Connect with us

Business

Reps reject Customs N1.33tn revenue target for 2022

Published

on

The House of Representatives Committee on Finance has rejected N1.33tn revenue target of the Nigeria Customs Service for 2022, saying it is too low.

The committee gave its verdict at its 2022 to 2024 Medium-Term Expenditure Framework/Fiscal Strategy Paper (MTEF/FSP) interactive session with Ministries, Departments and Agencies, said with new technologies deployed and the recent devaluation of the naira, Customs should be able to generate more revenue.

Leke Abejide (SDP-Kogi) said that with the recent devaluation of the naira, he expected that the proposal of the NCS should be  N2 trillion or above.

He said the exchange rate for 2021 was N381 to a dollar and the targeted revenue generation was N1.6 trillion, adding that the service should factor in the devaluation of the naira and increase their target.

The lawmaker said the service would still surpass an upward review target, adding that the new Finance Act had empowered the service to generate more revenue from alcoholic beverages and tobacco as against 2021.

Ahmed Muhktar (APC-Kaduna State) said that customs should be able to generate more revenue following the ongoing deployment of technology in revenue collection.

He said that with the number of training and retraining lined up in the NCS budget, the service should be able to generate much more than N1.33 trillion.

According to him, the committee will not accept anything less than N3 trillion.

The Chairman of the committee, Mr James Faleke (APC-Lagos State), said at the beginning of every year, the Budget Office takes a critical look at expected revenue generation of the country.

He said that was done to know the required funds and make adequate preparation for borrowing, adding the amount of money to be borrowed would reduce if more revenue could be generated.

Faleke said, “We are saying no, that your gross revenue generation is low given all the available opportunities that you have; when you also look at your previous performance 2020 to 2021.

“For us as a committee on finance, we will not accept the N1.3 trillion, I am sure by the time our report comes out, you will be pleasantly happy.”

Comptroller-General of Customs, Col. Hameed Ali (rtd), had earlier told the committee that the service planned to generate N1.33 trillion in 2022.

Ali said the service came up with the figure after analysing the average revenue collection in the previous and was trying to be as realistic as possible.

“We are expecting in 2022, N1.33 trillion, that is what we are proposing; we are hoping that things will improve, importation do fluctuate and we do not have any constant measurement.

“So, we take the average of what we collected in the previous year and compute it and come up with a figure that is realisable.

“Whatever comes thereafter, it is our hope that we will surpass it by far but we are trying to be as realistic as we can in our proposal,’’ he said.

Ali, however, said should any extra money be generated, it would go straight into the federation account and that the service had no intention to defraud the government. (NAN)

Railway

Just in: Terrorists shot abducted Abuja-Kaduna train passenger

Published

on

A kidnapped passenger of the Abuja-Kaduna train has been shot by terrorists and is critically wounded.

Tukur Mamu, the publisher who has been negotiating with the terrorists, disclosed this and identified the victim as Mohammed Al’amin.

Mamu, who facilitated the release of 11 of the passengers, confirmed the development to Daily Trust.

“I can confirm to you that the said passenger has been shot and the information is credible. It could also be intentional from them for the purpose of sending a message. Killing of their victims is something we know they can do. They have threatened to do that before,” he said.

He said the government must be prepared to take full responsibility if they fail to act on time.

Mamu said there had been constant communication but government was yet to take action.

He said, “I know what is in this crisis and that is why I keep emphasising that President Buhari must be prepared to take painful compromises if they are really committed to securing these innocent victims alive.

“With what we have succeeded in doing, the windows and opportunity we opened which there’s none hitherto, the government has the power to bring this to an end within three to four days.

“I assure them we can do it with their support and cooperation, and if it didn’t happen as long as government do the needful I will agree and accept to take full responsibility. Cases of emergency such as this doesn’t require unnecessary bureaucracy.”

Continue Reading

Auto

Weststar: Our dealers are lifeblood of Mercedes-Benz in Nigeria

Published

on

Weststar Associates Limited says it remains committed to its dealers in Nigeria and will continue to do business with them.

Indeed, the auto firm described its five authorised Mercedes-Benz dealers in Nigeria as its lifeblood and listed them as Barbedos Cars Limited, M-B Automobile Services Limited, Skymit Motors Limited, Sunny Motors Limited and Tetralog Nigeria Limited

Weststar, an authorized general distributor of Mercedes-Benz vehicles in Nigeria, was reacting to a statement by Mercedes-Benz of Germany of its plan to reduce its dealerships in some markets.

The auto firm reactng to this in a statement signed by its Marketing & Social Media Manager, Oluwatobi Abimbola, Weststar said it had been the “home of all things Mercedes-Benz in Nigeria for over 15 years. Running its operations as Mercedes-Benz’s representatives in Nigeria the company owes its success not only to a holistic business model and a great team of professionals but also more importantly, to its business partners.”

It also stated, “Weststar Associates Limited runs a dealership network across Nigeria that covers the different regions of the country & is held by successful and innovative companies who have a strong understanding of the business climate in their regions.

“Although the story of Weststar in Nigeria is only a decade and a half old, the story of Mercedes-Benz runs for even longer, with a presence in Nigeria for over 60 years. Many of our dealers have become the lifeblood of Mercedes-Benz in Nigeria.

“For decades, these companies have ensured that millions of Nigerians are able to gain access to the world’s most desirable Mercedes-Benz vehicles. Weststar’s key strategy remains to grow the Mercedes-Benz network in Nigeria using our dealerships. Weststar does not intend to cut ties with any of its Authorized Mercedes-Benz dealerships in Nigeria at this time.

“We will continue to promote and strengthen our dealerships as a means to grow the Mercedes-Benz brand in Nigeria.”

 

Continue Reading

Business

FG generates N200bn, $7m from 161 marginal oil fields licences

Published

on

The Nigerian Upstream Petroleum Regulatory (NUPRC) says the 2020 marginal field bid round exercise generated about N200 billion with additional $7 million in revenue for the Federal Government

Chief Executive Officer, NUPRC, Gbenga Komolafe, stated this on Tuesday while issuing petroleum prospecting licences (PPL) to successful bidders in Abuja.

Marginal fields are smaller oil blocks developed by indigenous companies not exploited in the last ten years.

In May 2021, the Department of Petroleum Resources (DPR) — now NUPRC — completed the first successful bid programme after 18 years of bureaucratic bottlenecks.

Successful companies include Ardova Plc, Matrix Energy Ltd, Sun Trust Oil Company Limited, Deep Offshore Integrated Service Ltd, Island Energy Ltd, Sigmund Oil Field Ltd, among others.

Out of the 665 entities that expressed interest in the exercise, Komolafe said 161 PPLs were awarded to successful 2020 marginal fields companies while out of the 57 fields presented in the bid round, 41 were fully paid for.

He said 37 fields were also issued with the PPL, having satisfied all conditions for the award.

Komolafe said the marginal fields award initiative began in 1999 and was borne “out of the need to entrench the indigenisation policy of government in the upstream sector of the oil and gas industry and build local content capacity.”

He added that the scheme was also targeted at creating employment opportunities and encouraging increased capital inflow to the sector.

“Since its inception, a total of 30 fields have been awarded, with seventeen 17 currently producing. A breakdown of the allocation of the fields to indigenous operators is as follows: two fields awarded in 1999, 24 in 2003/2004, one each in 2006 and 2007, and two in 2010. 10 years later, in 2020, 57 fields were put up for bidding,” he said.

“It is significant to note that the passage of the Petroleum Industry Act has brought an end to the era of marginal field awards. Section 94(9) of the Act states that ‘no new marginal field shall be declared under this Act’.

“Accordingly, the minister shall now award PPL on undeveloped fields following an open, fair, transparent, competitive, and non-discriminatory bidding process in line with sections 73 and 74 of the Act.”

Komolafe also said revenue earnings in the country did not reflect the upsurge in international prices of crude oil owing to sabotage, theft, as well as other operational challenges.

He urged potential licensees to take advantage of the current market realities and promptly bring their fields to production.

Continue Reading

Trending