The Nigerian National Petroleum Corporation (NNPC) has refuted claims made by Sahara Reporters regarding the disengagement of the Group Managing Director (GMD), Mallam Mele Kyari, and Group Executive Director F&A (GED F&A), Mr. Umar Ajiya. The NNPC has stated that their disengagement from the old corporation and subsequent appointment by President Muhammadu Buhari to begin a new tenure as Group CEO and CFO in the new NNPC Limited, was in line with the provisions of the Petroleum Industry Act (PIA) and appropriate government circular.
The PIA 2021 has made clear provisions relating to governance, administration, and the appointment of a Chief Executive Officer (CEO), a Chief Financial Officer (CFO), and Board of Directors by the President. The appointment of the CEO and CFO of NNPC Limited is not a career posting as erroneously presented by Sahara Reporters, but rather a tenured appointment made by the President.
The previous rank of GMD or GED F&A was not a consideration in the appointment of the CEO or CFO of NNPC Limited. The appointments of Mallam Mele Kyari and Mr. Umar Ajiya as NNPC Limited Group CEO and CFO respectively by Mr. President for a tenure of five years each with effect from 16 September 2021 has ended their employment with the Corporation and entitled to their terminal benefits in respect thereof.
Furthermore, the NNPC has clarified that the Circular issued by the Head of the Civil Service of the Federation, dated 27 July 2009, has explicitly stated that appointments as Chief Executives of Government-Owned Companies are “tenured appointments”. Career officers who wish to take up such appointments shall retire from service in order to run their tenure uninterrupted. The circular recognizes a distinction between a tenured appointment to serve as Chief Executive of a government-owned company, as distinct from a career office. Public service rules require termination of any fixed career appointment to take up a tenured role.
The NNPC has expressed its commitment to delivering greater value to Nigerians in strict compliance with extant laws and circulars. The Group CEO and CFO have demonstrated patriotism by ending their career appointments with the Corporation to serve the nation on five years tenured appointment in NNPC Limited.
The NNPC has advised the public to disregard the misrepresentation of facts published by Sahara Reporters and will take necessary legal steps to seek redress.
