Lawyer says NNPC restructuring is illegal

chika ebuzor

March 11, 2016 5:57 AM

Falana also frowned at the situation where Kachikwu, who is supposed to be the chairman of the NNPC board, also supervises his own work as the Group Managing Director (GMD) of the corporation.

Human rights lawyer and Senior Advocate of Nigeria (SAN),

He also accused the minister of state for petroleum resources, Dr. Ibe Kachukwu, of usurping the powers of the board of the NNPC.

Punch reports that he said “It is pertinent to point out that the reforms being carried out by the NNPC GMD are illegal in every material particular. Section 2 of the Nigerian National Petroleum Act stipulates that the affairs of the corporation shall be conducted by the Board of Directors of the body. To that extent, it is the board of the corporation that is saddled with the responsibility to carry out the reorganisation of the body.”

Adding that “The board of the NNPC shall consist of the Minister of Petroleum Resources; Permanent Secretary, Federal Ministry of Finance; the managing director of the corporation and three other persons appointed by the President. The minister shall be the chair of the board. By virtue of Section 3 of the Act, the managing director of the NNPC shall be the chief executive and shall be responsible for the execution of the policy of the corporation and the day-to -day running of its activities.”

Falana frowned at the situation where Kachikwu, who is supposed to be the chairman of the NNPC board, also supervises his own work as the Group Managing Director (GMD) of the corporation.

The Senior Advocate of Nigeria (SAN) also called on President Buhari to correct the wrong practise.

Falana said “In the same vein, the body established by the Petroleum Products Pricing Regulatory Agency Act to regulate the supply and distribution of petroleum products in the country is equally run by a sole administrator contrary to the provisions of the enabling law.

“Whereas the agency shall have a board of 26 members, including the representatives of the Nigeria Labour Congress, Trade Union Congress and the trade unions in the oil and gas industry, the body is run singlehandedly by the executive secretary. Despite the several calls by the Nigeria Labour Congress and other stakeholders, the Federal Government has not deemed it fit to reconstitute the board of the PPPRA.”

Read: Senate backs Ibe Kachikwu's move to restructure NNPC

He also called on Buhari to ask Kachikwu to suspend the restructuring of NNPC, and present a proposal to the NNPC board when it is re-constituted.

Falana said the office of the GMD NNPC, should be separated from that of the petroleum minister, as stipulated in the act that established the corporation.

chika ebuzor