NNPCL refutes $6.8b debt claims, affirms regular remittance

Coalition demands probe of alleged dirty fuel importation
Nigerian National Petroleum Company Limited (NNPCL) has refuted claims that it owes international oil traders $6.8 billion.

It also confirmed its commitment to regular and transparent remittances to the Federation Account, addressing concerns about financial mismanagement.

But Citizens and Economic Freedom Rights Activists in Nigeria (CEFRAN) has called for an independent judicial inquiry by the Federal Government to unravel the fraud in the importation of adulterated fuel.

NNPCL refuted the claims in a statement, yesterday, by its Chief Corporate Communications Officer, Olufemi Soneye, who insisted that the company “does not owe the supposed amount to any international trader in the oil business, as transactions are carried out on credit; hence, it is normal to owe; but the company through its subsidiary, NNPCL Trading, has many open trade credit lines from traders.”

He mentioned that the company was paying its obligations of related invoices on a first-in-first-out (FIFO) basis.

Soneye stated: “It is incorrect to say that NNPCL has not remitted any money to the Federation Account since January. NNPCL and its subsidiaries regularly remit their taxes to the Federal Inland Revenue Service (FIRS). This is in addition to payments of Corporate Income Tax (CIT) to road contractors under the Road Investment Tax Credit Scheme. In all, NNPCL is the largest contributor to the tax revenue shared every month at the Federation Account Allocation Committee (FAAC).

“On the issue of quality/quantity fiscalisation of imported petroleum products, NNPCL has no role whatsoever, as it is not a regulator. The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), which is the relevant regulatory agency in charge of such issues, is an independent body and do not report to NNPCL.”

He noted that NNPCL was not averse to inquiries by the media into issues on and around its operations before dissemination to the public, either through the print or electronic channels of communication, as the company would, always, gladly take the opportunities to state the facts of the subject matter(s).

“This is in line with the company’s commitment to the Transparency, Accountability and Performance Excellence (TAPE) philosophy as emplaced by the Mele Kyari-led management since stepping into the saddle in 2019,” he added.

CEFRAN maintained that a thorough, transparent and exhaustive investigation into the operations of the country’s fuel sector was imperative, and should not be conducted under the supervision of those who failed to safeguard the interests of the people.

Addressing newsmen, yesterday, in Abuja, CEFRAN Convener, Obinna Francis, condemned the actions of those importing and distributing substandard fuel, which poses grave health hazard to Nigerians.

The group also demanded the immediate resignation of the heads of the regulatory agencies such as Mele Kyari, Gbenga Komolafe and Farouq Ahmed to facilitate a comprehensive and unbiased investigation into the sector.

CEFRAN also called for the suspension of the owner of Matrix Energy, Abdulkabir Adisa Aliu, as a member of the Presidential Economic Coordination Council (PECC), pending a full investigation.

“It is a profound national embarrassment that Nigeria, the continent’s largest oil producer, finds itself beholden to imports of subpar petrol, particularly from a nation like Malta, which lacks indigenous oil refineries.

“This clandestine scheme, involving the importation of inferior petrol from Russia to Malta for blending, before its arrival on our shores, is not only illicit but also poses a formidable threat to our collective health and environmental well-being,” Francis said.

The group urged President Bola Tinubu to constitute an independent management team for NNPCL to oversee a thorough investigation into the adulterated fuel saga, ensuring accountability and justice.

It emphasised the need for a transparent, accountable and equitable fuel supply system that serves the interests of Nigerians, rather than catering to the interests of a select few.