The federal government says it is currently making payments totaling N45 billion to oil marketers for fuel imported.
According to a statement signed by Paul Nwabuikwu, special adviser to Ngozi Okonjo Iweala minister of finance, only marketers whose claims have been cleared after they have gone through the verification processes are paid.
“This is to ensure that the unpleasant experiences of the recent past with regard to wrong and irregular payments are not repeated,” said Nwabuikwu.
He adds, “The office of the Accountant-General of the Federation (OAGF) has also confirmed that some marketers who have submitted letters of indemnity to it have already been paid.”
The letters of indemnity are an additional requirement for payment because banks which financed imports by some marketers had written to the OAGF through their lawyers to complain that their clients (the marketers) are making interest payments through other banks contrary to the terms of agreements reached. The banks in question are insisting that the interest payments be made through them since they granted the facilities that attracted the interest.
To ensure that the Federal Government is not held liable in the event of any litigation between these banks and their marketer-customers, the OAGF has instituted the new procedure.
“It is important to note that subsidy payments are made retroactively because claims must go through all the necessary processes before they are approved and paid.Government will continue to discharge its obligations to marketers whose claims are approved,” Nwabuikwu said.
