A recent audit report by the Nigeria Extractive Industries and Transparency Initiative (NEITI) has indicted the Nigerian Nationwide Petroleum Company (NNPC) and its sub-models of both dropping or refusing to remit a complete of N2.23 trillion, consisting $3.8bn and N358.3bn, to the federation account as earnings from numerous elements of its operations in 2013.
Talking on Monday, whereas presenting the 2013 audit studies of the company in Abuja, the Minister of Strong Minerals and Chairman of the NEITI Board, Kayode Fayemi, stated the audit, which targeted on all elements of the extractive industries, confirmed that complete income flows into the Federation Account from the oil and fuel sector in 2013 was about $fifty eight.07 billion.
In response to him, some revenues that ought to have gone to the Federation in 2013 weren’t made or misplaced because of quite a few causes.
These revenues have been damaged down as follows: Sum of $three.8bn and N358.3bn as excellent revenues from NNPC and its sub-models in 2013. These excellent funds have been due from unpaid consideration from the divested OMLs (Oil Mining Liseases), money name refunds from NAPIMS (Nationwide Petroleum Funding Administration Providers), and NPDC (Nigerian Petroleum Improvement Firm) liftings from NAOC JV (Nigerian Agip Oil Firm Joint Enterprise), and so on.
Sum of $5.966bn and N20.4bn as income losses to the Federation. These losses have been on account of offshore processing settlement, crude swap, crude theft, and so forth. Sum of $599.8m as beneath-assessments/beneath-funds of petroleum revenue taxes and royalties by oil and fuel corporations because of using totally different pricing methodology by the federal government and the businesses due to the absence of a brand new fiscal regime.”