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.
Goodluck Jonathan Mohammed Lawal Bagega John Mayokun Dada Abdullahi Samari African Democratic Congress Ezekiel Yissa Benjamin Ibrahim Bio Agor Market Amuda Musbau Umar Ahmed Gunu Isa Aremu Aremu Bose Deborah Majlis For Sadaqah, Zakat And Waqf Bola Olukoju Vasolar-Kwara Company Ltd Towobola Abdulrahman Toyin Ayekale Olokoba Sulyman Galland Marcias Adedayo Yusuf Abdulkareem Dele Momodu Olatunde Olukoya Shuaib Jawondo Bolakale Kawu Agaka Offa Grammer School Onikijipa Moro Tunde Akanbi SSA Youth Engagement KWIRS Ojuekun Sarumi Mohammed Lawal David Oyedepo Mashood Abdulrafiu Agboola Garment Factory Nigeria Governors\' Forum Ophthalmological Society Of Nigeria Bankole Omisore Nigeria Foundation For Artificial Intelligence Olukotun Of Ikotun Muslim Stakeholders Of Kwara State Ahmad Olanrewaju Belgore 11th Galadima Yakubu Shaaba Elections Yakub Lai Gobir Albert Ogunsola Nupe Ahmed Shuaib Buranga Agboola Abdulraheem Saidu Kawu Yemi Osinbajo Iyiola Oyedepo Ganmo Power Sub-Station Ilorin Emirate Yusuf Abdulkadir Taofik Mustapha Muhammad-Mustapha Suleiman Abdulkadir Akanbi-Oke Sulaiman Gado Universal Basic Education Commission Yusuf Ali Kawu Ilorin Durbar A.E. Afolabi Mahfouz Adedimeji Oloruntoyosi Thomas Usman Alkali Baba Otunba Taiwo Joseph Emmanuel Olatunji Adesoye Muhammed Danjuma Bareke Aisha Buhari Prince Sunday Fagbemi CT Ayeni Adeniyi Ojo Ilorin Likeminds Foundation

