BusinessDay 28 Feb 2018
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Wednesday <strong>28</strong> <strong>Feb</strong>ruary <strong>2018</strong><br />
C002D5556<br />
BUSINESS DAY<br />
7<br />
FG not ready for provision of<br />
perimeter fencing in <strong>2018</strong><br />
IFEOMA OKEKE<br />
Despite the spate<br />
of runway incursions<br />
across Nigerian<br />
airports,<br />
<strong>BusinessDay</strong>’s checks show<br />
that the Federal Government<br />
may not provide perimeter<br />
fences across the<br />
airports in <strong>2018</strong>.<br />
The Federal Airports Authority<br />
of Nigeria (FAAN)<br />
Tuesday said it would capture<br />
the construction of perimeter<br />
fences in all airports<br />
in the 2019 budget.<br />
Experts say 2019 may be<br />
too late for this development<br />
as Nigerian airports<br />
continue to remain porous<br />
and could be threats to security<br />
if immediate steps<br />
are not taken to address security<br />
lapses at the airports.<br />
The recent incursion of<br />
Akure airport runway by<br />
cows that caused AirPeace<br />
aircraft to delay landing for<br />
about 20 minutes, thieves<br />
opening up cargo hold at<br />
the airport, the falling off of<br />
Dana Air door upon arrival<br />
at Lagos airport and the<br />
recent theft at the airports<br />
have again brought to the<br />
fore the need to improve<br />
aviation safety through ensuring<br />
that aircraft, airport<br />
runways and airside are secured.<br />
John Ojikutu, member<br />
of aviation industry<br />
think tank group, Aviation<br />
Round Table (ART) and<br />
chief executive of Centurion<br />
Securities, told <strong>BusinessDay</strong><br />
that if the NCAA<br />
had put security fences<br />
across airports in the<br />
country, there would not<br />
be incursion of the runways<br />
by cows.<br />
“The NCAA and FAAN<br />
should be blamed for absence<br />
of security fences<br />
across our airports. There<br />
are certain things we must<br />
have in place before we<br />
are certified to operate the<br />
airport. If NCAA approved<br />
the airports to be operating<br />
without perimeter<br />
fences, the airline should<br />
know that.<br />
“This information<br />
should be in the Aeronautical<br />
Information Publication<br />
(AIP). The pilot must<br />
read it before he departs.<br />
The operators too should<br />
be blamed because if they<br />
are going to Akure, they<br />
should take precaution on<br />
landing,” Ojikutu said.<br />
He recalled that in<br />
1990s, when he was the<br />
airport commandant people<br />
were farming on the<br />
runway side of the Murtala<br />
Muhammed International<br />
Airport (MMIA), until he<br />
had to put a stop to it.<br />
On the issue of poaching,<br />
Ojikutu advised that that<br />
FAAN should “withdraw<br />
coy Identity Cards from disengaged<br />
staff and ensure<br />
same for ground handling<br />
staff; limit number of staff<br />
working in the aircraft and<br />
apron, and conduct regular<br />
background checks on all.<br />
Ensure regular payment of<br />
salaries; demand for security<br />
enhanced fences and<br />
regular patrol of aircraft<br />
manoeuvring areas.”<br />
‘Compel oil majors to build refineries,<br />
power plants, or revoke their licences’<br />
IGNATIUS CHUKWU & DAVID EJIOHUO<br />
The Federal Government<br />
has been told<br />
to compel the oil<br />
multinationals to<br />
build refineries and bring<br />
to an end the perennial fuel<br />
scarcity in Nigeria.<br />
An engineer, Lucky Akhiwe,<br />
who is the vice president<br />
of the South-South Chambers<br />
of Commerce, made the<br />
observation when he spoken<br />
with <strong>BusinessDay</strong> in an exclusive<br />
interview at the Port<br />
Harcourt International Airport,<br />
Omagwa.<br />
According to Akhiwe, who<br />
is also the chairman of Oil<br />
Flow Services, the only solution<br />
to end the embarrassing<br />
fuel scarcity in the country<br />
was for the Federal Government<br />
to have strong political<br />
will and compel the major<br />
oil exploration companies to<br />
build at least three refineries<br />
in the country.<br />
This decision, he noted, is<br />
being made all over the world<br />
and all the Federal Government<br />
needs to do is to make<br />
a condition for oil companies<br />
to have it as part of their lease<br />
agreement to build refineries<br />
of at least 300 barrels of petrol<br />
per day or have their lease<br />
cancelled.<br />
These refineries he further<br />
noted must not be<br />
modular ones but refineries<br />
that could produce about 300<br />
barrels a day and any major<br />
exploration company that<br />
failed to do so should have its<br />
lease agreement terminated<br />
by the Federal Government.<br />
Apart from the refineries,<br />
the oil companies should<br />
also be made to build power<br />
plants as part of their obligations<br />
to the nation and their<br />
contribution to boost the<br />
electricity generation in the<br />
country.<br />
The chamber of commerce,<br />
he explained, had on<br />
several occasions, engaged<br />
the Federal Government on<br />
the need to make these decisions<br />
but regrets that the<br />
government lacks the strong<br />
political will to do so.<br />
This, he said, was unfortunate<br />
because these companies<br />
make their money here,<br />
taking it as an advantage because<br />
they were not asked<br />
to plough back their wealth<br />
into the country. “I tell you,<br />
if this decision is taken, we<br />
can buy fuel at N30 per litre<br />
in this country and we can<br />
have enough electricity generated<br />
into our homes and<br />
industries.’’<br />
On the development of<br />
the modular refineries as<br />
proposed by the Federal<br />
Government, Akhiwe explained<br />
that the modular<br />
refineries idea was feasible<br />
but regretted that the<br />
Federal Government was<br />
not helping the matter because<br />
of the bottle neck<br />
conditions. “How can you<br />
ask people to start paying<br />
$150,000 as condition to get<br />
the license, even when the<br />
procedure is not clear. How<br />
can you ask community<br />
people to pay such amount<br />
as a condition to start a<br />
modular refinery, from<br />
where will they produce the<br />
money’’?<br />
NEWS<br />
Land use charge: OPS mulls<br />
legal action against Lagos<br />
… says law inhumane, insensitive to enterprise<br />
JOSHUA BASSEY<br />
Organised Private<br />
Sector (OPS) is<br />
considering a legal<br />
option to challenge<br />
the provisions of the Lagos<br />
Land Use Charge law assented<br />
by Governor Akinwunmi<br />
Ambode on <strong>Feb</strong>ruary 7, describing<br />
the legislation as<br />
‘insensitive’ and at variance<br />
with the ease of doing business<br />
drive of government at<br />
federal and state levels.<br />
The OPS through one of<br />
its bodies – Nigeria Employers’<br />
Consultation Association<br />
(NECA) says the amended<br />
Land Use Charge Law,<br />
which replaced the Land Use<br />
Charge Law 2001, lacks ‘humanness,’<br />
which is a major<br />
attribute of good governance.<br />
Olusegun Oshinowo,<br />
director-general of NECA, in<br />
a statement on Tuesday, said<br />
the “OPS will not stand hand<br />
tied up to celebrate impunity<br />
and cheer disdain. It will fight<br />
this law by social resistance<br />
and any other legitimate<br />
means at its disposal.”<br />
Oshinowo observed: “The<br />
new law will expect property<br />
owners in Lagos State to pay<br />
an increase of over 200 per<br />
cent in Land Use Charge<br />
even when the income of the<br />
property owner has not experienced<br />
significant increase<br />
to justify the charge.<br />
“There is, also, a penalty<br />
payment ranging between<br />
125-200 percent, if payment<br />
is not made between April<br />
and August <strong>2018</strong>. The new<br />
charge is, thus, highly insensitive<br />
and inhumane to<br />
say the least. It is, therefore,<br />
unacceptable to organised<br />
businesses.”<br />
Although Oshinowo<br />
commended Ambode for<br />
“good works and making<br />
Lagos a model for good<br />
governance,” he, however,<br />
averred, “sensitivity and humanness,<br />
which is part of<br />
good governance, is missing<br />
in the amended Land<br />
Use Charge law of the state.”<br />
The new law extended<br />
the period for the payment<br />
of all annual Land Use<br />
Charge Demand Notices<br />
for <strong>2018</strong> to Saturday, April<br />
14, <strong>2018</strong>. The extension is<br />
to enable property owners<br />
and affected occupiers<br />
take the option of enjoying<br />
the discounts available for<br />
the prompt and early payment<br />
of Land Use Charge<br />
invoices.<br />
The land use charge law<br />
as amended seeks to consolidate<br />
all property and land<br />
based rates/charges into a<br />
single property charge. It<br />
also sets the modalities for<br />
levying and collection of<br />
land use charge in Lagos<br />
State<br />
The state government<br />
believed that the law, which<br />
would expectedly boost the<br />
revenue profile of the state,<br />
would significantly contribute<br />
to the growth and development<br />
of Lagos as well as<br />
facilitate the current administration’s<br />
vision of a globally<br />
competitive mega city.