Members of the House of Representatives said they would make a proposal to the Federal Government in the next few days on the need for the privatization of the four national refineries.

The chairman of the House Committee on Petroleum Upstream, Ikenga Imo Ugochinyere dropped the hint on Monday, August 28, during the committee’s courtesy visit to the Nigeria Extractive Industries Transparency Initiative (NEITI) in Abuja.

He said the committee has predicated the proposal on the fact that the rehabilitation of the refineries has gulped funds that would have been sufficient to build new three ones.

Ugochinyere insisted that privatizing the refineries would make them more beneficial to the citizenry since they would provide refined petroleum products domestically.

“Let me also propose to you one of the things our committee is going to be championing in the days ahead which is the privatization of some of our nation’s refineries. You will agree with me that for decades we have been on these refinery issues.

“And we have spent money that if they use it to build new refineries we would have built two or three. And then we keep maintaining them over time. It is better that these refineries are privatized to make it efficient so that Nigerians can get the benefits they require in refining our products domestically,” he added.

Ugochinyere extolled the NEITI Executive Secretary, Orji Ogbonnaya for the reforms he has been championing in the extractive industries for the benefit of all Nigerians.

He added that NEITI has taken a commendable position by seeking more investments downstream as it has to do with the building of more private refineries.

According to him, the establishment of private refineries would help create more jobs, and infrastructure, and result in an efficient and transparent oil industry.

The committee chairman said that NEITI needs more funding in terms of budgetary allocation, adding “And also we agree with you that the fund is receiving is not enough for the detailed work that is doing.”

He vowed that the committee would work towards the amendment of the NEITI Act to make provision for the watchdog organization to retain some percentage of the funds its audit reports lead to their recovery.

Ugochinyere said: “And also we have to find a way to restructure in the amendment of the NEITI Act, a provision that will allow NEITI to keep some certain percentage of what they recover to help them to continue to do this work better.”

He expressed the committee’s readiness to propose a legislature that will strengthen NEITI’s power to discharge its responsibilities.

The reforms, he said, will come in the form of an amendment to the NEITI Act to saddle NEITI with the power to take action against offenders.

He further noted that it will also empower NEITI to investigate offences and recommend prosecution of offenders by relevant investigative and prosecuting agencies of the government.

Ugochinyere vowed that the law will ensure that in the course of such investigation, NEITI will be able to sanction stakeholders who refuse to cooperate in the course of discharging its responsibilities like refusal to provide documents for NEITI investigative purposes.

It will also empower the watchdog organization to sanction any manipulative and obstructive officials of the government that prevent NEITI from carrying out its responsibilities.

Earlier, Orji promised that NEITI would be available to guide the committee with crucial facts and data it requires to oversight the industry.

He added that the committee came at a time when the implementation of the Petroleum Industry Act which this NEITI fought very hard and initiated with the support of the last National Assembly came to fruition after 18 years.

The Executive Secretary further noted, “The implementation of that Act has begun but the fate of that implementation is hanging in the balance. We are waiting for that nerve from a committee like yours to ensure that implementation is effected and continues on the part of success.”

He invited the committee to the unveiling of the 2021 NEITI solid minerals audit report on September 4 and oil and gas on September 18. (The Nation)

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