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Oil experts list benefits as National Assembly breaks 12-year jinx, passes PIB

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The Senate on Thursday passed the Petroleum Industry Bill and approved that three per cent of profit made by oil firms should be shared to host communities.

The upper chamber passed the PIB, 2021 after the clause by clause consideration of the report of its joint committee on Petroleum (Upstream, Downstream and Gas) on PIB.

Lawmakers from the South-South geopolitical zone however protested against the three per cent approved for the host communities and called for five per cent.

The Senate had before then held a closed session with the Minister of State for Petroleum, Timipre Sylva, and the Group Managing Director of the Nigerian National Petroleum Corporation, Mele Kyari.

The Senate also approved that 30 per cent of profits accruing from oil and gas operations by the Nigeria National Petroleum Corporation would be set aside for exploration of oil in the frontier basin.

The proposed law stipulated that all exploration of frontier basins would fall under the purview of the Upstream Regulatory Commission.

It also clarified that the three per cent from the oil firm’s profits would be reserved for the development of host communities.

However, before the Senate approved the clauses, the plenary was thrown into a rowdy session following the disagreements over the right percentage of oil revenue that should accrue to the host community.

This was because the report of the Senate Joint Committee on Petroleum which processed the bill had proposed five per cent for host communities.

However, when the Senate carried out the clause by clause consideration of the bill, it was reduced to three per cent.

The development led to a stalemate as senators from the Niger Delta region vehemently opposed the decision.

For instance, the Senator representing Delta South, Senator James Manager, proposed an amendment to retain the provision of five per cent in the report but he was defeated.

Also, another attempt by the Senator representing Rivers State, George Sekibo, to call for a division was overruled by the Senate President, Ahmad Lawan, who hit the gavel to re-confirm the three per cent host community provision.

The development led to a serious tension.

The Senate leadership swiftly moved to pacify the southern senators who were insisting on division to resolve the impasse.

The Leader of the Senate, Yahaya Abdullahi, said the Senate would be ‘heading for a state of Armageddon’ if it allowed that division to happen.

Lawan also supported the Senate Leader and urged his colleagues to exhibit patriotism and Sekibo later agreed to withdraw his motion.

Similarly, the House of Representatives, on Thursday, passed the controversial bill, following the consideration and adoption of the report on the controversial legislation.

Speaker of the House, Femi Gbajabiamila, hailed the lawmakers for the record passage of the controversial bill, describing it as significant in the history of the parliament.

The Majority Whip and Chairman of the Ad Hoc Committee on PIB, Mohammed Monguno, had laid the report at the plenary on Wednesday.

He prayed the House to consider the report on the ‘Bill for an Act to Provide Legal, Governance, Regulatory and Fiscal Framework for the Nigerian Petroleum Industry, the Development of Host Communities; and for Related Matters, 2021 (HB. 1061) and Approve the Recommendations Therein’.

The report, as passed, provided five per cent for the development of the host communities and the establishment of a Host Communities Development Fund, which Monguno put at $895m annually.

The chairman noted that the committee recommended five per cent in order not to scare away investors from the nation’s oil and gas sector, in view of the availability of oil in several countries at the moment.

The House included in the bill, a Frontier Exploration Fund, which is to conserve funds for the exploration of oil in the various River Basins across the country which was not initially part of the bill.

However, the bill passed with an amendment only to Section 240(2) of the bill by increasing the host community funding from 2.5 per cent of actual operating expenditure of oil companies as presented to five per cent.

The section provides that “each settlor, where applicable through the operator, shall make an annual contribution to the applicable host community development trust fund of an amount equal to 2.5 per cent of its actual operating expenditure in the immediately preceding calendar year in respect of all petroleum operations affecting the host communities for which the applicable host community development trust was established.”

Gbajabiamila said, “I want to underscore how big, what this committee has just done because this has been going on for 20 years. I want to commend the 74 wise men whose work product has now become the work product of 360 men. I want to commend these men and women for their commitment, industry and scholarship in producing this 318-section law. This 9th Assembly will be recorded on the right side of history.

Our correspondents report that going by standard legislative procedure, the conference committee of the National Assembly would meet to reconcile the differing positions of the Senate and the House.

Experts and marketers who spoke to our correspondents on telephone expressed delight at the passage of the bill.

The Managing Director of Vhelbherg, an indigenous oil firm, Mr Bank-Anthony Okoroafor, said the passage of the PIB and the expected assent by the President would help to bring the country’s oil and gas industry back on track.

Okoroafor, who is a former chairman of Petroleum Technology Association of Nigeria, said the passage of the bill would improve investor confidence as there would be clarity on the fiscal terms of the industry.

“It brings confidence and stability; so, it is a move in the right direction. I say well done to the Senate and House of Representatives for this giant step,” he added.

The National Operations Controller, Independent Petroleum Marketers Association of Nigeria, Mr Mike Osatuyi, said the passage of the PIB into law would mark the beginning of the repositioning of the oil and gas industry.

“If the President assents to it, then that is the beginning of the reform that we have been expecting in the oil and gas industry. It is the beginning of deregulation in the downstream sector,” he said.

He said the passage of the PIB would allow market forces to determine of petrol prices and curb smuggling of the product.

The outgoing Director-General, Lagos Chamber of Commerce and Industry, Dr Muda Yusuf, described the PIB as a major instrument of reform in the oil and gas sector, with a number of significant implications for the sector and the economy as a whole.

National President, Petroleum Products Retail Outlets Owners Association of Nigeria, Billy Gillis-Harry, described the passage of the bill as a big blessing for Nigeria.

He told one of our correspondents that through the bill, a deregulated downstream oil sector would be achieved, adding that this would boost the fortunes of the country and improve the Nigerian economy.

However, the Pan Niger Delta Forum said it was not time for the oil bearing region to celebrate.

PANDEF’s spokesman, Ken Robinson, told one of our correspondents that the forum would like to take a look at the version of the PIB that was endorsed before responding to it.

Robinson added that it would be unnecessary to begin to celebrate when the President, Major General Muhammadu Buhari (retd.), had yet to give his assent to the bill.

He said, “We like to reserve our comment and see the version they passed, whether they accommodated the input made by host communities – those suffering the impact of oil exploration in the Niger Delta and not benefitting from the system.

“We will see whether the input made by the people is accommodated. It is not time to celebrate; if the National Assembly has passed it and Mr President does not assent to it, then it remains with them.”

The forum’s spokesman said he was not sure that the current National Assembly would have the drive to override the President if he (Buhari) refused to assent to the bill.

Culled from the Punch News Nigeria

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Houston and Owerri Community Mourn the Passing of Beloved Icon, Lawrence Mike Obinna Anozie

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Houston was thrown into mourning on September 19, 2025, following the sudden passing of businessman and community advocate Lawrence Mike Obinna Anozie, who peacefully joined his ancestors. Immediate family member in Houston, Nick Anozie, confirmed his untimely death and expressed gratitude for the outpouring of love and condolences from both the Houston and Owerri communities.

Lawrence was born to Chief Alexander and Lolo Ether Anozie of Owerri in Imo State, Nigeria, and will be dearly remembered by family members, friends, and the entire Houston community.

An accomplished accountant, the late Lawrence incorporated and successfully managed three major companies: Universal Insurance Company, LLC, Universal Mortgage LLC, and Universal Financial Services. Through these enterprises, he not only built a thriving business career but also created opportunities for countless individuals to achieve financial stability. His contributions to entrepreneurship and community development will remain a lasting legacy.

According to the family, arrangements for his final funeral rites are in progress and will be announced in due course.

Lawrence will forever be remembered as a loving and compassionate man who dedicated much of his life to uplifting others. He helped countless young Nigerians and African Americans overcome economic challenges by providing mentorship, financial guidance, and career opportunities. His generosity touched the lives of many who otherwise might not have found their footing. A devout Catholic, he was unwavering in his faith and never missed Mass, drawing strength and inspiration from his church community. To those who knew him, Lawrence was not only a successful businessman but also a pillar of kindness, humility, and faith whose legacy of service and compassion will continue to inspire generations.

For more information, please contact Nick Anozie – 832-891-2213

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Enugu Revenue Leader Details Tax Plans, Commits to Responsible Fund Management

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In a bid to address rising public concerns and social media speculations about taxation in Enugu State, the Executive Chairman of the Enugu State Internal Revenue Service (ESIRS), Emmanuel Nnamani, has provided clarifications on the government’s tax policies. During a press briefing in Enugu, Nnamani dismissed what he described as “false and misleading claims” and reassured residents that the government’s fiscal operations are firmly rooted in law, transparency, and public good.

Clarifying Misinformation and Affirming Legality

Nnamani opened the session by stressing that no taxes or levies in Enugu State are imposed outside the provisions of the law. “Taxes and revenues in Enugu State remain within the limits of the law. We do not impose any levies outside what the law permits,” he stated, pointing to the Personal Income Tax Act (as amended) as the guiding legal framework.

He explained that the ESIRS collects personal income tax through two lawful means: Pay-As-You-Earn (PAYE) for those in formal employment, and Direct Assessment for informal sector workers. While compliance among salaried workers has been largely smooth, the agency sometimes employs legal enforcement mechanisms to ensure compliance among self-employed individuals.

Formalising the Informal Sector

A key challenge, he noted, has been bringing the informal sector—especially market traders and transport operators—into the formal tax net. Upon assuming office, his administration discovered that an overwhelming 99% of informal sector actors were not remitting taxes to the state, largely due to the disruptive influence of non-state actors engaged in illegal collections.

In response, the government introduced a consolidated ₦36,000 annual levy for market traders. This amount, payable between January and March, covers all relevant state-level charges, including those by the Enugu State Waste Management Agency (ESWAMA), Enugu State Structures for Signage and Advertisement Agency (ENSSAA), storage fees, and business premises levies. “Once this amount is paid between January and March, the trader owes nothing else for that year,” Nnamani clarified. Traders who fail to pay by March 31 are subject to enforcement.

For street vendors operating outside structured markets, an annual levy of ₦30,000 applies, with ESWAMA charges handled separately. Transport operators such as Okada riders, Keke drivers, minibuses, tankers, and trucks pay via a daily ticketing system.

A Human-Faced Approach to Enforcement

Although the law allows for a 10% penalty on unpaid tax and an interest charge tied to the Central Bank’s Monetary Policy Rate of 27.5%, Nnamani disclosed that the state has adopted a softer, pro-business approach. Instead of the full punitive charges, a flat ₦3,000 penalty is applied in most informal sector cases to promote ease of doing business and encourage voluntary compliance.

Taxation and the Cost of Rent

Addressing growing concerns over rising rent, Nnamani rejected claims linking the trend to state tax policies. He described the issue as a national challenge influenced by supply and demand, rather than fiscal policy.

Citing personal experiences dating back to 2015, he observed that a shift in private development preference – from rental apartments to gated residential estates – has contributed to the housing squeeze. “If we had more high-rise buildings, rent would drop,” he noted. The state government, he added, is taking proactive steps through the Ministry of Housing and Housing Development Corporation to build mass housing and student hostels near institutions like ESUT and IMT, freeing up central city housing and helping moderate rents.

Technology, Transparency, and Trust

In line with its commitment to transparency and digital innovation, the ESIRS has launched a tax calculator on its official portal – www.irs.en.gov.ng – allowing residents to compute their taxes with ease and clarity. “This is about transparency and giving our people confidence,” he said, inviting residents to compare Enugu’s tools with those in more advanced states like Lagos.

Understanding the Cost of Development

Responding to concerns that Enugu has become one of Nigeria’s most expensive states, Nnamani acknowledged the perception but clarified that the temporary inflation is largely demand-driven. With Enugu undertaking widespread infrastructural renewal – including smart schools, primary health centres, and hospitality infrastructure – the surge in construction activity has led to increased demand for building materials like granite and rods, which are sourced from other states.

“Once these projects are completed, demand will drop, and prices will stabilise,” he assured. He emphasised that the projects are visible testaments to what taxpayers’ money can achieve when properly managed.

A Call for Mutual Understanding and Civic Partnership

More than a tax clarification, Nnamani’s address served as a reminder of the symbiotic relationship between citizens and government. He appealed for public understanding, noting that when citizens fulfil their tax obligations, the government can, in turn, provide essential services and infrastructure that uplift everyone.

His message was clear: responsible taxation, managed transparently and invested wisely, is the bedrock of sustainable development. From roads to schools and healthcare to housing, Enugu State is demonstrating how taxpayers’ money, when efficiently deployed, can improve lives and build the future.

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The Leadership Deficit: Why African Governance Lacks Philosophical Grounding

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Leadership across nations is shaped not only by policies but by the quality of the individuals at the helm. History has shown that the most transformative leaders often draw from deep wells of ethical, philosophical, and strategic thought. Yet, in many African countries—and Nigeria in particular—there appears to be a crisis in the kind of men elevated to govern. This deficit is not merely political; it is intellectual, philosophical, and deeply structural.

There is a compelling correlation between the absence of foundational wisdom and the type of leaders Nigeria consistently produces. Compared to their counterparts in other parts of the world, Nigerian leaders often appear fundamentally unprepared to govern societies in ways that foster justice, progress, or stability.

Consider the Middle East—nations like the UAE and Qatar—where governance is often rooted in Islamic principles. While these societies are not without flaws, their leaders have harnessed religious teachings as frameworks for nation-building, modern infrastructure, and citizen welfare. Ironically, many of Nigeria’s military and political leaders also profess Islam, yet the application of its ethical standards in public governance is nearly non-existent. This raises a troubling question: is the practice of religion in African politics largely symbolic, devoid of actionable moral guidance?

Take China as another case study. In the last four decades, China’s leadership has lifted over 800 million people out of poverty—an unprecedented feat in human history. While authoritarian in structure, China’s model demonstrates a deep philosophical commitment to collective progress, discipline, and strategic long-term planning. In Western democracies, especially post-World War II, leaders often emerged with strong academic backgrounds in philosophy, economics, or history—disciplines that sharpen the mind and cultivate vision.

In stark contrast, African leaders—particularly in Nigeria—are more often preoccupied with short-term political survival than long-term national transformation. Their legacy is frequently one of mismanagement, unsustainable debt, and structural decay. Nigeria, for example, has accumulated foreign loans that could take generations to repay, yet there is little visible infrastructure or social development to justify such liabilities. Inflation erodes wages, and basic public services remain in collapse. This cycle repeats because those in power often lack not just technical competence, but the moral and intellectual depth to lead a modern nation.

At the heart of the crisis is a lack of philosophical inquiry. Philosophy teaches reasoning, ethics, and the nature of justice—skills that are essential for public leadership. Nigerian leaders, by and large, are disconnected from such traditions. Many have never seriously engaged with political theory, ethical discourse, or economic philosophy. Without this grounding, leadership becomes a matter of brute power, not enlightened governance.

The crisis of leadership in Africa is not solely one of corruption or bad policy—it is one of intellectual emptiness. Until African nations, especially Nigeria, begin to value and cultivate leaders who are intellectually rigorous and philosophically grounded, the continent will remain caught in cycles of poverty and poor governance. True leadership requires more than charisma or military rank—it demands the wisdom to govern a society with justice, vision, and moral clarity. Without this, the future remains perilously fragile.

♦ Dominic Ikeogu is a social and political commentator based in Minneapolis, USA.

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