– Nigeria Senate
Nigeria Senate on Tuesday commenced probe of oil subsidy and under recovery regime operated by the administration of President Muhammadu Buhari, when subsidy was eventually removed .
The upper legislative chamber specifically frowned at the N9.3 trillion spent on the subsidy regime by Buhari from January 2021 to June 2023.
The Senate is also asking for a living wage for workers as a way of cushioning the effects of subsidy removal and as well, seeks for establishment of three functional refineries for local production and distribution of refined oil with a view to bringing down the pump price from N540 per litre to between N300 to N350 per litre .
The resolutions were sequel to a motion sponsored by Chiwuba Ndubueze.
Ndubueze in the motion titled : ” Need to Investigate the controversial Huge Expenditure on Premium Motor Spirit ( PMS) under the subsidy / under recovery regime by the Nigerian National Petroleum Company Limited ( NNPCL) “, said the step taken by President Bola Tinubu on subsidy withdrawal in May , was commendable but the regime needs to be investigated .
He specifically submitted that while within 10 years ( 2006 – 2015), federal government through NNPCL claimed N170 billion as under recovery , it expended whopping N843.121 billion on under recovery between January 2018 and January 2019 .
He said: “Very worrisome of the expenses made on subsidy/ under recovery by NNPCL during period under review , particularly from January 2021 to June 2023 , was N9.3trillion claimed to have been spent .
“The money as shown by available records , shows that in 2021, N1.42trillion was expended , in 2022 N4.3trillion and in the first six months of 2023 , N3.6trillion , totalling , N9.3trillion.”
Many of the senators who contributed to debate on the motion frowned at bogus expenses made on the subsidy regime by NNPCL and supported all the prayers sought for , in the motion .
The Senate accordingly resolved that its standing committees on Petroleum (Downstream ) , Petroleum ( Upstream ) and Finance should when constituted , carry out holistic investigation on all controversies surrounding subsidy and under recovery regime .
It also urged the NNPCL in conjunction with some major international oil companies ( IOCs) in Nigeria , to form three different consortium and build three refineries for stabilization of oil market and the Nation’s economy generally .
