In response to President Bola Tinubu’s directive for the Central Bank of Nigeria (CBN) to take control of crude oil sales proceeds from the Nigerian National Petroleum Company Limited (NNPCL), Atiku Abubakar, the 2023 presidential candidate of the Peoples Democratic Party, has declared the move illegal.
President Tinubu’s directive tasks the NNPC with submitting crude oil sales receipts to the CBN for scrutiny and documentation.
In a statement issued on Thursday, Atiku expressed concern that the directive from the Federal Government undermines the operational independence of the national oil company. He stated, “Without prejudice to the possibility of any good that was intended in the decision of the Federal Government to make the Central Bank of Nigeria take over the responsibility for crude oil sales proceeds from the Nigerian National Petroleum Company Limited, it must be clearly stated that the action is not legal in its application.”
Highlighting the lack of detailed public communication regarding the decision, Atiku emphasised, “Whatever may be the merit of the new arrangement, the presidential directive is a violation of the legal status of the NNPCL.”
Atiku argued that the order amounted to an arbitrary act capable of jeopardising the operational autonomy of the NNPCL. He asserted, “By this order, Mr. President has wrested control of the finances of the NNPCL and donated the same to the Federal Ministry of Finance and the Central Bank of Nigeria.”
Drawing attention to the legal foundation of the NNPCL, established under the Petroleum Industry Act 2021, Atiku urged the government to respect the provisions of the law. He emphasised the importance of allowing the NNPCL to function as an independent entity, adhering to international best practices and corporate governance principles.
Atiku cautioned that any attempts to compromise the operational autonomy of the NNPCL could hinder investment prospects and global standing in the Petroleum Industry.
He also suggested that transparency and accountability could be maintained through scrutiny by bodies such as the Nigeria Extractive Industry Transparency Initiative (NEITI) and the CBN.
The former vice president concluded by stating, “The CBN should be allowed to perform its core functions as provided in the existing law.” This stance reflects Atiku’s position that the Central Bank Act of 2007 does not confer responsibility for vetting transactions or overseeing internal controls and audits in state-owned enterprises, whether public or private.
