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Tag: Increase

  • Aviation unions back proposed increase in passenger service charge

    Aviation unions back proposed increase in passenger service charge

    Some unions in the aviation sector have backed the proposed increment in the Passenger Service Charge (PSC) by the Federal Airports Authority of Nigeria (FAAN).

    The unions – Association of Nigerian Aviation Professionals (ANAP) and the National Union of Air Transport Employees (NUATE) – made their position known to journalists on Sunday in Lagos.

    The News Agency of Nigeria (NAN) reports that the PSC is collected by the airlines upon purchase of tickets and paid to FAAN after completion of the flight.

    The charges are used to cover the cost of maintaining common areas in the passenger terminals, providing passenger information, maintaining security and ensuring that customers use the airport in comfort.

    NAN reports that the PSC was last increased in 2011 when the local currency was more than twice the current value and cost of operation was far lesser than what obtains currently.

    The National Secretary of ANAP, Abdulrasaq Saidu, said that the increment would enable FAAN to meet up with its responsibility of providing qualitative services to passengers.

    Mr Saidu said the increment was justified after eight years since the last review, stressing that factors such as inflation and naira devaluation had made it a necessity.

    He said, “Airlines and other airport users have reviewed their charges severally within this period.

    “We have four new terminals built to international standards; the PSC tariff fixed eight years ago will not be suitable for these new terminals owing to new technology, maintenance and other related costs.’’

    According to him, passenger traffic has also grown by more than 65 per cent between 2011 and 2018.

    Mr Saidu said the effect of this increased traffic on the airport facilities needed to be taken into consideration.

    He, however, cautioned that the increase should be moderate in order not to inflict more burden on passengers as some airlines might be forced to also increase their air fares.

    Similarly, Ben Nnabue, National President, NUATE, said that the cost of maintaining safety and efficiency was high, hence FAAN needed to adjust its charges to meet the current realities.

    “Safety and efficiency are expensive. For FAAN to maintain airport facilities to world class standard, there is need to increase their charges.

    “Since the last increment eight years ago, the value of foreign currencies has increased while the costs of electricity generation and diesel have also risen,’’ he said.

  • Nigeria stock market index records marginal increase

    Nigeria stock market index records marginal increase

    Transactions on the Nigerian Stock Exchange (NSE) ended on a cautious note on Wednesday with the All-Share Index increasing marginally by 0.02 percent.

    The index rose by 9.92 points or 0.02 per cent to close at 42,158.32 compared with 42,148.40 achieved on Tuesday due to marginal price growth by blue chips.

    Also, market capitalisation which opened at N15.125 trillion grew by N4 billion or 0.03 per cent to close at N15.129 trillion.

    Mr Ambrose Omordion, the Chief Operating Officer, InvestData Ltd., attributed the mixed performance being experienced in the market to investors adjustment to over 15 per cent growth posted in January.

    Omordion said that the nation’s stock market for over 10 years never witnessed a growth in January, noting that 2018 January performance was historic.

    He added that investors’ reactions to Central Bank of Nigeria (CBN) directive that banks with over 10 per cent non-performing loans should not pay dividends contributed to the development.

    He said investors overreacted to the pronouncement meant to safeguard the banks for future growth.

    He, however, said the market would rebound with improved 2017 earnings being expected in the next couple of days.

    An analysis of the price movement table indicated that GTB recorded the highest price gain to lead the gainers’ table with 75k to close at N48 per share.

    NASCON and Flour Mills trailed with 55k each to close at N20.55 and N32.55 per share.

    Zenith Bank garnered 45k to close at N31.50, while United Bank for Africa improved by 40k to close at N12.60 per share.

    On the other hand, major blue chips recorded price depreciation and this was dominated by Nestle with a loss of N10 to close at N1, 370 per share.

    Mobil Oil lost N9 to close at N1.90, while Nigerian Breweries shed N3.50 to close at N124. 50 per share.

    Con Oil dipped N3.40 to close at N32.10, while Julius Berger decreased by N1.35 to close at N25.95 per share.

    Also, the volume of shares traded closed higher with a growth of 11.75 per cent as investors bought and sold 570.26 million shares valued at N5.33 billion achieved in 5,794 deals.

    This was in contrast with 510.28 million shares worth N4.63 billion traded in 5,757 deals on Tuesday.

    Custodian and Allied Insurance dominated activities in volume terms, accounting for 94.45 million shares valued at N377.82 million.

    FBN Holdings came second with a turnover of 61.64 million shares worth N683.26 million, while Fidelity Bank sold 55.93 million shares valued at N110.56 million.

    FCMB Group accounted for 48.25 million shares worth N100.56 million, while Transcorp transacted 31.51 million shares valued at N63.90 million.

     

  • NLC, TUC submit new petition, demand increase in minimum wage above N56,000

    The Nigeria Labour Congress, NLC, and the Trade Union Congress, TUC, have submitted a new request for an increase of the national minimum wage above N56,000 per month to the tripartite committee on minimum wage.

    This was disclosed by at the 11th Quadrennial Delegates Conference of the Nigeria Civil Service Union by the acting NLC chairman, Kiri Mohammed, on Thursday in Abuja.

    The current national minimum wage is N18,000 per month.

    Mohammed said the demand for its upward review was as a result of inflation and other economic realities in the country.

    “We submitted our request, NLC has decided to look at the figure and modify it, we actually modified it, an upward review above N56,000.

    “We have submitted it to the secretariat of the tripartite committee. The review is in conjunction with the TUC. You can’t do it alone, all of us met and decided to put heads together and look at the realities on the ground.”

    When confronted with reports that indicate that the new minimum wage may not be paid this year as it was not captured in the 2018 budget, Mr. Mohammed said President Muhammadu Buhari is committed to implementing the outcomes of the ongoing negotiations for new wages for workers.

    He said this is the reason why the government would implement the recommendations of the tripartite committee on minimum wage.

    “Who made the budget? I believe if they (government) are serious, we can finish this matter towards the middle of this year, June, July.

    “If we can finish at that time, then before the end of the year, certainly the President must send whatever we agreed to the National Assembly for them to look at it and for him to assent it as a law. But I know that once we agreed, government would implement whatever is agreed,” the acting NLC chairman said.

    However, Mr. Mohammed lamented the slow pace of negotiations by the tripartite committee. He also said that the committee had not held any meetings since the inaugural meeting.

    “We had an inaugural meeting and they have not called for a meeting. I won’t call it a deliberate delay, but it looks as if there is a deliberate delay. We have not started discussion or anything,” he said.

  • No plans to increase petrol price above N145, NNPC assures Nigerians

    No plans to increase petrol price above N145, NNPC assures Nigerians

    The Nigerian National Petroleum Corporation (NNPC) has reiterated that it has no plans to increase the pump price of petrol.

    NNPC made the denial in a statement by Mr Ndu ughamadu, its Group General Manager, Group Public Affairs Division.

    The statement explained that the recent increase in bridging allowance to transporters from N6.20 to N7.20 per litre would not lead to an increase in the pump price.

    ”There is no plan by government or any of its agencies to review the pump price of petrol above N145 per litre.

    ”The rise in the bridging cost was achieved after an adjustment was made in the “lightering expenses” from N4 to N3 per litre and the difference transferred to compensate for the cost of bridging within the same templat.”

    Bridging allowance refers to the cost element built into the products pricing template to ensure a uniform price of petrol across the country.

    Lightering expenses involve charges for moving products to depot area from mother vessels by light vessels due to the inability of the former to berth in shallow water depth.

    ”What happened, in simple language, is a rebalancing of the margins allowed and approved for stakeholders.

    ”So what the Petroleum Products Pricing Regulatory Agency, PPPRA, did was to take N1 from lightering expenses and add same to the bridging allowance.

    ”That is how we arrived at N7.20. Therefore, PMS remains at the ceiling of N145 per litre,’’ it said.

    On the product supply, thr statement said as at Wednesday, the country had 1.3 billion litres of petrol which translated to an inventory of 36 days.

    “What this means is that even if we stop importation or refining of petrol right now, we have enough products in-country to provide for the needs of every Nigerian for a period of 36 days.’’

    It noted that the supply availability was bolstered with the production of petrol from the three refineries in Port Harcourt, Warri and Kaduna.

    “There is absolutely no risk of shortage in supply as we also continue to import to support the production from the refineries.

    ”We have informed the Department of Petroleum Resources to enforce the prevailing N145 per litre price regime and also ensure that every service station that has fuel is selling to the public,’’ he said.

    It reiterated the readiness of the NNPC Management, under the leadership of Dr Maikanti Baru, to sustain the existing cordial relations among the NNPC, the leadership of the downstream industry unions and other stakeholders.

    It also said the DPR had been alerted to sanction fuel station owners who engageD in hoarding or charged consumers above the approved pump price of petrol.

    TheNewsGuru.com reports that there had been fears that the pump price of petrol would increase following the increase in bridging costs to appease tanker drivers who went on strike to demand better working conditions.

     

  • No plans to increase petrol pump price – NNPC

    The Nigerian National Petroleum Corporation, NNPC has said the general public should disregard rumours flying around that it intends increasing prices of petroleum products in the country.

    In a statement released on Wednesday in Abuja by the Group General Manager, Group Public Affairs Division, Mr. Ndu Ughamadu, the Corporation further assured motorists that there was enough supply in stock.

    “The Corporation has 1.3 billion litres stock of PMS, otherwise called petrol, which is sufficient to serve the nation for more than 38 days.

    “This plea comes on the heels of reports that some motorists have begun panic buying of petrol, following rumours that the government is about to increase the pump price of the white product from N145 per litre.

    “NNPC wishes to assure Nigerians that there is no iota of truth in the rumour that government is scheduled to adjust pump price of petrol.

    “Indeed, with the resumption of production by the Corporation’s three refineries in Kaduna, Port Harcourt and Warri, complemented by imports, there is enough stock of petrol‎, diesel and kerosene.”

    Ughamadu recalled that this point was explained on Tuesday NNPC Chief Operating Officer, Refineries, Mr. Anibor Kragha while briefing the Senate Committee on Petroleum Downstream in a presentation on the current status of the refineries at the National Assembly in Abuja.

    He said, “In the presentation, Kragha told the legislators that the nation’s three refineries produced additional volumes of 4.6 million litres of kerosene and 7.7 million litres of diesel.

    “This in addition to millions of litres of petrol being refined daily at the nation’s refineries.

    “The assurances of availability of stock by the NNPC Chief Operation Officer of the Refineries yesterday still stands.”

     

    NAN

  • November inflation rate may increase to 18.45% – FSDH

    FSDH Research, an investment analyst company on Thursday said the November 2016 inflation rate (year-on-year) might increase further to 18.45 per cent.

    The figure represented an increase of 0.12 per cent from 18.33 recorded in the month of October 2016.

    The National Bureau of Statistics (NBS) is expected to release the inflation rate for the month of November 2016 on December 15, 2016 based on the data calendar on its website.

    The company said that the expected increase in the inflation rate would be driven by higher prices within the Food and Non-alcoholic Beverages Division.

    It also said that the depreciation in the foreign exchange rate during the month would also be an influence.

    The company said that the Food Price Index (FPI) on Thursday Dec. 8 by the Food and Agriculture Organisation (FAO) showed that the FPI trended downward in November.

    The Index was down by 0.43 per cent, compared with the revised October figure.

    The FPI’s easing in November 2016 was driven by a sharp fall in sugar prices, which was more than enough to offset a rebound in the prices of vegetable oils.

    The FAO Sugar Index fell by 8.93 per cent, the first decline after six consecutive months of increase.

    The weakening Brazilian currency against the U.S. Dollar, coupled with reports of a higher harvest in the Central South, Brazil’s main producing region, put downward pressure on prices.

    The FAO Cereal Price Index declined by 0.60 per cent due to the decrease in the prices of wheat and rice, while Meat Price Index was down by 0.21 per cent,

    It added that that was almost unchanged from its revised value for October.

    Besides, the FAO Dairy Index appreciated by 1.95 per cent from October, as prices of whole milk powder and butter firmed up.

    The FAO Vegetable Oil Price Index appreciated by 4.55 per cent marking the highest level since August 2014.

    FSDH said that the strong rebound was primarily driven by the price of palm oil on the heels of lower than anticipated production in South East Asia.

    The company said, “Our analysis indicates that the value of the Naira appreciated at the inter-bank market, while it depreciated at the parallel market by 2.09 per cent to close at N478.00 to the dollar from N468.00 at the end of October.

    “The depreciation at the parallel market led to an increase in the prices of imported consumer goods in Nigeria between the two months under review,’’ FSDH said.

    It said that the prices of food items that FSDH Research monitored in November 2016 moved in varying directions.

    “The prices of palm oil, Irish potatoes, meat and rice were up by 32.17 per centm, 10.78 percent, 2.56per cent and 1.99per cent, while the prices of tomatoes and onions were down by 17.89 per cent and 2.78 per cent.

    “The prices of garri, yam, beans, sweet potatoes and vegetable oil remained unchanged, ‘’ it added.

    The company said that the movement in the prices of food items during the month resulted in a 0.7 per cent increase in Food and Non-alcoholic Index to 214.41 points.

    It said, “We also noticed increases in Clothing and Footwear; Housing, Water, Electricity, Gas & Other Fuels divisions between October and November 2016.

    “Our model indicates that the price movements in the consumer goods and services in November 2016 would increase the Composite Consumer Price Index (CCPI) to 211.28 points, representing a month-on-month increase of 0.76 per cent.

    “We estimate that the increase in the CCPI in November will produce an inflation rate of 18.45 per cent,’’ FSDH said