.As NEITI tasks new GCEO on transparency, accountability
Ignatius Okorocha
Mixed reactions have trailed changes in the management of the Nigerian National Petroleum Company Limited (NNPC Ltd.) and its board by President Bola Tinubu.
The President had on Wednesday reconstituted the board of the NNPC Ltd., removing the Chairman, Chief Pius Akinyelure and the Group Chief Executive Officer (GCEO), Malam Mele Kyari.
Tinubu removed all the board members appointed with Akinyelure and Kyari in November 2023.
The new 11-man board has Mr Bayo Ojulari as thevGroup Chief Executive Officer (GCEO) and Ahmadu Kida as Non-Executive Chairman.
Some experts have reacted to the development in an interview with the News Agency of Nigeria (NAN)non Wednesday in Abuja.
Mr Olabode Sowunmi, an Oil and Gas Expert described the development as a calculated effort to put some life and energy into the oil and gas industry.
Sowunmi, CEO, Cabtree, described it as a welcome development.
He said that the NNPC Ltd. was a limited liability company with the
Federal Government as its major shareholder.
“It is a calculated effort to put some life and energy into the industry.
“It is expected that this will mean new thinking, new focus and more results,” he said.
According to Sowunmi, even the proposed Initial Public Offer (IPO) which is targeted at listing NNPC in the stock market, will not have prevented Kyari’s removal, as he is a government appointee.
“The government can remove any government appointee at anytime,” he said.
Yushau Aliyu, an economic expert said the changes were timely, especially when the IPO was underway.
“However, the IPO must be professionally determined by relating to the development in the oil market as well as the willingness of the general public.
“Investment potential with the economic growth targets of Nigeria 2030 should also be considered,” he said.
He said that the President was empowered by the Petroleum Industry Act (PIA 2021) to dissolve both the NNPC Ltd. board and the CEO.
Another expert, Dr Sand Mba-Kalu, said that Nigeria’s oil and gas sector needed stability and predictability, along with strict adherence to legal standards, to attract sustainable investment and encourage transformation.
According to him, the move represents a bold initiative within the larger framework of aiming to meet our national production and refining targets in the energy sector by 2027 and 2030.
Mr Lawrence Nze, an Economist said that most of the policies introduced under Kyari never solved the challenges in the oil sector.
Nze said that the Naira for crude policy appeared not to be working since it had not resulted to any serious reduction in price.
According to him, Dangote Refinery was gradually achieving that with its slight reduction in ex-depot price which usually affects pump price, but suddenly, authorities in the oil sector cancelled it.
“To me, it looks like a sabotage against the people. Why can we not stop importation? It means that there is a deal that someone or group of people are benefiting from.
“It is not rocket science to get the energy sector working. Nigerians want cheaper petroleum products, is that too much to ask for?
“Only President Tinubu knows why he sacked Kyari, and whatever be the reason, Nigerians should have access to cheaper petroleum products, especially fuel.
“I will advise the president to ensure that the Naira for crude policy works in the country to enable local refineries operate on a cheaper scale,” he said.
However, Chief Chekwas Okorie, Founder and pioneer National Chairman of All Progressive Grand Alliance (APGA), “The Group Chief Executive Officer, Mele Kyari has completed his first term and about finishing his second term in office and he is now sixty years old using the Civil Service rule, and if you use the civil service rule,he is expected to retire at sixty,that is on one hand.
“Again, on those brought on board by the President, especially the management team, On the surface, they are eminently qualified but I have always had issues with the management of our diversity. And this is the aspect that actually more than anyother thing that portrayed former President Muhammad Buhari’s government as very nepotistic.
So, that people rightly termed it that his government has colonized the federal government of Nigeria.
“Now, we have President Bola Ahmed Tinubu, a far more accomplished democrat and one who is a champion of true federalism in Nigeria. And the tenet of federalism is federal character, so much so that the Federal character has a provision in the constitution of Nigeria.
“President Tinubu has taken nepotism to an unprecedented level, far, far higher than the point where President Bihari left it.
“So, looking at the composition of the new board of NNPCL like I said, they are eminently qualified but is it possible that somebody more qualified can not be found in other parts of Nigeria except in Yorubaland. ”
Continuing he said,”So, the worst part of it is that, is it that no other person can occupy those positions in the NNPCL. Even the South South where the entire crude oil is exploited. Of course even the South East where you exploit oil and the gas deposit. The South East is far more than any other part of Nigeria even the South South we are talking about in Gas production. And we are talking about oil and gas.
“So, South South is left out and South East is also left out and you expect the people in those areas to applaud you for neglecting them.
“This is the problem that President Tinubu doesn’t seem to bother about and he doesn’t seem to be prepared to do anything about at anytime he is making appointments.
“One day he will finish his tenure just like President Bihari is now in his place. He has retired to his village and he doesn’t seem to be better than others after eight years of indulging in nepotism.
“The same thing can also be said about Tinubu and that is not how Nigeria can grow into a nation.
“This is why when we say that Nigeria should be politically and economically restructured and some people will be arguing that asking when will Nigeria be politically and economically restructured.”
Meanwhile, The Nigeria Extractive Industries Transparency Initiative (NEITI) has urged Mr Bayo Ojulari, the new Group Chief Executive Officer (GCEO) of the Nigeria National Petroleum Company Limited (NNPC Ltd.), to strengthen reforms, transparency and accountability.
NEITI urged the new leadership to prioritise timely publication of the company’s financial statements, full disclosure of production data, operational costs, and revenue remittances to help rebuild public trust and enhance Nigeria’s global reputation
The Executive Secretary of NEITI, Dr Orji Ogbonnaya Orji made the call on Wednesday, while congratulating Ojulari on his appointment.
The President had on Wednesday reconstituted the board of the NNPC Ltd., removing the Chairman, Chief Pius Akinyelure and the Group GCEO, Malam Mele Kyari.
Tinubu removed all the board members appointed with Akinyelure and Kyari in November 2023.
The new 11-man board has Mr Bayo Ojulari as the Group Chief Executive Officer (GCEO) and Ahmadu Kida as Non-Executive Chairman.
Orji, while reacting, said that Ojulari’s appointment came at a critical time when the ongoing NNPC Ltd’s reforms required renewed commitment, strategic leadership, and a firm dedication to transparency, accountability and corporate governance.
“NEITI recognised that NNPC Ltd., as Nigeria’s foremost national energy company, plays a crucial role in shaping the future of the country’s oil and gas sector.
“As a member of the NEITI National Stakeholders’ Working Group (NSWG) and a key institution in Nigeria’s extractive industry, NNPC Ltd. is responsible to ensure that the reforms initiated under the Petroleum Industry Act (PIA) are strengthened, broadened, and sustained in the public interest.
“As a Supporting Company of the global Extractive Industries Transparency Initiative (EITI), NNPC Ltd. must demonstrate unwavering commitment to openness, systematic disclosure of critical industry data, responsible resource management and corporate governance best practices,” he said.
He urged the new leadership to prioritise timely publication of NNPC’s financial statements, full disclosure of production data, operational costs, and revenue remittances to help rebuild public trust and enhance Nigeria’s global reputation.
According to him, transparency in the management of oil and gas revenues remains critical to national development and ongoing poverty reduction efforts.
He said the EITI process provided a tested framework for ensuring that revenues from natural resources were prudently managed, fully accounted for, and efficiently deployed to address Nigeria’s development needs.
“We look forward to working closely with the new GCEO and his team in deepening the NEITI-EITI process in Nigeria and ensuring that NNPC Ltd. continues to align with international best practices in corporate governance and financial transparency.
“NEITI also congratulates the newly reconstituted NNPC Ltd. Board and charges them to provide forward-looking strategic direction to fast-track the ongoing transformation of NNPC Ltd. in line with the PIA.
“The Board’s role in ensuring that NNPCL remains accountable to its shareholders—the Nigerian people—is crucial to the long-term sustainability of the company and the industry at large,”.
Orji thanked the Mele Kyari Team for their dedication, hard work, mutual respect, patience, and collaboration with NEITI over the past six years.
“His tenure was marked by significant engagements with NEITI in advancing corporate transparency, public disclosures, and aligning NNPC Ltd. with the global EITI framework,” he said.
