Nigeria Governors Forum Bemoan NNPC's Lack Of Contribution To Federation Account

Nigeria Governors Forum Bemoan NNPC‘s Lack Of Contribution To Federation Account.

Ijaw News - Niger Delta Stories
Nigeria Governors Forum Bemoan NNPC's Lack Of Contribution To Federation Account 2 Ijaw News - Niger Delta Stories

The Nigeria Governors Forum (NGF) has condemned the Nigerian National Petroleum Company (NNPC) Ltd.’s recent #0 payment to the Federation Account.

Dr Kayode Fayemi, Chairman of the Nigerian Governors’ Forum (NGF) and Governor of Ekiti State, stated this at the fifth Nigerian International Energy Summit (NIES) on Thursday in Abuja.

Fayemi said: “The NNPC contributed zero to the Federation Account last month. This is not the first time.

“Of course, we know why; though the price of crude oil is going to about 110 dollars per barrel at the international market.

“The more it goes up, it seems like the more we suffer.”

He observed that the NNPC was profitable but unable to meet its responsibilities to the Federation Account Allocation Committee (FAAC).

READ ALSO: NNPC Confirms IOCs Exit

The governors, according to Fayemi, are worried about how to grow the industry, emphasizing the importance of openness, accountability, and governance in attaining this goal.

He stated that the Petroleum Industry Act addressed some of the issues that the industry was facing, despite the governors’ reservations about some of the Act’s provisions.

The NGF chairman also criticized the oil and gas industry for being on the Federal Government’s Exclusive Legislative List.

Fayemi noted that as Minister of Mines and Steel Development, he modified the industry’s regulatory act to allow more states and local governments to participate.

As the globe pushes for a transition to cleaner energy sources, he argued, Nigeria should begin to tap into its rich gas resources.

Mr Rotimi Akeredolu, the governor of Ondo State, has stated that the country’s current petrol subsidy policy is unsustainable.

Mr Rasaq Obe, the State Commissioner for Energy and Mines, has advocated for an increase in crude oil production to around two million barrels per day to boost the sector’s profitability.


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