The notion in various online media has been dispelled by NNPC Limited, which has confirmed that Group Managing Director and Group Executive Director F&A career with Nigerian National Petroleum Corporation ended in accordance with the requirements of PIA and Relevant Government Circular.
“Our attention is drawn to the malicious publication by Sahara Reporters alleging inappropriateness of the disengagement of the GMD, Mallam Mele Kyari, and GED F&A, Mr. Umar Ajiya from the services of the old Corporation and their subsequent appointment by Mr. President to commence a new tenure as Group CEO and CFO in the new Corporation,” reads a statement signed by Garba Deen Muhammad, Chief Corporate Communications Officer NNPC Limited and made available to Daily Champion
The adoption of the Petroleum Industry Act and the successful transformation of the Nigerian National Petroleum Corporation to a commercially oriented National Energy Company, the NNPC Limited, are well known to the general public.
In addition to the formation of NNPC Limited, the PIA 2021 has set clear and unambiguous provisions pertaining to Governance, Administration, and Mr. President’s selection of a Chief Executive Officer (CEO), a Chief Financial Officer (CFO), and a Board of Directors.
The PIA 2021 is concerned with the long-term viability of the 20-year-long petroleum industry reform that culminated in the establishment of NNPC Limited as a commercially oriented National Energy Corporation with a focus on long-term value generation.
According to the provisions of the Act, the President of the Federal Republic of Nigeria appoints the CEO and CFO of NNPC Limited on the basis of different terms and conditions of service, including tenure, employment perks, and termination. The appointment of CEO and CFO is not a job advertisement, as Sahara Reporters incorrectly said.
Section 59(3) of the PIA 2021, in particular, has clearly defined the parameters to be considered in choosing the CEO and CFO of NNPC Limited without regard to past employment positions in the Corporation. As a result, the prior rank of GMD or GD F&A was not taken into account in the appointment of NNPC Limited’s CEO or CFO.
As a result of Mr. President’s selections of Mallam Mele Kyari and Mr. Umar Ajiya as NNPC Limited Group CEO and CFO for five-year terms beginning on September 16, 2021, their employment with the Corporation has come to an end, and they are entitled to their terminal benefits. According to the Act, the new tenured posts they accepted with NNPC Limited cannot be considered continuations of their former employment with the defunct Corporation.
For more clarity on Sahara Reporters’ misrepresentation of facts, the Circular issued by the Head of the Civil Service of the Federation on July 27, 2009, explicitly stated that appointments as Chief Executives of Government-Owned Companies are “tenured appointments,” and that career officers who wish to take up such tenured appointments must retire from service in order to run their tenure uninterrupted. The circular distinguishes between a tenured appointment as Chief Executive Officer of a government-owned corporation and a career office.
To take up a tenured position, public service laws necessitate the termination of any fixed career appointment.
As a result, we believe that the knowledgeable general public would dismiss Sahara Reporters’ disinformation and falsification of facts. NNPC compensation does not pay out in billions of dollars, and we are a compliant organization devoted to providing better value to Nigerians in strict accordance with existing laws and circulars.
The Group CEO and CFO have shown patriotism by leaving their positions with the Company to serve the nation on a five-year tenured appointment with NNPC Limited.
As a result, the general public is encouraged to reject the fraudulent and harmful publications, while the firm takes the required legal actions to seek restitution.
