Reps halt export expansion grant scheme, initiate probe

The export Expansion Grant scheme was initiated to provide vital incentive required for the stimulation of export oriented activities that will lead to significant growth of non-oil export.

The exporters are owed in the region of N117 billion.

To this end, the House mandated its Committee on Industry and Commerce to investigate the scheme and make appropriate recommendations in furtherance of judicious use of the grant and effective monitoring of its issuance.

In his lead debate, Sadiq Ibrahim, who decried the abuses in the implementation of the policy, expressed displeasure over non-involvement of the Legislature in the conception and implementation of the scheme.

He alleged that the some Nigerians who were beneficiaries of the scheme have turned into billionaires who exploit the inherent weaknesses of the scheme to the detriment of genuine exporters, while the scheme failed to achieve its set objectives.

“The House noted that the administration of President Goodluck Jonathan suspended the issuance of the 30 percent EEG to exporters due to the abuses of the scheme given that if not properly administered, will lead to substantial loss of revenue to the Government without achieving the objectives outlined in the policy,” he said.

He further observed that the scheme was intensely investigated by a committee headed by late Waziri Mohammed during the regime of the former President, Olusegun Obasanjo, following which some exporters were made to refund billions of naira to government coffers.

Sadiq who accused the implementing agencies of conniving with some of the exporters, further alleged that monies paid from revenue accrued to Nigeria Customs Service, impact negatively on the targeted revenue of the country.

While stressing the need to investigate the scheme with he view to identify areas of weaknesses and block them, the lawmaker stressed that Nigeria could again witness very serious incidences of revenue shortfalls as the certificates are used only for the payment of customs duties.

In his remarks, Hassan Saleh, alleged that 90 percent of the beneficiaries indulged in sharp practices by conniving with their foreign partners to defraud Nigerians.

Saleh who described the scheme as another conduit pipe for corruption, called for the investigation of the implementing agencies.

Also speaking, Sunday Karimi, called for the suspension of the scheme considering the economic recession.

While ruling on the motion, Speaker Yakubu Dogara mandated the committee to investigate the scheme and report back to the house within six weeks.