By Adetunji Ayobrown
That the vice President, Yemi Osinbajo agreed that government has no business running refineries is no longer news to those that have been following the trend.
Deregulations, described as the right balance between investors and state is an idea that is ready to jump-start Nigeria’s economy, which barely recovered from every recession brought about by the international oil price crashes.
Realisation of reality or what? How else do we describe the recent change of heart or sudden unannounced ‘u-turn’ made by one of the most important personalities of this government, the number two official of the President Mohammadu Buhari’s administration? One some considered to be the overrated poster boy of government.
Some say it’s a confirmation of the professor’s wisdom and education, others said it is all part of the 2023 presidential election game plans. But be it bad or good, the truth must be said. Perhaps, Osibanjo, who many have considered to be consistently failing those who believed in his joint ticket with PMB now want to ‘repair’ his name, by trying to make the necessary difference with such stance considering the reality on issues around the refineries.
The Vice President, Prof. Osinbajo, must have now realised that there is no way an ordinary person can understand the NNPC internal system, but with highly intelligent brains, it is achievable. As known and nicknamed, the NNPC is a ‘mafia organisation’, even former president Olusegun Obasanjo said the NNPC is a well coordinated group, which is rather difficult to break, especially now that it is under President Buhari, who is also the minister.
Former president Atiku Abubakar, had on many occasions reaffirmed his stance that if elected, he would break up the NNPC and privatise it by selling off State’s owned refineries through a combination of listings, public-private partnerships and other mechanisms.
These were his statements but same were later used against him on matters concerning the nation. But all hails the day, Prof. Osinbajo is now in tune with Atiku’s policy!
A confirmed, known thief is surely better than an unknown self acclaimed saint. The PDP former presidential candidate said it that government should not have business running the nations refinery, and in fact, he clamoured for the refineries to be sold-off and the funds use to service/develop other sectors like agriculture; this is what the APC, the ruling regime twisted and blew (the hard-truth) out of proportion while aware that Atiku’s advise was the best for a corrupt nation, though pretentious about the fact.
Although some analysts think that for the oil majors, it is a big concerned to effect changes to their production deals. But everyone know that terms for offshore oil may get tougher one way or the other, but all questions will be answered by the market as determined by investors and the state, that is how it is done world over.
Politics aside, we all could remember then when APC told Nigerians that there was no subsidy in downstream sector when the PDP then claimed there was and in fact expunging huge amount of funds to shore-off the excess liquidity. Today, the APC have also trekked same path as the PDP and are not just paying for the frivolous subsidy, but now wants to remove what was previously claimed to be frivolous and fictitious.
Except if gaining from the muddle, many wondered why it took Buhari’s government this long to construct modular refineries around the nation, help the private owned and put in place policies that will generate employment opportunities while regular taxes payment is guaranteed. Instead this government chooses importation of refined products at any fluctuating prices claiming payment of exorbitant subsidy.
Well, better late than never. it’s good the FG is coming to self realisation of the reality. This same government goes beyond the ordinary to attack Atiku over this issue, and this is where such ignorance had landed the nation, Osinbajo did agreed now.
The denounced and demonic term of privatisation is the only way; a message preached by another Apostle Osinbajo, truly the rejected stone becomes the good corner stone. I do not think that it is the business of the government to run the refinery’, was an applauded message but how to explain such brilliant idea to his boss, Buhari, the minister of petroleum resources seems an unachievable task for over five years of this government.
However that says a lot about the relationship of the duo, perhaps buttressing the fact their working relationship is inadvertently cordial. Osinbajo thinks the problems associated with Nigeria’s refineries will persist if the Federal Government continues to own and run them, at a virtual meeting organised for the All Progressives Congress social media bloggers and influencers at the APC National Secretariat, in Abuja.
A once denounce demonic idea they had claimed; who is right or who is wrong is now more than obvious to all. PMB, has on the issues of indiscriminate increase of fuel price and electricity tariff, clearly disappointed those who thought he was their messiah.
And for his vice, the take is if truly he meant his words, he should man enough by being honest without been prejudice and talk straight.
He seems to have better explanations, which he ought to had offer at many of the state’s meetings but which he didn’t and that this is coming now seems surprising to most Nigerians.
Who would believe that “if the refinery is left in the hands of the government, it will continue to experience the same problem it is experiencing now. I do not think that it is the business of the government to run the refinery”, can ever be said by any Buharian.
No excuses will be entertained when the right time comes, as many Nigerians have seen what the VP foresaw by agreeing that it should be the business of the private sector against his government’s stance.
After five years and still in trying mode on how to focus on assisting the private sector to develop modular refineries, may need a professorship explanations for better understanding. This is not meant to be sarcastic.
But for sure, statistics had shown that Nigerians electorate are gradually, though many say too slow, but becoming wiser and sophisticated in reasoning while voting, my political professor explained that to me with recent APC details.
Even with their whole idea to support as many private refineries as possible for now. No respite in price reduction, the FG said. Even with the biggest of all modular refineries coming on board, including the awaited Dangote Refinery with 250,000 barrels capacity that is bigger than all of the government’s refineries put together, according to VP.
It is now true that this government had agreed with Atiku Abubakar on our nation’s refineries. Trust a businessman who made his fortune in oil and gas logistics, knows and conceded that renegotiations with oil companies could be tough.
With the stability of the oil regulatory framework, oil majors will try to defend current terms because of recovery of their investment may take a bit little longer, but with the seriousness of any nation, it is a battle that is achievable.
It requires more than passing a set of oil sector reforms, setting up an independent regulator and breaking up the notorious cabals of Nigerian National Petroleum Corporation, the state untouchable oil company. Except you are with them, why with five years gone, government is still in romance mode with them.
*Ayobrown, Senior System Analyst, National Pilot Newspaper, writes via aayobrown@gmail.com
