In a significant move to ensure transparency and accountability, the Nigerian government has announced its plan to engage an external auditor to scrutinize the Nigerian National Petroleum Company Limited's (NNPCL) N2.7 trillion fuel subsidy claim. This decision follows the review of recent minutes from the Federal Allocation Account Committee (FAAC), as reported by DAILY POST.
The audit is aimed at authenticating the claims made by NNPCL regarding the massive subsidy amount withheld by the company. The period under review spans from 2015 to 2021, a critical time frame that saw substantial fuel subsidy expenditures. The audit is expected to clarify the actual amount owed by the government and bring transparency to a matter that has long been shrouded in controversy.
According to the FAAC minutes, the Director of Home Finance highlighted that the Office of the Auditor-General of the Federation (OAUGF) is currently addressing the matter. To enhance the efficiency and thoroughness of the audit, the Ministry's Procurement Department has established frameworks for hiring an external auditor. This auditor will work in collaboration with the OAUGF to ensure a comprehensive review of the subsidy claims.
The audit process is crucial in determining the legitimacy of the NNPCL’s claims and ensuring that public funds are accounted for correctly. Given the enormity of the amount involved, this step is seen as a necessary measure to maintain public trust in the government's handling of fuel subsidy payments.
Commenting on the audit, the Chairman of Commissioners’ Forum and Head of Civil Service (HCF) from Ekiti State recommended extending the audit period to December 2023. This extension is considered necessary to capture any additional claims and provide a more accurate and up-to-date financial picture, especially since the audit has yet to commence.
The decision to involve an external auditor reflects the Nigerian government’s commitment to upholding financial integrity and transparency in its dealings with NNPCL. As the process unfolds, stakeholders and citizens alike will be watching closely, hoping for a resolution that sheds light on the true extent of the subsidy payments and ensures that all funds are properly accounted for.
This move is expected to set a precedent for how government financial claims are handled, reinforcing the importance of external scrutiny in maintaining accountability within public institutions.