Petroleum fund comes under scrutiny

The State Audit of Vietnam (SAV) is looking into the use of the petroleum price stabilisation fund from July 22 to the end of August.

The audit will focus on nine petroleum wholesalers, including the state-owned Vietnam National Petroleum Corp (Petrolimex) and PetroVietnam Oil Corp (PV Oil).

The Ministry of Industry and Trade, along with the Ministry of Finance will also come under scrutiny for their responsibility in overseeing the fund.

The inspection, which focuses on period between 2009 and 2010, aims to find the details about how the fund was operated and used, as well as uncover any possible misuses.

The audit, it is hoped, will clear away doubts about Petrolimex’s transparency, following the recent release of its financial reports for the period from 2008 to 2010. After having claimed large losses for years, the state-owned petroleum trading firm released financial reports that showed profits.

Still, an anonymous SAV official said that the inquiry would not focus on these discrepancies in Petrolimex’s bookkeeping, but on the overall efficiency and use of the fund.

From October 22, 2010 through to February 24 this year, the country has used VND6.369 trillion ($307.7 million) from the petroleum price stabilisation fund to help stabilise the domestic petroleum market because of fluctuations in world prices. – VIR

Tags: Petroleum fund