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$850bn crude oil export proceeds hanging aboard traced to JVCs—-Senate

The National Assembly has said over $850 billion made by the government between 1996 and 2014 from crude oil export was yet to be repatriated to the country by the Joint Venture Oil Companies (JVCs).

The salient observation was made by the Senate who viewed same as a total contravention of Nigeria’s Pre-shipment Inspection of Export Act and Article 26 of Export Policy Guidelines and procedures for crude oil, gas and non-oil goods.

In his remarks while declaring the seating open, Senate President, Bukola Saraki, had while declaring the public hearing open, expressed his dissatisfaction over the refusal of the JVCs to repatriate crude oil export proceeds of over $850 billion between 1996 and 2014 and warned the companies against flouting the laws of the country in which they were doing business. He said those found wanting in the development would be made to face the wrath of the country’s law.

Within the seating, lawmakers also hinted that findings have proved to them that Nigeria has been exporting oil and non-oil products without documentation since June 2015, thus losing over N23.6 billion in the process.

The Senate observed these during an investigative public hearing organized by the Senate Joint Committees on Finance, Trade and Investment; Gas, Petroleum Upstream; Banking, Insurance and other Financial Institutions; Judiciary, Human Rights and Legal Matters, as well as Customs, Excise and Tariff, on the “Need to Investigate Pre-Shipment Inspection of Export Activities in Nigeria.”

During the panel seating, a deputy director in the Federal Ministry of Trade and Investment, Usman Ndanusa, who represented the ministry, disclosed that the country had been exporting its oil and non-oil products without measurement and documentation since June 2015.

According to him, the development followed the disengagement of pre-shipment inspection agents at the various export terminals and their subsequent replacement with agents who were asked to carry out the pre-shipment work at the terminals by the federal government without legal and constitutional backing.

Arguing that their engagement was backed by law, there was no one to undertake supervision of the agents.

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