He criticized the current NNPCL arrangement, describing its claim of being private as misleading.
Atiku Abubakar, former Vice President of Nigeria, has called for the Nigerian National Petroleum Company Limited (NNPCL) to be listed on the stock exchange in accordance with the Petroleum Industry Act.
His call follows the NNPCL’s decision to transfer the management of the Warri and Kaduna refineries to private operators.
“The NNPCL is supposed to have been listed on the stock exchange in line with the Petroleum Industry Act. This would make the company more profitable and enhance transparency and corporate governance,” Atiku stated in a statement issued by his media aide, Paul Ibe.
He criticized the current NNPCL arrangement, describing its claim of being private as misleading.
“Currently, the NNPCL claims to be private, but this is only a ruse to fool the feeble-minded because it remains the ATM of the Federal Government.
“Anything short of listing the NNPCL on the stock exchange is nothing but a cosmetic development,” the statement read in part.
Atiku also expressed concern that the NNPCL’s role continues to shield President Bola Tinubu administration’s inconsistent subsidy policies, questioning the independence required by the PIA.
He cited previous failed arrangements due to a lack of transparency and investor interest.
For a successful deal, Atiku recommended involving the Bureau of Public Enterprise (BPE) and a reputable technical partner like Standard and Poor’s.
He noted, “Former President Olusegun Obasanjo revealed recently that even Shell, one of the world’s wealthiest oil companies, rejected the offer to operate Nigeria’s refineries. This is because the NNPCL has, for years, been a cesspool of endemic corruption.”
Atiku further questioned the feasibility of the NNPCL’s latest plan, highlighting past unsuccessful arrangements. He said, “The manage and operate approach has not always worked. The Manitoba Hydro International, which was handed the Transmission Company of Nigeria, led nowhere. Similarly, Global Steel Limited, which was handed the Ajaokuta Steel Company, was not able to make the facility profitable.”
He advised the NNPCL to avoid opaque contract processes, citing the dubious 2022 transaction involving Nueoil and OVH.
Atiku warned, “If this is the approach that the NNPCL wants to use in handing over its refineries to private hands, then Nigerians should not expect any positive development whatsoever.”