Latest audit report by the Nigeria Extractive Industries and Transparency Initiative has accused the Nigerian National Petroleum Corporation of not remitting $3.8bn and N358.3bn to the Federation in 2013.

The Chairman of NEITI, Kayode Fayemi, disclosed this on Monday while presenting the 2013 audit reports of the agency in Abuja.

Citing the audit, Fayemi said some revenues that should have gone to the Federation in 2013 were not made or lost due to a number of reasons.

He said, “These revenues were broken down as follows: Sum of $3.8bn and N358.3bn as outstanding revenues from NNPC and its sub-units in 2013. These outstanding payments were due from unpaid consideration from the divested OMLs (Oil Mining Liseases), cash call refunds from NAPIMS (National Petroleum Investment Management Services), and NPDC (Nigerian Petroleum Development Company) liftings from NAOC JV (Nigerian Agip Oil Company Joint Venture), etc.

“Sum of $5.966bn and N20.4bn as revenue losses to the Federation. These losses were due to offshore processing agreement, crude swap, crude theft, etc. Sum of $599.8m as under-assessments/under-payments of petroleum profit taxes and royalties by oil and gas companies as a result of the use of different pricing methodology by the government and the companies because of the absence of a new fiscal regime.”

Credit: Punch