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Femi Falana Explains Yar’Adua’s Decision To Halt Port Harcourt Refinery Privatization
Human rights lawyer Femi Falana has revealed the reasons behind former President Umaru Yar’Adua’s decision to cancel the sale of the Port Harcourt refinery to a Dangote-led consortium. Falana explained that the cancellation was a critical move to address legal and ethical concerns surrounding the deal and to protect Nigeria’s national interests.....KINDLY READ THE FULL STORY HERE▶
In a statement, Falana noted that the Privatisation and Commercialisation Act designates the Vice President as the chairman of the National Council on Privatisation (NCP), the body responsible for overseeing the privatisation of public enterprises. However, he alleged that former President Olusegun Obasanjo bypassed this legal procedure by excluding then-Vice President Atiku Abubakar and directly managing the privatisation of several state-owned assets.
Falana recalled that on May 17, 2007, Obasanjo sold a 51% stake in the Port Harcourt refinery to Bluestar Oil for $561 million, followed by another sale of 51% of Kaduna Refinery for $160 million on May 28, 2007. These transactions faced backlash from key stakeholders, including the National Union of Petroleum and Natural Gas Workers (NUPENG) and the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), who criticized the deals for lack of due process and alleged that Nigeria was shortchanged.
Falana further explained that the Port Harcourt refinery’s shares, valued at $516 million, were worth approximately $5 billion. He emphasized that the cancellation of the sale was not legally challenged, as it violated the principles of the Privatisation and Commercialisation Act.
He commended NUPENG and PENGASSAN for their role in safeguarding national interests and urged them to stay vigilant as discussions about the privatisation of Nigeria’s refineries continue. Falana’s statement highlighted the ongoing debate over transparency and due process in managing Nigeria’s public assets.
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