Fuel Subsidy Removal: Tinubu Seeks N500bn Approval For Palliatives

President Bola Tinubu has recommended that the 2022 Supplementary Appropriation Act be amended to include N500 billion for palliatives to mitigate the effects of the elimination of the petrol subsidy on citizens.

This was said in a letter read in plenary yesterday to the Speaker of the House of Representatives, Tajudeen Abbas.

The letter read: “I write to request for the amendment of the 2022 supplementary Appropriation Act. The request became necessary to provide necessary palliatives to mitigate the effects of the removal of fuel subsidy on Nigerians.

“Thus, the sum of N500 billion has been extracted from the 2022 supplementary appropriation act of N819.536 billion for the provisions of palliatives to cushion the effects of subsidy removal. I seek the expeditious consideration of this request.”

The speaker said the lawmakers would consider Tinubu’s request at plenary today and asked members who would make contributions to be prepared to do so.

The House also resolved to probe the Nigerian Maritime Administration and Safety Agency (NIMASA) over alleged fictitious contract awards, mismanagement and lopsided placement or directors.

This is as it is also set to commence  the probe of alleged crude oil theft and loss of revenue in the oil and gas sector of the economy.

The House also resolved to set up an Ad-hoc Committee to undertake the investigation and report back to it within four weeks for further legislative actions.

In the case of NIMASA, the probe followed the adoption of a motion by the minority leader, Kingsley Chinda and four others, imploring the House to investigate alleged unwholesome practices by the management of NIMASA.

Chinda, in his lead debate, noted  that there have been alleged award of questionable contracts, fraudulent forex transactions  and lopsided placement of directors in the agency.

“There have been several allegations of questionable, inflated and fictitious contract  awards particularly for non-operational speed boats, security surveillance contracts and Deep Blue Water Contract, revenue leakages and the award of contracts to cronies of the Director-General and other top management staff of the agency.”

The lawmaker noted  that there were also allegations of  under-remittance of debts owed the country by shipping firms, with the consent and connivance of the agency.

Chinda added that there were allegations that NIMASA allegedly entered into a questionable contract with a firm (name withheld ) “for the lease of six speed boats, each at the rate of $173,930 monthly, without a need Assessment for such facility being carried out by the relevant departments of the agency.