Reps panel vows to probe petrol subsidy regime, review implementation of PIA

The Chairman of the House of Representatives Committee on Petroleum Resources (Downstream), Hon Ikeagwuonu Ugochinyere, has pledged to carry out a comprehensive audit of the Premium Motor Spirit (PMS), commonly known as petrol subsidy regime.

He also said the implementation of the Petroleum Industry Act (PIA) which has become a major concern to key stakeholders would be thoroughly reviewed.

Ugochinyere said this at the inauguration of the Committee in Abuja yesterday.

He said the Committee will legislate for energy security, professionalism in the petroleum sector, economic transformation, accountability, institutional reforms and revenue recovery and generation, with a specific goal of helping the Federal Government to recover $20 billion revenue from the sector.

The lawmaker said the early remittance of federal revenues and recovery of unremitted revenues is part of what the Committee would focus on in the coming days.

He said the Committee will legislate for energy security, professionalism in the petroleum sector, economic transformation, accountability, institutional reforms and revenue recovery and generation, with a specific goal of helping the Federal Government to recover $20 billion revenue from the sector.

The lawmaker said the early remittance of federal revenues and recovery of unremitted revenues is part of what the Committee would focus on in the coming days.

He said, “It is also very important that we would make it known to Nigerians that we feel the pains that Nigerians are going through due to the removal of the subsidy regime. That regime had to go because it was corrupted and that is why the downstream committee of the House on Petroleum resources would do a comprehensive audit of the PMS subsidy regime. We would probe the beneficiaries of the payment, rendering accounts on all loan transactions, the pre-export financing arrangement and other loan arrangements. Also other loan arrangements in exchange for crude would be extensively reviewed and investigated.

“The Direct Sales, Direct Purchase, using the crude to bring in the PMS and other value chain associated with them will also be reviewed. This committee would be working closely with our brother committees in the upstream, mainstream, gas, petroleum training fund and other petroleum related committees to also help us achieve our set objectives.

“The implementation of the PIA which has become a major concern to key stakeholders would be reviewed by this committee. What was done before the PIA? What are they doing after the PIA? The assets that used to be national assets before the coming into effect of the PIA, where are they? Who is with them? All these, the committee would look into to ensure that the intention of the PIA is achieved. One of those intentions is to ensure that there is energy security and competition in the downstream sector.”