The incoming Muhammadu Buhari administration will replace the top management of the Nigerian National Petroleum Corporation (NNPC), Reuters news agency reported yesterday.

It will also review the accounts of the oil company to restore credibility, Reuters said, quoting sources within Buhari’s party, the All Progressives Congress (APC).
It said the new government will submit a bill to break the NNPC into four entities, as already prescribed in the latest PIB draft.

One APC source told Reuters that the Bill “will also, crucially, remove the oil minister from the NNPC’s board of directors to curb political interference.”
Others said more generally that the minister’s current powers would be heavily trimmed.

Oil and gas will have separate companies for upstream, with a third covering pipelines and refining, while a fourth will be an inspectorate.

The proposal could be submitted to parliament in the first quarter of next year, one parliamentary APC source said.

The NNPC Management is made up of Group Managing Director Dr. Joseph T. Dawha; Group Executive Director, Finance & Accounts Mr. Bernard O.N. Otti; Group Executive Director, Corporate Services Dr. Dan Efebo, and Member, Alhaji Abdullahi Bukar, who make up the Board.

The Board is chaired by petroleum minister Mrs. Diezani Alison-Madueke and members are Mr. Danladi Wadzani, Prof. Olusegun Okunnu; Mr. Danladi Kifasi, Mr. Steven Oronsaye, and Mr. Ikechukwu Oguine, Coordinator, Legal Services/Secretary to the Corporation.

Reuters said oil firms keen to know how the new government plans to tax them could be waiting for a long time as the President-elect makes ending corruption and reforming the opaque national oil company his most urgent sector priority.

Four party sources in the APC told Reuters the issue of fiscal terms, seen as crucial by the industry, will have to wait on current thinking about oil and gas policies in Nigeria.

Crude output has stagnated close to 2 million barrels per day over the past few years, owing partly to underinvestment.
“We need to address the structural issues and leave the fiscal for now,” Senator Bukola Saraki, told Reuters.
“A more transparent NNPC) is needed with reasonable accounting,” he said.

Buhari owes his March 28 victory against incumbent Goodluck Jonathan partly to a perception that Jonathan allowed corruption to get out of control -- especially in the oil sector.

A string of multibillion dollar oil corruption scandals tainted the NNPC and other bodies that handle energy.
By contrast, Buhari was seen as one of the few Nigerian leaders to have cracked down on corruption during his military rule in 1983-1985. Many Nigerians hope he will again, Reuters said.

APC leader Bola Tinubu, whose support was instrumental in Buhari’s victory and wields huge influence, told Reuters a transitional committee would be set up.
“No way will we discuss that now,” he said.
PIB re-drafted
Jonathan’s administration re-drafted a Petroleum Industry Bill (PIB) in 2012 that had been in the works for a decade.
The PIB was meant to change everything from fiscal terms to overhauling the NNPC, environmental rules and revenue sharing, but its other details caused disputes amongst lawmakers.

Yet the main thing the oil companies were worried about was tax. The bill proposes 20 percent tax on offshore projects and 50 percent for onshore. Shell, Exxon and other majors had all complained publicly that the terms were unfair, given the risk associated with operating in Nigeria.

Uncertainty over the fiscal terms of the bill have been holding back billions of dollars of investment, especially into capital-intensive deepwater offshore, leading some to propose the bill be broken up into several pieces and debated separately.
“It doesn’t need to be an omnibus, you can take things piecemeal,” one APC source said.

The average Nigerian benefits little from the country’s huge energy resources while politicians wear gold watches and build monster homes in the capital Abuja, Reuters said.

World Bank support for NNPC probe
The World Bank reportedly supports Mr Mohammadu Buhari to probe the NNPC.
Speaking during a video conferencing from Washington to journalists from across Africa on the release of the bank’s analysis of issues shaping Africa titled ‘Africa’s Pulse’, top officials of the bank said looking into financial record of the country, especially into allegation of corruption at the NNPC, would check impunity and build public institutions in the future.

Answering questions from journalists, World Bank’s Chief Economist for Africa, Mr. Francisco Ferreira said, “One norm that has to change is the norm of impunity. I am from Brazil myself. So, I am also used to a country where people could be corrupt and escape justice. That keeps the people to keep doing it.
“So the current stand of the government-elect to look into what happened in the past hopefully will have consequences for the future.

Meanwhile, the African Centre for Leadership, Strategy and Development (Centre LSD) yesterday called on the incoming government to redirect its subsidy towards the production of petroleum products and petrochemical complexes which would see local companies refining petroleum instead of a subsidy on the consumption of the   products.

Briefing newsmen yesterday in Abuja, Monday Osasah of the centre said “instead of continually importing fuel it should be used to build more refineries. Government should lay emphasis on how local refineries would work. The money used on turn around maintenance alone is enough to build local refineries.”
He said the removal of fuel subsidy is expected to save government about US$6 billion per annum.

Yar’adua’s plan for oil sector
President Umaru Yar’adua, on coming to power announced that the NNPC would be scrapped while the oil sector was to be completely overhauled.
The plan was for the restructuring and unbundling to be complete by February 2008.
But with Yar’adua’s death the plan to reform the oil sector never materialised. The NNPC remained unbundled while the PIB billed filibustered in the National Assembly.

Diezani takes charge
With time the Petroleum minister’s grip on the NNPC continued to grow phenomenally. Nothing typifies her enormous powers more than the rate at which NNPC bosses were appointed and removed unceremoniously. Unlike during the time of her predecessors, no state minister was appointed for the petroleum ministry since she came on board.
Within a span of four years, the corporation has had five Group Managing Directors.
Dr Mohammed Sanusi Barkindo was GMD when Minister of Petroleum Resources Diezani Alison-Madueke took over in April 2010. He was sacked the same month.
Barkindo was replaced by Mallam Shehu Ladan who had earlier been retired in April 2009 from the NNPC. Ladan got his exit letter about seven weeks after resumption as GMD.
Austen Oniwon was appointed to replace Shehu Ladan in May 2010. Oniwon remained in office even after attaining his retirement age. Eventually, he was sacked two years later and replaced by Engineer Andrew Yakubu in June 2012.
Yakubu was also sacked in August 2014 and replaced by the current holder of the office Dr Joseph Thlama Dawha.

Source:http://dailytrust.com.ng/daily/top-stories/52271-report-nnpc-top-mgt-to-go-accounts-to-be-probed

Chineke bi n'igwe ndewoo, mgbanwe abiara.

God of heaven thank you,
change is here.









I am non-partisan









PDP...... Power







APC.......Change

I'm in support of whatever is best for this Nation. Carry go, My amiable president-elect.

ues

May 29 should just be tumoro! Before this whole Ideas develope cold feet... I hope Wale Tinubu does'nt evade tax sha, plus he may even get to be part of the NNPC board members afterrall. Nigeria and our deal with vested interest. The world has said the redrafted PIB by GEJ will be historical if passed into law, what did our lawmakers saw that the world and der prying eyes for investment opportuinity did not see in dis bill Buhari here u are, they threatened Nuhu Ribadu my broda after his findings in d sector and he left d report and ran for his life. I just hope u don't abandone d project half way sir. Nigerians are really interested in dis one, and WE ARE WATCHING

It is well with my country.

This is too deep, the cancerworms when opened will be too much to bear. These people have sincerely drained and raped our common wealth to stupor. I don't know if these people get conscience at all, amazing wealth is like addiction, the more u get, the more u still wish to get until it becomes burden to ur soul. It is only in Nigeria that all these evils can be perpetrated and nothing happens. Diesani is a goner already but how many heads will roll along with her is not yet certain. The new incoming government has a lot to do to be sincere

The heart of men will cut when figures start flying out when the incoming government assumes power. We've had looters at the helm of affairs of this country for a while.

They should be send to Guatanamo, because this guys with their ring leader (madam froggy) are nothing but Financial Terrorists.

Brave yourselves Nigerians, you are in for the greatest shocker of your lives.

Buhari should surround himself with his most trusted allies. I'm pretty sure by now some people must have started tinkering with the idea of killing him.

The path he's chosen to take is that which is gonna make many very big heads roll.

We don hear

Na waoh! !

only 5!
na im be say Buhari will sack 100 top staffs!

my CV is available o!
I am available to offer my services as a top NNPC Management staff!

Ok

Jonathan's goverment really messed up big time in the oil sector.

Hit the "like" button if u think Buhari can clean up the mess. And the share button if u think he cant.

Very good initiative. A better Nigeria favours us all.

I pity GEJ though. Because every bad thing from past governments will be pinned on him.

OOOKay.......I hope this is true.NNPC does need some cleaning up.

I like the idea of dividing NNPC into 4 companies

Good

Definitely.
If u imagine the level of corruption perpetuated by this frog eye woman and her goons in collaboration with President Jonathan, fear won't allow u to eat. My stand is these people should all be seriously probe.
We won't forgive GMB if he didn't do it.

it's been a long time coming.

Good news.....

baralatie:

only 5!
na im be say Buhari will sack 100 top staffs!

my CV is available o!
I am available to offer my services as a top NNPC Management staff!

Greedy man

nice, sweep out the corrupt legs in the oil sector and watch as our economy wakes up from slumber. see as those men be like bread wey fall inside water.

Good

Replacing d top mgt of nnpc is a no brainer...it's expected of any right thinking incoming govt after diezanis missteps!
It would be nice if that PIB is revisited.....it will benefit our oil industry!
My humble submission

Whomever u employ as inspectorate will be the loophole ...

By the time dem dish out 1 million naira raw cash to each of them each time they come for field work inspection, they will be loyal n guess what, corruption in d oil sector will continue

I see new job opportunities. Be wise.