THE ongoing House of Representatives’ investigation into the fuel subsidy regime has not been a good outing for government officials and some petroleum products marketers considering the heart-breaking revelations trailing the hearing.

Among the facts established at the hearing is that the government is unsure of the actual level of domestic daily fuel consumption. The PPPRA says it is 59 million litres, but the minister of Petroleum claims it is 46.9 million litres, although a figure of 35 million litres had been used for planning purposes. Questions have also been raised about how the subsidy claims are verified before payment.

In riveting disclosures to the Farouk Lawan committee, the nation watched as the 2011 subsidy figures grew from the much-trumpeted N1.3 to N1.5 trillion before the Central Bank of Nigeria (CBN) disclosed that it was actually more than N1.7 trillion. Adding to the public dismay is the information that huge arrears of subsidy payments are pending, despite the unprecedented sums committed last year.

However, contrary to reports that one of the listed beneficiaries of fuel import subsidy, Obat Oil and Petroleum Limited received N85 billion subsidy, the Managing Director of the firm, Prince Akinfemiwa Akinrutan, has declared that only N5.35 billion was paid to the company.

While dwelling extensively on the presentation he made to the House of Representative committee raised to probe subsidy regime in the oil sector, Akinruntan said he was baffled how those who raised the bogus figure got it.

According to him, it was only in the fourth quarter of 2010 that the company started to benefit from the Petroleum Subsidy Fund (PSF).

He said: “We joined the PSF Scheme in the fourth quarter of 2010 and the total allocation of Premium Motor Spirit (PMS) received up to date is 75,000 metric tonnes, out of which we brought in only 65,000MT into Nigeria before the expiration of our import permit by Directorate of Petroleum Resources (DPR) in December 2011.”

Akinrutan said N979, 313,551.29 was received by the company on January 18, 2011, while on June 20, 2011, Obat Oil got N1, 550,263, 750.27.

According to him, on August 19, 2011, the company received N1, 269, 482, 463.26, while on September 9, 2011, it got N541, 454, 152.54 and on October 6, 2011, it received N542, 660, 080.20.

He said the final payment was on October 20, 2011 in the sum of N67, 247, 910.10, all totaling N5, 350, 421, 927.57.

The managing director said further that he had documents to show for the highlighted figures. He said: “On subsidy claims for PMS, Obat Oil and Petroleum Limited wishes to correct the rather misleading impression and information making the rounds in print and electronic media, that at no time did we collect N85 billion oil subsidy.

Kindly take note that the total subsidy claimed and received by Obat Oil and Petroleum Limited as far as December 31, 2011 is N5,350,421, 927.57 only for which we have supporting document as hereby highlighted.”