Connect with us

News

More misery for states as NNPC set to deduct N242.53bn fuel subsidy from FAAC this month

Published

on

 

The Nigerian National Petroleum Company Limited is to deduct N242.53bn as subsidy on Premium Motor Spirit, popularly called petrol, from the Federation Account this month.

Although it described the proposed subsidy deduction as a value shortfall, the oil firm stated that the fund would be recovered from February 2022 proceeds due for sharing in the March 2022 Federation Account Allocation Committee meeting.

The NNPC disclosed this in its latest presentation to the FAAC meeting in Abuja on Friday.

It said, “The December 2021 value shortfall recovery on the importation of PMS amounted to N210.38bn.

“The recovery consists of December 2021 value shortfall of N176.48bn plus the outstanding value shortfall recovery of N33.9bn accrued over the 2021 year. The November 2021 spot arrears of N98.81bn is also outstanding.

“The estimated value shortfall of N242.53bn (consisting of N143.72bn for January 2022 recovery plus November spot arrears of N98.81bn) is to be recovered from February 2022 proceed due for sharing at the March 2022 FAAC meeting.”

See also  NNPC speaks on Lagos depot fire incident

Recall that in February this year, the NNPC remitted no money to FAAC due to its huge fuel subsidy spending and subsequent deduction from the Federation Account.

On March 3, 2022, state governors lambasted the NNPC for not remitting any funds at last month’s FAAC meeting.

The Chairman of the Nigeria Governors’ Forum and Governor of Ekiti State, Kayode Fayemi, had also wondered how the oil firm was bold enough to declare profit when it had not been meeting its FAAC obligations.

Fayemi had disclosed this alongside other governors during the Nigerian Governors’ Forum session on natural resources at the Nigeria International Energy Summit 2022 in Abuja.

He specifically pointed out that in the last Federation Accounts Allocation Committee meeting in February, the NNPC made zero remittance to the federation.

“We’ve just had the Federation Accounts Allocation Committee meeting a couple of days ago and the NNPC contributed zero to the Federation Accounts this month,” the governor had stated.

See also  FAAC: FG, states, LGAs shared N1.35trn in July — up by N4bn

Various industry operators have said that unless the fuel subsidy regime was halted, the deductions might continue, as NNPC had been the sole importer of petrol into Nigeria for more than four years running.

The oil firm had also been shouldering the cost of subsidy on petrol all these years. The actual cost of the commodity is far higher than the approved N162-N165/litre pump price.

The President, Petroleum Products Retail Outlets owners Association of Nigeria, Billy Gillis-Harry, explained that the actual cost of petrol without subsidy was usually a little higher than that of diesel.

He stated that if not for subsidy, PMS would be selling around N550 to N600/litre going by the rise in crude price.

The approved subsidised pump price of PMS in Nigeria is between N162 to N165/litre, but oil marketers stated that the actual cost should be a little higher or about the same price of diesel had it been PMS was deregulated.

See also  FG: Dangote refinery will sell petrol to only NNPC — distribution starts Sunday

The PETROAN president further stated that the N3tn that was projected by the government as subsidy spendings in 2022 might double before the end of the year if the crude oil price continues to rise.

Meanwhile, in NNPC’s latest presentation to FAAC seen in Abuja on Friday, the firm stated that its overall crude oil lifting of 8.13 million barrels (export and domestic crude) in December 2021 recorded 2.21 per cent decrease relative to the 8.31 million barrels lifted in November 2021.

It said Nigeria recorded an average production of 1.31 million barrels in December 2021, adding that crude oil export revenue received in January 2022 amounted to $2.23m.

The report stated that the sum of N253.36bn was the gross domestic crude oil and gas revenue for the month of January 2022.

 

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

News

Troops kill ISWAP commanders, two Arab fighters in Borno

Published

on

By


The gallant troops of the Nigerian Army have killed Abu Hajara, a high-profile member of the Islamic State West Africa Province (ISWAP) Shura Council, and Abul Walid, a prominent commander and close associate of Ba Shuwa, the group’s overall Wali (leader).

In astatement issued on Sunday, the acting media information officer of Operation Hadin Kai, Mohammed Goni, said that two other high-ranking Arab fighters were also killed during the engagement in Kukawa LGA of Borno state on October 31.

Goni said the attack came three days after troops killed 55 terrorists, including three key commanders.

“Combined troops of Joint Task Force deployed in Kukawa defeated massive ISWAP terrorists attack on their locations and troops utilised both ground and air assets from the air component,” the statement reads.

“Following the engagement, troops recovered scores of arms, ammunition and communication devices.

“The successful engagement further demonstrates the combat readiness, vigilance and superior firepower of Operation HADIN KAI troops in sustaining pressure on terrorist elements across the theatre.

See also  How I found out 2 of 5 children my wife had for me were not mine — Yoruba actor Mondusi

“The attack on troops location at Kukawa comes barely 3 days after Buni Yadi attack where as at date 55 terrorists were neutralised including key commanders such as Ali Mandara Abba Gajiri (Munzir), Habu Ikkima Nakif Yana Faruk and Commander Gogore.”

Goni described the killing of the ISWAP fighters as a “significant blow to the leadership and operational capability” of the group.

Continue Reading

News

Jailed Osun monarch drags Adeleke to court over plan to replace him

Published

on

By

Dethroned Oba Joseph Oloyede, Apetumodu of Ipetumodu in Osun State, who is presently serving jail time in the United States of America for offences bordering on fraud, has dragged the Osun State Governor, Ademola Adeleke, before the court, asking it to stop him from filling the stool.

Oloyede, who is the second claimant in suit no. HIF/50/2026, in his motion on notice filed before an Osun State High Court sitting in Ile-Ife, alleged that Adeleke did not formally inform him of any infraction he committed before embarking on the process to replace him.

He is seeking an order of the court stopping the governor or any of his officials from filling the stool of Apetumodu until the substantive suit was determined.

Other claimants in the matter include Prince Oyewusi Adewusi, Prince Isaac Adewuni, and Prince Abiodun Oyetoro, for themselves and on behalf of other members of the Latimogun Royal Family of the Aribile Ruling House of Ipetumodu.

See also  BREAKING: Minister collapses during official engagement in Bauchi

Aside from Adeleke, other defendants in the matter are the Osun State Attorney-General and Commissioner for Justice, the Commissioner for Local Government and Chieftaincy Affairs, Chief Afolabi Adedeji, the Asalu of Ipetumodu and the head of the kingmakers, Chief Adesoye Babalola, the Malefon of Ipetumodu, and the Ife North Local Government.

The motion on notice filed by Oloyede, dated September 16, 2026, partly read, “An order of interlocutory injunction restraining the defendants/respondents either by themselves or through their servants, agents or privies from taking any step to fill the stool of the Apetu (Apetumodu) of Ipetumodu or appoint any person in place of the 2nd claimant who is the occupant of the Apetu’s stool, pending the hearing and final determination of this suit.

“That in The Guardian Newspaper of May 11, 2026 (online edition), it was alleged that the 2nd claimant/applicant has, by order/instrument purportedly signed by the 1st defendant on May 7, 2026, been deposed from office as the Apetumodu of Ipetumodu without any lawful basis.

See also  Again, NNPC uncovers 63 illegal refineries in Bayelsa, Rivers, Abia

“That there was no time the 2nd claimant/applicant was informed by the 1st-3rd defendants of any wrongdoing before the issuance of the publication contained in the said Guardian Newspaper and the purported instrument or order of deposition.”

The hearing in the matter was, however, stalled on Monday, following non-service of hearing notices on the parties in the case.

During the day’s proceedings, only the claimants’ counsel, O. Ogbewe, and counsel for the 5th defendant, Soji Oyetayo, entered appearances.

Addressing the court, Ogbewe said he had served the defendants with the processes regarding the case.

But Oyetayo, counsel for the 5th respondent, Adesoye Babalola, said hearing notice had not been served on him by the claimants.

Oyetayo subsequently urged the court to adjourn the matter for the claimants to serve all the defendants’ hearing notices.

In his ruling, Justice Dapo Adeniji adjourned the case to January 21, 2027, and ordered that fresh hearing notices be issued and served on the defendants.

See also  Police arrest abductors of Dariye's father who collected N10m ransom, killed him

It would be recalled that Adeleke approved the deposition of Oba Oloyede as the Apetumodu of Ipetumodu, following his conviction in the US on tax fraud and money laundering charges.

Continue Reading

News

Two Oyo commissioner, special adviser resign

Published

on

By

Two senior officials in the Oyo State Ministry of Budget and Economic Planning have resigned their appointments from Governor Seyi Makinde’s administration.

The officials are Ayobami Ojo, the Commissioner for Budget and Economic Planning, and Simeon Oyeleke, the ministry’s Special Adviser on Budget and Economic Planning.

In separate letters dated November 2, and addressed to Mr Makinde, both officials said their resignations would take effect immediately, while thanking the governor for the opportunity to serve but did not give specific reasons for their decisions.

In his letter, Ojo referred to his appointment letter dated 22 June 2026 and formally announced his resignation as commissioner.

“With reference to your letter dated 22nd June, 2026 (SP.S.662/2/VOL.IV/192), I respectfully write to formally resign my appointment as Honourable Commissioner for Budget and Economic Planning, with effect from today, 2nd November, 2026,” he wrote.

He described his time in government as an honour and said he appreciated the opportunity to serve the state.

See also  Again, NNPC uncovers 63 illegal refineries in Bayelsa, Rivers, Abia

Oyeleke also tendered his resignation with effect from 2 November.

In his letter, he thanked Mr Makinde for the confidence reposed in him and the opportunity to contribute to the administration’s policies and development programmes.

He also expressed appreciation for the governor’s leadership, support and encouragement during his time in office.

“I remain grateful for the opportunity to have been part of this administration and to have contributed to its laudable achievements. I also remain committed to the peace, progress and development of Oyo State,” he wrote.

The latest resignations come amid a series of exits of political appointees and other officials from the Makinde administration in recent months.

It would be recalled that Segun Ogunwuyi resigned as the governor’s chief of staff on 12 October, a position he had held since July 2021. His resignation took immediate effect, although he did not state a reason for his departure.

A few hours after Ogunwuyi’s departure, Makinde appointed Bashorun Akinwole, popularly known as Wolekanle, as his replacement.

See also  Governors should account for subsidy removal gains... not Tinubu — Dapo Abiodun

On the same day, Tara Adefope, the Director-General of the Oyo State Due Process Office, also resigned from her position, while in late October, Kabiru Salami, the governor’s Executive Assistant on Security Coordination, also tendered his resignation.

Other officials who have left the administration include Funmi Arulogun, a Senior Special Assistant on Diaspora Matters, who resigned in August, citing personal and political considerations.

Babatunde Oduyoye, a member of the Oyo State Advisory Council, also resigned in July, while Fatai Owoseni, a former Commissioner of Police who served as the governor’s Special Adviser on Security resigned in May.

Continue Reading

Trending News