Buhari bemoans oil subsidy billions, blames ex-leaders

Buhari bemoans oil subsidy billions, blames ex-leaders

Tuesday, August 25, 2015 7:39 pm


President Buhari: bemaons the near collapse of oil industry

President Buhari: bemaons the near collapse of oil industry

President Muhammadu Buhari has blamed past administrations for the current situation in which Nigeria is forced to spend billions of naira annually on subsidy for petroleum products.

The president made the condemnation at a meeting with the Chairman and members of the Revenue Mobilisation, Allocation and Fiscal Commission (RMAFC), in Abuja on Tuesday.

He said the escalation of petroleum subsidy over recent years was due to the deliberate neglect of the nation’s refineries, oil pipelines and other related infrastructure to allow the importation of petroleum products and corruption to thrive.

The President restated his disappointment with the way Nigeria’s oil industry had been run since he left office as Minister of Petroleum and Military Head of State.

 

“They allowed the infrastructure to collapse so that their cronies can steal by bringing in refined products from overseas’’, Buhari said.

 

He said he was convinced that if the development of the country’s domestic refining capacity and petroleum products distribution network had kept pace with national demand, there would not have been any need for the huge subsidies paid to importers.

“They allowed the infrastructure to collapse so that their cronies can steal by bringing in refined products from overseas’’, Buhari said.

He urged the chairman and members of the RMAFC, to go back to the drawing board and come up with more humane proposals to rescue ordinary Nigerians from the “wicked manipulation” of the country’s oil industry by corrupt operators.

According to him, severe sanctions will be visited on any individual or organisation that violates the directive on the payment of all national revenue into the Federation Account.

The President said Nigerian National Petroleum Corporation, the Nigerian Ports Authority and other MDAs which previously relied on the laws establishing them to retain all or part of revenues collected by them, did so illegally.

He said they must now comply with the Nigerian Constitution by paying all revenues to the Federation Account.

 

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