$2bn: EITI Faults NEITI on NNPCL Transparency
The Global transparency body, Extractive Industries Transparency Initiative (EITI), has scored the Nigerian National Petroleum Company Limited (NNPC Ltd) very high in its latest global assessment, according to a statement.
Last week, EITI’s Deputy Executive Director, Mr Bady Baldé led a delegation to the Group Chief Executive Officer of NNPC Ltd, Mr Mele Kyari.
Chief Corporate Communications Officer of NNPC Ltd, Olufemi Soneye, said in a statement that the delegation’s visit was to communicate the group’s findings in its recent global assessment to the company.
NNPCL’s high transparency rating comes in contrast with Nigeria’s Extractive Industries Transparency Initiative (NEITI) recent report on the non-remittance of oil tax revenue to the government.
Amidst a strong rally in the commodities market in the period, NEITI in its 2021 oil and gas report released in September 2023 revealed that NNPCL failed to remit $2 billion to the Federal Government.
However, EITI director said NNPC Ltd fared very well among companies in the same category, adding that only Equinox of Norway fared better than NNPC Ltd in the assessment.
Baldé said that there was still room for NNPC Ltd to improve; adding that compliance with global EITI standards will help boost the company’s credibility. The EITI boss also urged NNPC Ltd to remain engaged to play an active role in its Nigerian unit, the Nigeria Extractive Industries Transparency Initiative (NEITI).
Earlier, Kyari highlighted some of the key changes in the operations of NNPC Ltd, since its transformation into a commercially focused limited liability company in 2021. He acknowledged that the NNPC Ltd.’s partnership with EITI/NEITI has made it a much more reliable company.
EITI chief expressed disappointment with NEITI for going public with its report that NNPC Ltd failed to remit some monies into the Federation Account instead of seeking clarification on any perceived gap in its assessment.
He explained that NNPC Ltd was holding no public funds back. He added that what NEITI reported as non-remittance was what was due to the company as payment for taking the burden of fuel subsidy on behalf of the Federal Government.
He disclosed that NNPC Ltd would have released its Audited Financial Statement (AFS) for 2022 since June 2023 but could not do so because it had no substantive Board of Directors at that time. Nigeria Eurobond Slumps after CBN Resumes OMO Auction
On his part, the Executive Secretary of NEITI, Dr Orji Ogbonnaya Orji, called for the reconstitution of the NNPC/NEITI Joint Committee on Reconciliation, adding that the committee could help in straightening grey areas. #$2bn: EITI Faults NEITI on NNPCL Transparency
