Deregulation and the politics of public policy by Reuben Abati

This thing called democracy, particularly the Nigerian brand, never ceases to throw up new and intriguing lessons about the relationship between government and the people, and the larger, complex socio-political environment. I had gone to Lagos on an assignment in the last two days of the year 2011, when around midnight I received a phone call from someone close to the corridors of power, informing me that a meeting had just been concluded in Abuja where a decision had been taken to deregulate the downstream petroleum sector, and thus, in effect remove the subsidy on Premium Motor Spirit (Petrol).

       I told him I was aware of plans to that effect, since the President had been holding a series of meetings with various stakeholders and constituencies on the same subject, but as at the time I left for Lagos, no final decision had been taken. The fellow insisted he knew what he was talking about and that in the morning, the Petroleum Products Pricing Regulation Agency (PPPRA) would make the announcement. Sometimes in the corridors of power, informal stakeholders could enjoy faster access and be even more powerful than persons with formal responsibilities. There are persons and groups whose livelihoods are so dependent on government and the people in power that even a whisper at the highest level resonates immediately as an echo in their ears. I learnt very early never to underestimate such persons.

Subsidy must go – Finance Commissioners, NECA

Removal ‘ll impoverish Nigerians; it’s corruption that should go— NLC

Commissioners for Finance from the 36 states of the federation rose from their monthly Federation Accounts Allocation Committee, FAAC, meeting in Abuja, yesterday, insisting that petroleum products subsidy must be removed.
While their position was consistent with that of the Nigerian National Petroleum Corporation, NNPC, it sharply contradicted the thinking of the Nigerian Senate, which held a few days ago that petroleum subsidy should remain.
The commissioners had, three months ago, decided that the current subsidy was not in the interest of the nation and wrote a letter to President Goodluck Jonathan, demanding an end to it.
The Chairman, Forum of Commissioners of Finance, Mr. Timothy Odaah, told journalists shortly after the meeting that there was no going back on their position and that they had fully briefed their principals— state governors.

Sanusi shuns FRC panel, sitting suspended

The Financial Reporting Council of Nigeria on Thursday alleged that the Central Bank of Nigeria under the leadership of the suspended governor, Mr. Lamido Sanusi, spent N500bn as intervention fund in various sectors without obtaining the approval of its Board or the Federal Executive Council.

It also alleged at a sitting in Lagos in which the suspended governor was scheduled to appear that the bank under his watch spent N10bn to renovate five palaces of traditional rulers in the country under its education intervention projects.

Diezani jet scandal: Reps uncover second aircraft

Fresh revelations indicated on Tuesday that Petroleum Minister, Mrs. Diezani Alison-Madueke, maintained a second jet.

The jet, a  Global Express XRS plane, is  allegedly chartered specifically for her private and official trips overseas.

A return trip on  the  XRS plane is said to cost taxpayers €600,000.

The   jet  is different from the Challenger 850, which the House of Representatives said gulped N10bn  in the last two years to fly the minister.

Investigation by The PUNCH showed that the House Committee on Public Accounts stumbled on the second jet in the course of the ongoing probe into the N10bn expenditure on Challenger 850.

Crisis Looms As FG Plans To End Fuel Subsidy

Nigerians may witness another massive protest following plans by the government to remove subsidies on petrol and kerosene.
The Minister of Petroleum Resources, Mrs. Diezani Alison-Madueke, gave a hint of government thinking on the removal of the subsidies Tuesday at the ongoing Nigerian Oil and Gas Conference in Abuja.
Arguing for the removal of the subsidies, Alison-Madueke said subsidies being paid to the marketers by the government on imported petrol and kerosene were no longer sustainable.
The oil minister explained that the reform being implemented in the power sector should be taken to the downstream oil sector, stressing that the negative impact of continued regulation of the sector outweighed the positive impact.

Why Jonathan suspended Sanusi – Abati

The presidency has reiterated that it suspended the Governor of the Central Bank of Nigeria (CBN), Sanusi Lamido Sanusi, because he was indicted in a probe carried out by the Financial Reporting Council of Nigeria since May last year.

Presidential spokesman, Reuben Abati, told State House correspondents at the Presidential Villa, while dismissing speculations that Sanusi was removed because of the alleged billions of dollars that had not been remitted to the Federation Account by the Nigerian National Petroleum Corporation (NNPC).