respectively,”

“Our early turnaround maintenance work has commenced at the Port-Harcourt refinery while the main work is expected to commence in April and may of this year.
www.sunnewsonline.com/new/tam-fg-begins-work-on-port-harcourt-refinery-next-month/

Nobody or Group disputed the position of the NNPC. So who was responsible for the improvement to 64% working capacity of our combined refineries in May 2013? JONATHAN of course

October 2014: Turn Around Maintenance Began For The Optiman Performace of Our Refineries (80%):
While the Port Harcourt and Kaduna refineries were built by two Japanese firms - Chioda and JGC, the Warri Refinery was built by Snapcogetti of Italy.

According to The Coordinator, Corporate Planning and Strategy, of the NNPC, Dr. Tim Okon when SAIPEM eventually came, it offered to maintain Port Harcourt Refineries at $550 million, Kaduna Refineries at $600 million and Warri Refinery at $180 million.

Okon said the bills were unacceptable to them because they were too high despite the fact that the figures were eventually reviewed downwards. He said the high bills prompted NNPC to send some of their engineers to the builders abroad to learn the repair processes with a view to saving costs.

Following this move, Okon said NNPC began to spend as low as N10 million to maintain the refineries every month as from October 2014. Following this
development, he said the four refineries would roar back to life and produce in optimum capacity from the first quarter of 2016.
www.thisdaylive.com/articles/exxonmobil-ceo-crude-oil-prices-to-remain-low/203419/

***The Testimony/revelation was made on March 05, 2015***

The Transformational Result By GEJ's Effort
On the 10th of June, the GMD NNPC came out to make the following statements..

“We are taking the refineries unit by unit and carrying out turnaround maintenance on them. So in other words, the maintenance are being carried out on the run and we started a couple of months ago.

“Most of the refineries have advanced to a certain stage where they will be able to operate very soon.
For example, the Port Harcourt refinery, which has reached an advanced stage, will start receiving crude by end of this month and then of course will start contributing to the available products in the country.”
www.punchng.com/news/pharcourt-refinery-to-commence-operations-in-july-nnpc-gmd/

I hope this is satisfactory enough? I hope the APC fans will emulate Buhari by giving credit to whom it is due?

360ng:
Your faith makes your prayers effective. If you dont have faith and also have a clean heart then am sorry, because even if you pray on pastor adeboye's prayer mountain NOTHING POSITIVE WILL HAPPEN.

neocortex:
1.Any evidence that Oil bunkering has reduced ?
In fact report from Ogun state has it that pipeline vandalism has increased
since the disbanding of local militias.
Every wise military commander knows that you can't effectively secure a remote area by simply
deploying military men with big guns because they don't know the terrain.


2. NNPC board dissolution has nothing to do with the timeframe for refineries renovation.

3. Aren't you surprised that none of the "cabals" have been charged to court
let alone convicted ?
how can the people that supposedly stole $150 billion dollars be let of the hook ?

4. It is a fact that the refineries won't be completed until 2016 , you may disagree if you like
and just so you know , FG hasn't completed the payment for the whole project so Buhari will
eventually spend that "billions" , remember subsidy ?

5. same as 1 nothing to back up your theory.