Editorial
NNPC Probes And War Against Corruption
The House of Representatives recently set up an ad-hoc
committee to probe the Federal Government’s subsidy payments approved by the
Petroleum Products Pricing Regulatory Agency (PPPRA), a subsidiary of the
Nigerian National Petroleum Corporation (NNPC).
The ad-hoc committee is the fallout of the controversy
surrounding the huge payments of
N1.3trillion credited to petroleum products importers, including the NNPC,
which made the President Goodluck Jonathan administration to announce the
withdrawal of subsidy on petrol with effect from January 1, 2012.
The subsidy withdrawal, which triggered a one-week
nationwide strike and protests by the Nigeria Labour Congress (NLC), Trade
Union Congress (TUC), and civil society organisations (CSOs), brought to the
front burner, once again, the critical issue of unbridled corruption in the oil
and gas industry.
In the wake of the suspension of the industrial action by
organised labour, the Minister of Petroleum Resources, Mrs Diezani
Alison-Madueke, had announced sweeping measures to investigate the malfeasance
and the corrupt manipulation of the subsidy regime by unscrupulous officials of
the NNPC, including setting up committees to audit the process, and recommend
strict disciplinary measures against those found wanting. The minister also
requested the Economic and Financial Crimes Commission (EFCC) to investigate
those involved in the subsidy management process, and prosecute anyone found
culpable of corrupt practices.
A Senate committee had also been investigating the alleged
disappearance of N450billion from the Federation Account, after the National
Revenue Mobilisation, Allocation and Fiscal Commission (NRMAFC) had accused the
NNPC of diverting the said sum, which it claimed should have formed part
of the revenue from crude oil sales that
was denied the three tiers of government in 2010.
Indeed, the efforts to unmask the sharp practices in the
downstream sector of the oil and gas industry marks a turning point in the
anti-corruption war of the Federal Government.
For us, this is the first bold step to fight corruption headon in the
country.
We say so, because, since the beginning of the House ad-hoc
committee’s investigation into the subsidy saga, a whole gamut of
inconsistencies have emerged from the various government ministries,
departments and agencies that have volunteered information at the committee’s
hearing.
From the Ministry of Petroleum Resources, PPPRA, Ministry of
Finance to the Central Bank of Nigeria (CBN), it is obvious that the
manipulations that characterised the subsidy regime had been a conduit pipe for
siphoning huge public funds at the detriment of the infrastructural development
of the nation; and the wellbeing of Nigerians. If from a budget allocation of
N450billion, the government had paid out about N1.736trillion as at December
31, 2011, we think that some people must be held to account for the money.
The Tide believes that the on-going probe of the subsidy
regime, is a significant step in the fight against corruption in the country.
Given that the oil industry is the nation’s largest revenue earner, and
contributes more than 85 per cent of Nigeria’s Gross National Product (GNP), we
feel that a successful war against corruption in the sector will be a great
victory in the anti-graft crusade because other indices of sharp practices
within the economy would naturally fall in line.
This is why we challenge the House ad-hoc committee probing
the alleged sharp practices in the subsidy regime to ensure that no stone is
left unturned in unravelling the sharp manipulations, those involved and their
sponsors. The committee should also ensure that appropriate laws are invoked
and the relevant anti-graft agencies engaged to arrest and prosecute
collaborators in this menace.
Besides, the committee must critically examine the KPMG
Audit Reports and the several audit reports of the Nigeria Extractive
Industries Transparency Initiative (NEITI), which indicted the NNPC, and ensure
strict implementation of such damning recommendations. We insist that those
indicted should be arrested, and prosecuted.
This probe should not be treated like previous inquiries
into misappropriations in government, which till date have not gone beyond the
submission of reports and recommendations; or empty promises to deal with those
found culpable. The rot in NNPC has dragged this nation down for too long, and
must be tackled now, once and for all.
The momentum created by the subsidy withdrawal, strike and
eventual probe should not be allowed to fizzle out without those responsible
held to account. This is the time to make a frontal attack against economic
saboteurs, and ensure that the impact of the transformation agenda of
government is felt by the ordinary Nigerian.
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