Disappearance of N11bn petroleum product depletes government revenue – Dogara

Speaker of the House of Representatives, Yakubu Dogara, on Wednesday disclosed that the disappearance of N11 billion worth of petroleum products belonging to NNPC at Capital Oil farm tank in Lagos, was of high national concern more especially with the present government’s advocacy on anti-corruption.
“This could jeopardise the national economy by possibly reducing the Government revenue thereby yielding a serious setback on the country’s struggle out of economic recession.
“The Committee should thoroughly investigate the matter and ensure that perpetrators are sanctioned accordingly so as to prevent re-occurrence and to also act as deterrent to others.
“These investigations are very critical but not aimed at witch hunting anyone. The Committee is hereby urged to work judiciously with the aim of alleviating the sufferings of our electorates (the masses) and fortifying the economy of the nation that may eventually bring the country out of the present economic recession,” Dogara said, while declaring the two-day investigative public hearing open at the National Assembly, Abuja.
Worried by the non-response of some of the stakeholders invited by the House Committee on Petroleum Resources (Downstream), Joseph Akinlaja who presided over the investigative hearing, issued a 24-hour ultimatum to Ifeanyi Uba, Chairman of Capital Oil and managing director of the NNPC Retail.
While reacting to the probe on Dual Purpose Kerosene (DPK), Dogara urged the committee to also “look into possible device of checking scarcity to avoid the possible consequence of adulterating Automotive Turbine Kerosene (ATK) as sometimes done to DPK because of their similarity which could result into unsafe situation for the Aviation Industry and the entire nation.”
The speaker represented by Pally Iriase, deputy majority whip, frowned at the scarcity of DPK for domestic use, adding that the product had become “scarce commodity and even when available, remains unaffordable for the majority people of the lower class that depend largely on it.
“The scenario forces most households to resort to the use of charcoal, saw dust and firewood for cooking which is hazardous to the environment more especially as it promotes desertification through deforestation.
“This trend is likely to get worse if the Federal Government does not embrace an agenda that adopts a definite, clear cut policy direction on kerosene that would lead to abundance of the product,” he urged.
In his remarks, Joseph Akinlaja, who issued the 24 hour ultimatum to the Capital Oil chairman, alleged that Ubah and Capital Oil have been evading being served the invitation.
While giving the position of Petroleum Pricing and Marketing Company (PPMC), Henry Nkem-Obi, disclosed that the sum of N2 billion out of the N11 billion has been paid by Capital Oil to NNPC.
Nkem-Obi explained that the Corporation sought the intervention of the security agencies when it discovered that Capital Oil had breached the agreement signed by the parties that no party should tamper with any petroleum products consignment in its custody without the knowledge of NNPC.
“We’ve since engaged in the process of negotiations for defaulting party to return products to storage or pay the cash equivalent. Capital Oil has paid N2 billion and negotiations to get the full payment are on-going,” Nkem-Obi informed the lawmakers.

 

KEHINDE AKINTOLA, Abuja