Statement in Regards of Nigeria's Fuel Subsidy Removal From Mrs. Diezani Alison-Madueke

Statement in Regards of Nigeria's Fuel Subsidy Removal From Mrs. Diezani Alison-Madueke

15 January 2012

The following is a statement from Minister of Petroleum Resources Diezani Alison-Madueke.

Following the removal of subsidies on Premium Motor Spirit (PMS) commonly referred to as petrol, by the Federal Government on January 1, 2012 and the ensuing protests that followed the announcement, it is clear that the Nigerian people are demanding for better accountability and transparency in the oil industry. Consequently, in keeping with the transparency and accountability policies of the Goodluck Ebele Jonathan Administration, I have taken the following actions:

1) With Presidential approval, I have written to invite the EFCC to immediately review all payments made in respect of subsidies on PMS and kerosene and to take all necessary steps to prosecute any incidence of malfeasance, fraud, over-invoicing, and related illegalities in an open and transparent manner;

2) I have set up a unit within my office to be headed by an independent auditor to review the KPMG and other audit reports on NNPC and other Parastatals, and immediately begin implementation of their findings, ensuring, at all times, full probity and value for money;

3) I am empaneling another unit in my office to begin a comprehensive review of the management and controls within all Parastatals in the Ministry of Petroleum Resources, including but not limited to NNPC, PPPRA, and DPR. Accordingly, I expect a report in 30 days to enable us take further action in reforming management, personnel, and other practices and procedures in Parastatals within the Ministry. It should be noted however that this process has already begun in PPPRA, and DPR where management changes and reform are beginning to yield desirable results; and

4) I will be meeting with the Senate President and the Speaker of the House of Representatives in the coming week to seek their co-operation and leadership in the quick passage of the Petroleum Industry Bill so that we can anchor the comprehensive reform of the oil industry.

I would like to assure the people of Nigeria that all hands are on deck to ensure full probity and accountability in the oil industry. Having spent the last few months painstakingly reviewing its operations and designing a vision for the future, it is now time to deliver.