Tuesday, October 3, 2017

Kachikwu writes Buhari, protests high-handedness, award of $25b contracts by NNPC GMD without due process

Fresh crisis has erupted between the Minister of State for Petroleum Resources, Dr. Emmanuel Ibe Kachikwu and the Group Managing Director (GMD) of the Nigerian National Petroleum Corporation (NNPC), Dr. Maikanti Baru.

Kachikwu accused the GMD of awarding $25billion contracts without consulting either his office or the NNPC Board.

He also accused Baru of alleged insubordination, lack of adherence to due process and running a “bravado management style.”

Kachikwu said he was being sidelined by the GMD and other heads of parastatals on major decisions and appointments.

He asked President Muhammadu Buhari to call the NNPC chief to order.

He also presented five prayers to President to save the oil sector from collapse.

The minister said he was always blocked from seeing the President.

Kachikwu, in a letter dated August 30, 2017 and addressed to President Muhammadu Buhari, said: “Mr President in over one year of Dr baru’s tenure, no contract has been run through the NNPC board.

“The legal and procedural requirement is that all contracts above $20m would need to be reviewed and approved by the board of NNPC.”

“This is despite my diplomatic encouragement to Dr Baru to do so to avoid wrongfully painting you as a President who does not allow due process to thrive in NNPC.

“Given the history of malpractices and the public perception of NNPC as having a history of non-transparency, the NNPC tenders board, NTB, cannot be the final clearance authority for contracts it enters into.”

“The following major contracts were never reviewed by or discussed with me or the NNPC board:

“1, The Crude Term Contracts valued at over $10billion;

“2, The DSDP Contracts with over $5billion;

“3,The Akk Pipeline Contract valued at $3billion;

4. Various financing allocation funding contracts with the NOCs- value over $3bn

5. Various NPDC production service contracts- value at over $3bn-$4bn

Find copies of the letter below:

1 comment:

  1. What is more is that PMB is yet to utter a word