By Emman Ovuakporie
The House of Representatives has mandated its Committees on Finance, Petroleum Resources (Upstream), Petroleum Resources (Downstream) and Gas Resources to conduct an in-depth probe into the consolidated Inventory, Assets, Interest and Liabilities of the Nigerian National Petroleum Corporation, NNPC and its subsidiaries to ensure a legitimate transition process of NNPC/NNPC Limited.
TheNewsGuru.com, (TNG) reports this was sequel to a motion entitled “Need to Ascertain the Total Consolidated Inventory, Assets, Interests and Liabilities of the Nigerian National Petroleum Corporation (NNPC) and its Subsidiaries Before Transfer to the NNPC Limited to Ensure a Glossary Accounting System” promoted by Rep Isiaka Ibrahim(APC, Ogun State) on Wednesday.
Ibrahim in his submission noted that the Nigerian National Petroleum Corporation (NNPC) was established on April 1, 1977, as a merger of the Nigerian National Oil Corporation and the Federal Ministry of Petroleum and Energy Resources.
He explained that the NNPC is empowered to manage the joint venture between the federal government and
several foreign multinational corporations with assets and interests on land, swamp, continental shelf and
“In 1988, the NNPC was commercialized into 12 strategic business units covering the entire spectrum of oil industry operations including exploration and production, gas development, refining,
distribution, petrochemicals engineering and commercial investments among others.
“In line with Section 53 (1) of the Petroleum Industry Act (PIA), the Nigerian National Petroleum Company Limited was registered and incorporated by the Corporate Affairs Commission on September 22nd, 2021 as a Limited Liability Company with an initial capital of N200 Billion, which was regarded as the highest share capital holding in Nigeria.
“Section 53 (3) of the PIA, which vests ownership of the NNPC Limited on the Federal Government through the Ministry of Finance, which are both financed by the Nigerian People, but recognizes NNPC limited as an Agent.
“Section 88 of the Constitution of the Federal Republic of Nigeria, 1999 (as amended) empowers the National Assembly to carry out investigations into matters to which it has powers to make laws, he said.
The lawmaker said the House should consider his motion cognizant of the need to boost investors’ confidence and enhance transparency and efficiency in the supply chain management of the newly established NNPC Ltd owing to the outstanding credit sales and the much-needed revenues by the Federal Government to support annual budgets.
The House adopted the motion and urged its relevant committees to report back within eight (8) weeks for further legislative inputs.