The Nigerian Government has reduced public spending on oil subsidy payments from N2.2 trillion in 2011 to N971 billion last year, the Coordinating Minister for the Economy, Dr Ngozi Okonjo-Iweala, has disclosed. She noted that this represents a reduction of over N1.2 trillion or 56%.

Dr. Okonjo-Iweala recalled the background to the high profile issue which generated immense public concern. Said she in a statement signed by her Special Adviser, Paul C Nwabuikwu:

“In 2011, there was a huge public outcry. As a result, this administration has worked hard to clean up the process of subsidy payments. In response the ministry set up the Aig-Imoukhuede committee which investigated the subsidy payments. The committee was later elevated to a Presidential Committee by Mr. President.

“We also hired new auditors and we put in place different checks and balances. As a result, last year, we brought subsidy payment down to about N950 billion, and we expect that this year, we will pay about N971 billion.

“I believe this is a huge achievement for which the Jonathan administration deserves some credit, something that should make Nigerians proud of their government.”

According to the statement, “Also, in furtherance of the Jonathan administration’s commitment to transparency and accountability in the management of fuel subsidy payments, the Federal Ministry of Finance has released the sum of N46,764,191,448.16 as latest payment to oil marketers whose claims have successfully gone through the verification process.”

TABLE 1: BATCH E/13 (11 OIL MARKETERS)

TABLE 2: BATCH F/13 (19 OIL MARKETERS)

This means that, so far in 2013, a total of N287,351,770,696.16 has been paid in verified claims to verified marketers.

•Photo shows Okonjo-Iweala.