The House of Representatives Public Accounts Committee, PAC, has commenced an investigation into outstanding debts owed to the Nigerian Midstream and Downstream Petroleum Regulatory Authority, NMDPRA, by the Nigerian National Petroleum Company Limited, NNPCL, and oil companies, with the liabilities put at N432.07 billion.
The investigation followed findings contained in the Auditor-General’s annual audit reports on unpaid regulatory and petroleum-related obligations.
According to the Auditor-General’s 2023 Annual Audit Report, NNPCL and oil companies operating under 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 N392.73 billion.
The report said the liabilities arose from Balancing Allowance, National Transport Average, the one per cent Midstream and Downstream Gas Infrastructure Fund, as well as legacy debts relating to imports, coastal and credit transactions.
A breakdown showed that NNPCL accounted for N162.46 billion, while the oil companies owed N230.27 billion, bringing the combined liability to N392.73 billion.
However, the Auditor-General’s 2024 report put the outstanding indebtedness at N432.07 billion, excluding NNPCL’s liability.
Further submissions by NMDPRA to the Public Accounts Committee showed that 146 oil companies operating under DAPPMAN, MEMAN and MOMAN owed the Authority N327.53 billion as of 2025.
The committee noted that the outstanding obligations covered the period from 2017 to 2023 and had largely remained unpaid at the time of the review.
Chairman of the committee, Rep. Bamidele Salam, said the panel would ensure that all entities involved accounted for their obligations and provided the necessary records to enable Parliament establish the circumstances surrounding the outstanding liabilities.
Salam also warned companies and institutions summoned by the committee against disregarding parliamentary invitations.
“Any company invited by this committee must respect the people’s Parliament of the Federal Republic of Nigeria by honouring the summons with appropriate representation and all relevant documents,” he said.
He added: “We are not here to witch-hunt anybody; our responsibility is to establish the facts, protect public revenue and ensure that every naira due to government is properly accounted for.”
According to him, the committee would scrutinise records relating to the debts, including the basis of the liabilities, periods covered, payments already made, outstanding balances and measures taken by the regulatory authorities to recover the funds.
Salam said the investigation was aimed at strengthening accountability in the management of public revenue and preventing statutory obligations owed to government agencies from accumulating without effective recovery measures.
The PAC reaffirmed its commitment to exercising its constitutional oversight mandate and ensuring that public revenues were properly accounted for, while government agencies took appropriate steps to recover outstanding liabilities.
