The Nigerian National Petroleum Company Limited (NNPCL) has recorded a significant achievement, remitting a whopping N10 trillion to the Federation Account as of the third quarter of 2024. This was revealed on Wednesday by Dr. Mele Kyari, the Group Managing Director of NNPCL, during a budget defense session before the Joint Senate and House of Representatives Committee on Finance in Abuja.
According to Dr. Kyari, this figure includes N3.5 trillion in dividends after taxes and revenue generated for the 2024 fiscal year. He highlighted NNPCL’s role as the country’s highest taxpayer and its commitment to transparency, emphasizing that the company is the only one in Nigeria that publishes 100 percent of its accounts annually.
Dr. Kyari explained that NNPCL acted as the supplier of last resort for fuel stabilization until October 1, 2024, as mandated by the Petroleum Industry Act (PIA). To ensure accountability, he called for a forensic audit to determine how much the company spent and whether it owes or is owed by any agency.
“Our accounts are fully transparent and published yearly,” Kyari noted. “This positions NNPCL not only as Nigeria’s highest taxpayer but also as the largest contributor of royalties and dividends to shareholders among commercial national oil companies.”
Looking ahead to 2025, Dr. Kyari disclosed that NNPCL’s revenue projections would be finalized after the company’s Board of Directors meets in two weeks. He assured lawmakers that the parameters for the 2025 budget were realistic and achievable, given the company’s restructured operational framework.
Under existing laws, NNPCL now channels its contributions through dividends and taxes rather than direct payments into the Consolidated Revenue Fund. This shift aligns with its new operational structure as outlined in the PIA.
Kyari shared that NNPCL achieved over 90 percent of its production target for 2024 but acknowledged challenges in price adjustments for Premium Motor Spirit (PMS). He attributed delays in tax and royalty remittances to the gradual implementation of price adjustments, which only took full effect on October 1, 2024.
Also present at the session was Dr. Abubakar Dantsoho, Managing Director of the Nigerian Ports Authority (NPA), who revealed that NPA had remitted N753 billion to the Federation Account for 2024. For 2025, NPA initially projected revenue remittance of N997 billion. However, the Joint Committee, chaired by Senator Sani Musa and Hon. James Faleke, raised the projection to N1.75 trillion, citing the need to maximize revenue from the agency’s 56 sources.
Dr. Kyari reiterated NNPCL’s commitment to transparency and efficiency, assuring Nigerians that the company would continue to prioritize national growth and development.
As the country anticipates further economic reforms and increased contributions from key sectors, this milestone by NNPCL underscores its pivotal role in shaping Nigeria’s financial landscape.
