Reps pick another hole in oil revenue generation by NNPC
Fresh facts from the House of Representatives have shown that the Nigerian National Petroleum Corporation (NNPC) failed to justify the increased revenue accrued from the sale of the 2.4 million barrels per day oil lifted in the second quarter of 2011.
The Farouk Lawan ad hoc committee conducting investigative public hearing on subsidy management is expected to meet with relevant stakeholders today in order to unravel the mystery behind the hike in the NNPC’s budgetary provision of N300 billion to N1.7 trillion in the 2011 fiscal year.
Some of the companies operating in the oil and gas sector had over the past three weeks testified before the panel, while those who directly and indirectly benefitted from the ‘subsidy boom’ gave their positions.
Farouk in a statement obtained by BusinessDay, pledged to “give all those involved in the management of subsidy regime fair hearing and solicited their cooperation by submitting the required documents which shall include letters of credit, bills of lading, certificates of discharge and any other documents which in their judgement are relevant to the work of the committee.”
The House of Representatives Appropriation Committee during the scrutiny of the provisional data from NNPC for the period under review learnt that the average oil lifting (including condensates) increased when compared with the 2011 first quarter figure of 2.43 million barrels per day and significantly exceeded the budget benchmark oil production level of 2.3mbpd.
