The presidency on Monday denied news reports that President Muhammadu Buhari was seeking emergency powers from the National Assembly in order to tackle the lingering economic crisis in the country.

In a statement by the Special Assistant to the Vice President on Public Affairs, Laolu Akande, said an economic management team set up to propose solutions to the economic crisis had only recently concluded its assignment but had not passed the recommendations to Mr. Buhari for actions.

But he admitted the team’s recommendations may require “legislative amendments and presidential orders”.

“The Economic Management Team has indeed been considering several policy options and measures to urgently reform and revitalize the economy. Some of these measures may well require legislative amendments and presidential orders that will enable the Executive arm of government move quickly in implementing the economic reform plans,” Mr. Akande said.

“As far as I know, this has not been passed on to the President, the Federal Executive Council or the Legislative arm of government.”

Different news reports had on Monday quoted presidential sources as saying that the Buhari administration was seeking, among other requests, the suspension of extant laws governing some aspects of the economy from the National Assembly.

The government has come under increasing pressure as Nigerians struggle daily with hardship inflicted on them by a raging economic crisis.

The Japanese Government, through its agency, Japan International Cooperation Agency (JICA), has donated solar power worth $9.7 million to the Federal Government to boost electricity in the country. The Ambassador of Japan to Nigeria, Mr Sadanobu Kusaoke, disclosed this in Abuja on Tuesday during the inauguration of the project.

Kusaoke stated that Japan considered the power sector as one of the most important areas to enhance Nigeria’s socio-economic development. “Since from 1970s, Japan has helped to finance power sector to increase the capacity of power in Kainji dam hydro power station. “This is the 10th project of power sector by the Japan’s Government since then and this will not be our last. ”

He said the project which entailed the introduction of clean energy by solar electricity was donated by the government of Japan to boost power and water supply at Usman Dam Water Treatment Plant. “The project is being executed with grant assistance worth Nine Hundred and Eighty Million Japanese YEN (980,000,000 JPY) (equivalent to approximately 9.7 million USD) through JICA, ” he said.

According to Kusaoke, stable power supply is crucial to support industry and to improve economy and the lives of people. The Ambassador emphasised the importance of stable power supply to Nigeria’s quest to diversify her economy.

He commended the designer of the project, Toyota Tsusho Corporation, for its design, management and the completion of the project on schedule. Kusaoke, who explained that the project was capable of generating 1,496MWH, added that this would result in reduction of N31.5 million per year for payment of the electricity bill.

Earlier, Mr Hirotaka Nakamura, Chief Representative of JICA, Nigeria office, said improving core infrastructure including power sector in Nigeria was one of the priority areas of the agency in Nigeria. According to Nakamura, developing alternative energy resources such as solar, wind and hydropower will boost electricity in the country.

He explained that the project was designed to introduce a demonstration unit of solar electricity generation system with a view to increasing its economic strength on a sustainable basis.

According to the JICA official, with the Japanese assistance, about 1.2 mw of grid connected solar generation will be gained at Usman Dam Water Treatment Plant to supplement electricity supply from the national grid.

“Following successful tests on the installed solar system, the first phase of the project with generation capacity of 975kwp is being commissioned today. “The second phase will bring additional 207kwp generation to this system hopefully in January 2017. ”

Nakamura further stated that the project would contribute to the improvement of quality water supply in the Federal Capital Territory. He, therefore, appealed to the FCT administration through its water board to handle the project with care and also provide sufficient funds to maintain the generation system.

In his remark, Alhaji Hudu Bello, the Director, FCT Water Board, who expressed gratitude to the government of Japan and its agency JICA, said the project would improve revenue accruable from the water sector in the FCT. “This is elaborate project that will improve water supply to the residents of Abuja; it will also reduce the rate at which we consume diesel to pump water, ” he said.

Bello said the project would reduce the cost of generating electricity and also contribute power to the national grid to improve supply within the nation’s capital.

The rand broke through the R14/$-level at the close of business in New York, but returned to R13.93/$ on news that Finance Minister Pravin Gordhan has to report to the Hawks amid the ongoing Sars Wars debacle.

Gordhan’s role as commissioner of the SA Revenue Service when an undercover investigation unit was established is being questioned by the Hawks, who are investigating whether the unit went rogue and performed illegal activities. Some believe these allegations were cooked up as the unit was allegedly sniffing down the wrong Nkandla rabbit hole.

The market sees Gordhan as key to South Africa’s fiscal reform and discipline and his removal from this position will likely raise the possibility of a ratings downgrade to junk status.

“If Gordhan was to go, I think there has to be a very real chance that we will be downgraded in December,” said Umkhulu Consulting’s Adam Phillips. “Maybe they won’t wait to put us out of our misery.

“In the space of three hours all the good work (aided by yield players) has been undone.”

“It was probably a bit like sitting in Utopia with the rand having strengthened more than R2.00 this year,” he told Fin24. “There we were at 17:30 ending off another day of rand strength and along comes the Daily Maverick story.”

The online publication broke news that Gordhan – and a few other former Sars members – had to be at the Hawks offices on Thursday to receive warning letters, a precursor to an official charge.

“I think if Gordhan is guilty of doing anything wrong, I think he would have bailed out of politics long ago,” said Phillips. “It can only be the ongoing spate between the president and the Treasury. It is ironic that President Jacob Zuma has taken over certain SOEs to sort them out and this now comes out.

“I just cannot believe that Gordhan has done anything wrong and Zuma is playing a dangerous game because it is for such a reason that he and his party lost plenty of votes in the local elections.

“The 29th of July was the last time we were at 13.99 and I am sure there are going to be some nervous importers and offshore yield players around on Wednesday and we are not even sure if there is a charge sheet and exactly what Gordhan and other Sars officials have done.

“This news will mean we see nervousness for the rest of the week,” he said.

Phillips said Wednesday’s release of South Africa’s consumer price inflation data that measures inflation will not have an impact on the rand in this context. However, the US Federal Reserve’s interest rate announcement on Friday will be the big mover.

Until then, Phillips said the rand is more or less safe. “SA will be cocooned in its own ‘risk off’ scenario until some facts come out,” he said.

However, he said: “I think we need to get through the next two before we start even looking at Yellen’s speech. The market might not even be told what is really going on, which will just make operators even more nervous.”

Monday’s official briefing on the Cabinet lekgotla announced that President Jacob Zuma would chair a new presidential state-owned entities (SOE) co-ordinating committee. Expected to be in place by year end, its structure will echo that of the Presidential Infrastructure Co-ordinating Commission which Zuma already chairs. This emerged amid the verbal candyfloss from Minister in the Presidency Jeff Radebe on the four-day government lekgotla which ended on Friday.

This decision effectively means Zuma is taking over from his deputy Cyril Ramaphosa, who since December 2014 has chaired the SOE inter-ministerial committee. Is this yet another twist to Cabinet power plays which previously have seen stand-offs with National Treasury?

Like infrastructure, SOEs have long been placed at the heart of government’s economic and transformative policies. But many are deeply troubled. SAA under chairwoman Dudu Myeni, who also chairs the Jacob Zuma Foundation, remains technically insolvent without a R5-billion government guarantee that National Treasury in these tough economic times is reluctant to hand over. Previous guarantees dating back years have not returned the national airline to financial health.

There are issues at Denel, embroiled in controversy over a joint venture with a company with links to the Gupta family and…

Offering free Wi-Fi to all Johannesburg residents opens opportunities for employment and empowerment, according to the city’s head of broadband Zolani Matabese.

On Saturday, the City of Johannesburg promised free Wi-Fi for all residents within the next five years.

At the helm of the project, Matabese believes that the initiative will empower and create new opportunities for all citizens.

“You can use the internet to search for jobs. It is just an enablement of your ability to be a digital citizen because if you aren’t these days then you’re getting left behind,” he said.

“The internet is really just high-tech plumbing. You care about the applications that you can use on the internet and you do become reliant on them,” Matabese added.

The City of Johannesburg is aiming to install 1 000 hot-spots by the end of 2016 and become a Smart City by 2020.

Hot-spots have already been installed in and around Johannesburg at bus stations and rates offices – offering users 300MB of data per day.

“We generally see about 150 to 200 people per hot-spot per day that we have. The data is for users to do with as they wish. Obviously we don’t allow things like not-safe-for-work sites and how to make bombs. Other than that we’re not prescriptive on how people use it,” Matabese told Fin24.

The City of Johannesburg is currently working on a programme where digital ambassadors go out to citizens in public venues and teach them how to make use of the free Wi-Fi.

“I think it takes time for people to start using the technology in a way where you can say you’re really a Smart City but I think we’re getting there,” Matabese said.

“These days you do become reliant on technology and there is nothing wrong with that. As a government department or municipality iterates their offerings to the public there is of a pressure to keep up and to make sure that you’re not left behind by the rest of society and the rest of the arms of government,” he said.

A motorist was slapped with a R18 000 speeding fine for clocking 220km/h, n a 120km/h zone along the South Coast, the KwaZulu-Natal department of transport said on Monday.

Transport MEC Mxolisi Kaunda in a statement commended the Park Rynie’s Department of Transport’s Road Traffic Inspectorate team for arresting Ivan Botha, 28, on August 14, for speeding in a Golf 6 GTI at 220km/h on the N2 national route.

Kaunda said in a statement that Botha had been held in custody at the Scottburgh police station.

“The Scottburgh’s magistrate today [Monday] handed down a fine of R18 000,” said Kaunda.

“[This] should be a great lesson to all who endanger our lives. Speedsters are like murderers, because at any moment their actions could lead to devastating consequences, including death and maiming of other road users.

“More so, we commend the great work of the department’s Road Traffic Inspectorate team in the Park Rynie station, who always catch speedsters travelling to the South Coast. It is high time all road users, especially motorists, started taking our call for road safety seriously, and realise that it’s about life and death,” said Kaunda.

Abuja — The Presidency has denied media reports that President Muhammadu Buhari is seeking emergency powers to tackle the nation’s economic challenges.

The Senior Special Assistant to the Vice President on Media and Publicity, Laolu Akande, said in a statement to our correspondent late last night that the economic management team was considering several measures to urgently reform the economy but they had not yet been communicated to the president.
The vice president’s spokesman stated that those measures had also not been passed to the Federal Executive Council and the National Assembly.
He said: “The economic management team has indeed been considering several policy options and measures to urgently reform and revitalise the economy. Some of these measures may well require legislative amendments and presidential orders that will enable the executive arm of government move quickly in implementing the economic reform plans.
“As far as I know, this has not been passed on to the president, the Federal Executive Council or the legislative arm of government. So, at this point, there are no further details to share.”

A newspaper report yesterday said Buhari would be seeking emergency powers from the National Assembly to get the economy out of recession, shore up the value of the naira, create more jobs, boost foreign reserves, improve power and revive the manufacturing sector.
The report said the decision was based on a proposal from the economic team headed by Vice President Yemi Osinbajo
In the bill, the executive will be asking for the President to be given sweeping powers to, among other things, set aside some extant laws and use executive orders to roll out an economic recovery package within the next one year.

Mixed reactions

However, before the denial by the vice president’s office, the proposal had already found acceptance among industrialists and experts as well as some legislators who spoke to Daily Trust.

Many industrialists and experts said such proposal was long overdue and should be granted by the National Assembly.
Some senators and representatives interviewed said the request should be specific to avoid “issuing a blank cheque to the President”.

A ranking senator who spoke to on condition of anonymity said that the granting of the sweeping power to the President would negate the principle of separation of powers between the Executive and Legislature.
“What will be the function of the National Assembly if we grant these powers to the President? He has to be specific on what he wants. Approving this will amount to issuing a blank cheque to him. This will not be good as it will bring about dictatorship,” he said.
He said it would be very difficult for the bill to sail through at the National Assembly.
But on his part, the chairman of the Senate Committee on Ethics, Privileges and Public Petitions, Senator Samuel Anyanwu (PDP, Imo East) said they would support it if it would stimulate the economy of the country.
“Anything that would revamp the economy, reduce unemployment and put food on the tables of Nigerians would be supported as you know hunger is everywhere in the country,” he said.
Anyanwu, however expressed reservations about the request to empower the President to vire projects in the Appropriation Act without recourse to the National Assembly.
When contacted, the Senate Leader, Ali Ndume (APC, Borno South) said, “I haven’t seen the details of the bill, therefore I won’t comment on it.”
Also, the chairman of the Senate Committee on Rules and Business, Senator Baba Kaka Bashir Garbai (APC, Borno Central) said that they would support anything that addressed the challenges facing the country.
When contacted, the spokesman of the House of Representatives, Abdulrazak Namdas (APC, Adamawa) said the House would wait until such a time the president formally notifies members of his decision.
“For now, it’s in the realm of speculations. As you know, the House is currently on recess, but when we resume and if he eventually forwards the request, we’ll look at it and know what to do. But for now, we can’t say anything concrete,” he said.
However, an APC member in the House told Daily Trust that should the president write the National Assembly for such power, he might face serious challenge as many lawmakers would demand full explanation on what exactly he would want to achieve.
“There will be serious problem from the opposition. Some of us in APC too can be critical. For example, members will say let the president tell them the exact things he’s thinking about doing. What if he retrenches the workforce or reverses the minimum wage? What if it will have adverse effects on tax while industries are down? What if he says taxation should be escalated to 100 percent?
“So, we can’t just give him blanket powers. But if he says something like they’ll ban rice importation, that one is positive; he doesn’t need any powers from the National Assembly for that. Even among APC members, there will be resistance.”
Experts differ

While some industrialists and experts have expressed support others have expressed concern over the request.
The National President of the Nigerian Association of Small Scale Industrialists (NASSI), Ezekiel Essien, told the Daily Trust that industrialists were behind the President in this latest move, describing it as “long overdue.”
“Most of our contracts go to foreigners. All the monies go offshore. They only take local people here as carpenters and drivers. The money goes out of the country,” he said.
An economist, Gabriel Offiong, who is the Chief Executive Officer of an Abuja-based consultancy firm, Moon Global Ventures, said the President was right in that direction as long as it would help to revamp the flagging economy.
“He needs to intervene otherwise we are in trouble. He needs to overrule the period set in the procurement Act so that capital projects in the budget can be delivered before the end of the year,” he said.
He recommended that the National Assembly should give the president the powers he seeks by approving the emergency bill within one week.
Daniel Ikhouria, a development researcher, said: “This is a serious matter because the president is asking for a double edge sword which is anchored largely on his integrity.
“It will be good for the president to also demonstrate the measures that would be put in place to check abuse because if he is asking for the suspension of the procurement law, can we vouch for his lieutenants not to abuse this by awarding contract to themselves?”

The President of the National Association of Nigerian Traders, (NANTS) Barr. Ken Ukaoha said: “we need to do extra ordinary things if we must pull out this economy from the woods and that includes some of the things the president is seeking the National Assembly approval to do.
“For instance, do we need the amount of aircraft we have on the presidential fleet, off course no. And if we need the president to grant waivers for the procurement of a very essential item that would help in propelling the economy, why not?”
Barr Liborous Oshoma in his submission said: “The problem we currently have is one of trust because at every turn in our National life, the government had come out with proposal like this especially in the disposal of assets as we saw with the Ajaokuta steel, Alaja steel and the power holding companies and the exercise did not achieve its intended aim.
“So you would excuse the fears been expressed by some people, therefore what the government now needs to do is to continue to give the assurance that the implementation would be adequately monitored”
In the bill, the president is seeking powers to give contractors 50 per cent mobilization fees unlike 15 per cent obtainable today. “The 15 per cent is grossly inadequate according to the source.
This is why most projects are abandoned because the 15 per cent the contractors get is not enough to substantially execute projects,” an aide of the president said.