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NNPC Records All Time Low Remittance to Federation Account

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The Nigerian National Petroleum Company Limited remitted literally zero funds to the Federation Account in 2022 due to the payment of subsidy on Premium Motor Spirit, popularly called petrol, the Chief Financial Officer, NNPCL, Umar Ajiya, has said.

NNPCL is a major revenue generating agency in Nigeria, operating as the national oil company in charge of the management, sales, etc, of the country’s crude oil and gas, among other key functions.

Ajiya, in a 5.24 minutes video released by the oil major on Sunday, said fuel subsidy stopped the revenue generating firm from remitting taxes and royalties to the Federation Account, as well as halted the company from making profit.

Also, NNPCL, in the documentary, said, “The lingering constraint of fuel subsidy payment hampered its (NNPCL) growth potential, until a new administration emerged, bringing an end to the subsidy regime and saving the company from bankruptcy and setting it on a path of financial prosperity.

” It stated that this enabled the oil firm to grow its profit from N674.1bn in 2021 to N2.54tn by the third quarter of 2022. President Bola Tinubu declared during his inaugural speech on May 29, 2023, that “subsidy is gone!”

The declaration by the President was immediately enforced by NNPCL the next day. NNPCL is Nigeria’s sole importer of PMS.

Reacting to this, Ajiya said, “That action of saying subsidy has gone, literally saved this nation N400bn on average every month. And what that meant was that the totality of the entitlements of tax, royalties and profits were all going into subsidy.

“And that was why we reached a position in 2022 where we literally remitted zero to the Federation Account. It was unpalatable, but we can’t give what we don’t have.

“We were taking NNPC’s cash flows from other operations to augment for products and it could not be sustained beyond June 2023.

” Fuel subsidy gulped over N3.3tn in 2022, as the Federal Government struggled to hold the cost of the product far below its global market price. The cost of the commodity jumped by over 250 percent immediately subsidy was removed by Tinubu. Ajiya confirmed that the removal of subsidy had made the company start making remittances into the Federation Account.

“We have now begun to pay dividends to the federation. We are also paying our due obligations in terms of taxes and royalties,” he stated.

The company further stated in the documentary that the end to subsidy enabled it to contribute N4.5tn to the Federation Account in nine months.

“For the first time in a long time, NNPC Ltd in 2023 contributed to the Federation Account, accounting for N4.5tn between January and September 2023,” the national oil company stated.

 

Abuja Reports

Lt Yarima Escapes Assassination Attempt in Abuja

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By Oso Abidemi

Nigerian Navy officer Lt. A.M. Yarima, who recently clashed with FCT Minister Nyesom Wike, on Sunday escaped an alleged assassination attempt in Abuja.

Military sources told Vanguard that Yarima was followed by unidentified men dressed in black and riding in two unmarked Hilux vans.

The suspected assailants reportedly trailed him from the NIPCO Filling Station off the Line Expressway to Gado Nasco Way around 6:30 p.m.

Sensing danger, the officer was said to have executed a “strategic maneuver” that enabled him to evade the vehicles. The matter is now under investigation, with security authorities treating it with “the seriousness it deserves.”

The incident comes days after a viral confrontation between Yarima and Wike at a disputed land site in Gaduwa District, which led to presidential intervention and the suspension of a planned demolition.

Following the clash, military veterans condemned Wike’s verbal outburst against the officer and warned against any disciplinary action.

The Coalition of Retired Veterans, through its spokesman Abiodun Durowaiye-Herberts, threatened to “occupy” the minister’s office and residence if Yarima was punished, insisting that military personnel owe allegiance to the nation, not public office holders.

Minister of Defence Mohammad Badaru Abubakar has since assured that no officer acting lawfully will be sanctioned, reaffirming government support for security personnel performing their duties.

Veterans had earlier vowed nationwide mobilisation should any action be taken against Lt. Yarima.

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Abuja Reports

ACJ Publisher Briefs Participants Ahead of ₦10m Essay Challenge

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By Onilede Titi Faith

The Abuja City Journal is set to host the 3rd edition of its National Essay Competition, featuring 26 participants from across the country.

The contestants will compete for top cash prizes of ₦5 million, ₦3 million, and ₦2 million, respectively.

Ahead of the event, the CEO and Publisher of Abuja City Journal, Mr. Foluso Sylvanus Ojo, popularly known as Fosh, held a virtual meeting with participants and staff to outline key guidelines and expectations.

During the briefing, the publisher revealed that all flight tickets of participants have being booked, paid for and sent to them, even as he detailed the programme schedule, from participants’ arrival to the grand finale, ensuring everyone is fully informed about the event’s structure and procedures.

He emphasised the importance of punctuality, discipline, and decency, urging participants to present themselves professionally throughout the event.

He also listed essential items they are expected to bring along as they travel from their various states to Abuja.

He noted that the competition aims not only to reward excellence but also to provide a platform for young writers to showcase their skills and gain national recognition.

Visibly, knowing that preparations are on top gear, the joy of the participants came alive as many of their questions and fears were addressed by the CEO.

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Abuja Reports

Abuja Waste Management Collapsing, Tinubu’s Aide Tells Wike

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By Samson Adeyanju 

The Federal Capital Territory (FCT), Minister, Nyesom Wike, has been urged to urgently address the worsening waste situation in Abuja to prevent a public health crisis.

Temitope Ajayi, Senior Special Assistant to President Bola Tinubu on Media and Publicity, raised the alarm on Friday via his X account.

He said the city’s waste management system “has certainly broken” and called on Wike to take immediate action.

“Refuse is taking over the city. Minister Wike should pay immediate attention to this,” Ajayi said, while acknowledging the minister’s achievements in expanding roads and restarting abandoned infrastructure projects.

Meanwhile, human rights lawyer Femi Falana (SAN), has urged President Tinubu to compel Wike to apologise over derogatory remarks made against a naval officer, A. M. Yerima, during a dispute over a property in Abuja.

Falana said both Wike and the officer erred by taking the law into their own hands, though he praised the officer for maintaining restraint.

Falana highlighted the minister’s statutory duties under the Land Use Act but noted that Wike’s use of uncomplimentary language breached principles of dignity and respect.

He cited a Ghanaian precedent where a minister apologised for insulting a citizen, stressing that no public officer has the right to verbally abuse any Nigerian.

The comments were made on Thursday at the opening of the Legal Year of the Faculty of Law, University of Abuja, organised by the Law Students Association of Nigeria (LAWSAN), UNIABUJA Chapter.

Ajayi and Falana’s statements put renewed focus on governance and civility in public service amid rising concerns over waste management and law enforcement in Abuja.

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