The House of Representatives has constituted an ad-hoc committee to look into allegations that more than $10 billion worth of Nigeria’s crude oil has been stolen via fraudulent fuel subsidy claims by the Nigerian National Petroleum Corporation (NNPC) and other industry stakeholders between 2017 and 2021.
The mandate of the committee, according to the House of Representatives, is to investigate the petroleum products subsidy regime between 2017 and 2021 by the Nigerian National Petroleum Corporation (NNPC).
He said that the fraudulent under-reporting of N37-N39 per litre, translated into more than N70 billion a month, or N840 billion naira a year.
Hon. Ogun expressed worry that the consumption rate of petrol was 40 million to 45million litres per day, adding that the NNPC used 65 million to 100 million litres per day.
According to him, the subsidy regime has been used by the NNPC and other critical stakeholders to subvert the nation’s crude oil revenue to more than $10 billion.
Hon. Ogun said records showed that as of 2021, over $7 billion of 120 million barrels was diverted.
The lawmaker added that subsidy was charged against petroleum product sales in the books of NNPC and against crude oil revenue in the books of National Petroleum Investment Services (NAPIMS) to the tune of more than N2 trillion.