Reps to investigate N8.4trn withheld by NNPCL

The House of Representatives on Wednesday, November 28, directed its Committees on Finance and Petroleum (Upstream and Downstream) to investigate allegations by the Revenue Mobilisation Allocation and Fiscal Responsibility Commission that the Nigerian National Petroleum Company Limited, NNPCL, withheld ₦8.48 trillion as purported petrol subsidies.

Additionally, the investigation will address findings in the Nigeria Extractive Industries Transparency Initiative, NEITI, report, which claims that the NNPCL failed to remit $2 billion (₦3.6 trillion) in taxes to the Federal Government.

The committees are also tasked with verifying the total unremitted revenue, labeled as under-recovery, from petrol sales by the NNPCL between 2020 and 2023.

In a related development, the House approved the 2025–2027 Medium Term Expenditure Framework, MTEF, and Fiscal Strategy Paper, FSP, paving the way for President Bola Tinubu to present the 2025 Appropriation Bill to the National Assembly next week.

The MTEF outlines a multi-year plan for public spending, setting targets for expenditure and fiscal policy to guide the budget process.

On the other hand, the FSP provides a framework for fiscal policy and medium-term macroeconomic planning, serving as a crucial element in preparing the annual budget.

President Tinubu had earlier transmitted the MTEF/FSP to the National Assembly on Tuesday, November 19, 2024, following the Federal Executive Council’s approval.

Key projections in the framework include an oil benchmark of $75 per barrel for 2025, a daily oil production target of 2.06 million barrels, an exchange rate of ₦1,400 to the dollar, and an annual Gross Domestic Product, GDP, growth rate of 6.4 percent.

During the session, the House resolved into the Committee of Supply to review the recommendations of the Committees on Finance, National Planning, and Economic Development.

Deputy Speaker Benjamin Kalu, who presided over the clause-by-clause deliberations, initially anticipated a smooth approval process with unanimous agreement.

However, the Minority Leader, Kingsley Chinda, altered the tone of the proceedings, signaling a more critical evaluation of the recommendations.