The Senate, yesterday, cleared the air on the alleged missing $49 billion oil revenue as it said there was no missing fund as alleged, but un-remitted funds which should be remitted to the Federation Account.
The Senate, while adopting the Senator Ahmed Makarfi-led Finance Committee report on the alleged missing money as claimed by the former governor of Central Bank of Nigeria, CBN, Mallam Sanusi Lamido Sanusi, who is now the Emir of Kano, also rejected the Federal Government’s plan to remove the subsidy on the petroleum products, saying government should embark on sensitisation of the public because of the effects it would have on the common man.
The Senate further mandated its committee on finance to follow up and receive the forensic audit reports from the Auditor General of the Federation and the PriceWaterhouseCoopers, PWC, and also study and report back to the Senate as soon as possible.
On SURE-P funds
In a 21-point recommendation, the Senate accepted the subsidy deducted by the Nigerian National Petroleum Corporation, NNPC, from January 2012 July 2013 of US$5.254 billion (N813,803 billion) since it was certified by Petroleum Product Pricing Regulatory Agency, PPPRA, and appropriated by the National Assembly.
It asked NPDC, a subsidiary of the NNPC, “to remit to the Federation Account $447.8 million being balance of royalty and petroleum profit tax.”
According to the recommendation, “NNPC should refund and remit to the Federation Account $262 million being expenses it could not satisfactorily defend in respect of Holding Strategic Stock Reserve; Pipeline Maintenance and Management Cost and Capital Expenditure.”
Other recommendations include: “The President should prepare and present to the National Assembly supplementary budget to cover the expenditure in the sum of N90.693 billion ($585 million) for PMS subsidy for 2012 and N685.910 billion ($4.430 billion) for kerosene subsidy expended without appropriation by the National Assembly in 2012 and 2013.
“The Senate should, however, note that the proportionate expenditure (January 2012 to July 2013) was N813.8 billion ($5.254 billion) for PMS, while DPK was N486.57 billion ($3.512 billion).