The Nigeria Extractive Industries Transparency Initiative (NEITI) has called on the Federal government to prevail in 77 oil companies to remit outstanding N2.69 trillion revenue, which it captured in its 2019 Audit Report.
The agency said it has become absolutely necessary for the government to press for the remittance now that it needs money for debt servicing, as well as fix critical infrastructure.
The Executive Secretary of NEITI, Dr. Orji Ogbonnaya Orji, made during a media briefing in Abuja.
According to him, the money is about 46% of the 2021 budget receipt of N5.6 trillion.
He added that it outweighs the oil proceeds that the government has targeted in its 2021 budget.
Orji said: “It was have also covered 46% of Nigeria 2021 budget receipt of N5.6trillion. It is higher than the entire oil industry revenue for 2021 if these monies were paid.”
He also explained that the fund, if paid, would have been enough for servicing of N2.68 trillion debt in 2020.
In a breakdown, the NEITI boss said the monies are from Petroleum Profit Tax of $1.39billion, Company Income Tax of $1.089 billion, Education Tax of $201.69million, Value Added Tax $18.46billion, Gas Flare Penalties of $201.69million, Withholding Income Tax of $4.357billion as $297million as Royalty Oil Tax and so on.
Orji said: “This money we are talking about are in the areas of Petroleum Profit Tax $1.39billion is outstanding from these 77 companies put together.
“As Company Income Tax, we have $1.089 billion. There are also outstanding of Education Tax of $201.69million and other kinds of payments that are clearly explained in our reports. You have $18.46billion VAT outstanding from these companies.
“And you have 89.91billion pounds Withholding Tax $4.357billion as $297million as Royalty Oil Tax, $270.18billion as unremitted Gas Flare Penalties.”
He expressed shock that the fund is still held up in the companies unremitted at the time that the government needs to tackle insurgency and critical infrastructure challenges.
He said: “We are shocked that this money is still buried in our report.
From our previous reports, oil companies – 77 of them – are owing the government N2.69 trillion, $6.58billion.
“This is not new. It is in our reports. It is in our website.”
He noted that NEITI recently did the analysis for the media and Civil Service Organizations to hold the firms accountable to the government.
According to him, the debt was first reflected in NEITI’s 2019 Audit Report and remains outstanding even as the 2020 report is underway in November this year.
Asked what plans the organization has to bring the 77 oil companies to book, he said the agency will soon inform all government agencies with all the data.
He added that NEITI will also ask the government organizations that have powers to investigate and prosecute to go after the companies.
Orji said: “This debt now is in December 2019. If anything has changed our 2020 report will track it before our 2020 report is released because we don’t want to see it in our books in the 2020 report that will be published in November 2021.
“It is in 2019 report, tracked in 2020. Sao, it is a 2019 report.
We are now conducting the report for 2020, which will be published in November. If at the time we release the report they pay this debt that is fine.
“We are going to write to all the government agencies. We are going to forward details to governments at all levels for interested parties to take action. “We are also going to share information across to our partners with whom we have very cordial relationship, including those who have powers for investigations and prosecution. So, we can’t leave it just to lay low. That is the much I can say now.
“And we are sharing it now in the media in those ones we will be specific on who is owning what.
“I have just said 77 companies are owing Federal Government this money. Our job is to provide information and data in the public domain which we are doing now. “And the whole job is to use the information and data to owe the government and companies accountable but in this context, the companies.
“What we have done lately was to do the analysis to bring it to public consciousness, especially this time the government is looking for money for infrastructure, to fight insurgency, create jobs and recover the economy. Our report is useful.
“We don’t know how far the agencies concerned have gone after these companies to remit this money to government account at a point that government needs this money to service debt and address social infrastructure.
“We also know what N2.69trillion can do in addressing some of the challenges the government is dealing with now.
“It could have covered the entire capital budget for the Federal government in 2020 if these monies were paid. Or even used to service the government debt of N2.68 trillion in 2020.”
– Media Report