Inflated Fuel Price: PPPRA Threatens Shut Down Of Filling Stations

The Petroleum Products Pricing Regulatory Agency, PPPRA, has threatened to shut down any filling station in the country selling petrol above 97 Naira per litre.

The agency has also given an assurance that it has not approved any increase in the price of the product, neither are there any plans to do so.

The Executive Secretary of the PPPRA, Farouk Ahmed said: “The petroleum products regulatory agency hereby assures Nigerians that the official pump price of Premium Motor Spirit remains 97 naira per litre, as the agency has not approved any pump price increase.”

He added that there were sufficient quantities of the product in the country to guarantee uninterrupted supply, and that all petroleum marketers should release products in their tanks and depots for sale.

To ensure compliance with its directive, the PPPRA said that it would be working with the Department of Petroleum Resources, DPR, to monitor the situation at all retail outlets.

The agency also assured Nigerians that the official pump price of petrol remains 97 naira per litre.

In a statement signed by the Executive Secretary of the Agency, Mr Farouk Ahmed, the agency  made clarification following reports that some petroleum marketers are hoarding petroleum products in the vain anticipation of fuel price increase.

The statement further explained that there are sufficient products country to guarantee uninterrupted fuel supply and motorists are therefore advised to shun panic-buying.

Mr Ahmed also added that loading of products has been uninterrupted in all NNPC depots across the country.

The agency directed all petroleum marketers to release for sale products in their tanks and depots and at the officially approved pump price.

The agency promised to work with the Department of Petroleum Resources to ensure compliance at all retail outlets in the country.

Senate Hearing: Okonjo-Iweala Recommends Independent Audit On NNPC Missing Funds

The Finance Minister Dr. Ngozi Okonjo Iweala has told members of the Senate Committee on Finance to go a step further by inviting independent auditors to look at the books of the Ministry of Finance as regards remittances made by the Nigerian National Petroleum Commission, NNPC.

This is in view of the lingering controversies surrounding the alleged 10.8 billion dollars missing NNPC funds.

The Finance Minister, Ngozi Okonjo-Iweala was speaking at the investigative hearing by the Senate Committee on Finance, into the alleged missing $20 billion oil money.

In her testimony, she said, “The budget under the control of the Ministry of Finance is laid out transparently online and has been accessible to all Nigerians and they have been criticizing it. Even though it’s difficult for us, we are proud of it because it means they have information to criticize us with.

“Under those circumstances people say the finances of the country are in a mess, we do not think that is the case on that particular point.

“What is being said here is being made to look like in this country, there has been no accountability, and that is not the case. For two steady years, Federal Allocation after Federal Allocation Committee meeting, the Ministry of Finance chairs a process that reconciles these accounts, and every single Commissioner of Finance in this country has a folder that shows exactly what we’ve done. So the Ministry of Finance is doing its job.

“It is because of that reconciliation that we came to the amount of 10.8billion that everybody is now talking about. When the Central Bank mentioned 49.8billion, we were the first to say we did not think this amount is correct and you can ask the CBN Governor, he is right here.

“After we had done that work, it was proven that 49.8billion is not the right amount and he had the courage to accept that. Without the steady work we have done to account for the resources of this country, we will not be talking about 10.8billion.”

Referring to an earlier comment by a member of the committee, she said, “We have said we want an independent audit in addition; it is precisely because of what the distinguished Senator is saying that we want this independent audit these extraordinary times. A lot of accusations are being made in this country and the only way Nigerians are going to be satisfied is to have an independent opinion on these amounts.”

Senate Hearing: No 10.87billion Dollars Is Seated In NNPC – Group GMD

The Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Andrew Yakubu

The Central Bank Governor, Sanusi Lamido Sanusi, and the Finance Minister, Ngozi Okonjo-Iweala have been giving testimonies at the investigative hearing by the Senate Committee on Finance, into the alleged missing $20 billion oil money.

Mr Sanusi told the hearing that regardless of the explanations from the Finance Minister, as far as the CBN was concerned, there is an outstanding $20 billion between what NNPC shipped and what it paid to Government.

Mr Sanusi insisted that the outstanding 6 billion Dollars given to the Nigerian Petroleum Development Company (NPDC) should have gone to the Federal Government and that the CBN received 3 legal opinions on that matter while offering to bring lawyers to defend that claim.

The Finance Minister, Okonjo Iweala, however said that the NNPC supplied documents from the Petroleum Products Pricing Regulation Agency, PPPRA, showing how the initial outstanding 10.8 billion dollars was spent.

The Group GMD of the NNPC, Mr. Andrew Yakubu, who was also at the hearing, however, stuck to his gun, insisting that the state oil company was not in custody of the amount as claimed by the CBN Governor.

“You will recall that we started from 49.8 billion dollars, and after the interagency reconciliation in December, we came down to 10.87, and this was classified as non-remitted funds. The impression all over the place is that 10.87billion dollars is seated in the four towers of NNPC and my staff and myself have been portrayed in very bad light.

“For emphasis I want to tell all Nigerians, that no 10.87billion dollars is seated in NNPC or anywhere within our control.

“The 10.87billion dollars after a series of discussions and presentation of documents and reconciliation meetings was traced to the four major items today. Those items are the subsidy that we have discussed extensively, and that is the reality.”

Having itemized other issues like legalities, budgetary provisions, as among issues realized during reconciliation, he further spoke about the kerosine subsidy.

“The reality today, that I found when I stepped in on the 26th of June 2012, is that subsidy of kerosine was still there and it is still there as we speak. So, the total amount based on our reconciled figure is 8.76billion dollars.

“We also did a detailed material balance of crude oil and product inventories and arrived at 0.76billion for the losses we encountered as a result of the harsh business environment.”