In a recent interview on Channels Television’s Sunrise Daily, former Bauchi State Governor and ex-Minister of Aviation, Isa Yuguda, once again raised serious concerns about the alleged fraudulent subsidy payments for fuel products in Nigeria. Highlighting the detrimental impact on the nation’s economy, he accused a select group of individuals of siphoning off funds intended for the benefit of the masses.

During the interview, Yuguda shared an incident involving an acquaintance from the oil industry, who candidly approached the former president during an economic think tank meeting. The acquaintance supposedly implored the president to end the subsidy, he said:

“I remember a friend of mine in the oil industry, who during a meeting of an economic think tank. He called the then president aside and said, ‘Mr President please stop this subsidy, we are tired of making money”.

However, Yuguda refrained from revealing the identities of the friend or the president involved.

Yuguda further alleged that a significant portion of the imported fuel, which receives subsidies, is subsequently exported by the same beneficiaries. He claimed that fictitious invoices for nonexistent pipelines were created, leading the Nigerian National Petroleum Corporation (NNPC) to unknowingly disburse payments for these fraudulent claims.

“We’re bringing in this fuel at an elevated cost and half of it is exported out of Nigeria by the same people collecting money for it.

“Subsidy was claimed on pipelines that never existed. Invoice is created and NNPC just pays”

Questioning the persistently dysfunctional state of the country’s refineries despite substantiall annual investments, Yuguda emphasized the need for prosecution. He pointed out that a committee he chaired since 2009 had uncovered the subsidy scam, alerting the government to its existence. Yuguda stressed that these individuals can be held accountable, given the government’s willingness to take appropriate action.

“The records are all there, and there is no time limit to investigate these people. If the government has the political will these individuals can be held to account”, he said.

Additionally, Yuguda insinuated that former President Muhammadu Buhari, who concurrently served as the president and minister of petroleum, might have been aware of the subsidy scam due to his high-ranking positions.

As Yuguda’s allegations gain attention, calls for a thorough investigation and prosecution of those implicated in the subsidy scam are intensifying. The Nigerian government faces mounting pressure to address the issue and take decisive action to restore transparency and accountability in the fuel sector.