The House of Representatives on Monday expressed grave concern over the high level of impunity being perpetrated by officials of Petroleum Products Pricing Regulatory Agency (PPPRA) over under-remittance of about N11 billion into the Consolidated Revenue Fund (CRF) between 2014 and 2019.
The lawmakers expressed the concern during an investigative hearing into the revenues generated and remitted by ministries, departments and agencies between 2014 and 2019, held at the instance of House Committee on Finance, chaired by Hon. Abiodun Faleke.
According to the report from the office of the Accountant General of the Federation, the total sum of N13 billion expected revenue for 2014, the agency remitted a paltry sum of N2.835 billion to the government coffer.
Similarly, the agency failed to account for the actual amount owed by the Nigerian National Petroleum Corporation (NNPC).
In his presentation, PPPRA’s acting Director of Finance & Accounts, Mr Benjamin Amojo, however, noted that the sum of N207,726,184.1 was remitted against the mandatory 25 per cent of worth N708,940,637.92 in 2014.
When asked to calculate the actual amount of revenue from the 18.9 billion litres (35 million per day) of Premium Motor Spirit (PMS) only, he explained that the agency should have realised the total sum of N2.835 billion from the collection of 15 kobos for 2014.
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He further affirmed that the Agency collects 15 kobos on every litre of premium motor spirit (PMS) and 3 other petroleum products imported into the country by NNPC, major marketers, independent marketers and major marketers as well as locally produced petroleum products.
According to him, other sources of revenue for the agency include office rent, sales of unserviceable items and contractors registration fees.
When asked to give the domestic consumption per day, Mr Amojo who earlier noted that the figure was ‘disputable’, explained that the daily PMS consumption ranges between 35 to 40 million per day.
The lawmakers who expressed displeasure over the failure of the PPPRA officials from providing helpful information queried why the remittances for 2014 was paid in 2017, three years after.
According to him, the agency generated over N3 billion in 2015.
While speaking on the difference on the N501,214, 453.091 remitted by the agency, Mr Amojo explained that the expected revenue of the PPPRA as contained in its annual budgets was different from the actual amounts the agency collected over the years.
The PPPRA acting Director of Finance and Accounts maintained that only the Department of Operations which works directly with the NNPC to reconcile accounts could confirm the volume and sales.
“For other marketers, we are copied but for NNPC we are not,” the PPPRA acting Director of Finance and Accounts told the Committee, adding that “I’m not the one that issued the directive.”
In his ruling, Faleke said, “The Director of Finance, you are hiding facts. It is either you are hiding facts or you are not competent, and we will recommend appropriately when we finish with the probe.
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“We are not getting facts from you. You are sitting on Nigerians’ money. We are here because Nigeria is unable to fund its budgets. After budget (assessment), it is 20 or 30 per cent (performance) for the capital budget. And we are asking you questions but you are hiding facts. And you know you are on oath.
“We will recommend appropriately. You have stayed too long there, that is why you are doing this. ‘O ti pe ju’. Do you know the meaning in Yoruba? You have stayed too long. DFA, you are before Nigerians.
“Let me tell you, a new Sheriff is in town. We are not here to joke, what we want is a system where Nigeria will be able to have money to fund its budgets. If every agency like yours is able to keep away N500 million to N1 billion every year from their revenue, then what is the essence?
“As it is, you are not ready for us. We will take you along with your director of operations. You will come with your annual budgets showing income and expenditures and audit reports.
“In fact, we are going back to 2011 on you. I have not come to the Accountant General’s report. That of 2011 is damning. Give us your reports on income, remittances, budgets, auditor general’s reports, bank statements and you are to report with your executive secretary and director of operations. Also, come along with all outstanding indebtedness to PPPRA.
“We want a copy of all bills. Whoever you relate with within the NNPC should come with consumption details from 2011 to date. Also, come with details of all contracts awarded and copy of all programmes certification.”
To this end, the committee adjourned the investigation of PPPRA to 27th February 2020.
and then