Reps Probe NNPCL, Oil Firms Over ₦432bn Debt

The House of Representatives Public Accounts Committee has opened an investigation into outstanding regulatory debts owed to the Nigerian Midstream and Downstream Petroleum Regulatory Authority by the Nigerian National Petroleum Company Limited and oil companies, with liabilities under review put at ₦432.07bn.

The investigation followed findings in the Auditor-General’s annual audit reports on unpaid petroleum-related obligations accruing to the regulatory authority.

The Auditor-General’s 2023 Annual Audit Report put the combined indebtedness of NNPCL and oil companies at ₦392.73bn.

Of the amount, NNPCL accounted for ₦162.46bn, while oil companies operating under the Depot and Petroleum Products Marketers Association of Nigeria, Major Marketers Association of Nigeria and Major Energy Marketers Association of Nigeria owed ₦230.27bn.

The liabilities were linked to Balancing Allowance, National Transport Average, the one per cent Midstream and Downstream Gas Infrastructure Fund, as well as legacy obligations arising from importation, coastal and credit transactions.

The Auditor-General’s 2024 report subsequently placed outstanding indebtedness at ₦432.07bn, excluding liabilities attributed to NNPCL.

Further submissions by the NMDPRA to the committee showed that 146 oil companies operating under DAPPMAN, MEMAN and MOMAN owed the authority ₦327.53bn as of 2025.

The committee said the outstanding obligations covered several years, with some dating back to 2017, raising concerns over the effectiveness of the mechanisms used by the regulatory authority to assess, collect and recover the funds.

In a statement issued on Wednesday, the Chairman of the committee, Bamidele Salam, said the probe was aimed at establishing the facts behind the outstanding liabilities and ensuring that all government revenue due from the affected entities was accounted for and recovered.