NYPF RAISES CONCERNS OVER SENATE PANEL’S N210TR NNPCL CLAIM, SEEKS REVIEW
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By: Fasasi Hammad
The Northern Youth Progressive Forum (NYPF) has disputed claims by the Senate Public Accounts Committee that about ₦210 trillion in the accounts of the Nigerian National Petroleum Company Limited (NNPCL) is unaccounted for, calling for a detailed technical review of the figures.
Chairman of the Senate Public Accounts Committee, Ahmed Wadada, had earlier raised concerns over an alleged ₦210 trillion discrepancy in NNPCL’s financial records during the committee’s ongoing oversight exercise. He also warned that former officials of the company could face arrest if they fail to appear before the panel.
However, in a statement signed by its representative, Aliyu Usman, the forum argued that the figure being circulated appears to stem from a misinterpretation of the national oil company’s financial statements.
While acknowledging the Senate’s constitutional oversight role, the group stressed that the figures being cited require careful technical scrutiny to avoid misleading conclusions.
“We respect the Senate’s constitutional mandate for oversight, but we are deeply concerned about the figures being presented and the implications they carry for public understanding,” the statement said.
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According to the NYPF, the amount mentioned does not align with the country’s fiscal realities. It noted that Nigeria’s 2024 national budget is about ₦28.7 trillion, making the alleged ₦210 trillion discrepancy nearly eight times the size of the entire budget.
“To suggest that a single entity lost ₦210 trillion raises serious questions that require careful financial clarification,” the forum said.
The group further noted that crude oil revenues generated by the federation between 2017 and 2023 did not cumulatively reach the ₦210 trillion figure cited by the committee.
It added that two entries in NNPCL’s balance sheet may have been misinterpreted. According to the forum, about ₦103 trillion recorded as accrued expenses represents cumulative multi-year obligations such as joint venture cash calls, production costs, royalties, and technical service fees shared with international oil partners.
“These are not cash outflows that have disappeared but accounting entries reflecting obligations tied to production activities and partnerships in the oil and gas sector,” the statement explained.
The forum also clarified that the ₦107 trillion listed as sundry receivables refers to funds owed to the national oil company.
“By definition, a receivable is money owed to a company. It includes outstanding subsidy claims and other obligations due to the NNPCL. Describing such entries as missing funds creates an inaccurate picture of the company’s financial position,” it added.
The NYPF also referenced the tenure of the immediate past Chief Financial Officer of NNPCL, Umar Ajiya, noting that the company recorded notable progress in financial transparency during that period.
It pointed out that the publication of audited financial statements by NNPCL after several decades was a major milestone toward improving transparency in the management of Nigeria’s oil resources.
The forum further observed that the transition of the former Nigerian National Petroleum Corporation into a limited liability company under the Petroleum Industry Act required extensive legal and corporate restructuring.
It therefore urged the Senate Public Accounts Committee to adopt a more technical and detailed approach in reviewing the oil company’s financial records.
“We urge the committee to engage in a sober and technical reconciliation of accounts rather than rely on figures that may not accurately reflect the underlying accounting classifications,” the statement said.
The group also called for continued engagement between the committee and officials of the oil company to clarify the issues raised.
“Constructive dialogue and professional review of financial records will better serve the goal of transparency while preserving confidence in Nigeria’s public institutions and the oil and gas sector,” the forum added.
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