Politics

Atiku Accuses NNPC of Persistent Corruption, Calls for Immediate Listing of NNPCL

Published by Tope Fakinlede on September 2nd, 2024.

Atiku Accuses NNPC of Persistent Corruption, Calls for Immediate Listing of NNPCL

Atiku Abubakar

Former Vice President Atiku Abubakar has criticized the Nigerian National Petroleum Corporation (NNPC) for being a long-standing center of corruption. He urged President Bola Tinubu to swiftly implement measures to list NNPCL on the stock exchange as mandated by the Petroleum Industry Act.

Speaking through his Media Adviser, Mr. Paul Ibe, Atiku stated, “The NNPCL should have been listed on the stock exchange per the Petroleum Industry Act. This move would enhance profitability, transparency, and corporate governance. Presently, the NNPCL’s claim of being a private entity is merely a facade, as it continues to serve as a financial resource for the Federal Government. Failing to list it on the stock exchange amounts to mere window-dressing.”

Atiku further accused NNPC Limited of shielding the Tinubu administration’s inconsistent subsidy policies, questioning the PIA’s intended independence for the corporation as a private entity. He noted that previous efforts and concessions had faltered due to opaque contract processes and a lack of investor interest.

He recommended involving the Bureau of Public Enterprises (BPE) and a reputable technical partner like Standard & Poor’s to ensure the success of any restructuring deal.

Atiku also pointed out that former President Olusegun Obasanjo had revealed Shell’s refusal to operate Nigeria’s refineries, citing endemic corruption within NNPCL as a deterrent. He questioned the logic of investing in refineries while the government continues to subsidize petrol, suggesting that such investments are unlikely to be profitable.

He remarked, “Past management strategies have not yielded results. For instance, the Manitoba Hydro International’s handling of the Transmission Company of Nigeria was unsuccessful, and Global Steel Limited’s attempt to operate Ajaokuta Steel Company did not achieve profitability. The contract with Global Steel was controversially terminated, leading to a nearly $500 million compensation while Ajaokuta remains dormant.”

Atiku advised NNPCL to avoid opaque contracting practices similar to those seen with OVH last year, which failed to address fuel shortages and added to the corporation’s issues with petrol sufficiency.