Nigeria is Africa's largest oil producer, but imports most of its fuel

Under Buhari's new configuration, the NNPC imports the majority of the fuel then absorbs the grant into its operational prices as "under recovery". Critics say that's problematic.

"The NNPC isn't subject to any variety of direct oversight," aforementioned Abel Akeni from BudgIT, a civil society cluster that specialize in transparency.

"There may be a real concern that the money may well be redirected. there's no breakdown of World Health Organization is receiving what quantity. One factor we have a tendency to area unit bound of are some things isn't right."

According to the most recent NNPC knowledge obtained by AFP, in Gregorian calendar month the corporate paid $215 million in under-recovery -- nearly 5 times the maximum amount because the $46 million six months earlier in November.

The numbers seem to be mounting higher. In May, the under-recovery quantity hit $245 million.

That approaches associate degree estimate floated by junior oil minister Emmanuel Ibe Kachikwu, World Health Organization reportedly aforementioned in Gregorian calendar month that Nigeria was outlay $321 million monthly -- or $3.9 billion annually -- on grant payments.

He later denied creating the remark.

The bill is setting out to rival that spent throughout the supposed grant scam throughout former President Goodluck Jonathan's tenure 5 years agone, once the grant payments came to $5 billion, the NNPC reported  during a January 2018 presentation to the Senate.

- accumulated scrutiny -

NNPC spokesperson Ndu Ughamadu failed to answer continual requests for comment.

The company has aforementioned the outburst may be a results of increasing its fuel importation, higher oil costs and fuel importing.

But several are not convinced. In June, the previous minister of finance Kemi Adeosun aforementioned remittances from the NNPC to the national treasury were "unacceptable".

Political opponents area unit a lot of direct.

Lawmakers aforementioned in July there was associate degree "urgent need" to analyze the NNPC deficiency, language it absolutely was "likely as a results of some people not doing what they're supposed to".

They have reason to be suspicious.

In 2014, let's say, the then-central bank governor Lamido Sanusi alleged the NNPC had didn't remit $20 billion in oil revenue over associate degree 18-month amount within the years before.

The previous government controversial the figure and Sanusi was suspended from his post in what was seen as a politically intended call.