When the Minister of Petroleum Resources (State), Ibe Kachikwu, declared that the Federal Government was spending N1.4trillion on subsidy payments annually for Premium Motor Spirits (PMS), popularly referred to as petrol, a Nigerian civic social enterprise, BudgIT released a press statement, urging the federal government to release detailed information of the full list of beneficiaries, pricing template for arriving at the subsidy rates, and the volume of petroleum products utilised in the country. The press statement has been lauded as an important call for accountability from the government.
The organization demanded that a clearer and more detailed explanation of the subsidy payment be made public because it would help the citizens better understand how the payment is made and in what ways it benefits them for them to properly appreciate it. BudgIT also made it clear that explaining the subsidy payment to the citizens fosters transparency and accountability.
This call for transparency in the subsidy payment in the NNPC has been widely received with applause as many make reference that the subsidy regime constitutes double taxation on the populace who still pay the actual market price for PMS due to lack of adequate monitoring by the Department for Petroleum Resources (DPR).
Lead partner at BudgIT, Seun Onigbinde, while speaking on the issue stated that according to evidence available, it was obvious that the amount spent on subsidizing PMS was riddled with corruption. He further urged the federal government, NNPC, Department of Petroleum Resources (DPR), National Assembly, the National Economic Council (NEC), and state governments to release details on the breakdown of the amount spent on subsidy, the beneficiaries, the pricing template for arriving at the subsidy rates and the volume of petroleum products utilised. His statement read in part:
“For increased efficiency of the NNPC, there is an urgent need to plug the loophole created by the subsidy regime in the oil sector; we call on all Nigerians to demand appropriate systems to ensure that oil revenue is judiciously managed and utilised for the good of the people.”
Founded in 2011, BudgIT is a civic organization that applies technology to intersect citizen engagement with institutional improvement, to facilitate societal change. A pioneer in the field of social advocacy melded with technology, BudgIT uses an array of tech tools to simplify the budget and matters of public spending for citizens, with the primary aim of raising the standard of transparency and accountability in government.
So far, BudgIT have been able to reach over 750,000 Nigerians via digital and physical spaces, leading online and offline conversations on government finance and public sector efficiency. With over 2,000 unique data requests monthly from private, corporate and development entities/individuals, BudgIT is now widely regarded as a trusted hub for public finance data in Nigeria.
Offline, and on the ground, BudgIT collaborates across the public-private sectors to deliver programs that shore up the capacity of its peers and willing government institutions. Relying on donor funding, it worked with 23 civil society organizations to revamp their digital outlook, policy analyses and report presentation formats, and are currently experimenting with Nigeria’s first Data Journalism platform.
