October 15, (THEWILL) – The Nigerian National Petroleum Company, NNPC, Limited has countered the claims made by Governor Nasir El-Rufai of Kaduna State regarding the performance of the oil firm.
Gov. El-Rufai was quoted in the media to have described NNPC Limited as a failure, stating that whatever the Nigerian government manages fails. He also called for the exit of NNPC in the oil and gas sector
According to El-Rufai, the NNPC has failed to remit even N20,000 to the federation account since the year. He said the government should treat the oil sector as it did with the telecommunications industry, where private investors are allowed to manage the industry.
“This year, NNPC has not brought N20,000 to the federation account. We are living on taxes. It is PPTs, royalties, income tax and VAT that is keeping this country going because NNPC claims that subsidy has taken all the oil revenues. I don’t believe it.” El-Rufai said.
The governor further stated, “Nothing has changed, it’s just a change in name with limited at the end. Nothing has changed, they are still taking our money, declaring profit that we don’t see the dividends.
Responding to El-Rufai’s claim, the Group General Manager, Group Public Affairs Division of NNPCL, Garba Muhammad, said, the governor of Kaduna is confused
“He said NNPCL has not been making remittance to FAAC and yet in the same breath, he said it is income from PPT, royalty and income tax that is keeping this country.
“The confusion is where do the PPT, royalty and income tax come from? The PPT is the petroleum profit tax, have you seen anybody pay profit tax without making profit? Or pay Royalty without production?
“These things don’t just fall from the sky. These payments are possible because somebody is working hard to make it possible.” Muhammad said
About the Author
Sam Diala is a Bloomberg Certified Financial Journalist with over a decade of experience in reporting Business and Economy. He is Business Editor at THEWILL Newspaper, and believes that work, not wishes, creates wealth.
