Dangote: House Speaker disbands Oil & Gas committee

Dangote Refinery facing Financial Troubles, needs $3 Billion Working Capital
Aliko Dangote, chief executive officer of Dangote Group, gestures after signing a factory construction contract with Sinoma International Engineering Co. Ltd. in Lagos, Nigeria, on Wednesday, Aug. 26, 2015. Dangote Cement has expanded capacity five-fold in the last four years as the company invested outside its home market. Photographer: Tom Saater/Bloomberg

The Speaker of the House of Representatives, Tajudeen Abass has dissolved an ad hoc committee investigating the oil and gas sector and the rift between Dangote Refinery and sector players/NMDPRA.

The committee, was among other things, tasked with investigating the importation of adulterated petroleum products, the non-availability of crude oil for domestic refineries.

In a statement on Wednesday, spokesman of the house, Akin Rotimi said the action was to ensure efficacy, independence, and effectiveness of the investigation.

The decision to disband the committee came after a Politics Nigeria exposè that revealed how Dangote refinery may have deceived a group of lawmakers who went on tour of the facility in July.

Backed with verifiable evidence, the report detailed how the diesel fuel refined at the facility contained a high level of the harmful sulphur content—at least 400 percent more than European Union (EU) standards. Whereas, the CEO of Dangote Refinery, Aliko Dangote had told the visiting lawmakers that the fuel produced by his refinery had low sulphur content.

Also, contributing to the decision are multiple accusations of bribery against the Chairman of the committee, Hon. Ikenga Ugochinyere. However, the Green Chambers has denied the allegations of bribery or any inducement.

According to Rotimi, the disbanded committee will be succeeded by a newly constituted ad-hoc committee with the same mandate.

“The House remains committed to addressing these vital issues and ensuring thorough oversight. Further details on the new committee’s operations will be provided in due course.”

Background

PulseNets gathered that trouble began when Mr Ikenga asked the committee members to halt the process of NNPCL going to the open market to source for funding of $2 billion and thereafter convene a press conference.

This move was resisted by a majority of the committee members who noted that such would be counterproductive as they do not have all the details of the matter.

According to Daily Nigerian, the lawmakers also kicked against any press conference or briefing, pending the time the joint committee starts its sitting, a move that didn’t go down well with Mr Ikenga.

Ikenga reportedly went behind to lobby lawmakers to begin to send out press releases. In a Whatsapp group opened for the Committee, Ikenga was accused of getting money from Dangote Refinery to take sides and was asked to step aside for a neutral person from the downstream to be co-chair, a move he resisted.

The members, it was gathered, became livid by the manner in which Mr Ikenga had taken the investigation personally by already writing a favorable report for Dangote refinery and waiting for the members to adopt and sign, an action which they have all rejected.

Also Read: Aliko Dangote Offers to Sell Oil Refinery to Federal Government-Owned NNPC

It was also gathered that Ikenga sponsored 15 lawmakers to convene a press briefing, calling for the suspension of the management of NNPCL and NMDPRA, despite the joint committee chairman, Prince Okojie’s kicking against such moves.

This led to Mr Okojie, his vice chairman and clerk writing to the Speaker to distance themselves from the statements made by the 15 lawmakers.