Senate Approves 2024-2026 MTEF, To Investigate N8.4tn Subsidy Funds Withheld By NNPCL

The Nigerian Senate has approved the 2024-2026 Medium-Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP), enabling the Federal Government to proceed with its fiscal plans.

This decision followed the presentation of a report by Senator Mohammed Sani Musa (Niger East), chairman of the Joint Committees on Finance and National Planning & Economic Affairs.

In addition, the Senate mandated its Committees on Finance, Petroleum, and Gas to investigate allegations of unremitted funds by the Nigerian National Petroleum Company Limited (NNPCL).
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The allegations include NGN 8.48 trillion in withheld petrol subsidy payments and $2 billion (approximately NGN 3.6 trillion) in unpaid taxes.

The inquiry was prompted by reports from the Nigeria Extractive Industries Transparency Initiative (NEITI) and the Revenue Mobilization, Allocation, and Fiscal Responsibility Commission.

Further complicating matters, the Office of the Auditor-General of the Federation disclosed that it had recently received the full documentation necessary to verify NNPCL’s NGN 2.7 trillion fuel subsidy claim.

This development underscores growing concerns over transparency and accountability in Nigeria’s oil and gas sector, as lawmakers seek to uncover the reasons behind the alleged irregularities in subsidy and tax remittances.

The Senate’s actions align with broader efforts to ensure fiscal responsibility and sustainable economic planning in the face of Nigeria’s economic challenges.