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Why Leadership is the Problem

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Leadership

By Jerome-Mario Utomi

During an address by Harvard Political Professor, Samuel Huntington, on August 1995, at Taipei, he was among other things asked of his impression about Prime Minister Lee Kuan Yew’s effort to develop Singapore, and he scantly summed it up this way; the honesty and efficiency Senior Minister Lee has brought to Singapore are likely to follow him to his grave.

However, like faith, which is a belief in things not seen, coupled with the fact that ordinary calculation can be upturned by extra-ordinary personalities, not only did Lee’s efficiency survived him, but history has since assisted in providing answers to the correctness or otherwise of Professor Huntington declaration.

Accordingly, it’s now in public domain those two years after the observation, Singapore- a country with a GDP of $3 billion in 1965 grew to $46 billion in 1997, making it the 8th highest per capita GNP in the world, according to the World Bank ranking.

Clearly, a bracing account and unprecedented result! What is, however, left for those who are living is to learn the lessons from such history and gain wisdom, or ignore it, and wonder in dilemma.

Essentially, the crux of this piece is to use Prime Minister Lee Quen Yew account to analyse and understand the essential ingredients of foresight in leadership and draw a lesson on how the leadership decision-making process involves judgment about uncertain elements and differs from the pure mathematical probability process.

From accounts, aside from the fact that the story of Singapore’s progress is a reflection of the advances of the industrial countries-their inventions, technology, enterprise, and drive, a united and a determined group of leaders, backed by practical and hard-working people who trust them made it possible, It is part of the story of a leader’s search for new fields to increase the wealth and well-being of his people.

From this new awareness, flows the major difference.

When one juxtaposes the above account with the current situation in Nigeria, it, without minding what others may say, points in one direction; Nigeria’s current posturing is more man-made than natural, more of leadership gaps than the lack of resources.

The challenge is further compounded by a misguided view of amalgamation by some segments of Nigerians as more of a historicized occurrence without any barefaced or hidden advantage to the nation; a mindset that further promoted deliberate demonstration of impunity, as well as superiority by one group or region against the other.

But in dramatizing this superiority, the point the people did forget is that never should one ‘be so foolish to believe that you are stirring admiration by flaunting the qualities that raised you above others.

By making them aware of their inferior positions, you are only stirring unhappy admiration or envy that will gnaw at them until they undermine you in ways that you may not foresee’. It is only the fools that dare the god of envy by flaunting his victory’.

The sad news, however, is that this avoidable situation was allowed to complete its gestation and finally gave birth to what is now known and addressed in our political domain as a ‘call for restructuring’ or agitation for resources control.

But at a more significant level, it is the leadership performance deficit which has plundered the socio-economic affairs of the nation to a sorry state; an occurrence that stems from an unknown leadership style described by analysts as neither ‘system nor method based’; without anything exemplary or impressive.

While this appalling situation daily unfolds in our political space, the global leadership stage is littered with telling evidence about leaders that have demonstrated leadership sagacity and professional ingenuity that our leaders have refused to replicate their resourcefulness on our shores.

For instance, in 1932, Franklin D Roosevelt, the Democratic Party candidate, United State of America was elected president in the midst of the great depression. At the time of inauguration in 1933, one-quarter of the labour force was out of a job, with many thrown into poverty. Industrial production had fallen and investments had collapsed.

But within two years of his administration, he revived the economy and moved to the next stage of his agenda. He signed the social security act which introduced the modern welfare state into the United States pension at retirement, unemployment benefits, and some public health care and disability benefits. When asked how? he responded thus; “extraordinary conditions call for extraordinary remedies” This to my mind is leadership accomplishment worthy of emulation.

Regrettably, here in the country, the leadership challenge is given a boost by the ground propensity and penchant for corrupt, nepotistic practices of our ‘leaders’ since independence, a development that is gradually becoming a norm; a state of affairs vast majority of Nigerians claims was responsible for the inability of the nation’s successive leaders to alleviate the real condition of the poor, the deprived, the lonely, the oppressed or get into their lives and participate in their struggle.

Looking at commentaries, one can discern that the above fact is largely responsible for the youth’s restiveness and tribal aggressions as the masses continue to fight in order to register their grievance against state-sponsored socioeconomic deprivations.

It is also of considerable significance to this discourse to note that this leadership challenge has visited Nigerians with not just poverty but what analysts described as ‘island poverty’ or poverty in the midst of plenty; which has, in turn, promoted both hopelessness and powerlessness among innocent Nigerians.

But in all, one thing seems to stand out, our leadership challenge or bad governance was implanted by the leaders, encouraged by our unquestioning obedience to the authorities and can only be reduced or erased by Nigerians.

Having discovered the challenge threatening the continued existence of our country, it becomes imperative that whatever measure the nation may want to use in tackling this challenge can only succeed if it probably puts in place steps that will guarantee leadership restructuring.

Catalysing the process of building the Nigeria of our dreams that is laced with good leadership will among other demands require a sincere and selfless leadership, a politically and economically restructured polity brought by the national consciousness that can unleash the social, economic and political transformation of the country while rejecting the present socio-economic system that has bred corruption, inefficiency, the primitive capital accumulation that socially excluded the vast majority of our people.

Above all, to completely put things right, the federal government must recognize, and position Nigeria to be a society of equal citizens where opportunities are equal and personal contribution is recognised and rewarded on merit regardless of language, culture, religion, or political affiliations.

If we are able to achieve this, it will once again, announce the arrival of a brand new great nation where peace and love shall reign supreme as no nation enjoys durable peace without justice and stability, without fairness and equity!

Part of that effort will entail recognizing that the solution to our leadership challenge may afterward not be based on argument or debate but by the quality of the people in charge.

This will be followed by frantic effort to create a ‘civil society that will help sort out the irresponsible from the response in leadership. Another inoculation that will cure this leadership challenge will demand the development of a mindset for details and history necessary for today’s leadership.

Jerome-Mario Utomi is the Programme Coordinator (Media and Policy), Social and Economic Justice Advocacy (SEJA), Lagos. He could be reached via [email protected]/08032725374.

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NNPC’s $1.42bn, N5.57trn Debt Write-Off and Test of Nigeria’s Fiscal Governance

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bayo ojulari nnpc

By Blaise Udunze

When the federal government approved the write-off of about $1.42 billion and N5.57 trillion in legacy debts owed by the Nigerian National Petroleum Company Limited (NNPC Ltd) to the Federation Account, it was rightly described as a landmark decision. After years of disputes, reconciliations, and contested figures, Nigeria’s most important revenue institution was, at least on paper, given a cleaner slate.

The approval, contained in a report prepared by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) and presented at the last year November meeting of the Federation Account Allocation Committee (FAAC), effectively wiped out 96 percent of NNPC’s dollar-denominated obligations and 88 percent of its naira liabilities accumulated up to December 31, 2024. It resolved long-standing balances arising from crude oil liftings, joint venture royalties, production-sharing contracts, and related arrangements.

Judging it critically, the decision carries both promise and peril, but can be viewed from the perspective of a country desperate to restore confidence in public finance management. It offers an opportunity to reset relationships, clean up accounting records, and move forward under the Petroleum Industry Act (PIA). Yet, it also exposes deep structural weaknesses in Nigeria’s oil revenue governance, weaknesses that, if left unaddressed, could turn today’s debt relief into tomorrow’s fiscal regret.

Context matters. The debt write-off comes not during a period of revenue abundance, but at a time when Nigeria’s upstream revenue performance is under severe strain. According to the same NUPRC document, the commission missed its approved monthly revenue target for November 2025 by N544.76 billion, collecting only N660.04 billion against a projected N1.204 trillion.

Royalty receipts, the backbone of upstream revenue, tell an even starker story. It is alarming that against an approved monthly royalty projection of N1.144 trillion, only N605.26 billion was collected, leaving a shortfall of N538.92 billion. Cumulatively, by the end of November 2025, the revenue gap stood at N5.65 trillion, with royalty collections alone falling short by N5.63 trillion. These figures underscore how fragile Nigeria’s fiscal position remains, even as trillions of naira in historical obligations are being written off.

To be fair, the debts forgiven were not incurred overnight. They are the product of years of disputed remittances, lacking transparent accounting practices, and overlapping institutional roles, particularly under the pre-PIA regime. As petroleum economist Prof. Wumi Iledare has repeatedly observed, the former Nigerian National Petroleum Corporation combined regulatory, commercial, and operational functions, making revenue reconciliation cumbersome and frequently contested.

That legacy continues to haunt the system, as witnessed with the ongoing dispute between NNPC Ltd and Periscope Consulting, the audit firm engaged by the Nigeria Governors’ Forum, over an alleged $42.37 billion under-remittance between 2011 and 2017, which illustrates how unresolved the past remains. Though NNPC insists all revenues were properly accounted for as claimed, Periscope maintains that significant gaps persist, forcing FAAC to mandate yet another reconciliation exercise. This recurring pattern of audits, counterclaims, and stalemates has weakened trust in the federation revenue system and eroded confidence among states that depend on oil proceeds for survival.

Crucially, the debt write-off does not mean NNPC has turned a corner financially. Statutory obligations incurred between January and October 2025 remain on the books, amounting to about $56.8 million and N1.02 trillion. Although part of the dollar component was recovered during the period under review, the accumulation of new liabilities so soon after reconciliation raises uncomfortable questions about whether old habits are being replaced with genuine fiscal discipline.

More troubling still is what NNPC’s own audited financial statements reveal about its internal financial health. Despite recording a profit after tax of N5.4 trillion on revenues of N45.1 trillion in 2024, the company’s inter-company debts ballooned to N30.3 trillion, representing a 70 per cent increase within a single year. This is not debt owed to external creditors but largely obligations between NNPC and its subsidiaries, effectively the company owing itself.

Records show that of 32 subsidiaries, only eight are debt-free, and the rest, particularly the refineries, trading arms, and gas infrastructure units, remain heavily indebted to the parent company. There was a recurring cycle where profitable units subsidise chronically underperforming ones, and accountability steadily erodes because cash that should fund maintenance, expansion, and efficiency improvements is instead trapped in internal receivables.

The refineries offer a stark illustration whereby the Port Harcourt Refining Company alone owed N4.22 trillion in 2024, more than double its 2023 figure, while Kaduna and Warri refineries followed closely, with debts of N2.39 trillion and N2.06 trillion respectively. Despite the repeated failed turnaround maintenance with many years of rehabilitation spending, none have operated sustainably at commercially viable levels. Their continued dependence on financial support from the parent company highlights the cost of postponing difficult restructuring decisions.

And, for this reason, international observers have long warned about these structural weaknesses. One of the critics, the World Bank, has repeatedly flagged NNPC as a major source of revenue leakages. It further noted that the persistent gaps between reported earnings and actual remittances to the Federation Account. Even after the removal of petrol subsidies, the bank observed that NNPC remitted only about 50 per cent of the revenue gains, using the rest to offset past arrears. Such practices, while perhaps defensible in internal cash management terms, undermine fiscal transparency and weaken Nigeria’s macroeconomic credibility.

This is why the central issue is not the debt write-off itself, but what follows it because debt forgiveness is not reform. Without firm safeguards, it risks entrenching the very behaviours that created the problem in the first place. As Prof. Omowumi Iledare has warned, the scale and pace of the inter-company debt build-up represent a governance test rather than a mere accounting anomaly. Allowing subsidiaries to operate indefinitely without settling obligations is incompatible with the idea of a commercially driven national oil company.

The fact remains that if NNPC wants to function as a true commercial holding company under the PIA, it must enforce strict settlement timelines, restructure or divest non-viable subsidiaries, while clearly separating legacy debts from new obligations. With this, it holds subsidiary leadership accountable for cash flow and profitability. Independent, real-time audits and transparent reporting must become routine features of governance, not emergency responses triggered by controversy.

There is also a broader national implication. At a time when Nigerians are being asked to accept higher taxes, reduced subsidies, and fiscal tightening, large-scale debt write-offs without visible accountability risk undermining the legitimacy of the entire revenue system. Citizens cannot be expected to bear heavier burdens while systemic inefficiencies in the country’s most strategic sector persist.

Of a truth, the cancellation of NNPC’s legacy debts could mark a turning point in Nigeria’s fiscal governance, but only if it is not treated as its conclusion but the beginning of reform.

If discipline, transparency, and commercial accountability follow, the decision may yet help reposition NNPC as a profitable, credible, and PIA-compliant institution. If not, today’s clean slate will simply defer the reckoning until the next reconciliation, the next audit dispute, and the next fiscal crisis.

Blaise, a journalist and PR professional, writes from Lagos and can be reached via: [email protected]

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Taxation Without Representation

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Austin Orette Taxation Without Representation

By Dr Austin Orette

The grandiosity of Nigerians when they discuss events and situations can be very funny. If the leaders use this kind of creativity in proffering solutions, we may be able to solve some of the problems that plague Nigeria perennially.

There seems to be a sublime affectation for new lingos when the system is being set to punish Nigerians. It is a kind of Orwellian speak.

Recently, there was no electricity throughout the country. The usual culprit and government spoke; people came out to tell us the power failure was due to the collapse of the National grid. Does it really matter what is collapsing? This is just an attempt by some government bureaucrats to sound intelligent.

Intelligence is becoming a borrowed commodity from the IMF or World Bank. What does it mean when you tell Nigerians that the national grid collapsed? Is that supposed to be a reassurance, or it is said to give the assurance that they know something about the anemic electricity, and we should get used to the darkness. This is a language that is vague and beckons the consumer to stop complaining. Does that statement mean anything to Nigerians who pay bills and don’t see the electricity they paid for? If they see it, it comes with an irregular voltage that destroys their newly purchased appliances. Just tell or stay quiet like in the past.

Telling us that a grid collapse is a lie. We have no national grid. Do these people know how silly their language sounds? Nigeria produces less than 10,000 megawatts of electricity for a population of 200 million people. How do you permutate this to give constant electricity to 200 million people? It is an insult to call this low output a national grid. What is so national about using a generator to supply electricity to 200 million people? It is simple mathematics. If you calculate this to the minute, it should not surprise you that every Nigerian will receive electricity for the duration of the blink of an eye. They are paying for total darkness, and someone is telling them they have an electricity grid.

If you can call the 10,000-megawatt national grid collapsed, it means you don’t have the mind set to solve the electricity problem in Nigeria.

To put it in perspective is to understand the basic fact that the electrical output of Nigeria is pre-industrial. Without acknowledging this fact, we will never find solutions as every mediocre will come and confuse Nigeria with lingos that make them sound important.

It is very shameful for those in the know to always use grandiose language to obfuscate the real issues.

South Africa with a population of sixty million produces about 200,000 megawatts of electricity daily. Nigeria produces less than 10,000 megawatts. Why South Africa makes it easy to lift the poor from poverty, Nigeria is trying to tax the poor into poverty.

The architects of the new tax plan saw the poor as rich because they could afford a generator.

A non-existent subsidy was removed, and the price of fuel went through the roof. Now the government says they are rich. What will they get in return for this tax extraction? Why do successive Nigerian governments always think the best way to develop Nigeria is to slap the poor into poverty? What are the avenues for upward mobility when youth corps members are suddenly seen as rich taxpayers? Do these people know how difficult it is to start a business in Nigeria?

After all the rigmarole from Abuja to my village, I cannot get a government certificate without a-shake down from government bureaucrats and area boys. The government that is so unfriendly to business wants to tax my non-existing businesses. Are these people in their right state of mind? Why do they think that taxing the poor is their best revenue plan? A plan like this can only come from a group of people who have no inkling of what Nigerians are going through. People can’t eat and the government is asking them to share their meager rations with potbellied people in Abuja.

Teach the people how to fish, then you can share in their harvest. If an individual does what the government is doing to Nigerians, it will be called robbery, and the individual will be in prison. When the government taxes people, there is a reciprocal exchange. What is being done in Nigeria does not represent fair exchange.

Nigerians have never gotten anything good from their government except individual wealth that is doled out in Abuja for the selected few.

The question is, will Nigerians have a good electricity supply? NO. Will they have security of persons and properties? No. Will they have improved health care? NO. Will there be good roads? No. Will they have good schools and good education? No.

Taxation is not good governance. A policy like this should never be rushed without adequate studies. Once again, our legislators have let us down. They have never shown the people the reason they were elected and to be re-elected. They are not playing their roles as the watchdog and representatives of the people. Anyone who voted for this tax bill deserves to lose their positions as Senators and Members of the House of Representatives.

We are not in a military regime anymore. Nigerians must start learning how to exercise their franchise. This taxation issue must be litigated at the ballot box. The members of the National Assembly have shown by their assent that they don’t represent the people.

In a normal democracy, taxation without representation should never be tolerated. They must be voted out of office. We have a responsibility and duty to use our voting power to fight unjust laws. Taxation without representation is unjust. Those voted into power will never respect the citizens until the citizens learn to punish errant politicians by voting them out of office. This responsibility is sacred and must be exercised with diligence.

Dr Austin Orette writes from Houston, Texas

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Why GOtv Continues to Shape Nigeria’s Home Entertainment Culture

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For many Nigerian families, GOtv has become more than a television service. It is part of the daily routine. It is what people unwind with after a long day, what keeps children entertained on quiet weekend mornings, and what brings households together during football matches, movie nights, and festive celebrations. Over the years, GOtv has blended naturally into these everyday moments, shaping the way Nigerians enjoy entertainment at home.

Here are some of the reasons GOtv continues to stand out.

1. Local Content That Feels Like Home

Nigerians love stories that reflect their lives, and GOtv delivers this consistently. With Africa Magic, ROK, and other local channels, viewers enjoy Nollywood movies, relatable dramas, reality shows, and lifestyle programming that speak their language. These are familiar faces, familiar stories, and familiar experiences. GOtv understands the value of cultural connection and continues to invest in the content viewers care about.

2. Affordable Packages That Work for Real Families

GOtv has built its reputation on affordability. With packages designed for different budgets, families can enjoy quality entertainment without financial pressure. Some of the affordable packages on GOtv include GOtv Jinja, GOtv Jolli, GOtv Max, GOtv Supa, GOtv Supa Plus. This balance of good content at a comfortable price is a major reason GOtv remains a trusted household name across Nigeria.

3. A Channel Lineup That Has Something for Everyone

The beauty of GOtv is its range. Children enjoy their cartoons and animated shows, parents relax with movies and telenovelas, sports lovers stay connected to live games and highlights, and music and lifestyle channels keep the energy lively. Whether it is catching up on the news, finding something light after work, or choosing a family movie for the weekend, GOtv fits naturally into everyday Nigerian life.

4. Programming That Matches Our Daily Rhythm

GOtv understands the way Nigerians watch television. Weeknights come with easy to follow entertainment, weekends offer longer movies and marathons, and festive seasons arrive with special programming that brings everyone together. The schedule is practical, familiar, and aligned with the pace of Nigerian homes.

5. Easy Access Across the Country

From major cities to smaller communities, GOtv remains reliable and easy to use. Installation is straightforward, navigation is simple for both adults and children, and the service works seamlessly across the country. Even when life gets busy, GOtv makes it easy to stay connected, subscribers can pay and reconnect instantly without long processes or penalties, picking up right where they left off.

With relatable content, pocket-friendly pricing, and a channel lineup built around real Nigerian lifestyles, GOtv has earned its place in homes across the country. As the entertainment landscape evolves, GOtv continues to grow with its viewers, shaping how Nigerians watch, share, and enjoy moments together every day.

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