The Senate Committee on Gas has formally written to Finance Minister Wale Edu, demanding detailed information within seven days concerning the award and disbursement of over N100 billion to companies overseeing the Presidential Compressed Natural Gas (PCNG) projects. The committee alleges that these actions were conducted in violation of the Public Procurement Act 2017.
This development unfolds against the backdrop of the PCNG’s latest initiative to release an additional N130 billion to an unspecified number of companies. Despite a prior caution from the Gas Committee, which warned against spending taxpayers’ money on gas infrastructure projects without National Assembly approval, citing it as extra-budgetary expenditure and a violation of the Public Procurement Act.
While the committee had previously commended President Bola Tinubu for the CNG initiatives, it had urged the president to present a supplementary budget to the National Assembly for such expenditures. The committee’s current action was triggered by a fresh petition from the “Good Governance and Transparency Front,” accusing the PCNG Chairman of approving fund disbursement without adhering to due process.
The group, in its letter to the committee, also pointed out that the PCNG Initiative had not shown progress even with the disbursement of N100 billion. They attributed this lack of progress to the PCNG’s failure to engage with experts in gas development for project execution.
Senator Jarigbe Agom, Chairman of the Senate Committee on Gas Resources, has directed the finance minister to provide comprehensive records of the award and disbursement of over N100 billion. Additionally, the committee requested a list of companies engaged in handling the PCNG projects.
