*Reps query N1.3trn withdrawal from excess crude account

President Umaru Yar‘Adua has proposed a cut of N181 billion in Federal Government spending in 2008, it emerged yesterday.

Simultaneously, members of the House of Representatives queried a fresh “withdrawal” of N1.3 trillion from the excess crude account, which they said contravened sections 152 and 162 of the constitution.

President Yar‘Adua’s proposal was contained in an amendment bill to replace the 2008 Appropriation Act passed by the Senate on March 12. The letter conveying the proposal dated June 26, 2008 was read during the Senate plenary session yesterday.

He first forwarded a total expenditure of N2.567 trillion down from the N2. 748 trillion bill he signed into law last April.

He had last November tabled the administration’s 2008 spending plans to the National Assembly proposing an aggregate spending of N2.3 trillion for the year. The National Assembly, however, in passing the budget last February increased the proposal to N2.8 trillion which was subsequently reduced to N2.748 trillion in March.

President Yar‘Adua quarrelled with the figure passed by the National Assembly with administration officials alleging that the budget was unjustifiably padded.

President Yar‘Adua, however, signed the Bill following a high level meeting with the National Assembly leadership where it was agreed that he would send an amendment bill to cut down the figures presented to him for assent.

In the proposal presented yesterday, President Yar‘Adua has earmarked N714 billion for capital expenditure down from the N845 trillion in the 2008 budget act, N1.318 trillion for recurrent expenditure down from N1.35 billion in the budget act.

President Yar‘Adua said the changes were consistent with his administration’s seven point agenda.

“Consistent with the Seven-Point Agenda of our Administration, the 2008 Appropriation Amendment Bill focuses on the provision of infrastructure, particularly in the Energy and Transportation sectors and the FCT; as well as Food Security, Defence and Security,” he said.

President Yar‘Adua said the decreased spending proposal would “further stimulate economic growth and improve service delivery to our people within the context of a stable macroeconomic environment.”

Reps query N1.32trn fresh withdrawals

Also yesterday, members of the House of Representatives queried a fresh withdrawal of N1.3 trillion from the excess crude account, insisting it contravened sections 152 and 162 of the 1999 constitution of the Federal Republic of Nigeria.

A motion on notice slated for today and sponsored by Patrick Obahiagbon (PDP Oredo-Edo State) and several others, was raised on the matter.

Obahiagbon who introduced the motion on the floor yesterday, recalled: “On Thursday, it was widely reported by the media that the National Executive Council (NEC) sat down and took a far-reaching decision that I think we should not be quiet about. The Federal Government withdrew N1.3 trillion from the excess crude account to be invested in the power sector.”

Meanwhile, the House has also asked the Executive to furnish it with details on the 23 bills that were vetoed by President Olusegun Obasanjo after they were duly passed by the National Assembly.
President Umaru Yar’Adua had last week returned the bills to the House for reconsideration.

But Chairman House Committee on Rules and Business, Ita Enang, confirmed to journalists that though the returned bills were lumped together and returned as executive bills, some were clearly private member bills and were supposed to be separately treated by the Presidency.

“As a result of the mix up, the office of the Special Adviser on National Assembly Matters had been intimated on the need to clarify the status of the bills.

“I have been to the office of the Special Adviser on National Assembly to the President. I have briefed him on the document we need. The letter from the President did not contain documents that will enable us know what to do with them.

“Some of the bills returned were not sponsored by the Executive, some were privately sponsored.  Some of the bills like the Electoral Act 2002, Niger Delta Development Commission 2000, Corruption Practices and Other Related Offences Act 2003 must have been assented to before.

The Executive bills must have a cover note, all these will help the House in reconsidering them for passage,” he said.

The returned bills included the National Order Bill, 2000; Privatisation and Commercialisation of Public Enterprises Bill,2003; Discrimination Against Disabled Persons (Prohibition) Bill 2003; The Nigerian Port Commission Bill,2003; The National Agricultural Development and Produce Marketing (Establishment) Bill 2003.

Others were the Institute of Safety Professional of Nigeria Bill 2007; Indigenous Oil Companies (Regulation and Fiscal Terms) Bill 2007; National Assembly Budget and Research Office Bill 2007; Nigeria Agency for Foreign Assistance Bill 2007; Fiscal Reporting Council of Nigeria Bill 2007' The Chartered Institute of Capital Market Bill 2007; Freedom of Information Bill 2007; and Hydroelectric Power Producing Development (Establishment Commission) Bill 2003.

The rest are the Legislative Houses (Power and Privileges Amendment) Bill 2002; National Agricultural Development Funds (Establishment) Bill 2007; Chartered Institute of Certified Secretaries and Reporters of Nigeria (Establishment) Bill 2007; Remuneration of Former Presidents, Head of Federal Legislative Houses and Chief Justice of the Federation Bill 2007; Auditor General for the Federation (Additional Power and Functions) Bill 2007; Chartered Institute of Public Accountants of Nigeria Bill 2007; and Fiscal Responsibility Bill 2007.

Source: Vanguard