I see that my last post was on June 1, which means that I actually get to continue my streak of putting at least one post up every month, despite my shameless abandonment of you, my remaining two readers. Like a deadbeat dad of constant failure, I make no promises as to future behavior. With that unrepentant remark, off to today's post.

So today's newspapers lead with the news that NNPC is insolvent. According to the Minister of State of Finance, the value of NNPC's current assets are less than the value of the company's current liabilities.

In order to make matters worse the FAAC, the organization that oversees allocations to the federating entities, has demanded that the NNPC pay the N400 odd billion it owes to the Federation Account. Basically the story is all set up to paint the NNPC as a debtor company that is remiss in the service to the nation.

However the story is complicated by the fact that the NNPC is owed about N1.1 trillion by the Federal Government. It seems that the Federal Government has been making the NNPC pay the subsidy claims without reimbursing it.

So in effect the FG seems to be accusing the NNPC of being insolvent, while being the one who is directly responsible for said insolvency. I don't know about you, but this reads like the original definition of chutzpah. You know killing your parents and then asking for mercy cos you are an orphan.

The solution to this little problem is to deregulate, and stop burning the nation's hard earned cash on fuel subsidy for Lagos, Abuja and Port Harcourt (sometimes). However it is an election year, and even if the President isn't running, his party is not going to want to start that fight.

So I guess what will happen is that the FG will continue to whine about the money owed it, and the NNPC will do the same. So as always in Nigeria we will end in a status quo induced paralysis.

Fun huh? Till Next Time