*Justifies procurement of land cruiser SUVs
Senate has mandated an adhoc committee chaired by senator Jubrin Isah Echocho (APC Kogi East) to investigate all contracts awarded for the rehabilitation of all state owned refineries between 2010 and 2022 which has reached a staggering 11trillion naira, yet none of the refinaries is functional .
The upper legislative chamber also mandated the ad-hoc panel to invite the Nigerian National Petroleum Company Limited , liquified Natural Gas as well as the Nigeria Upstream Petroleum Regulatory Company ,NUPRC to explain the nation’s preparation for Green Energy in line with the Paris Agreement on Climate Change .
The resolve was on the back of the motion sponsored by Senator Karim Sunday Steve (APC Kogi West) on the need to investigate the Turn around Maintenance(TAM) projects of the Nigerian refineries in order to uncover waste and forestall further waste of scarce public resources .
According to him, the refineries in Nigeria have been a serious drain pipe of public funds , depriving the citizens of the joy of being an oil producing nation.
His words ,” between 2010 to date Nigeria is estimated to have spent N11.35 trillion excluding other cost in other currencies which include $592,976,050 dollar, 4,877,068.47 Euros and 3,455,656.93 Pounds ,on renovation of refineries ,yet they are unproductive “.
He continued,”the Federal Government of Nigeria has spent over N6trillion Naira between 2010 and 2020 on fuel subsidy due to Nigeria’s kow refining capacity and has spent almost twice the amount on rehabilitating it’s refineries in Port Harcourt ,Kaduna and Warri between 2010 and 2022 , despite the moribund state of the four refineries ,the operating costs of these refineries between 2010 and 2020 is estimated at N4.8trillion Naira. The refineries are estimated to make cumulative loss of N1.64trillion within 4 years”.
“The federal government of Nigeria has carried out rehabilitation projects on Port Harcourt refinery company over a period of seven years from 2013-2019 at an estimated cost of N12,161,237,811.61 only,in addition ,on the 18 March 2021, a rehabilitation contract was executed between NNPC/PHRC and Tencnimont SPA at a Lump sum of $1,397,000,000.00 only amidst global public criticism. Phase 1 of the project is expected to be competed in 28 months after the contract ,phase 2 within 24 hours and phase 3 within 44 months of execution . Despite this , the Port Harcourt refinery remains a money pit. Going by projections and representations from NNPCL the renovation ought to be completed and operations of the refinery commenced by June 2023”.
Briefing Senate reporters ,the mover of the motion and chairman Senate panel on Senate Services, Senator Karim Sunday Steve further maintained that the NNPCL has over the time, seen itself above the laws of the land and refused to be accountable.
He equally marinated that untill the state owned refineries are made to work ,the sky rocketing fuel prices will continue to soar.
Responding to a question on the choice of the Senators to purchase land cruiser Toyota SUVs instead of patronizing and promoting local manufacturers as Innoson, the lawmaker said, the Senate cannot act in isolation by going for locally produced vehicles when the Executive at all levels drive exotics cars manufactured abroad .
He maintained that the management of National Assembly conducted a comparative assessment and agreed that the foreign vehicles were more durable and can withstand the terrible Nigerian roads .
He told journalists that on assumption as chair of the Senate panel of Senate services he was confronted with a high debt profile of N16billion owned contactors who made supplies and could not get paid due to price fluctuations .
He pointed out that the purchase of the foreign vehicles was justifiable because, “even local government chairmen use these cars”.
earlier ,while contributing to the TAM motion ,the deputy Senate president ,Jubrin Barau said ,”the matter is something that touches on our country; the economic wellbeing of our country. It is said that had it been we had these refineries in operation, probably we would not be going through the economic hardship we are in now because whatever we are having is turned towards the importation of refined products and it is eating deep into our finances.
“There is even the thinking, which may be true, that some people out there are sabotaging the efforts of the government to make the refineries operational because they are the ones involved in the importation of refined petroleum products.
“So it is therefore very important that a thorough investigation should be done to make sure that everything that we need to know is brought open to us. Who are those who are sabotaging the efforts of government? Anybody who has a hand, sabotaging the efforts of the government to bring these refineries into operation and those who have taken money that is meant to turn around these refineries must be brought to book. We must know them and decisive actions must be taken. The Senate is the highest assembly in this country and the entire government, we will work together to make sure that we deal with the matter decisively”.