NNPC Gets Backlash From Senate Over Failure To Remit N3.87 trillion Revenue

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The Nigerian National Petroleum Corporation (NNPC) received backlash from the Senate after it failed to remit N3.87 trillion revenue from domestic crude oil sales to the federation account from January to December 2015.

This was contained in a statement released on Wednesday, by the Special Assistant on the press to the Senate President, Ezrel Tabiowo, in which it states that the upper chamber has directed the corporation to put an end to deduction at source as this contravenes Section 162(1) of the 1999 Constitution (as amended).

The Senate directed the Federation Accounts Allocation Committee (FAAC) as well as other approving authorities to approve the agreed percentage which should be allocated to NNPC monthly as an operational cost to ensure that their operations are not adversely affected.

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Tabiowo pointed out that these formed some of the 59 recommendations adopted by the Senate and contained in the committee’s report on public accounts on the latest annual report of the auditor-general for the federation.

In recent months, deductions from NNPC revenue to pay for petrol subsidy have cut down the monthly remittance accrued to the FAAC.

In April, the NNPC had projected zero monthly remittance to the FAAC for May.

According to reports, it had also estimated to deduct N114.3 billion from its June remittance to the FAAC — due in July.

About Author

Victor Okeh is a graduate of Economics from Lagos State University. He is versatile in reporting business and economy, politics and finance, and entrepreneurship articles. He can be reached via – [email protected]

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