Reps Probe U.S.$8 Billion Oil Swap Despite Row
The House of Representatives yesterday resolved to constitute an ad-hoc committee to investigate alleged malpractices by the Nigerian National Petroleum Cooperation (NNPC) in the crude oil swap contracts involving five oil companies, but some members of the House were against the move.
The contracts in question were brokered by the Pipeline and Products Marketing Company (PPMC), a subsidiary of the NNPC, during the immediate past regime of President Goodluck Jonathan.
The decision of the House to look into the controversial deal followed a motion on the 'Urgent Need For a Forensic Investigation of the Contract known as 'Refined Product Exchange Agreement or Swap Contract'" sponsored by Hon. Michael Enyong (Akwa Ibom, PDP) at plenary.
He noted in the motion that the revenue of the country had plummeted due to leakages in the accounting system and mismanagement of the economy.
Those against the probe exercise hinged their objection on the fact that the sponsor of the motion did not provide adequate data to back his allegations while others said the exercise will amount to a duplication of functions as another agency of government was already investigating the matter.
Hon. Nnanna Igbokwe (PDP, Imo) asserted that there was no need for the House's intervention again since President Muhammadu Buhari had already directed the Department of State Services (DSS) to commence investigation into the matter.
For his part, Hon. Obinna Chidoka, (Anambra, PDP) opposed the motion, saying there were enough investigative reports on the oil sector which the House should revisit and take action instead of a fresh exercise.
Also, Prof. Mojeed Alabi (APC, Oyo) said the motion was lacking in research and data accuracy, and therefore called for more diligent work to provide the ground for meaning investigation.
Hon. Emmanuel Oghene (Lagos, PDP) supported the motion, citing the amount of money and unaccounted crude oil involved, adding that it cannot be wished away by the House, while Hon. Razak Atunwa (Kwara, APC) in his contribution faulted Igbokwe's assertion, adding that the gravity of the consequences of the oil swap arrangement on the nation should make it mandatory for the House to carry out its own investigation.
However, Enyong while leading the debate, revealed that the Nigerian Extractive Industries Transparency Initiative (NEITI) had, in its 2009-2011 and 2012 reports, ascertained that there was revenue loss to the tune of $8billion due to discrepancies between the value of the crude oil given out and the refined products delivered.
Enyong said that in 2011, there was a shortfall of 500,075, 32 litres of refined product by the five oil firms namely: Transfigura (173, 786, 600 litres); Vitol (654, 440 litres); Taleveras (152, 308, 878 litres); Aiteo Ltd (193, 045, 590 litres); and Ontario Oil & Gas (180,278, 732 litres).
"There is the need to ensure transparency and accountability by the NNPC in the management of revenue accruing to the nation from crude oil, particularly in the prevailing circumstances where major buyer of Nigeria's crude oil, the United States of America (USA), has discovered alternative sources," he said.
He further said that the concerns raised in the motion were in tandem with the anti-corruption stance President Muhammadu Buhari.
However, there were initially procedural bottlenecks to block the motion but members eventually voted in support of it and Speaker Yakubu Dogara referred the matter to a yet-to-be-constituted ad-hoc committee to address the issues raised.
"I sincerely believe that the allegations are grave enough to warrant a legislative intervention on our part," he said.
Cloud Tag: What's trending
Click on a word/phrase to read more about it.
Abdulraufu Mustapha COVID Temi Kolawole Micheal Imoudu Yusuf Badmus Obuh Moshood Bakare Amoyo A.E. Afolabi ER-KANG Islamiya Abdulraheem Bayo Lawal Labaeka General Hospital, Ilorin Salihu Ajibola Ajia Ghali Alaaya Amuda Musbau AbdulFatai Adeniyi Dan-Kazeem Mohammed Haruna Freshvine Nigeria Limited Ilorin Muslim Community Iyabo Adewuyi Mogaji Aare JAAC Ezekiel Yissa Benjamin Wakilin Mata Lafiagi Kamaldeen Ajibade 20 Billion Bond Sulaiman Gado AbdulGafar Tosho Ibrahim Taiwo Road Abatemi-Usman Bamidele Adegoke Ilesha-Baruba Agor Rafiu Ajakaye Galadiman Ngeri Nigeria Association Of Women Journalists Young Progressives Party Summit University Moremi High School Col. Adedipe Alimi Abdulrazaq Radio Kwara Tunji Moronfoye Rasaq Jimoh Zara Umar Femi Oladiji Sidikat Alaya Khairat Gwadabe Ridwan Agboola Photo News Maryam Nurudeen Ayinde Oki Yusuf A. Usman Mohammed Katsina Ahmed Muhammadu Gobir Musa Abdullahi Yusuf AbdulRasheed REO CAKES Abdullahi Atanda Taofeek Sanusi Jani Ibrahim Balikis Jawondo Yoruba Baba Issa Awoye Fatimah Abdulkadir Olaitan Adefila Habeeb Abdullahi Al-Ilory Kwara 2015 Yahaya Jibril Usman Vasolar Consortium Sunday Popo-Ola Facemasks Joshua Adeyemi Adimula Just Law Forum Oko Erin

