Senate Gas Committee Issues Ultimatum to Finance Minister Over N100bn CNG Project Disbursement
The Senate Committee on Gas has issued a stern seven-day ultimatum to the Minister of Finance, Wale Edun, demanding detailed information regarding the award and disbursement of over N100 billion to companies involved in the Presidential Compressed Natural Gas (CNG) projects. Allegations suggest that these disbursements may have violated the Public Procurement Act 2017.
This ultimatum follows concerns raised by lawmakers regarding the plans of the Presidential CNG Initiative (PCNG) to allocate an additional N130 billion to undisclosed companies. The Gas Committee had previously warned against such expenditures without National Assembly approval, citing potential breaches of the Public Procurement Act.
While the committee had initially praised President Bola Tinubu for the CNG initiatives, they urged him to present a supplementary budget to cover such spending. The recent call for information stemmed from a petition by the "Good Governance and Transparency Front," alleging irregularities in fund allocation by the Steering Committee of the PCNG Initiative.
The Committee Chair, Jarigbe Agom, directed the finance minister to provide comprehensive records detailing the award and disbursement of the N100 billion, along with a list of companies involved in the project. In a letter dated January 9 and made public on Wednesday, the committee emphasized the importance of transparency and adherence to due process in such initiatives.
The letter stated, "The Committee is seeking detailed information on the process followed in the award and disbursement of funds to the companies benefiting from the allocation." It further requested documentation on the projects or initiatives undertaken to promote the use of Compressed Natural Gas (CNG) in the country.
The committee expects the requested information to be submitted both electronically and in hard copy to facilitate their oversight responsibilities. The outcome of this inquiry will significantly impact public trust and accountability in government-funded projects, particularly in promoting alternative energy sources.
The Finance Minister has been given a strict deadline of seven days to comply with the committee's request, underscoring the urgency and importance of the matter at hand.
