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NEITI’s Audit Report Inadequate, Misleading – PPPRA

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13 years ago

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The Petroleum Products Pricing Regulatory Agency (PPPRA) has debunked the audit report of the Nigeria Extractive Industries Transparency Initiative (NEITI) which said the agency should remit N4.423 billion to the Federal Government.
The Executive Secretary of the PPPRA, Mr Reginald Stanley, told newsmen in Abuja on Sunday that NEITI’s report “is steeped in inaccuracies and gross misrepresentation of facts.
“The report has glaring potential to mislead the public and further cast aspersions on the activities of the PPPRA as a key administrator of the Petroleum Support Fund (PSF),” Stanley stated
On July 29, NEITI released its 2009-2011 audit report on the oil and gas sector, recommending that the PPPRA should remit N4.423 billion, arising from “over-recovery’’ collected to the Federation Account for the period in review.
The report also ordered other establishments to refund various sums of money to the Federal Government.
“The PPPRA wishes to state unequivocally that the statement credited to the NEITI chairman is misleading and a gross misrepresentation of facts.
“We note with dismay, NEITI’s admission to the fact that it had no absolute control of its sources of data as they were derived information and data provided through its own independent auditors as well as companies doing business in the sector.
“Such over-reliance on secondary data must have accounted for the glaringly flawed computations presented in the report.
Stanley explained that the N4.423 billion ‘over-recovery’ that the PPPRA was asked to remit, was not correct, noting that only the NNPC still had an outstanding payment of about N3.98 billion to be paid into CBN’s account.
“The total over-recovery advised for the nine marketers in 2008-2009 amounted to N14,073,783,779.74; the total amount paid to the account with CBN was N6,966,185,316.65, with the sum of N3,126,587,419.98 net-off by the Federal Ministry of Finance.
He explained that “the PPPRA does not disburse or ‘warehouse’ subsidy funds as suggested by the report,’’ stating that the agency only processed documents submitted by marketers for subsidy payments.
“PPPRA merely verifies and processes import subsidy documents as submitted by marketers, while forwarding same to the Federal Ministry of Finance, which is statutorily charged with the responsibility of approving payments under the PSF scheme.’’
The Executive Secretary said there was need for NEITI to meticulously cross-check its facts and figures with relevant agencies before making such report public.
He said that it was instructive to note NEITI’s admission of the fact that it had no absolute control of its sources of data, adding: “such a possibly deficient source must have accounted for the glaringly subjective computations presented in the report’’.
The PPPRA boss said the agency was alarmed to discover that most observations and clarifications earlier made to the preliminary report were ignored and not reflected in the final report released to the public.
“We wish to advise that NEITI takes a second look at our initial observations and clarifications, while reconciling its figures with those of both the PSF and Federation Accounts.’’
Stanley affirmed that there was no discrepancy in PPPRA’s records and the CBN, where the PSF account was domiciled.
He said that the responsibility of payment shifted from PPPRA to the Ministry of Finance, following the introduction of the Sovereign Debt Statement and the Sovereign Debt Note in 2009.
The PPPRA chief said that the administration of the PSF contained checks and balances, which made it extremely difficult, if not impossible for just one organisation within the group to connive with marketers.
According to him, the PPPRA has been in the fore front of enthroning transparency and accountability in the subsidy scheme with the introduction of improved import documentation and inspection.
“The PPPRA has continued to serve the Nigerian economy with effective supply and distribution of petroleum products in the last two years.
“In December 2011, having observed the anomalies and challenges in the administration of the PSF Scheme, the agency commenced a process of reforms to sanitise the system and regain the confidence of Nigerians and stakeholders in the scheme.
“These initiatives, under the directive of the Minister of Petroleum Resources, Mrs Diezani Allison-Madueke, have recorded huge successes, resulting in improved import documentation regime and guaranteeing accountability of volume supplied.
“There was reduction in quantity of PMS consumed, improved PMS availability nationwide and we also banned loading from non-refinery/blending plant facilities in West Africa to prevent round-tripping and increased PMS days’ sufficiency.
“Similarly, PPPRA has effected reduction in PMS subsidy, reduction in the number of marketers under the subsidy scheme as well as even management of annual PMS subsidy budget, using LAYCAN programming.
“From the foregoing, we wish to advise that NEITI takes a second look at our initial observations and clarifications, while reconciling its figures with those of both the PSF and Federation Accounts.
“In as much as the PPPRA as a responsible and responsive government agency is not disinclined to constructive criticisms of any kind, it shall appreciate every effort by relevant organisations to adequately confirm their information before taking such to the public domain.

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Boat Mishap Kills Pastor, Wife And Church Members  In Brass Water

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7 days ago

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May 18, 2026

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A boat accident in Bayelsa state has killed a serving Pastor, Wife and other church members along Brass waterways
The sad incident happened at Odioama in Brass local government area of Bayelsa State when the Pastor, wife and  members of his church were in a programme.
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?Tide confirmed that the lifeless body of the Pastor’s wife has been found and deposited in a mortuary while the remains of her husband ,the Pastor is yet  to be recovered
as search party are still ongoing.
Although the real cause of the boat Mishap is not yet known as at the time of this report,  our Correspondent gathered  that the identities of the Pastor, wife and church members were not disclosed to the public.
The mishap, Tide gathered occurred on Friday morning when the church members were on a boat transit
The Bayelsa State government and the state police command are yet to issue official statement’s  on the sad accident
By: CHINEDU WOSU
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Rivers Workers Seek Scrapping Of Contributory Pension Scheme

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7 days ago

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May 18, 2026

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The Rivers State Council of  Nigeria Civil Service Union has called on the State Government to urgently scrap the contributory pension scheme, describing it as unfavourable to long-serving civil servants in the state.
Chairman of the union, Chukwuka Osuma, said this in an interview with newsmen in Port Harcourt,  recently.
Osuma said the current pension structure has continued to worsen post-retirement hardship for workers.
He noted that  the contributory pension scheme had failed to provide adequate retirement security for workers who had spent many years in service, especially those approaching retirement age.
According to him, civil servants who had served for more than 20 years were among the worst affected under the scheme, insisting that many retirees could no longer cope with prevailing economic realities.
He also  informed that the Union has made moves to showcase their concerns, pleading with Governor Siminalayi Fubara to abolish the pension policy and introduce a more favourable arrangement for affected workers.
“The union was not opposed to pension reforms, the contributory scheme should only apply to newly employed workers or those with fewer years in service”, he said.
Osuma explained that workers who had already spent decades in the civil service ought to remain under a more secure pension structure capable of guaranteeing stability after retirement.
The labour leader further noted that inflation and the rising cost of living had continued to erode the value of retirement savings, thereby increasing the suffering of pensioners across the country.
He also appealed to the state government to consider extending the years of service in the civil service from 35 to 40 years and the retirement age from 60 to 65 years.
Osuma argued that such adjustment had become necessary in view of present-day economic realities and changing conditions in the workplace.
The unionist also reviewed that similar policies had already been adopted in some sectors and jurisdictions, expressing optimism that the State could also implement the reforms for the benefit of workers.
He however, commended Governor Fubara for approving an N85,000 minimum wage for workers in the state, noting that the amount was above the national benchmark of N70,000.
Osuma also acknowledged the government’s efforts in the area of workers’ promotions and bonuses, but insisted that pension reforms and extension of years of service remained critical to the long-term welfare and stability of civil servants in Rivers State.
By: King Onunwor
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FG Begins South-West Tour To Promote New Cooperative Bank

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2 weeks ago

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May 13, 2026

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The Federal Government has launched the South-West zonal engagement and ministerial advocacy tour on the Cooperative Bank of Nigeria share capital mobilisation, sensitisation and cooperative sector digitalisation.
 Reports say the initiative was launched through the Federal Ministry of Agriculture and Food Security.
According to reports, the advocacy tour, organised by the ministry’s Federal Department of Cooperatives, began on Monday in Lagos.
Speaking at the event, the Minister of State for Agriculture and Food Security and Supervising Minister of Cooperative Affairs, Dr Aliyu Abdullahi, said the initiative was part of President Bola Ahmed Tinubu’s Renewed Hope Agenda.
Abdullahi described the exercise as a strategic effort to reposition the cooperative sector as a key driver of inclusive economic growth, financial inclusion, enterprise development, food security and national prosperity.
“Today represents a defining moment in our collective determination to reposition the cooperative sector as a major driver of inclusive economic growth, financial inclusion, enterprise development, food security and national prosperity,” he said.
The minister noted  the modern cooperative movement in Nigeria originated in the South-West following the 1934 Strickland Report, which led to the enactment of the Cooperative Societies Ordinance of 1935.
According to him, the decision to commence the sensitisation and share capital mobilisation tour in the region is symbolic, as it marks a return to the roots of cooperative development in the country.
Abdullahi said the advocacy tour was a direct outcome of resolutions reached at the 8th Regular Meeting of the National Council on Cooperative Affairs held in Abuja in March 2026.
He said the council approved the Renewed Hope Cooperative Reform and Revamp Programme, a comprehensive framework designed to strengthen the cooperative sector and align it with the administration’s goal of building a one-trillion-dollar economy.
“The reform programme focuses on seven strategic pillars, including governance reforms, cooperative financing and the establishment of the Cooperative Bank of Nigeria, digitalisation, capacity building, value chain development, inclusion of youths, women and persons with disabilities, and strategic partnerships,” he said.
He said the establishment of the Cooperative Bank of Nigeria and the digitalisation of the cooperative sector were the two major transformational initiatives under the programme.
“The Cooperative Bank of Nigeria is aimed at rebuilding a strong cooperative financial system capable of supporting cooperators, farmers, artisans, traders, SMEs, youths, women and persons with disabilities with accessible and affordable financial services,” he said.
Abdullahi emphasised that the proposed bank would be government-enabled but not government-funded.
“Government is not establishing the bank as an owner, nor will it rely on Treasury Single Account funds.
“The role of government through the FMAFS is to provide policy support, stakeholder coordination, regulatory facilitation and an enabling environment under the Renewed Hope Cooperative Reform and Revamp Programme,” he said.
Also speaking, the Lagos State Commissioner for Commerce, Cooperatives, Trade and Investment, Mrs Folashade Ambrose-Medebem, reaffirmed the state government’s commitment to cooperative sector transformation.
She described cooperatives as critical tools for promoting inclusive growth, grassroots productivity, food security, financial inclusion and community wealth creation.
Ambrose-Medebem said Lagos State would continue to support reforms and collaborate with stakeholders to ensure the successful implementation of the Renewed Hope Cooperative Reform and Revamp Programme (2025–2030).
“Together, let us build a cooperative ecosystem that is modern, transparent, digitally enabled, financially inclusive and globally competitive.
“Let us build cooperatives that not only mobilise savings, but also mobilise prosperity,” she said.
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