Welcome, Guest: Join Nairaland / LOGIN! / Trending / Recent / New
Stats: 2,423,357 members, 5,437,597 topics. Date: Sunday, 23 February 2020 at 12:50 PM

Buhari, Baru Have Made NNPC Worse: PUNCH - Politics - Nairaland

Nairaland Forum / Nairaland / General / Politics / Buhari, Baru Have Made NNPC Worse: PUNCH (19515 Views)

Photos As President Buhari, Baru, Kyari Meet In Abuja / NNPC Group Managing Director, Baru Retires At 60 (photos) / Ibe Kachikwu Shakes Baru At The Nigerian Economic Summit, Earlier Today (2) (3) (4)

(1) (2) (3) (Reply) (Go Down)

Buhari, Baru Have Made NNPC Worse: PUNCH by engineerboat(m): 2:34pm On May 28, 2018
ACCUSTOMED to meeting most of their financial obligations from their monthly share-out of the Federation Account, Nigeria’s 36 state governors were recently confronted with less-than-expected offers from the pool. Under-remittances from the state oil company and some other agencies mean less revenue for states battling rising costs, high debts, deficits and an impending election cycle. The chickens the President Muhammadu Buhari-led Nigerian National Petroleum Corporation hatched are coming home to roost.

The alarm raised earlier this month by the states’ commissioners of finance that expected remittance to the Consolidated Revenue Fund of the Federation from the NNPC shifted to near-panic mode at state houses last week. Two consecutive meetings of the Federation Accounts Allocation Committee – a gathering of the Minister of Finance and the states finance commissioners – ended without agreement as delegates rejected alleged under-payment by the NNPC.

Fresh confirmation of our untidy national book-keeping practices has just come from an audit report prepared by KPMG and commissioned by the National Economic Council. The report found that 18 federal revenue federating agencies withheld the sums of N526 billion and $21 billion from the Federation Account between 2010 and June 2015. NEC, chaired by the Vice-President, includes the finance minister and the state governors who are understandably livid at the continuation of a system that allows the NNPC especially, to carry on as usual.


They woke late to the posers this newspaper has been raising over the oil company’s dangerous monopoly on refined petroleum products since September; its unverified claims on volumes imported and distributed; its self-regulation; its runaway self-imposed habit of subsidising petrol, and virtual autonomy under an inattentive President who has also made himself the petroleum minister.

Now, governors are finally waking up to the dangers. They should have spotted the booby trap when the NNPC gleefully announced that it was now the sole importer of petrol after independents left the field, citing losses arising from a landing price then of N171 per litre compared to the regulated price of N145 per litre ceiling. The alarm should have been louder when, first, the NNPC said it would absorb the losses and quaintly labelled it “under-recoveries,” and, next, claimed the improbable supply figure of 55 million litres per day. A healthy scepticism would have prompted independent checks much earlier than now to safeguard public funds. Now that landing cost is N191 per litre, NNPC is heartily subsidising on our behalf while we pick up the bills.


In between, Maikanti Baru, Group Managing Director, claimed the company incurred $5.8 billion in two months. In January this year, petrol imports cost N1.4 trillion.

Improbability has given way to incredulity: governors have now taken a cue from The PUNCH in questioning the new figure of 60 million litres supplied per day and Baru’s vow to bring in 100 million litres per day for two months.

Neither Buhari nor the lazy, distracted National Assembly can run away from providing answers to the governors’ posers. Who verifies the NNPC’s import and expenditure claims? There should be a thorough investigation of the company’s operations to ascertain how much petrol comes into the country and where they go. It stretches the imagination that the neighbouring markets of Benin Republic, Niger Republic, Togo, Cameroon, Chad and Ghana can absorb the excess over the 35 million litres per day claimed by the NNPC as our national demand.


More importantly, we should stop the national folly of continuing to allow vested interests to prevent the privatisation of the NNPC’s four loss-making refineries and liberalising the oil downstream. Buhari and Baru are driving the economy that shrank to 1.95 per cent in the last quarter aground. Rather than sell them post-haste, Baru, in accordance with the retrogressive presidential fiat to make them work “at any cost,” is on a forlorn, unworkable drive to attract investors who will provide funds but will not own. Such shallow thinking and convoluted rigmarole have ensured that the refineries cannot meet local demand and continue to accumulate operating losses over the last three decades (group losses of about N546 billion in the three years to 2017). The refineries lost N82.09 billion in 2015, N78.95 billion in 2016 and a report by Bloomberg puts recent losses at the NNPC HQ and the refineries at about $500 million.

Baru’s acrobatics of wooing the original builders and others to invest in refurbishing them are not viable. As long as the NNPC remains a major player in the downstream, operators will continue to flee the local market as Chevron, Texaco, Mobil have done, leaving only the bold and influential Dangote on whose upcoming 650,000 bpd Lekki refinery lies the country’s sole hope of breaking the NNPC stranglehold.

Opaque, self-regulating and over-politicised, the NNPC’s losses pale in contrast to the strong showing of other SOEs like Norway’s Equinox (formerly Statoil), Brazil’s Petrobas and Gulf oil majors that all posted rebounds in 2017 as oil prices rallied. The world eagerly awaits the flotation of Saudi Aramco whose owner, Saudi Arabia, is reforming its economy away from oil dependency and opening up to global investors. Nigeria must follow suit.

Buhari should relinquish the petroleum resources portfolio and reconstitute the NNPC board to allow for reformers from outside the rotten NNPC system. In line with his electoral promise, Buhari should follow the advice of Governor Nasir el-Rufai of Kaduna to “kill the NNPC” to make way for a new entity to emerge and meet national aspirations. A recent report that depots and pipelines that are not even fully utilised drained N174 billion reinforces why the NNPC should exit the downstream sector completely and concentrate on its core function as a holding company.

In the meantime, the parliament should launch an all-out probe into the fuel import system and the refineries. Governors should not stop at insisting on full remittance of all funds due to the CRF, they should go to court to demand their rights.

https://www.punchng.com/buhari-baru-have-made-nnpc-worse/amp/

22 Likes 5 Shares

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by abokibuhari: 2:37pm On May 28, 2018
grin Nothing to say about Nigeria, cause I tire for the useless country

32 Likes 1 Share

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by melodyogonna(m): 2:44pm On May 28, 2018
What good can come out of the head of Baru and his terrorist master? None!!!!

108 Likes 4 Shares

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by 4kDdullard: 2:44pm On May 28, 2018
Criminal government. Nigerians need to protest for the restructuring or division of this useless Lord Lugard estate. God punish Lugard where he is now, may his soul never find peace.What has an Igbo man got in common with Aboki?

92 Likes 5 Shares

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by Nobody: 2:44pm On May 28, 2018
APC killing the economy as always

What a country

49 Likes 1 Share

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by yemmight(m): 2:49pm On May 28, 2018
I remember when Ibe Kachukwu started with NNPC with a promising future. Buhari brought Karu and they destroyed every good things Ibe has done.

80 Likes 7 Shares

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by Paperwhite(m): 2:50pm On May 28, 2018
Now, governors are finally waking up to the dangers. They should have spotted the booby trap when the NNPC gleefully announced that it was now the sole importer of petrol after independents left the field, citing losses arising from a landing price then of N171 per litre compared to the regulated price of N145 per litre ceiling.
The alarm should have been louder when, first, the NNPC said it would absorb the losses and quaintly labelled it “under-recoveries,” and, next, claimed the improbable supply figure of 55 million litres per day.


A healthy scepticism would have prompted independent checks much earlier than now to safeguard public funds. Now that landing cost is N191 per litre, NNPC is heartily subsidising on our behalf while we pick up the bills.
In between, Maikanti Baru, Group Managing Director, claimed the company incurred $5.8 billion in two months. In January this year, petrol imports cost N1.4 trillion.
Improbability has given way to incredulity: governors have now taken a cue from The PUNCH in questioning the new figure of 60 million litres supplied per day and Baru’s vow to bring in 100 million litres per day for two months.

The corruption presently going in the this fraudulent APC Government is just unimaginable.

83 Likes 1 Share

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by TANKDESTROYER(m): 2:53pm On May 28, 2018
CHANGE!!!!!

2 Likes 1 Share

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by TANKDESTROYER(m): 2:53pm On May 28, 2018
CHANGE!!!!! CHANGE!!!!!! CHANGE!!!!!!!!

5 Likes 1 Share

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by SamuelAnyawu(m): 2:55pm On May 28, 2018
Sai Baba There grin grin grin


A law Maxim "Nemo Dat Quod Non Habet" literally means "You Cannot Give What You Do not Have"




Senator Samuel Anyanwu for Governor Imo 2019.

God Bless PDP.

God Bless Imo State

19 Likes

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by three: 2:56pm On May 28, 2018
Indeed
Re: Buhari, Baru Have Made NNPC Worse: PUNCH by MrsNwaAmaikpe(f): 2:57pm On May 28, 2018
shocked shocked

1 Like

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by happney65: 2:57pm On May 28, 2018
omolola15 my guy who do we blame again?Blame Obasanjo,Yaradua,Sonekan and GEJ..Blame them all isn't it?But leave Buhari alone..Just leave him alone as he is nothing but a Saint..Hehehehhehehehhehehehehe

19 Likes

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by dynicks(m): 2:57pm On May 28, 2018
watch zombies tag "The punch" as an ipob media house....

just stay put nd watch..

45 Likes 2 Shares

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by BackToLife: 2:57pm On May 28, 2018
Igbos and Yorubas and all the Southerners better unite before it's too late. Our enemy has mastered how to throw peanuts to us from our own wealth/resourses and use us against one another. Now or never, we better put aways myopic and senseless tribalism now! The situation can still be savaged, the South should manup, braveup, unite and produce the next President, we deserve it! By now I expect our People in the South to be doing serious secret meetings because the enemy that wants to permanently enslave them, their Children and future Generation won't stop unless the South unite to do the needful. "A Word..."

42 Likes 4 Shares

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by NairaMaster1(m): 2:58pm On May 28, 2018
Buhari Lacks conscience.

7 Likes

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by Realdeals(m): 2:58pm On May 28, 2018
grin

1 Like

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by three: 2:58pm On May 28, 2018
This story is prophetic!

Nigeria's funds are being CLEANED OUT!

Under the guise of a Mai Gaskiya and his so called Anti-corruption fight!


This goverment will at its end probably go down as the most kleptomanic (and Kakistocratic) with Abacha's in second place.


.

http://thenationonlineng.net/buhari-pressure-25b-nnpc-deals-others/

https://www.vanguardngr.com/2017/10/buhari-baru-sued-alleged-illegal-appointments-nnpc/amp/

17 Likes 1 Share

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by awa(m): 2:58pm On May 28, 2018
They will deny it

2 Likes

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by Queenext: 2:58pm On May 28, 2018
Bubu is a cow

2 Likes

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by gurunlocker: 2:59pm On May 28, 2018
One promise I still hold on to is that of kachukwu saying if they do not have all refineries working by 2019, then they have failed.. We have 1 year to go.

19 Likes

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by Adfolak(m): 3:00pm On May 28, 2018
what do you expect before??

1 Like

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by maxiuc(m): 3:00pm On May 28, 2018
wink wink wink grin grin
Re: Buhari, Baru Have Made NNPC Worse: PUNCH by tommykiwi(m): 3:00pm On May 28, 2018
Am not surprised! What do you expect from two NEPA certificate holders? 2019 we will send both back to where they rightly belong.

10 Likes 1 Share

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by desmondDessi(m): 3:00pm On May 28, 2018
the dullllllllard

4 Likes

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by Memphis357(m): 3:01pm On May 28, 2018
Thievery with authority!!!!
Omenka, Madridguy,Sarrki!!!!!
Where una dey oooooooooo? Report to this thread with automatic alacrity!!!!!

12 Likes

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by PointZerom: 3:01pm On May 28, 2018
CHAINge indeed.

4 Likes

Re: Buhari, Baru Have Made NNPC Worse: PUNCH by Kingdolo(m): 3:01pm On May 28, 2018
Ok
Re: Buhari, Baru Have Made NNPC Worse: PUNCH by fulaniHERDSman(m): 3:01pm On May 28, 2018
angry

3 Likes

(1) (2) (3) (Reply)

APGA Member Murdered In Abia, Corpse Dumped By The Roadside. Graphic Photo / Adeosun: PMB Waiting For Conclusion Before He Takes Action - Lai Mohammed / Buharist Hangout To Purchase N55m Form For PMB, Writes Campaign Dg(photo)

(Go Up)

Sections: politics (1) business autos (1) jobs (1) career education (1) romance computers phones travel sports fashion health
religion celebs tv-movies music-radio literature webmasters programming techmarket

Links: (1) (2) (3) (4) (5) (6) (7) (8) (9) (10)

Nairaland - Copyright © 2005 - 2020 Oluwaseun Osewa. All rights reserved. See How To Advertise. 100
Disclaimer: Every Nairaland member is solely responsible for anything that he/she posts or uploads on Nairaland.