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FG reduces debts owed marketers on oil subsidy to N971bn – Minister

By on September 24, 2013

The Federal Government said on Monday that it reduced debts owed marketers on oil subsidy from N2.2 trillion in 2011 to N971 billion in 2012.

The information is contained in a statement issued from the office of the Coordinating Minister for the Economy, Dr Ngozi Okonjo-Iweala, in Abuja.

The statement, signed by the minister’s spokesman, Mr Paul Nwabuikwu, said the amount represented a reduction of over N1.2 trillion or 56 per cent of the total sum.

“In 2011, there was a huge public outcry. As a result, this administration has worked hard to clean up the process of subsidy payments.

“In response, the ministry set up the Aig-Imoukhuede Committee, which investigated the subsidy payments. The committee was later elevated to a Presidential Committee by Mr President.

“We also hired new auditors and put in place different check and balances.

“As a result, last year, we brought subsidy payment down to about N950 billion and we expect that this year, we will pay about N971 billion.

“I believe this is a huge achievement for which the Jonathan Administration deserves some credit.

“It is something that should make Nigerians proud of their government,” the statement quoted Okonjo-Iweala to have said.

It said the Federal Ministry of Finance had released N46. 76 billion as latest payment to oil marketers whose claims had been verified.

The statement said that the latest payment brought the total verified claims paid to marketers so far in 2013 to N287. 35 billion.