Business
Oil&gas industry operators owe FG $6bn, N66bn – NEITI report
Oil&gas industry operators owe FG $6bn, N66bn – NEITI report
The Nigeria Extractive Industries Transparency Initiative (NEITI) has said outstanding collectible revenues due to the Federal Government from operators in the oil and gas industry have risen to 6.071 billion dollars and N66.4 billion as at June 2024.
NEITI disclosed this on Thursday in Abuja at the public presentation of its 2022 and 2023 Independent Oil and Gas Industry Reports.
The report was prepared by the NEITI Board, National Stakeholders Working Group (NSWG).
The report was unveiled by Mr Ola Olukoyede, Chairman, Economic and Financial Crimes Commission (EFCC), alongside Sen. George Akume, Secretary to the Government of the Federation and Chairman, NSWG, NEITI and other dignitaries.
The breakdown of the report showed that outstanding liabilities were 6.049 billion dollars and N65.9 billion in unpaid royalties and gas flare penalties, due to the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) as collectible revenues by Aug. 31, 2024.
It also provided a detailed analysis of the information and data regarding who owes what in outstanding revenues due to the government.
A further breakdown showed outstanding petroleum profit taxes, company income taxes, withholding taxes, and Value Added Tax (VAT), due to the Federal Inland Revenue Service (FIRS), amounting to 21.926 million dollars and N492.8 million as of June 2024.
On fuel importation, the latest NEITI report disclosed that a total of 23.54 billion litres of Premium Motor Spirit (PMS) were imported into the country in 2022, while 20.28 billion litres were imported in 2023.
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This represented a reduction of 3.25 billion litres, or a 14 per cent decline, following the removal of the fuel subsidy.
A detailed 10-year trend analysis (2014–2023) in the NEITI report showed that the highest annual PMS importation into the country, 23.54 billion litres, was recorded in 2022, while the lowest, 16.88 billion litres recorded in 2017.
The NEITI report also disclosed that a total of N15.87 trillion was claimed as under-recovery/price differentials between 2006 and 2023, with the highest amount, N4.714 trillion, recorded in 2022.
On crude production, fiscalised crude production in 2022 stood at 490.945 million barrels, compared to 556.130 million barrels produced in 2021, representing an 11 per cent decline.
However, in 2023, NEITI’s independent report revealed total fiscalised production of 537.571 million barrels, and 46.626 million-barrel or 9.5 per cent increase from total production recorded in 2022.
A 10-year trend (2014–2023) of fiscalised crude oil production in Nigeria showed the highest production volume of 798.542 million barrels was recorded in 2014, while the lowest, 490.945 million barrels, was recorded in 2022.
The NEITI report further provided detailed information and data on crude lifting, disclosing that in 2022, total crude lifting was 482.074 million barrels compared to 551.006 million barrels lifted in 2021.
“In 2023, total crude lifting stood at 534.159 million barrels, representing an 11 per cent increase of 58.08 million barrels,” the report stated.
On oil theft and crude losses, a total of 7.68 million barrels of crude were either stolen or lost in 2023, representing a significant drop of 79 per cent (29.02 million barrels) compared to 36.69 million barrels either stolen or lost in 2022.
NEITI’s independent industry report carefully reviewed all aspects of the regulatory framework for the oil and gas industry.
This included the legal framework, fiscal regime, roles of government entities and reforms, as well as laws, Petroleum Industry Act (PIA 2021) and regulations relating to addressing corruption risks in the oil and gas sector.
The event was supported by the European Union and the Rule of Law and Anti-Corruprion (RoLAC) programme being implemented by International Institute for Democracy and Electoral Assistance (IIDEA).
Oil&gas industry operators owe FG $6bn, N66bn – NEITI report
Railway
British Museum, Oxford experts visit NRC Legacy Museum, seek heritage partnership
British Museum, Oxford experts visit NRC Legacy Museum, seek heritage partnership
A delegation of experts from the British Museum and University of Oxford has visited the Nigerian Railway Corporation (NRC) Legacy Museum, opening discussions on potential international collaboration to preserve and revitalise Nigeria’s railway heritage.
The familiarisation tour was led by Paul Bagu, alongside Mrs. Julia Hudson, as the team assessed the museum’s historical assets and conservation needs.
During the visit, the delegation toured key sections of the facility, including the iconic Old Running Shed, home to ageing locomotives and vintage coaches that reflect Nigeria’s rail transport evolution.
The experts expressed strong interest in restoration efforts, stressing the urgency of preserving the artefacts through technical support and global partnerships.
Describing the museum as a critical archive of Nigeria’s industrial past, Bagu noted that it holds “immense cultural and historical value,” adding that collaboration in conservation, restoration, and knowledge exchange would be vital to safeguarding the assets for future generations.
A major highlight of the tour was the historic coach used by Queen Elizabeth II during her visit to Nigeria.
The delegation pointed to the shared railway history between Britain and Nigeria as a strong foundation for deeper institutional partnerships.
“The historical links between Britain and Nigeria’s railway development present a unique opportunity to build enduring collaborations that celebrate this shared heritage,” Bagu said.
Drawing parallels from West Africa, he referenced a successful railway heritage initiative in Freetown, where sustained efforts by local enthusiasts have helped revive a once-dormant museum.
He urged similar grassroots commitment in Nigeria to complement institutional support.
President of the Legacy Museum Railway Compound, Mr. Taye Olaniyi, welcomed the delegation, describing the visit as a validation of the museum’s growing relevance.
He also acknowledged the contributions of retired NRC director, Mr. Nate Adediron, to the development of the facility.
“We are honoured to host our distinguished guests. Their visit underscores the importance of global partnerships in advancing our vision of making the NRC Legacy Museum a leading railway heritage centre in Africa,” Olaniyi said.
Providing technical depth to the engagement, Engr. Dr. Quadri A.T., Assistant Director (Mechanical) at NRC, briefed the visitors on the operation and maintenance of both legacy and modern locomotives.
His presentation highlighted ongoing efforts to preserve historical assets while aligning with contemporary rail development standards.
The delegation also explored thematic exhibits covering railway administration, Nigeria’s political evolution, and transitional milestones in national development—elements that reinforce the museum’s educational value.
Commending the initiative, Bagu encouraged greater public engagement, particularly among young Nigerians, to ensure long-term sustainability of heritage preservation efforts.
The visit concluded with the presentation of certificates to key contributors and institutions, followed by a group photograph session.
The engagement marks a significant step toward international collaboration and strengthens efforts to position the NRC Legacy Museum as a premier railway heritage destination in Africa.
Business
Tax Evasion: Lagos Government Sues Bi-Courtney, DAAR, 33 Others
Tax Evasion: Lagos Government Sues Bi-Courtney, DAAR, 33 Others
The Lagos State Government has initiated legal proceedings against 45 individuals and corporate entities over alleged unpaid taxes amounting to several billions of naira.
The cases have been filed before the state’s revenue court as part of intensified efforts to enforce compliance with tax regulations and improve internally generated revenue.
Prominent among those listed in the suits are Bi-Courtney Aviation Services, operators of the Murtala Muhammed Airport Terminal Two; DAAR Communications Plc, owners of Africa Independent Television; and Leaders & Company Limited, publishers of ThisDay newspaper.
Official figures indicate that Bi-Courtney Aviation Services allegedly owes N38.7 million, while DAAR Communications has an outstanding liability of N22.4 million. Leaders & Company Limited is also accused of defaulting on taxes to the tune of N67.1 million.
Other organisations identified as major defaulters include GMT Energy Resources Limited, with liabilities exceeding N145.8 million, and Sheriff Deputies Limited, which allegedly owes over N132.1 million.
The list further features companies such as Heyden Petroleum Limited, AA Rescue, and Primero Transport Services Limited, alongside several others with varying tax obligations.
Additional firms named in the court filings include IENG Nigeria Limited, James Fisher Nigeria Limited, V Care Diagnostics Limited, Venture Garden Nigeria Limited, Saro Africa International Limited, and Barry Callebaut Nigeria Limited.
Media and technology firms, including Native Media Limited, First Consulting Media & Centre Limited, and Eyowo Integrated Payments, were also listed as defendants.
The State Attorney-General and Commissioner for Justice, Lawal Pedro, disclosed that the decision to commence legal action followed repeated notices issued to the affected parties, which were ignored.
He noted that while individual tax liabilities range between N13.5 million and N35 million, corporate organisations account for the bulk of the outstanding sums.
Pedro explained that the state government resorted to litigation after the taxpayers failed to fulfil their statutory obligations or take advantage of opportunities provided to regularise their tax status.
He added that the enforcement initiative forms part of broader efforts to strengthen tax compliance and boost revenue required for infrastructure development and essential public services.
The Attorney-General further clarified that taxpayers who complied with pre-action notices and settled their outstanding liabilities would not be prosecuted.
He urged residents and business operators to adhere strictly to tax laws by filing annual returns and paying assessed taxes promptly, warning that continued default could attract penalties, interest, and further legal consequences.
Tax Evasion: Lagos Government Sues Bi-Courtney, DAAR, 33 Others
Business
US-Iran Conflict: MAN Outlines Urgent Steps to Shield Nigerian Manufacturers
US-Iran Conflict: MAN Outlines Urgent Steps to Shield Nigerian Manufacturers
The Manufacturers Association of Nigeria (MAN) has raised alarm over the escalating US-Iran conflict impact on Nigerian manufacturers, warning that the geopolitical tensions in the Middle East pose immediate, severe, and multi-layered risks to Nigeria’s industrial sector.
Director-General of MAN, Segun Ajayi-Kadir, said the sector is already feeling the effects of a global energy shock, noting that the industry’s projected 3.1% growth target for 2026 is now under serious threat.
He explained that manufacturers’ dependence on diesel and gas for production has left them highly vulnerable to rising global crude oil prices, which have pushed up domestic energy costs and significantly eroded profit margins.
“Energy cost escalation is biting hard. Many manufacturers are seeing their margins wiped out almost overnight,” Ajayi-Kadir said, highlighting the growing strain on operators.
The energy crisis in Nigeria’s manufacturing sector has been compounded by imported inflation, rising freight charges, and prolonged shipping delays. According to MAN, higher logistics and transportation costs are making the importation of critical raw materials increasingly expensive, thereby disrupting production cycles.
Ajayi-Kadir warned that the situation has created a double burden of rising production costs and weakening consumer demand, leaving many manufacturers with unsold inventories and shrinking revenues.
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“The implication is clear – production costs are rising sharply, while consumer purchasing power is weakening. Manufacturers are now battling both high costs and unsold inventories,” he said.
Beyond energy and logistics challenges, MAN noted that exchange rate volatility and limited access to foreign exchange have further complicated operations, making it difficult for manufacturers to source essential inputs.
To mitigate the crisis, MAN outlined several key measures to stabilise Nigeria’s manufacturing sector, urging the Federal Government to act swiftly.
The association called for the fast-tracking of the Presidential Compressed Natural Gas (CNG) initiative, which it believes will help industrial clusters reduce reliance on diesel and lower energy costs.
It also recommended the creation of a dedicated foreign exchange window by the Central Bank of Nigeria to ensure manufacturers have timely access to forex for importing raw materials and machinery.
In addition, MAN advocated for the domestication of petroleum supply chains, urging local refineries to prioritise supply to domestic manufacturers at competitive rates to cushion the impact of global oil price volatility.
To ease logistics pressures, the group proposed a six-month suspension of multiple taxation, haulage levies, and highway tolls, noting that transport-related costs have surged significantly.
“The current crisis is a stark reminder of Nigeria’s vulnerability to external shocks due to our dependence on imported inputs,” Ajayi-Kadir said, stressing the need for structural reforms.
He added that the situation presents an opportunity for Nigeria to pursue manufacturing self-sufficiency, reduce import dependence, and build a more resilient industrial base.
Industry analysts also warn that sectors such as chemicals, pharmaceuticals, food processing, and steel are particularly exposed due to their reliance on imported inputs and sensitivity to global price fluctuations.
MAN cautioned that failure to implement urgent interventions could lead to factory shutdowns, job losses, reduced industrial output, and a major setback to Nigeria’s industrialisation drive.
“We cannot control global geopolitics, but we can control our domestic response,” Ajayi-Kadir reiterated, urging policymakers to treat the situation as both a crisis and an opportunity to reposition Nigeria’s manufacturing sector for long-term sustainability.
US-Iran Conflict: MAN Outlines Urgent Steps to Shield Nigerian Manufacturers
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