The Nigerian National Petroleum Company Exploration and Production Limited (NNPC E&P) and the Natural Oilfield Services Limited (NOSL) have commenced oil production at oil mining lease (OML) 13.

NNPC E&P is a flagship upstream subsidiary of NNPC Limited, while NOSL is a subsidiary of Sterling Oil Exploration and Energy Production Company (SEEPCO).

According to a statement on Sunday by Olufemi Soneye, chief corporate communications officer at NNPC, the production commenced on May 6, 2024, in Akwa Ibom, with 6,000 barrels of oil per day (bpd).

The national oil company said production is expected to be ramped up to 40,000 bpd by May 27, 2024.

The NNPC said the first oil flow from OML 13 is a historic milestone in the partnership between NNPC E&P Ltd and NOSL.

According to the statement, the development highlights the firms’ commitment to driving growth and development in Nigeria’s oil and gas sector, which remains crucial to the nation’s economy.

The NNPC said the achievement signifies the culmination of rigorous planning and execution by the teams involved and represents a new era of economic empowerment and development opportunities for communities where the project is based.

“For Nigeria, the first oil from OML 13 holds some significance as it contributes to the country’s efforts to increase its oil production capacity, which is crucial for meeting domestic energy needs and driving economic growth,” the statement reads.

The NNPC affirmed its partnership with NOSL, emphasising their dedication to conducting operations in a manner that prioritises safety, environmental responsibility, and positive impact on local communities.

Ngozi Okonjo-Iweala, director-general of the World Trade Organisation (WTO), says there is a need for Nigeria to continue to diversify to add more value to the economy.

Okonjo-Iweala spoke to journalists after a meeting with the Duchess of Sussex Meghan Markle and other women at the Nigerian Women in Leadership event, on Saturday in Abuja.

According to the National Bureau of Statistics (NBS), Nigeria recorded N1.41 trillion trade deficit between October and December of 2023.

Within the period, Nigeria’s exports totalled N12.69 trillion, and total imports stood at N14.11 trillion — giving a trade deficit of N1.41 trillion.

Speaking at the event, the WTO boss said the country must do more to attract investment domestically and also from outside.

Okonjo-Iweala said the government must also “create the environment to attract investment”, adding that this would persuade them (the government) to invest in certain production and in different kinds of industries to attract people from outside.

“If we are going to go into surplus, we also have to think of how to make use of the African continental free trade area because we have a large market here but 1.4 billion is an even larger market,” she said.

“Those are the things we have to do.”

Speaking further on the main purpose of the event, Okonjo-Iweala said the area of discussion with the duchess was bordered on areas such as the challenges that women face in trying to become leaders and how they could overcome them.

Okonjo-Iweala also said ways in which women could support themselves and improve their positions in the country were discussed.

She pointed out that women have continued to face many challenges while trying to become leaders.

Okonjo-Iweala said it is imperative to increase the percentage of women in leadership positions both in the states and at the federal government level.

“How do we improve the position of women in the country? We have a very low percentage of women in the National assembly. We have never had a woman governor, let alone something higher,” she said.

“That has to change but no one is going to hand it to the women. Women have to fight for it, but the men also have to support because you cannot have 50 per cent of your population not participating.

“So, these were some of the issues we discussed today and we have to proffer solutions on how the women could deal with challenges of leadership.

“Most of the women in the room here are already leaders; they are not even struggling to get to the top as they are already there.”

Okonjo-Iweala, however, said the highlight of the event was when the Duchess shared her experiences.

President Bola Tinubu has ordered the Central Bank of Nigeria to suspend the implementation of the controversial cybersecurity levy policy and ordered a review.

This followed the decision of the House of Representatives, which, last Thursday, asked the CBN to withdraw its circular directing all banks to commence charging a 0.5 per cent cybersecurity levy on all electronic transactions in the country.

The CBN on May 6, 2024, issued a circular mandating all banks, mobile money operators, and payment service providers to implement a new cybersecurity levy, following the provisions laid out in the Cybercrime (Prohibition, Prevention, etc) (Amendment) Act 2024.

According to the Act, a levy amounting to 0.5 per cent of the value of all electronic transactions will be collected and remitted to the National Cybersecurity Fund, overseen by the Office of the National Security Adviser.

Financial institutions are required to apply the levy at the point of electronic transfer origination.

The deducted amount is to be explicitly noted in customer accounts under the descriptor “Cybersecurity Levy” and remitted by the financial institution. All financial institutions are required to start implementing the levy within two weeks from the issuance of the circular.

By implication, the deduction of the levy by financial institutions should commence on May 20, 2024.

However, financial institutions are to make their remittances in bulk to the NCF account domiciled at the CBN by the fifth business day of every subsequent month.

The circular also stipulates a timeframe for financial institutions to reconfigure their systems to ensure complete and timely submission of remittance files to the Nigeria Interbank Settlement Systems Plc as follows: “Commercial, Merchant, Non-Interest, and Payment Service Banks – Within four weeks of the issuance of the Circular.

“All other Financial Institutions (Microfinance Banks, Primary Mortgage Banks, Development Financial Institutions) – Within eight weeks of the issuance of the Circular,” the circular noted.

The CBN has emphasised strict adherence to this mandate, warning that any financial institution that fails to comply with the provisions will face severe penalties. As outlined in the Act, non-compliant entities are subject to a minimum fine of two per cent of their annual turnover upon conviction.

The circular provides a list of transactions currently deemed eligible for exemption, to avoid multiple applications of the levy.

These are loan disbursements and repayments, salary payments, intra-account transfers within the same bank or between different banks for the same customer, and intra-bank transfers between customers of the same bank.

Exemptions include other financial institutions’ transfers to their correspondent banks, interbank placements, banks’ transfers to CBN and vice versa, inter-branch transfers within a bank, cheque clearing and settlements, letters of credit, and banks’ recapitalisation-related funding.

Others are bulk funds movement from collection accounts, savings, and deposits including transactions involving long-term investments such as treasury bills, bonds, and commercial papers, and government social welfare programmes transactions.

These may include pension payments, non-profit and charitable transactions including donations to registered non-profit organisations or charities, educational institutions transactions, including tuition payments and other transactions involving schools, universities, or other educational institutions, and transactions involving the bank’s internal accounts, inter-branch accounts, reserve accounts, nostro and vostro accounts, and escrow accounts.

The introduction of the new levy sparked varied reactions among stakeholders as it is expected to raise the cost of conducting business in Nigeria and could potentially hinder the growth of digital transaction adoption.

‘Stop levy now’

Members of the House of Representatives on Thursday asked the Central Bank of Nigeria to withdraw the circular directing financial institutions to commence implementation of the 0.5 per cent cybersecurity levy, describing it as “ambiguous”.

The development was in response to a motion on the urgent need to halt and modify the implementation of the cybersecurity levy, moved by Kingsley Chinda.

According to the House, the CBN is to withdraw the initial circular, and “issue a more understandable one”.

Chinda had drawn the attention of the House to multiple interpretations of the CBN directive against the specifications in the Cybersecurity Act.

The House then expressed worry, that the Act would be implemented in error if immediate steps were not taken, to address the concerns around the interpretation of the CBN directive and the Cybersecurity Act.

However, sources with knowledge of Tinubu’s position on the issue said that the President was aware of the economic burden on Nigerians since his hardline economic reforms began last May, adding that he did not want to risk adding to the burden with more levies.

A senior presidency official who preferred not to be named said, “The President is sensitive to what Nigerians feel. And he will not want to proceed with implementing a policy that adds to the burden of the people.

“So, he has asked the CBN to hold off on that policy and ordered a review. I would have said he ordered the CBN, but that is not appropriate because the CBN is autonomous. But he has asked the CBN to hold off on it and review things again.”

Another presidency official who preferred to remain anonymous as he was not authorised to speak on the issue said these discrepancies prompted the President to order a review.

“If you look at it, the law predates the Tinubu administration. It was enacted in 2015 and signed by Goodluck Jonathan. It is only being implemented now.

“You know he (Tinubu) was not around when that directive was being circulated. And he does not want to present his government as being insensitive. As it is now, the CBN has held off the instruction to banks to start charging people. So, the President is sensitive. His goal is not to just tax Nigerians like that. That is not his intention. So, he has ordered a review of that law.”