Canada’s most populous province and its commercial nerve centre, Ontario, has announced a ban on United States’ companies bidding for government contracts and dumped a deal with Elon Musk’s Starlink in a pushback to US tariffs.

“Ontario won’t do business with people hell-bent on destroying our economy,” Ontario Premier Doug Ford announced on X on Monday.

“US-based businesses will now lose out on tens of billions of dollars in new revenues. They only have President Trump to blame.”

Ford said he was “ripping up” a Can$100 million (US$68 million) contract with Starlink, signed in November to provide internet services to 15,000 homes and businesses in remote northern parts of Ontario.

Elon Musk’s Starlink satellites were to start beaming internet services to northern Ontario starting in June after the Trump loyalist vowed to slap 25 per cent tariffs on Canadian imports starting on Tuesday.

Ontario’s liquor stores also started pulling US beer, wine and spirits off shelves on Monday.

Several other Canadian provinces including Quebec, Nova Scotia and British Columbia were doing the same.

The government-run Liquor Control Board of Ontario is one of the world’s largest single buyers of alcohol, supplying its stores as well as local restaurants, bars and other retailers in the province.

It sells almost Can$1 billion worth of US alcohol, or about 3,600 products, each year.

Trump spoke earlier Monday with Canadian Prime Minister Justin Trudeau about the tariffs and said in a post on his Truth Social platform they would speak again later in the day.

The governor of the Central Bank of Nigeria (CBN), Olayemi Cardoso, has said the remittances of the country is expected to double as the current value of the naira makes it competitive to attract foreign investments into the country.

With the value of the naira closing at N1,548.5 to the dollar at the CBN window, the governor notes that the reforms and policies of the apex bank aimed at stabilizing the value of the naira are beginning to yield fruits.

The naira which depreciated by N5 at the parallel market to close Thursday’s trading activities at N1,665 had appreciated on the CBN window. Cardoso, speaking on Thursday noted that while the adjustment of the naira has had a negative impact on the country due to its import dependency, said it had also presented opportunities.

“I see a lot of foreign investors coming in to take advantage of it. At this stage, our currency is a lot more competitive and the implications for exports and productive activity is significant” he stated, adding that he expects diaspora remittances to double this year following the market reforms.

He noted that the reforms had been able to reduce the disparity between the bureau de change (BDC) and official rates whilst fostering stability in the forex market. Expressing optimistic prospects for the currency, he said the apex bank will continue to “strengthen our mechanisms to constantly be on the watch out for market participants and to ensure that all those who are in that market are subjected to the best practices and those who fail to conform would be appropriately dealt with.”

He pointed out that the recent initiatives and products such as the non-resident BVN and accounts were in response to the discourse between the apex bank and Nigerians in diaspora, Cardoso said “I am very confident that we are going to see a very positive outcome.
We are already seeing and the impact is already starting to show.

“My discussions with the diaspora shows that everybody is very committed to doubling the levels that we are in. So, there are good things ahead on the foreign exchange side. Our efforts have resulted in a significant milestone in 2024 with over $6 billion in foreign capital inflow into Nigeria, external reserves exceeding $40 billion signaling growing investor confidence.

The World Bank Group has announced the 30-month debarment of two Nigerian companies, Viva Atlantic Limited and Technology House Limited, alongside their Managing Director and Chief Executive Officer, Mr Norman Didam, for fraudulent, collusive, and corrupt practices linked to the National Social Safety Nets Project in Nigeria.

In a statement issued on Monday, the World Bank disclosed that the project aimed to provide targeted financial assistance to poor and vulnerable households was compromised due to several unethical practices during a 2018 procurement and subsequent contract process.

The statement read, “The World Bank Group today announced the 30-month debarment of two Nigeria-based companies—Viva Atlantic Limited and Technology House Limited—and their Managing Director and Chief Executive Officer Mr. Norman Bwuruk Didam.

“The debarment is in connection with fraudulent, collusive, and corrupt practices as part of the National Social Safety Nets Project in Nigeria.”

The bank said that Viva Atlantic Limited, Technology House Limited, and Didam misrepresented a conflict of interest in their bids and accessed confidential tender information from public officials.

It added that these actions constituted fraudulent and collusive practices under its Anti-corruption Framework.

The World Bank further noted that Viva Atlantic Limited and Didam falsified the company’s experience records, submitted fake manufacturer’s authorisation letters, and provided inducements to project officials, which it classified as corrupt practices.

These violations, according to the bank, undermined the integrity of the social safety net initiative designed to benefit Nigeria’s most vulnerable populations.

The statement noted, “According to the facts of the case and the general principles of the World Bank’s Anticorruption Framework, in connection with a 2018 procurement and subsequent contract, Viva Atlantic Limited, Technology House Limited, and Mr. Didam misrepresented a conflict of interest in the companies’ Letter of Bids and received confidential tender information from public officials, which constituted fraudulent and collusive practices, respectively.

“Further, Viva Atlantic Limited and Mr. Didam misrepresented Viva Atlantic Limited’s experience and submitted falsified manufacturer’s authorization letters, as well as offered and provided things of value to project public officials. These actions were fraudulent and corrupt practices, respectively.”

The debarment precludes the two companies and Didam from participating in World Bank-financed projects and operations for the specified period.

As part of their settlement agreements, the parties acknowledged their culpability and committed to meeting specified conditions, including enhanced compliance measures.

The conditions require Didam to complete individual ethics training, while the companies are mandated to improve their internal integrity compliance policies and implement corporate ethics training programmes in line with the bank’s Integrity Compliance Guidelines.

The bank highlighted that reduced debarment periods were granted due to the parties’ cooperation during investigations, voluntary corrective actions, self-imposed restraints from bidding for contracts, and the time elapsed since the infractions.

The statement added that the debarments qualify for cross-debarment by other multilateral development banks under the Agreement for Mutual Enforcement of Debarment Decisions, signed in April 2010.

It also stated, “The companies also commit to continue to fully cooperate with the Bank Group Integrity Vice Presidency. The settlement agreements feature reduced debarment periods due to the companies’ and Mr Didam’s cooperation with the Bank Group’s investigation, voluntary corrective actions, voluntary restraint from participating in Bank Group tenders, and the passage of time.”

The World Bank reiterated its commitment to ensuring transparency and accountability in development projects, stressing that the sanctions demonstrate its zero-tolerance approach to corruption.

It said the implicated parties must fulfil the stipulated conditions during the debarment period to regain eligibility for participation in future Bank-funded initiatives.

•Operators blame poor supply for move

•FG laments exit from national grid

As the country battles incessant blackouts, about 250 manufacturers and academic institutions have abandoned their respective power distribution companies to generate their own electricity.

The organisations, many of whom are bulk electricity users, shunned the national grid to generate reliable electricity for themselves.

This is coming amid the high cost of electricity, fuel price hikes, incessant grid collapses, and line trippings.

In 2021, former President Olusegun Obasanjo dumped the national grid to unveil a two-megawatts solar power project at the Olusegun Obasanjo Presidential Library, Abeokuta, Ogun State.

The project, which cost about N2bn at that time, was described by the former President as a remarkably cost-effective investment.

Findings from different data sources, particularly from the Nigerian Electricity Regulatory Commission, showed that the firms have generated up to 6,500 megawatts of electricity altogether.

This is higher than the country’s power generation which is currently hovering around 4,500MW and 5,000MW.

Further findings by our correspondent indicated that these outlets got permits from the NERC to generate captive power. Some permits were issued as far back as 2010, 2016, 2020, and 2022.

It was learned that the request for captive power generation increased since 2023, especially after President Bola Tinubu signed the Electricity Act 2023

Captive power generation permits are issued to entities that intend to own and maintain power plants exclusively for their consumption. That means the entities are not allowed to sell electricity generated from the plant to any third party.

While some of the plants use gas as feedstock, many embrace the use of renewable energy sources like solar.

One of the biggest captive power generators is the Dangote Group.

Dangote Industries Limited has generated about 1,500MW of electricity, according to Aliko Dangote. The Dangote refinery alone has a 435MW power plant that can meet the total power requirement of the Ibadan Electricity Distribution Company.

“We don’t put pressure on the grid. We produce about 1,500 megawatts of power for self-consumption,” Aliko Dangote said last year at the Afreximbank Annual Meetings and AfriCaribbean Trade & Investment Forum in Nassau, The Bahamas.

According to data sourced from NERC, 249 firms and institutions were granted permits to generate captive power.

The quantum of power generated by these organisations is approximately 5,180MW.

When this is added to the 1,500MW generated by the Dangote Group, it would amount to over 6,500MW being generated by the companies and learning institutions.

According to NERC, Pure Flour Mills Limited in Rivers State got a permit to generate 546MW of electricity while Nigeria LNG generates 360MW.

United Cement Company of Nigeria Limited (Lafarge Africa Limited) generates 105MW; Total E & P Nigeria Limited, 174MW; Esso Exploration & Production Nigeria Limited, 76MW; First Global Commerce Solutions Limited, 77MW; Flour Mills of Nigeria Plc, 70MW; and Lafarge Cement Wapco Nigeria Plc, 90MW.

Some of the companies include MTN Nigeria, the Nigerian National Petroleum Company Limited, Shell, Nigerian Breweries Plc, Flour Mills of Nigeria Plc, Mobil Producing Nigeria Unlimited, Kaduna refinery, Warri refinery, Lafarge Cement Wapco Nigeria Plc, Procter and Gamble Nigeria Limited, and Bank of Industry Ltd.

Others include Seven-Up Bottling Company Plc, First Bank of Nigeria Plc, Dangote Cement Plc, Lekki Port LFTZ Enterprise Limited, Guinness Nigeria Plc, Chevron Nigeria Limited, Nestle Nigeria Plc, Total Upstream Nigeria Limited, Aluminium Smelter Company of Nigeria, De-United Foods Industries Limited, Sagamu Steel Nigeria Limited, British American Tobacco Nigeria Limited, Unilever Nigeria Plc, Total E & P Nigeria Limited, and Mikano International Limited.

They also include Federal Airports Authority of Nigeria, Airtel Networks Limited, Nogap Power Development Company Limited, Shell Exploration & Production Company Limited, Esso Exploration & Production Nigeria Limited (Usan OML 138), Indorama Eleme Petrochemicals Limited, Cadbury Nigeria Plc, Honeywell Flour Mills, Atlantic International Limited Refinery & Petrochemical Limited, Julius Berger Nigeria Plc, Okamu Oil Palm Company, PZ Cusson Nig Plc, among others.

Among the universities with captive power are the University of Lagos, Abubakar Tafawa Balewa University, Federal University Ndufu-Alike IKWO, Usmanu Danfodiyo University, Obafemi Awolowo University, Federal University of Petroleum Resources, Nnamdi Azikiwe University, Awka, Federal University of Agriculture, Makurdi, Bayero University, Kano, and University of Benin.

Others include University of Abuja, University of Calabar & Teaching Hospital, Cross River State, University of Agriculture Micheal Okpara, Umetuke, Abia State, University of Maiduguri & Teaching Hospital, Borno State, Federal University of Agriculture, Abeokuta Main Campus, Ogun State, and the Federal University Gashuwa, Yobe State.

The Nigerian Defence Academy, a military university based in Kaduna recently got NERC’s nod to generate 2.50MW of electricity.

Experts said the abandonment of the national grid by bulk users of electricity could spell doom for the paper sector.

FG laments

The Minister of Power, Adebayo Adelabu, recently decried the rate at which bulk electricity consumers abandon the national grid to generate their own electricity.

Adelabu emphasised that grid connection as a power source is more reliable than captive power plants currently being used by bulk electricity consumers.

He regretted that despite generating over 5,155MW of electricity, the power distribution companies were not taking the power allocated to them to avoid incurring debt due to low recovery.

He said, “The majority of bulk electricity users, such as industries, are off the grid due to a lack of trust and confidence in the past. They now have their own captive power plants in their industries, which is more expensive.”

According to him, the continued use of captive power rather than grid connection is more expensive.

“The average cost of producing captive power is about N350 to N400 per kilowatt-hour for those connected to gas lines. For diesel it’s about N950 or N1,000,” he said.

He stated that efforts would be made to encourage the bulk users to return to the national grid.

“Once consumers and industries see the trust, the confidence, and the stability we are giving, they would be encouraged and reconnect to the grid for a cheaper source of power.

“We aim to attain the threshold of a new era in power delivery. The Federal Government is still focused on Vision 30-30-30. By 2030, we aim to achieve 30GW in the medium term, with renewable energy constituting 30 per cent and universal access in the long term. We must align on the principles guiding our activities and the strategies,” the minister stated.

NERC blames fluctuations

Meanwhile, the Nigerian Electricity Regulatory Commission blamed power fluctuations for the migration of bulk users from the national grid.

The regulator in a recent report disclosed that fluctuations in grid voltage, including spikes, dips, flickers, and brownouts, could cause significant harm to consumers and result in substantial commercial losses.

It explained that extreme cases of voltage fluctuations, particularly at the distribution network level cause severe damage to industrial machines, prompting the industries to embrace captive power generation.

“To guarantee the quality of electricity delivered to end users, the Grid Code specifies a nominal system voltage of 330kV with a tolerance range of ±5 per cent (313.50kV to 346.50kV in the lower and upper bounds respectively).

“Fluctuations in grid voltage, including spikes, dips, flickers, and brownouts, can cause significant harm to consumers and result in substantial commercial losses. Extreme cases of voltage fluctuations, particularly at the distribution network level can cause severe damage to industrial machines, thereby compelling the industrial customers to seek alternative sources of power outside of the national grid,” the regulator confirmed.

The commission said it continued to engage with the Transmission Company of Nigeria and other stakeholders to ensure sustained efforts at keeping the system voltage within the limits contained in the grid code and thus providing a safe and reliable electricity supply to end users.

Experts speak

The Executive Director of PowerUp Nigeria, Adetayo Adegbenle, said it was a sad situation that over 200 companies have dumped the national grid.

According to him, these are the companies that should have been serving as “anchor tenants” to ensure the country has a stable grid.

“Many of the grid collapses we have had can easily be also traced to such  consumers leaving the grid, making the demand end of the grid less stable. I have also said before that one of the major objectives, if I were to be in charge of the grid, would be to bring these companies back if we truly want to have a stable and cheaper grid supply.

“The national grid system we operate is demand and generation-based. The demands and generation at any point must be equal, to balance the Frequency at 50hz, else frequency variation will be high. Having as many as 200 companies with high capacity demand leave the national grid means that the demand side is heavily dependent on other “mostly residential consumers.

“The whole power sector should be tasked with bringing these companies back, offering incentives. Bringing them back will also ensure that prices can go down on the grid,” Adegbenle said.

On whether the country can generate enough to serve these bulk users of electricity, he said the country still has stranded power not utilised.

“We still have stranded generations, we still have capacities available that they can consume. Generation companies can easily ramp that up too. The major problem in the power sector is liquidity and the cost-reflective tariff, which has stunted the growth of the sector. No incentive for targeted investments,” he explained.

Adegbenle added that it will be cheaper for the customers “because grid prices will definitely come down.”

Similarly, the President of the Nigeria Consumer Protection Network, Kola Olubiyo, argued that the Nigerian electricity grid has increasingly been frustrating, predictably unreliable, and unstable.

According to him, the incessant line trippings and system collapses have, over the years, made it inevitable for industries involved in the production and manufacturing of goods, who had hitherto depended on the national grid, to think outside the box.

Olubiyo said, “The distortion in national grid frequency, voltage floating, and related concerns are of grave concern to every well-meaning patriotic Nigerian. Each time there are interruptions in electricity dedicated to production and manufacturing, it usually impacts negatively on production and does irredeemable damage to quality and output.

“Though at a higher cost of production, off-grid renewable, embedded generation or captive island model provided in off-grid concepts offers the manufacturers and organised private sector an open window to enhance global competitiveness, with guaranteed energy security—that’s  24/7 energy supply,” Olubiyo submitted.

He added, “The effects of all of these on electricity distribution companies will be the promotion of an open market and competitive electricity market as against the increasing entrenchment of market monopoly as presently constituted, which are at variance with the spirits and letters of power sector privatisation exercise.

“The latest development thereby reflects the desires of the critical stakeholders driving the process to take unprecedented bold steps. They should deserve our support. It is the new normal and the way to go.”

The Coordinator, All Electricity Consumers Protection Forum, Adeola Samuel-Ilori, commended the manufacturers for seeking alternative power for their businesses.

Samuel-Ilori maintained that the issue of companies pulling out of the grid and providing power supply for themselves has been long since the privatisation of the sector.

“I know of Cadbury and Coca-Cola providing power for themselves, pulling out of DisCos service for the past five or six years now. That they have reached a whopping number of over 200 is a good thing as far as I’m concerned and from the prism of a consumer advocate.

“The service being given by the service providers registered by the NERC are not meeting their needs, they still buy diesel to support the supply and the monthly bill eats deep into their profit margins, hence it is wise for them to do so,” Samuel-Ilori stressed.

Like the Discos and other stakeholders in the power sector, Samuel-Ilori posited that the manufacturers and other institutions are also out to make a profit and meet the overhead cost of their respective businesses, “Hence one Disco can’t be reaping where the correspondent supply is not adequate.“

He said, “I can tell for free that what makes many companies join those who already did was the introduction of Band A and its attendant cost per unit which I called fraudulent because there’s no generated power to sustain the introduction and fulfill the demand of the customers migrated.  So, any companies migrated will end up closing up business without blinking as the DisCos charge as much as N5 million for a small-scale business and entrepreneurs, not to talk of the big companies.

“On its effect on the national grid, it will relieve the national grid capacity absolvement since we all know it’s common knowledge that national grid equipment is moribund which led to its constant collapse almost at every Eke market day including Saturday. Forget the alibi given by TCN that it was not a collapse but a trip-off from one substation. It was such a tripping that led to the grid collapsing ab initio.”

Samuel-Ilori advocated that individuals should join the firms in generating their own electricity.

“For me, it’s not only the companies that should move from the grid due to the experience of its collapses to reduce the load capacity, many individual homes should be encouraged to do so because when that happens, many transformers will be relieved and the incident of trip-offs in the substations will reduce and that will automatically reduce the cases of national grid collapses.

“It is not rocket science to know that renewable energy ought to be an alternative source for anyone who desires to have an energy supply, but in Nigeria, the power stakeholders are paying lip service to it just to continue feeding their hawk in the DisCos business. That’s why the materials used for alternative energy production are expensive, so the poor won’t have access to them.

“I have said many times at meetings with NERC and even the power minister as National coordinator, that if they want renewable energy to grow, and to become the real alternative to grid power supply, just as they give waivers on health materials and other allied products, let them reduce the import duty if they can’t give waivers to those importers so we can have access to inverters and other materials used in providing alternative power supply. That alone will help the national grid pending the time they will put it in good condition to accommodate all users,” he noted.

The consumer protector mentioned that the Discos will survive despite the companies changing their supply base as they continue to collect money from consumers on estimated billing.

“Their cash cow where they milk money without working for it is still very much in operation against the larger consumers out there, which is estimated billing. As long as the Discos have access to free money from the consumers via estimated billing, they won’t blink at how many companies pull out of their franchise area of the network.

“That’s why they frustrate every move to get us metered. Do you know some of the Meter Asset Providers are also owned by the Discos? That’s why meters are not always available for purchase even when customers are readily and willing to buy. Many have paid for over six months now and have not got it. For those that are metered today, tomorrow or next, the meter refuses to load and the message from DisCo will be ’let’s connect you directly’, and they are back to square one of estimated billing while the meter won’t be repaired or replaced as the law of operation dictates,” he alleged.

The analyst argued that captive power is the best way to go as far as the situation of Nigeria’s power remains at 4500MW to serve over 200 million Nigerians.

He disclosed that the companies are ready to pay for power but the power is not readily available, yet Discos still billed them monthly humongous amounts for what they did not consume.

“That’s why I opined above that it’s not only companies that should adopt the system of renewable energy but individuals, and the government should make it attractive by reducing tax, customs duty, or even waiver on the materials used to provide such so that the poor masses with interest on changing their source of supply can access it seamlessly within their purchasing power.

“And in the end, help relieve the load on the national grid to stop its incessant collapses pending the time they will invest money to change this moribund equipment to sustain the capacity,“ he emphasised.

A total of 17 listed companies rushed to the capital market to raise and list N6.135 trillion on the Nigerian Exchange (NGX) Limited through equity capital for operational expansion in 2024.

Capital is critical for business growth. Companies can raise capital through debt or equity. Debt is issued in the form of bonds, and equity is issued in the form of shares. When a company issues new bonds or common stock, it is referred to as a new issue.

The stock exchange, as an important component of the capital market, plays a significant role in the capital formation process because of the tremendous opportunities that ensue from its activities. The exchange is expected to mobilize long-term savings to finance long-term investment by providing risk capital in the form of equity or quasi-equity to entrepreneurs.

New issues are savings mobilised for investment purposes by companies and governments. The new issues market represents the primary arm of the capital market and shows how many financial resources are invested in long-term securities of corporate bodies and governments.

The listing of new issues in the market will deepen the market, improve liquidity and tradability of companies’ shares. Also, it will increase access to capital in order to fund companies’ future growth initiatives.

Data obtained from the NGX showed that in 2024, the market saw 17 companies listing new issuances, buoyed by new listing and supplementary listing, bringing the total value of equity issues to N6.135 trillion.

Under new listing, Haldane McCall listed by Introduction of 3.122 billion shares valued at N11.988 billion. Aradel Holdings listed a total 4.345 billion shares worth N3.053 trillion, while Transcorp Power listed 7.5 billion shares valued at N1.8 trillion on the NGX.

Under supplementary listing, Jaiz Bank listed N10.048 billion through private placement. Nigerian Breweries raised N548.733 billion through right issues, while C&I Leasing listed N822.917 million through debt-to-equity transaction.

Japaul Gold and Ventures, International Breweries, Notore Chemical Industries, Wema Bank, Tantalizer, Multi-Trex Integrated Foods, Cadbury Nigeria, Royal Exchange, VFD Group, Ellah Lakes and Sovereign Trust Insurance listed N20 billion, N516.218 billion, N105.792 billion, N39.946 billion, N1.073 billion, N2.5 billion, N7.036 billion, N1.561 billion, N12.499 billion, N2.186 billion and N1.432 billion respectively.

Analysts noted that the new issuances have contributed to the deepening of the market, and more listings will further enhance market depth.

A senior stockbroker, Tunde Oyediran, said that the new issues listed on NGX in 2024 were raised due to the improvement in the stock market.

He pointed out that the impact of the primary market activities on any market cannot be overemphasised, adding that it deepens and expands the market.

This, according to him, has contributed to increase in the market capitalisation and overall growth of the market.

“This signal is good for the market; no capital market in the world grows the market only on secondary market activities. The recent increase in activities through right issues of companies and new listing of Transcorp Power and the others, are an indication that investors have realised the importance of long-term investment in good companies that have future prospects,” he stressed.

The chief operating officer of InvestData Consulting Limited, Ambrose Omordion said that the deregulation of the capital market has enhanced the competitiveness of the capital market.

Meanwhile, the director-general of the Securities & Exchange Commission (SEC), Dr. Emomotimi Agama stated that, the commission’s preparedness to improve the regulatory framework with regards to borrowing by governments and corporates.

He noted that for corporates, the commission was changing the landscape with the new rules on Central Counter Parties (CCPs), adding that, the new rules on CCPs had become so critical for Nigeria’s development, especially for corporates in raising capital.

“As a Commission we have established those new rules and they are going to be functional in 2025. We want to make borrowing a seamless and effortless process for Nigerian companies.

“It is very important that as we drive the growth of the Nigerian capital market, we also drive new products and new opportunities for every Nigerian. Nigeria for a long time has been seen as a mono product market, but the Year 2025 will be different because we will continue to drive the process of introducing derivatives into the capital market,” he said.

 

 

Stakeholders in the Nigerian energy sector have called for urgent interventions such as tax reliefs and other innovative funding solutions to enable successful indigenous energy companies to overcome their operational challenges.

They made the call at the 8th Solewant Energy Summit held recently in Rivers State, with the theme: “Pioneering Technology Innovation for Transition to Sustainable Energy Development in Africa.”

In a communique issued at the end of the summit, the stakeholders stressed that the creation of enabling environments through supportive policies and regulatory frameworks by government at all levels had become inevitable.

“Government at all levels should initiate policies that can give the indigenous energy firms some tax reliefs to enable them overcome operational challenges.

“Innovative funding solutions should be initiated to provide buffed and support for indigenous businesses that have demonstrated proven success models because of the challenges they face in accessing affordable loans from Money Deposit Banks (MDBs) and Industrial Development Banks in the country,” the communique stated.

They also recommended that increased funding for research and development in sustainable energy technologies be initiated and sustained.

The communique was jointly signed by Prof. S.A. Jaja, Prof. D I. Hamilton, Prof. J M O. Gabriel, Dr P. E. Igharo, and Dr B.A. Ubleble.

Powered by Solewant Energy Training Institute (SETI), an arm of Solewant Group, one of Nigeria’s successful indigenous energy solutions providers, the summit was aimed at addressing the pressing energy challenges facing the African continent.

It was also aimed at exploring innovative solutions that promote sustainable and enhanced energy access for all.

According to the communique, government should smoothen regulatory hurdles in order to attract both local investment and Direct Foreign Investment (DFI) into renewable energy projects.

However, delegates at the summit expressed their commitment to advancing sustainable energy initiatives and pledged to work collaboratively to overcome challenges.

Stakeholders in the Nigerian energy sector have called for urgent interventions such as tax reliefs and other innovative funding solutions to enable successful indigenous energy companies to overcome their operational challenges.

They made the call at the 8th Solewant Energy Summit held recently in Rivers State, with the theme: ‘Pioneering Technology Innovation for Transition to Sustainable Energy Development in Africa.’

In a communique issued at the end of the summit, the stakeholders stressed that the creation of enabling environments through supportive policies and regulatory frameworks by government at all levels had become inevitable.

“Governments at all levels should initiate policies that can give the indigenous energy firms some tax reliefs to enable them to overcome operational challenges. Innovative funding solutions should be initiated to provide buffers and support for indigenous businesses that have demonstrated proven success models because of the challenges they face in accessing affordable loans from Money Deposit Banks (MDBs) and Industrial Development Banks in the country”,  the communique stated.

They also recommended that increased funding for research and development in sustainable energy technologies be initiated and sustained.  The communique was jointly signed by Prof. S.A. Jaja, Prof. D I. Hamilton, Prof. J M O. Gabriel, Dr P. E. Igharo and Dr B.A. Ubleble.

Powered by Solewant Energy Training Institute (SETI), an arm of Solewant Group, one of Nigeria’s successful indigenous energy solutions providers, the summit was aimed at addressing the pressing energy challenges facing the African continent.

It was also aimed  at exploring innovative solutions that promote sustainable and enhanced energy access for all.

According to the communique, the government should smoothen regulatory hurdles in order to attract both local investment and Direct Foreign Investment (DFI) into renewable energy projects. However, delegates at the summit expressed their commitment to advancing sustainable energy initiatives and pledged to work collaboratively to overcome challenges.

Ten brokerage firms facilitated transactions valued at N3.138 trillion on the Nigerian Exchange (NGX) in the year 2024.

This was stated in the annual broker performance report recently released by the Nigerian Exchange (NGX) Limited.

The report said that “the value translated to 54.97 per cent of the cumulative trade executed on the exchange from January through December, 2024. While, in volume terms, the top ten brokerage firms conducted transactions totalling 118.954 billion shares between them, accounting for 42.75 per cent of the entire trade executed on the exchange in that period.

Capital market analysts noted that despite concerns such as rising inflation, and interest rate hikes, investor confidence remained strong, leading to increased buying activity.

Among the stockbroking firms in Nigeria, CardinalStone Securities secured the highest position in the ranking, with a transaction value of N696.03 billion, which accounts for 12.19 per cent of the overall transaction value.

Stanbic IBTC Stockbrokers followed closely with shares valued at N642.819 billion, representing 11.26 per cent of the total transaction value; while United Capital Securities recorded an estimated value of N341.060 billion in trades accounting for 5.98 per cent.

APT Securities & Funds facilitated transactions worth N286.526 billion, while Cordros Securities transacted shares valued at N283.007 billion in 2024.

Others are; EFG Hermes, FBN Quest Securities, Meristem Stockbrokers, CSL Stockbrokers, and Apel Asset, which facilitated deals valued at N190.048 billion, N189.941 billion, N188.153 billion, N175.429 billion, and N144.765 billion respectively.

Meanwhile, investors in Nigerian equities rallied net capital gains of about N21.845 trillion in the year 2024, as market capitalisation for the period went up to N62.763 trillion on December 31, 2024 from N40.918 trillion at which it opened trading for the year. Also, the key performance indicator of the NGX, the All-Share Index (ASI) went up by 37.72 per cent to close the year 2024 at 102,926.40 points from 74,773.77 points at which it opened trading for the year.

Speaking at the Closing Gong ceremony to end the 2024 trading activities, the chief executive officer, NGX, Jude Chiemeka, represented by the head of Trading and Products, Abimbola Babalola, said, “the year 2024 witnessed significant activity in the secondary market, a testament to the efforts of our trading license holders. Complementary macroeconomic fundamentals were instrumental, and we appreciate the impactful policy making by the Central Bank of Nigeria (CBN) and the Federal Ministry of Finance.”

On his part, group managing director/chief executive of Nigerian Exchange Group, Temi Popoola said “Nigeria’s capital market has proven itself as a hub of resilience and innovation, consistently offering valuable opportunities for investors.

“The strong performance of our blue-chip companies over the past decade has been a key driver of returns, even amid challenging economic cycles. Inflationary pressures have made equities an attractive hedge, and strategic new listings have significantly boosted market activity,” he said.

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has set a crude oil production target of 367.5 million barrels for oil firms operating in the country for the first half of 2025.

This target aligns with Nigeria’s broader goal to enhance its oil output, which is projected to reach 2.06 million barrels per day by 2025, including condensates.

The Commission also announced that local refineries will require 770,500 barrels per day (bpd) of crude oil for effective operation in the first half of 2025.

This demand represents approximately 37 per cent of the projected daily production of 2,066,940 bpd during this period.

NUPRC aims to enhance domestic refining capacity and ensure a steady supply of crude to meet local needs, aligning with the Petroleum Industry Act’s provisions for sustainable energy management in Nigeria.

Despite recent increases in production, challenges such as theft and underinvestment remain significant hurdles for achieving these ambitious targets.

These figures were obtained in the document titled  “Crude oil production forecast of producing oil companies and the refining requirement of functional refineries in Nigeria the first half 2025”, released by the NUPRC on Wednesday.

According to the forecast, signed by the Commission chief executive, Gbenga Komolafe, the move is pursuant to Section 109 of the Petroleum Industry Act (PIA), 2021 and aimed at effective capacity utilisation of the nation’s domestic refineries by ensuring a consistent supply of crude oil.

The upstream regulator noted that “This comprehensive data provides insights into the projected crude oil needs for the refineries, crucial for understanding the energy landscape in Nigeria for the first half of 2025.”

It added that the forecast daily crude requirement for Refineries, which is 770,500 barrels per day, is about 37 per cent of the forecasted first half 2025 average daily production of 2,066,940 Bopd.

Recall that in October 2024, NUPRC launched Project 1 million Barrels which is expected to favourably impact the national production.

According to Komolafe, NUPRC is leveraging the capacity of upstream operators to meet the target daily production of 2,500,000 Bopd) in the short term.

“This strategic initiative aligns with Nigeria’s commitment to bolstering its domestic refining capacity and ensuring the sustainability of its oil industry. The first half of 2025 is expected to witness increased synergy between local refineries and producing companies, setting the stage for a more robust and self-reliant petroleum landscape in Nigeria”, he stressed.

The report also revealed that Port Harcourt Refinery, Dangote Refinery, Warri Refinery and other functional refineries will receive 123,480,500 barrels of crude oil between January to June 2025 which is the total crude requirement of refiners during the period.

The regulator estimated daily crude oil requirements for local refiners at 770,500 barrels per day and a monthly requirement of 23,812,000 barrels per month.

To meet the requirement, the NUPRC said it targets crude oil output to hit over two million barrels per day.

The production target is hinged on Project 1 million Barrels which was launched in October 2024.

The NUPRC is empowered by the PIA to ensure domestic crude supply to local refineries based on the ‘willing buyer, willing seller’ model.

The regulator said the move is pursuant to Section 109 of the Petroleum Industry Act (PIA), 2021 and it is aimed at effective capacity utilisation of the nation’s domestic refineries by ensuring a consistent supply of crude oil.

The forecast is for nine active refineries, according to the NUPRC.

A breakdown showed that the Dangote Refinery and Petrochemicals (FZE) requires 99,550,000 barrels from January to June 2025. The refinery’s daily requirement is 550,000mbpd while the monthly requirement is 17.05 million barrels.

The Warri Refinery has the second highest requirement estimated at 13,5875,000 barrels in the first half while the daily and monthly requirement are 75,000bpd and 2.325 million barrels respectively.

The Kaduna Refinery and Petrochemical Company Ltd have an estimated requirement of 3,960,000 barrels. The refinery’s daily requirement is 66,000bpd and 1,980,000 barrels.

Port Harcourt Refinery Company Ltd (Old) has a daily requirement of 60,000 barrels per day, monthly requirement of 1,860,000 barrels and a half year requirement of 2,868,000 barrels.

Port Harcourt-based Aradel Refinery is estimated to consume 1,267,000 barrels in the first half of 2025 while the daily need of the refinery is 11,000bpd and 215,000 barrels monthly.

OPAC Refineries in Delta State has a crude requirement of 5,000bpd, 150,000 barrels per month and 900,000 barrels in the first half.

Imo State-based Waltersmith Refinery and Petrochemical Company Ltd has a half year requirement of 814,500 barrels; a monthly and daily requirement of 139,000 barrels and 4,500 barrels per day.

Edo State-based Dupot Midstream Company Ltd has a half year, monthly and daily requirement of 360,000 barrels, 62,000 barrels and 2000bpd respectively.

Edo Refinery and Petrochemical Company Ltd has a half year requirement of 186,000 barrels, a monthly requirement of 31,000 barrels and a daily requirement of 1,000bpd.

“This strategic initiative aligns with Nigeria’s commitment to bolstering its domestic refining capacity and ensuring the sustainability of its oil industry.

“The first half of 2025 is expected to witness increased synergy between local refineries and producing companies, setting the stage for a more robust and self-reliant petroleum landscape in Nigeria.”