The Nigerian National Petroleum Company Limited (NNPCL) has firmly denied claims that it owes $6.8 billion to international oil traders. In a recent statement, Olufemi Soneye, the company’s spokesperson, emphasized that NNPCL has been diligently remitting taxes to the Federal Inland Revenue Service (FIRS).
This clarification comes in response to reports suggesting that NNPCL is heavily indebted due to fuel imports and has failed to remit funds to the Federation Account Allocation Committee.
NNPCL addressed the issue by explaining that while transactions in the oil trading business often involve credit, the company, through its subsidiary NNPC Trading, manages several open trade credit lines with international traders. NNPCL assured that it handles these financial obligations on a first-in-first-out (FIFO) basis, dispelling the notion of a $6.8 billion debt.
Furthermore, NNPCL refuted claims that it has not remitted funds to the Federation Account since January. The company stated that it regularly submits payments to both the FIRS and road contractors under the Road Investment Tax Credit Scheme. NNPCL highlighted that it is a significant contributor to the monthly tax revenue shared at the Federation Account Allocation Committee (FAAC).
On the topic of the quality and quantity of imported petroleum products, NNPCL clarified that it does not play a role in regulating these aspects. Instead, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), an independent regulatory body, oversees these matters and does not report to NNPCL.
NNPCL also expressed its openness to media inquiries and reaffirmed its commitment to transparency, accountability, and performance excellence, as advocated by the Mele Kyari-led management since 2019.
