NNPCL Remits N10 Trillion to Federation Account, Calls for Forensic Audit on Fuel Price Stabilization Costs

Mele Kyari, the Group Chief Executive Officer of the Nigerian National Petroleum Company Limited (NNPCL), announced that the company remitted N10 trillion to the Federation Account as of September 2024 during a budget defense session before the National Assembly's Joint Committee on Finance. This remittance includes N3.5 trillion in dividends after taxes for the fiscal year 2024, underscoring NNPCL's status as Nigeria's highest taxpayer and leading contributor of royalties and dividends.

Kyari emphasized NNPCL's commitment to transparency, stating, “Our transactional account is very transparent and is published annually, making NNPCL the only company in Nigeria noted for such transparency." He highlighted that payments into the Consolidated Revenue Fund are no longer required due to existing laws governing NNPCL’s operations, which now focus on dividends and taxes rather than direct remittances.

Furthermore, Kyari called for a forensic audit of funds spent on stabilizing petrol prices from January to September 2024. He explained, “Until October 1, 2024, NNPCL acted as the supplier of last resort for fuel supply, which requires a forensic audit to know how much NNPCL is being owed or owes any agency." This request aligns with his assertion that NNPCL achieved over 90% of its planned production target for 2024 despite facing challenges with price adjustments for Premium Motor Spirit (PMS).

In a related discussion, Dr. Abubakar Dantsoho, Managing Director of the Nigerian Ports Authority (NPA), projected a revenue remittance of N997 billion for 2025. However, the Joint Committee raised this projection to N1.75 trillion to maximize the potential of the agency’s revenue sources. The committee’s decision reflects a broader push for enhanced revenue generation across key government agencies.

Kyari assured that the parameters for the upcoming 2025 budget are realistic and achievable, with final revenue projections to be determined after an upcoming board meeting. This comprehensive approach indicates a strategic focus on financial stability and operational efficiency within Nigeria's oil sector.