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Tag: Senate

Senate invites NEITI boss over audit report

The Senate Thursday resolved to invite the Executive Secretary of the Nigeria Extractive Industry Transparency Initiative, (NEITI), Mr. Waziri Adio, to brief it on the content of 2013 Audit report of the agency.

The resolution followed a motion on “the urgent need for the Senate to look into the NEITI 2013 oil, gas and solid mineral audit report” sponsored by Senator Tijjani Yahaya Kaura (Zamfara North).

Senator Kaura in his lead debate noted that one of the key statutory functions of NEITI is to conduct regular audit of the extractive sector as provided in Section 4 of the Extractive Act.

He noted that details of the report showed that the country made $58.07 billion from its hydrocarbon industry in 2013 while the sum of N33.86 billion was realized from solid mineral sector in the same year.

The lawmaker said that the report also indicated that the sum of $3.8billion and N358.3 billion stood as outstanding revenue from the Nigeria National Petroleum Corporation and its subsidiaries in 2013.

The outstanding payments, he said, were due to unpaid consideration from divested Oil Mining Lease from NNPC and NPDC and cash call refunds by the National Petroleum Investment and Management Services (NAPIMS).

He said that it is worrisome that between 2005 and 2013 the sum of $12.9 billion paid by the Nigerian Liquefied Natural Gas (NLNG) to NNPC was not remitted to the Federation account.

The report showed that the country lost $5.966 billion and N20.4 billion in the sector from the operation of Offshore Processing Agreements (OPA) by state oil firm, the NNPC and crude oil swap and theft.

He noted that the report also showed that the sum of $99.98 million was reported as underpayment to the Federation from petroleum profit tax and royalties by oil and gas companies, as a result of the use of different pricing methodology by the government

He prayed the Senate to invite the Executive Secretary of NEITI to brief the Senate on the missing funds and the cause of the leakage.

The prayer was unanimously adopted.

Senate President, Abubakar Bukola Saraki who summed up debate said that the country lost over N1 trillion in the extractive sector in 2013.

Saraki who insisted that the matter should be debated noted that if the 2016 budget of the country is N6 trillion, N1 trillion could not be lost in one sector without the Senate finding out what happened.

The Senate President had said while receiving the report: “I agree with you entirely that this type of opportunity also enables us to strengthen the institutions such as yours that have the responsibility of improving the governance and transparency administration of the management of our resources.

“In preparation for this courtesy call, I studied the report in the early hours of this morning, and honestly I was just dumbfounded about the figures that we are talking about.

“This is just 2013, one year’s report. It is not cumulative. In one year’s audit report you are talking about figures of over $3.8billion at that time I am sure the rate was close to N150 per dollar. So you are talking about N650billion. Then you are talking about another N358billion which brings it close to about N1trillion.

“Then you are talking about assets that were undervalued and transferred to NPDC but still no payment was made. You are talking about NAPIMS paying cash calls for an asset that doesn’t belong anymore to NNPC and you truly wonder that this is going on right under our nose here in this country.

“Honestly, I just concluded that as a country I don’t think we are serious. We are just paying lip service to this issue of fighting corruption because this is the real terminology of economic sabotage.

“This is what I believe agencies that are truly fighting corruption should have taken up. Meanwhile you see them sometimes chasing a Local Government Chairman for N10million or chasing even the State Governments for less amounts.

“These are just astronomical figures and nobody is being asked where the authority came from. Even if you say it was a minister, do we have where managements of those organizations have been able to say this is not what should be done?

“There are people who are responsible in management to advise on what should be done. And these people am sure are just walking the streets up and down without anybody asking them any question. It is incredible.

“Honestly, we must begin to do something about this because unless we do that we are just wasting our time. We are just chasing areas that maybe catch news headlines but they don’t have any effect.

“So to me and on our own part in this Senate, what I am going to assure you is that apart from getting the report, I have already told my office ‘let’s get the report, we circulate it to all members of the Senate’ and I promise you we are going to have a plenary session on it. And the day we are going to have it, it is going to be live on television. Let us discuss it. It is serious!

“I mean look at the figures they are talking about? And like you rightly said, you will just publish it and it will go and nobody will say anything about it? What is the ICPC doing? What is the EFCC doing? This is what is killing this country.

“But I can assure you that under this 8th Senate, these types of reports are not going to die without anybody doing something about it. We will shout until something is done because there must be responsibility of those who are professionals that should advise political leaders of these positions.”

June 2, 2016
‘Senate inches to resolve differences’

The lingering conflict of interests which polarised the Senate since its inauguration on June 9, last year, will soon be over, it was learnt yesterday.

Findings showed that senators may have resolved to sheath their swords and work together in the interest of the country as well as to shore up their dwindling legislative output.

A ranking lawmakers, Senator Abu Ibrahim, confirmed the development to reporters in Abuja, yesterday.

Ibrahim, who represents the Katsina South Senatorial District, was one of the lawmakers, senators opposed to the emergence of bubakar Bukola Saraki, as Senate President.

Saraki’s emergence as the Senate President against the interest of the ruling All Progressives Congress (APC) sowed a seed of discord in the upper chamber.

The conflict of interests engendered two opposing groups, the Senate Unity Forum, a group of senators, who opposed the candidature of Saraki and Like Minds , another group of senators, who backed Saraki to clich the senate presidency.

May 30, 2016
Senate seeks improved funding of JAMB’s CBT

The Senate has urged federal government to provide adequate funding to the Joint Admission and Matriculation Board (JAMB) to allow it improve on its Computer Based Test (CBT).

Chairman, Senate Committee on Federal Capital Territory, Senator Dino Melaye, noted that the National Assembly would prevail on the federal government to provide adequate funding for the running of the technology (CBT).

The senator, who took part in the mock CBT advocacy exercise to sensitive students on the technology by JAMB at the Eagle Square in Abuja, commended the board for introducing the initiative into the educational system.

Melaye, who was accompanied to the JAMB stand by the Permanent Secretary, Ministry of Women Affairs, Hajia Binta Adamu; JAMB Registrar/Chief Executive Officer, Professor ‘Dibu Ojerinde and other top officials of the Board toured the various facilities used by the Board for the exercise.

The CBT demonstration/ advocacy exercise began last Wednesday at the Board’s CBT Centre in Kogo, Bwari Area Council with over 13 secondary schools with 600 students from Secondary School 1 and 2 levels taking the test.

Head of Public Relations of the Board, Dr Fabian Benjamin, noted that students were the next set of candidates to write the UTME.

Benjamin added that JAMB did well to bring Nigeria at par with advanced economies through the introduction of the digital technology, which is already in use in other countries.

May 29, 2016
Senate knocks Auditor-General

The Senate yesterday knocked the Auditor-General of the Federation, Mr. Samuel Ukura, for alleged gross negligence on the audited annual reports of Ministries, Departments and Agencies (MDAs) of the Federal Government from 2009 to 2014.

As a result, the upper chamber mandated Ukura to issue clearance certificates to government agencies whose annual audited reports have been cleared.

The Senate Public Accounts Committee carpeted the Auditor-General during the probe session it held with heads of MDAs on annual reports of their audited accounts from 2009 to 2014.

The Auditor-General had indicted the MDAs in his reports forwarded to the Senate.

Mr. Ukura claimed in his reports, that many of the MDAs failed to submit their annual reports but the MDAs faulted AG’s submissions by providing evidence of submission of their annual financial reports.

The Central Bank of Nigeria (CBN) in particular was peeved by the claim of the AG in his report that the apex bank failed to make available its audited reports for 2010, 2011, 2012 and 2013.

The CBN said the queries raised by the Office of the Auditor-General on the issue was uncalled for especially since its audited reports for the years listed were submitted to the office of the Auditor-General.

CBN Deputy – Governor ( Operations), Bayo Adelabu who represented CBN Governor, Mr. Godwin Emefiele informed the committee that in line with section 65 (3d) of the 1999 Constitution (as amended) and Fiscal Responsibility Act of parliament of 2007, the apex bank submits its annual reports of any previous year on February 28 of every year.

Adelabu noted that the claim made in the report of the Auditor-General as regards annual report of CBN from 2010 to 2014, was false as the apex bank had submitted all the reports 2014 based on queries issued by the Auditor- General’s office.

The Auditor-General was absent at the investigative session, his representative did not counter the submission of the CBN.

Apart from the CBN, other MDAs including the Ministry of Petroleum Resources, Nigerian Port Authority, Tertiary Education Trust Fund (TETFUND), also faulted claims made by the Auditor- General in his reports.

May 27, 2016
Senate seeks action on violence against minors

The Senate yesterday asked the Federal Government to intensify advocacy to stop violence against children.

The upper chamber said such advocacy should be conducted through the National Orientation Agency (NOA).

The resolution followed a motion on this year’s Children Day celebration with the theme: “Stop violence against children” sponsored by Senator Oluremi Tinubu (Lagos Central) and eight others.

The Senate urged the government not to relent in its effort to bring back home all abducted and missing children safely.

It mandated its joint committee on Women Affairs and Health to visit Internally Displaced Persons (IDP) camps to look into the health and welfare of women and children and recommend appropriately to the Senate.

It hailed the initiative by the National Youth Service Corps (NYSC)that medical doctors and other health professionals be deployed to serve in IDP camps.

Senator Tinubu, in her lead debate, recognised the significant role of the Nigerian child in nation’s growth and sought a good foundation as well as secured future for them.

She lauded the passage of the Child Rights Act, 2003, which defines a new child protective system and allows opportunities for the participation of children in matters that concern their rights and welfare.

She noted that the Act had been adopted and was being implemented in 23 states, including the Federal Capital Territory (FCT).

She hailed the Universal Basic Education Act, 2004, which makes the education of the Nigerian child compulsory and enforceable right, with penalties for parents and guardians who fail or neglect the obligation.

She acknowledged that a proper system of education and good health care delivery were indispensable towards making the Nigerian child relevant in the global context.

She recognised that under the National Health Act, 2014, all pregnant women, the elderly, the disabled and children are to be exempted from paying for services in public hospitals.

The lawmaker, however, noted that she was worried that “this is not so in practice, as children and pregnant women still pay for medical services in public hospitals contrary to the expressed provisions of the National Health Act, 2014”.

Senator Tinubu said she was worried that as a result of insurgency and the general security situation in the country, children and women have been rendered more vulnerable.

She noted that over 70 per cent of the people in IDP camps are women and children who have been rendered orphans and widows.

May 27, 2016
Senate seeks action on violence against children

The Senate on Thursday asked the Federal Government to intensify moves to stop violence against children.

The upper chamber said such advocacy should be conducted through the National Orientation Agency (NOA).

The resolution followed a motion on 2016 Children Day celebration with the theme:“Stop violence against children,” sponsored by Senator Oluremi Tinubu, (Lagos Central) and eight others.

Apart intensifying advocacy to curb violence against children, the Senate urged the government not relent in its effort to bring back home all abducted and missing children safely.

It also mandated its joint committee on Women Affairs and Health to visit Internally Displaced Persons (IDPs) camps to look into the health and welfare of women and children and recommend appropriately to the Senate.

It commended the initiative by the National Youth Service Corps (NYSC) that medical doctors and other health professionals be deployed to serve in IDPs camps around the country.

The Senate commended the Nigerian children on the celebration of the 2016 Children’s Day.

May 26, 2016
Senate invites Adeosun, Emefiele over economy

• Senators seek measures to fix economy

The Senate yesterday resolved to invite the Minister of Finance, Mrs. Kemi Adeosun and Central Bank of Nigeria (CBN) Governor, Mr. Godwin Emefiele, to brief it on the state of the economy.

The invitation followed the adoption of a motion on “urgent need to address present economic state of the nation”.

Senator Bassey Albert Akpan (Akwa Ibom North East), who sponsored the motion, said the motion was informed by last week’s National Bureau of Statistics (NBS) release on the nation’s economic scorecard for the first quarter of this year for Gross Domestic Product (GDP), inflation and unemployment.

He observed that the report showed that the economy plunged into recession with a decline of 0.3 per cent year-on-year in real term, which is a drastic drop from 2.11 per cent in quarter four of last year’s GDP.

He also observed that from the report, unemployment rate rose to 21.1 per cent from 10.4 per cent in the last quarter of last year.

According to him, unemployment also increased to 19.1 per cent from 18.7 per cent in the same period while inflation rate rose from 9.6 per cent in January this year to 13.8 per cent in April this year with attendant increase in prices of basic food commodities and services in the country.

Akpan said he was worried that the declining GDP and unemployment, besides the high inflation rate, clearly showed that economic policies “are not achieving desired impact and requires an urgent review to avoid further plunge in our economy”.

The lawmaker is worried that the current economic contraction is the first major drastic slump since June, 2004, which, according to the CBN, is a 12-year-low when the World Bank’s position is a 21-year-low.

He recalled that the CBN, had in March deployed a contracting monetary policy increasing bench mark interest rate from 11per cent and cash reserve ratio from 20per cent to 22.5 per cent.

“The question is why contracting monetary policy instead of expansionary monetary policy of boosting economic activities at such a critical time as this,” he said.

Akpan said he was deeply concerned that the continued complacency of the current state of the economy, if allowed unchecked, will set the tone for a full blown economic recession by the end of June as already confirmed by the CBN in its last Monetary Policy Committee meeting.

May 26, 2016
NGO warns Senate over audit bill

Non governmental organisation, the Network Against Impunity (NAI), yesterday warned the leadership of the Senate not to hurriedly pass a bill titled: “Federal Audit Service Commission Bill”.

The National Coordinator of NAI, Comrade Yakubu Adagba, in a statement in Abuja, said if passed, the bill would entitle the Auditor General for the Federation, Mr. Samuel Ukura, to stay in office till he is 65.

The group said Ukura, who was appointed Auditor General in 2010, is due to retire on June 5 when he would be 60.

Section 19 (6) of the bill further states that, “A person holding office as Auditor General shall hold office until he attains the age of 65 years, or he has served in the public service of the federation for 35 years, depending on which comes first.”

Section 29 (50) states that, “The appointment of the Auditor General and the existing staff of the Office of the Auditor General shall remain valid upon coming into force of this bill”.

May 26, 2016
Senate move to unbundle Nigeria Railways Corporation

The Senate Wednesday began the process of unbundling the Nigeria Railways Corporation (NRC).

It is proposing to create through independent agencies that will comprise of public and private stakeholders to perform the functions of the NRC.

The upper chamber is planning a bill to reduce Federal Government’s powers as sole operators and regulators of the sector.

The bill talks about the creation of the National Railway Authority, the Independent Railway Regulatory Commission and the Railway Operators’ scheme.

Entitled, “Review of the Nigerian Railway Corporation Repeal and Re-Enactment Bill”, the proposed legislation restricts the Ministry of Transportation to policy making, while the National Railway Authority is to manage the infrastructure, pending the establishment of National Transport Commission.

The Railway Regulator, the bill says, would be charged with the functions of economic and safety regulation of the sector while the Private sector Railway Operators would have the primary function of providing railway services through concessions.

To achieve the objectives, the Senate Committee on Land Transport, composed a technical committee made up engineers in the private sector to review the existing NRC Act and come up with modalities that would enhance efficiency in the sector.

The 14-member technical committee chaired by Mr. Chris Okoye, submitted its report to the Senate leadership on Wednesday.

Senate President, Abubakar Bukola Saraki, who received the report from the Chairman, Senate Committee on Land Transport, Senator Gbenga Ashafa, said the reform of the country’s railways system is important to the much needed economic revival of the country.

Saraki reiterated the commitment of the 8th Senate towards the passage of the National Railways Commission Bill before the end of the first session of the 8th Senate.

He commended the chairman and members of the technical committee for the timely completion of their assignment.

He noted that the report had shown that the 8th Senate was committed to work with experts in the private sector to put in place necessary machineries that are necessary to put the nation’s economy back on track.

He said, “I believe everybody will benefit from the content of this report because no economy can develop without an efficient mass transportation system. We all acknowledge that the government alone cannot provide the funding needed to upgrade the rail infrastructure; therefore, the Bill will make provision that would allow the private sector to participate and subsequently take the burden of funding off the government.

“There is no way we can address our mass transportation challenge without a direct engagement with the private sector. With a good and efficient transportation system in place people will talk less about the cost of fuel.”

Saraki said that the Senate is eager to consider and pass the Bill before the end of the first session of the 8th Senate.

He expressed optimism that the House of Representatives would give the Bill speedy consideration and passage when sent to the Lower House for concurrence by the Senate.
He said, “This is one way we can address the bottlenecks in the land transportation sector. History is being made as we have opened another chapter in our legislative functions. What we are doing this afternoon is to identify technicalities in the sector before the report could be laid before the Senate.

“We must get the railways system on the right track. Public sector alone cannot address the issues. We need partnership from the private sector which was the essence of inaugurating this Technical Committee.

He noted that with the report, the Senate can comfortably debate the Bill and come out with acceptable policies that will give life back to the sector.

“I am confident that the NRC Bill will scale through third reading and passed in the Senate before the end of this session,” Saraki said.

Ashafa, explained that the Senate after the Public hearing on the NRC Bill gathered memoranda and reports which necessitated the commissioning of the technical committee to make input into the Railways repeal and reenactment Bill due to the sensitive and technical nature of the nation’s railway system.

The Lagos State lawmaker noted that the Bill when passed into law would directly make positive impact on majority of Nigerians as it would make mass movement of goods and services cheaper and the people less dependent on fuel for their transportation needs.

Okoye, commended the Senate for the opportunity to make input into the bill especially “at this defining moment in the nation’s history.”

He said, “As a nation, we have attacked the power sector even though there are still hiccups. The next most important sector is transportation and we believe that if given the required attention, it has the potential of catalyzing the nation’s economic growth.

He said, “People will not worry about fuel if they know that they have an efficient mass transportation system that will move them from place to place.”

He further noted that the setting up of the technical committee to make input into the National Railways Commission Bill is the first in the history of the National Assembly.

May 25, 2016
Senate summons Adeosun, Emefiele over dwindling economy

The Senate Wednesday resolved to invite the Minister of Finance, Mrs. Kemi Adeosun and Central Bank of Nigeria (CBN) Governor, Mr. Godwin Emefiele, to brief it on the state of the country’s economy.

The invitation followed the adoption of a motion on “urgent need to address present economic state of the nation”

Senator Bassey Albert Akpan (Akwa Ibom North East) who sponsored the motion said that the motion is informed by the National Bureau of Statistics release last week bordering on the nation’s economic scorecard for the first quarter of the year 2016 for Gross Domestic Product (GDP), inflation and unemployment.

He observed that the report depicted that the country’s economy plunged into recession with a decline of 0.3 per cent year-on-year in real term which is a drastic drop from 2.11 per cent in quarter four 2015 IN GDP.

He also observed that from the report, unemployment rate rose to 21.1 per cent in quarter one 2016 from 10.4 per cent in Q4 2015.

According to him, unemployment also increased to 19.1 per cent from 18.7 per cent in the same period while the rate inflation rose from 9.6 per cent in January 2016 to 13.8 per cent in April 2016 with attendant increase in prices of basic food commodities and services in the country.

Senator Akpan said that he is worried that the declining GDP and unemployment besides the current high inflation rate clearly shows that the economic policies of the country “are not achieving desired impact and requires an urgent review to avoid further plunge in our economy.”

The lawmaker said that he is further worried that the current economic contractions is the first major drastic slump since June, 2004, which according to the CBN is a 12-year-low when the World Bank’s position is a 21-year-low.

He recalled that the CBN, had in March, 2016 deployed a contracting monetary policy increasing bench mark interest rate from 11% and cash reserve ratio from 20% to 22.5%.

“The question is why contracting monetary policy instead of expansionary monetary policy of boosting economic activities at such a critical time as this,” he asked.

Senator Akpan noted that he is deeply concerned that the continued complacency of the current state of the economy if allowed unchecked will set the tone for a full blown economic recession by the end of June 2016 as already confirmed by the CBN in its Monetary Policy Committee meeting on Tuesday.

The Akwa Ibom lawmaker said that he is disturbed that the current economic situation in the country coupled with lack of required foreign exchange to boost import of raw materials for domestic industries will worsen the unemployment and poverty situation in the country.

He noted that considering the decline in oil production in the Niger Delta by 800,000 b/d vis a vis the benchmark production for 2016 budget of 2.2mb/d, owing to the vandalisation of oil pipe lines, in addition to the inability of non oil revenue collecting agencies to meet to meet revenue targets owing to the economic crunch.

Senator Akpan concluded that he is convinced that with the current economic slump, “meeting the key budgetary revenue projection of the 2016 budget is practically impossible and the need to have a rethink to avoid deepening budget deficit or poor budget implementation.”

He added that “whether we like it or not, no matter what we call it, the Naira was devalued Tuesday.”

The single prayer that the Senate should invite the Minister of Finance, Mrs. Kemi Adeosun and the CBN Governor, Mr. Godwin Emefiele to brief the Senate on the monetary/fiscal policies adopted to salvage the economic situation was unanimously adopted.

Senate President, Abubakar Bukola Saraki, who briefly presided over the plenary, ruled out any debate.

Saraki said that since Adeosun and Emefiele would appear before the Senate in plenary, there was no need to pre-empt them.

Senator Biodun Olujimi (Ekiti South) who seconded the motion said that it is obvious that the country has no economic blue print to drive its economy.

May 25, 2016