Federal Government Officially Stops Petrol Subsidy

    The Federal Government has officially ended the subsidy on premium motor spirit, popularly known as petrol. The latest Petroleum Products Pricing template, issued by the Petroleum Products Pricing Regulatory Agency does not contain the usual subsidy component.
The PPPRA is the government agency that regulates the prices of petroleum products in the country and its template has always offered insights into how the pricing of these products are determined by the regulators.
As of December 28 last year, the official pricing template for petrol by the PPPRA showed that the Federal Government subsidised the product by N6.45 per litre. The Expected Open Market Price at that time was N93.45, which was N6.45 higher than the then retail price of N87 per litre.
On the revised template, the Estimated Open Market Price set by the regulator is now N84.78 for NNPC fuel stations and N85.1 for stations run by other oil marketer companies.
The EOMP is the summation of the landing cost of petrol and subtotal margins. Such margins include transporter’s cost, dealer’s charge, bridging fund, administrative charge, etc. Our correspondent said that the EOMP, therefore, is the true cost of the product.
Before the release of the revised template, the EOMP was usually higher than the retail/pump price of petrol at filling stations. The difference between the retail price and the EOMP was what the Federal Government paid as subsidy to oil marketers.
However, the new EOMP is lower than the retail price of N86.5, which was set by the Federal Government as the amount at which petrol should be sold nationwide. The implication is that Nigerians are paying an extra N1.4 for the commodity whenever they buy PMS at non-NNPC run petrol stations and N1.22 extra for every litre of petrol bought at NNPC-run filling stations.
On the extra amount paid by consumers for the commodity, the Group General Manager, Corporate Planning and Strategy, NNPC, Mr. Bello Rabiu, while explaining the template, told our correspondent that the negative subsidy would be remitted to the Petroleum Support Fund in line with the PPPRA guidelines.
He said, “The savings under such a regime could be domiciled in the PSF as a buffer to fund future subsidy (if any) that may arise during high oil price regime or invested by the industry in supply and distribution efficiency improvement projects such as decongestion of Apapa area, Single Point Monitoring in Port Harcourt and Warri, complimentary rail services, inland waterways, etc.”
The PPPRA, after getting approval from the Federal Government, had announced last Tuesday that retail filling stations belonging to the NNPC would from Friday, January 1, 2016 sell petrol at N86 per litre, while other oil marketers would sell the commodity at N86.5 per litre.
The Executive Secretary, PPPRA, Mr. Farouk Ahmed, while announcing the new price of PMS in Abuja, had told journalists on Tuesday that the reduction in the price of the commodity was due to the implementation of the revised components of the petroleum products pricing template for PMS and House Hold Kerosene.
He said the template would be reviewed on a quarterly basis as it was geared towards ensuring an efficient and market-driven price that would reflect current realities.
Ahmed had said, “Since 2007, while crude oil price had been moving up and down, the template has remained the same. This made it necessary for us to introduce a mechanism whereby the template would be sensitive to the price of crude oil.
“However, the template is not static, as there would be a quarterly review and if there is any major shift, the Minister of State for Petroleum Resources would be expected to call for a review, either upwards or downwards. If there is no major shift, the price would continue from January to March 2016. In addition, there would be a Product Pricing Advisory Committee that would be set up to advice the PPPRA concerning movements in the price of crude oil.”
On why the NNPC sold at a lower price than other oil marketers, Ahmed explained that it was due to the fact that it was cheaper for the corporation to import products, compared to the independent and major oil marketers.
Some oil marketers had told our correspondent that although it was possible to sell PMS at a “reduced price”, Nigerians might not be ready to absorb future fluctuations or modulations in the pump price of petrol.
The Corporate Affairs Manager, NIPCO PLC, an oil marketing firm, Mr. Lawal Taofeeq, said, “It is possible, but the issue that government needs to understand is that, should there be fluctuation in price, are Nigerians ready to absorb it? If the price of crude oil should go up again, will Nigerians be ready to pay the resultant increased cost for petrol? Thus, there is need for adequate education in this matter.”
The Minister of State for Petroleum Resources, Dr. Ibe Kachikwu, on December 27 last year, had told journalists in Kaduna that the government was currently not paying subsidy on petrol.
“Today, there is no subsidy; we are selling the product at N87; in January, we will look at what the trend is, we will announce (a new) price if that is less than N87; we will announce it and if it is more than that, we will have to announce it,” the minister, who also doubles as the Group Managing Director of the Nigerian National Petroleum Corporation, had said.
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Akwa-Ibom Government assures that free education will continue

The Akwa-Ibom government has come out to put to rest rumours that the it will be introducing fees from 2016.

The Commissioner for Education,Rt. Hon. Aniekan Akpan, in an interview withThe Nation,has assured citizens that the free education policy introduced by the previous administration would be sustained by the Udom Emmanuel-led government despite paucity of funds.

“The administration of Governor Udom Emmanuel is continuing with the free and compulsory education of the state in the primary and secondary schools. The government does not have the intention to introduce school fees in the system. The fear is unfounded,” said Akpan who advised the public to always seek information from credible sources.

Akpan also addressed rumours that the administration needs to employ 20,000 more teachers for it to be able to sustain the educational standard.

“The system is dynamic. There was recruitment in 2013 and another in 2015. The process is still on. The government is being careful and systematic. We don’t want to bring in people and in the next months cannot pay. Teachers’ recruitment into the system is ongoing,” he said.

“You don’t need 20,000 new teachers to ensure quality. You don’t need to put 25 teachers in a school to ensure quality. What is really needed are trained teachers who are ready to teach,” he said.  

OAU Varsity begins accepting entries for distance learning

The Obafemi Awolowo UniversityCentre for Distance Learning (OAUCDL) has commenced applications for its 2015/2016 Degree programmes in Accounting, Economics and Nursing.
Vanguardreports that this follows the completion of examinations for its 317 students currently enrolled in the eLearning programme.
The programme, which was introduced in April 2014, is a step in the right direction, says OAUCDL’s Director, ProfMichael Adeyeye.
He added that this is due to the fact that the existing higher institutions can only admit one-third of degree seeking Nigerians.
The programme was introduced upon the Nigerian Universities Commission’s (NUC) approval, while students in the eLearning programme receive lectures at their various locations through the tablet device (VigiTabs) given to them when admitted.

In Ondo Government suspends 3 principals, 23 teachers

 TheOndo State governmenthas suspended 3 principals and up to 23 secondary school teachers due to indiscipline.
The state chairman of the Teaching Service Commission,Mr Francis Igbasanmade this known in Akure yesterday, adding that the principals and teachers had a lackadaisical attitude towards their jobs.
Igbasan disclosed that the offending teachers were nabbed when members of the commission made an unscheduled visit 72 secondary schools across the state.
According to him, “The commission would not take the issue of indiscipline at work lightly again, the TESCOM of yesterday is different of TESCOM of today, any teacher or member of staff that is not serious at his or her duty posts would be shown the way out.
“ This government is trying its best for workers of this state, so the workers too should reciprocate it with hardwork.”
It was also announced by the governor of the state, Olusegun Mimiko, who was represented by his deputy, Alhaji Lasisi Oluboyo, that the commission will be recruiting 1,050 teachers immediately.
The governor said, “We shall continue to ensure that the welfare of our workers is accorded its rightful place in the scheme of things and also ensure that our teachers are well trained and rewarded to enable them re-dedicate themselves to their duties and with vigour.”

TambuwalSokoto Govt to get rid of unqualified teachers

   Governor of Sokoto State,Aminu Tambuwalhas said he would re-assign teachers who do not possess the required qualifications.

He announced that the government will begin to train teachers to conform with modern teaching techniques.
Tambuwal made this statement during the yearly national congress of alumni of his alma mater, the Dogon Daji Old Boys Association (DOBA).
He mentioned that alot of moneyhas been budgeted for retraining teachers, and that any teacher who does not perform at par after this, will have to be transferred to to other ministries and departments of government.
He said: “Those who don’t have the requisite qualifications would be re-assigned but will not lose their jobs. Let me announce it here that we do not plan to retrench any teacher working with the state government. In fact, we need more quality teachers to address shortfall in numbers.

“What we will not condone in our schools are unqualified teachers who have nothing to offer our children. If after giving you the necessary training, we discovered you don’t have the capacity or enthusiasm to teach, we will reassign you to where your expertise if most needed,” he added.