Former Vice President Atiku Abubakar has called for the immediate listing of the Nigerian National Petroleum Corporation Limited (NNPCL) on the stock exchange, citing compliance with the Petroleum Industry Act (PIA). His demand follows the NNPCL’s recent decision to transfer management of the Warri and Kaduna refineries to private operators.
In a statement released on Sunday by his media adviser, Paul Ibe, Atiku emphasized that the NNPCL’s stock exchange listing is essential for improving profitability, transparency, and corporate governance. He criticized the NNPCL’s current status as a mere façade, asserting that despite claims of privatization, the corporation continues to serve as a financial tool for the Federal Government. He described any development short of a stock exchange listing as merely superficial.
Atiku, who was the presidential candidate for the Peoples Democratic Party (PDP) in the 2023 election, also criticized the NNPCL for allegedly providing political cover for inconsistencies in the Tinubu government’s subsidy policies, questioning the independence required by the PIA. He pointed out that previous attempts at similar arrangements had failed due to lack of transparency and inadequate investment attraction.
To ensure success, Atiku suggested involving the Bureau of Public Enterprise (BPE) and a reputable technical partner, such as Standard and Poor’s, in the process. He referenced former President Olusegun Obasanjo’s recent comments about Shell’s rejection of the offer to manage Nigeria’s refineries, attributing this to endemic corruption within the NNPCL. He noted that over $20 billion spent on the refineries in the past two decades has yielded no significant improvements.
Atiku further questioned the feasibility of the NNPCL’s current plan, recalling past failures of similar strategies, such as those with Manitoba Hydro International and Global Steel Limited. He warned that the opaque nature of recent contracts, like the one involving OVH and Nueoil, suggests that the current approach to privatizing the refineries could be fraught with corruption.
He concluded that if the NNPCL’s management of the refineries is handled as poorly as past privatizations, Nigerians should not expect any beneficial outcomes.
WRITTEN BY: BLOSSOM KUGBERE