Over 600 Firms Jostle For NNPC Assets Insurance Contract


Dr. Maikanti Baru,

The Nigerian National Petroleum Corporation (NNPC), yesterday, received over 600 bids submitted by firms seeking to secure contract to insure the corporation’s oil and non-oil assets.

Speaking at the opening of bids for Insurers and Brokers for NNPC Oil and Non-Oil Assets and Liabilities for the year 2018/2019 in Abuja, the Group Managing Director of NNPC, Dr. Maikanti Baru, said the value of the oil assets to be insured runs into billions of dollars while the non-oil assets are almost about a trillion naira.

Baru said the public opening of bids has become part of the corporation’s tradition aimed at promoting transparency, and in line with President Muhammadu Buhari’s mandate for transparency and accountability in the conduct of government business.

He said the transparency and efficiency with which the tendering was done have increased the number of Nigerian insurers and brokers.

“Last year we had over 500 and this year we have received over 600 bids. This multiplicity of bidders has helped us year-in-year-out over the past three years to save premiums of over $30m to the corporation,” the GMD said.

“When this administration came on board, the premiums being charged were over $60 million but we have succeeded in bringing it down to a little over $40 million,” Baru added.

When asked why NNPC was accused of being too opaque despite its efforts to open up its activities, Baru said as chief executive of the corporation, he had learned that a lot of people do not know what NNPC is all about.

“In terms of transparency and accountability, I can guarantee you that there is no other government agency that is more open than us. We are the first government agency, maybe the only one that is still publishing its account on monthly basis and unfailingly. That is the uppermost point of transparency,” Baru said.

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