Connect with us

News

Ibas defends six-month tenure as opposition demands probe on emergency rule

Published

on

As Rivers State prepares for the return of Governor Siminalayi Fubara on September 18 following the six-month emergency rule in the state, the sole administrator, Vice Admiral Ibok Ete Ibas (retd), has defended his tenure, stating that he fulfilled President Bola Tinubu’s mandate and stabilised the oil-rich state.

However, the opposition parties called for an investigation into Iba’s tenure, particularly his management of the state’s resources during his six-month stay in Brick House.

The Peoples Democratic Party described Ibas’s six-month administration as a waste of time, declaring it unconstitutional, a violation of democratic norms, and demanding an investigation.

Meanwhile, the New Nigeria Peoples Party dismissed the entire six-month rule under Ibas as an exercise in futility, claiming it lacked legitimacy from the outset.

The Labour Party also criticised the emergency rule, alleging it was designed to protect the interests of President Tinubu and the Minister of the Federal Capital Territory, Nyesom Wike, rather than those of the people.

In contrast to the opposition’s stance, the All Progressives Congress praised Ibas for maintaining peace and upholding the rights of citizens during his time as sole administrator.

The party lauded his efforts in ensuring that democratic processes, especially the conduct of local government elections, remained intact, describing his leadership as a stabilising force in a previously tense political environment.

Rivers State had been engulfed in political turmoil for nearly two years, largely due to a power tussle between former Governor Nyesom Wike and his successor, Siminalayi Fubara, which resulted in a prolonged governance deadlock.

In response to the crisis, President Tinubu declared a state of emergency on March 18 and appointed Ibas as the sole administrator to manage the state’s affairs during the period.

Two days later, on March 20, both the House of Representatives and the Senate endorsed the President’s declaration, effectively suspending Fubara and the Rivers State House of Assembly away on forced holidays despite widespread public criticism.

Objecting to what they considered an unconstitutional move, 11 PDP governors filed a case at the Supreme Court, registered as SC/CV/329/2025. However, there has been no public update on the matter since then.

Following the reconciliation between Wike and Fubara, the political climate in Rivers has eased.

The state held its local government elections on August 30, with the ruling All Progressives Congress securing 20 seats and the PDP winning the remaining three.

With a few days to the end of his tenure, the sole administrator commenced the transition process ahead of the President’s reinstatement of the suspended governor by September 18.

Thanksgiving service

Speaking at the Interdenominational Thanksgiving Service in Port Harcourt on Sunday ahead of Fubara’s return to power, the sole administrator urged political stakeholders to lay down their differences, emphasising that the progress and prosperity of Rivers State must take precedence over personal or party interests.

However, notable politicians in Rivers, including Wike and Fubara, were absent at the event. Aside from the Chairman of the Rivers State Council of Traditional Ruler, many monarchs in the state were visibly absent at the thanksgiving.

However, Permanent Secretaries, local government chairmen, heads of boards, agencies, parastatals and service commanders in the state graced the occasion.

Ibas, who had last week said he has ‘successfully achieved’ the mandate given to him by President Bola Tinubu in Rivers State.

Ibas noted that his administration has laid the foundation for reconciliation and called on the people to nurture that effort so it can firmly take root.

He also appealed to all stakeholders, including leaders, elders, politicians, and citizens, to always prioritise the state’s well-being above all else.

Ibas stated, “Six months ago, His Excellency President Bola Ahmed Tinubu, GCFR, Commander-in-Chief of the Armed Forces of Nigeria, declared a state of emergency in River State. At that moment, our beloved state stood at a crossroad, torn by divisions, instability, and broken trust.  By God’s grace and with the support of Mr. President and all of you, we have worked through those difficult days together.

“Today, as a people, we return thanks to God for preserving our lives, granting us peace, and allowing the successful conduct of the local government council elections across the state and thus laying the foundation for the return of democratic governance in Rivers State.”

Quoting some Bible passages, he said thanksgiving was a solemn testimony of God’s faithfulness to the state, saying, “We have survived storms-political, social, economic, and through it all, God has been faithful.”

See also  Protest in Kaduna over Dangote–PENGASSAN face-off

Ibas added, “The seeds of reconciliation have been planted. These seeds need your deliberate nurture to take root. Our collective sacrifices and commitment to peace is what we must all strive to guide at this time.

“My brothers and sisters, this Ecumenical Centre (venue of the event) is itself a symbol of unity, different denominations under one roof, lifting one voice to one God. In the same spirit, Rivers people must rise above bitterness, rivalry and self-interest to pursue the greater good of our state.

“The progress and prosperity of the River State must be placed above personal and or partisan interest. I make a special appeal to our political actors, sheathe your sword. Politics must never be an excuse to destroy the very state we are called to serve.

“The progress and prosperity of the River State must be placed above personal or partisan interest. River State cannot afford another season of division and acrimony. We must forgive one another, reconcile with sincerity, and embrace tolerance. Let us remember that no political victory or personal gain is worth the blood of our brothers and sisters.’

He called on all stakeholders to focus their efforts on fostering and maintaining peace in the state.

Ibas added, “Let us forgive, let us reconcile, and let us heal. For where there is peace, there is progress, and where there is love, there is prosperity. To our youth, you are the strength of Rivers State. Do not allow yourselves to be used as tools for violence. Channel your energy into building, creating, and sustaining peace. Your future, our collective future, depends on it.

“While efforts at peace and reconciliation take hold, all stakeholders, leaders, elders, political actors, and citizens alike should put Rivers State first. Let us guide the peace we have, nurture it with love, and grow it with stability and prosperity for generations yet unborn.”

“Our elders must continue to guide with wisdom. Our faith leaders must sustain prayers for peace. Our young people must commit to learning, working, and creating so that Rivers State will continue to shine as the treasure base of the nation.”

In his sermon, Pastor Organ Barasin highlighted that every individual experiences a moment of intervention, noting that the emergency rule was implemented in the state due to prevailing challenges and instability.

“We must admit that we didn’t do well,” he said, pointing out that before the declaration of emergency rule, the intense political tension in the state could have led to a bloodbath if not for divine intervention.

He stated, “Some people may have been killed. The plan of the enemy was to destabilise Rivers State, but Rivers State belongs to God. The plan of the enemy will not stand.

“We are thanking God for his continued sustenance. There is peace in this land. Rivers State will grow industries.

“The peace we have now must be sustained, and God wants us to forget the past. If you don’t let go of the past, you can’t reach out for the future. Brethren, we must learn to forgive and forget the past so that we can move forward.”

The cleric, who lamented the losses the state has endured due to the emergency rule, called for a change in attitude upon Fubara’s return.

He stated, “As we prepare to hand over to a democratic government, if our attitudes don’t change, nothing will change in this state. Our leaders, service chiefs, judiciary and the legislature all have a role to play. Billions have gone.”

 

Opposition, APC clash

Reacting, the Deputy National Youth Leader of the PDP, Timothy Osadolor, condemned Ibas’s tenure as unlawful.

In an interview with The PUNCH on Sunday, Osadolor called for a comprehensive investigation into the governance in Rivers State under the sole administrator.

He stated, “Well, like I mentioned at the very beginning, he had no business being there as the sole administrator of Rivers State. Rivers State had an elected governor, so that six months of illegality should be corrected and documented, so that when he is there, he can be thoroughly investigated.

“More so, the numerous resources he expended and presided over belong to the Rivers State people, who did not elect him, who did not decide over their affairs or their resources. Therefore, his handover notes should be well-titled in everything they did because the six months must be probed.

“No matter what, we also believe that Mr. President has no right to truncate or suspend the tenure of an elected public officer that was elected the same way he was elected. For checks and balances, those powers should be vested in the Nigerian National Assembly and not in the office of the President.

See also  Code of Conduct Bureau plans digital asset declaration to curb corruption

“More importantly, no elected officer should be made to stay out of the mandate for more than 90 days, if that makes any sense.”

He added that, “His (Ibas) appointment was built on illegality. So he did not achieve anything.”

Also, the National Publicity Secretary of the NNPP, Ladipo Johnson, said Ibas’s tenure lacked legitimacy ab initio.

“The tenure of Rivers’ military administrator is almost like an exercise in futility. This is because his take-off was an aberration of the constitution of the Federal Republic of Nigeria.

“We still maintain that it was an illegality. For one reason or another, they seem to have found some sort of political solution to the problem that was not even half as dangerous as what we had in some parts of Northern Nigeria, which needed a state of emergency to improve the insecurity they are facing.

“When we say a state of emergency, we are not talking about removing an elected government for one appointee. There is nowhere in the Constitution that allows it. We still maintain that. So, the earlier the illegal tenure comes to an end, the sooner we return to constitutional order and to the expression of the will of the people in Rivers State.

“How do you justify the administration of a military administrator? You look at things from a democratic value. It is just an exercise in futility,” Johnson told The PUNCH.

Speaking in a similar tone, the Interim National Publicity Secretary of the Labour Party, Tony Akeni, alleged that Ibas merely served as a placeholder for Tinubu and his political ally, Wike.

“There are two designs by President Tinubu and his favourite South-South sidekick, Wike, in the coup and siege against democracy in River state. The political and the economic designs,” Akeni claimed.

He alleged that the “political design” was to emasculate Fubara and secure Rivers for the ruling APC ahead of 2027, while the “economic design” was to divert state revenues through local councils loyal to Wike.

“To assess Sole Administrator Admiral Ibok-Eke Ibas’s performance during the period, his only achievement is that he did a good job standing in for his adopted new masters, Tinubu and Wike,” Akeni stated.

“In both plots, Tinubu and Wike fully succeeded. The only plot left they don’t know about is that they do not own tomorrow. Yes, they don’t. In 2027, Tinubu and Wike may wake up to find that it is God and Rivers State’s 7.2 million reborn citizens who actually own and will determine their destiny in 2027.

“Not the two clay emperors riding roughshod over their governor, Simi Fubara, and their treasury today.”

However, the APC Director of Publicity, Bala Ibrahim, praised the sole administrator for restoring peace and safeguarding the citizens’ electoral rights.

In an interview with The PUNCH, Ibrahim stated that only the President, who defined the administrator’s terms of reference, is in a position to properly assess Ibas’ performance.

He stated, “Well, you see, as a party, we are not privy to the terms of reference given to the administrator in Rivers. But whether he has achieved or acted according to the provisions or the expectation of the terms of reference is another thing.

“What matters to us as a party is the peaceful coexistence of the people and the freedom given to the people of Rivers State to exercise the franchise of election, as done during the local government election.

“That has been done peacefully, democratically, and in an era that shows that, yes, the people are happy with the dividend of democracy given to them under the national leadership of the APC.

“So, to that extent, we are happy with the conduct of the affairs of the administrator. But whether he has acted according to what he was sent to do is an assessment that can basically be given by the presidency, which gave him that task.”

The APC called on Fubara to embrace democratic principles once his suspension is lifted.

He added, “Well, if his suspension is lifted and he’s asked to resume, I think he must have learned. He would have licked his wounds so well as to leave no room for infection.

See also  Morayo Afolabi-Brown admits ignorance in past criticism of Peter Obi

“He should not allow anything to happen in a way and manner that would put him off the seat of power. As provided by the mandate given to him by the people, he should be a democrat. He should play democracy by the book and do as expected of him as a politician who was elected to serve the people.”

Groups demand probe

Additionally, the President of the Ijaw Youth Council, Jonathan Lokpobiri, alleged that the six-month emergency rule was marked by widespread corruption.

He added, “If you seek my honest opinion, Rivers State has lost not just the issue of governance, but investors’ confidence in terms of people’s perception about the stability in terms of polity.

“Also, I do believe that Rivers’ resources were plundered, which the man has no business having access to. It became private resources where he didn’t limit his tenure to doing the basics about governance in terms of maintaining the peace and all of that. He has gone into the dimension of an executive governor of Rivers State, where if the President did not make it clear to him, he would have wished to even continue.’’

Also commenting, the Publicity Secretary, Movement for the Survival of Ogoni People,  Oscar Imeabe, argued that the emergency rule impacted negatively on the state.

“The emergency rule has reportedly crippled economic activities in the state by chasing away investors and entrepreneurs. It has been a major setback to the history of Rivers State. The Administrator dissolved state institutions like the Rivers State Independent Electoral Commission, the Rivers State Micro-Finance Agency, boards of many tertiary institutions and agencies that were appointed by a democratically elected governor and proceeded to make illegal appointments which he wants to leave behind,” he stated.

Imeabe, who is also the Coordinator, South-South Youths Initiative,  called for an investigation into Ibas’ tenure.

“MOSOP is hereby calling for an investigation into the financial management of the state by the administrator. And my organisation, South-South Youths Initiative, the coalition of youths bodies, call on the EFCC and ICPC to probe the allegations of financial misappropriation by the state administrator.”

A former Senator, Lee Maeba, who represented Rivers South-East District in the National Assembly, described the situation during Ibas’s tenure as dire.

In an interview with our correspondent, he stated, “Rivers State has lost so much money, and we have to account for it. President Bola Tinubu has to account for our money. We have lost a huge amount of money. Six months of allocation, Internally Generated Revenue, and all other statutory earnings, I mean.

“How can you just suspend a governor and begin to play with all the monies meant for the state? The Administrator is behaving however he likes. An Administrator who was asked to go and restore security, but he went there and became completely in charge of politics.

“So, it’s a terrible thing to do. I don’t believe the President can go this low. It is the lowest level a President can go. He does not have any respect for anybody in Rivers because we elected him President. It’s a terrible thing to talk about.”

Maeba, who called for an investigation into the six months, stated that those who supported the state of emergency would face the consequences.

He stated, “The Constitution does not envisage that you will suspend a governor. There is nowhere in the Constitution that you will suspend a governor. And the terrible National Assembly stood by the President to do all the terrible things he did in Rivers. So, may that which happened in Rivers not happen in another state in Nigeria. I don’t pray it happens to any other state at all.’’

“And what has happened to Rivers is not gone. We will stand up to demand all the money that came to the state and the power of the Administrator to just jump into a state and start spending state money in the name of an emergency that does not exist. The State of Emergency that we hear is to restore security breaches or the breakdown of law and order. Now, in this case, the man just came for politics because there was no case of insecurity. He came and started using state resources without any constitutional powers or law allowing him to do that.”

FOLLOW US ON:

FACEBOOK

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

TUMBLR

INSTAGRAM

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

News

Nigeria must address poverty, insecurity to stop coups in W’Africa – Falana

Published

on

Senior Advocate of Nigeria Femi Falana says Nigeria cannot lead regional efforts against coups without first addressing internal drivers of instability.

He made this position known as West Africa confronts another round of military takeovers.

Speaking on Channels Television’s Politics Today on Tuesday, the human rights lawyer said Nigeria must confront socioeconomic and political conditions that fuel unrest.

“If we want to have political stability in Nigeria, you must address the crisis of the economy, address poverty, tackle illiteracy, and curb insecurity of lives and property,” he said.

Falana said civic freedoms must be strengthened and warned against treating criticism as a crime.

“You must show that the political space will not shrink as it is now. You have a shrinking of the political space, and that must stop. There must be freedom of expression.

“You cannot be charging people with all manner of offences for expressing their views about the affairs of their country,” he said.

He also urged the Independent National Electoral Commission to widen participation.

“More importantly, INEC must open the political space and allow ideological political parties to be registered to challenge the status quo. Right now, INEC is not prepared to open the political space,” he said.

Falana said many citizens are “unhappy” with current policies and argued that democratic leaders in Africa frequently constrain the opposition.

According to him, Nigeria must avoid practices that weaken pluralism.

“Nigeria clearly has its job cut out. If you want to stop coups, you must allow political pluralism in Nigeria.

See also  Court rejects Nnamdi Kanu‘s no-case submission, orders him to enter defence

“You cannot have a situation where the country is moving towards a one-party state, and you want to export democracy. Nigeria has to put its house in order to align with political pluralism” he asserted.

He added that credible elections depend on competitive opposition, saying ruling parties across Africa often render rivals “impotent” through direct or indirect restrictions.

Asked if more coups should be expected, Falana said, “It won’t be the last. I’m familiar with the political terrain. Once you put opposition leaders in jail, send them into exile, or kill them, you cannot have political stability.”

Citing similar trends in Benin Republic, he urged Nigeria to “show leadership in stabilising the region.”

His remarks follow Sunday’s failed coup attempt in Benin, during which soldiers led by Lt. Col. Pascal Tigri seized the state television station in Cotonou and announced President Patrice Talon’s removal.

The uprising was quashed within hours by Nigerian troops and the ECOWAS standby force.

Authorities said several people were killed, at least 14 suspects were arrested, and Tigri remains at large. The plotters cited grievances over security, military promotions and restrictions on political freedoms linked to the 2026 election.

The African Union, United Nations, European Union and ECOWAS condemned the coup.

Meanwhile, the Nigerian Senate has approved President Bola Tinubu’s request to deploy troops to Benin Republic.

Continue Reading

News

Insurgency: FG, Saudi Arabia sign five-year military pact

Published

on

Nigeria and the Kingdom of Saudi Arabia have signed a five-year Memorandum of Understanding aimed at strengthening defence and military cooperation between both countries.

The agreement, announced by the Minister of State for Defence, Dr. Mohammed Bello Matawalle, seeks to deepen collaboration in key security areas, including “military training, intelligence sharing, defence production, and joint operations.”

The minister’s Special Assistant on Media, Ahmed Dan Wudil, disclosed this in a statement on Tuesday, titled, ‘Nigeria, Saudi Arabia sign five-year defence, military cooperation agreement’.

According to the statement, “the memorundum will remain in force for term of five years and may be renewed for a similar period.”

“The MoU shall enter into force on the date of the last written notification, exchanged between the parties through diplomatic channels.

“The memorundum may be terminated at any time, by giving a written notice to the other party at least three months prior to the intended of termination.”

Wudil described the pact marks a major step in expanding bilateral ties and addressing emerging security threats facing Nigeria and the wider region.

“Dr. Matawalle signed the MoU on behalf of the Federal Republic of Nigeria, while Saudi Arabia’s Minister of Defence for Executive Affairs, Dr. Khaleed H. Al-Biyari, signed for the Kingdom,” the statement said.

The Ministry of Defence described the partnership as timely and strategic, saying it aligns with Nigeria’s ongoing efforts to strengthen security collaboration with global partners.

“This agreement reflects our commitment to strengthening international partnerships for sustainable security development,” the statement noted.

See also  Protest in Kaduna over Dangote–PENGASSAN face-off

“With this collaboration, we are confident that the current security challenges in some parts of the country will be addressed more effectively.”

The pact is expected to enhance Nigeria’s operational capacity and facilitate joint initiatives and deeper defence cooperation between both nations over the next five years.

It comes at a time when Nigeria confronts heightened surgency and international scrutiny over decades-old killings.

punch.ng

FOLLOW US ON:

FACEBOOK

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

TUMBLR

INSTAGRAM

Continue Reading

News

Governors vs NNPC: Tension rise over alleged $42bn oil revenue shortfall

Published

on

A renewed clash has emerged between the Nigerian National Petroleum Company Limited and Periscope Consulting, the audit firm hired by the Nigeria Governors’ Forum to examine an alleged under remittance of oil revenue totalling $42.37bn (about N12.91tn) to the Federation Account between 2011 and 2017.

The dispute, revived by fresh submissions from both sides, has forced the Federation Account Allocation Committee to mandate a joint reconciliation session to determine the true state of remittances and resolve the long-running impasse.

This was disclosed in the Federation Account Allocation Committee’s post-mortem review for November 2025, which detailed fresh exchanges between both parties over the alleged unremitted fund. The document was obtained by our correspondent on Tuesday.

Recall that in October, The PUNCH reported an extension of the ongoing probe and reconciliation of payments made by revenue-generating agencies, including the Nigerian National Petroleum Company Limited, to December 2024, following unresolved discrepancies in remittances. It also examined allegations that NNPC Limited failed to remit $42.37bn (about N12.9tn) in oil revenue to the Federation Account during the 2011–2017 period.

The review follows findings by Periscope Consulting, a firm engaged by the Nigeria Governors’ Forum, which had earlier accused the state oil company of withholding crude oil proceeds and other statutory revenues due to the Federation Account during the period.

But in the new document, the FAAC Sub-Committee confirmed that NNPCL had formally rejected the audit findings, insisting that no outstanding revenue is owed to the Federation Account for the period under review. The national oil company maintained that all crude oil proceeds and associated earnings were fully accounted for, disputing Periscope’s claims of significant underpayment.

But Periscope Consulting flatly disagreed with NNPC Limited’s defence, maintaining that its audit uncovered substantial gaps in remittances and that the alleged $42.37bn shortfall remained unresolved.

The report read, “UPDATE ON NNPC’S ALLEGED UNDER REMITTANCES TO FEDERATION ACCOUNT OF $42,373,896,555.00.

“NNPC Limited submitted their response regarding $42,373,896,555.00 under remittance to the Federation Account as contained in the report of Periscope Consulting. Recall that Periscope Consulting was the Consultant engaged by the Governors’ Forum to examine NNPC Limited under remittance to the Federation Account.

“NNPC Limited responded that all revenues due to the Federation have been properly accounted for and no outstanding amounts for the period under review.”

See also  Protest in Kaduna over Dangote–PENGASSAN face-off

This disagreement has pushed both sides into a stalemate, with the consultants accusing the oil company of providing explanations that do not reconcile with the audited data.

The FAAC sub-committee, noting the conflicting positions, directed that NNPCL and Periscope Consulting must meet jointly to harmonise records and “close out” the matter. It added that the reconciliation process remains ongoing.

“Responding, Periscope Consulting disagreed with NNPCL’s position; hence, the Sub-Committee directed that there should be a joint meeting with the two parties to close out on the issue. This assignment is work in progress,” it added.

The controversy marks the latest chapter in a prolonged dispute between state governments and the national oil company over transparency in oil revenue flows. In February 2025, FAAC suspended its monthly meeting due to a dispute between state governments and NNPC Limited over outstanding remittances.

The dispute over an estimated N1.7tn in revenues raised concerns over potential delays in revenue disbursement to states, which rely on FAAC allocations for budgetary commitments.

The Governors’ Forum commissioned Periscope Consulting amid complaints that NNPCL’s remittance practices, including handling of crude sales, domestic allocation, subsidy deductions, and JV cash calls, were opaque and inconsistent with expected inflows.

With oil receipts forming the backbone of FAAC disbursements, any alleged shortfall threatens state and local government finances, already strained by rising inflation and shrinking real revenue.

NNPC Limited, now operating as a limited liability company under the Petroleum Industry Act, has consistently defended its processes, claiming improved accountability and asserting that independent audits often misinterpret commercial and regulatory procedures governing its operations.

The latest face-off underscores deepening mistrust on both sides and places renewed pressure on FAAC to reconcile the books in the interest of fiscal stability.

Commenting on the issue, renowned Professor Emeritus of Petroleum Economics, Wumi Iledare, said the alleged $42.37bn under-remittance recorded between 2011 and 2017 reflects long-standing flaws in Nigeria’s pre–Petroleum Industry Act regime.

According to him, the former Nigerian National Petroleum Corporation operated with overlapping roles that made revenue reconciliation cumbersome and frequently disputed. Iledare described the controversy as a “legacy problem,” stressing that similar discrepancies can be avoided only through disciplined implementation of the PIA, real-time monitoring, and continuous independent audits.

He added that with transparent data and clear fiscal rules, future remittance disputes should not recur. Speaking in an interview, he said, “The alleged $42.37bn under-remittance from 2011–2017 simply reflects the weaknesses of the old pre-PIA system. The former NNPC had overlapping roles that made revenue reconciliation difficult and prone to disputes.

See also  Customs intercept N48.5m cannabis, seize N220m contraband in Kaduna

“The lesson is clear: fully implement the PIA, strengthen real-time monitoring, and enforce continuous independent audits. With transparent data and clear rules, issues like this should not arise again. It is a legacy problem. The future depends on disciplined implementation of the PIA.”

The Post-Mortem Sub-Committee further queried the NNPC Limited over gaps in its reporting on the utilisation of the 30 per cent Frontier Exploration Fund, a statutory deduction introduced to finance oil and gas exploration in frontier basins.

According to the committee’s review, NNPCL submitted utilisation records for the frontier exploration fund covering the period 2008 to 2024, spanning both the pre- and post-Petroleum Industry Act eras.

However, the sub-committee noted that the documents did not provide project-specific details, including a breakdown of expenditure for each basin where exploration activities were carried out. As a result, the committee wrote to NNPCL requesting a proper reconciliation that links each exploration project to the exact amount spent.

The sub-committee said it is still awaiting the company’s updated submission, adding that the reconciliation remains a work in progress. It explained, “The NNPCL had submitted the utilisation of the frontier exploration fund from 2008-2024, covering both the Pre and Post PIA. However, the Sub-Committee observed that there were no specifics on expenditure incurred on the exploration activities carried out in each of the funds.

“The committee had written to NNPCL requesting it to tie each project carried out within the Basins to the amount expended. The Sub-Committee awaits NNPCL’s response. This assignment is still a work in progress.”

The scrutiny follows a government-led probe into the 30 per cent Frontier Exploration Fund, aimed at ensuring transparency and proper utilisation of billions earmarked for oil and gas exploration across Nigeria’s frontier basins.

In a related development, the committee also reviewed outstanding liabilities owed by NNPCL to the Federal Inland Revenue Service and the Nigerian Upstream Petroleum Regulatory Commission for the period June to December 2023. The outstanding payments, totalling N2.03tn, are to be accounted for by the Office of the Accountant-General of the Federation.

The sub-committee confirmed that the amount has been incorporated into the ongoing reconciliation being handled by the Stakeholders Alignment Committee, which is expected to submit its final report to the Federal Ministry of Finance to conclude the matter.

See also  Morayo Afolabi-Brown admits ignorance in past criticism of Peter Obi

Data from FAAC documents show that the outstanding obligations comprise N1.19tn in NUPRC royalties and N843.28bn in FIRS taxes, accumulated over the seven months. Monthly breakdowns indicate the largest liability was recorded in August 2023, amounting to N470.25bn, followed by payments due in October and November.

The World Bank has accused NNPCL of failing to fully remit oil revenues to the Federation Account, thereby undermining fiscal transparency and macroeconomic stability.

The bank noted that while the company was corporatised in 2021 to operate as a commercial entity, it still retains monopolistic control over crude oil sales and foreign exchange inflows, leading to persistent gaps between reported earnings and actual remittances.

“NNPCL has remained a key source of revenue leakages,” the World Bank stated, urging the government to “strengthen oversight, ensure full disclosure of oil proceeds, and improve transparency in federation revenue management.”

The institution said the state-owned company has only been remitting 50 per cent of revenue gains from the removal of the Premium Motor Spirit subsidy to the Federation Account. It said out of the N1.1tn revenue from crude sales and other income in 2024, the NNPCL only remitted N600bn, leaving a deficit of N500bn unaccounted for.

“Despite the subsidy being fully removed in October 2024, NNPCL started transferring the revenue gains to the Federation only in January 2025. Since then, it has been remitting only 50 per cent of these gains, using the rest to offset past arrears,” the World Bank stated.

Since assuming office, the NNPCL Group Chief Executive Officer, Bayo Ojulari, has consistently pledged to entrench transparency, efficiency, and accountability in the company’s operations. He has repeatedly assured Nigerians and the global investment community that the company’s books would be transparent and that its dealings with the Federation Account would be fully compliant with fiscal rules.

However, despite these assurances, legacy issues from previous years, particularly allegations of under-remittance running into tens of billions of dollars, continue to cloud the company’s transparency drive.

punch.ng

FOLLOW US ON:

FACEBOOK

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

TUMBLR

INSTAGRAM

Continue Reading

Trending