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FG begins probe of NNPC over N2.7trn fuel subsidy claim
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By Kayode Sanni-Arewa
The Federal Government has begun the proposed audit of the N2.7tn fuel subsidy claim by the Nigerian National Petroleum Company Limited, The PUNCH has learnt.
An audit firm, KPMG had conducted an initial audit reducing the claims from N6tn to N2.7tn.
However, in the new audit, the government said it had approved the engagement of the Office of the Auditor General of the Federation to verify the claims made by the corporation regarding the amount the government owes the oil firm.
This process was confirmed by the Director, Home Finance, Ali Mohammed, during the April 2024 Federal Account Allocation Committee meeting.
The government said an update on the issue would be provided during the May FAAC meeting.
Recall last month that the audit would span from 2015 to 2021, aiming to verify the authenticity of NNPC/Federation Account claims on the N2.7tn while it considered hiring an external audit firm.
On May 30, 2023, a few hours after the “subsidy is gone” declaration by President Bola Tinubu, the NNPCL Group Chief Executive Officer, Mele Kyari, told State House correspondents that the federal government still owes the firm the sum of N2.8tn spent on petrol subsidy.
While saying the NNPCL footed petrol subsidy bills from its cash flow, Kyari said the government had so far been unable to pay back the N2.8tn.
He said “Since the provision of the N6tn in 2022, and N3.7tn in 2023, we have not have not received any payment whatsoever from the Federation.
“That means they (the Federal Government) are unable to pay and we’ve continued to support this subsidy from the cash flow of the NNPC. We are waiting for them to settle up to N2.8tn of NNPC’s cash flow from the subsidy regime and we can’t continue to build this.”
However, a copy of the minutes of the FAAC meeting obtained by our correspondent, however, revealed that the government had begun the audit of the N2.6tn subsidy claim.
The minute read in part, “On the forensic audit covering the period 2015 to 2021 to authenticate NNPC/Federation claims in respect of N2.7tn withheld by NNPC Limited: The Director, Home Finance informed members that the process of the forensic audit of NNPC Limited as reported at the last meeting was in progress. He assured that an update would be provided on the matter at the next meeting.”
Members of the committee also bemoaned the refusal of the NNPCL to comply with the revised exchange rate of N693.50/$1 in converting federation revenue.
According to them, NNPCL has declined to adhere to the revision of the May 2023 Central Bank of Nigeria exchange rate from N436.38/$1 to N621.86/$1, and subsequently to N693.50/$1, as instructed by the CBN.
On the refusal by NNPC Ltd to comply with the revised exchange rate of N693.50/$1 in converting Federation revenue, the Vice Chairman, Post-Mortem Sub-committee, warned that “If NNPC Ltd continues to disregard the use of the agreed rate without presenting any authority to that effect, FAAC will be left with no option but to take appropriate action to recover the Federation funds.”
The minute further read, “At the last meeting of FAAC, it was reported that there was a review of the May 2023 CBN Exchange rate from N436.38/$1 to N621.86/$1 and a further review to N693.50/$1 in line with the directive of CBN. NNPCL was directed to comply with the revised exchange rate of N693.50/$1 and re-compute all the Royalties, Taxes and other revenue items for May 2023 and revert.”
The official informed the meeting that at the April 2024 meeting of the sub-committee, NNPCL complained that the proposed review would result in a refund of N16,829,747,742.96 to the Federation Account by the company.
He concluded that the sub-committee expected that the Federation Account be refunded the amount of the exchange rate but NNPCL used it to defray the subsidy claim. He recommended that FAAC should decide on the matter.
He recalled that the sub-committee had reported the implication of the “weighted average rate” on PMS computation and discovered that the exchange rate differential for the period of June to December 2023 was N937,961,442,969.83, contrary to the NNPCL claim of N1,675,920,811,819.
He stated that the Sub-committee recognised only the exchange rate that was backed by law and that NNPCL was mandated to provide authorisation for the use of weighted average exchange rate on PMS Dollar payments. He disclosed that NNPCL in response, requested the Sub-committee to write the company officially to enable the release of the NEC approval on the issue.
He suggested that NNPC Ltd should be called to order and hoped that the matter could be resolved amicably with the company.
The Oyo State Commissioner for Finance, Akinola Ojo, also proposed that NNPC Ltd should be made to refund the money even if by next month, a resolution could not be reached on the issue.
Source: The Punch
News
UNN Dismisses Report Of Mass Abduction Of Students
The management of the University of Nigeria, Nsukka (UNN), has dismissed a social media report alleging an impending terrorist attack and mass abduction of students on its Nsukka campus, describing the claim as false and unverified.
The university said there is no credible security intelligence or verified threat supporting the online post currently circulating among students and members of the public.
In a statement issued by the acting public relations officer of the institution, Inya Agha Egwu, the management said the report is unsubstantiated and should be disregarded.
Egwu, however, said the university has taken precautionary measures to further strengthen security across the campus in line with its commitment to the safety of students, staff, and visitors.
According to him, the measures include the deployment of personnel of the Nigeria Police Force and the Nigerian Army to key entry points, working alongside the university’s internal security unit.
He added that some access gates to the Nsukka campus would be temporarily closed to improve monitoring and control of movement in and out of the institution.
The statement also announced the suspension of motorcycle operations within the campus, adding that only authorised security personnel would be allowed to use motorcycles inside the university premises.
Staff who commute using motorcycles were advised to park them at designated areas outside the campus before proceeding to their workplaces.
Egwu urged members of the university community to remain calm and continue their normal academic and administrative activities without fear.
He also warned against the spread of unverified information, noting that such reports could create unnecessary panic and disrupt the peace of the institution.
“Members of the University community are urged not to spread unverified information capable of creating unnecessary anxiety,” he said.
The university further encouraged students and staff to report any suspicious activity to security authorities, stressing that security remains a collective responsibility.
News
Sowore Faults MTN CEO’s Claim On Unlimited Data, Threatens Nationwide Protest
Activist and African Action Congress (AAC) 2027 presidential candidate, Omoyele Sowore, has challenged claims by the Chief Executive Officer of MTN Nigeria, Karl Toriola, that unlimited mobile data plans are virtually non-existent globally unless subscribers pay extremely high fees.
Sowore, in a post on his X handle on Sunday, described the MTN boss’s assertion as false, insisting that millions of consumers across the world have access to unlimited or effectively unlimited mobile and broadband data plans at prices he said are more affordable relative to local incomes than what Nigerians currently pay.
The activist’s reaction came after Toriola made the remarks during a press conference titled: “Data on Trial” held in Lagos where the MTN chief argued that unlimited data plans are not sustainable on mobile networks without compromising service quality.
“The issue of unlimited data on mobile network, it does not exist anywhere in the world, except you are paying $400 a month or whatever. There are high bundles and fair usage policies,” Toriola said.
He added that network capacity constraints make unrestricted data offerings impractical at low prices.
“On mobile networks, it does not really exist. There is a limit, because you can never build enough capacity for everyone to be on an unlimited bundle and you think you will provide quality service that will be decent,” he said.
Responding, Sowore dismissed the claim, insisting it does not reflect global market realities.
“Liars,” Sowore wrote.
He argued that many countries still provide consumers with unlimited or near-unlimited data plans at relatively affordable rates compared to income levels.
“Millions of consumers around the world enjoy truly unlimited or effectively unlimited broadband and mobile data plans at prices that are often cheaper, relative to income, than what Nigerians pay for far less service,” he said.
Sowore also criticised the quality and cost of telecommunications services in Nigeria, calling for improved consumer outcomes.
“Nigerians deserve affordable, reliable, and genuinely consumer-friendly telecommunications services, not endless tariff hikes, poor network quality, and excuses,” he wrote.
He further escalated his position, hinting at possible mass action against the telecom operator.
“The time to #OCCUPYMTN nationwide is fast approaching!” he added.
The exchange comes amid renewed public debate over telecommunications pricing in Nigeria following tariff adjustments approved by the Nigerian Communications Commission (NCC).
Earlier in 2025, the regulator approved increases of up to 50 per cent in voice, SMS, and data tariffs, citing inflationary pressures, naira depreciation, and the need to sustain investment in the sector.
MTN Nigeria has defended the adjustments, maintaining that Nigeria remains among the cheapest markets globally for mobile data services despite the increases.
However, critics, including Sowore, argue that consumers in several countries continue to enjoy better service quality and more affordable unlimited data offerings, intensifying the debate across social media platforms.
News
Only authorised agencies can enforce laws, Ramaphosa condemns Xenophobia
South African President Cyril Ramaphosa has reiterated his government’s commitment to lawful migration management, stressing that violence, intimidation, xenophobia and the spread of misinformation have no place in the country.
Addressing the nation on Sunday, Ramaphosa outlined actions and behaviours that he said are unacceptable, including unauthorised individuals demanding documentation or proof of nationality, blocking access to public services, and acts of violence against foreign nationals.
The President also condemned racism, sexism, xenophobia, Afrophobia and other forms of intolerance, as well as the spread of misinformation, incitement and fake news on social media.
According to Ramaphosa, employers who exploit undocumented workers are equally engaging in conduct that cannot be accepted.
“Only authorised law enforcement agencies may act against violations of the law,” the President said, adding that “all people must be treated with dignity and respect,” regardless of their nationality or immigration status.
Ramaphosa also announced the adoption of a Comprehensive Approach for Migration Management aimed at strengthening border security, enforcing immigration laws, tackling corruption and closing policy loopholes as part of efforts to address illegal immigration in South Africa.
The President said the plan was approved by Cabinet last week and endorsed by the President’s Coordinating Council, which comprises premiers, local government representatives and traditional leaders.
“As government our objective is clear. We want a South Africa where every person who enters the country does so lawfully; a South Africa where immigration laws are respected and enforced; a South Africa where businesses compete fairly; a South Africa where communities feel safe and secure, and a South Africa that remains true to its constitutional values and its commitment to human dignity,” he said.
According to Ramaphosa, the strategy is built on five pillars: cracking down on violations of immigration and labour laws, preventing illegal entry into the country, rooting out corruption in the immigration system, strengthening immigration laws and policies, and enhancing cooperation with other countries to address migration challenges across the region and continent.
On enforcement, the President said government agencies would intensify efforts to identify and deport undocumented foreign nationals residing illegally in the country.
“The Department of Home Affairs, the Border Management Authority, South African Police Service and other law enforcement agencies have been and will intensify the process of identifying and deporting undocumented foreign nationals residing illegally in South Africa,” he said.
Highlighting progress already made, Ramaphosa disclosed that “in the past year alone, the BMA managed to intercept and stop over 450,000 people who were attempting to enter South Africa illegally.”
He also announced plans to establish dedicated immigration courts to accelerate deportation processes involving undocumented migrants.
The President said the second pillar of the strategy focuses on strengthening border management and ensuring authorities know who enters the country, why they are entering and how long they are permitted to stay.
“Secure borders are not a sign of hostility towards other countries. They are a fundamental requirement of a sovereign and well-governed State,” Ramaphosa said.
He added that government would continue investing in modern technology, infrastructure and personnel to secure borders while facilitating legitimate trade, travel and economic activity.
As part of the measures, the government will begin a phased relocation of refugee reception centres to border posts, starting with the Tshwane centre later this year.
Ramaphosa said the third pillar centres on eliminating corruption and improving the efficiency of the immigration system through technology-driven reforms.
“We are continuing the crackdown on corruption and inefficiencies in the Department of Home Affairs.
“We must recognise that illegal immigration is often enabled by corruption. Officials who sell documents, facilitate unlawful entry or abuse public office for personal gain betray the trust of the South African people. We will pursue these cases relentlessly.”
According to the President, officials implicated in such offences are already facing disciplinary and criminal action.
“Those responsible are facing dismissal, criminal prosecution and the full consequences of the law,” he said.
Ramaphosa also cited the establishment of an Intelligent Population Register containing biometric data for every person in the country, describing it as a key step towards the introduction of a Digital ID system.
He said efforts to phase out the green ID book would continue, noting that the document remains vulnerable to identity theft and abuse.
The Department of Home Affairs, he said, would soon announce a deadline after which the green ID book would no longer be recognised.
The President further revealed that the move would help curb abuse of the Traffic Registration Number, which foreign nationals require to register or purchase vehicles.
“The Department of Transport will issue new regulations to align with the identification laws of our country within the next three months,” he said.
Addressing legislative reforms, Ramaphosa acknowledged weaknesses in South Africa’s immigration framework.
“The laws that regulate immigration in South Africa are fragmented and often contradictory. They allow legal loopholes that are exploited by undocumented migrants. We are addressing these loopholes,” he said.
On regional cooperation, the President stressed the need for African countries to work together to tackle the root causes of migration.
“We need to address the factors that drive migration on our continent and elsewhere,” Ramaphosa said.
He added that South Africa would continue collaborating with neighbouring countries and other African nations to create conditions where migration is driven by choice rather than necessity.
“As part of this effort, I will be sending envoys to a number of sister African countries to outline the measures that we are announcing this evening,” he said.
Ramaphosa assured citizens that Cabinet would continue monitoring implementation of the migration strategy and regularly review progress on the measures announced.
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