The Nigerian National Petroleum Company Limited (NNPC Ltd.) has strongly denied claims that it owes international oil traders $6.8 billion and has failed to remit revenue to the Federation Account since January.
In a statement released over the weekend, NNPC spokesperson Olufemi Soneye explained that the nature of oil trading often involves temporary debts due to the credit-based transactions.
However, Soneye emphasized that NNPC Ltd., through its subsidiary NNPC Trading, manages these trade credits efficiently, following a structured first-in, first-out (FIFO) payment system to ensure timely settlement of obligations.
Addressing concerns about revenue remittance, Soneye firmly stated that NNPC has been fulfilling its responsibilities. “It is incorrect to assert that NNPC Ltd. has not remitted funds to the Federation Account since January,” he said.
He added that NNPC Ltd. and its subsidiaries regularly pay taxes to the Federal Inland Revenue Service (FIRS) and also contribute to the Road Investment Tax Credit Scheme by providing Corporate Income Tax (CIT) payments for road projects.
Soneye highlighted that NNPC Ltd. is the largest contributor to the tax revenue shared monthly at the Federation Account Allocation Committee (FAAC).
Regarding the quality and quantity control of imported petroleum products, Soneye clarified that NNPC Ltd. does not have a regulatory role in this area, as the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) is responsible for such oversight.
Soneye also reaffirmed the company’s commitment to transparency, stating that NNPC remains open to media inquiries and is dedicated to providing accurate information before any public dissemination.
He reiterated that the principles of Transparency, Accountability, and Performance Excellence (TAPE) continue to guide the company under the leadership of Mele Kyari since 2019.
NNPC Ltd. assured that its operations align with global best practices and that the company remains a key player in Nigeria’s economic development through its consistent contributions to national revenue and infrastructure.
