NEITI Wants $15.8bn NLNG Dividends Probed

NEITI Wants $15.8bn NLNG Dividends Probed

From the Nigeria Extractive Industries Transparency Initiative (NEITI) comes an urgent call to the Federal Government urging it to conduct an independent investigation into the status and utilization of all dividends and loan repayments by the Nigerian Liquified Natural Gas (NLNG) to the Nigerian National Petroleum Corporation (NNPC) from 2000-2014.
Executive Secretary of NEITI, Waziri Adio, made the call in Abuja yesterday while answering questions on NEITI’s policy brief that examined unremitted funds, economic recovery and oil sector reforms.
According to him, “since the federation’s shareholding in NLNG is held through NNPC, dividends are paid to NNPC, which should remit same to the federation. That is our policy brief.
“However, NEITI’s audits have revealed that until 2015, NNPC failed to remit the interests and dividends from NLNG to the Federation Account.”
He said the total outstanding dividends and loan repayments by NLNG to NNPC not remitted to the Federation account stood at over $15.8billion.
He noted that the money was traced to NNPC accounts by its independent auditors but observed that there was no trace of NNPC’s remittance of the money to the Federation Account as required by sections 80(1) and 162 (1) of the constitution.
On domestic crude allocation and management, he said: “First, the refineries have been operating at below full capacity for a long time and currently process less than 100,000 barrels per day. Between January 2015 and September 2016, NNPC lifted a total of 245.4 million barrels of crude oil for domestic use.

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