Senior Special Assistant to the President on Media and Publicity, Garba Shehu, quoted a report submitted to President Muhammadu Buhari by the Group Managing Director of NNPC, Ibe Kachikwu, that Performance Measurement and Benchmarking as well as Value for Money Review of NNPC and the JV Companies covering the period 2008 – 2013 was in progress.“A reputable International Accounting Firm has been engaged by the NNPC to ascertain the exact amount due government on the Strategic Alliance Contracts entered by NPDC, where up to $2.46 billion of government money is to be recovered”, he said.
“According to the report, the GMD of NNPC is committed to continued review of all existing contracts and addressing the ones that are not favourable to the Corporation. It was noted that significant cost reductions are also expected to ensure the Corporation remains profitable in the prevailing low crude oil price regime.”
He added that progress was being made toward bringing back the nation’s refineries to full production, noting that the management of the NNPC was working to ensure that this happened before the end of this year.
“If this is completed, the report said, it is expected to achieve an annual savings of about $1billion worth of foreign exchange from fuel import substitution and additional total saving of over $500 million annually will be made from the petrochemical products of Kaduna Refinery and Petrochemical Company.
“Indeed, the report revealed that gas supply for power and peak generation have in recent times reached a historical high of 876 million standard cubic feet per day and 4,782 Mega Watts respectively.”
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