The House of Representatives at plenary on Thursday, 25th May 2017 rejected a Bill seeking to amend the Nigerian National Petroleum Corporation (NNPC) Act, 2004. The amendment sought to enable legislative approval of the Nigerian National Petroleum Corporation’s (NNPC) budgetary expenditure and enhance financial and fiscal Discipline in NNPC’s transactions– (HB 571).

Leading the debate on the Bill which was scheduled for second reading, Bill sponsor, Hon. Rapheal Nnanna-Igbokwe (PDP: Imo) explained that the Bill would ensure that extant provisions of the NNPC Act, 2004 complied with relevant provisions of the Fiscal Responsibility Act (FRA), 2007that govern the financial plans, management and expenditure of Ministries, Departments and Agencies (MDAs).

Hon. Nnanna-Igbokwe stated that the Bill would encourage transparency and accountability in the Corporation’s operations pending the passage of the Petroleum Industry Governance Bill. For instance, he proposed an amendment to Section 7 (5) which currently states that:

“The Corporation shall submit to the National Council of Ministers not later than three months before the end of each financial year estimates of its expenditure and income relating to the next following financial year”.

He explained that an amendment to increase the time frame for submission in the above mentioned provision was necessary because it contradicts the current position of the FRA, 2007 which gives MDAs four months to submit estimates of their expenditure and income.

Furthermore, he was of the view that the Bill would encourage the principles of check and balances which he described as a ” cardinal principle” in the Presidential system of Government. However, when put to a voice vote by the Speaker, Rt. Hon. Yakubu Dogara (APC: Bauchi), the Bill was rejected by Members in the light of the fact that his Bill sought to subject only the Budgetary estimates of NNPC to legislative approval among several other Agencies.