House of Representatives
Public Accounts Committee (PAC)
has given eight Oil Companies 72 hours to appear and provide justifications for their outstanding debts to the Federation or face dire consequences.
The committee had summoned nine oil companies to appear before it to clarify their financial obligations but only one company responded to the invitation, leaving the others absent without explanation.
The companies scheduled to appear before the committee included Addax Petroleum Exploration Nigeria Ltd, AITEO Group, All Grace Energy and Amalgamated Oil Company Nigeria Limited.
Others were Amni International Petroleum Development Company Limited, Belema oil Producing Ltd, Bilton Energy Limited, Britannia-U, and Waltersmith Petroman Limited.
Chairman of the Investigation Sub-Committee, Isiaq Akinlade said the committee’s summons is coming at a time the Nigerian government is grappling with a significant budget deficit, having just approved a budget of 54.9 trillion naira.
He stressed that the refusal of these oil companies to settle their debts raises concerns about government’s ability to meet its fiscal targets and adequately fund critical national projects.
A representative from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Balarabe Haruna presented the details of the companies outstanding debts to the Federation Account.
The total outstanding debts from the aforementioned oil companies amounted to $506,565,187.96, underscoring the significant financial burden on the Federation.
