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SERAP sues President Tinubu over petrol price hike

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Socio-Economic Rights and Accountability Project (SERAP) has filed a lawsuit against President Bola Tinubu over what it described as the failure by the President to direct the Nigerian National Petroleum Company Limited (NNPCL) to reverse the “apparently unlawful increase in the pump price of petrol, and to probe the allegations of corruption and mismanagement in the NNPCL.”

Joined in the suit as Respondents are the Attorney General of the Federation and Minister of Justice Mr Lateef Fagbemi, SAN, and the NNPCL.

In the suit number FHC/ABJ/CS/1361/2024 filed on Friday at the Federal High Court, Abuja, SERAP is asking the court “to compel President Tinubu to direct the NNPCL to reverse the unjust, illegal, unconstitutional and unreasonable increase in the price of petrol from N845 per litre to N600 per litre.”

SERAP is also asking the court “to compel President Tinubu to direct Mr Lateef Fagbemi, SAN, and appropriate anti-corruption agencies to probe the allegations of corruption and mismanagement in the NNPC, including the spending of the reported $300 million ‘bailout funds’ collected from the Federal Government in August 2024, and the $6 billion debt it owes suppliers, despite allegedly failing to remit oil revenues to the treasury.”

SERAP is asking the court “to compel President Tinubu to direct Mr Lateef Fagbemi, SAN, and appropriate anticorruption agencies to prosecute anyone suspected to be responsible for the alleged corruption and mismanagement in the NNPCL, if there is sufficient admissible evidence, and to recover any proceeds of corruption.”

In the suit, SERAP is arguing that: “The increase in petrol price is causing immense hardship to those less well-off. As the economic situation in Nigeria deteriorates, the increase is pushing people further into poverty.”

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SERAP is also arguing that, “Holding the NNPC to account for alleged corruption and mismanagement in the oil sector would serve legitimate public interests.”

The suit filed on behalf of SERAP by its lawyer Ebun-Olu Adegboruwa, SAN, read in part: “The increase in petrol price constitutes a fundamental breach of constitutional guarantees and the country’s international human rights obligations.”

“Corruption in the oil sector and the lack of transparency and accountability in the use of public funds to support the operations of the NNPC have resulted in persistent and unlawful hike in petrol prices.”

“Increasing petrol prices at a time when millions of Nigerians continue to face worsening economic conditions is entirely inconsistent with constitutional and international obligations to ensure the minimum living conditions compatible with human dignity.”

“The arbitrary increase has placed a disproportionate burden on the marginalized and most vulnerable sectors of society, particularly those disadvantaged by poverty.”

“The increase is seriously jeopardizing their living conditions, as well as individuals’ physical, emotional, and individual development, and intensifying and worsening socioeconomic conditions in the country.”

“The increase constitutes a serious human rights problem because of the intensity with which it undermines the enjoyment and exercise by Nigerians of their human rights and renders their civic participation illusory.”

“The fundamental right to life includes not only the right of every Nigerian not to be deprived of his/her life arbitrarily, but also the right that he/she will not be prevented from having access to the conditions that guarantee a dignified existence.”

“The growing poverty and inequality in the country has continued to adversely affect the right of Nigerians to participatory democracy, and impede their ability to participate in their own government.”

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“Nigerians have for far too long been denied justice and the opportunity to get to the bottom of why they continue to pay the price for corruption in the oil sector. The increase in petrol price has rendered already impoverished citizens incapable of satisfying their minimum needs for survival.”

“The increase is not inevitable, as it stems from the persistent failure of successive governments to address the allegations of corruption and mismanagement in the oil sector and the impunity of suspected perpetrators.”

“Persistent increase in petrol prices keep people in poverty which in turn perpetuates discriminatory attitudes and practices against them.”

“The government has a legal obligation to mobilize the maximum of the country’s available resources to ensure people’s socio-economic rights and to protect the most vulnerable and disadvantaged Nigerians.”

“The government also has the legal obligations to probe and prosecute allegations of corruption and mismanagement in the NNPC, and to ensure access to justice and effective remedies for victims of corruption.”

“Investigating and prosecuting the allegations of corruption and mismanagement in the oil sector would be entirely consistent with the Nigerian Constitution 1999 [as amended], and the country’s international anti-corruption obligations.”

“Section 13 of the Nigerian Constitution imposes clear responsibility on the government to conform to, observe and apply the provisions of Chapter 2 of the constitution. Section 15(5) imposes the responsibility on the government to ‘abolish all corrupt practices’ including in the NNPC.”

“Under Section 16(1) of the Constitution, the government has a responsibility to ‘secure the maximum welfare, freedom and happiness of every citizen on the basis of social justice and equality of status and opportunity.’”

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“Section 16(2) further provides that, ‘the material resources of the nation are harnessed and distributed as best as possible to serve the common good.’”

“According to our information, the Nigerian National Petroleum Company (NNPC) Limited recently increased the price of premium motor spirit (PMS), also known as petrol, across its retail outlets.”

“The price of the product increased to N855 per litre, from about N600, and in some instances above N900 per litre. The apparently unlawful increase in petrol price followed a scarcity caused by the reported refusal by suppliers to import petroleum products for the NNPCL over a $6 billion debt.”

“The NNPC allegedly failed to remit USD$2.04 billion and N164 billion of oil revenues into the public treasury, as documented in the recently published 2020 annual report by the Auditor-General of the Federation.”

 

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Nigeria’s Public Debt Rises 48% To N144.67trn In 2024

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Nigeria’s public debt rose by 48.5 per cent year-on-year (YoY) to N144.67 trillion ($94.23 billion) in 2024 from N97.34 trillion ($108.23 billion) in 2023.

The Debt Management Office (DMO) disclosed this in its latest public debt profile report.
The debt stock consists of external debt of N70.29 trillion ($45.78 billion) serviced with $4.66 million and domestic debt of N74.38 trillion ($48.44 billion).
The report showed that the country’s external debt increased by 83.89 per cent YoY from N38.22 trillion ($42.5 billion) in 2023.

Domestic debt also grew by 25.7 per cent YoY from N59.12 trillion ($65.73 billion) in 2023.
The report further indicated that the Federal Government’s domestic debt component rose by 32 per cent YoY to N70.41 trillion from N53.26 trillion in 2023.
But the domestic debt of states and the Federal Capital Territory declined YoY by 32 per cent to N3.97 trillion in 2024 from N5.86 trillion in 2023.

The rise in public debt can be attributed to fluctuating trends in exchange rates amidst changes in global economic conditions.

The sharp increase, particularly in external debt, highlights the nation’s vulnerability to exchange rate volatility and changes in global economic conditions.
With the continued depreciation of the naira, the cost of servicing foreign debt could escalate, adding pressure on the country’s financial resources.

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NNPCL Names New Senior Management Team

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The Nigerian National Petroleum Company Limited (NNPCL) has announced the appointment of a new eight -man Senior Management Team.

The appointment followed the recent announcement followed the appointment of the Group Chief Executive Officer (GCEO) and Board of Directors.

Disclosing this in a statement on Friday, NNPCL Chief Corporate Communications Officer, Olufemi Soneye, said the appointments all take immediate effect.

“Following the appointment of the Group Chief Executive Officer and Board of Directors, the Nigerian National Petroleum Company Limited (NNPC Ltd) has announced the appointment of a new 8-man Senior Management Team on Friday,” he stated.

“The team which will be headed by the GCEO, Mr Bashir Bayo Ojulari, has Rowland Ewubare as Group Chief Operating Officer; Adedapo Segun as Group Chief Financial Officer; and Olalekan Ogunleye as Executive Vice President Gas, Power & New Energy.

“Other members of the team are: Udy Ntia as Executive Vice President Upstream; Mumuni Dangazau as Executive Vice President Downstream; Sophia Mbakwe as Executive Vice President Business Services; and Adesua Dozie, as Company Secretary & Chief Legal Officer. All appointments are with immediate effect.”

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US Tariffs Could Lead To Global Trade Contraction, WTO Warns

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Ngozi Okonjo-Iweala, the director-generaI of the World Trade Organisation (WTO), says the recent tariffs announced by the United States (US) will have significant implications for global trade and economic growth prospects.

On April 2, President Donald Trump announced sweeping global tariffs on all imports into the US, imposing 14 percent on Nigeria.

In a statement on Thursday, Okonjo-Iweala said the WTO secretariat is closely monitoring and analysing the measures announced by the nation.

The WTO DG said many members have “reached out to us”, adding that the secretariat is actively engaging with them in response to their questions about the potential effect on their economies and the global trading system.

“The recent announcements will have substantial implications for global trade and economic growth prospects,” the economist said.

“While the situation is rapidly evolving, our initial estimates suggest that these measures, coupled with those introduced since the beginning of the year, could lead to an overall contraction of around 1% in global merchandise trade volumes this year, representing a downward revision of nearly four percentage points from previous projections.”

Okonjo-Iweala expressed concern over the decline and the potential for escalation into a tariff war with a cycle of retaliatory measures that could lead to further declines in trade.

“It is important to remember that, despite these new measures, the vast majority of global trade still flows under the WTO’s Most-Favored-Nation (MFN) terms,” she said.

“Our estimates now indicate that this share currently stands at 74%, down from around 80% at the beginning of the year. WTO members must stand together to safeguard these gains.”

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According to the WTO DG, trade measures of this size have the potential to create significant trade diversion effects.

Therefore, she called on members to “manage the resulting pressures responsibly to prevent trade tensions from proliferating”.

“The WTO was established to serve precisely in moments like this — as a platform for dialogue, to prevent trade conflicts from escalating, and to support an open and predictable trading environment,” Okonjo-Iweala said.

She encouraged members to utilise the forum to engage constructively and seek cooperative solutions.

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