The House of Representatives Committee on Petroleum Resources (Downstream) has launched a formal investigation into the status of Nigeria’s non-functional refineries, following a wave of petitions and complaints from the public alleging fraud, mismanagement, and misappropriation of rehabilitation funds.
Chairman of the committee, Hon. Ikenga Ugochinyere, announced the probe in a statement issued after a special session of the committee. He said the investigation would examine the reasons the refineries remain shut down despite substantial financial investments by the federal government.
“The House Committee, following a special session and after reviewing numerous petitions and complaints from the general public, has resolved to launch a comprehensive investigation into the state of Nigeria’s refinery rehabilitation projects,” Ugochinyere said.
“The committee noted that these petitions include serious allegations of fraud, mismanagement, and possible misappropriation of public funds committed to the rehabilitation of refineries.”
He added that while security and investigative agencies may be handling aspects of the matter, the legislature has a responsibility to conduct a fact-finding exercise on behalf of Nigerians.
He said, “The goal is to uncover why, despite heavy financial investments, the refinery remains non-functional, shut down, and surrounded by confusion and controversy.”
Ugochinyere emphasized that the refineries are public assets jointly owned by the federal and state governments, and Nigerians deserve clear answers. He said citizens are asking: “What happened? Was the public deceived? Was the project sabotaged?”
At the heart of the committee’s inquiry, he said, is whether the rehabilitation was carried out in accordance with contractual terms and technical specifications.
He said, “If so, why is the facility not operational? If not, did the contractors fail? Were there consequences for non-performance? Was there evidence of misappropriation, shady dealings, or a breakdown in oversight?”
He expressed concern over what he described as a lack of accountability among key stakeholders, including refinery managers and officials of the Nigerian National Petroleum Company Limited (NNPCL), who regularly provided progress reports and conducted site visits.
“At what point did these stakeholders realize the project was not viable, and why was funding continued?” he queried. “Was this a case of a failed vision from the start?”
The committee has also received allegations that some by-products from the refineries were misappropriated, undersold, or diverted for public relations purposes instead of being reinvested in the oil sector.
“In light of all these concerns—ranging from the shutdown itself, the failure of the project, the suspected misuse of funds, and the questionable handling of by-products—the committee has resolved to conduct a detailed investigation,” Ugochinyere said.
“This will include identifying those responsible and advising Parliament on the appropriate actions to take, ensuring transparency, accountability, and better management of national resources moving forward.”