The Federal Ministry of Petroleum Resources,hassaid that it has no financial records of fuel subsidy payments from 2017 to 2021.
The Ministry told the House of Representatives adhoc Committee probing fuel subsidy payments on Wednesday
But the committee maintained that the Minister of State for Petroleum Resources, Timipre Sylva and other major stakeholders in the oil and gas industry must appear before it to give accounts of the regime from 2017 to 2021.
The stakeholders had sent representatives at the maiden hearing of the committee on Wednesday, a development which was not acknowledged by the lawmakers who said that the matters under probe demanded the physical presence and participation of the heads of relevant agencies.
A member of the Committee Hon. Mark Gbillah from Benue State moved a motion that all agencies not duly represented by their Heads should not be allowed to make presentations.
A director in charge of the office of the Permanent Secretary, Ministry of Petroleum Resources, Busayo Kamoru representing the Minister of State for Petroleum Resources had sad earlier that the ministry has no financial records on the subsidy payments.
He said that the request had been forwarded to the NNPC for answers. Gbillah was not convinced by the submission.
He said: “I find it completely unacceptable that the ministry has no presentation before this Committee. That shows you complete lack of regard and I think that it’s important we start to set the precedent about how serious we are going to take this issue that this will not be tolerated and they need to account for every single Kobo that has been expended in what some of us consider to be a charade over several years to the detriment of our country. Mr Chairman, I think we need to take some serious action about l this. But first of all, he should tell us because they said they have invited the NNPC. So, the ministry of petroleum resources has no record of the amount of money that has been expended in trillions of Naira for subsidy payments?”
He later formally moved a motion to summon the minister which was adopted by the committee.
In his speech to declare the hearing open, the Deputy Speaker, Hon. Ahmed Idris Wase who represented the Speaker, Hon. Femi Gbajabiamila,where he decried the absence of critical stakeholders.
Wase expressed disappointment that the people in authority expected to give account of their stewardship to Nigerians were absent.
He disclosed that the quantum of money assumed to have spent on subsidy during the period under review was amounted to N4.9 trillion and going by the quantum of estimation assumed to have spent as of today was amounting to N6 trillion.
“On behalf of the members of the House of Representatives, I’m expressing my displeasure by the attitude of stakeholders in the oil and gas industry that are supposed to be here. Nobody has any excuse not to be here, that shows lack of respect for constituted authority and I think we are not going to take it”, he warned.
He charged the special ad-hoc committee to ensure that nobody was spared or regarded as being above the law.
He assured the committee that the House was ever ready to give them the necessary support and cooperation to ensure that the interest of the country and the benefits of the people must be protected.
In his welcome address, the chairman of the adhoc committee, Hon. Ibrahim Aliyu the committee would not hesitate to evoke the provisions of the law to compel attendance.
He said: “Let me start by expressing the displeasure of the committee for the nonchalant attitude exhibited by some MDAs as well as some executive of the oil companies for non-compliance on the request of the committee to provide vital information on the subsidy granted by the federal government. This attitude is unfortunate, unacceptable, condemnable and undemocratic and an infraction on the separation of powers of the legislature in carrying out one of its legitimate functions of oversight. It’s more worrisome that this is happening during an era of change by the very people who should be in the Vanguard of the change mantra to this administration.
“But they are treating a matter such as this with levity and contempt. It’s also a great concern to us that at the time when the country is undergoing a myriad of challenges especially the current queues and hike in petroleum and Diesel prices which this adhoc Committee seeks to unveil, unravel and address. I believe that both the legislature and the Executive had worked together for a common goal. And I want to assure you that we are very serious about his national assignment and all parties involved should treat it as such. This must not be condoned. May I remind you that this Committee is not unmindful of the positions availed to it by the 1999 constitution and if necessary will not hesitate to enforce compliance to compel any person to honor its requests or invitation.
“NNPC should submit details of oil companies and other parties involved in the crude oil swap, direct sales and direct purchase agreement and beneficiaries of those subsidies. We are not here to blackmail or witch-hunt anybody but within the period under review, we are taking about 5 years to date, a lot had gone wrong. Nigerians are asking questions”, he said.
Responding to the non availability of the financial records on subsidy payments, the Director, Kamoru said “So, when we got his letter, we gave it the urgency it required and sent the letter to NNPC where all those records are, and we went to meet yesterday prior to today’s meeting. Unfortunately, yesterday being the day for unveiling NNPC, it was not practicable for them to have brought the documents yesterday.”
The National President of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Chinedu Okoronkwo,in his presentation, said his association was not part of the subsidy.
Okoronkwo agreed when asked that the landing cost of fuel remained N148, regretting however,that some petrol depots are selling fuel at the rate of N158.
He added:”When we got the letter, we arranged with our consultants so that they can help us aggregate and get all these information. We want a transparent industry where everyone will have access to information. The consultant is already working on it and you will see our position soon”, he said as his response to a question on the subsidy records”