NNPC remits N1.26tr into Federation Account

June 1, 2019
190 Views
https://nationaldailyng.com/wp-content/uploads/2019/03/966-Babe-320x100.gif

By Richards Adeniyi

The Nigerian National Petroleum Corporation (NNPC) said it met its financial obligations to the Federation Account in 2018 by remitting N1.26 trillion as against the N1.22 trillion projected in the 2018 budget, recording a surplus of N41 billion.

The Managing Director of NNPC Capital, Godwin Okonkwo, made this submission when he represented the Group Managing Director, Dr. Maikanti Baru, during a presentation to the House of Representatives Ad Hoc Committee on the Investigation of the Non-Remittances of Funds to the Federation Account by the corporation between July 2017 and December 2018 at the National Assembly Complex in Abuja.

A statement by NNPC spokesman, Ndu Ughamadu,  quoted the GMD as saying that though 2.3 million barrels per day (mbpd) was proposed in the 2018 budget, national daily production for the period under review oscillated between 1.9 mbpd to 1.89 mbpd.

Baru listed the two sources of inflows into the Federation Account from the NNPC to include equity crude oil sales less cost of recovery from the Joint Venture cash call arrears and domestic crude less cost recovery.

He added that the JV cash call arrears were being efficiently managed now to ensure steady inflows to the Federation Account.

“The current management of NNPC ensures that it contributes to the cost of the production of crude oil and gas in the upstream sector to avoid a repeat of the mistakes of the past.

“If we had made cash call payments in the past, the arrears that we are liquidating now would not have arisen. The current situation creates a win-win scenario for the country. The NNPC is strategically saving for the rainy day to make a better future for all of us by liquidating the arrears,” Okonkwo said.

He noted that the corporation on a regular and sustained basis balanced up with the Federation Account Allocation Committee (FAAC) and the JV cash calls in order to make sure that the future generations do not suffer from the legacy debt.

Baru also said that the 2018 audited account would be ready next month, adding that NNPC had cleared its backlog of unaudited account.

He attributed the delay to some Joint Venture partners that were being awaited to turn in their budget performance for the 2018 budget circle to be completed.

Post Views: 86

You may be interested

NCC insist on disconnection SIMs SIMs without proper NIN linkage
Business
6 views
Business
6 views

NCC insist on disconnection SIMs SIMs without proper NIN linkage

Webby - March 26, 2024

Nigerian Communications Commission, NCC, has mandated telecommunications operators in the country to disconnect all phone lines of subscribers who have…

Former CFA president sentenced to life imprisonment
News
3 views
News
3 views

Former CFA president sentenced to life imprisonment

Webby - March 26, 2024

A former president of the Chinese Football Association (CFA), Chen Xuyuan has been sentenced to life in prison for bribery,…

Nigeria Army sets to release over 200 Boko Haram terorrist
Crime
1 views
Crime
1 views

Nigeria Army sets to release over 200 Boko Haram terorrist

Webby - March 26, 2024

Nigerian Army is set to release more than 200 suspected who had been detained over Boko Haram terrorist activities. The…

Leave a Comment

Your email address will not be published.