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2025 Budget: Reps Deny Extortion Claims, Fault Report By PREMIUM TIMES

Published

3 weeks ago

January 29, 2025

By Gloria Ikibah

The House of Representatives has strongly refuted allegations that lawmakers are demanding bribes from Vice-Chancellors of federal universities to approve their 2025 budget allocations.

In response to a report by PREMIUM TIMES, Spokesperson of the 10th House, Rep Akin Rotimi, reiterated its commitment to transparency and accountability, dismissing the claims as baseless and an attempt to tarnish its integrity.

The House clarified that the budget approval process follows constitutional guidelines, with open sessions where ministries, departments, and agencies (MDAs) defend their proposals. It expressed concern over some university heads failing to appear for budget defense, calling it a disregard for legislative oversight.

Additionally, the House noted unresolved audit queries and governance lapses in some tertiary institutions, including allegations of financial mismanagement and misconduct. Recent oversight visits have also uncovered troubling practices, warranting further investigation.

The House criticised PREMIUM TIMES for publishing the allegations without seeking its response beforehand, accusing the platform of biased reporting. It reaffirmed its openness to credible evidence of misconduct but warned against media sensationalism aimed at misleading the public.

The 10th House vowed to uphold their oversight duties without compromise, and urged the media to embrace professionalism in their reporting for the good of democracy and national development.

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Reps Summon NNPC Eighteen Operating Ltd Over Pollution in Rivers

Published

8 seconds ago

February 19, 2025

Gloria Ikibah

By Gloria Ikibah

The House of Representatives Committee on Environment has summoned NNPC Eighteen Operating Ltd to appear before it on March 4, 2025, following the company’s failure to honour an earlier invitation on February 18, 2025.

Chairman of the Committee, Rep. Julius Pondi, who read the summon on Tuesday in Abuja, stated that the summons was prompted by a petition from stakeholders over environmental damage linked to oil drilling activities in Buguma and Degema, Rivers State.

The lawmakers had earlier received complaints against NNPC Eighteen Operating Ltd regarding a fire outbreak and oil spill in Buguma, Degema Local Government Area.

The Committee also invited key stakeholders, including the Nigerian National Petroleum Company Limited (NNPC), to discuss grievances raised by the Bukuma community.

The communityalleged that NNPC has failed to implement a 2021 court ruling that mandated the grouping of oil-producing communities into clusters for development.

The Committee aims to hear from all parties involved and take necessary measures to address environmental concerns and the alleged neglect of affected communities.

News

Reps Committee Probe Non-Remittance of Pension Contributions By FCT Area Councils

Published

9 minutes ago

February 19, 2025

Gloria Ikibah

By Gloria Ikibah

The House of Representatives Copmmittee on the Federal Capital Territory Area Councils and Ancillary Matters has decided to investigate the failure of the six area councils to remit pension contributions to the Area Council Staff Pension Board.

This decision came after a motion was adopted during a session where the Board Director, Suleman Abdulrahman, appeared before the Committee on Wednesday.

The meeting was part of the Committee’s review of budget performance for 2024 in preparation for the 2025 budget cycle. During the session, Abdulrahman informed lawmakers that remittances had been inconsistent.

“By law and according to the pension reform act, each deduction from salaries in respect to pension is supposed to be remitted seven days after payment of salary, but unfortunately at the area councils that’s not what is happening. Sometimes they owe two to three months before remittance.

“The staff pay their employee contribution which is the 8 percent and 10 percent for the employer. It is remitted to their PFA accordingly from the area councils,” he said.

The Chairman of the Committee, Rep. Fred Agbedi demanded that the agency furnish it with the records pertaining to the matter.

“Furnish us with the details so we can know why the area councils are defaulting in their remittance.

“Let someone move a motion for us to investigate the discrepancies and delay in area councils remitting because salaries are paid monthly.

“The Committee should investigate the failure of the remittance from the area councils to the pension account,” Agbedi said.

The Chairman directed the Clerk to write to all six area councils, requesting detailed records of up-to-date pension contribution remittances for their employees.

The Committee also questioned Abdulrahman on why the Board received more funds than were allocated in the 2024 budget.

Documents submitted by the Board indicated that while the total appropriation for pensioner costs was ₦131,148,262, the Board received ₦151,137,417.

In response, Abdulrahman explained that the excess in salary variations was due to increase in the minimum wage.

“The personnel cost of all FCT staff is centralised with the treasury department and you are aware of the recent salary adjustments as a result of minimum wage which increased the total receipt. We are in touch with the treasury department to get us the supplementary approval so that we can update our records.

“Principally what we do is that we superintend over pension matters in all the six area councils and LEA. Payment of monthly pensions and other benefits that accrue to our prospective retirees.

“Our summary of the budget performance for 2024 was we had a total of N1.1 billion which was the ceiling, which consists of the recurrent, the personnel and overheard.

“The personnel cost, we have 115 percent budget performance. The overhead, we have 40 percent performance, we don’t have capital projects. It’s just a service organisation on change of monthly pensions,” he said.

Agbedi said the Committee would embark on budget oversight to all the agencies.

News

Reps Probe NNPCL, NUPRC Over Unpaid Federation Account Funds

Published

5 hours ago

February 19, 2025

Gloria Ikibah

By Gloria Ikibah

The House of Representatives Committee on Public Accounts has initiated a probe into unremitted funds owed to the Federation Account by the Nigerian National Petroleum Company Limited (NNPCL) and several oil firms.

The investigation, led by Sub-Committee Chairman, Rep. Akinlade Isiaq, arose from concerns highlighted in the Auditor General’s 2020–2021 reports regarding unsettled financial obligations by NNPC Ltd and other industry players.

Findings from the audit indicate that, as of December 2021, NNPC Ltd and oil companies owed the Federation roughly $1.6 billion in royalties due to the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) under various agreements, including the Production Sharing Contract, Repayment Agreement, and Modified Carry Arrangement. Additionally, NNPCL’s outstanding claims against the Federation were estimated at N1.9 trillion.

Responding to these queries, NNPC’s Group Chief Executive Officer, represented by Chief Financial Officer, Dapo Segun, stated that part of the funds had been directed toward government-designated Priority Projects (GPP) and fuel subsidy payments, which remained in effect until its removal in September 2024.

He explained that deductions were sourced from the Federation’s crude oil and gas entitlements, including royalties, and were allocated to projects based on the approved national budget. However, he clarified that no deductions were made for GPP in 2023 and 2024, as implementation was dependent on the passage of the Petroleum Industry Act (PIA).

“Regarding the financial claims between the Federation and NNPC Limited as of December 31, 2024, the reconciliation process is ongoing under the supervision of the Honourable Minister of Finance and Coordinating Minister of the Economy. Once concluded, relevant reports will be made available to all appropriate agencies and stakeholders,” Mr. Segun stated.

Meanwhile, the Sub-Committee has vowed to continue its investigation into 2025, with the aim of determining the current status of the debts as of December 2024 and ensuring the recovery of outstanding funds.

Rep. Isiaq reaffirmed the committee’s dedication to professionalism and transparency, emphasizing the importance of accountability in managing Nigeria’s oil and gas resources.

“This hearing is a vital step in ensuring that our national resources are properly accounted for. We are committed to taking all necessary measures to recover these outstanding debts in the best interest of the Federation and its citizens,” he stated.

The committee has also summoned oil companies identified in the NUPRC report, which shows they owe the Federal Government a total of $929 million as of September 30, 2024.

To address financial discrepancies, key government agencies have been invited to provide clarity on the issue. These include the Accountant General of the Federation, the Central Bank of Nigeria (CBN), the Nigeria Extractive Industries Transparency Initiative (NEITI), the Ministry of Finance, the Revenue Mobilization Allocation and Fiscal Commission (RMAFC), the Bureau of Public Procurement (BPP), and the Federal Inland Revenue Service (FIRS).

Their input is expected to shed light on the legal and procedural factors behind the non-payment of these funds. This investigation aims to establish stronger accountability and financial transparency within Nigeria’s oil and gas sector.