NNPC justifies ₦147 billion June remittance to FAAC

NNPC

The Nigerian National Petroleum Corporation (NNPC) has justified its ₦147 billion June remittance to the Federation Accounts and Allocation Committee (FAAC), saying it is in line with the terms of agreement it had with governors on the matter.

A release today by NNPC Group General Manager, Group Public Affairs, Mr. Ndu Ughamadu, stated that the agreement NNPC had with the governors was that the corporation would make a monthly remittance of ₦112 billion to FAAC subject to sufficient funds from sales of domestic crude oil allocation for the corresponding month after meeting cash call obligations on JVs, deductions of Premium Motor Spirit (PMS)-cost under recovery and pipeline maintenance.

The release stated that NNPC was able to surpass the terms of agreement with the governors on the monthly remittance for the month of June by ₦35 billion, having taken a cue from their postures by taking from the sum meant for settling cash call obligations.

The corporation regretted the Governors’ additional request of ₦40 billion, saying it was unfortunate, given the fact that NNPC is set to exit the cash call phenomenon.

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