Oil
NEPC MD Summoned Over Unremitted $1.67B Crude Oil Revenue
The ad hoc committee of the House of Representatives, responsible for investigating the alleged loss of crude oil revenue, has issued a summons to the Managing Director of the Nigeria Export Promotion Council (NEPC) regarding unremitted funds amounting to 1.67 billion dollars.
The ad hoc committee is looking into allegations of a significant revenue loss of more than $2 billion which is believed to be a result of the illegal sale of 48 million barrels of crude oil exports, spanning from 2014 to 2015.
To shed light on the matter and provide the House with detailed information regarding the outstanding debt owed to Nigeria, which totals 1.67 billion dollars, Rep. Mark Gbilah, the Chairman of the ad hoc committee, issued a summons which was delivered in Abuja to the Managing Director of the Nigeria Export Promotion Council (NEPC).
He stated that the summon was in light of the several borrowings of money in spite of the huge sum yet to be paid into the Nigeria treasury which could have impacted on the Nigeria economy.
In addition, the ad hoc committee has decided to re-invite the former Attorney General of the Federation, Abubakar Malami to ascertain the current status of the cases that were initiated against individuals implicated in the alleged loss of crude oil.
Rep. Mark Gbilah further revealed that the committee has received submissions highlighting potential discrepancies in the documents presented to them.
According to him, these submissions have prompted the committee to reach out to the affected companies, requesting their responses and clarifications on the matter.
He said “So clerk you do a letter to AGF to avail us details of the approval for the engagement of the legal team and the related companies to carry out this investigation and provide us details of that legal team.
“In the letter, you request that the former AGF, former DG NIMASA also provide information on the status of this investigation and they will be invited in line with the submission of the report,” he added.
Gbilah also emphasized that one of the allegations brought forward is that comprehensive reports highlighting numerous discrepancies were presented to the federal government, but no appropriate action was taken.
This failure to act, according to him, gives the impression of an attempt to protect those individuals involved in the alleged misappropriation of the nation’s resources.
In the midst of these concerns, Rep. Gbilah also expressed his appreciation for the court that ruled in favor of the Nigeria Export Promotion Council (NEPC) in a related matter.
Gbilah further highlighted that the recent judgment was specifically related to the case involving Atlantic Energy.
In light of this development, the committee has decided to extend invitations to both Atlantic Energy and Building Concept to provide necessary clarifications regarding their involvement in the matter.
In a separate statement, Mr. Bashir Jsamo, the Director General of the Nigeria Maritime Safety Agency (NIMASA), asserted that the mandate of NIMASA does not grant the agency the authority to engage in the sale or transportation of crude oil.
He said the committee would also require that the AGF provides it with the details of the report of the investigation.
He stated “But in 2013 when the revenue from the crude oil continued to dwindle, we coordinated data of actual lifting of crude oil.
“NIMASA was directed by the AGF to ensure that it coordinated a technical team to see how we can source data of the actual lifting of crude oil and the last destination point and see whether there are any discrepancies.
“At the end of the day, we saw such discrepancies and we worked in conjunction with the legal team and from the findings, the legal team discovered 10 companies liable,” he stated.
Rep. Mark Gbilah disclosed that the companies involved in the alleged under-declaration of Nigeria’s crude oil production have faced legal action, and several cases are currently pending in court.
He mentioned that the committee has achieved a victory in one of these cases. The court has issued a directive ordering the payment of $1.7 billion to the Federal Government’s treasury as a result of this successful legal outcome.
In a strategic move to revitalize Nigeria’s oil and gas sector, the Federal Government has unveiled two key fiscal incentives aimed at attracting investment and enhancing energy security.
The announcement was made by Mr. Wale Edun, the Minister of Finance and Coordinating Minister of the Economy on Wednesday.
The first initiative, the Value Added Tax (VAT) Modification Order 2024, introduces critical exemptions for essential energy products and infrastructure, including Diesel, Feed Gas, Liquefied Petroleum Gas (LPG), Compressed Natural Gas (CNG), Electric Vehicles, Liquefied Natural Gas (LNG) infrastructure, and Clean Cooking Equipment.
Read Also: Atiku Calls For Rotational Presidency Across Nigeria’s Geopolitical Zones
These exemptions are designed to reduce living costs for Nigerians, promote energy security, and accelerate the transition to cleaner energy alternatives.
The second initiative, the Notice of Tax Incentives for Deep Offshore Oil & Gas Production, offers new tax relief options for deep offshore exploration projects.
This measure aims to position Nigeria’s deep offshore basin as a premier destination for international oil and gas investments, boosting the country’s appeal to foreign investors.
These reforms are part of a broader set of policy initiatives, known as Policy Directives 40-42, endorsed by President Bola Ahmed Tinubu.
The directives reflect the administration’s commitment to fostering sustainable development in the energy sector and enhancing Nigeria’s competitive edge in the global oil and gas market.
By Yemie Adeoye
NIGERIA’s President Bola Tinubu has announced that the protracted ExxonMobil-Seplat upstream oil divestment will be formally approved by the Minister of petroleum within a matter of days, just as he announced his government’s intention to expand the Compress natural Gas, CNG buses initiative.
The President who stated this during his Independence day nationwide broadcast stated that the move is in line with his administration’s commitment to free enterprise, free entry and free exit in investments which is the hallmark of his administration investment policy.
“Fellow compatriots, our administration is committed to free enterprise, free entry, and free exit in investments while maintaining the sanctity and efficacy of our regulatory processes. This principle guides the divestment transactions in our upstream petroleum sector, where we are committed to changing the fortune positively. As such, the ExxonMobil Seplat divestment will receive ministerial approval in a matter of days, having been concluded by the regulator, NUPRC, in line with the Petroleum Industry Act, PIA. This was done in the same manner as other qualified divestments approved in the sector.”
The President also seized the opportunity to plead with Nigerians to be patient with his administration’s reform policies. “As your President, I assure you that we are committed to finding sustainable solutions to alleviate the suffering of our citizens. Once again, I plead for your patience as the reforms we are implementing show positive signs, and we are beginning to see light at the end of the tunnel”.
“Our energy transition programme is on course. We are expanding the adoption of the Presidential Initiative on Compressed Natural Gas for mass transit with private sector players. The Federal Government is ready to assist the thirty-six States and FCT in acquiring CNG buses for cheaper public transportation.
Fellow Nigerians, while we are working to stabilise the economy and secure the country, we also seek to foster national unity and build social harmony and cohesion. Our economy can only thrive when there is peace”. he enthused.
As part of the administration’s push to improve Ease of Doing Business (EoDB), Nigeria’s Vice President Kashim Shettima has expressed support for ExxonMobil’s plan to invest $10 billion in the country’s deep-water oil sector.
Speaking on Wednesday, September 25, 2024, during a meeting with ExxonMobil executives at the 79th United Nations General Assembly (UNGA) in New York, Shettima called the investment “a clear testament to the administration’s economic reforms and investor-friendly policies.”
Read Also: Offset Accuses Cardi B Of Cheating During Pregnancy
This announcement follows news that international maritime company DP World intends to develop a multibillion-dollar port project in Nigeria.
Stanley Nkwocha, Senior Special Assistant to the President on Media and Communications, shared the development in a statement on Wednesday. He quoted Shettima as saying: “ExxonMobil’s potential investment aligns with the vision of President Bola Ahmed Tinubu’s administration for a more investment-friendly Nigeria.
We are committed to fostering an environment that supports such transformative projects.”Shettima also discussed the administration’s broader efforts to improve the ease of doing business, highlighting the “Renewed Hope Agenda,” which aims to simplify bureaucratic processes, enhance transparency, and offer fiscal incentives to attract global investors.
“Our administration has taken bold steps to unify the exchange rate, remove fuel subsidies, and implement tax reforms. These measures, though challenging in the short term, are intended to create a stable and predictable business environment in the long term,” he added.
On the oil and gas sector, Shettima mentioned that the government is revising the fiscal framework for deep-water operations to attract investment while ensuring fair returns for the Nigerian people.
BREAKING: Court Drops Charges Against 76 #EndBadGovernance Protesters
BBNaija’s Eloswag Responds To Leaked Sextape
Fuel Pricing: PETROAN Accuses Dangote Refinery Of Monopoly
N1.3trn Fraud: EFCC Arrests Ex-Delta Gov, Ifeanyi Okowa
Hardship: Let Us Intensify Prayers For Our Leaders – Sultan Of Sokoto Tells Nigerians
Nigeria’s Debt Service Ratio Falls To 65% As Tinubu Tackles Economic Woes
OSSG Raises Alarm Over Murder Plot By APC Chieftain
NCC, SMEDAN, NAICOM, SEC, Others Set for SUPERNEWS SMEs Conf June 13
Sahara’s Tonye Cole resigns from GPHCDA
Oando opens ultra-modern petrol station in Lagos
Niger Delta Avengers: President Buhari Reads riot Act …considers the carrot and stick option
