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Local Govt Elections As A Referendum
The much-awaited local government elections in Rivers State would become a reality, by the Grace of God on the 5th of October, 2024. From all indications, the Rivers State Independent Electoral Commission would fulfil one of the landmark political directives of Governor Siminalayi Fubara on that date.
In the midst of unexpected distractions and challenges from the direction of the immediate past Governor of the state, Ezebunwo Nyesom Wike, it became absolutely necessary that Fubara must visibly assume control of the structures of government and governance which the former Governor had claimed to be under his control and even dared that they should not be tampered with.
That was inspite of the fact that Local Governments constitute a tier of government as contained in the Nigerian Constitution, just as other tiers of government like the Federal and State Governments.
Indeed, the Nyerishi Mbam as Wike is being currently addressed by his supporters surprisingly claimed that those whom he claimed to have fixed as Chairmen and Councillors of the 23 local government areas were members of his political structure and should remain untouched even after the end of his tenure.
To affirm that ridiculous claim, another arm of Wike’s superficial structures, the defected House of Assembly members, also purportedly enacted a law to extend the tenure of the chairmen and Councillors for a period of six months
That seemed to have broken the patience and tolerance of Governor Similayi Fubara to call off the bluff of Nyesom Wike and put the issue of the Local Governments on its proper perspective.
Secondly, it became absolutely necessary to conduct local government elections after the Supreme Court’s decision for the direct funding of all Local Governments in the country.
The apex court had clearly directed that only democratically elected Local Governments would be entitled to the allocations.
That was basically the reason to justify the holding of the elections which are also being held in other States around the country.
The supporters of the former Governor failed to make any justifiable case against the appointment of Care Taker Committees in the respective Local Government Areas to manage the affairs of that tier of government and avoid a vacuum while awaiting the election of substantive office holders.
Most previous administrations in the State had carried out similar exercises when the need arises including. the Wike administration.
It would be recalled that when the initial preparations for the Local Government elections were announced, the two parties of” a leprous hand”, as the Late Senior Advocate, Bola Ige would say, the Peoples Democratic Party and the All Progressive Congress in the State announced their intention not to participate in the elections.
The reason for that decision was not farfetched because the two parties were and being controlled by the former Governor, Nyesom Wike.
Chukwuemeka Aaron, the Chairman of Wike’s arm of the Peoples Democratic Party in the state repeated the party’s stand not to contest the elections.
However, the boycott of the elections by the Tony Okocha faction of the APC does not diminish the wide acceptance of the forthcoming elections. About 20 registered parties are falling over themselves on their decision to participate in the elections.
The elections would produce 23 Local Government Council Chairmen and almost 400 councillors.
Already, the State is agog with campaigns by the candidates and their respective parties, going round all the nooks and crannies of all the wards in the local governments.
Pundits are already predicting that voters would be more excited to participate in an election that is being touted as the most credible than previous and similar exercises ever held in the State.
Indeed, Tony Okocha, the most vitriolic critic of Governor Siminalayi Fubara had openly stated in a news interview that during their time, when he was the Chief of Staff in one of the previous administrations, they were writing the results or outcome of the elections in the (his) office rather than allowing the appropriate body, the Electoral Commission to do its job.
Contrary to that infamous practice, the Fubara administration had declared not to be involved in the electoral process.
The Rivers State Independent Electoral Commission, has indicated that it is on ground and it is adequately prepared for the elections.
The Rivers State citizenry is massively informed and educated on the need to turn-out in their thousand to vote for their candidates in all the wards and local governments of the States.
The parties and their candidates are demonstrating a positive sense of democracy which was so much lacking during the last Presidential and Legislative elections.
In view of the wide public acceptance of the elections, the Rivers State Independent Electoral Commission is being expected to produce a free, fair and transparent election.
Political pundits are pointing out an interesting scenario, arguing that the positive approval given to the holding of the elections is clearly transmuting to a referendum to finally nail the political reality on ground that a greater majority of people in Rivers State are solidly behind Governor Siminalayi Fubara in his policies, programmes and projects.
Those in this school of thought believe that despite the distractions, intimidations and blackmails from his political opponents, Sim is steadfastly carrying out his projects and programmes unperturbed.
Their argument is that the elections should equally rate as a referendum of approval for SIM.
The massive enlightenment programmes of the various Simplified movement are yielding positive results and political consciousness in the Rivers political space,
The Simplified Movement is present in all the Local Government Areas of the State. There is also the senior citizens’ version that is called the Supreme Council for Sim.
Indeed, there are numerous support groups for SIM, to the extent that it is being openly advertised that the Governor’s entry to politics has agitated and uprooted a political culture that was enmeshed in docility and disinterest in politics and its negative colorations we had witnessed in the past.
That is the reason why the elections could be tagged as a referendum of sorts.
Amabipi Martins
Elder Martins is former General Manager of Rivers State Newspaper Corporation resides in Port Harcourt.
Operatives of the Port Harcourt Zonal Directorate of the Economic and Financial Crimes Commission (EFCC) have arrested 33 suspected internet fraudsters in Rivers State.
The Spokesperson for the commission, Dele Oyewale, said this in a statement in Abuja, last Wednesday.
Oyewale said they were arrested in their hideouts in Iwofe and Ogbogoro areas of Port Harcourt in a sting operation, based on credible intelligence on their suspected involvement in internet fraud.
“Items recovered from the suspects include various mobile phone devices, laptops, boxes of fake United States Dollar and fake Federal Bureau of Investigation (FBI) stamps.
“Others are fake Customs stamps, airport clearance stamps, DHL and FedEx stamps and two cars.
“The suspects would be charged to court upon conclusion of investigations,” he said
Old graves could be reused under new recommendations put forward to manage the shortage of burial space in Britain.
Under the proposed changes put forward by the Law Commission, graveyards declared “full’’ during the Victorian era could also be reopened.
The commission has warned the urban areas across England and Wales of fast running out of burial space.
There have been proposed changes to allow any burial ground to reuse graves, but only following public consultation and government approval.
Safeguards would also be in place for each individual grave, with plots only eligible for reuse when the last person was buried at least 75 years ago.
Another separate public consultation is considering the time frames around grave reuse, and what would happen if family members objected.
Prof. Nick Hopkins, commissioner for property, family and trust law, said any change would need to be tackled in consultation with the public.
“Our proposals provide a significant opportunity to reform burial and cremation law and secure burial space for future generations.
“This must be done sensitively and with wider public support,” he said.
Current legislation made it illegal to redevelop a graveyard for any reason other than to grow a place of worship.
Other publicly-run cemeteries can be redeveloped if the owner was granted an Act of Parliament.
Alex Davies-Jones, parliamentary under-secretary of state at the Ministry of Justice, said the government was supportive of the Law Commission’s work.
“We await with interest the Law Commission’s recommendations, in due course, on the most appropriate framework to provide modern, consistent regulation for burial and cremation,” she said.
Public consultation on the proposed changes is open until January 2025.
The Nigerian National Petroleum Company Limited has pledged 272,500 barrels per day of crude oil through a series of crude-for-loan deals totalling $8.86bn.
By pledging 272,500 barrels daily, it means that about 8.17 million barrels of crude will be used for different loan deals by the national oil firm on a monthly basis.
This is according to an analysis of a report by the Nigeria Extractive Industries Transparency Initiative and the NNPC’s financial statements.
Under these deals, notable projects include Project Panther, Project Bison, Project Eagle Export Funding (Original, Subsequent, and Subsequent 2 Debts), Project Yield, and Project Gazelle.
According to The Tide’s source, NNPC has already fully repaid $2.61bn in loans, representing 29.4 per cent of the total credit facility, while $6.25bn or 70.6 per cent, remains outstanding.
Also, out of the $8.86bn credit facility, only about $6.97bn has been received from seven crude-for-loan deals.
One of the key projects, Project Panther, involves a joint venture between NNPC and Chevron Nigeria Limited, backed by international and local banks.
The project secured a $1.4bn loan facility, with 23,500bpd pledged to service the debt. Repayment is set to commence after a moratorium, with financing terms including an SOFR (Secured Overnight Financing Rate) plus 5.5 per cent margin and a liquidity premium.
Another significant deal is Project Bison, tied to NNPC’s attempt to acquire a 20 per cent equity stake in the Dangote refinery. However, the national oil company only acquired a 7.25 per cent stake.
The project secured a $1.04bn loan from Afrexim Bank, with 35,000 bpd pledged as collateral. NNPC fully repaid this loan in June 2024.
Project Eagle Export Funding comprises three separate loans aimed at meeting various financial obligations.
The original loan, secured in 2020 for $935m, was serviced with 30,000 bpd and was fully repaid by September 2023.
A subsequent loan of $635m was also fully repaid by the same period. The third tranche, known as Project Eagle Export Funding Subsequent 2 Debt, was secured in 2023 for $900m, with 21,000 bpd pledged. Repayment is scheduled to begin in June 2024, and the loan will mature in 2028.
Project Yield, designed to support the Port Harcourt Refining Company, involves a $950m loan, with 67,000 bpd pledged for repayment.
The repayment of the loan, secured in 2022, will begin in December. This seven-year facility is crucial to refurbishing the refinery and enhancing domestic refining capacity.
However, despite this crude-for-loan arrangement, The Tide reports that fuel production at the Port Harcourt refinery has yet to commence, despite multiple postponements as of August. Promises from the Federal Ministry of Petroleum Resources and NNPC have repeatedly fallen through.
More recently, there was the Project Gazelle deal, which aimed to stabilise Nigeria’s foreign exchange market.
In December 2023, NNPC secured a $3bn forward sale agreement, pledging 90,000bpd from Production Sharing Contract assets to cover future tax and royalty obligations.
As of the end of 2023, $2.25bn had been drawn from this facility, with repayments scheduled to begin by mid-2024.
These crude-for-loan deals come at a time when Nigeria is struggling to boost its oil production.
The NEITI 2022-2023 report revealed a significant decline in crude oil output, reaching the lowest levels in a decade. In 2022, the country produced 490.94 million barrels of crude oil, a steep drop from the peak of 798.54 million barrels in 2014.
Although production slightly improved to 537.57 million barrels in 2023, this still represents only 67.16 per cent of the country’s peak production capacity.
One of the major challenges facing the sector is production deferment. In 2023, Nigeria deferred 110.66 million barrels of crude oil, down from 153.44 million barrels in 2022.
The deferment was primarily due to unscheduled maintenance, repair issues, and oil theft.
Despite government efforts to curb these issues, including initiatives to reduce theft and sabotage, operational inefficiencies persist.
NEITI reported that oil theft and sabotage resulted in the loss of 5.25 million barrels in 2023, exacerbating production struggles.
The House of Representatives Special Joint Committee recently directed NNPC to halt further crude-for-loan agreements.
This directive follows reports that the company is planning to borrow an additional $2bn in oil-backed loans amid efforts to settle a $6bn backlog owed to international oil traders, particularly following the removal of fuel subsidy.
The Tide’s source reported that the NNPC was in talks for another oil-backed loan to boost its finances and allow investment in its business, according to the Group Chief Executive Officer, NNPC, Mele Kyari.
Kyari said the company wanted the new loan against 30,000-35,000 barrels per day of crude production, though he declined to say how much money it sought.
Nigeria’s government finances rely on oil the NNPC exports, which provides the bulk of crucial foreign exchange reserves. However, pipeline theft and years of underinvestment have sapped oil production in recent years, and the cost of fuel subsidies has further depleted cash reserves.
President Bola Tinubu has been struggling to implement reforms in Africa’s biggest oil exporter – including eliminating fuel subsidies and allowing the naira currency to trade close to market levels – without putting the country’s population at a cost-of-living breaking point.
It explained at the time that the oil company would use the loan to support the Federal Government in stabilising Nigeria’s exchange rate.
The facility, among other things, would help the Federal Government attend to some of its dollar obligations, assist the Central Bank of Nigeria in stabilising the foreign exchange market, and provide funding for NNPC.
Providing details about the deal in the document titled, “Everything you need to know about the NNPC Limited’s $3.3bn loan, also known as Project Gazelle,” NNPC said, “This is a financing agreement secured by NNPC Limited to prepay future royalties and taxes to the Federal Government.”
The company also stated that it adopted a lower price benchmark for the $3.3bn crude-for-cash loan to reduce the risk of default and ensure financial stability.
Giving details on the benchmark oil price, the company said the facility used a conservative crude price of $65/barrel to calculate the allocated crude to be produced and sold.
NNPC also said repayments were strategically planned and tied to future oil sales, with conservative pricing in oil sales contracts mitigating the risks associated with oil price volatility.
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