Business
Ex-NNPC GM Says Nigeria Could Have Saved $20bn by Deploying Technology to Tackle Oil Theft
By Derrick Bangura
A former Group General Manager in charge of Research and Development division at the Nigerian National Petroleum Company Ltd., (NNPC), Mr Benjamin Obaigbena, on Wednesday called on the federal government to deploy technology in solving the perennial theft of the nation’s crude oil.
Making his views known in a treatise, the ex-NNPC top shot estimated that Nigeria would have saved as much as $20 billion if it had deployed technology when the problem started years ago
He expressed surprise that Nigeria has just woken up from what he described as its heavy inertia to know that the country is losing substantial volume of crude oil to oil theft and bunkering, insisting that the activities of the criminals are as old as the oil industry.
Obaigbena noted that Nigeria cannot claim ignorance of the astronomical volume of oil theft for the past 50 years, maintaining that it deliberately “let loose the baby tiger into the wild” which has now matured to a monstrous size and sophistication to evade being caught or detected.
The retired NNPC employee disclosed that if the federal government had heeded and implemented a presentation made years ago for the use of technology to solve the problem, the challenge would have been reduced to the barest minimum today.
He insinuated that because government officials are involved in the crime, the criminals are never caught or brought to justice for a long time since they have powerful links to high profile politicians in government protecting the common interests of parties involved.
He explained that in the year 2000, the NNPC made a very innovative and successful strategy to combat corruption at the depots nationwide, reduce pipeline vandalism and smuggling of petroleum products to the neighbouring countries.
According to him, earlier, a think tank of NNPC then, the Consultancy Services Unit (CSU) based in Lagos proposed the use of technology to monitor the distribution of crude and product lines using the principles of Telemetry/ SCADA where NNPC could monitor real time distribution activities of the pipelines along the country’s arteries of pipeline network.
With the deployment of this technology, he stressed that vandalism or pipeline break along the distribution lines would have been instantly detected with tell-tale blinking lights or audible alarm displaying the coordinates of the location on the screen.
In addition, he noted that the signal is immediately dispatched to the nearest military base for immediate dispatch of anti-terror personnel to swoop the area and contain the menace.
“This idea was muted at the presentation venue and did not get to top management of NNPC at that time because of the associated high cost to deploy such technology.
“ That costly decision to mute the idea did not consider the long term cost- benefit implications. If that technology was deployed at that material time, the country would have saved more than $20 billion or more to date. Apart from the long term cost saving, the technological experience in managing the pipeline surveillance and security over the years would have been extended to our railway and road networks for same purpose.
“This 1995 technology has advanced to modern and faster technology with many adds ons (e.g. use of HD video cameras to capture footage needed in identifying and persecuting the criminal bunch in court, SMS, long distance drones, cloud storage, satellites, etc.).
“It is still not too late if we prioritise the need to deploy this technology. The money to acquire this technology can be generated if we can significantly reduce the huge wastages from the three tiers of government which are too numerous to mention here. The government can reengineer its processes to save cost and improve efficiency in delivery of their goals,” he advised.
While calling for a close working relationship with the Research and Development division in the NNPC, Obaigbena stated that the UK Government had offered technical assistance to address the problem of illegally obtained crude oils in the Niger Delta in collaboration with the University of Plymouth.
He explained that when the study was completed, further works were necessary to identify Nigerian crude from a mixture (co-mingling) with other foreign crudes, stressing that the challenge was the immediate acquisition of more sophisticated analytical equipment to complete the investigation.
“NNPC R&D division made a presentation on this study (as promising tool to stop stealing of Nigerian crudes for easy detection anywhere in the world) to the office of Hon. Minister of Petroleum in 2013.
“A promise was made by the office to release $350,000 for immediate purchase of High Resolution Time-of Flight (TOF) Mass Spectrometers (GC-GC-TOF-MS) and Gas Chromatograhy Combustion Isotope Ratio Mass Spectrometry (GC-C-IRMS).
“The purchase of the equipment did not see the light of the day and that was the constraint to conclude the high end research to establish a base to identify Nigerian stolen crude anywhere on this planet.
“It is good to let Nigerians know that the NNPC R&D division was at the time (and may be till now) the most equipped laboratory in African continent with developed capabilities to carry out many complex oil and gas studies that were being done in overseas saving several millions of dollars,” he declared.
According to him, if the government means business to stop oil theft, it should invite NNPC R&D division, Nigeria Upstream Petroleum Regulatory Commission (NUPRC), multinational and national oil companies to meet and come up with solutions to put a final stop to the old problem that has wrecked the nation.
He advised that the local vigilante group can also be a useful catalyst in the drive for intelligence surveillance and information gathering, noting that it is long overdue to overhaul the security of Nigeria’s national asset.
“It is now time for the federal government to wake up, make an early morning call to challenge and push the intellectual community of our great nation to start solving national problems through aggressive research and innovation.
“No nation on this planet thrives in this highly competitive age without a solid foundation in pure and applied research,” he maintained.
Business
Businesses count losses amid power outage in Bauchi, Gombe, and Jigawa
Business owners in Bauchi, Gombe and Jigawa are recording losses due to week-long blackout ocassioned by vandalism of the power transmission line in parts of northern Nigeria.
The sudden disruption in electricity supply in the past days, also affected essential services such as water, sanitation, street lighting and healthcare delivery as most hospitals have been operating without light.
Some of the affected businesses including shop keepers, millers and artisans, who spoke while reacting to a survey by the News Agency of Nigeria (NAN), described the situation as “pathetic”.
The survey examined the perennial collapse of national grid and the need for alternative power supply in the country.
Rice millers in Gombe had decried the impact of the erratic power supply on their businesses.
A Miller, Musa Arab, at Nassarawo Industrial Layout in Gombe, said the trend was crippling their operations as they relied on electricity supply from the grid to process paddy.
He said the mills were not operational power outage as they could not afford exorbitant pump prices of petrol or diesel to run their machines.
This, he said, reduced the volume of rice supply to the market and posed serious challenge to food security.
“We must invest in power because it is the biggest determining factor for industries to thrive.
“I have over 20 workers in my mill, and we have 100 mini rice mills here, so you can imagine those who have no jobs for the past 10 days.
“Government must go tough on those responsible for the perennial grid collapse because some persons may be benefitting from it,” he said.
Also, Yusuf Ibrahim said the situation might trigger the already fragile inflation, as prices of local varieties would shot up ocassioned by the diminish supply.
He said that some had jerked up their charges to cover the expenses on diesel thereby affecting rice prices.
A check by NAN at the Gombe Main market showed that a 100 kilogramme of rice was sold for between N120,000 and N160,000, as against N110,000 and N150,000, before the blackout.
Mr Usman Sani, a rice dealer, attributed the hike in price to low supply of the produce to the market in spite of the number harvest recorded this cropping season.
He said the prices had decreased slightly at the onset of the harvest, however, it showed sprawling increase due to power outage.
“The price of rice is already dropping as a result of harvest but the trend reverse since the blackout in the past days “ he said.
Ugochukwu Daniel, a bartender in Bauchi, decried the epileptic power supply in the country, adding that lack of durable energy supply would retard Nigeria’s quest to attain social and economic greatness.
Daniel said that she spent much on fuel to run power generator for refrigrator and lightening the beer parlour, to enable her to keep the business running.
He said that businesses could only thrive in an enabling environment with stable electricity supply, to enhance wealth creation and reduce poverty among Nigerians.
“My trade is about chill drinks and it survives on electricity to operate otherwise you will out of bussiness.
“Without electricity there is nothing you can do, and not only business but about everything. We depend on it,” he said.
Similarly, Samuel Adamu, said the persistent power outage had forced him to patronised charcoal for ironing clothes in spite of its high cost and cumbersome processes.
He said that most cleaners in the area had resorted to fabricated iron charcoal in spite of hike in its prices which suddenly jumped from N5,000 to N15,000.
Adamu said the situation also encouraged division of labour in laundry to cut cost and make some gains.
“Presently, I do wash the cloth, and engage someone for ironing. The charge is N300 per set as against N150”.
While advocated development of renewable energies to enhance power supply in the country, Adamu urged security agencies to entensify efforts towards electrical installations in the country.
In the same vein; Mr Muhammad Adamu, Chairman, Jigawa State House Assembly Commitee on Power and Energy, said the Jigawa Electricity Law 2024, made sound provisions to improve power generation and distribution in the state.
This, he said, was an offshoot of the devaluation brought about by the 5th alteration of the constitution, where removed power from the executive legislative list and to the concurrent list.
“It empowered the state houses of assembly to enact laws on power.
“The committee has also carefully pursued the bill and reviewed its structure and the promise it holds for the state power sector, infrastructure and the overall economy of the state.
“The new law will pave way for the establishment of Jigawa Electricity Commission, to regulate the state’s electricity market,” he said.
According to Adamu, the law will protect residents and investors in the energy sector through ensuring prepaid meter installation and possibility of recouping investor’s funds as well as address vandalism.
“The law will lead to provision of reliable, affordable and sustainable power, essential for development of all sectors of the economy, particularly in rural areas,” Adamu said.
“Vandalism will be over because we pay Kano Electricity Distribution Company (KEDCO) money for powered supplies, but whenever there is problem of damages or broken down transformers, it is either the communities or individuals that pay for the repairs”.
Business
Mercedes urges delay of EU tariffs on Chinese electric vehicles
The head of German luxury carmaker Mercedes-Benz, has called for the European Union to de-escalate the dispute with China over tariffs on electric cars.
“We need more free trade instead of new trade barriers.
“That is why it is important to find a solution that suits both the EU and China,” chief executive Ola Källenius told the Monday edition of Bild newspaper.
“The negotiations for this take time. In order not to jeopardise them, the EU should postpone the enforcement of the planned tariffs,’’ he said.
At the start of the month, a majority of EU countries paved the way for additional tariffs of up to 35.3 per cent on battery-powered electric vehicles imported from China.
Germany, however, voted against the measure amid concerns over retaliatory actions which could hurt the country’s giant car industry.
The European Commission had pressed for extra tariffs after an investigation accused Beijing of subsidising domestic electric car manufacturers, and thus distorting the market in the EU.
But whether the import tariffs would actually come into force at the beginning of November is still up to the commission.
The plans can still be dismissed if Brussels reaches a solution with China at the negotiating table.
Business
ACCI moves to promote business connections, balance work-life
The Abuja Chamber of Commerce and Industry (ACCI), is taking innovative steps to enhance professional relationships and promote a healthy work-life balance.
The President of ACCI, Dr Emeka Obegolu, said this in a statement on Tuesday in Abuja.
Obegolu said ACCI was committed to creating environments where professionals could connect beyond the confines of traditional boardrooms.
He said the upcoming “Business Meets Golf’’ Tournament epitomises this vision.
“Scheduled for Oct. 18 to Oct 19 at the IBB Golf Club, the tournament will gather industry leaders, top executives, and key decision-makers for a unique networking experience.
“This two-day event aims not only to strengthen business ties but also to foster partnerships that can drive economic growth.
“The ACCI’s initiative reistates the importance of maintaining a balance between professional achievement and personal well-being.
“By encouraging corporate cultures that prioritise relaxation and self-care, the Chamber acknowledges that such balance is vital for productivity and overall success,” he said.
According to Obegolu, the event will feature a range of activities designed to facilitate both business engagement and relaxation.
“Highlights include a Business-to-Business (B2B) cocktail on the first day, followed by the golf tournament and additional networking opportunities on the second day.
“The tournament will culminate in an awards ceremony recognising outstanding golfers among the participants.
“‘Business Meets Golf’ exemplifies our dedication to fostering innovative networking opportunities.
“We aim to create spaces for meaningful discussions that can lead to impactful collaborations,” Obegolu said.
The ACCI boss said in addition to promoting business connectivity, the council aimed to restate the importance of relaxation and a balanced lifestyle.
Obegolu said through events like this, the Chamber continued to play a pivotal role in supporting trade and industry in Nigeria while driving sustainable growth within the private sector.
He said to raise awareness about this landmark event, ACCI was partnering with the News Agency of Nigeria (NAN) and Media Trust Limited, to ensure broad visibility and engagement from leading brands.
The Abuja Chamber of Commerce and Industry (ACCI), is taking innovative steps to enhance professional relationships and promote a healthy work-life balance.
The President of ACCI, Dr Emeka Obegolu, said this in a statement on Tuesday in Abuja.
Obegolu said ACCI was committed to creating environments where professionals could connect beyond the confines of traditional boardrooms.
He said the upcoming “Business Meets Golf’’ Tournament epitomises this vision.
“Scheduled for Oct. 18 to Oct 19 at the IBB Golf Club, the tournament will gather industry leaders, top executives, and key decision-makers for a unique networking experience.
“This two-day event aims not only to strengthen business ties but also to foster partnerships that can drive economic growth.
“The ACCI’s initiative reistates the importance of maintaining a balance between professional achievement and personal well-being.
“By encouraging corporate cultures that prioritise relaxation and self-care, the Chamber acknowledges that such balance is vital for productivity and overall success,” he said.
According to Obegolu, the event will feature a range of activities designed to facilitate both business engagement and relaxation.
“Highlights include a Business-to-Business (B2B) cocktail on the first day, followed by the golf tournament and additional networking opportunities on the second day.
“The tournament will culminate in an awards ceremony recognising outstanding golfers among the participants.
“‘Business Meets Golf’ exemplifies our dedication to fostering innovative networking opportunities.
“We aim to create spaces for meaningful discussions that can lead to impactful collaborations,” Obegolu said.
The ACCI boss said in addition to promoting business connectivity, the council aimed to restate the importance of relaxation and a balanced lifestyle.
Obegolu said through events like this, the Chamber continued to play a pivotal role in supporting trade and industry in Nigeria while driving sustainable growth within the private sector.
He said to raise awareness about this landmark event, ACCI was partnering with the News Agency of Nigeria (NAN) and Media Trust Limited, to ensure broad visibility and engagement from leading brands.
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