The Senate was yesterday told how an oil company, believed to be owned by the former Minister of Interior, Captain Emmanuel Iheanacho, Integrated Oil and Gas, received a total of N37.9 billion as subsidy funds between 2008 and 2011.
The managing director of the company, Mr. Tony Iheanacho, who appeared at the public hearing organized the by the Senate Joint Committee on Finance, Appropriation and Petroleum Resources (Downstream) investigating the operations of the fuel subsidy regime, disclosed that his company received N6.2billion for 11, 085 metric tons of petroleum in 2008; N2 billion for 6, 143 metric tons in 2009; N6.2 billion for 92, 650 metric tons in 2010; and N23billion for 272, 405 metric tons in 2011 alone.
Iheanacho, who noted that the company had five filling stations with more under construction, said the company joined the fuel subsidy regime in 2008, while its installations were built in 2006.
He said his company received the subsidy funds through the banks authorized to disburse it, adding that the nation needed to fully deregulate the oil sector and create an enabling environment to attract investors.
On why the subsidy funds of the company jumped by about 300 percent in 2011, he said the company’s strength lies in its capacity.
The chairman of the committee, Senator Magnus Abe (PDP, Rivers South East), said the total amount of money the company collected as subsidy in four years was enough to build a refinery.