Oil $ense

Fuel prices this month have crossed above the $1 (77 shillings) per liter barrier (approx equivalent is $4.5 per gallon). Amid the threats to de-license fuel companies, hype on new un-leaded or improved fuels, Katrina & falling international oil prices, it is difficult to get a straight answer from anyone responsible in the petroleum sector.

So I refer back to the 2005 AGM of Total Kenya held in April which I attended, and which turned out to be an extraordinarily informative afternoon with Momar Nguer, the Chairman & Executive VP East Africa & Indian Ocean. He took on written questions from all shareholders present on all matters from the company’s performance to the oil costs, taxes, cooking gas, and politics:

Some notable points:

  • It is cheaper for Total and oil companies to import petrol and diesel into the country, but they are required to import crude and refine 70% at the government refinery in Mombasa. Unfortunately, this also means higher fuel prices for motorists
  • The government reneged on a deal to waive all taxes on cooking gas and cylinder’s (as it is with kerosene). Nguer believes that this is the only way to reduce the cost of cooking gas in Kenya.
  • The Government also reneged on an agreement it signed to mandate the use of low-sulphur diesel and unleaded petrol by 2006. Our Mombasa refinery cannot produce these fuels yet – and this has also prevented willing governments like Rwanda & Uganda (who import though Mombasa) from implementing the same.
  • OPEC has proved ineffective in managing the price of oil
  • He does not expect oil prices to go down any time soon owing to the great demand of China and Asia.
  • Oil is a low margin business, and profit come from increasing volumes, not prices
  • Network fuel stations only contribute 1/6 of Total’s sales.

Welcome back

Welcome back, Kenyan Pundit

Bank Brief’s

Stanbic offer to buy NBK
According to the East African, Standard Bank of South Africa has offered to buy the 48% of National Bank of Kenya that is owned by the National Social Security Fund. Stanbic is Kenya’s 13th largest bank with assets of $167 million while NBK is the 6th largest, with assets of $423 million.

Bank liquidation
The Central Bank’s Deposit Protection Fund will sell furniture, computers, office equipment, safes and motor vehicles owned by the former Daima Bank on September 16th. They are currently available for viewing at Utalii house, Nairobi, on weekdays.

Free gift
Anyone who performs a western union money transfer transaction at the Nation Centre branch of Diamond Trust bank between September 9th to 24th will receive a free gift.

Name change season
KCB’s savings and loan arm will now be known as S&L – the mortgage company, “where great investments begin.” Two months ago, National Industrial Credit Bank formally changed its name to NIC Bank.

Hollywood notices Kenya
The Hollywood Reporter, writes about a revival in movie-going in Kenya with the opening of four new cinemas.

Pot Pourri

SMS Me

You can now send an SMS to the Public Communications Secretary (a.k.a. the Government Spokesman) at number 2888 from either Safaricom or Celtel at a cost of 10/- per message.

Uchumi
The Rights Issue is critical to the survival to the supermarket chain. The prospectus contains a message from the company’s auditors, PriceWaterhouseCoopers, indicating that the rights issue may only raise 850 million shillings, and not the 1.2 billion targeted. The company will also sell its Ngong Hyper (to raise 270 million) Langata (250 m), Langata South (27m) and other properties to also raise funds. Although principal shareholders ICDC and ICDCI announced they would not take up their rights, they have effectively done so, by putting up a 105 million shilling loan to the company in July 2004. Also reported in the Standard today.

Golden handshake reprieve
According to the East African, the Federation of Kenya Employers has asked Finance Minister David Mwiraria to rescind his decision that prevents employees from collecting their pensions before they reach age 55, noting that life expectancy in Kenya is now around 45 years.

Free scratch paper from your bank
According to a UK survey, 60 per cent of people do not regularly read their mortgage, pension or bank statements.

Weather forecast
Yesterday evening, Nairobi had one of its freak rain storms that usually coincide with rush hour. So today I am comparing various forecast tools for their effective forecasting of the rest of the week’s weather.

Yahoo Tuesday: Some sunshine with a thunderstorm or two this afternoon. High 79F. Chance of rain 30%. Night Considerable cloudiness with occasional rain showers. Low 56F. Chance of rain 50%.
Tomorrow: A few showers early with mostly cloudy conditions later in the day. High 78F. Chance of rain 30%. Night: Cloudy. Low 56F. .
Thursday: Partly cloudy with a stray thunderstorm. Highs in the upper 70s and lows in the low 50s.
Friday: Showers. Highs in the mid 70s and lows in the low 50s.

CNN Tuesday partly cloudy 79°F (26°C) | 50°F (10°C)
Wednesday partly cloudy 78°F (26°C) | 52°F (11°C)
Thursday partly cloudy 80°F (27°C) | 50°F (10°C)
Friday partly cloudy 76°F (24°C) | 47°F (8°C)

BBC Tuesday light showers 24°C 14°C 6 good 1014 72
Wednesday sunny 20°C 13°C 5 good 1016 93
Thursday sunny 22°C 12°C 4 very good 1015 67
Friday 22°C 14°C 6 good 1015 69

Accuweather Tuesday Pleasant with a blend of sunshine and clouds High: 26° C Night: Mainly cloudy Low: 10° C
Wednesday Nice with times of sun and clouds High: 25° C Night: Partly cloudy Low: 11° C
Thursday Pleasant with clouds and sunshine High: 26° C Night: Partly cloudy Low:10° C
Friday Nice with times of clouds and sun High: 24° C Night: A shower possible in the evening; otherwise, partly cloudy. Winds will be calm Low: 8° C

Iraq constitution
Some cool things about the new Iraq constitution

1. It’s only 26 pages long
2. Article (6): Government should be rotated peacefully through democratic means stipulated in this constitution.
3. Article (26): The country shall guarantee the encouragement of investments in the different sectors.
4. Article (28): Low-income people should be exempted from taxes in a way that guarantees maintaining the minimum level necessary for a living. This shall be regulated by law.
5. Article (30): The state guarantees social and health insurance, the basics for a free and honorable life for the individual and the family — especially children and women — and works to protect them from illiteracy, fear and poverty and provides them with housing and the means to rehabilitate and take care of them. This shall be regulated by law.
6. Article (52): Sessions of the Council of Representatives (Parliament) shall be public unless it is necessary to do otherwise.
7. Article (58): Quorum for sessions of the Council of Representatives shall be reached by the attendance of the absolute majority of its members.
8. Article (59): The Council of Representatives may withdraw confidence from a minister by absolute majority, and he/she is considered (resigned) from the date of the withdrawal of confidence.
9. Article (59): The Council of Representatives decides the withdrawal of confidence from the prime minister by absolute majority of its members.
10. Article (59): (c) The Cabinet shall be (considered resigned) in the case that confidence is withdrawn from the prime minister.
11 Article (75): A minister must have a university degree or an equivalent.

Scholarships & Graduate opportunities

Apologies if some are out-dated or closed

Shell Graduate Recruitment Campaign 2005
For recent graduates who meet the following criteria can forward their CV’s to HR@ksl.shell.com
1. A basic degree from a recognised University – minimum of a strong upper second – whilst most of our roles are commercial in nature – HR, Marketing Sales, and Finance – there is no restriction to type of degree.
2. We look for specific underlying personal qualities and attributes that one needs to have the potential to be an effective Shell Graduate Employee. For example:-
– Have they led a team? Been a club/association leader?
– Were they in the upper quartile of their class?
– Have they achieved something extra ordinary compared to their peers?
– Are they innovative /creative and able to challenge status quo?
– Do they have good communication/presentation skills?

American Association of University Women International Fellowships
Master’s/Professional Fellowship $18,000
Doctorate Fellowship $20,000
Postdoctoral Fellowship $30,000
Applications available* Aug. 1-Dec. 1, 2005
Application POSTMARK deadline* Dec. 1, 2005
Fellowship year July 1, 2006-June 30, 2007
Website:

International Fellowships are awarded for full-time study or research to women who are not U.S. citizens or permanent residents. Both graduate and postgraduate study at accredited institutions are supported. (For support at the undergraduate level, visit www.isep.org.) The Foundation will award 57 fellowships for the 2006-07 academic year. Six of these awards are available to members of International Federation of University Women affiliate organizations. These fellowship recipients may study in any country other than their own. Contact: info@aauw.org

AFRICA/GLOBAL: Advanced Research Fellowship Program:
The Council for the Development of Social Science Research in Africa (CODESRIA) is pleased to announce its 2005 Advanced Research Fellowship Programme and to invite interested scholars to submit applications for consideration for an award. Further details here or contact: advanced.fellowship@codesria.sn

AFRICA/GLOBAL: CODESRIA Prize for Doctoral Theses:
The Council for the Development of Social Science Research in Africa (CODESRIA) is pleased to announce the 2005 edition of its prize for the best three doctoral theses produced annually in Africa. This programme has been introduced with a view to promoting the research work of African doctoral students and to celebrate the performance of those among them who produce outstanding studies that are worthy of being given greater visibility than would otherwise be possible in the absence of a special initiative designed to bring them to the attention of a critical international audience. Further details here or contact: doctoral.thesis@codesria.sn

HEINZ Company Foundation Fellowship Program
The Fellowship is offered annually and provides for one year of practical, professional, and non-degree educational experiences through the University of Pittsburgh in Pittsburgh, Pennsylvania, USA. For each round, Heinz Fellowships will be granted to two individuals from developing countries who demonstrate potential as future leaders in the government, non-profit, or private sectors. Further details: here

2006 Rolex Awards for Enterprise
These awards provide visionary men and women world-wide with financial support and recognition to carry out innovative projects – often outside the mainstream – to improve out planet and the human condition.
Nomination Deadlines (Asia, Pacific, North, Central and South America): May 31st 2005
Nomination Deadline (Europe, Middle East and Africa): September 30th 2005.
Prize: US$ 100,000
For more information see: here

2005 Tyler Prize for Environmental Achievement
The Tyler Prize for Environmental Achievement is the premier award for environmental science, energy and medicine conferring great benefit upon mankind.
Nomination Deadline: 15th September 2005
Prize: US$ 200,000
See web site