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Study unveils illegal pangolin trading hotspots in Africa, Asia

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A major milestone may have been recorded in the fight to curb the trafficking of pangolins in Nigeria and Africa at large.

pangolins
The Pangolin. Pangolins are believed to be the world’s most trafficked mammals

This follows the release of findings of a research work which, among others, revealed the hotspot and trading routes of traffickers of the endangered species across Africa and Asia.

The project, which reportedly took seven years to complete, entails collaborative research involving Nigerian conservationist, Dr. Excellence Akeredolu of the University of Lagos, along with a group of researchers from the University of California, Los Angeles, as well as scientists from various regions in Africa and Asia.

In a chat, Dr. Akeredolu, an Associate Professor and member of the IUCN Pangolin Specialist Group who serves as Director-at-Large for the Society for Ecological Restoration USA, expressed optimism that the findings would be a useful tool for the Nigerian Customs, Immigration Service and other law enforcement agencies and stakeholders in tracking and intercepting traffickers of not only pangolin but other wildlife species that the nation is under obligation to protect.

Akeredolu stressed that, due to the lack of proper training of law enforcement agents and failure to equip them with the latest technologies, it has been an uphill task identifying the origins of wildlife species and their body parts, concealed and trafficked within the country’s borders.

“Pangolins are usually mixed with other goods. Some are mixed with scales of fish and those things make it difficult for law enforcement agents to determine. The law enforcement agents in Nigeria are not well equipped with the latest technology and capacity to differentiate and track the origin of the confiscated pangolin. So, all these things, together with lack of funding, have hindered efforts of law enforcement agents in tracking trafficked pangolins,” said Akeredolu.

The don noted with happiness that the released research findings had provided insights that would help law enforcement agents to track and locate the origin of seized pangolin products, necessary for curbing the illegal trade.

He said: “Over the years, efforts have been made to track the route and source of Illegal trade in pangolins. About two years ago, a consignment of pangolin was intercepted in Nigeria by the Customs. To date, the origin of the scales has been very difficult to track.

“Pangolin products are often brought through illegal hunting and trafficking, which means they lack proper documentation and traceability.

“The absence of clear paper on that made it difficult to establish the exact source of the origin of the confiscated items. Illegal wildlife traders operate through a complex network which makes it difficult to track. Also, our border is porous, making it very easy for people to bring in and take out pangolin without law enforcement agents being able to do anything about it.”

Dr. Akeredolu also noted that one of the biggest highlights of the research findings was that it exonerated Nigeria as among the biggest sources of pangolin body parts, as against popular opinion. He, however, stressed the urgent need for the country to beef up surveillance and security around its borders to make them less porous, thereby preventing traffickers from turning them into transit routes for endangered wildlife species, especially pangolin.

Akeredolu, who identified pangolin as among the most trafficked and traded wildlife globally despite being critically endangered, identified some of the factors responsible for it including its high cost which he said is about $250.

He pointed out that it has been discovered that because the organism is very expensive on the black market, persons alleged to be terrorists sell it in exchange for weapons and ammunition, which is among the major reasons no efforts should be spared in the fight against its trafficking.

Explaining further, he said, “All the eight species of pangolin found in Asia and Africa are threatened and endangered, therefore international efforts are being made to protect and conserve them.

“Pangolin over the years has become one of the major victims of international trade. Some of the factors driving trade in the animal include its use for traditional medicine and the high value of pangolin in the black Market, which is $250. Even the terrorists are selling the animals to exchange them for weapons. Some people also believe that it is delicious, so they use it as meat.

“Pangolins are a critically endangered species and therefore it is forbidden by law for people to use these animals for all sorts of things. The animals are found in various habitats in Africa – rainforest, savannah, grassland, and even rocky areas.”

The research work, published in the Science Journal, revealed a progressive decline in illegal trafficking of pangolin in West Africa, but a spike in Central Africa.

These changes in trafficking patterns, the team said, could represent a response to increased enforcement and declining pangolin population in West Africa. They also attributed it to the possibility of traffickers taking advantage of new and convenient trade routes.

The report reads in part: “By sampling 32 confiscations seized between 2012 and 2018 representing over 100,000, the team mapped pangolin hotspots documented changes in poaching pressures over time.

“Next, we analysed data on pangolin trafficking incidents to connect poaching hotspots with common trafficking routes to market. Our approach enables the monitoring of changes in poaching in near real-time, allowing for targeted and more effective anti-poaching measures.

“Networking mapping of African pangolin seizures identified Nigeria as the highest-volume transit hub in Africa, where traffickers amass pangolin scales before shipping them overseas.

“Nigeria’s seizures are more comparable to those in non-African transit locations, such as Hong Kong, China, and Turkey. However, data from public records of illegal activities are subject to major biases such as law enforcement efforts and media interest in large seizures.

“Our results provide a geographically explicit understanding of where global trafficking networks threaten white-bullied pangolins most. However, our study and past work suggest that these routes will likely change over time and continuous monitoring is necessary to detect changes in trafficking patterns.

“Testing seizures confiscated over just seven years, 2012-2018, enabled us to detect changes in the origins of trafficked pangolins. Early on, poaching activity was confined to West Africa before shifting to Central Africa more recently.

“With over half a million African pangolins seized from the illegal wildlife trade in the time frame, unsustainable exploitation seems all but certain.”

Concluding, it says: “Over time, the last decades, the Asian pangolin population has declined due to demand from unsubstantiated use in traditional medicine, at the same time, poaching of African Pangolin has increased rapidly.

“Identifying the source of poached pangolin and the path of transit of pangolin scales could greatly inspire our ability to reduce illegal trade of these animals, which at current rates lead to their extinction. They found a shift from west to central Africa over the last decade and further identified trafficked pangolins and the result showed changes in trafficking hotspots over time.”

Private sector should lead CNG initiative – Information Minister

Minister of Information and National Orientation, Alhaji Mohammed Idris, says the private sector has a leading role in actualising the Federal Government initiative on Compressed Natural Gas (CNG).

CNG
Minister of Information and National Orientation, Alhaji Mohammed Idris, (standing 5th left) with some of the CNG Trainees on Tuesday in Abuja

Idris gave the charge at the inauguration of ABG CNG Plant and graduation of 40 CNG Conversion Technicians.

This is contained in a statement issued by the Special Assistant on Media to the Minister, Mr Rabiu Ibrahim, on Tuesday, January 2, 2024, in Abuja.

Idris, who described the effort of the ABG Group as noble and timely, said the CNG has come to stay as a more cost-effective means in the transportation sector.

The Minister praised the foresight of President Bola Tinubu in leading the way toward the adoption of the CNG as a dominant alternative to premium motor spirits in powering commercial and private vehicles.

“The CNG is the future, and it is therefore important for Nigerian entrepreneurs to take advantage of government policy on the CNG by investing in the human and material assets required to grow its infrastructure across Nigeria.

“The government of President Tinubu has so far committed the sum of N100 billion in the first instance towards the CNG.

“In fact, the CNG and its inherent opportunities appealed to the Nigerian Labour Congress which has since softened grounds with the Federal Government,” Idris said.

Meanwhile, the Chairman of the ABG Group, Alhaji Bawa Garba, said the CNG is a clean energy solution requiring government support and patronage to immersive and showcase Nigeria as a ‘Gas Nation’.

“Our Group is thankful to President Tinubu for the bold decision to adopt CNG.

“We are always a pioneering company, and our involvement in the CNG initiative is underscored by training multitudes of CNG conversion engineers across Nigeria,” Garba said.

By Collins Yakubu-Hammer

Oil and gas: What lessons for Nigeria from Russia?

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With over 200 trillion cubic feet (tcf), Nigeria has the largest gas reserves in Africa. It is ranked 9th globally.

Compressed Natural Gas (CNG)
Compressed Natural Gas (CNG) plant

Given the nation’s high dependence on oil and gas for industrial and domestic energy, the global transition from carbon fuel to sustainable energy sources poses a significant threat to Nigeria’s economy.

Most African countries, including Nigeria, are still facing energy availability problems as their energy consumption is several times below the world’s average.

Experts estimate that Africa will account for over 60 per cent of global population growth by 2050.

In view of urbanisation experts forecast that Africa will experience significant economic growth to be accompanied by two-fold increase in natural gas demand.

Nigeria, Africa’s largest Liquefied Natural Gas (LNG) exporter, lacks access to energy and since gas is the energy transition fuel, it is only logical that its development, availability and utilisation be enhanced.

Natural gas offers effective solutions to major areas of activities causing air pollution, including power generation, transport and household applications.

It can replace coal in power generation and oil products in transport; as for household applications, natural gas substitute Biomass (firewood) which according to experts account for up to 45 per cent of Africa’s energy mix.

Apart from being used for cooking, transportation (in vehicles), heating and powering machines, industries among others, the gas is also a valuable raw material for the production of fertilisers.

A trip to Russia on the invitation of its state-owned Gazprom Energy Company revealed that partnering and emulating Russian Gas Projects and Gazprom’s competencies along the entire value chain of gas business is paramount for Nigeria’s gas development.

Russia has the largest proven natural gas reserves in the world, worth 47.8 trillion standard cubic metres. Iran and Qatar follow, with more than 30 and 20 trillion cubic metres.

Gazprom, its state-owned energy corporation, established in 1971 with sales of over $120 billion is ranked as the largest natural gas company in the world and the largest company in Russia by revenue.

The company operates many active oil, gas and condensate fields with cluster of producing gas wells, comprehensive gas treatment unit, booster compressor station, and transportation and power infrastructure.

Gazprom is the main supplier of natural gas to the country and to other countries. Under its Gas Infrastructure Expansion and Unified Gas Supply System, gas is supplied to millions of households and public utility enterprises.

The Russian government is also committed to its All-Russia Gasification Programme which started in 1960 and had promoted clean energy and energy security till date, according to Mr Buzin Vyacheslav, Diretor-General, JSC, Gazprom Distribution.

Vyacheslav said the total length of Gazprom’s Gas Distribution Networks transmitting gas to end consumers was more than 800,000 kilometres.

“To make clean energy widely available to Russians, Gazprom is actively bringing gas to cities and villages, by building gas pipelines stretching from major gas trunk lines to the land plots of consumers.

“Gas infrastructure expansion is the most ambitious socially significant project of Gazprom that helps improve the living standards of people and the main benefits of pipeline natural gas are convenience of use, eco-friendliness –reliability and cost efficiency.

“Uninterrupted delivery and safety are the main principles of Gazprom as regards gas supplies, both construction and operation of gas infrastructure facilities are performed in compliance with stringent requirements.

“Pipeline natural gas is the cheapest energy source available in Russia today. For instance, gas prices for the population are regulated by the government which makes them as affordable for households as possible,” he said.

According to Vyacheslav, gas infrastructure expansion is a powerful driving force behind the development of regional economies.

“Owing to the access to pipeline gas, availability, larger tax payments; growth of employment and increase of living standards and better environmental conditions are achieved,’’ Vyacheslav stated.

He also said gas infrastructure is being expanded extensively across Russia, adding that, by 2030, gas networks will be present in all places of Russia where it is technically possible.

Vyacheslav said for Nigeria to achieve gasification, technical and technological designs are involved to ascertain the cost.

He said it would also involve geological survey to identify rocky areas which might not be penetrated hence other options could be applied.

The energy company had expressed readiness to partner African countries, including Nigeria on gas technology, infrastructure and development, according to Dobycha Nadym, Mr Dimitry Stratov, its Deputy-Director General, Prospective and Development.

Prof. Stanley Onwukwe, an oil and gas expert, said it was unfortunate that Nigeria had the resources and projects like the National Gas Development Strategy, Trans Sahara Gas Pipeline Project among others which were yet to be fully harnessed.

Onwukwe said Russia was proactive and had supplies gas to almost all the western world.

Onwukwe, a professor in the department of  petroleum engineering, Federal University of Technology, Owerri, said there were blueprints established for gas developmental projects to thrive in the country but lack of political will hampered such projects.

“Nigeria has Compressed Natural Gas (CNG) is already being used in Benin, most cars in the state are running on CNG.

“Initially the conversion of vehicles was free but they later started collecting almost a million naira which put people off.

“Such should be replicated nationwide while CNG refill stations should be established in various places for refilling but no such thing.

“The problem is not to have your vehicle’s engine converted for natural gas use but to see where to refill if you are on transit.

“It is a global village; just that the government does not have will power to implement such developmental projects after contract award,’’ he said.

He said the facility including gas base infrastructure for industries were necessary for distribution of gas but required proper investment and finance.

Dr Chijioke Ekechukwu, an economist, said it would take a strong political will and implementable policies for Nigeria to attain such feat as Russia including having all our vehicles converted to CNG.

According to Ekechukwu, piping gas to homes is also possible if the supply is guaranteed.

He said it would be win-win to have policies in place towards achieving this, especially the fact that we have an abundance of gas.

“Only recently, the Nigerian government inaugurated a committee to convert cars and buses from petrol and diesel to CNG engine that can be used by these vehicles.

“We have an abundance of this gas, which is flared and wasted. Gas consumption both at home and by vehicles is climate friendly and should be encouraged,’’ said.

Also speaking, Mr Yusha’u Aliyu said Russia and EU have an excellent working policy on energy production and consumption, saying that technological advances also added value to their efforts.

“Gas is cost effective and environmental friendly. We have to develop a strategy and culture of commitment and efficiency to thrive,’’ he said.

By Emmanuella Anokam, News Agency of Nigeria (NAN)

ICCDI empowers 120 young community voices for climate justice in six states

In recent years, the global climate crisis has emerged as one of the most pressing challenges facing humanity.

ICCDI
A group of young community voices

Recognising the need for urgent action, the Young Community Voices for Climate Justice initiative was carried out in six states of Nigeria, engaging 120 young people in a collective effort to address climate change and advocate for environmental justice by the International Climate Change Development Initiative (ICCDI) with the support of the African Youth Commission under the African Activist for Climate Justice Project.

The activities aim to provide an overview of the initiative, its impact, and the key outcomes achieved.

The Young Community Voices for Climate Justice initiative was implemented through community engagement activities and awareness campaigns. The participating states included Lagos, Kano, Rivers, Enugu, Cross River and Abuja, the Federal Capital Territory (FCT).

A diverse group of 120 young people, aged between 18 and 35 were selected to ensure representation from different backgrounds and communities.

During the community engagement, key findings by the project promoters included:

Increased Awareness and Knowledge: The initiative successfully raised awareness among the young participants about the causes and impacts of climate change. Through interactive workshops and expert-led sessions, the participants gained a deeper understanding of climate justice and the role they can play in addressing environmental issues.

Community Engagement and Advocacy: The young participants actively engaged with local communities to foster dialogue and promote sustainable practices. They planned to organise tree-planting drives, clean-up campaigns, and awareness sessions in schools and neighbourhoods.

By mobilising community members, they created a ripple effect, inspiring others to take action for climate justice.

Policy Advocacy: The initiative empowered the young participants to become advocates for climate justice at both the local and national levels.

They conducted research, developed policy briefs, and engaged with policymakers to raise awareness about the need for stronger climate policies and environmental regulations.

Their efforts resulted in increased government attention to climate change issues.

The Young Community Voices for Climate Justice initiative is said to have demonstrated the immense potential of Nigerian youth in leading effective climate action.

By engaging with local communities, advocating for policy changes, and promoting innovation, the young participants have made significant contributions to the fight against climate change.

Their efforts serve as a beacon of hope for a sustainable future, inspiring others to take action and driving positive change in Nigeria and beyond.

It is essential to continue supporting and empowering young people in their pursuit of climate justice, as they represent a powerful force for environmental transformation.

By Olumide Idowu, ICCDI Africa, @ClimateWed

Ayuba emerges new VC of Bingham varsity

Professor of Biogeography and Environmental Science and former Deputy Vice-Chancellor in charge of Academics at the Nasarawa State University, Keffi, Haruna Kuje Ayuba, has been appointed by the Board of Trustees (BOT) as the new Vice-Chancellor of Bingham University, Karu, Nasarawa State.

Prof. Haruna Kuje Ayuba
Prof. Haruna Kuje Ayuba (left)

Prof. Ayuba’s appointment is said to have followed the approval of the recommendations of the university’s Governing Council to the Board of Trustees, chaired by the ECWA President, Rev. (Dr) Stephen Panya Baba, on the appointment of a new Vice-Chancellor for the university.

Prof. Ayuba, who is also a climate change expert, is expected to take-over from the incumbent Vice-Chancellor, Prof. W. B. Qurix, OFR, whose tenure expires on Monday, January 8, 2024.

According to the institution, Professor Ayuba brings with him a wealth of experience in environmental management and university administration.

Towards sustainability: Looking ahead to environmental moments in 2024

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The year 2024 will be marked by several events and observances with important implications for the environment, biodiversity, and global sustainability.

Sustainability
Sustainability

From advancing sustainable nitrogen management to fostering inclusive collaboration for biodiversity and addressing critical threats like antimicrobial resistance, the UN Environment Programme (UNEP) says it will work to support multilateralism, science-based dialogue and actions, innovation, partnerships for people and planet and much more.

Here are some key international events and meetings planned (dates and details subject to change).

January 9 – 10: The 5th Meeting of the UNEP Working Group on Nitrogen

The UNEP Working Group on Nitrogen is convening for its fifth meeting, aimed at advancing the implementation of UN Environment Assembly (UNEA) resolutions 4/14 and 5/2 concerning “Sustainable Nitrogen Management.” This gathering will occur in Nairobi, Kenya, with both physical and hybrid attendance options available.

January 23 – 25: Bern III Conference on Cooperation among the Biodiversity-related Conventions for the implementation of the Kunming-Montreal Global Biodiversity Framework

The Bern III Conference focuses on enhancing the Kunming-Montreal Global Biodiversity Framework (GBF) implementation by fostering inclusive collaboration. It aims to identify opportunities for cooperation among biodiversity-related conventions, suggesting steps to strengthen collaboration while respecting mandates. The conference also emphasizes sharing practical experiences to inform scalable cooperation in implementing Multilateral Environmental Agreements (MEAs).

February 12 – 17: Fourteenth Meeting of the Conference of the Parties to the Convention on the Conservation of Migratory Species of Wild Animals (CMS COP14)

The upcoming CMS COP14 in Samarkand, Uzbekistan, emphasises international collaboration for migratory species’ survival. Set under the theme “Nature knows no borders,” it aligns with the Kunming-Montreal Global Biodiversity Framework. This meeting addresses habitat conservation, threats like overexploitation and the climate crisis. The conference underscores international collaboration for the survival of these species beyond political boundaries.

February 27 – March 1: The 6th Session of the United Nations Environment Assembly (UNEA-6)

UNEA-6, hosted at UNEP Headquarters in Nairobi, Kenya, emphasises effective and sustainable multilateral actions to combat climate change, biodiversity loss, and pollution. Member States and stakeholders will collaborate to advance the Decade of Action, addressing interlinkages between these global challenges through dialogues and official events. The assembly aims to lay the groundwork for strengthened global and regional efforts by the UN, Member States, and partners for impactful environmental action. The event will also feature Leadership Dialogues, a number of official and associated side events (some hybrid), exhibits, and much more.

March 30: International Day of Zero Waste 

The International Day of Zero Waste promotes sustainable consumption and production, advocating for a circular economy to address climate change, biodiversity loss, and pollution. With global waste reaching 2.24 billion tons annually, zero-waste initiatives aim to minimize and prevent waste, enhancing environmental protection and human well-being.

April 21 – 30: 4th Session of the Intergovernmental Negotiating Committee (INC-4)

The Plastic Pollution Intergovernmental Negotiating Committee (INC-4), as mandated by the UN Environment Assembly (UNEA-5.2) resolution, will convene in Ottawa, Canada. The committee, supported by UNEP, seeks to craft an international legally binding instrument addressing plastic pollution, encompassing marine environments.

May 28 – 30: Nairobi Convention COP11

The Nairobi Convention is a regional treaty that works to protect, manage, and develop the Western Indian Ocean. Its COP11 comprises a preliminary meeting for partners, experts, and national Focal Points, followed by a Heads of Delegation meeting. The session involves a review of the Convention’s 2022–2024 Work Programme, approval of the 2024–2026 Work Programme and budget, and deliberations on key decisions.

June 3 – 5: 2nd Global meeting of the Montevideo National Focal Points

The Montevideo Environmental Law Programme is dedicated to advancing global environmental rule of law. The upcoming Second Global Meeting of National Focal Points will convene in Nairobi, Kenya. The programme’s objectives include promoting the development and implementation of environmental rule of law, enhancing capacity in countries, and contributing to the environmental dimension of the 2030 Agenda.

June 12 – 17: 3rd Session of the Ad Hoc Open-Ended Working Group on a Science-Policy Panel to further the sound management of chemicals and waste and to prevent pollution

The Open Ended Working Group (OEWG) 3, in line with UNEA resolution 5/8, continues work to propose a Science-Policy Panel on Chemicals and Waste. Mandated to finalize proposals by 2024, it addresses key aspects like institutional design, governance, name, scope, functions, and operating principles for effective contributions to sound chemical management and pollution prevention.

September 24: High Level Meeting on Antimicrobial Resistance

The 2024 United Nations General Assembly High-level Meeting on Antimicrobial Resistance (AMR) presents a crucial opportunity to address the escalating threat of antibiotic resistance. The meeting aims to renew global commitment, exploring innovative and multilateral actions to combat AMR’s far-reaching implications on healthcare, mortality rates, and overall well-being.

October 21 – 23: 26th Coordinating Body on the Seas of East Asia Intergovernmental Meeting (COBSEA IGM 26)

The 26th Intergovernmental Meeting of the Coordinating Body on the Seas of East Asia (COBSEA) is scheduled to take place in Cambodia. The event will focus on crucial strategies for managing marine environments in the East Asian Seas Region.

October 21 – November 1: 16th Meeting of the Conference of the Parties to the Convention on Biological Diversity

The 16th Conference of the Parties (COP16) to the Convention on Biological Diversity (CBD), will convene in October–November 2024. The event marks a critical global gathering to address biodiversity conservation, biosafety, and access to genetic resources.

November 4 – 5: 4th Global High-Level Ministerial Meeting on Antimicrobial Resistance 

Saudi Arabia hosts the fourth high-level global ministerial conference on antimicrobial resistance (AMR), bringing together leaders to address urgent issues in preventing and managing AMR on a global scale.

November 11 – 24: 29th Session of the Conference of the Parties (COP29) to the United Nations Framework Convention on Climate Change (UNFCCC) 

As a follow-up to the remarkable COP28 in Dubai, UAE in 2023, Azerbaijan hosts COP29. It will also include the 19th Meeting of COP serving as the Meeting of the Parties to the Kyoto Protocol (CMP19), the 6th Meeting of the COP serving as the Meeting of the Parties to the Paris Agreement (CMA6) that will convene to complete the first enhanced transparency framework and the new collective quantified goal on finance, and the 61st Sessions of the Subsidiary Body for Scientific and Technological Advice (SBSTA61) and the Subsidiary Body for Implementation (SBI61).

November 25 – December 1: 5th Session of the Intergovernmental Negotiating Committee to develop an international legally binding instrument on plastic pollution, including in the marine environment 

Plastic Pollution Intergovernmental Negotiating Committee (INC-5) convenes in Busan, Republic of Korea, as part of UNEA-5.2’s resolution for a legally binding instrument on plastic pollution. With a comprehensive approach covering the plastic life cycle, the aim is to complete the work by the end of 2024.

A number of international days related to and led by UNEP will be observed:

Group celebrates 2023 ‘Conservation Triumphs’

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As the year 2023 came to a close a couple of days ago, the conservation community celebrated some big wins termed “Conservation Triumphs 2023”.

Blue whale
Blue whale

Information obtained from the X handle of Wild Africa Fund showed that one of the big wins is the return of blue whales to Seychelles.

“Once on the brink, blue whales make a remarkable comeback in the Seychelles, offering hope for their future,” submitted the group.

Another big win is the Scimitar-Horned Oryx thriving in Chad.

“From extinct-in-the-wild to making-a-comeback! Chad celebrates the success of reintroducing scimitar-horned oryx, a testament to global conservation collaboration,” Wild Africa Fund said.

The third big win in 2023 is the rescue of Giant Pangolins in Kenya.

“Rediscovering giants! Kenya’s Pangolin Project leads efforts to protect the endangered giant ground pangolin, emphasising the link between community and wildlife well-being,” posted the group.

By Fabian Ekeruche

Energy stakeholders anticipate rapid oil-led economic growth in 2024

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Some stakeholders in the oil and gas industry have projected a rapid economic growth for Nigeria in 2024, based on increased oil production for the year.

Heineken Lokpobri
Minister of State for Petroleum Resources (Oil), Sen. Heineken Lokpobri

The stakeholders, who shared their views and expectations for this year in separate interviews on Tuesday, January 2, 2024, in Lagos, explained that Nigeria would during the period exceed its crude oil production target of 1.7 million barrel per day (bpd).

Dr Ayodele Oni, Partner, Bloomfield Law Practice, said that the oil and gas industry was one of the most impactful sectors in 2023.

Oni said that the sector, however, elapsed around mid-year in 2023, largely because of the decline in petroleum production, political uncertainty and theft.

According to him, there was  significant improvement in the fourth quarter of 2023 for the oil and gas sector.

“In terms of infrastructure, it has been a good year with projects like the AKK, Dangote Refinery, and marginal field production being witnessed.

“No doubt, 2024 will be very exciting for the petroleum industry,” he said.

The expert attributed the inability to  meet the  petroleum production quota in the year under review to theft and lack of key infrastructure.

To address these challenges, he advised the government to take steps to incentivise crude oil production and foreign investment in the sector, reduce petroleum theft as well as pipeline vandalism.

Oni noted that the government could also create proactive business environment for investors and develop key infrastructure within the industry.

“When incentives are introduced, they must not only be paper incentives but must be obtainable in reality and with ease,” he added.

He  also said that in  the period under review, the government, no doubt made significant improvements in petroleum refining.

Oni said that the first private refining facility owned by Dangote was commissioned while the existing refining facilities are being aggressively refurbished just as steps are being made to inaugurate new refinery projects.

“Similarly, in terms of gas policies, the government has continued to show its commitment to develop Nigeria not just as an oil-rich country but as a gas super power.

“Policies and activism have been demonstrated in developing the gas sector as much as the oil sector.

“In terms of the applicable law and deregulation, steps have been taken to ensure the enforcement of key provisions of the Petroleum Industry Act.

“Steps are actively being taken by key regulators to ensure that the oil and gas sector continue to have the right regulatory structure to support the growth being projected.

“The Compressed Natural Gas (CNG) project has been initiated by the federal government in recognition of the enormous gas potential of the country and the significant benefits offered by gas when compared to other fuel source.

“Whereas the key gas/CNG projects are currently in the incubation stage, significant progress is envisioned.”

He added that government had been very proactive in issuing out key policies and regulations that drive the growth of the petroleum industry.

He said that most policies had been practical with strong consideration for the economic realities, adding that without doubt, the government had been proactive in taking steps to the highest possible level.

While sharing his views, Oni said, “I expect that there will be a lot more dedicated efforts. New regulations will be passed to ensure certainty, key infrastructure projects will be completed to act as a backbone to the structure, and the challenges will be tackled more directly.

“The federal government will also do more around its fuel subsidy substitution approach with natural gas playing a critical role.

“No doubt it will be an interesting year with the likelihood of major improvements.”

He advised government to focus primarily on conducive investment-friendly ecosystem, reduce pipeline vandalism and crude oil theft, certainty of the regulatory, political climate and investment in key infrastructure.

Mr Joe Nwakwue, Partner, Zera Advisory and Consulting Ltd., described the overall business environment as challenging.

He, however, said that the development had stalled sectoral investment and activity levels.

Nwakwue said that PIA anticipated gains are slow mainly due to slow and tentative implementation of the law and issues around regulatory uncertainty.

Nwakwue, also a former chairman, Nigerian Association of Petroleum Explorationists (NAPE), said: “I expect a better 2024.

“We have started to see increasing rig counts, enhanced pipeline security and one hopes that the new sheriffs in charge of the sector will settle down to drive the growth of the industry.

“We need to pay attention to upstream gas development. The market is presently under-supplied and that would impact our gas-based industrialisation aspirations.

“We also need to ramp up some green field and brown field redevelopment. I expect that the industry should be able to deliver the budget benchmark volumes at a minimum rate.”

The expert noted that there are many ways one could look at the sectoral performance, contribution to GDP, output level and activity level among others.

He said: “I would say  the 2023 performance is a mixed bag. Output levels have remained low, investments levels were low but picking up lately, sectoral GDP contribution remains low at under  six per cent.

“In analysing this, we must also factor the fact that 2023 was an election year and we saw heightened political and economic uncertainty.

“The 2023 performance is less than cheery in my view.

“Streaming of refineries are behind schedule, PIA implementation has been slow and painful, CNG roll-out has been more about media attention and bargaining chip with labour, etc.

“One bright spot is the subsidy removal even when I feel that it could have been better done,” Nwakwue explained.

Mr Bamidele Adesina, an oil and gas analyst, said that there are factors that will limit this growth, including high inflation and interest rates.

Adesina said that the reversal of economic reforms and potential security issues in the oil-producing Niger Delta region may pose challenges.

“The economy is forecast to grow at a faster pace in 2024 relative to this year’s projected expansion on the back of higher oil output.

“That said, elevated inflation and interest rates will keep a lid on growth. The reversal of economic reforms, and potential insecurity in the oil-producing Niger Delta.

“Focus-economics see GDP expanding 3.2 per cent in 2024 and expanding 3.6 per cent in 2025.”

Adesina noted that the recent weakening of the Naira and the increase in petrol prices led to higher consumer prices in July and August 2023.

He said that the rise in prices had put pressure on private consumption.

“To address the rising cost of living and social unrest, the government announced a temporary minimum wage increase for the next six months in early October 2023.

“Additionally, in an effort to tackle the surging transportation costs, the government revealed plans to introduce buses powered by Compressed Natural Gas (CNG).

“The combination of a weaker Naira and the removal of fuel subsidy will likely result in continued inflation in the upcoming quarters. It pointed out that monetary policy and fuel prices will be critical factors to monitor,” he said.

According to him, consumer prices are expected to increase by an average of 22 per cent  in 2024, which is an increase of 0.9 percentage points  from the previous month.

“In 2025, consumer prices are projected to rise by an average of 14.9 per cent.

“The increased crude oil output, particularly with the Dangote Refinery scaling up production, will contribute to much-needed fuel supplies for Nigeria.

“However, the persisting instability in the Niger Delta region poses a significant downside risk to the overall economic outlook “while it also anticipated an average daily oil production of 1.35 million barrels in 2024,” he added.

Mr Heineken Lokpobiri, the Minister of State for Petroleum Resources (Oil), on Dec. 12, 2023, said that the federal government was making efforts to remove all bottlenecks that will limit the country from meeting and surpassing the projection.

Lokpobiri spoke about government’s efforts at a stakeholders’ interactive session on ‘Creating value and enabling investments in Nigeria’s oil and gas sector’, organised by Chevron Nigeria Plc.

The minister reiterated that Nigeria can increase crude oil production to two million bpd, noting that issues hindering this are being discussed.

“As a government, we are willing to sustain that engagement with the stakeholders so that in 2024 and beyond.

“We will ensure that we produce not just 1.7 million barrels per day (bpd) that we need for our budget but ensure that we produce what is needed to meet the local demand,” he said.

He highlighted the sector’s growth trajectory since the current administration took office, revealing that the country’s oil production has moved from about 1 million bpd and steadily increased to 1.4 million bpd.

The minister said his goal is to continue this upward trajectory, adding that the government was committed to creating an enabling environment for stakeholders to thrive.

“As a new government that is business-friendly, with a clear mandate to ramp up production, we are willing to ensure that our fiscal regime is competitive globally.

“My appeal is that this old marriage, let us manage it, sustain it and improve on it. Whatever your concerns may be, let us put them on the table to disagree to agree.”

Lokpobiri reassured stakeholders of the government’s effort to address challenges facing the sector by providing the best playing field for both international oil companies (IOCs) and independents for necessary investment.

By Yusuf Yunus

Chinedum Nwajiuba: 2024 – A year for common sense, and uncommon sense

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Welcome to 2024. The year following 2023, which we described, at this time last year, as a mixed year; a year of mixed fortunes, a year of drama, a year of great historical events, some of which Nigerians may not have come to terms with.

2024
Happy New Year. Welcome to 2024

Following this, is 2024, which will be a year requiring us, more than ever before, to apply common sense, and even, not so common sense, or if you like, of uncommon sense. The year 2024 will reveal herself, as one that needs common and uncommon senses to navigate.

The General Conditions of Nigeria

The Nigeria national circumstance that will unfold and prevail this year, requires a need to adapt, and innovate to survive. It is a year requiring the use of “number six”, in Naija speak. Some sense you have and some sense you need to borrow, will be needed. Open your eyes and see that the situation emerging needs changes, adaptations, and innovations. Put on your thinking cap. Nigerians living in inertia, unwilling to change, and wanting to continue with consumerism, and the habits following the oil boom era, will have to come to terms with a new reality, that the boom years are over.

The major requirement for 2024 – cut costs/wastes and raise incomes

This year calls for the suffering, low-income earners in Nigeria, as well as the harassed middle class, to seek ways to cut costs/expenditures. This is despite the rather difficult situation people already find themselves. Look through your expenditure profile and cut as much as you can. Explore all possible multiple activities you may embark on, which will yield incomes to you.

Find all possible legitimate ways to raise your income. No matter what it is, no matter how lowly you may consider any income-generating activity, keep ego aside, and find whatever you legitimately can do to put some money in your pocket, or/and earn some income.

For instance, and as much as possible, everyone should do some farming, or at least gardening. If you have no, or small land, try planting in sacks. Yam, Dioscorea spp. has been shown to do well in sacks. By this type of farming, you can put a little area to use, and you can minimise labour, especially for tillage and weeding. You can have small stakes stuck in the same sacks and rested on the wall in your backyards. Similarly, some other crops, and even vegetables, pepper, etc. can be grown.

If you do not expand your sources of income, and also cut your expenditures, and you belong to what used to be the middle class (including Professors, Directors in the civil service, Bank Mangers, and such) and those lower on the income ladder, you will end the year 2024 in very sore financial and economic crises. 2024 is a year to apply your “number six”.

The Economy

The year will see some money illusions. Some persons may see some nominal increase in incomes but their living standards, the volume of goods and services they will be able to acquire, will decline. At least two factors will lead to this:

  1. a) Inflation will be untamed, and prices will continue to rise.
  2. b) The exchange rate will worsen. Naira will lose more value.
  3. c) Challenges associated with petrol pricing and availability will worsen from the side of the ordinary buyer.
  4. d) These will coalesce into worsening living conditions for a broad spectrum of Nigerians, and more poverty.

However, the following will likely also occur:

  1. e) Some jobs will be created, even by government. That is, in the public sector, some employment will be done. These will however be so minor that the general level of unemployment will continue rising.
  2. f) Wages for government workers may be increased, but the rate of this increase will be lower than the rate by which prices have already increased, and will increase further.

Insecurity

Do not expect improvements this year. In fact, expect that in the northern parts of Nigeria, the situation will be worse than we saw in the second half of 2023. In the southeast, expect no changes in the situation, with the possible exception of Abia state, the only state in the southeast, that is witnessing an increase in the general happiness level of the people.

Education

This sector will continue what emerged in 2023 with less strikes and more stability, especially at the tertiary level. However, towards the end of 2024 expect the likelihood of simmering unrest and resumption of threats of strikes, as the economic conditions bite harder on the working class.

External Political and economic conditions

The United States elections will dominate the international space this year, except unseen events, such as we saw in 2023 with Israel and Palestine, happens.

Good news

The good news is that we will survive 2024, even if a lot of persons will be battered. 2024, will indeed be a year requiring the application of common sense as well as uncommon or not so common sense.

Those who apply these well, may yet end 2024 as a very blessed year for them.

Happy new and prosperous year, 2024.

Former Vice-Chancellor, Alex Ekwueme Federal University, Ndufu-Alike, Ebonyi State, Nigeria, Professor Chinedum Nwajiuba is Chairman, Board of Directors, Nigerian Environmental Study/Action Team (NEST)

2024: UN association solicits public partnership on SDGs

The United Nations Association USA Queens Chapter (UNA-USA Queens) has solicited the partnership of the public and organisations in new ventures towards attaining the Sustainable Development Goals (SDGs) in the community in 2024.

Seabelo John
President of UNA-USA Queens Chapter, Mr Seabelo John

The President of UNA-USA Queens Chapter, Mr Seabelo John, in a statement, stated that such partnership would boost the activities of the association in the coming year.

John said that the association organised no fewer than 15 events in 2023, appreciating the commitment of the members in the outgoing year.

He listed some of the events as Global Engagement Summit, Earth Day celebration, UNA-USA Sustainable Communities Summit, Leadership Summit in Washington D,C, World Refugee Day and Junior Ambassadors Celebration.

He said the association also organsied events to celebrate the USA Independence Day, Arts Outreach Exhibition, International Youth Conference, UN Day, and Thanksgiving and Leadership Awards celebration.

Speaking on Thanksgiving and awards celebration, the President said no fewer than 22 volunteer members, who had shown exceptional leadership skills through its various programmes in 2023, were honoured.

The awards were in two different categories for individual volunteer members and for organisations supporting the SDGs.

Four organisaitions in that category got recognition for their works.

The fours organisations are the United Nations Association United States of America, Expresito Carga, School of Excellence and UNA-USA Queens Chapter.

According to him, the aim of the event was to reflect on the 17 SDGs and appreciate the work of the volunteer members in the local community of New York City.

“It is important to get together as a chapter to celebrate after we have successfully carried out 15 events in 2023 to share our thoughts and reflections on the year.

John also said the awardees were volunteers who had shown exceptional leadership skills through the association’s various programmes.

In addition, he said Congresswoman Grace Meng of District 6’s office awarded Congressional Citation awards to the Chapter leadership.

John also gave awards to top students from the Free Professional English programmme and finally, the office of Congresswoman awards.

Meng awarded Congressional Citation awards to the Chapter leadership as well as the UNA-USA national organisation, represented by Raditya Rahim.

UNA-USA is a membership organisation of Americans dedicated to the ideals and work of the United Nations in promoting the SDGs.

The UNA-USA Queens Chapter has been a leader in efforts to recognise the outstanding work the United Nations has done to facilitate international diplomacy.

The Chapter has also done important work to encourage intergroup understanding on the local level through community engagement activities, advocacy campaigns, and free educational programmes.

It also engages in free education such as conversational English classes for English learners in New York City in collaboration with the School of Excellence and Expresito Carga, partner organisations.

The Chapter has brought attention to the special relationship the United Nations has with Queens, which was the first meeting Place of the UN General Assembly.

By Cecilia Ologunagba

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