Minister of Housing and Urban Development, Arc. Ahmed Musa Dangiwa has announced the Federal Government’s plan to enhance cooperation with the Nigerian Institute of Town Planners (NITP) to advance efforts aimed at achieving a more sustainable housing and urban landscape.

The minister made this commitment during a meeting with the leadership of the institute on Thursday at the Ministry’s headquarters in Abuja.

Arc. Dangiwa emphasized the significance of effective urban and regional planning, highlighting that the institute’s contributions and the expertise of its members would play a pivotal role in the ministry’s endeavours to construct livable, respectable, and sustainable cities and communities.

He stated,

“As you are all aware, our great nation is at a critical juncture in its history. With a rapidly growing population and urbanization trends, the challenges facing our cities and towns have become more complex and demanding. It is evident that proper urban planning and housing development are key to addressing these challenges effectively.”

He further underscored the institute’s vital role in shaping the physical, social, and economic development of cities and communities, emphasizing the importance of expertise in spatial planning, environmental management, and infrastructure development to ensure well-structured urban areas that meet the needs of citizens.

NITP’s advocacy for policy reforms and capacity-building initiatives

NITP’s delegation, led by its president, Town Planner Nathaniel Atebije, highlighted the challenges faced by the institute and the sector as a whole.

They called on the Minister to support specific requests, including expediting the completion of the Revised National Urban Development Policy and National Physical Planning Standards.

They also urged the implementation of the Nigerian Urban and Regional Planning Law to guide physical development and the establishment of relevant institutions such as the National Urban and Regional Planning Commission.

Atebije further noted that

“Presenting an executive bill to amend areas of the law that do not have sufficient provisions for effective enforcement to make the law more contemporary, particularly with the possibility of putting physical planning matters on the concurrent list in the constitution, is an important step to take.” He urged the Ministry to prioritize comprehensive capacity building for professionals to enhance their performance.

One of the institute’s requests is the establishment of an agency responsible for gathering and analyzing housing data to access both quantity and quality, facilitating effective planning and implementation of housing policies.

Minister’s reassurances and Collaborative efforts on Urban Planning Challenges

In response, the Minister assured the delegation that many issues related to the legal and regulatory frameworks of urban and physical planning, raised by the institute, were already under examination by relevant departments and partner agencies.

He stated,

“For instance, we’re already working with the National Population Commission to conduct a housing census to determine the quality and quantity of houses in Nigeria so that we can ascertain the true situation. We do not believe there’s a need to create another agency for that purpose, as it would further increase the cost of governance, which this administration is trying to reduce. Besides, that would amount to duplication of responsibilities.”
“On the issue of placing the law in the concurrent list, we’re already working with the states to make that a reality. However, it also depends on the cooperation of the National Assembly, which we’re confident we will receive. I can assure you that the other issues you raised, including those related to the implementation of the Urban and Regional Planning law, undue tenure elongation of your council members, and the recruitment and training of professionals, are matters we are taking seriously as a ministry, and they will be resolved in due time.”

Despite President Bola Ahmed Tinubu’s assurances that the subsidy had been abolished, revelations surrounding the Federal Government’s payment of N169.4 billion in subsidy in August have ignited controversy and skepticism. This development challenges the narrative of subsidy removal and prompts further inquiry into its implications.

Government Subsidy Under Scrutiny

Daily Trust’s investigation uncovered that the Federal Government disbursed N169.4 billion in August to maintain the pump price of Premium Motor Spirit (PMS) at N620 per litre. The payment was allegedly orchestrated by the Federal Account Allocation Committee (FAAC), which utilized dividends of $275 million from the Nigerian Liquefied Natural Gas (NLNG) to offset the subsidy. The move suggests that subsidies on PMS may have resurfaced, raising questions about the government’s commitment to subsidy removal.

A Return to Subsidy?

The revelation has led to concerns among Nigerians, especially given the challenging economic climate. The depreciation of the Naira against the US Dollar and rising international crude oil prices, exceeding $95 per barrel, have fueled doubts about the sustainability of subsidy removal.

Economic and Market Dynamics

Analysis indicates that despite rising global crude oil prices and exchange rate fluctuations, the Federal Government has kept the domestic PMS price steady at N617 per litre. Notably, the price of PMS at the international market has surged, posing challenges for Nigerian marketers. With increased landing costs, PMS now stands at approximately N728.64 per litre, significantly higher than the N529 rate observed in July.

Government’s Strategy and Loan Dilemma

The Nigerian National Petroleum Corporation (NNPC) Limited’s announcement of a $3 billion crude repayment loan from the African Export-Import (Afrexim) Bank aimed at stabilizing the Naira has faced obstacles as other lenders withdrew from the syndicated transaction. The loan’s impact on fuel costs remains uncertain.

Behind Closed Doors

Daily Trust’s investigation reveals that high-level government approval facilitated the controversial N169.4 billion subsidy payment. A delicate agreement with oil marketers reportedly helped maintain the current PMS price, averting a potential crisis.

Expert Perspectives

Experts have voiced concerns about the sustainability of subsidy removal without a functional refinery and FX stability. They emphasize that fluctuations in crude oil prices and foreign exchange rates directly affect PMS prices. Stabilizing the Naira is seen as critical to fulfilling the government’s promise of subsidy removal.
As questions linger and the subsidy debate continues, Nigerians await clarity on the government’s stance and its implications for the economy and their daily lives.

The United States Deputy Treasury Secretary, Wally Adeyemo, has said that his purpose in Nigeria is not to counter any influence that China may have, but because the future of Nigeria’s economy is important to the USA.

In an exclusive interview with ARISE NEWS, Adeyemo said that the USA is highly interested in Africa, Nigeria especially, as they know that Africa represents the future, both economically and strategically, for the US and for the rest of the world.

Adeyemo addressed the flurry of visits to several African countries that the USA’s leaders have recently made. He denied that these were efforts to counter China and Russia’s influence as he said that the USA has deep bonds with Africa which could be seen in the people-to-people relationships. He said, “Our government is here, not because we’re looking to counter another government but because we know that ultimately the economic future of Africa is critically important to us and especially Nigeria as Africa’s largest country.”

Speaking on how Nigeria can garner more investment to enhance nation building and development, Adeyemo said, “I think the most important thing that Nigeria can do is invest in its oil and gas industry, but its energy sector more broadly. Nigeria today is underproducing the amount of oil that it can based on its quota, and part of that is driven by underinvestment in that industry. And the way that you get foreign direct investment in Nigeria’s industry is making sure you have a macro economic framework that supports that.

“In addition to oil and gas, clean energy is playing a larger role in Nigeria everyday including solar panels. Today, one of the major investments that America has made with our Development Finance Corporation has been in trying to get more solar into Nigeria because it’s an energy source that, in some ways, allows people to use generators less and rely on the sun more.

“But overall, the key to making sure that Nigeria is in a position to take advantage of its natural resources- both the sun and the resources found in the ground, is making sure that you get more foreign direct investment.” He said that the US was impressed by the moves that the current administration has made, but more reforms need to be made to attract more foreign direct investment into Nigeria’s energy sector. He also said that it is important to have an energy sector that is stable and allows for global growth to continue.

Adeyemo also said that what Nigeria needs to do to attract foreign franchises and chains to invest in the country is to invest in the people. He said, “What I found being in Nigeria is that you have talented people who are filled with potential. The key question is, how do you create opportunities for them? I think some of the early steps the government has taken is doing that from trying to unify the exchange rate to making difficult choices to end the fuel subsidies. Now the question is how is the government going to invest the resources it now has because the fuel subsidies have ended?

“In building of infrastructure, both digital and fiscal infrastructure, but also in various sectors like education and power to make sure that companies around the world, including the Walmarts and other companies in the United States know that they will have an ease of doing business here. A big part of this is transparency and making sure that while the president is there, he lays out a very clear agenda for what his government is going to do to make the economic reforms that Nigerians have known need to be made for a long time.”

Adeyemo delivered an address at the Lagos Business School (LBS on Monday), which was titled “U.S.- Nigeria Economic Relations: People, Entrepreneurship and Investment.” In his address, he identified four reform priorities for Nigeria.

The first reform Adeyemo noted was that Nigeria needs a stable naira. He said, “Unifying Nigeria’s foreign exchange rates will create the kind of macroeconomic stability that is essential to attracting foreign investment.” Secondly, he said that the Nigerian government needs to “articulate and implement a fiscal strategy that will provide the resources to make critical investments.”

Thirdly, the Deputy Treasury Secretary said that another factor for growth is the rooting out of corruption and the perception of corruption in the business environment. Lastly, he said that the integrity of Nigeria’s financial system must be protected.”

Adeyemo, in his presentation, then commended President Bola Ahmed Tinubu’s administration for taking the tough but necessary decisions to provide resources for investment and infrastructure in the country.

Ozioma Samuel-Ugwuezi