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Tag: Senate

  • Senate slashes budgets of 30 agencies, redistributes funds to 2019 elections

    The Senate on Wednesday approved that half of the N242 billion budgeted for the 2019 election be removed from the 2018 budget of 30 federal agencies.

    Presenting a motion on Wednesday, the chairman of the Senate Committee on Appropriation, Danjuma Goje, said the election could not be funded entirely from the service wide votes as earlier approved.

    The motion, co-sponsored by 18 other senators proposed that N121 billion be removed from the 30 agencies while the other N121 billion be sourced from service wide votes.

    “Recall the approval of the Virement/Supplementary budget for INEC and Security Agencies for the conduct of the 2019 General elections in the sum of Two Hundred and Forty-Two Billion, Two Hundred and Forty-Five Million, Fifty Thousand, One hundred Naira [N242, 245, 050,100] only, which is to be funded from the Service Wide Votes on the 16th October, 2018-Senate Resolution (S/RS/027/04/8);

    “The Senate is aware that because of some obvious and imminent issues of national socioeconomic importance, the virement/supplementary request cannot be implemented as earlier approved,” Mr Goje said.

    Contributing to the motion, Dino Melaye (Kogi-PDP) said the N27.3 billion budgeted for the Nigeria Police during the election was too much. He premised his argument on the fact that the police would be involved in less mobilisation as it is a general election.

    He was countered by Mr Goje who said the fund was justifiable as police would have to make mobilisation for the election. Mr Goje added that the Senate had already passed the stage of budgeting for agencies and was only tasked to determine the source of funding.

    He said, “The only thing different from what we passed on the 16th of October is the source of funding. Initially, the source of funding was to come from the service wide votes but now we reduce the weight by half. That has to come from the MDAs. Otherwise, this Senate took a decision, approved this virement.

    “The submission, by Mr President, for the police was over 30 billion. It was the appropriation committee that reduced it by three billion. I want to correct the impression that there will be no mobilisation. We all know how elections use to be in this country. Police have to be deployed to different polling units. They are provided vehicles, allowances. I’m sure the money is even small.”

     

  • Rowdy session as senate probes social intervention fund, Sure-P

    The Senate on Wednesday resolved to investigate alleged misuse of the social intervention programme fund.

    The upper chamber also agreed to probe how funds allocated to fund the Subsidy Re-investment Programme (SURE-P) were used.

    The resolution followed the adoption of a motion by the minority leader, Senator Biodun Olujimi on alleged deployment of funds under the social intervention programme to buy Permanent Voters Cards (PVC) to promote President Muhammadu Buhari’s presidential election.

    Olujimi who displayed copies of signed forms used by an alleged beneficiary of the intervention fund, claimed that beneficiaries are made to attach their PVCs before they could benefit from the fund.

    She noted that it was unfortunate that the social intervention fund created for the benefit of every Nigerian, was allegedly being manipulated to buy PVC for President Buhari’s re-election bid.

    Olujimi who came under Order 42 (personal explanation) prayed the Senate to investigate the matter as a matter of urgency.

    She said that the upper chamber should insist that the social intervention fund must not be used for political purposes.

    Senate Leader, Senator Ahmed Lawan, described the allegation as completely unfounded.

    As Lawan made to disabuse the minds of his colleagues about any untoward use the fund, the Senate erupted with shouts of point of order.

    Attempts by Senate President, Bukola Saraki, to control the situation failed for some moment.

    Saraki gave Senator Dino Melaye the floor to move his point of order.

    The Kogi West senator said that Olujimi’s motion should first be seconded before contributions would be made.

    The house was divided along party lines. Lawan requested for protection and to be allowed to make his points.

    Saraki said that Lawn should be allowed to speak.

    Lawan said, “I listened attentively to the motion by Senator Olujimi.

    ‘I want to say that the social intervention programme of this administration transparent.”

    He noted that “for the first time in the history of social intervention programme in Nigeria we have proof that any where you are in Nigeria, you can apply.”

    The shout of point of order continued.

    Senator Albert Akpan (Akwa Ibom North East) took the floor to raise Orders 49 and 52.

    Akpan re-iterated Melaye’s position that Saraki should first allow Olujimi’s motion to be seconded.

    He added that contributions in support of the motion should be taken after which those opposed to the motion should take the floor.

    Saraki could take none of that. He said that Lawan should be allowed to conclude his contribution.

    Lawan said that the social intervention programme of the government is computer based which made it easy for Nigerians to apply wherever they were.

    He urged the Senate President to be above board and blind to the debate.

    Lawan said that it is on record that the social intervention programme has been the most successful in the country.

    He said, “We inherited poverty, we inherited empty treasury. This administration is working to change the system. The social intervention fund is under the office of the Vice President who has been very transparent in the implementation of the programme for the benefit of all Nigerians.”

    Lawan said that he is not against whatever the Senate wanted to do with Olujimi’s motion “but the investigation should not be turned into a political weapon.”

    He reminded the Senate that Nigerians were aware that Sure-P failed.

    He said that Olujimi should tender the document he has while the investigation should be party blind.

    The Senate adopted that prayer that the probe should be apolitical.

    The prayer that Sure-P should also be investigated was also carried.

     

  • JUST IN: Senate sets up ad hoc committee to investigate $3.5bn NNPC subsidy

    The Senate says it has set up an ad hoc committee to investigate the use to which the sum of $3.5bn alleged subsidy was put.

    This was contained in a tweet on the verified Twitter handle of The Nigerian Senate, @NGRSenate.

    “Senator Bassey Akpan cited Orders 43 and 95 and drew the attention of the Senate to the various emails and complaints from the general public on the unauthorised withdrawal of $3.5bn by NNPC from the NLNG account,” the Senate added

    “I ask that the Senate Committee on Gas immediately investigate this matter,” Senator
    Bassey Akpan said; while Senator Emmanuel Paulker urged that “The ad hoc committee that was set up should carry on with their work, while the Committee on Gas should also investigate the matter.”

     

  • Buhari sends 2019-2021 MTEF to Senate

    President Muhammadu Buhari on Tuesday wrote the senate informing them that works on the 2019 budget is ‘progressing well.’

    The letter contains the 2019-2021 Medium Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP).

    “I write to submit the 2019-2021 Medium Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP) to the distinguished senate pursuant to provisions of the fiscal responsibility act 2007.

    “The preparation towards the submission of the 2019 budget to the national assembly is progressing well, the MTEF and FSP were prepared against the background of a generally uncertain economic environment as well as fiscal challenges in the domestic economy to ensure the planned spending is set at sustainable levels and is consistent with overall government developmental and inclusive growth.

    “I hereby forward the 2019-2021 MTEF/FSP to this senate and trust that it will be considered to bring the 2019 in order to bring the 2019 budget process to timely closure.

    “Please accept, the distinguished senate, the assurances of my highest consideration,” the letter reads.

  • 2019: Senate bows to pressure, lifts embargo on Buhari’s appointments

    Indications emerged on Tuesday that the Senate has lifted its embargo on the confirmation of executive appointments made by President Muhammadu Buhari.

    According to a report by The Punch, the embargo, which lasted over one year, was lifted at a closed-door session held by the lawmakers on October 10, 2018.

    The embargo was placed in protest against the retention of Ibrahim Magu as acting Chairman of the Economic and Financial Crimes Commission despite his non-confirmation by the Senate.

    The senators were also angered by a statement credited to Vice-President Yemi Osinbajo who was quoted as saying that he agreed with the activist lawyer, Femi Falana (SAN), that Section 171 of the Constitution empowered President Muhammadu Buhari to make certain appointments without recourse to the legislature for approval.

    A Peoples Democratic Party (PDP) senator from the South-East geopolitical zone who spoke on condition of anonymity confirmed that the lawmakers resumed from their annual recess to lift the embargo.

    He said, “We have lifted that (the embargo). We did it (placed the embargo) based on certain premises and after a while, those issues were resolved. You can see that we are clearing the backlogs and all the outstanding screenings and confirmations. We are doing them. So, it has been lifted.”

    When asked why there was no resolution vacating the earlier resolution placing the embargo, the lawmaker said it was done behind closed doors.

    “It must not necessarily be a resolution as per coming on the floor. It was a resolution we took at a closed session,” the senator said.

    Chairman of the Senate Committee on Media and Public Affairs, Senator Aliyu Sabi-Abdullahi, could not be reached on the telephone on Monday to speak on the development. Calls made to his telephone did not connect.

    Several calls made to the Majority Leader, Senator Ahmad Lawan, who had on several occasions asked the Senate leadership to lift the embargo, were not picked.

    Since the National Assembly resumed from its annual two-month recess on October 9, 2018, the Senate has confirmed series of appointments, some of which were under embargo for over one year.

    On October 10, the Senate confirmed a Senior Advocate of Nigeria and former National Legal Adviser of the ruling All Progressives Congress, Dr Muiz Banire as Chairman of the Governing Board of the Assets Management Corporation of Nigeria.

    Same day, the chamber confirmed Mr Folashodun Adebisi Shonubi as Deputy Governor of the Central Bank of Nigeria.

    On October 24, the Senate confirmed the appointments of the Chairman and 12 Commissioners of the Federal Civil Service Commission.

     

  • Senate’ll probe NNPC’s diversion of NLNG dividend – Saraki

    President of the Senate, Dr. Abubakar Bukola Saraki, has said that the Senate on resumption of plenary will further probe the claims made before the Senator Ahmad Lawan’s Adhoc Committee by the Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), on how and why the corporation was diverting the dividend from the Nigerian Liquified Natural Gas (NLNG) to defray the cost of under-recovery in the importation of fuel.

    Saraki, while reacting to questions from newsmen at the Ilorin Airport, admitted that he had received series of telephone calls on the issue by many concerned Nigerians and others who wanted to know the position of the Senate on the issues raised by the NNPC’s GMD before the Ahmad Lawan’s Adhoc Committee.

    He stated that the disclosure by the NNPC boss in response to enquiries by the Senate adhoc committee probing the issue of illegal payment of subsidy on fuel, called for further investigation by the Senate and also showed that as alleged in a motion moved earlier by Senate Minority Leader, Senator Biodun Olujimi, a lot of illegal and unapproved spendings are going on in the petroleum corporation.

    “Let me assure Nigerians that there will be no cover up. We are confident that the adhoc committee will do a thorough job. All the issues will be unearthed. That is why when the Senate set up investigative committees on issues, we want Nigerians to have confidence in us that we do not act because we want to embark on a wild goose chase. There must be some serious issues to be looked into. The revelations by the NNPC’s GMD have justified the need for this investigation and they have shown that we are acting in good faith.

    “When in my ruling on the motion raised by Senator Olujimi, I insisted that we want a transparent, honest and non-partisan investigation on the fuel subsidy issue, it was clear to me and my colleagues that there are certain irregularities being perpetrated and we should let Nigerians know the truth. That is why we set up the committee in the first place and to demonstrate the seriousness we attach to the issue, we decided that the adhoc committee should be led by the Leader of the Senate, Senator Ahmad Lawan.

    “We are however shocked that the NNPC’s GMD was claiming that the illegal diversion of dividends from the NLNG which should be paid into the Consolidated Revenue Fund of the Federation for the purpose of funding the fuel subsidy was done ‘in compliance with the National Assembly directive that NNPC as the supplier of last resort should, and has, maintained robust petrol supply’.

    “So, if the National Assembly called on NNPC to carry out its legitimate duty of ensuring adequate fuel supply to Nigerians, the GMD logically thinks the corporation by that call has the license to perpetrate illegality, spend money without approval and violate appropriation laws. It is my belief that if the National Assembly said the corporation should perform its duty effectively as a supplier of fuel to Nigerians without exposing people to needless suffering, that ought to be done within the ambit of the law.

    “This investigation will require the GMD to produce the approval given by the National Assembly and other necessary approving bodies authorizing the NNPC to divert the dividend from the NLNG investment, which ought to be paid into the Consolidated Revenue Fund belonging to the three tiers of government, for the payment of fuel subsidy,” he stated.

  • Local content: Senate to probe 100% foreign ownership of some multinational companies

    The Committee on Local Content has concluded plans to investigate 100 per cent foreign ownership of some multinational companies registered in Nigeria.

    The Chairman of the committee, Sen. Solomon Adeola, made this known in Port Harcourt, while briefing newsmen at the end of a two day oversight visit to Rivers and Bayelsa states.

    He said it was worrisome for some multinational companies registered in Nigeria to have 100 per cent foreign ownership.

    “I was astonished to find out that many of these companies have been in Nigeria for upward of 50 years and have been doing business without getting Nigerians involved.

    “We find it disturbing that a company will be in Nigeria for so many years without consideration to their shareholding structure.

    “We put the blame on those who were meant to implement or monitor these companies except if there is legislation that allows that, that we do not know about.

    “Some of these companies bear ‘Nigeria Limited’ but they are 100 per cent owned by their parent bodies abroad.

    “I wonder how they scaled through the Corporate Affairs Commission’s scrutiny to the extent that they are unnoticed and they have been submitting returns to the commission over these years.

    “I would not know if there is any law that gives them that opportunity or is it that some people are conniving with them to defraud Nigeria in this regard.

    “All these are what we will unearth by the time the committee is putting together its report, ” he said.

    Adeola (APC-Lagos) said the committee would find out if there is legislation that permitted such, then come out with a firm position on matter.

    On non-listing of some of the companies on Nigeria’s stock exchange, the lawmaker said it was worrisome.

    According to him, the committee found out that companies like Halliburton, TechnipFMC, Saipem and a host of others have not been listed on the stock exchange.

    He said, “it baffles me what gave them the impetus to remain a fully foreign owned company in Nigeria and some have operated for well over 50 years.

    “We will come out to the public with our findings. If we found out that the gap is in our legislation we will know what to do and if they are merely taking advantage of Nigeria we will also know what to do.”

     

  • We’re not aware of NNPC’s $3.5bn subsidy fund – Finance Ministry tells Senate

    The Federal Ministry of Finance has denied knowledge of a $3.5 billion fund allegedly kept and utilised by the Nigeria National Petroleum Corporation (NNPC) for fuel subsidy.

    The Permanent Secretary, Mahmoud Isa-Dutse, gave the ministry’s position when he appeared before the Senate ad hoc committee probing the allegation in Abuja on Thursday.

    Mr Isa-Dutse’s claim appeared to corroborate the Group Managing Director of the NNPC, Maikanti Baru, who restated the agency’s denial that it had no such fund in its custody.

    The News Agency of Nigeria (NAN) recalls that the allegation emanated from the Minority Leader of the Senate, Abiodun Olujimi, at plenary on October 16.

    In a point of order, Mrs Olujimi had alleged there was a $3.5 billion “Subsidy Recovery Fund being managed only by the GMD and Executive Director, Finance, of the NNPC”.

    It was on the basis of that allegation that the Senate set up the committee, chaired by the Majority Leader, Ahmed Lawan.

    Mr Isa-Dutse said the ministry was only aware of the outstanding payments under the old subsidy regime, being handled by the Debt Management Office (DMO).

    “As far as the current fuel importation regime is concerned, the Ministry of Finance does not have any account it is operating.

    “We are not aware of the alleged $3.5 billion fund, and we do not maintain any subsidy fund account,” he said.

    The NNPC had earlier denied the $3.5 billion subsidy fund claim in a statement on October 17.

    The GMD explained on Thursday that the agency was only utilising a revolving fund of $1.05 billion to defray the cost of under-recovery in the importation of fuel.

    Asked by the lawmakers to differentiate between subsidy and the “cost of under-recovery”, Mr Baru said subsidy was usually captured in the national budget, while the latter was not.

    The $1.05 billion, according to him, is part of the NNPC’s operational costs.

    He said the money was sourced from the corporation’s share dividend in the Nigeria Liquefied Natural Gas (NLNG) and domiciled in the Central Bank of Nigeria (CBN).

    Mr Baru explained that the action was in line with section 7 (4)(b) of the NNPC Act, which mandated it to defray its operational costs from its revenue.

    “This 1.05 billion dollars is being administered under a steering committee that was set up, and a working committee that handles daily operations of this fund.

    “These committees comprise representatives of the Minister of Finance, Minister of State for Petroleum Resources, Accountant General of the Federation, CBN, Petroleum Pricing Regulatory Agency, Petroleum Equalisation Fund Management Board, Directorate of Petroleum Resources and the NNPC.

    “The fund is being transparently administered according to laid down processes and governance.

    “I would like this honourable committee to note that the actions of NNPC were in compliance with the National Assembly directive that NNPC, as the supplier of last resort should, and has, maintained robust petrol supply and distribution to the nation.

    “Currently, no other oil company imports petrol due to the high landing cost above the N145 per litre price ceiling on sale of the product, and also due to the lack of provision for subsidy in the Appropriation Acts since 2016,” he explained.

    The GMD assured the committee that the NNPC would continue to guarantee energy security in the country by maintaining PMS supply at the approved pump price of N145 per litre, except directed otherwise.

    When Mr Lawan requested documents to back up his claims, Mr Baru said they were not immediately available and asked for one month to present them to the committee.

    But the lawmaker gave him two weeks to furnish the committee with the documents, and adjourned the hearing till November 6.

  • Senate condemns FG for not paying approved subsidy claims

    The Senate has condemned the Federal Government for not paying the subsidy claims by petroleum product marketers despite approval by the National Assembly since July.

    At a meeting of stakeholders called by the Senate Committee on Petroleum (Downstream) and held in Abuja on Wednesday, senators took turns to criticise government agencies for allegedly slowing down the process of paying petroleum product marketers what was owed as and when due.

    The committee resolved that the Ministry of Finance should within one week call a meeting of other government agencies and the marketers to reconcile subsidy claim figures and discuss ways of fast-tracking the payment of arrears.

    The stakeholders are to report back to the committee next week.

    The Senate had in July 2018 approved the payment of subsidy claims totalling N348bn to oil marketing companies based on a request by President Muhammadu Buhari.

    The approval followed the adoption of an interim report by the committee on the promissory note programme and bond issuance to settle inherited local debts and contractual obligations to petroleum marketers.

    While approving that 55 oil marketers be paid verified figures totalling N275,750,415,108, the upper chamber of the National Assembly had asked that 19 marketers “with contentious claims and verified figures” be paid 65 per cent of their claims, amounting to N73,452,639,866, pending further investigation and verification by the committee.

    The Chairman of the committee, Senator Kabiru Marafa, in his opening remarks, explained that the meeting was called to know how much the Federal Government had implemented the Senate’s resolution, the situation with the 19 marketers with contentious claims, and the solution to the continued conflict of subsidy figures between the government and oil marketers.

    The Director-General, Debt Management Office, Mrs Patience Oniha, however, said that while the payments were approved by the Senate in July, the office did not receive communication from the Clerk to the National Assembly until September.

    Oniha also stated that the processes through which the payments would be made were detailed in the request made to the Federal Executive Council, which was passed and forwarded to the National Assembly for approval.

    According to her, the processes, which must be followed, are still ongoing and the DMO will engage the marketers by the middle of November.

     

  • Senate adjourns plenary for two weeks

    Nigerian senate has adjourned its plenary for two weeks.
     
    The lawmakers will resume for plenary on November 6, Senate President Bukola Saraki announced on Wednesday.
     
    Mr Saraki said the break would allow committees of the senate to carry out oversight functions.
     
    “These are committees that are going to carry out the oversight. It is only plenary session that is being suspended. We expect our committees to carry out oversight in this period.
     
    “Particularly if you recollect, when we debated the Eurobond, there were a lot of questions on implementation and utilisation of those loans. But because of the expediency and the demand from the executive that we approve those loans, we did it but with the understanding that our committees will quickly go and do oversight in MDAs to see that those funds have been properly utilised.
     
    “And also budget implementation of 2018, and also the poverty social intervention programme that we raised. So I will like all our committees that during this period, to carry out the necessary oversight so that we can report when we do resume back to plenary. The committees will be meeting till 6th of November,” he said.