Wednesday, December 12, 2012

Re: We Remember Differently By S. Kadiri | Sahara Reporters

Re: We Remember Differently By S. Kadiri | Sahara Reporters

AWO, ACHEBE, AND THE NIGERIAN CIVIL WAR.

"Nevertheless, it is on record that at the Western ‘Leaders of Thought’ meeting in Ibadan on May 1, 1967, Awolowo said, “If the Eastern Region is allowed, by acts of omission, or commission, to secede from or opt out of Nigeria... then the Federation should be considered to be at an end, and the Western Region... should also opt out of it.” Awolowo’s statement made a month before Biafra officially pronounced secession from Nigeria can never be interpreted as a promise to Igbo people that if they seceded the Yoruba People would do the same thing. Moreover, Awolowo was not addressing an Igbo congregation but a Yoruba one at Ibadan. At best the statement was directed to the Federal government implying that if it allowed the East to go the West also would go and otherwise the West would stay."

"Regardless of whose ox is gored Nigerians should learn to be firm, resolute and aware- some in telling the truth and not seeing or remembering the truth differently. Since truth is straight, constant and not bendable it remains a fact that if the five Majors of January 15, 1966, were not infiltrated, betrayed and sabotaged by tribal traitors there would not have been pogrom in the North and there would not have been civil war."

Outstanding! Simply outstanding! This is the most insightful, spirited, aggressive, informative, and all-encompassing defense of Pa Awo's position before, during, and after the Nigerian civil war that I have ever seen. Enjoy the reading. 

Monday, December 10, 2012

How investors stall govt’s drive for private refineries




TheNigerianVoice Online Radio Center

How investors stall govt's drive for private refineries

By The Citizen

Like a failed dream, the strategic plan to mobilise private interest in local crude oil refining may have run into a brick wall.
The licencees for private refineries have recoiled into their respective shells, seeking other opportunities in the oil and gas sector.
The Federal Government has since 2002 to date, issued over 39 licenses to private operators to establish refineries of various capacities in the country, to lift the profile of local refining capacity from the current 445,000 barrels per day (BPD), a result of ill-maintained low capacity utilization of four facilities owned by the government.
But so far, only the Niger Delta Petroleum Resources, located in Ogbelle, Rivers State, with Dr. Layi Fatona as the promoter, has commenced production of 1,000bpd of refined oil.  Also, Orient Petroleum Resources Plc has completed the detailed engineering, sourced the modules of its refinery and completed site acquisition, perimeter and topographical surveys, geotechnical, geological and hydro-geological surveys, site civil engineering works prior to construction of internal roads and reinforced concrete plinths for installation of refinery equipment.  But it is yet to start production.
Indeed, virtually all the licensed operators had serially defaulted on their respective deadlines to commence production, leading to licence withdrawals on their part, with even increased reluctance for mandate renewals as stipulated in the enabling law.
Factors cited as challenges for the takeoff of the various projects by the licensees included huge upfront start-up fee; lack of sovereign guarantees to secure cheaper loans from the international finance market; and uncertainty over guarantee of free market pricing policy.
Despite government's reconsideration of the start-up fee in favour of the licencees, the investors still failed to show serious commitment, thereby truncating initial objective of the private refineries' initiative.
However, a source at the Department of Petroleum Resources (DPR) told The Guardian that the agency had already processed new applications for private refineries and that they were now awaiting approval from the Ministry of Petroleum Resources.
The source said that the new applicants were depot owners who may not have the challenges of bank guarantees.
The source added that the 39 licences would have been able to process over 2.654 million barrels per day, which would have reduced the country's dependence on fuel importation.
For instance, Amakpe Refinery Plant, one of the companies that got a  licence was configured to process 6,000bpd of crude oil from Qua Iboe.
The existing four local refineries (445,000 bpd capacity) only contributed about four to 20 per cent in the past five years to the national Premium Motor Spirit (PMS) consumption in the country.
The Guardian's enquiries revealed that in May 2002, the Department of Petroleum Resources (DPR) granted licences to 18 private refineries to operate out of which only one was able to come on stream.
The successful applicants were: Akwa Ibom Refining and Petrochemicals Limited, Badagry Petroleum Refinery Limited, Clean Waters Refinery, Ilaje Refinery and Petrochemicals, Niger Delta Refinery and Petrochemical Company Limited, NSP Refineries and Oil Services Limited, Ode-Aye Refinery Limited, and Orient Petroleum Resources Limited.
Others were Owena Oil and Gas Limited, Rivgas Petroleum and Energy Limited, Sapele Petroleum Limited, Southland Associates Limited, and South-West Refineries and Petrochemical Company, Starex Petroleum Refinery Limited, The Chasewood Consortium, Tonwei Refinery, Total Support Refineries, and Union Atlantic Petroleum Limited.
As at 2010, Amakpe International Refinery Incorporated with capacity to process 12,000 bpd got its approval to operate revalidated in 2007, but got stuck due to political reasons in Akwa Ibom State.
Resources Petroleum and Petrochemicals International Incorporated with capacity to process 100,000bpd, located in Ikot Abasi, Akwa Ibom State, also got its Approval To Construct (ATC) revalidated in 2010. Sapele Petroleum Limited with 100,000bpd located in Sapele, Delta State, also got its ATC revalidated in 2010. Rehoboth Natural Resources Limited, with capacity to process 12,000bpd got permission to operate in 2008, but applied to convert ATC to Licence To Establish (LTE) as 2010.
Amexum Corporation with capacity to produce 100,000bpd, complained of lack of financing which stalled the project's takeoff. Antonio Oil, located in Ogun State, with capacity to produce 27,000bpd, commenced civil and structural works on its site, but was unable to go farther.
Gasoline Associates International Limited Refinery, located in Ipokia Ogun State, with 100,000bpd capacity got its LTC granted and was also unable to continue.
Ologbo Refinery Company Nigeria Limited, located in Ologbo, Edo State, with 12,000bpd capacity, completed its engineering package, but its licence was not renewed by DPR and could therefore not go further.
On the upfront start-up fee, DPR sources noted that 'ultimately, the government reconsidered and accordingly reduced the fee in line with investors' expectation; in spite of this concession, the investors still failed to show serious commitment; raising funds locally was obviously a problem, as bank interest rates of 20 per cent and above would make borrowing for such a project a suicidal mission!
'On the other hand, much cheaper foreign loans required certain sovereign guarantees that government did not consider necessary.  Other investors demanded a free market pricing policy that eliminated subsidies, as the uncertainty and time lag related to subsidy refunds could jeopardise the ultimate  success of such ventures.'
When it became evident to DPR in 2007 that the majority of the 18 oil refinery licencees in Nigeria did not have either the financial resources or engineering expertise or the zeal to follow DPR's specific guidelines,  it  cancelled all the outstanding licences and only a few reapplied under more strenuous guidelines.
The source said that when it became evident that the investors were complaining of the stringent conditions, the DPR removed the statutory $1million performance deposit required from investors, for the establishment of private refineries in Nigeria.
He said: 'The government had realised that the deposit requirement was a disincentive to investors who were willing to establish refineries in the country. The requirement, which is contained in the 'Guidelines for the establishment of hydrocarbon processing plant (Refinery & Petrochemicals) in Nigeria,' states that a $1million refundable deposit is to be made by an investor for every 10,000bpd refinery capacity to be established.
He stated that this move was part of government's strategy to encourage private sector participation in crude oil refining and also her desire to locally refine 50 per cent or more of Nigeria 's crude oil.
The DPR revoked earlier licences issued to investors in 2004, citing lack of credible milestones by the companies, and introduced the 2007 revised guidelines, which contained the $1million refundable deposit requirement.
He added that the government had reviewed the law that guides the establishment of private refineries and was now awaiting the final approval.
On the process of getting the licence, the DPR source stated: 'The first stage is to get a licence to establish. The next stage is the submission of the basic engineering design package of the plants to the DPR at the completion of which an approval to construct would be granted to only those who meet the specifications. Those firms given the licences usually have up to two years to meet the requirements of the second stage, or lose the preliminary licences.
'Successful applicants are expected to meet the necessary requirements under this stage within two years of issuance of the preliminary licences. Companies that fail to meet the above requirements within the stipulated period will automatically lose the preliminary licences.'
The last stage of approval is a licence to operate a future plant, which would affect only companies that successfully go through the second state.
He said that over the years, many of the applicants got stuck at different stages of the processes of the projects and their licences were withdrawn.
A top official of an International Oil Company (IOC), who spoke on the condition  of anonymity, tied  the company's participation in investing in private refinery to the quick deregulation of the downstream sector.
He said that a deregulation policy was the best solution to petroleum scarcity in the country, stating that it was the only condition on which the company would invest in building private refineries in the country.
According to the source, 'we believe that deregulation is the best way forward for the oil and gas industry and the country because if the sector is deregulated, private operators would be able to build new refineries and there would be healthy competition.
'We cannot go into refining because the business environment is not conducive right now.  The banks are not ready to give out loans for such investment and we cannot approach our shareholders. There are so many loopholes.  We do not know the quantity of fuel being brought into this country. Smugglers are smuggling fuel into this country on daily basis and how do you think we would be able to make it? It will not be easy competing with big refineries outside the country. Our company is selling off some of its refineries around the world because of its inability to compete.'
He stressed that if the issue of subsidy continued to drag, it would be difficult for practitioners in the industry to build a new refinery.
He said the company would continue to operate as a profitable and resilient organisation, able to compete effectively in a fully deregulated downstream industry.
Reacting to this development, the President, National Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA), Dr. Herbert Ajayi, called for an incisive review of the factors that made those previously granted licences for refineries not to start operations, with a view to putting right whatever could have been wrong.
'All private operators previously granted licences for refineries should be re-invited to partner the government and be assured of the supply of feed-stock of crude oil, the refusal of which, NACCIMA understands, aborted their intervention,' it urged.
He stressed the need for government to look critically into the law that abolishes illegal refineries.
He said: 'NACCIMA believes if these illegal refineries are made legal and is effectively done, it would boost local supply capacity of petroleum products, create jobs and invariably may also reduce prices when competition fully takes its course.
'We have watched with dismay the continuous destruction of small refineries classified by government as illegal in the country. We believe that the action of government/Ministry of Petroleum Resources is not the best given the current problem confronting the country in the petroleum sector; as it would further compound the sector's supply chain of petroleum products. To ensure strict compliance and standards with the laid down criteria by the operators of the small (but now legal) refineries, there is the need for the DPR to assume effective supervisory role,' he said. (Guardian)

Thursday, November 22, 2012

Jonathan and His President's Men: Uneasy Lies the Head that Wears the Crown.

Preamble

Much as I espouse the idea of decentralization of power or semi-autonomous status for the component states in our beloved  country, Nigeria, I am absolutely certain that deficit of ideas in the leadership, as well as the inability of the leadership to prevail on those perpetrating frauds in the public sector, are the two major factors militating against Nigerian greatness. Without mincing words, I firmly hold - and I stand to be corrected - that leadership to a great extent, defines the attitude and behavior of a given people towards graft, bribery, and corruption in a given nation. Having a highly principled, tough, and exemplary leadership at the helm of affairs, like Anwar El Sadat, Murtala  Mohammed, or Jerry Rawlings, would no doubt, compel the Iboris of our Governors, the Farouk Lawans of the National Assembly, and the dare-devil fraudulent oil marketers to do a rethink before tampering with our treasury. 

Be that as it may, there is no denying the fact that there are stupendously wealthy Nigerians among us whose stranglehold on our major source of wealth - oil and gas - borders on insanity and unrestrained avarice. They are the major problem, and until we find ways to overcome their control, greed and avarice we will never experience sustainable growth. Also, at NNPC (the national oil and gas behemoth), it is survival of the fittest - a mob scene to say the least - where transparency and accountability are the exceptions, rather than the rule. 

Furthermore, the other branches of government - the Judiciary and the Legislative arms - are not known to be exemplary in overcoming ineptitude, corruption, and indolent in work places. The leadership in the two arms must be willing to vigorously address the passive ineptitude commonplace in the two branches. That the Bench must strive to jettison the status quo and rebel against unnecessary adjournments and the procedural legal mumble jumble perpetuated by celebrity lawyers to thwart real justice are not too complex a demand to make. In addition, those in subordinate positions, like Ministers, Special Advisers, Administrators, and Directors must be diligent and forthright as true fiduciaries - professionally and morally stable - in their own right as leaders.  Granted, the buck stops at the President's desk, but truth is, he cannot do it alone, because of the complexities of governmental challenges. That is the focus of this piece. 

Worthy Disciples and President's Men of Record.

Elsewhere on this Blog, I cited Mallam El’Ruffai’s exemplary performance at the Federal Capital Territory when he was the Minister of the Federal territory as the work of a one man gang, intent on making real changes in the public arena. What Mr. Ruffai did was neither President Obasanjo’s idea, nor was it a cue from the blue print developed by the party in power. It was basically his goal and personal resolve to clean up the mess he met in the City and remake the City in the true image and intent of its original creator. And he did exactly that. Whether or not he sold land to some of his family members in the process is another story, and of course, an issue for the court to resolve. 

In a similar vein, when Dr. Olu Agunloye was picked as the head of the newly formed Federal Road Safety Commission under the Chairmanship of Professor Wole Soyinka during President Babangida era, he was never given a blue print or told what to do. At the end, Mr. Agunloye created a one of a kind Road Marshall in the history of Nigerian Highway policing. He manned our Federal Highways with state-of-the-art technology, recruiting some of the finest and most aggressive, but patriotic field staffs, and in the process, drastically reduced fatalities on our roads. It is sad, very sad that none of these two gentlemen is holding any national or public office today.

Also, the US Attorney General, Mr. Eric Holder, and the FBI have been making a substantive breakthrough in their war against organized crime in the healthcare industry in the US, unlike ever before. And the effort is yielding massive returns for Uncle Sam. Mr. Holder and the FBI Agents involved do not look up to President Obama to tell them what to do, or how to sanitize the Healthcare sector. They are simply doing the job they are trained and paid to do by the people and government of the United States of America. 

Coming home, President Obasanjo did not give Mr. Ruffai a matching order or instructions on how to go about cleaning up the Abuja mess that he inherited from the previous administration. And President Babangida did not tell Dr. Agunloye what to do, either. 

Indeed, every subordinate or appointee, in good standing, is expected to be an Eric Holder, a Ruffai, or an Agunloye - creative, industrious and result-oriented. Yes, the President looks up to his Ministers, Administrators, Advisers, Director, and Special Assistants – to perform and serve in him and the people of Nigeria as true fiduciaries, conscious of the fact that he is not imbued with the same professional expertise that they possess. And that explains the necessity of their stewardship. The urgent question then is: Is President Jonathan getting the best of all the President's men?

I ask the question with a sense of guilt, because most Nigerians, including myself, have been very critical of the President, blaming him for everything that is wrong with Nigeria. Why do we have Ministers, Administrators, Special Advisers and Special Assistants? Because the President, even if he is an Awo or a Clinton, cannot be a jack of all trades, and cannot possibly be everywhere doing every thing that matters to us simultaneously.  They still need men.

Granted, uneasy lies on the head that wears the crown, but the President's men should learn to show grace under fire, exhibit leadership skills as Mr. Holder is doing presently in the United States, and as Mallam Ruffai and Dr. Agunloye did in their official capacity as Minister and Administrator respectively in Nigeria. 

Separation of Powers and Check and Balances

Nigeria is not a dictatorship. It is a federation of States, with three arms of government in our political system that are independent of one another, but are equal and balances the work and responsibilities of each other at the national level. The Legislative arm and the Judiciary are independent of the Executive branch. Thus, if we must overcome the greed and profligate attitude of our political and business leaders, and the decadence of the past, the three branches of government must first undergo self-purification. The Executive cannot do it alone.

Legislative Arm: First, the Legislative arm must check its excesses. Greed has clouded the conscience and compromised the idealism and sophistication required of honorable members of Parliament in good standing.  Adding to that, most of its members are completely detached from the reality and living conditions of the people in their respective communities or districts, thereby defeating the true essence and purpose of democracy - the government of the people and by the people.  It has always been about their wallet, their family members, and political friends.

Today, House of Representative member, Mr. Farouk Lawan is still sitting comfortably in the National Assembly despite confessing to having received a bribe of $600,000.00 from Mr. Otedola with a view to compromising his findings as Chairman of the House Committee set up to investigate petroleum subsidy scam. And he did exactly as Mr. Otedola bargained. For the purpose of the record, the House of Representative is a part of the Legislative branch of government which is one of the three arms of government. 

Given the age old concept of Separations of Power and Check and Balances, the Executive arm (the Presidency) has no control over what obtains in the National Assembly, including the trial and discipline of its members. That is the responsibility of the Ethics Committee of the House, the Speaker of the House, Mr. Aminu Waziri Tambuwal, and the EFCC, AG, and the Police as law enforcement agencies.

Judicial Arm: The Judiciary must embrace activism and strive to do a thorough review of past and present conduct of members of the bench, focusing on their pronouncements and exercise of their discretionary privilege over the years. Those found to have abused and compromised their discretionary power, especially in the area of interlocutory rulings should be asked to retire voluntarily. 

Lawyers know how to overwhelm the court with interim and injunctive applications, not necessarily to preempt or prevent imminent and irreparable harm or injury to their clients but to permanently deny the court its fundamental responsibility of dispensing justice. That is the most potent manipulative mechanism in the arsenal of big time lawyers to keep their big time clients out of the wrath of the law. The lawyers know what they are doing. And the affected members of the bench know what is at stake, but they, most often, play along. 

Ruling on interim applications or injunctive reliefs is discretionary on the part of the presiding Judge and it ought to be a timely decision. It shouldn't be used to hold back the hands of the clock, thereby allowing fraudulent political and business leaders to evade prosecution or stay out of jail forever. The solution is simple: The new Chief Justice of the Supreme Court must first, rid of the bench the blatant abuse of discretionary rulings for the court to be able to live up to its true purpose - the last hope of the common man and of a struggling nation contending with extreme forces. 

Therefore, if we are waiting for President Jonathan to prevail upon the Legislative branch - teaching them how to discipline or reprimand its erring members - we are strictly being unfair and asking for the impossible. The Legislative arm and the Judicial arm are independent of the Executive branch. Therefore, they also have an enviable role to play - ensuring ethical and code of conduct compliance of its members - if we must move Nigeria out of the present corruption abyss. That every hand must be on deck is an understatement. 

Decentralization, as we suggested in the previous piece on this Blog is a product of the disillusionment with present dispensation, it is not the only solution to our problem. Leadership is. The trust deficit is. 

Moving Forward.

In spite of everything, democracy is still preferable to a Military government. Therefore, let's join hands to grow and develop our democracy in accordance with the trends in most developed countries of the World. A military coup is never a better option. It has never been and it won’t be.  But make no mistake; in light of the large scale fraudulent activities going on right now in the oil sector, people power revolution and civil resistance are always on the table. Those involved in the trial and prosecution, and especially, the indicted petroleum marketers who received money for petroleum products that they did not supply, should be very apprehensive of the unknown. It is our money, and we will get it one way or the other.

With respect to national security, we want to state on record that Nigeria is a secular state, if President Jonathan cannot rule Nigeria, no one, henceforth, can rule Nigeria. And if for any reason connected with the present state of religious unrest and the attendant insecurity he ceases to function as President, Nigeria will come to a standstill. The outcome will be such that when it is all over, there won't be a country called Nigeria.  President Jonathan holds all the cards, any exit unconnected with a credible presidential election or genuine people power revolution is the shortest distance to disintegration. 

Therefore, as we have argued elsewhere on this blog, Nigerians should give President Jonathan a chance; he did not breach any law by stepping into the vacuum created by the death of President Musa Yar'Adua. He acted within the confines of the law and the Constitution. Every Nigerian must have the right to aspire to the highest office in the land through a democratic process. If the Judiciary is independent and graft free, and, if the office of the Attorney General, the Police, and the numerous crime fighting agencies stay aggressive and jettison partisan politics, we will be able to manage the war against corruption, and at the same time, conduct a free, fair, and credible election nation-wide. In that case, we will be able, through popular mandate, to measure our grievances. 

Conclusion 

At this juncture, I must not hesitate to applaud President Jonathan, Professor Jega, the Police and the Military for the credible and successful election that they conducted in Edo State and Ondo State recently. We shouldn't forget ‘operation wetie’ and the Akin Omoboriowo versus Pa Ajasin battle of wit in the second republic. No doubt, the performance of the Electoral Commission in the two states is a welcome development given the large scale electoral frauds and the blatant abuse of judicial process that characterized President Obasanjo’s administration a few years back. 

Yes, President Jonathan is not a tough talking dude, but if the Presidency and Professor Jega could achieve such a grandiose  success in the Governorship election in the two states, how come the AG and EFCC have not been able to make a successful breakthrough in the war against the organized crime that has overwhelmed the entire petroleum sector? That is a question for Mr. Mohammed Bello Adoke, the Attorney General, and Mr. Ibrahim Lamorde the EFCC boss to answer. Both of them enjoy absolute power and an unlimited budget, and answerable to no one, if they know what they are doing.

Granted, uneasy lies the head that wear the crown, but there won't have been Christianity without the Disciples of Jesus Christ as well as the effort of those who share the passion of Christ. Right now, all hands must be on deck from the Presidency, the Judiciary and to the floor of Congress for a new beginning to take root. We cannot afford to do less. 

Ministers and Special Advisers must adopt the radical approach and learn to speak-up, no matter whose ox is being gored. Failure to act would be stupendously cataclysmic for the entire leadership structure. And as Professor Wole Soyinka would say, "the man dies in all who keep silent in the face of tyranny." 

Sovereign National Conference and Decentralization, without Disintegration:

Preamble:

My position on Sovereign National Conference, true federalism, resource control, and semi-autonomy for the component states within the Nigerian Federation has evolved over the years. That evolution is in consonance with the opinion of Professor Wole Soyinka and few other progressives who have openly canvassed for a certain degree of autonomy for the component states within the "geographical expression" called Nigeria. Given the degree of our cultural, political, and religious differences, semi-autonomy is the right approach to ensuring stability and sustainable progress nation-wide. Also, the complexities inherent in the governance of Nigeria as a single sovereign-nation, as we have seen and experienced over the years, make distorted federalism (the unitary format) unattractive. Today, the Federal Government is becoming larger in size, scope, and responsibilities. At the same time, it cannot police and protect our wealth and riches under its command. In addition, it lacks the ability and the strategic wherewithal to manage and apply the wealth and the riches equitably for sustainable use and benefit of all. Thus, making the need for decentralization of power and authorities from the over-bloated central government to the component units and regional councils a compelling consideration. 

This piece is neither a demand for disintegration nor an endorsement of the call for the disintegration of Nigeria, as we often hear from some individuals. Disintegration, to say the least, is unrealistic. That is my position. It is too extreme and too dangerous to execute, given the tenacity of the economic relationship between the different regions and the social integration that has existed between the various ethnic groups and tribes for centuries. Therefore, the best approach is true federalism or a confederation option or confederacy, similar to what obtains in Canada. Thus enabling the component states or regions to assume a semi-autonomous status and develop at their own pace culturally and politically, and at the same time, relieving the central government of some of its enormous power and responsibilities. We should also not lose sight of the mayhem and ethnic cleansing that heralded the civil war, and that is the main reason for a negotiated belonging. I am totally against any measure that would exacerbate ethnic hatred and bloodshed. Let's start with decentralization, or at least, the decongestion of our federal system. 

The Relationship between Unitary System, Federal System, and Loose Federalism or Confederation of States.


A Federal system of governments involves the delegation of power between the central government, the federating states, and local councils. The ability of the component states to manage their own resources, raise revenues, participate in the ratification of the national constitution, make laws, provide security, and regulate for the general well-being of the citizens within their geographical and political boundaries are some of the fundamental elements of a Federal system of governments. A Federal system is midway between a Unitary system (where the central governments delegate power and authority to the states and local governments) and a Confederacy system (where the component states command a large degree of autonomy and are more powerful or as powerful as the central government). In a Confederacy arrangement, the central government only exercises the power and authority reserved for it or delegated to it by the component states. In other words, the component states dominate the central governments and operate as a semi-independent nation-state. Canada and Switzerland are some of the few countries were Confederacy is presently in operation. 

Constitutionally, Nigeria is a Federal system, but in reality, we operate a Unitary system of government. Today, the component states in the federation cannot fend for themselves and cannot survive on their own, without the monthly allocations from the central governments. The Thirty-Six States in the federation are like local councils - a true replica of a Unitary model - where the center is more powerful than the whole. That was never the intention of our Founding Fathers.

In sum, Nigeria, without any iota of doubt, is becoming too large and too complex for the leadership at the national level to manage and govern effectively as one independent whole. The decentralization of certain responsibilities of the central government to the regional governments will make for efficiency, and no doubt, curtail the massive scale of corruption, embezzlement, and prodigious squandering of our riches prevalent at the national level.

Resource Control / Moving Forward.

With the evolution of true federalism or semi-autonomous status for the federating states as envisaged by our Founding Fathers, coupled with the decentralization of power at the center, the struggle for the control of Aso Rock would diminish drastically. In other words, if we decentralize the power and the resources under the control of Aso Rock; create the right incentives for the federating states within the union to manage their own people and the natural resources within their geographical boundaries, the animosity wrecking our political system, and the "do or die" approach that encapsulates pursuit of power at the federal level would ebb significantly. It is that simple.

Furthermore, given that crude oil is the mainstay of our economy, it will be disingenuous on our part to demand or suggest that the oil-producing states assume exclusive control and ownership of the mineral resources in their respective states at this stage. That would be economically suicidal, especially in some parts of the country where there is 100% reliance on the federal government for subsistence. As at now, where natural resources deposit does exist, the federating states do not have the means to successfully commence their exploration and exploitation at a commercial scale. It requires massive capital infusion, efficient labor force, and planning.

Therefore, we suggest that the oil-producing states take in equal share - 50/50 - of the Onshore Mineral deposits in their respective states with the federal government. The same standard should apply as well in other states in the federation where there are substantial deposits of mineral resources at a commercial level. On the other hand, Offshore Mineral deposits within a certain limit of our Economic Exclusion Zone or Continental Shelf should be under the exclusive control and ownership of the federal government - that part of Nigerian territorial water, which should not belong to the coastal state.

On State Police.

We were the first to kick against the establishment of State Police when the idea was first mooted after the Governor's meeting in Port Harcourt about seven months ago. I had my doubt. But with the advent of semi-autonomy status for the component units in the union, the idea of State Police is a welcome development. Our fear then was that it would lead to a dictatorship of the State Governors. Then, we recommended three units for the Police Force – Mobile Police, Highway Patrol, and the Regular Police. Our recommendation was that the old Highway Police Unit be resuscitated and merged with Federal Road Safety Corps, while the Mobile Police Unit is transformed into a SWAT TEAM as it is the case in developed countries. I am glad that the IGP did reintroduce the Highway Patrol Unit a few months ago with new armor trucks to police our Federal Highways. And that was a welcome development.

Please see an excerpt from “Divine Wisdom: Changing the World in Six Months” posted on June 9, 2012. 

"With the evolution of true federalism (semi-autonomy for the federating states), State Police would be a welcome development. In that case, Mobile Police (the new SWAT TEAM) and Highway Patrol (Federal Trouper) should remain under the exclusive control of the Federal Government. I repeat, Highway Patrol should be re-introduced and merged with Federal Road Safety Commission to be known as Federal Trooper to manage Federal Institutions, Foreign offices and Institutions, and Federal Highways, while Mobile Police should be transformed into a SWAT TEAM for rapid response assignment nation-wide. But the regular Police should be under the control and command of State Government.”  That was our recommendation on June 9, 2012, and we stand by it. IGP has introduced Highway Patrol and we are most delighted

SOVEREIGN NATIONAL CONFERENCE VS LEADERSHIP DEFICIT


Over the years, I have deliberately excused myself from the call for SNC, because I still believe that leadership, as well as, corruption epidemic are the major problems confronting Nigeria as a nation-state. My other fear is that when SNC is eventually convened, the same old political careerists who debased and wrecked this great nation would have control over the selection of potential delegates to the conference. And thirdly, the people making the call do not have a clear message - no one is discussing why we should have SNC. There is no existing coherent strategy for its actualization.

Historically, the idea for an SNC was originally conceived by the progressives and social activists (not political careerists) in order to wrest power from the over-bloated and underperforming power clique at the center headed by the Military. As it is today, the demand has been unduly politicized to the extent that any mention of SNC is perceived as a call for the disintegration of Nigeria. And that is a misconception that must be corrected fast.

In addition, SNC has no visible leadership at the moment. What is going on behind the scene is basically power play – political careerists, presently left out of power and influence, have resorted to agitating for SNC, making it a north versus south affair. They hijacked it and transformed it into a struggle for power between it and the often reviled northern power elite groups. That is an insider war that southern progressives and social activists must first win - taking the demand out of the reach and control of politicians. 

SNC, as originally created is not an exercise in vain. But it has to be refined and given a new meaning to sync with realities on the ground. There are fundamental national issues that need to be addressed - Nigerian secular nature (take religion out of our Federal Government), free education at all level nationwide, population (graduation rate and school enrollment do not support result from the Northern region), regional autonomy (States should be given the right to exercise substantial control over their resources), the un-education of greater majority of northern children by successive northern administrators (the need to probe, and where appropriate, rectify the massive abuse of educational grants to educational institutions in the Northern Region, and finally, land ownership and division of offshore mineral deposit between the coastal states and the central government (a permanent solution is required to ensure where federal government should exercise absolute right over mineral deposits in our territorial water, without sharing ownership right with the coastal states), finally, the three dominant tribes (Ndigbo, Yoruba, and Hausa/Fulani), should remember that Federal Character was never intended to protect the MAJORITY tribes. It was meant to prevent them from suffocating and alienating the MINORITY tribes from the scheme of things at the federal level. In other words, a federal character is not about sharing power and positions among Ibo, Yoruba, and Hausa/Fulani, but to ensure that such power and positions that come with it are also extended to the minority tribes. 

As for the apostles of SNC, it is not enough to give a one-liner argument, stating that you need a Sovereign National Conference, without actually saying why you need it. We had enough of the noise about the mistake of 1914 and the amalgamation brouhaha. Be substantive. Take a cue from conservative Northern Governors; they don't debate issues they consider sacrosanct or germane to their political, cultural, and religious interests with anyone outside of the geographical north. For instance, the promulgation of Sharia Law or the introduction of Native Police in most parts of the northern region was never a subject of a national referendum. It doesn't matter whether it benefits the generality of northern residents, provided that the ruling class is safe and secured in their hold on power. 

From all indications, SNC is for progressives to lose. The untold truth is that there is no progressive agenda, as we have a northern and conservative agenda, headed by the Arewa Consultative Group or Forum, and supported by the Northern Governor Association. What we have in the south is a collection of political interest groups masquerading as concerned citizens and activists, without a clear purpose and mandate. Also, there is no marriage of thoughts existing between SNC advocates, Southern Governors, and members of the National Assembly from the region.

That void must first be arrested for southern consensus and progressive agenda to evolve and given effect at the national level. The involvement of members of the National Assembly of southern heritage is sacrosanct to addressing the grievances underlying the demand for SNC. 

Therefore, you must first identify those issues and grievances succinctly and articulate them unambiguously to develop a winnable argument and populist agenda. Finally, if you cannot articulate the issues, which in fact is true, set up a body to advise you on the subject similar to what the Northern Governors did a few months ago with respect to the PIB - Petroleum Industry Bill. You cannot continue talking about change if you cannot articulate the change or changes that you desire. Second step: Organize, organize, and organize. You don't have to wait for the President and the National Assembly to intervene and approve of your demand before you start the briefing process through summit and conferences. Third step: Know your audience, and present your argument in the English language that people can easily understand. 

ANALYSIS 

The complexities inherent in the governance of Nigeria as a single sovereign-nation, as we have seen and experienced over the years, make distorted federalism expendable. Over the decades, it has been proven beyond doubt that the Federal Government cannot police and protect our wealth and riches. At the same time, it lacks the ability and the strategic wherewithal to manage and apply the wealth and the riches equitably for sustainable use and benefit for everyone. Therefore, there is no reasonable ground allowing the central government to remain in complete and perpetual control of the wealth and the riches of our great nation. Thus, making the call for decentralization of power from the over-bloated central government to the component units or regional councils a compelling consideration.

In a nutshell, the problems described here at the federal level have been with us for ages. It is the handiwork of the same political and business leaders with power and influence who dominate our political system and benefit immensely from the spineless federal government. It has become too monstrous and too complex for the leadership clique to manage. Therefore, we should, without equivocation, develop some mechanisms to take power back to the people. Let's start the discussion from there. You already have enough talking points from this article. It is not a northern issue or a southern issue. It is a national question. Let's meet and organize. SNC might not happen in your lifetime. If it does happen, Nigeria wins and it is fine with me.

Finally, for true federalism and decentralization to take hold and subsist in Nigeria, resource control and the introduction of State Police Command are the first steps. If the Federal Government cannot police and protect our people, our wealth, and at the same time lacks the ability and the wherewithal to manage and apply the wealth for sustainable ends and for the benefit of everyone, there is no excuse allowing it to exercise absolute control and authority over it. The problems described here at the federal level is not a recent development, it has been with us for ages. Presently, the federal government lacks the will and the wisdom to recoup our stolen wealth from the indicted thieves. In addition the, the federal government has become too monstrous and too complex for the present leadership clique to manage. Therefore, we should, without delay, devolve power back to the states and local councils.  The option is very clear. 

Alex Ehimhantie'Aiyo Aidaghese

Friday, November 16, 2012

STICK-TO-ITIVENESS A.K.A. HAMILTON-AT-LARGE*: Memo to the Constitutional Review Committee

STICK-TO-ITIVENESS A.K.A. HAMILTON-AT-LARGE*: Memo to the Constitutional Review Committee: Vice Presidential Succession, Federal Character, and the State of Origin Provisions in the 1999 Constitution of the Federal Republic of Ni...

Monday, November 12, 2012

The Search for A True Federalism – Part One

A Prelude to Restructuring. 

The Balkanization of Nigeria by Northern Elite Military Group and the Disappearance of the Federal System. My Position in 20011. 

“The federal character principle enshrined in the 1979 Constitution is predicated upon the view of Nigeria as a house on four pillars, the four pillars being the Hausa/Fulanis, Igbos, Yorubas and the Minorities, and that the edifice will begin to wobble and its stability imperiled if the headship of the federal government is not made to move around these four groups. Nigerian unity demands acceptance and commitment by all to the principle of rotation, i.e., that ordinarily, no two persons from the same group should hold the headship of the federal government in succession. Unless the federal character principle is applied in order to rotate the headship of the federal government among the four groups, its application at the lower levels will not be effective to secure national unity. The danger of disintegration and of demands for a confederal arrangement will continue to stare us in the face.” “The Igbos in the Context of Modern Government and Politics in Nigeria: A Call for Self-Examination and Self-Correction.”, By Prof. Ben O. Nwabueze SAN, 1985 Ahiajoku Lecture.

"I am not satisfied with the Nigeria in which I live today, neither am I proud of it. I want this Nigeria destroyed and another born. There is despair where there should be hope. Groups that should inspire have rather become hindrances of social and economic growth.”  Saharareporters: “Destroying This Nigeria” By Leonard Karshima Shilgba, September 23, 2011.

The call for a confederal system of government (Confederacy), or a Sovereign National Conference (SNC) is receiving unprecedented momentum in the blogosphere of late following the upsurge in the bombing spree credited to Boko Haram and its affiliates. The demand is not new. It began with late Chief Olu Aboderin, seconded by late Chief Bisi Onabanjo in the 80s, and given a new meaning in the 90s by late chief Anthony Enahoro and other prominent social activists, too numerous to mention here.  While Aboderin and Onabanjo called for a confederal system of government (where the component units are more powerful than the central government), Enahoroh and his fellow social cum political activists, originated the concept of a Sovereign National Conference (a dialogue, kind of) subsequent to the annulment of the June 12, 1993, presidential election, won by Chief Moshood Abiola the Aare Onakankonfo of Yoruba land.

Whatever the form or semantic coloration of SNC, it is an expression of anger motivated in part by the growing disillusionment within the educated elite groups over the inexcusable failure of our elected and unelected leaders in the management of our political system and our oil wealth, especially at the national level. Surprisingly though, the demand remains an exercise in intellectual voyaging, lacking congressional support and refusing to gain mainstream support or traction in the real world. Cogent as the motives may seem, until the apostles of SNC or confederal arrangement develop a winnable argument and articulate how dismantling this country in line with pre-amalgamation will eradicate corruptions and leadership crisis (greed and poverty of ideas), the demand will remain, as it has always been, a futile endeavor.

It is a truism that the reactionary feudal elements in the north and by extension, the military wing of that reactionary power block, succeeded in under-developing Nigeria because of the persecution complex and willful silence of most of our southern military officers since the Kaduna Nzeogwu’s coup, followed by the greed and opportunism of the reactionary elements within the southern political establishment since the creation of this country. Most disturbing is the complete absence of southerner academics and intellectuals in the face of blatant, retrogressive, and ethnically motivated socioeconomic policies successively pursued and implemented at the center by the Jubrin Aminus of the north in cahoots with the faceless Kaduna Mafia and present day Arewa Consultative Forum.

While most southern columnists, opinion leaders, and public affairs commentators tend to impress us with their semantic prowess, re-enacting publicly available information as opinion; northern intellectuals and technocrats continued to shape our national policy debate as well as the policy implications of our laws and regulations to suit whatever purpose they deem fit at any given time.

Most often, when southerners are not sleeping on their rights or shooting their foot, they are acting out their master’s scripts in the worst form imaginable; not necessarily on account of patriotism, but for self-promotion and greed, or simply on the basis of intellectual puritanism. In a nutshell, northerners never dictate the scope and directions of our politics and policies, without the active involvement of the south. They set the machinery in motion, only for greedy southerner politicians and administrators, or simply on account of their inexcusable political naivete turn out to be worthy ambassadors of feudal and retrogressive policies.

Be that as it may, we cannot have a viable union or strong federalism in the absence of some form of physical mechanisms or some kind of federal physical structures that every citizen can tap into on an equal basis and at all levels of government – from clerical to the presidential level. There is no gainsaying the fact that present anger would have been averted or mitigated at least if southerner military officers and political leaders who served under the northern-controlled governments show strength or follow Awo’s principles of engagement - no accord or alliance, without the integration of his core beliefs as a component part of the ideological framework of the new arrangement or government in power.

Nevertheless, I would like to add that, time and time again, the north, successively represented at the center by a coterie of predominantly ethnic chauvinists, with the active support of the vocal and lawless religious extremists at the fringe, has been an unfaithful partner since the amalgamation. It has always been all about the north – what the north wants and what is good for the north before what is good for Nigeria. For instance, they receive more money in federal allocations for the education sector than the south, in spite of the fact that they constitute less than 20% of the entire population of students in Nigeria.

It is profoundly ironical, that Aguiyi Inonsi, died, because of his introduction of a Unitary System of Government, that is today, the norm in Nigeria. Some historians and public affairs commentators consider the promulgation of a Unitary system naive. However, Ironsi and his advisers then, firmly believed that, given the mistrust and the volatile political situation generated by the assassination of the Premier, Abubakar Tafawa Balewa, and the Sadauna of Sokoto, Almadu Bello during the Nzeogu's coup, a unitary system of government would facilitate unity, peace, and tranquility, and ultimately, calm nerves in the north. They were wrong. The north, represented by the often referred to as 'young military officers,' thought otherwise. they considered a unitary system of government another form of dominance, introduced by the Ironsi regime to silence and colonize the north. 

Who would blame them - Zik ran away and the Premier of the Eastern Region (Okpara) was in a safe location, while Balewa, Sadauna Sokoto, Okotie-Eboh, Akintola, and some of the finest Yoruba Military Officers were killed. I am not a historian; nevertheless, I have no doubt making the conclusion that that was never Nzeogu's intention. Somebody somewhere betrayed Nzeogu and his friends, thereby defeating the purpose and essence of the coup. I live that to Historians.

Today, constitutionally, we are a federation, or supposedly, a federal system, but in reality, we are operating a unitary system of government (what Ironsi died for); conceived by a government headed by northern military officers through the creation of more states - states that cannot fend for themselves, and states that substantially depend on the government at the center for their survival.  That is not what our founding fathers had in mind when they developed and settled for the concept of a Federal Republic of Nigeria.

Must we now turn around and accuse IBB and Abacha of creating more (weak) states and local governments in order to create a stronger and domineering central government to subjugate the south as argued by the young northern military officers when Ironsi introduced a unitary arrangement? Truth is, their intention was not to dominate, but to redistribute wealth in favor of the northern region - the more the number of local governments and states created in a particular region, the more of federal wealth that goes to that particular region monthly. 

One could also argue that their intention was to bring government closer to the people and facilitate grass-root development. Whatever your interpretation is or was, one thing remains obvious: the unintended consequence turned out to be structurally and politically devastating to the entire fabric of our federal system. The process eroded the true concept of federalism because the new states and local governments created as well as the old states cannot stand on their own, without the direct support of the now powerful central government. That is an indisputable fact. And that is now our reality - a unitary model at its finest - a development that Southerners now find very unsettling.

True federalism is about equal distribution of power and responsibilities between the government at the center and the semi-independent component states and the local councils at the lowest end of the political ladder. That is one of the fundamental elements of a federal system of government. In sum, the ability of the component states to manage their own affairs and resources and regulate for the security and well-being of those within their geographical and political boundaries, are some of the basic attributes of a federal system of government.

Today, states are like local governments or counties - they collect taxes, levies, and fines from market women and motor park operators, and no more. States within a federal system do more than collecting levies and taxes; they are mini nations, with all the power and privileges that come with it. They control, exploit, and manage the mineral resources in their domain in collaboration with the federal government in licensing, permitting, and regulatory aspects. That is what is missing in Nigeria. The states cannot perform and the central government is becoming more and more powerful and domineering.

Federalism was at its best in Nigeria prior to the discovery of oil in the Niger Delta. Then, we had groundnuts pyramids, timber, rubber, palm oil, cocoa, cotton, and coal, just to name a few. They were our major foreign exchange, earners. As long as we have free money flowing from crude oil to the central government, we will never have true federalism in Nigeria.

The obvious truth is that, if the northern political leaders and the military elite groups had judiciously utilized the wealth they cornered for the development, training, and education of the greater majority of northern children since the end of the civil war, the mass illiteracy, lawlessness, and hopelessness ravaging that part of the country today would have been adequately contained by now. And by extension, federal character and quota system (that created inequality in our political system, which southerners resent) would have been avoided, and religious bigotry would not have been that rampant.

In spite of everything, the north is not an Eldorado – not everyone is a beneficiary of the stolen wealth or the stolen governments. Northern poor and the generality talakawas are a victim of the system just as those of us in the south. They need help. We all need help. This country should not divide. We need a new attitude. That is why I start this blog. I will mention the name(s) and point the finger where possible because I have the facts.

The deafening silence from prominent leaders of thoughts in the north and the nonchalant approach exhibited by the vocal Arewa Consultative Forum since the emergence of Boko Haram, support the narrative that the answer that we seek is not in disintegration, but in a leadership change. Reason: the victims of the carnage are on their own. ACF members are more interested in building a family empire - Business Empire for the privileged few, not for the vulnerable talakawas who congregate at places easily targeted by Boko Haram.

Now is the time for a new start, to reminisce and take stock of what we did not do right as individuals and as a group and as a race. And to develop a framework for a new beginning, for equal rights and protection, and for impartial deliberations with a view to serving one great purpose – the greatness of Nigeria.

I reject the ‘destroying this temple’ (Nigeria) narrative of our bloggers, opinion leaders, and writers. I would rather we focus on a unifying and nation-building narrative - doing exactly what Chief Obafemi Awolowo did – educate everyone and provide for everyone the right incentives for empowerment, for industrialization, and entrepreneurship and simultaneously, do exactly what Mallam Nassir El’Ruffai did at FCT- clean up the Temples, without regards to race, religion, and class and make it (Nigeria) WHOLE again, without bloodshed.

December 2011

FIFA World Cup Final: Coach Didier Deschamps and a Lesson in Authentic Leadership. (A Master Class)

I am not a Sportswriter, commentator, analyst, or enthusiast. I am a Lawyer by training, and I have a passion for crafting public policy sta...