The Public Accounts Committee of the House of Representatives has commenced a probe into the outstanding indebtedness of oil companies, including the Nigerian National Petroleum Company Limited (NNPCL). Read Also Court Order Blocks PFIPC Suspect’s Appearance as Reps Allege 19 Forged DocumentsReps Drop Own State Police Bill, Advance Tinubu’s Executive……
The Public Accounts Committee of the House of Representatives has commenced a probe into the outstanding indebtedness of oil companies, including the Nigerian National Petroleum Company Limited (NNPCL).
The probe centres on the oil companies’ debts to the Nigerian Midstream and Downstream Petroleum Regulatory Authority NMDPRA, with the liabilities rising to N432.07 billion.
The investigation follows findings contained in the Auditor-General’s annual audit reports on the indebtedness arising from various regulatory and petroleum-related obligations.
The Auditor-General’s 2023 Annual Audit Report stated that the NNPCL and oil companies operating under the umbrella of the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), Major Marketers Association of Nigeria (MOMAN) and Major Energy Marketers Association of Nigeria (MEMAN) were indebted to NMDPRA to the tune of ₦392.72 billion.
The report indicated that the debt comprised obligations arising from Balancing Allowance, National Transport Average, 1% Midstream and Downstream Gas Infrastructure Fund, as well as legacy debts associated with imports, coastal and credit transactions. A breakdown of the 2023 figures showed that NNPCL owed ₦162.45 billion while the oil companies owed ₦230.26 billion, bringing the combined indebtedness to ₦392.72 billion.
However, the Auditor-General’s 2024 report indicated that the outstanding debt had increased to ₦432,07 billion excluding the indebtedness of NNPCL.
Further review of submissions made by the NMDPRA to the Public Accounts Committee showed that 146 oil companies operating under DAPPMAN, MEMAN and MOMAN owed the Authority ₦327.52 billion as of 2025.
The Committee also noted that the indebtedness covers the period 2017 to 2023 and has largely remained unpaid as of the date of the review.
Chairman of the Committee, Bamidele Salam, said the Committee would ensure that all relevant entities account for their obligations and provide the necessary records to enable Parliament to establish the circumstances surrounding the outstanding debts.
