Feature/OPED
Nigeria’s Electricity Sector and Bundle of Paradoxes
By Jerome-Mario Chijioke Utomi
I read with much relief two expositions on the electricity crisis in Nigeria and I must confess that any interested observers of the critical appraisal of the issue will agree that those submissions were factual and patriotically expressed.
While the first came from a reader who reacted to my initial intervention Still on Nigeria’s Electricity Crisis, the other and very revealing submission came from the government quarters, the Delta State Commissioner for Energy, Engr. Jonathan Ukodhiko.
Beginning with the first, it reads; the manifest failure of the poorly executed power sector privatization by the discredited Jonathan administration is a pointer to the root cause of our problems…… over centralized political structure. It is the cause of the unprecedented insecurity in the country, decaying infrastructures, arrested development etc. Until we restructure this nation politically and economically, meaningful economic development will continue to be elusive.
On his part, Jonathan Ukodhiko, the Delta State Commissioner for Energy, while speaking with journalists in Asaba recently, deplored the continued rip off of communities through estimated billings by the Benin Electricity Distribution Company (BEDC), noting that most rural communities were groaning under huge electricity bills as a result of estimated billings.
According to him, “you can’t continue to give people estimated billing, provide a bulk metering system for the communities so that they can pay for what they consume.
“I found out that most of the rural areas are a big mess; even places with grids have no light. Why is there no light?
“BEDC said It is because most of the people are not paying.
“What do you mean by these people not paying? You cannot continue giving people estimated bills and expect them to pay. So, we are discussing with BEDC to meter these communities.”
At this point, the state Commissioner dropped a bombshell.
Let’s listen to him; “For a fact, BEDC does not even have the power to distribute. As we know, the whole country is generating about 2500 megawatts, which is being shared with the whole of the country, even at that, BEDC is not even paying or buying from the GENCOs, maybe because the people are not paying.
“What they do is that the little that they get, they are giving it to the people that can pay in industrial areas, towns and oil states that they know can pay.”
What does all this mean to us as Nigerians?
Personally, it reminds me of the dust created by the fracas, by the ill-fated privatization of the electricity sector under President Goodluck Jonathan ‘led federal government which gave a clear and early indication of the inabilities of the companies that won the bids to take over and manage effectively the distribution centres.
Take as an illustration, while some were still sourcing for funds to complete payment to enable them to take over their new companies, some of the host states, going by media reports, rejected the consortium of companies located in their areas.
The Governors of Edo, Delta, Ekiti and Ondo, under the Benin distribution centre, for example, rejected the result of the privatization bid that presented Power Consortium as the preferred bidder. The governors maintained their stand that the security of the company that won the bid cannot be guaranteed in their states.
Adams Oshiomole of Edo, Olusegun Mimiko of Ondo, Emmanuel Uduaghan of Delta and Kayode Fayemi of Ekiti held a joint press conference two days after the results were announced in Abuja to denounce the exercise, insisting that they would not allow Vigeo Power Consortium to take over the distribution centre on whose bid their company had invested heavily in.
The governors insisted that “the process that produced Vigeo was fraudulent and unacceptable” and argued that the company had no capacity to run the distribution centre efficiently to give the people of their states the desired results in power supply.
Meanwhile, the NCP has stood its ground by releasing a list of approved preferred and reserve bidders for the 10 distribution companies and six generating companies. The list showed Vigeo as the preferred bidder of the Benin distribution centre.
Today, bearing in mind the above declaration by the Commissioner, it is obvious that these Governors (former/serving) have not only been vindicated; rather, their fears expressed many years ago can no longer be described as unfounded.
Echoing the same sentiment, the rejection of this earlier warning by the then the federal government has reinforced the belief in some quarters that here in Nigeria, once a direction is chosen by an average Nigerian leader, instead of examining the process meticulously and setting the right course; one that will allow us to overcome storm and reach safety before we can progress and achieve our goals, many obstinately persist with the execution of such plans regardless of a minor or major shift in circumstance.
To show that we did not draw any lesson from the past mistakes, the National Council on Privatization (NCP) in 2021, a report noted, approved the sale of five GenCos in the country through a competitive bidding process.
On a similar note, the Bureau of Public Enterprises (BPE), going by media reports, called on prospective investors to express interest in purchasing 100 per cent shareholding. It was reportedly gathered that the five power GenCos constructed under the National Integrated Power Project (NIPP) listed for sale are located in Kogi, Edo, Cross River, Ondo and Ogun.
According to reports, the five generation plants included Geregu Generation Company Ltd with gross installed capacity at ISO condition of 506 Megawatts (MW); Benin (Ihovbor) Generation Company Ltd with 507 MW; Calabar Generation Limited with 634MW; Omotosho Generation Limited with 513MW and Olorunsogo Generation Company Limited with 754MW.
The report also indicated that the sale was in continuation of the ongoing reforms of the Nigerian Electricity Supply Industry said to be consistent with the Nigerian Electric Power Policy and Electric Power Sector Reform (EPSR) Act, 2005. Prospective investors would therefore be expected to submit separate Expressions of Interest (EoI) for each GenCos.
Aside from this author, there are also those who might wish to ask; why the NCP failed to consider as important the warnings/concerns raised by Oshiomole, Mimiko, Uduaghan and Fayemi? Or at the very least investigates their observations/grievances?
Why has the present administration, on its part, neither revitalized the nation’s power/energy sector its power supply programme nor vigorously pursued the expansion of electricity generation and distribution up to 40,000 megawatts in four to eight years as previously promised in its draft manifesto? But continued in the old order of Nigerian Electric Power Policy and Electric Power Sector Reform (EPSR) Act, 2005?
While answer(s) to the above questions are expected from relevant authorities/agencies, two realities stand out.
One truth must be told to the effect that as a nation, we have carried out greater devotion and adherence to the maintenance of old structures, policies and principles in the sector rather than engineering real policies that will guarantee the sustainable development of electricity and boost energy supply in our country.
Secondly, the present crisis in the sector was created by the federal government, exacerbated by the federal government and can only be managed/solved by the federal government.
So, using the above scenario as a dashboard to correct this present challenge, it is important as a nation to openly admit and adopt within the sector both structural and managerial changes/approaches that impose more leadership discipline than conventional, and create a sector that is less extractive but more innovative in operation.
This is important not for political consideration but to end the bundle of paradoxes in the sector and grow our economy.
Utomi Jerome-Mario is the Programme Coordinator (Media and Public Policy), Social and Economic Justice Advocacy (SEJA), a Lagos-based Non-Governmental Organization (NGO). He can be reached via [email protected]/08032725374
Ever wondered where to find trendy fashion, cutting-edge tech, or stylish home decor at unbeatable prices? Look no further than Temu.
What is Temu?
Temu, an online marketplace sensation, has taken the world by storm with its vast array of products, competitive prices, and user-friendly platform.
Since its 2022 launch, it has quickly become a global sensation, boasting hundreds of millions of downloads and catering to over 80 markets. Now, Nigerian shoppers can experience the Temu magic firsthand.
This guide will walk you through the Temu shopping experience, ensuring a smooth journey from product discovery to delivery.
Step 1: CREATE AN ACCOUNT TO UNLOCK SMART SHOPPING
The registration process
Joining Temu is super easy! Whether you prefer the traditional approach or the convenience of social media, Temu has you covered. For the classic signup, simply visit temu.com or download the mobile app, enter your email or phone number, create a strong password, and confirm your details. It’s as easy as that!
For social media savvy, link your Google, Apple, or Facebook account and skip the hassle of creating a new login. With Temu’s streamlined process, you can spend less time logging in and more time exploring the incredible deals awaiting you.
Mobile app vs. desktop: Which platform offers the best shopping experience?
Both the mobile app and desktop website offer a seamless shopping experience. However, for a truly dynamic and interactive shopping journey, we recommend the mobile app. You will enjoy real-time price alerts, exclusive mobile deals, and easy order tracking.
For a more deliberate shopping experience, the desktop website is the perfect choice. With larger screens and easy-to-use comparison features, you can take your time and make informed decisions.
Step 2: BROWSING AND SHOPPING LIKE A PRO
Navigating Temu’s vast selection
Temu offers a vast selection of over 200 product categories, from fashion and tech to home goods and beauty.
To get started, simply use the search bar function to find specific items or explore categories, and refine your search with filters for price, colour, size, and more. Sort items by relevance, price, or newest arrivals to find the perfect products.
Temu’s ranking system highlights popular and trusted products, often based on customer reviews and sales trends. To make informed choices, compare prices, features, and reviews before purchasing.
Best-selling products
Temu’s best-selling products are constantly updated based on real-time sales data.
Other metrics beyond rankings
Temu goes beyond traditional product rankings, focusing on the performance and quality of its providers. By considering factors like historic ratings, repurchase records, follower numbers, and new product releases, consumers can make informed decisions. This approach not only empowers buyers but also incentivises providers to deliver high-quality, diverse products and build strong customer relationships.
Providers can earn recognition directly on their product pages by ranking highly in categories like Top Sales, Top Rated, Top Repurchased, Top Followed, or New Arrival. These rankings are based on the provider’s performance over the past 30 days and are updated daily to ensure the most current information is displayed to consumers.
Finding your perfect fit
Temu provides detailed size guides to help shoppers find the perfect fit, particularly for clothing and accessories. These guides often include measurements, comparison charts, and sometimes even virtual fitting tools to make your online shopping experience seamless.
Save more, shop smart
Simplify your shopping and maximise your savings with Temu. All discounts are displayed directly on product pages. For the best deals, explore the platform’s Lightning Deals. To ensure satisfaction, pay attention to details, read descriptions, verify measurements, understand features, and consult seller ratings and reviews.
Step 3: PLACING AN ORDER
Shopping safely and securely
Temu offers a variety of payment methods, including popular credit cards and digital wallets like Visa, Mastercard, American Express, Maestro, Discover, JCB and Diners Club. To prioritise your security, the platform employs advanced security measures, adhering to strict industry standards to protect your information.
Step 4: FAST AND RELIABLE DELIVERY
Hassle-free delivery, every time
Temu prioritises customer satisfaction by providing real-time order tracking and reliable shipping options, including free standard shipping and express delivery. The platform guarantees on-time delivery and offers full refunds for damaged or undelivered orders.
At the moment, Temu is in partnership with local logistics firms, such as Flyt Express, SKYNET, and Speedaf to make delivery to Nigerian shoppers on time.
Step 5: AFTER-SALES SERVICE – BEYOND THE PURCHASE
Returns and exchanges made easy
Temu provides a seamless return process with its Purchase Protection Program. If you’re unsatisfied with a purchase, log into your account, select the item, provide a reason, and submit a return request. Temu will provide a prepaid shipping label.
You have a 90-day return window for most items. Once processed, you can choose a refund to Temu credit or original payment. For exchanges, return the item and place a new order. Temu also offers refund policies for no updates and no deliveries. Check Temu’s specific return policy for the latest information.
Beyond shopping: A greener future
Temu is committed to sustainability. By shopping on Temu, you contribute to a greener future. The platform’s Tree Planting Program and combined shipping initiatives help reduce environmental impact.
Smart shopping simplified
Temu has transformed online shopping, offering a wide range of affordable products and a user-friendly experience.
Follow these simple steps to easily navigate the platform and discover your next favourite find. If you need assistance, Temu’s customer support team is available 24/7.
So, shop with confidence on Temu!
By Jerome-Mario Utomi
Some persons are born as a special breed of humans. Chiedu Ebie, Chairman of the Governing Board of the Niger Delta Development Commission (NDDC) is one of such persons.
In fact, at 55, Ebie encapsulates Menachem Mendel Schneerson’s postulation about people born as a special breed. Schneerson: “Because time itself is like a spiral, something special happens on your birthday each year: The same energy that God invested in you at birth is present once again.”.
When you look at Ebie’s career trajectory, his exhilarating performances in all the public offices he has held, his contributions to making Delta State a dream state for Deltans, and his current efforts to saturate the Niger Delta region with socio-economic, infrastructural, and human capital development as NDDC chairman, you won’t but agree that he indeed, as submitted by Menachem Mendel Schneerson, belongs to a rare breed of humans. Born January 2, 1970, Ebie’s birthday is a huge celebration of excellence.
Though he wears no airs and does not sound his own trumpet, anyone who encounters him will readily see in him a personality whose life is characterised by remarkable, legendary, and exemplary feats.
A thoroughbred attorney and oil and gas exploration executive, before his appointment as NDDC Board Chairman in November 2023, Ebie had served as Delta State Commissioner for Basic and Secondary Education and later, Secretary to the State Government.
Private and public sector stakeholders share common, refreshing commentaries about Ebie’s eventful and impactful 55 years on earth and his salutary accomplishments.
The common denominator, however, is that this “birthday boy,” this illustrious son of the Ika ancient kingdom who had contributed immensely to the realisation of the Smart and Stronger Delta agenda of the Governor Ifeanyi Okowa administration”, is worthy of commendation, emulation, and celebration as he turns 55 today.
Late American President John Quincy Adams was probably talking about Ebie when he argued that “If your actions inspire others to dream more, learn more, do more, and become more, you are a leader.” Indeed, in Ebie, you see a man whose knack for hard work, honesty, integrity, purposefulness, and excellence has been a source of inspiration to his subordinates and admirers.
His amiable and genial attributes, his traits of transparency and rock-solid integrity, as well as his goal-orientated nature, are arguably traceable to his grandfather, who was the first ordained reverend of the Anglican Church in the Ika nation, and whose two sons later became ordained reverend gentlemen themselves.
As Commissioner for Basic and Secondary Education from 2015-2019, for instance, Ebie achieved unprecedented set goals, which included the massive renovation and rehabilitation of schools and the revamping of grassroots sports through the Zenith Bank Delta Principal’s and Headmaster’s Cup.
In 2019, he achieved a record-breaking and, of course, the transparent recruitment of 1,000 teachers, posted across secondary schools in the state. This merit-based and high-level transparency recruitment exercise made it possible for most of the beneficiaries to scale through without knowing anyone in the ministry or government.
In recognition of his rare attributes, then Governor Okowa made the following elegant statement about Ebie during his inauguration as SSG: “Mr Ebie is a fine gentleman who served meritoriously as Commissioner for Basic and Secondary Education in the first tenure of his administration. His civility, analytical intelligence, communication skills, and diligence are essential qualities needed for the office of the SSG.
In addition to these, modern statecraft, with all its complexities and challenges, requires team players, proactive leaders, and men with a large appetite for work. Mr Ebie meets these criteria, and I am convinced that he is well equipped to enrich the social, political, and economic narrative of our dear state.”
In just one year as NDDC Board Chairman, the Board under his leadership has turned not just the Commission round for the better but also the entire Niger Delta region through purposeful and result-orientated superintendence.
Today is not just Ebie’s birthday but also the dawn of a new year for him, the beginning of another cycle of 365 days of rendering quality, humane, deliberate, intentional, and transformational service to Nigeria and the people of the Niger Delta in particular.
Happy birthday, sir!
Utomi, a media specialist, writes from Lagos, Nigeria. He can be reached via [email protected]/08032725374.
Feature/OPED
Kaolin Mining in Nigeria and Processing into Pharmaceutical Grade Kaolin with Export Potential
By Anaekwe Everistus Nnamdi
Kaolin, a versatile and valuable industrial mineral, holds significant promise for Nigeria’s mining and industrial sectors. Its wide-ranging applications, especially in the pharmaceutical industry, present an untapped potential for mining and processing into pharmaceutical-grade material for both local use and export.
Kaolin, or china clay, is a soft, white clay primarily composed of kaolinite. It finds applications in ceramics, paper, paint, rubber, and plastics. In the pharmaceutical industry, it serves as an excipient, binder, and coating agent for tablets, underscoring its economic significance. Pharmaceutical-grade kaolin is a premium product, requiring high purity levels and strict processing standards.
Nigeria boasts substantial kaolin deposits in states like Adamawa, Katsina, Ogun, Ondo, and Ekiti, with reserves exceeding two billion metric tons. Despite this abundance, the potential of kaolin mining and processing remains underutilized due to limited investment, inadequate infrastructure, and technological challenges.
The local demand for kaolin, particularly in pharmaceuticals and cosmetics, is on the rise. As Nigeria’s pharmaceutical sector grows, fueled by an increasing population and higher prevalence of chronic diseases, the need for high-quality pharmaceutical excipients like kaolin is set to surge. Beyond pharmaceuticals, kaolin is essential in toothpaste, cosmetics, and agrochemicals, further diversifying its domestic applications.
Globally, the kaolin market was valued at USD 3.09 billion in 2022 and is projected to reach USD 4.90 billion by 2030, growing at a compound annual growth rate (CAGR) of 4.59% from 2023 to 2030. The rising demand across industries such as paper, ceramics, paints, and rubber drives this growth. Construction activities worldwide also contribute to the expanding market, aligning with the growing global population’s needs.
Pharmaceutical-grade kaolin represents a niche yet high-value segment of this market. Major importers include the United States, Germany, Japan, and South Korea, where stringent regulations require high-quality raw materials.
Nigeria’s strategic location and trade agreements with African and international partners position it as a potential supplier. Investments in mining and processing infrastructure could enable Nigeria to compete globally, leveraging its vast reserves and cost advantages.
Trends in the Kaolin Market
Increased Demand for High-Purity Kaolin: The pharmaceutical and cosmetic industries are driving the need for ultra-fine, high-purity kaolin that meets regulatory standards.
Sustainability in Mining: Emphasis is growing on sustainable practices, minimizing environmental impact, and benefiting local communities.
Technological Advancements: Innovations in processing technology improve beneficiation efficiency, meeting stringent global standards.
Local Value Addition: Many governments encourage local processing industries to reduce reliance on raw material exports.
Processing pharmaceutical-grade kaolin involves a series of meticulously controlled stages. The first step is mining and beneficiation, which includes extracting kaolin and removing impurities through processes such as washing, sieving, and magnetic separation.
Next, calcination is employed to heat the kaolin, removing moisture and enhancing its chemical and physical properties.
This is followed by grinding and micronizing, a critical phase where the kaolin is refined to achieve the ultra-fine particle size required for pharmaceutical applications.
Finally, quality testing is conducted to ensure the product meets stringent international pharmacopoeia standards, guaranteeing its suitability for high-value uses.
Modern processing plants in Nigeria could significantly boost the local value chain, create jobs, and reduce dependency on imported pharmaceutical-grade kaolin.
The Nigerian mining sector operates under the Minerals and Mining Act of 2007, which provides the legal framework for activities. Key provisions include:
Licensing: Companies require licenses, such as Exploration Licenses, Mining Leases, and Small-Scale Mining Leases.
Environmental Compliance: Operations must adhere to environmental regulations, including conducting Environmental Impact Assessments (EIAs).
Community Engagement: Companies must engage host communities and deliver socio-economic benefits.
Additionally, the National Agency for Food and Drug Administration and Control (NAFDAC) oversees pharmaceutical product quality, including raw materials like kaolin. Compliance with NAFDAC standards is crucial for local producers targeting the pharmaceutical market.
Kaolin mining and processing offer Nigeria an opportunity to diversify its economy, reduce import dependency, and boost foreign exchange earnings. Investments in infrastructure, technology, and regulatory compliance can unlock the full potential of Nigeria’s kaolin reserves.
As global demand for high-purity kaolin rises, particularly in the pharmaceutical sector, Nigeria’s strategic position and abundant resources make it a key player in the industry’s future.
Anaekwe Everistus Nnamdi is the founder and Market Research Analyst of Foraminifera Market Research Limited, Lagos and can be reached via [email protected] or +234 8033782777
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