QUICK LINKS

×
  • Business - Companies
  • Updated: April 29, 2022

N28.02 Trillion Generated By NNPC, Three Other Revenue-Generating Agencies

Latest News

Felicia Abisola  Olamiji
Felicia Abisola Olamiji

  A graduate of English Language from Olabisi Onabanjo University, passionate about learning new...

More From this Author

The Nigeria Extractive Industries Transparency Initiative (NEITI) announced on Thursday that a total amount of N28.02 trillion was generated by four revenue-generating agencies of the Federal Government between 2017 and 2019, the Nigeria Extractive Industries Transparency Initiative announced on Thursday.

According to NEITI, the agencies include the Nigerian National Petroleum Company Limited (NNPC), Federal Inland Revenue Service (FIRS), Department of Petroleum Resources, now Nigeria Upstream Petroleum Regulatory Commission, and the Ministry of Mines and Steel Development.

It stated that out of the amount, N22.68tn was remitted to the Federation Account, as a breakdown of the figures showed that minerals and non-minerals revenue contributed N12.84tn (56.61 percent) and N6.57tn (28.97 percent) respectively, while Value-Added Tax accounted for N3.27tn (14.42 percent).

“The cost of collection and joint-venture cash calls deductions by revenue-generating agencies accounted for the differences between the revenue generated and remittance,” NEITI stated.

This was disclosed in its latest Fiscal Allocation and Statutory Disbursement report which covered the period 2017-2019.

The total extractive industry revenue remitted into the Federation Account, tracked allocation and disbursement from the account to statutory recipients, as well as utilisation and application of the funds by the beneficiaries between the years 2017 to 2019 were all examined in the audit report

The audit covered four federal revenue-generating and 11 beneficiary agencies that were involved in the management of extractive industries funds.

It also covered nine selected states including Akwa-Ibom, Bayelsa, Delta, Gombe, Imo, Kano, Nasarawa, Ondo, and Rivers.

Niger Delta Development Commission, Tertiary Education Trust Fund, Petroleum Trust Development Fund, Petroleum Equalisation Funds, Ecological Fund, and Stabilisation Fund are the beneficiary agencies also included

Others include the Nigerian Sovereign Investment Authority, Development of Natural Resources Fund, Excess Crude Account, Nigeria Content Development and Monitoring Board, and Petroleum Products Pricing Regulatory Agency.

According to the NEITI report, the FIRS generated N13.48tn during the period with Petroleum Profit Tax accounting for N5.80tn (43.09 percent), while VAT and other taxes accounted for 32 and 24 percent respectively.

The FIRS recorded the highest revenue collection of N5.02tn in 2018.

The report also stated that N8.82tn was generated by the NNPC within the period, as the breakdown showed that N4.55tn came from domestic crude sales, while export receipts accounted for N4.27tn.

It further disclosed that N5.33tn was deducted at source for JV cash call and others, leaving the net amount of N3.49tn as transferred to Federation Account.

“During the period under consideration, a total of N8.82tn was generated. However, only N3.49tn (39.55 percent) was remitted to the Federation Account due to deductions at source by NNPC for JV cash calls. The deductions at source by the NNPC negate the principle of Federation Account,” NEITI’s report stated.

The report states that N3.53tn was generated by DPR (now NUPRC) with royalty payments accounting for N3.4tn (96.41 percent).

However, the agency, transferred N3.53tn to the Federation Account, as the audit established that the surplus of N6.72bn was a result of unremitted receipts from the prior year.

The Ministry of Mines and Steel Development generated N12.498bn within the three-year period, as the Mining Inspectorate Department contributed N6.43bn while Mining Cadastral Office accounted for N6.06bn.

From the total revenue generated by the ministry, a sum of N7.56bn was shared with the three tiers of government in 2019.

 

Tags

Join our Telegram platform to get news update Join Now
Felicia Abisola  Olamiji
Felicia Abisola Olamiji

  A graduate of English Language from Olabisi Onabanjo University, passionate about learning new...

More From this Author

COMPANIES PROFILE

mrs oil nigeria plc Oil & Gas

MRS Oil PLC started marketing petroleum products in Nigeria in 1913 under the Te...

LEARN MORE
anino international plc Oil & Gas

Anino International Plc manufactures and markets a range of nutritional suppleme...

LEARN MORE
conoil plc Oil & Gas

Mike Adenuga founded Conoil plc formerly called Consolidated Oil Nigeria Limited...

LEARN MORE
eterna plc Oil & Gas

Eterna plc was incorporated on the 13th of January 1989 as Eterna Oil & Gas ...

LEARN MORE

0 Comment(s)

SPONSORED

Jun 08, 2022

Countdown To 2023 Presidential Election: Who Are You Voting For?

Countdown To 2023 Presidential Election: Who Are You Voting

Atiku Abubakar (PDP) 8.20 %

Bola Ahmed Tinubu (APC) 18.85 %

Peter Obi (LP) 72.95 %

114 days 18 hours remain

See this post in...