Subsidy payment: Reps summon Ahmed, issue one- week ultimatum for Minister’s appearance
…Express worry over N6.7trn subsidy projection, NNPC status
By Nurudeen Alowonle
The House of Representatives Ad Hoc Committee probing the monies paid for petroleum subsidy services from 2013 to 2022, summoned the Minister of Finance, Budget and National Planning, Zainab Ahmed, to appear before it on Tuesday, August 16, 2022.
The Minister was also given a week to appear before the committee with all the documents required by the lawmakers with regard to subsidy claims and payments within the stipulated year.
The Chairman of the committee, Ibrahim Aliyu, made the summons at the ongoing hearing of the panel yesterday.
The Chairman of the Committee would be forced to write to the embassies of the countries where the companies are based for information on them.
While issuing the summon, the Chairman of the committee gave the Minister Aug 16 to make herself available with all the relevant documents in subsidy claims.
The Committee expressed dissatisfaction over the appearance of the Ministry’s Director of Home Finance, Stephen Okon, without a letter from Ahmed authorising him to represent her.
On the recent projection that the Federal Government would be required to pay N6.7 trillion as subsidy payment, the Committee described the projected estimate as worrisome.
He said that the issue was imperative for the Minister to appear before the committee to explain certain actions, adding that the subsidy would be borrowed for Nigerians to enjoy.
Okon, however, said he had to appear for the Ministry because he did not want to pass information that was not property processed before the committee.
He said that he came to plead for an extension of the time, adding that he was not mandated to make any presentation before the committee.
He said that the Ministry would love to ask for additional time to collate the information required before the Committee.
The Chairman said, “This committee requested from you to know the total amount released from the Consolidated Revenue Account as subsidy payments from January 2013 to date; the total amount released from other accounts other than the Consolidated Revenue Account to subsidy payments from January 2013 to go date; breakdown of beneficiaries; companies that enjoyed releases from the Consolidated Revenue Account and other revenue accounts as subsidy payments.
“Identify each beneficiary with the amount sent to them, month by month, covering the period from January 2013 to date; all correspondences between the Federal Ministry of Finance and the Central Bank of Nigeria regarding subsidy payments from January 2013 to date; evidence of lodgment of forex into Consolidated Revenue Account by the Nigerian National Petroleum Corporation now (Nigerian National Petroleum Company Limited) as revenue from January 2013 to date.
“Outstanding deposits expected from the NNPC to the consolidated revenue account indicating periods, years and dates; statement of account of all bank documents; evidence of NNPC and its affiliates; subsidiaries transfer of funds to the Treasury Single Account in line with the directives of the President and Commander-in-Chief; statement of accounts operated by the NNPC and subsidiaries under the TSA regime; list of commercial bank accounts operated by the NNPC and subsidiaries before the advent of the TSA; balance of forex yet to be transfer to the TSA by NNPC and its subsidiaries.”
“We are giving the Minister of finance one week to appear before this committee and make presentations.”
Recall that the Committee had earlier said the profiles of 23 oil and gas companies operating in Nigeria from 2013 to 2021 were unknown, adding that the firms had major serious questions to answer.
In a communique dated July 13, 2022, with Reference Number RGO/SU/VOL.5/2022/0248 and was signed by one Maimunat Hamu on behalf of the Registrar-General.
It read, “Kindly refer to your letter Ref: NASS/QHR/AHC/PPSRIM1/1H/01/051 dated 1st July, 2022, on the subject matter above.
“Please be informed that we could not readily find information on the exact name of the following companies as provided in our record.
“Emadeb Consortium; Britania-U Nig. Limtted; Totsa Total Ol Tradings SA; Petroleum Trading Nigeria Limited; Mocoh S.A; Socer Worldwide; Calson Bermuda Ltd; Hyson; Litasco S.A; Mercuria Energy; Cepsa Lubricant; Trafigura Pte; Vitol S.A; Ocanbed Trading Limited; Bonno Energy; West Africa Gas Limited; Petrogas; Matrix; Masters Energy; Amg; Barbados; Hindustan and Patermina.
“However, you may wish to provide the registration numbers or any other available documents at your disposal to enable us to investigate further.
“They are Heyden Petroleum Limited RC: 433175; Graton Oil Limited KC: 644074; Duke Oil and Gas. Limited RC; 64456145; Matrix Energy Limited RC: 612026; MRS Companies Limited RC: 241,013; Sahara Trade Nigeria Limited RC: 352,443; Essar Exploration And Production Limited RC: 692910; Sahara Group Limited RC: 668626; Rainoil Limited RC: 257,444; Casiva Limited RC: 1091598; Petroleum Trading and Supplies Company Limited RC: 506113.”
