- Federation and oil companies lost a total of ₦1.737trillion ($10,992,776,474) during the three years under review.
- The Nigerian government lost $7,518,050,277 during the period
- ₦578.990 billion ($3,664,258,825) lost on annual basis
- ₦1.586billion ($10,039,065) lost on a daily basis
- Cumulative pipeline loses due to pipeline vandalism and crude oil thefts were ₦134,126,921,724( $894,179,478)
About Step Up Nigeria
In order for Nigeria to lift millions of its citizens from poverty, we need to first of all improve the quality of governance. This blog discusses ways to ‘Step Up’ governance in Nigeria such as reducing corruption, promoting transparency and accountability in the provision of public services and strengthening citizen’s demand for an improvement in public service delivery.
The aim of this blog is to present analysis and views on current governance issues in Nigeria.
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Sunday, 18 August 2013
Crude Oil Theft: Nigeria’s lost billions
Tuesday, 13 August 2013
YouTube and the fight against corruption
Monday, 12 August 2013
Defending the poor: Nigerian Civil Society Leader attacked
Friday, 9 August 2013
NEITI Audit Report: Holding NNPC to Account
- Debt of N1.305 trillion (approx. $8 billion) to the Federal government based on crude-oil supplied directly to NNPC as at 31st December 2011.
- Domestic refining allocation of 445,000 barrels per day of crude oil despite only 20% (89,445 barrels per day) actually being refined locally. The balance was either exported by NNPC or swapped for imported refined product.
- The exchange rate used by NNPC was different from that used by the Central Bank (CBN) resulting in losses of N98.3billion (over $600 million).
- NNPC deducted N1.40 trillion ($9 billion) as subsidy claims from the earnings received from domestic crude oil.
- Lack of transparency in NNPC‘s third party financial arrangements which are not recorded in its balance sheet. This may result to debts being incurred without the knowledge of the Federal Government.
- NNPC utilised $1.73billion for non-cash call items from its cash call account which is strictly for expenditure in joint venture operations.
- The need for the crude oil allocation for domestic refinement to be set at the level of its current operating capacity
- The need to confirm the ownership of the 49% investment in NLNG (is it for NNPC itself, the Federation Account or the benefit of the Federation?)
- NNPC should promptly pay its debt to the Federation
- Earnings from crude oil sales should be paid into the CBN in the currency of sales where it can be converted by the CBN using its official exchange rate and transferred into the federation account
- NNPC should join other marketers in receiving their subsidy claims from the Petroleum Support fund
- NNPC should fully disclose all contingent liabilities in its financial statement to promote transparency and accountability especially on alternative financing arrangements
- NNPC should be discouraged from using the cash call account for non-cash call items