N1.16 Trillion On Fuel Subsidy In 2021 As Lawmakers Probe NEITI Audit Reports

 Nigeria spent ₦1.16 trillion on fuel subsidy in 2021, while an additional ₦1.20 trillion was deducted from crude oil sales proceeds belonging to the Federation during the same period, the Senate Public Accounts Committee has been told.

The figures were disclosed by the Chairman of the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC), Dr. Mohammed Bello Shehu, during the committee's ongoing investigation into the 2021–2023 Nigeria Extractive Industries Transparency Initiative (NEITI) audit reports on the oil and gas sector, TVC News knows.

According to Dr. Shehu, the country also recorded significant financial losses across the petroleum industry in 2021. He said crude oil and petroleum product losses amounted to ₦16.2 billion, pipeline repairs cost ₦22.05 billion, while ₦6.75 billion was spent on strategic stock holding.

The RMAFC chairman further argued that the current formula used in calculating the 13 per cent derivation fund does not reflect the constitutional intent behind the policy, suggesting that the existing approach undermines its original purpose.

Meanwhile, the Senate committee postponed the Niger Delta Development Commission (NDDC) presentation until next Wednesday, giving lawmakers more time to review documents submitted by the commission.

The committee also expressed dissatisfaction over the absence of the Auditor-General of the Federation, warning that he must appear before the panel next Tuesday or risk being compelled to do so under the constitutional powers of the National Assembly.