The Revenue Mobilization Allocation and Fiscal Commission (RMAFC) on Monday disagreed with Mr. Samuel Ukura, Auditor-General of the Federation (AuGF), over the N4.9 trillion which he claimed Nigerian National Petroleum Corporation (NNPC) failed to remit to the Federation Account.
Moreover, the $235 million realised in 2014 from the sale of natural gas was deposited in an Escrow Account for funding the various gas projects of three multinational giants partners of NLNG, the commission explained.
RMAFC’s disagreement therefore triggers another round of multi-public agency reconciliation forum to resolve the discrepancies in figures of revenues withheld or remitted to the Federation Account in 2014.
For, Mr Isiaka Abdulrazaq, Group Executive Director, Finance and Accounts of NNPC said last week that the oil giant owes the Federation Account N326 billion and not N3.32 trillion reported by AUGF but, according to RMAFC, much higher at N1.9 trillion.
Besides, though Abdulrazaq was silent about the Auditor General’s accurate accusation that Nigeria Liquefied Natural Gas (NLNG) sold its products for N47.1 billion ($235,685,861) and transferred the revenue into “some undisclosed escrow accounts” which was not paid into the Federation Account, the Revenue Commission vetted the Auditor General’s figure.
RMAFC said through its spokesman Ibrahim Mohammed in Abuja on Monday that going by its records, NNPC owes N1.9 trillion from its 2014 operations.
The statement added that while the AuGF’s report claimed that NNPC owed N3.2 trillion to the Federation Account in 2014 from domestic crude sale, RMFAC’s records revealed that the corporation owed the Federation Account N1.99tr for the year.
“Therefore, the figure quoted by the Auditor-General of the Federation must have included revenues from other sources,” it said.
Concerning the payment of $235 million realised from the sale of natural gas into an undisclosed Escrow Account by NNPC, the commission explained that the corporation, on behalf of NLNG, had entered into agreements with three international oil companies – Nigeria Agip Oil Company (NAOC), Shell Petroleum Development Company of Nigeria (SPDC) and Total E&P Nigeria Limited (TEPNG).
Under a Modified Carry Agreement (MCA), their proceeds are deposited in Escrow Accounts for funding the various gas projects under the NLNG.
It is unclear whether in this regime of Treasury Single Account (TSA), such escrow accounts could be operated independently of the unified TSA.
RMAFC said it had been working with NNPC to reconcile the figures, following a tripartite meeting held with NNPC and the Ministry of Finance.
-Vanguard
