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Reps query NUPRC over N120 billion expenditure on personnel, overhead
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The House of Representatives joint Committees on Finance and National Planning have frowned at the huge expenditure of over N120 billion by Nigeria Upstream Petroleum Regulatory Commission (NUPRC) on personnel and overhead cost annually.
Speaking during an interactive session with key agencies on the 2025-2027 Medium Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP), Chairman of the House Committee on Finance, James Abiodun Faleke (APC, Lagos) directed the agency to provide details of oil production, crude sales and other activities in the Upstream Petroleum Industry in the country.
NUPRC Executive Commissioner Economic Regulation & Strategic Planning (ECR&SP), Babajide Oluwole Fasina who represented the Chief Executive Officer (CEO) of the organisation, Gbenga Olu Komolafe had presented the revenue and expenditure before the committee.
Responding to the presentation, Faleke said “I’m wondering what type of organization you have.You are paying 88 billion as salaries. How many staff do you have? How many staff do you have?
“National Assembly, before the review, they give us N150 billion for our expenditure every year and that is shared between the Senate, House of Representatives, management and everybody.
“So only your agency is spending N88 billion. That’s why you have so much. So much money because of 4% cost of collection. 4% is too much. We need money…you are spending N88 billion on personnel, and you are spending over N40 billion on overhead.”
Despite trying to justify the figure, the Committee rejected the NUPRC’s explanation and demanded comprehensive records from the Commission as regards its revenues, expenditure and all other activities including exploration activities of Frontier Explorations’ at various Frontier Basins in the country where oil prospecting activities are taking place.
“You are going to come back with all the records of all the wells that produce the oil litre by litre per day. How much oil do we get from here every day,” Faleke asked rhetorically.
The lawmaker further said: “You are going to come back with records of shipments of crude either daily or weekly at what rate. You are going to come back with proposals of 2025 as to the expectations of two million five barrels per day, 2.06 million per day.
“And you reach out to the Frontier or whatever you called them. You come together with them and must come with the records of all Frontier activities, expenses incurred, crude oil realized from there and of course the sales proceeds and add what the Frontiers are doing. The day they started and how far they have gone. You must come here with them on the 18th. We expect you here on the 18th by 11am.”
Earlier in his presentation, Fasina informed the Committee that NUPRC derives its revenues from oil royalty, gas royalty, concession rental, gas flat penalty, miscellaneous oil revenues which include fines and levies, signature bonus and renewal of licenses.
Giving a highlight of the revenue collections, he said the NUPRC gets 4% Cost of Revenue Collection for the total revenue collected on behalf of the federal government which he said were credited directly to the Federation Account and while FAAC credits the 4% to the Commission.
He said, “The Cost Of Revenue Collection amounted to N114.84 billion in 2023 as against N114.38 billion in 2022. The amount released in 2023 includes N2.82 billion for Capital Expenditure, though N173.77 billion was due as 4% on the Actual Collections of N14.34 Trillion in 2023.
“The Commission also generates revenues internally such as, Registration Fees, Licence Fees, Fines, Recoveries, etc. It generated N1.44 billion in 2023 compared to N30.08 billion in 2022, and this accounts for 1.26% of the total Revenue realized in 2023 and 2.62% in 2022 respectively.
Fasina, however, informed the Committee that the Commission recorded a high expenditure in 2023 compared to 2022 by N11.46 billion which he said was an increase of 10.83%.
He added, “Personnel Cost which has the largest share amounting to N82.35 billion represents 70.19% of the total expenses of N117.33 billion, followed by Overhead Costs of N31.63 billion which accounts for 26.96 billion”.
The NUPRC Executive Commissioner however informed that, the Commission’s non-tax remittance dropped from N3.67 billion in 2022 to N1.77 billion in 2023 and an Amortisation and Depreciation of N246.66 million and N1.33 billion respectively.
Also, the Committee directed the Nigeria Bulk Electricity Trading to provide details of its budget performance and other activities in the electricity market.
The agency has in its submission informed the Committee about the ‘reason for disparity between Generation Companies (Gencos) invoices and amount invoices to Distribution Companies (DisCos).
The agency’s documents stated, “NBET invoices DisCos before receiving and verifying GenCo invoices as required by the settlement Calendar. This timing difference means that components such as interest and True-Up, which are included in GenCo invoices cannot be reflected in the invoices sent to DisCos, Consequently, the mismatch in timing leads to discrepancies in the amounts invoices.
“Apart from the DisCos, other off-takers such as Ajaokuta Steel Company and Net Importer Generation Companies are included in the invoicing process. The inclusion of these off-takers introduces further complexities that contribute to the disparity between actual invoices and the amounts invoices to DisCos.
“The supplementary order under the Transitional Electricity Market (TEM) framework mandates the use of specific tariff for invoicing Net Importer GenCos. These tariff requirements create additional differences between the amounts invoiced to GenCos and those passed on to DisCos.”
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FG terminates Visa-on-Arrival policy, says Nigeria not a haven for criminals
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The Federal Government has ended the Visa-on-Arrival policy, saying that Nigeria is not a destination for criminals
The Minister of Interior Dr Olubunmi Tunji-Ojo who made the announcement, said the policy was not effective.
He disclosed that government had noticed a pattern where people avoid travelling into the country directly by air, only to land at neighbouring countries and complete their journeys through land borders.
He described the scenario as unacceptable, saying the Federal Government would unveil a multi-faceted solution by March or April to take care of grey areas on entry into and exit out of the country.
Tunji-Ojo said in place of Visa-on-Arrival, landing and exit cards will be introduced and integrated into the solutions for travelers to complete before arriving in Nigeria.
The Visa-on-Arrival policy was introduced in 2020 as a short-stay visa issued at entry points, but the Minister said the policy failed to meet global standards and best practices as it was not done anywhere in the world.
Tunji-Ojo spoke at the headquarters of the Nigeria Immigration Service, (NIS) on Friday during the closing ceremony of the five-day training and capacity building programmes on Advanced Passenger Information-Passenger Name Record, API/PNR System for NIS officers.
The capacity building for 100 Officers was organised by the Nigeria Immigration Service under the leadership of the Comptroller-General of the Service, Mrs Kemi Nanna Nandap.
Tunji-Ojo said:” The Visa-on-Arrival issue is one of the core policy issues because I always tell people the visa is not just an approval of entry, it is a migration management device.
“It is a security device to manage migration into your country. So the way it is at the moment is very subjective. We are not really too objective and that is why we are automating the whole process end-to-end.
“And the e-visa solution, we are working hard to be able to meet the first of March or peradventure if we are unable, the first of April, we will hit it live.
“We will automate the system. People apply online and we will do what we need to do. That solution will be integrated with the Interpol system, the criminal records system, so that we can be able to take decisions.
“We do not want foreign attachés approving and issuing visas. It is not going to be that any more, we want to be able to screen people. This country cannot be a destination for wanted criminals in the world. Nigeria is not a safe haven for any criminal and it will never be.”
The Minister who said about 60 of the border solutions are being completed in Nigeria various borders, land maritime and air, insisted that the security of the country and her citizens remained sacrosanct under the present administration.
He said: ”Today, we have had, we have sorted the API across all of our five international airports and we are looking at working with you more on the issue of adapting some of these into our land borders because it is also very key.
“Because we realised the pattern, of recent, I think, over the last couple of weeks, that a lot of people would rather fly to neighbouring countries and come into Nigeria through the land borders to evade the API PNR system. So we have seen that pattern.”
Tunji-Ojo assured that when all the e-solutions are deployed it would be linked not only with all security agencies at home but also globally, and especially with interpol so that persons of interests can be arrested at anywhere.
Nandap commended President Bola Tinubu and the Minister for their commitment to the ongoing reforms in the NIS, saying that the reforms have changed the narratives for the better.
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Suspended Ogun monarch meet bail conditions after two weeks in jail
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Oba Abdulsemiu Ogunjobi, the suspended Olorile of Orile-Ifo in Ogun State, has been freed from prison in Ilaro, two weeks after being charged with the alleged public assault of a septuagenarian.
He was brought before a Magistrate’s Court in Ifo by law enforcement, where he was granted bail but subsequently held at the Nigeria Correctional Service in Ilaro, within the Yewa South Local Government Area, until he fulfilled the requirements of his bail.
The spokesperson of Nigeria Correctional Service (NCoS), Mr. Odukoya Owolola Olayinka, a Superintendent of NCoS, told The Nation that Oba Ogunjobi had gone home about three days ago after meeting his bail terms.
“He (Oba Ogunjobi) has gone home about three days ago,” Olayinka said.
Oba Ogunjobi was arraigned on a three-count charge of conspiracy, assault, and conduct likely to lead to a breach of peace.
Force spokesman, Assistant Commissioner of Police (ACP), Muyiwa Adejobi, disclosed the arraignment in his social media post, stating that the monarch was charged to court.
“The Kabiyesi Abdulsemiu Ogunjobi, who assaulted one elderly man in a viral video, in Ifo Ogun State, has been charged to court February 4, 2025, on three-count charges of conspiracy, assault and conduct likely to lead to a breach of peace.
“He was granted bail while the case was adjourned to 06/03/2025. The police will continue to uphold the rule of law and the core values of the noble profession,” Adejobi stated.
Oba Ogunjobi who was arraigned before Magistrate F.A Iroko, pleaded not guilty to all the charges against him.
The Magistrate granted him bail of N5m, with two sureties in like sum, and he must be a resident within the court jurisdiction.
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Court jails Cooperative Society CEO over N2bn fraud in Calabar
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Justice Rosemary Dugbo Oghoghorie of the Federal High Court in Calabar has convicted and sentenced the Chief Executive Officer, Micheno Multi-purpose Cooperative Society, Uno Michael Eke to one year imprisonment for conspiracy, obtaining property by false pretence and money laundering to the tune of N2billion.
He was jailed after pleading guilty to four-count amended charge preferred against him by the Uyo Zonal Directorate of the Economic and Financial Crimes Commission (EFCC).
Count One reads “That you, Uno Michael Eke (being the President/Chief Executive Officer of Micheno Multi-Purpose Cooperative Society); Registered Trustees of Micheno Multi Purpose Cooperative Society, MMCS, Aya Kanu Aya, (Alias Mbakara) being the Vice President of Micheno Multi-Purpose Cooperative Society (now at large), sometime between June and August 2018 in Calabar within the jurisdiction of this Honourable Court, conspired among yourselves to commit an offence to wit: obtaining property by false pretence and you thereby committed an offence contrary to Section 8 (a) of the Advance Fee Fraud and other Fraud Related Offences Act, 2006 and punishable under Section 1(3) of the same Act’.
Count two reads “That you, Uno Michael Eke (being the President/Chief Executive Officer of Micheno Multi-Purpose Cooperative Society), Registered Trustees of Micheno Multi Purpose Cooperative Society, MMCS, Aya Kanu Aya (Alias Mbakara) being the Vice President of Micheno Multi-Purpose Cooperative Society (now at large), on or about the 12th day of July, 2018 in Calabar within the jurisdiction of this Honourable Court, with intent to defraud, did obtain the sum of Two Million Naira (N2,000,000.00) from one Kubnse Ogar Ebute by inducing her to invest the money into your Swiss golden packages through your Micheno Multi-Purpose Cooperative Society ltd under the false pretence of paying her 80% as return on investment on her principal sum on the 40th day of his investment, which you knew to be false and thereby committed an Offence contrary to Section 1 (1) (b) of the Advance Fee Fraud and Other Fraud Related Offences Act, 2006 and punishable under Section 1(3) of the same Act”.
When the charge was read to Eke, he pleaded guilty to the criminal offence.
In view of his guilty plea, the prosecuting EFCC’s lawyer, Joshua Abolarin prayed the court to convict the defendant based on the charges before the court. The defence lawyer , Ime Umanah informed the court of a plea bargain agreement before the court and prayed for a lighter jail term for his client.
The judge, after considering the plea of the convict and evidence before the court, convicted and sentenced Eke to one year imprisonment with an option of fine of N2m Also, the convict was ordered to forfeit the following to the Federal Government of Nigeria:
Twelve wflats of 2 bedrooms each located by Goodluck Jonathan bypass, Calabar River State, two (2) plots of land (4.162 hectares and 3.391 hectares) both located at Adiabo Ikot Mboout Community Land, Odupkpani LocAl Government Area, Cross River State, two (2) plots of land located at Akai Effa, Calabar Municipality, Cross River State and eighteen (18) self-contained flats (storey building), located beside University of Calabar, Ita-Agbor, Calabar, Cross River State and N10,000.000( Ten Million Naira) recovered during investigation. The judge ordered that all monies recovered from the convict should be restituted to victims listed in all the charges.
Eke’s road to the Correctional Centre began when he was arrested for collecting huge sums of money from different unsuspecting victims with a promise of 80% return on investment within 40 days. Investigations showed that he opened different bank accounts in his name and company’s where he raked in the sum of N2 billion from his victims. The funds were used to acquire landed properties and houses in Calabar, Cross River State.
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