The House of Representatives at its plenary session of Tuesday, 10 July, 2018 set up an Ad hoc committee chaired by Hon. Chukwuma Onyema (PDP: Anambra) to investigate the under-remittance of fund to the Federation account by the Nigerian National Petroleum Corporation (NNPC). The Committee is expected to ascertain among others, the volume of oil production in Nigeria as against the projection in the budget, the exchange rate being used and NNPC’s cash flow from January to July 2018.
Presenting the motion under Matters of Urgent Public Importance, Hon. Nicholas Ossai (PDP-Delta) stated that funds accrued to the Federation account are usually shared between the Local, State and Federal Governments. He mentioned that the Federation Account Allocation Committee (FAAC) monthly meeting scheduled in June did not hold due to the NNPC’s under remittance of funds estimated at 400 million naira. He stated that this was not the first time NNPC was failing to remit funds accurately and that it was a shame it was happening at a time when oil price was on the increase. He further blamed the under-remittance as contributing to the continued inability of states to pay salaries and allowances and delay of government activities.
In other contributions, Hon. Dennis Agbo (PDP-Enugu) stated that the nation’s funds were being appropriated by the NNPC. He also accused the NNPC for paying subsidy that was not appropriated for as the landing cost of Premium Motor Spirit (PMS) was higher than the pump price and faulted the Corporation of trying to live above the law. In addition, he called on fellow lawmakers to use their good office and the institution of the National Assembly to exert pressure on NNPC to do the right thing. Additionally, he challenged states to be innovative in generating funds to pay salaries rather than being wholly dependent on the Federal Government. Similarly, Hon. Nkem Abonta (PDP-Abia) called on the House to do the needful by ensuring the proper management of the NNPC so that Nigerians could benefit from the country coming out of recession. Hon. Abonta was also of the view that NNPC had continued to act in a brazen manner because past reports on the company were not debated but rather put in the archives.
Hon. Shehu Shagari (APC-Sokoto) also contributing said that he had seen several motions on the same subject on the floor of the Green chambers in the 6th, 7th and now the 8th Assembly and that even though he was part of the Committee that investigated the NNPC in the 6th Assembly, no action was taken on the report submitted despite its damning evidence against the Corporation. He further warned the Chairman and members of the Committee to be careful as the NNPC had a reputation for instigating cases against persons that appeared to be acting outside its interest.
