Before now, one of the issues hampering federal government’s finances and accounting system has remained delays and at times, blatant refusals by Ministries, Departments and Agencies (MDAs) to return surplus funds that were not used within a budget regime.
In fact, investigations by our correspondent showed that many MDAs, in order not to refund any dine, rush to carry out frivolous seminars and workshops towards the end of a budget year with the criminal aim of starching away what should have been returned to the treasury.
However, the Nigerian National Petroleum Corporation (NNPC) has vowed to change the narrative this from this year as it has pledged to return funds that were not used from the 2017 budget back to the Treasury Single Account (TSA).
He said “NNPC, on behalf of the government, will ensure that every surplus from the corporation at the end of the year after deducting the cost of operation, will be returned to the national treasury”.
This was disclosed to Business Hilights in Abuja by the Managing Director (GMD), Dr. Maikanti Baru during the inauguration of the members of the corporation’s re-constituted anti corruption committee in Abuja.
Giving more insights on the performance of the existing four Joint Venture Projects NNPC signed with its JV partners, he said the new deals will among other things lead to incremental revenue for the country within the less than 10 years of the lifespan of the projects.
He said that the projects were attracting the inflow of foreign direct investments in the nation’s oil and gas sector.
The Nigerian National Petroleum Corporation (NNPC) said on Monday
While hinting that the nation’s current crude oil production had risen to 2.35 million barrels per day, he noted “In the upstream, we have also been making strides in the stability and security in the Niger-Delta and production is coming back steadily”.
“At one point, we have reached the level of almost 2.35 million barrels per day, including condensates, which accounts for about 400,000 barrels per day.
He attributed the steady supply to conscious plan by the management, with support from staff and other stakeholders in the industry.
Continuing, Baru averred that “In our joint venture project with Chevron, we have attracted an oversubscribed 1.2 billion dollars Foreign Direct Investment”.
“The E and P joint venture with NNPC attracted 800 million dollars foreign direct investment which was signed up in May.
“Last week in London, the NNPC, Shell Agip and Total joint venture attracted over 1 billion dollars foreign direct investment.
“The Chevron, NNPC Joint venture project is 780 million dollars worth of investments.
Baru also said that the projects would serve as an avenue for the corporation to exit the JV cash call.
According to him, “The JV cash call has components; we have to pay arrears of about six billion dollars that were incurred in 2016 in JV operations”.
“We are paying up about one billion dollars 2016 arrears we started in April; we have paid in 400 million dollars and we hope to pay the balance before the anniversary of the first payment,” Baru maintained.