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Published On: Sun, Mar 18th, 2018

Falana slams NNPC for failing to reveal financial information

Human rights lawyer, Femi Falana, has criticised the Nigerian National Petroleum Corporation (NNPC) for rejecting a Freedom of Information request he made concerning the operations and finances of the corporation.

Falana

Falana said the submission that the NNPC is not a public institution is embarrassing in that NNPC’s Counsel did not advert her mind to section 2(7) of the Freedom of Information Act which has defined public institutions to include the NNPC.

The NNPC had earlier rejected FOI request by the Senior Advocate of Nigeria to provide information on the amount of money spent on petrol subsidy and turnaround maintenance of refineries in Nigeria saying the NNPC is not a public institution.

NNPC made this rejection in a letter sent to Falana and titled, ‘Re: Request for Information on Proposed Review of the Pump Price of Premium Motor Spirit’ dated March 1, 2018.

The NNPC said, “We regret to inform you that the NNPC is not in a position to provide any information or document as your request is incongruous with, unsupported by or outside the scope and purview of the Freedom of Information Act. Be informed that the FOI Act is not applicable to the NNPC because it is not a public institution within the meaning of Section 31 of FOIA.”

But Falana criticised the response of the NNPC in a paper titled “Advancing the anti-corruption fight: the role of lawyers which was delivered at a campaign in Abuja.

Falana said contrary to the contention of the Counsel, the NNPC is a public institution as the Federal Government has the controlling interest in it and it is utilising public funds to provide public services.

“Indeed, because the NNPC is a public institution its budget is appropriated by the National Assembly while its accounts are audited by auditors appointed by the Auditor- General of the Federation in line with section 85 of the Constitution,” he said.

The NNPC Board reports to President Muhammadu Buhari in his capacity as the head of the Federal Government while the NNPC Management reports to him as the Minister of the Petroleum Resources hence Falana’s criticism upon being told that the NNPC is not a public institution.

The paper read in part: “Under the FOI Act, public institutions mean all authorities whether executive, legislative or judicial agencies, ministries and extra-ministerial departments of government, together with all corporations established by law and all companies in which government has a controlling interest, and private companies utilising public funds, providing public services or performing public functions.

“It is on record that the NNPC Management had once dissociated the Corporation from a similar view credited to the NNPC Legal Department.

Thus, during the induction ceremony for newly recruited Graduate Trainees held at the NNPC Towers in Abuja on August 10, 2012, the then NNPC Group Managing Director, Mr. Andrew Yakubu recalled that following the enactment of the Freedom of Information Act the NNPC Management had swiftly established a Task Force with the goal of examining the law and advising management on how best to comply with its provisions.”

“In fact, for the avoidance of doubt, Mr. Yakubu said that, ‘Long before the Freedom of Information Act came into force, the NNPC has been maintaining an open door policy which sees it volunteering information to its various policies through press releases, advertorials and presentations at different forums including hearings at the National Assembly.”

Falana claimed that it was on the basis of the commitment of the NNPC to ensure that its activities and operations live up to public scrutiny that they disregarded the legal opinion of the Counsel when they recently informed the nation that the NNPC had spent $5.8 billion for the importation of fuel in just two months of this year and that N744 is incurred daily as fuel subsidy.

The decision of the NNPC Management to give details of the cost of importation of fuel, Falana said further has exposed the claim of the Counsel that such matters are “trade secrets” which cannot be disclosed “in the public interest” under the Freedom of Information Act.

He said since the Board and Management of the NNPC have not had cause to renounce the commitment of the Corporation to comply with the provisions of the Freedom of Information Act they ought to make it clear to the Counsel that the days of opacity the running NNPC are over.

Falana also made reference to the fact that President Buhari during the inauguration of the current NNPC board on November 18, 2016 said, “Since the arrival of this administration, there has been an improvement in transparency through publishing monthly operational and financial report of the Corporation.” Hence his disappointment when being told that the corporation is not a public institution.

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