Yoruba self-determination activist, Chief Sunday Adeniyi Adeyemo, also known as Sunday Igboho, has refuted rumours that he was about getting back to Nigeria.

Dr. Chief Sunday Igboho has not stated such through his spokesman or through anyone else that he will be returning to Nigeria any time soon, according to the spokesman for Dr. Chief Sunday Adeyemo, Olayomi Koiki.


Koiki claims he has been instructed to inform the international community and the Nigerian media that are spreading the false information.

Speaking further, he stated that the video that is currently in circulation is the one that was released when Chief Sunday Adeyemo left the Benin Republic after being detained there for a few months.

The video that was distributed had a release date of April 7, 2022, and it is the same video that is still being distributed.


According to him “I have been told to tell mainstream medias, bloggers, and offline media if you do need any clarification on Dr. Chief Sunday Igboho to get in touch with or spoke man Olayomi Koiki myself then you can do so by getting in touch with me at This email address is being protected from spambots. You need JavaScript enabled to view it..

“We kindly request that none of you spread untrue information about Dr. Chief Sunday Igboho, who is now in the Benin Republic.

“Again, thank you to President Patrice Talon of the Benin Republic for ensuring that Dr. Chief Sunday Adeyemo remains in the country so that he can continue to be protected by the laws pertaining to human rights, international law, and the universal declaration. that Dr. Chief Sunday Igbo was denied by Nigeria”.

He went further saying that Sunday Igboho had not given anyone permission to speak on his behalf in order to make it known that he would soon be returning to Nigeria.

“As I previously stated, we are grateful to Patrice Talo, president of the Benin Republic, for making Dr. Sunday Igboho’s stay comfortable while he continues to fight for one cause alone—the Yoruba Nation movement.

The spokesperson however, issued warning to the media outlets disseminating the message not to use Dr. Chief Sunday Igbo’s name in any way for which they are not authorized.

“If they do, legal action and legal procedure will be taken against each of the bloggers, streaming social media, offline media outlets, and others.”

The All Progressive Congress (APC) Senatorial candidate, Muhammad Sani Abdullahi, has presented six witnesses to challenge the victory and qualifications of the People’s Democratic Party (PDP) Senatorial candidate, Lawal Adamu (referred to as Mr. La).


The three-man panel, led by Justice HH Kereng, heard testimonies from witnesses sourced from the former schools of the PDP candidate and the Independent National Electoral Commission (INEC).


The first witness, Ahmadu Bello University Zaria (ABU), was represented by a member of the University legal team and an Associate Professor Abubakar Is’haq from the Faculty of Law.


The University was subpoenaed to provide records of files of Lawal Adamu while he was a student of the institution.

The second witness, National Examination Council (NECO), represented by the Director of Special Duties, Esther Bala Wuyaa, presented certified result confirmation to the court.

The third witness that testified against the Senator was Demonstration Primary School through the Head Teacher of the School, Dr. Ibrahim Yusuf.

Read Also: INEC deleted results on all BVAS we inspected, Atiku’s witness alleges

The school tendered to the court the school registration records from 1982 to 1986, which showed no record of Lawal Adamu Usman as student as he claimed in the documents he submitted to INEC prior to the 2023 general elections.

Also testifying, the Principal of Government Day Secondary School (GDSS), Gwagwalada, Bello Suleiman told the tribunal that based on available records at the school there was no candidate with the name of Lawal Adamu Usman from the year 1986 to 1994 as claimed by Senator Lawal Adamu Usman as submitted to Independent Electoral Commission (INEC) in form CF001 for the 2023 general elections.

Two additional witnesses including INEC representative were called upon following the issuance of subpoenas by the court through the Petitioner’s Counsel, Johnson Usman SAN.

During the tribunal proceedings, Counsel to the first respondent, M.A Magaji SAN, cross-examined all the witnesses with no objections.

Responding to queries from journalists shortly after the court sitting, Johnson Usman SAN, counsel to Muhammad Sani Abdullahi of the APC, explained that one of the grounds for the petition was the first respondents qualification to contest election given his presentation of forged certificates, and also substantial non compliance with the electoral act.

All schools that testified, submitted their school registers to the court as evidence .


The tribunal adjourned sitting to the 11th of July, 2023 for continuation of admission of additional witnesses of certificate forgeries against the defendant.

President Bola Ahmed Tinubu has welcomed an investment of $520 million in specialised agro-processing zones by the African Development Bank (AfDB), praising the leader of the multilateral institution, Dr Adewunmi Adesina, for further opening up the economy for investments that provide job opportunities and reduction in poverty. 

Receiving Dr Adesina after the two-day summit on A New Global Financing Pact in Paris, President Tinubu said the agro-industrial project strengthens an area of the country’s competitive advantage as he listed other areas of priority that require Foreign Direct Investment (FDI). 

The President urged the Bank to inject funds into projects that target women and youth empowerment, while appreciating the AfDB President for his vision of setting up a Youth Entrepreneurship Bank in Nigeria that will provide credit, skills and other support for young Nigerians.

President Tinubu assured Dr Adesina that the Federal Government would provide all the necessary assistance to ensure sustenance of the projects, adding that electricity remained a priority area that needed urgent attention. 

In his remarks, the AfDB President thanked President Tinubu for the bold initiatives that had repositioned Nigerian economy in three weeks and stimulated appetite of investors from different parts of the world; removal of fuel subsidy and harmonisation of exchange rates. 

“I commend the President’s foresight, boldness and determination for macroeconomic policy direction by removing the fuel subsidy,’’ he said, “No bird can fly with its wings tied behind. All those steps are signals investors like.’’

Dr Adesina said the bank would support the economic policies of the new administration in Nigeria, that had placed the people first in development targets. 

In another meeting, President Tinubu received executives of Airbus/ATR, and assured them that the aviation sector would be “streamlined for efficiency’’, especially in maintenance of aircrafts and training.

Senior Vice President of Airbus/ATR, Public Affairs, Laurent Rahul Domergue, assured the President that the company was prepared to invest in the aviation sector, particularly in supplying planes to Nigeria. 

 

Dele Alake

Mr. Allen Sowore, an Ondo State-based legal practitioner has urged the state Acting Governor, Lucky Aiyedatiwa, to use the power conferred on him by Governor Rotimi Akeredolu to reshuffle the state cabinet.

Recall that Akeredolu transmitted the power to Aiyedatiwa to act as the governor while he (Akeredolu) proceeded on medical leave to attend to his ill health outside the country.


But it was gathered that there was internal rancor within the state cabinet following the absence of the governor.

In a statement issued on Friday, Sowore frowned at the activities of some members of Akeredolu’s cabinet, whom he described as a ‘cabal’, saying they were allegedly frustrating the acting governor from performing his duties as stated in the constitution.


The statement was titled ‘Akeredolu’s medical leave: before Ondo State skid into full anarchy and mobocracy’.


Quoting Section 190 of the 1999 Constitution (as amended), the lawyer said, “Whenever the governor transmits to the Speaker of the House of Assembly a written declaration that he is proceeding on vacation or that he is otherwise unable to discharge the functions of his office until he transmits to the Speaker of the House of Assembly a written declaration to the contrary such functions shall be discharged by the deputy governor as acting governor.”

“Therefore, it is instructive and behooves all the state government officials – political and civil servants – to report and take orders from the acting governor the manner and way they would have done to Mr. Governor. Anything to the contrary is tantamount to an act of insubordination.

“But sadly, with a deep sense of patriotism, we regret to note the satanic activities of some members of the ‘Ondo State Cabal’ to sabotage and subvert the acting governor’s effort to assume the full and smooth running of government and its machinery while Mr Governor is away as stipulated by law.

“They don’t want the Aiyedatiwa to feature, attend or even appear at any serious state function outside the state. They want to cage him so that he will not have a national connection and recognition as the acting governor.

“The surreptitious sponsored blackmails to smear and besmirch the reputation of the acting governor in some sections of the media should not be allowed a breath in a sane society. Not even a state prided as the intellectual plinth of South Western Nigeria.”

“I will not advise or counsel the acting governor to sack or terminate the appointment of any public office holder in the state like the then Acting President, Yemi Osinbajo did to the former Director General of State Security Service, Lawal Daura. He will be playing at the gallery.

“Appropriately, a cabinet reshuffle and rejig of the state cabinet may be desirable to ensure the requisite unity of command in the instant circumstance. As critical stakeholders, we simply can not afford to look away while the state skid into full anarchy and mobocracy.”

President Bola Tinubu sharply criticized fuel subsidies on Friday, describing them as a “scam” that inhibits growth and benefits smugglers while effectively subsidizing fuel costs for other countries.

These comments were made during a meeting with Nigerians residing in France, as reported by his Special Adviser on Special Duties, Communication, and Strategy, Dele Alake.

The President explained that his advisors had initially omitted the subject of fuel subsidy removal from his inaugural address, still, he deemed it crucial to eliminate the subsidy from day one.

This meeting marked President Tinubu’s first public discussion following his inaugural speech on May 29, 2023, during which he declared the end of fuel subsidies.

His announcement led to a near-instant increase in fuel prices and hoarding, inciting calls for protest by the Nigeria Labour Congress (NLC).

These reactions occurred despite former President Muhammadu Buhari’s earlier efforts to terminate fuel subsidy payments by June.

President Tinubu assured the attendees of his commitment to revitalizing the education and health sectors.

He also confirmed that ongoing economic reforms would be sustained and broadened, aiming to alleviate families grappling with poverty and insecurity.

His remarks came just over a week after signing the Students Loan Bill into law.

In a dialogue with the Nigerian community in France, President Tinubu pledged to develop and implement creative policies in sectors directly affecting Nigerians’ livelihoods, like electricity, sports, and energy.

The President assured that the interests of Nigerians would always be prioritized in discussions with international communities, governments, and organizations on global issues such as climate change, energy transition, food security, trade, security, and diplomacy.

President Tinubu acknowledged the country’s ongoing challenges with transportation, electricity, and infrastructure.

He notably highlighted his decision to remove fuel subsidies, referring to it as releasing “the giant elephant of fuel subsidy without bringing down the house.”

Despite political divisions, the President promised to promote unity and prosperity for all Nigerians, reiterating his commitment to implement reforms for a better nation.

In closing, Nigeria’s Ambassador to France, Kayode Laro, and several other attendees expressed their gratitude and support to President Tinubu for his visionary leadership and dedication to economic reform.

The National President of the Arewa Youth Consultative Forum (AYCF), Alhaji Yerima Shettima has said that the claims made by former militant Asari Dokubo concerning illegal oil bunkering in the Niger Delta region are not far from the truth.

Recall that Dokubo had claimed that the Nigerian military is at the centre of 99 percent of oil theft incidents recorded in the Niger Delta.

Reacting to Dokubo’s claims during an interview with Vanguard, Shettima insisted that the allegations against the Nigerian military did not begin with the agitator.

He noted that the former governor of Rivers State, Nyesom Wike also stated that some security personnels are involved in oil bunkering and pipeline vandalisation.

Shettima opined that he believes Dokubo’s allegations and it is now left for President Bola Tinubu to make a decision concerning the situation.

He said, “First of all, the issues Asari Dokubo raised are very fundamental and germane. The Dokubo I know does not raise any alarm when he is not sure of it. Don’t forget that the allegation he raised didn’t just start today. It only takes people with the courage to come out and say what he said. What he said is not different from what Tompolo said a few months ago. It is also not different from what Wike said in Rivers State that some security personnel are involved in bunkering and vandalisation. I trust him and I believe what he said. It is left to the man in charge, (President Tinubu) to take a decision. He needs to take a decision on that to stop the ugly trend.

“I would also advise him to critically look at all sections of the country to unite all sections. He should look at the issue of security and corruption. Anyone found guilty should not go unpunished. He is also a victim of some allegations. He should prove to the world that he is not what some people think. Tinubu has nothing to lose. God has blessed him with everything he wanted. So, he will only be remembered for the good things he did.”

The Central Bank of Nigeria has ordered banks and other financial institutions in the country to regularly screen accounts of Politically Exposed Persons.


It stated this in its circular to banks and other financial institutions on Friday titled, ‘Guidance notes on Politically Exposed Persons’, which was signed by the Director, Financial Policy and Regulation Department, Chibuzor Efobi.


In the circular, it stated that, ““PEP accounts should be subject to periodic reviews as may be determined by the FI in line with risk assessment.


“Frequency of the periodic reviews should be determined by the risk of the customer and documented appropriately. FIs should also review their PEP database frequently.”

It added that, “On a regular basis, transactions and account activities should be monitored and scrutinised for money laundering/terrorist financing/ proliferation financing risks.”

The CBN explained domestic PEPs to be those entrusted with prominent public positions in Nigeria, while those entrusted with prominent public positions in any other foreign jurisdiction were foreign PEPs.

It noted that in view of the corruption level in Nigeria, domestic PEPs were rated highly vulnerable to financial risks, therefore, by default, most domestic PEPs were considered high risk.

Foreign PEPs and PEPs with prominent functions in international organisations should be categorised based on the level of risk as assessed by financial institutions, it stated.

The CBN said customer due diligence should continue after establishing a relationship with the customer.

“The behaviour of the customer, transactions and accounts should be in line with the expected level of activity. Ongoing monitoring is crucial as a customer risk profile may change over time.”

The CBN stated that financial institutions, in the ordinary course of their businesses, established business relationships with PEPs, who may be vulnerable to corruption and portend reputational and financial crime risks to the FI.

PEPs, it stated, posed a high risk of money laundering, financing of terrorism and proliferation financing due to the possibility that individuals holding such positions may misuse their power and influence for personal gain or advantage to themselves, close family members and associates.

The CBN said, “Such individuals may also use their families or close associates to conceal illicit funds and assets.


“In addition, they may also seek to use their power and influence to gain representation and/or access to, or control of, legal entities for similar purposes.”

The Bola Ahmed Tinubu-led Federal Government has approved the appointment of Prof. Olayinka Oladiran Adegbenhigbe as the Acting Chief Medical Director of the Obafemi Awolowo University Teaching Hospitals Complex, Ile- Ife.

Naija News reports that the Federal Ministry of Health approved the appointment which takes effect from Tuesday, June 20, 2023.

Adegbenhigbe’s appointment was disclosed by the Public Relations Officer of the hospital, Kemi Fasooto, in a statement in Osogbo, the Osun State capital, on Friday.

Quoting a letter signed for the Permanent Secretary by the Director, Human Resources Management, Fasooto said the appointment was for a period of six months within which all processes for the appointment of a substantive Chief Medical Director would be initiated and concluded by the Ministry.

The statement said Adegbenhigbe, a Paediatric Orthopaedic Surgeon, President, Paediatric Orthopaedic Society of Nigeria, is also the first black African member of the Medical Advisory Board of Ponseti International Association, United States of America.

It read in parts, “He coordinated the first Ponseti International Clubfoot Workshop in West Africa and translated the manual ‘Clubfoot: Ponseti Management’ to Yoruba, Igbo and Hausa languages for use in Nigeria.

“Through him, Nigeria became the first country globally that produced and adopted national clinical guidelines on Clubfoot treatment. He has added two terminologies into the medical encyclopedias- ophthofall and Exposed Bone Syndrome.

“All members of staff and the entire public are implored to kindly support and cooperate with him on this new assignment.”

Last Monday, June 19, President Bola Ahmed Tinubu appointed new service chiefs to replace those that served under his predecessor, Gen. Muhammadu Buhari.

The eight appointees include Rear Admiral Emmanuel A. Ogalla from Igbo-Eze North Local Council of Enugu State, who was appointed as Chief of Naval Staff. At first, his appointment had elicited reactions as many could not immediately ascertain whether he hails from the South East. It was later confirmed that he hails from Umuopu Community in Enugu-Ezike, an indication that Tinubu was keen to reflect geo-political spread in the appointment of service chiefs.

Ordinarily, the development should be received with welcoming applause in the region, especially going by the experience of the last administration that did not consider any Igbo person capable to be appointed as a service chief, and into the security council, as well as, the fact that appointment into the topmost echelon of the Navy was coming to the South East region for the second time in the history of the country.

Former Rear Admiral Allison Madueke from Enugu State had also served in that capacity during the military era between 1993 and 1994.

However, since the appointment, what seems like a mixed grill has trailed it in the region. The mixed grill is not because Ogalla is not loved by his people, nor are the people of the region averse to inclusion, but because they still believe that the system has not treated the region fairly.

While there are people who feel that reflecting the geo-political spread in the appointment was a sure way to address some issues in the country, others insist that it was a matter of right and not a special favour done to the people of the region to have appointed one of its own into the security council. They insist that the zone deserves a better deal while pointing to the imbalance in other appointments made so far.

The apex Igbo socio-cultural organisation, Ohanaeze Ndigbo, has remained silent since the appointment was made. Many had expected that by now, the group should have either commended or disapproved of it, going by the fact that it had criticised the immediate past president, Muhammadu Buhari, for not appointing an Igbo son into the security council in the eight years that he presided over the country hence Tinubu’s decision to change the perception is worth commending.

The silence of the organisation may not be unconnected with the ongoing election matter at the presidential election tribunal involving Peter Obi and Tinubu. Ohanaeze Ndigbo believes that Obi won the election and may be legitimising the Tinubu administration by reacting to the appointment. Hence, it would prefer not to comment on the activities of the current government until the tribunal matter is sorted out.

Indeed, for eight years, while personnel from other regions of the country served in the security council, Igbos did not. Buhari ensured that no such opportunity was given to the South East even when his position negated the Federal Character principle, which he swore to uphold.

Ohanaeze Ndigbo had on several occasions, while the administration lasted, drawn his attention to it, describing his stance as “hatred and marginalisation against Igbo,” and attributing the increased agitation by separatist groups in the area to deliberate attempts to make them irrelevant in the scheme of things. However, the protests changed nothing.

A cursory look at appointments of service chiefs in the country indicates that the South East region has not been fairly treated. In fact, from 1960 until the present time, not more than seven persons from the zone have served in the security council of the country, with a greater number coming from the military.

 

Sources indicated that aside from the military coup of 1966 that brought in Gen. Johnson Aguiyi-Ironsi to serve as General Officer Commanding (GOC) for six months, and as such presided over the security council, the other time was during the Alhaji Shehu Shagari administration when Dr. Alex Ekwueme served as Vice President (1979 – 1983).

Navy Commodore Ebitu Ukiwe (rtd) also served in the Supreme Military Council as Chief of General Staff under the Babangida administration between 1975 and 1977. The other time that the South East region was appointed to the security council was during the Goodluck Jonathan administration. He had appointed Ogbonna Onovo, from Enugu State as the Inspector General of Police. Onovo who served for about one year between July 2009 and September 2010 became the first Igbo man to serve in that capacity since the establishment of the Nigeria Police Force (NPF).

Jonathan had also appointed Lieutenant General Azubuike Ihejirika (rtd) from Abia State as the Chief of Army Staff. It was also the first time someone from the South East was occupying such a position since 1966. Ihejirika, however, served for four years between 2010 and 2014. From 2014 until the appointment made by President Tinubu last Monday, no Igbo had been appointed to the Security Council. Such offices as Security Adviser; Defence Chief; Air Chief; Customs, and Immigration Comptollers, among others, have never been occupied by the Igbo.

This is probably what the president set out to correct last Monday when he announced the appointment of Ogalla as one of the service chiefs. Although many have expressed happiness that the president attempted to satisfy the geo-political spread in the appointments, there are strong indications that it would not address the yearnings of the people of the region.

The Director General of Voice of Nigeria (VON), Osita Okechukwu, who though shared in the sentiments about poor representation of Igbo in top decision-making organs, and the desire of Tinubu to carry every part of the nation along, however, added that democracy is a big elephant with many parts.

 

Okechukwu stressed that the growth of democracy throughout history has been incremental. He stated that democracy is not revolutionary but evolutionary and therefore that the South East may be the greatest beneficiary of the Tinubu-led administration.

He added: “In my calculation, South West benefitted more from ex-president Buhari’s regime than the North West, and South South was not the greatest beneficiary of ex-president Jonathan’s regime. I stand to be corrected.

“Secondly, and of importance as well, was that when the South East produced Senate President, Ministers of Power, Transport, Finance, Chief of Army Staff et al; neither the Second Niger Bridge was constructed nor Enugu-Onitsha, Enugu-Port Harcourt expressways were rehabilitated.

“We must note that appointments to flamboyant high political offices are considered here as very important because we run prebendal or food-is-ready politics. Otherwise, they are not as substantial dividends of democracy as critical physical and social infrastructures.”

Okechukwu continued: “Please, I am not opposed to the South East getting juicy appointments, far from that; what I know as a historical fact is that if it is good in any geo-political zone of our dear country, it will be good to Ndigbo. Nobody can kill the beetle; we live in every nook and cranny of our dear country and invest therein.

“The request one makes from President Tinubu is urgent demand on physical and social infrastructure; for example the provision of electricity, standardisation of Eastern Corridor Standard Gauge Rail line, rehabilitation of roads, and implementation of agricultural Green Imperative Project. These are the key indices for lifting millions out of poverty.”

The National Leader of the Movement for the Actualisation of Sovereign State of Biafra (MASSOB), Uchenna Madu, who commended the move to recognise the tripod that established the country, however, insisted that it would not stop agitation by the people of the region.

His words: “We see it as a good development; appointing a South East person into the security council is a welcome development. But it will not stop the agitation for Biafra. At the same time when you look at the composition, it is still one-sided. We are not against that. It is a foundational error. Nigeria doesn’t understand what national unity is. There is nothing like Nigerian interest, but ethnic interest.

“When Buhari was there it was only the Fulani that occupied the major positions. Now Tinubu is there, but we are not blaming him because that is what he met on the ground. We are not surprised. Let him go ahead. We know it is still going to be sectional at the end of the day.

“So, appointing a man from South East into the security council is a good development, but it is not a call for celebration. We cannot celebrate it because it can never stop our agitation for Biafra.

“We also use this medium to remind our brother appointed into the security council that he should focus on national interest because we the Igbo if we have the opportunity to be at the helm of affairs of the country, we shall promote national interest as it has been in our economic life, social life, and religious life. We have continued to focus on our national interest first before our regional interest.

Ndigbo have exhibited national interest and we appeal to him to continue to promote national interest with his office as Chief of Naval Staff. Let him not play ethnic interest. That is what we want because we believe in Nigeria.”

The former National Publicity Secretary of Ohanaeze Ndigbo, Mazi Chuks Ibegbu, noted that the appointment does not satisfy the yearnings of the region, stressing that the zone had not been accorded its rightful place in the scheme of things in the country.

“It is the prerogative of the president to make his appointments to reflect every part of the country. The appointment of a naval chief from the South East is not the issue and cannot proffer a solution. It is a right because we are a very strong component of Nigeria. He has not done any favour for us. He did what is required of him but I can tell you that it goes beyond what he has done

“The security architecture has been devoid of a major component of this country for several years. So, we have expected more from him. It is not something to go about rejoicing because we deserve more than that. The security architecture is still highly skewed against the South East. The person appointed from the South East has the highest qualification when compared to the other security chiefs. He merited it.

 

“The truth is that we are missing in action. We are not in the executive arm; we are not in the judicial arm and even in the legislative arm, we cannot say we are there. So nobody should start clapping. The appointments are still highly skewed and not fairly distributed. The country was built on a tripod and the Igbo is a major component that should be given more than it is getting at the moment. So, we don’t think he has done us any favour,” he added

A Civil Rights Activist, Jerry Ogu, however, stated that he was delighted that the president had taken the bold initiative to address issues plaguing the country, stressing that the appointment of security chiefs from various segments would douse tension.

He stated that one major issue that stoked agitation by the South East during the Buhari administration was the refusal to appoint South East to the security council.

“If Tinubu has removed that barrier, it means he is poised to do more if given the opportunity. It also goes to show that we need each other to deepen the progress and development of this country. If we say no to those things breeding discord, we are likely to achieve more as a nation.”

[Guardian]

The Manufacturers Association of Nigeria (MAN) has described the proposed 40 percent hike in electricity tariff scheduled to take effect from July 1, 2023, as “simply outrageous.”

The MAN also highlighted that the federal government had increased electricity tariff by 186 percent in the past eight years, adding that the “expectation of the manufacturers is that government and the Nigerian Electricity Regulatory Commission (NERC) will ensure improvement in electricity generation, transmission and distribution that will lead to adequate and reliable electricity supply in the country, rather than increasing the tariff on the mere 4000MW, to meet all revenue needs of stakeholders in the electricity supply industry.”

The manufacturers expressed these views yesterday in a press statement titled, “Possible Impact of Impending Electricity Tariff Hike on Manufacturers.”
The manufacturers stated that the proposed increase in tariff would lead to rise in cost of production, reduction in manufacturers’ profit margin, high probability of activities paralysis and potential reduction in government’s collectible revenue.

The association further noted that implementation of the proposed tariff would complicate the inflationary pressure on the economy, accelerate the recession in the manufacturing sector, hurt the competitiveness of Nigerian manufacturers and heighten the probability of manufacturing firms relocating their plants from Nigeria to other countries.

According to the Director General of MAN, Mr. Segun Ajayi-Kadir, who signed the press statement, “it is highly concerning for manufacturers to witness the electricity tariff skyrocketing beyond the present embattling high prices, starting July 1st. A 40 percent hike at this time is simply outrageous.”
Ajayi-Kadir further noted that the absence of stable, effective and fairly priced electricity supply in Nigeria has been a long-standing challenge for manufacturers.
He said: “The worrisome development has compelled many manufacturing industries to supplement the unreliable electricity supply with alternative energy sources. Regrettably, the available alternative energy sources such as diesel have become exorbitantly expensive.
“On average, surveyed data by MAN suggested that manufacturers spent at least N144.5 billion on sourcing alternative energy in 2022, up from N77.22 billion in 2021.

“This translates to about 87 percent increase in the cost of access to alternative energy sources by manufacturers within a year.
“In the past eight years, electricity tariff has been increased by 186 percent. The fact that the government itself owes N75 billion in unpaid electricity bills is indicative of how burdensome the cost of electricity has become.”

The MAN argued strongly that as a matter of fact, any further rise in electricity tariff will directly increase the cost of production for manufacturers.
“Already, we have energy constituting between 28 and 40 percent in the cost structure of manufacturing industries. You can imagine the impact on manufacturing industries that are energy-intensive such as metal processing, heavy machinery, and chemicals manufacturing.”
The Association added that “a spike in the electricity tariff will erode the profit margin of the manufacturers and reduce their ability to expand operations and create new jobs.”

It also feared that reduction in profit margins would be “a definite possibility among small and medium-sized enterprises (SMEs) who are unable to accommodate the higher price.”
MAN states further: “The hike in electricity tariff will reduce the manufacturers’ profitability and by extension the quantum of taxes and fees payable to the three tiers of government.
“Manufacturers remain the largest income taxpayers in the country. Therefore, in the event of poor income generation due to high costs of production, the government purse will suffer.

“In addition, the manufacturers would ultimately pass on the additional cost to the consumers of their products, which will increase the cost of locally made products in the market and complicate the rising inflation rate in the country.
“An increase in electricity tariff will reduce the purchasing capability. One of the resulting effects is the fall in demand and recession of manufacturing activities over time.”

The association also envisaged a high probability of outward investment as “some manufacturing industries may consider shifting production to other economies with lower electricity tariffs and guaranteed availability.”
Ajayi-Kadir adds: “As it is today, the manufacturing sector, which is the engine of growth, is still struggling as a result of the inclement production environment in Nigeria.

“The expectation is that the government will engage in extensive and intensive consultations with the manufacturers; focus on measures that will salvage the sector and halt the trend of shutdown of factories, knowing the implications and the multiplier effects on employment and the economy.
“Care should be taken to avoid introducing burdensome measures that will further strangulate the manufacturing sector and the whole economy.”

The director general of MAN stated further that the government should ensure that at least 90 percent of electricity consumers are metered to ensure consumption reflective electricity bill payment.
He also advised the government to formulate electricity policies that will aid investment in the energy industry to increase generation capacities and ensure effective implementation of the Electricity Act 2023 aimed at increasing electricity supply in the country.

[ThisDay]