Nigeria lawmakers to investigate State oil company

Wednesday, July 11, 2018

Print this page Email A Friend!

ABUJA, Nigeria (AFP) — Nigerian lawmakers yesterday voted to probe the State oil company for allegedly failing to remit funds to the Government.

There is an “urgent need” to investigate the “under-remittances” of the Nigerian National Petroleum Corporation (NNPC), said Nicholas Ossai, a member of the Opposition People's Democratic Party (PDP).

The 100 billion naira (US$277 million) shortfall is not connected to the oil price, which has been high in recent months, and is “likely as a result of some individuals not doing what they are supposed to”, Ossai said in the motion.

“It's a question of when you see the effect and impact,” Ossai told AFP.

“The people who have worked have not received their salaries,” Ossai said, adding that the NNPC has “always given one reason or the other that are not cogent”.

The motion from the Lower Chamber comes after Finance Minister Kemi Adeosun said on June 28 that remittances from the NNPC were “unacceptable”.

Adeosun said that oil proceeds have become an issue and that the Government was investigating the NNPC's claims that the funds were lower than expected because of the deduction of fuel subsidies.

The NNPC is the beating heart of Nigeria's economy, which is reliant on oil for two-thirds of its State revenues and the vast majority of its export earnings.

The company, which has had a reputation for opaque accounting, has posted losses for the past three years, according to Bloomberg News.

Former central bank governor Lamido Sanusi was suspended after alleging that the NNPC failed to remit US$20 billion in one year.

Legislation to commercialise the NNPC needs to be signed by President Muhammadu Buhari into law after being passed by the Senate and Lower Chamber of the House of Representatives earlier this year.

After nearly two decades of debate, the Petroleum Industry Governance Bill is set to overhaul the oil industry with the goal of improving profits and transparency.

Now you can read the Jamaica Observer ePaper anytime, anywhere. The Jamaica Observer ePaper is available to you at home or at work, and is the same edition as the printed copy available at




1. We welcome reader comments on the top stories of the day. Some comments may be republished on the website or in the newspaper � email addresses will not be published.

2. Please understand that comments are moderated and it is not always possible to publish all that have been submitted. We will, however, try to publish comments that are representative of all received.

3. We ask that comments are civil and free of libellous or hateful material. Also please stick to the topic under discussion.

4. Please do not write in block capitals since this makes your comment hard to read.

5. Please don't use the comments to advertise. However, our advertising department can be more than accommodating if emailed:

6. If readers wish to report offensive comments, suggest a correction or share a story then please email:

7. Lastly, read our Terms and Conditions and Privacy Policy

comments powered by Disqus



Today's Cartoon

Click image to view full size editorial cartoon