Senate Probes NNPC Over $396million Maintenance Fund

The Senate on Thursday began the probe of the Nigerian National Petroleum Corporation (NNPC) over the sum of $396 million spent on turn-around Maintenance of refineries in 2013 and 2015.

Senator Yusuf A. Yusuf (APC, Taraba Central) had reported that despite the $396million being spent since 2013 and 2015 respectively on Nigeria's four refineries located in Port Harcourt, Delta, and Kaduna, the refineries still lack all necessities to function effectively.

“The country through NNPC has in the past 25 years spent billions of US dollars in turn-around Maintenance of the refineries, the latest being over $396 million spent between 2013 and 2015 without meaningful result.”

“The refineries have remained in a moribund state in the last 15-20 years and is almost reaching total collapse due to lack of proposer maintenance of the facilities with a poor average capacity utilization hovering between fifteen percent and twenty-five percent per annum.”

“Despite the huge spending on turn-around Maintenance of refineries, NNPC recently announced a cumulative loss of N123.25 billion in 10 months (January to October 2019), putting the total revenue of facilities at N68.82 billion, while total expenses incurred was N192.1 billion within the same period.”

“Such huge wastage and slippages amidst the nation’s tight economy, if not addressed, may lead the country back to recession,” Yusuf said.