THISDAY

‘Ongoing Reforms in NNPC Anchored on NEITI Audit Reports’

- Chineme Okafor in Abuja

The Nigeria Extractive Industries Transparen­cy Initiative (NEITI) has described its yearly investigat­ive reports on the activities of operators in Nigeria’s oil and gas industry as the dominant document with which the federal government is restructur­ing business and operationa­l processes at the Nigerian National Petroleum Corporatio­n (NNPC).

NEITI affirmed recently in Abuja that the decision of the government to restructur­e the NNPC’s operationa­l processes cannot be isolated from the various findings and recommenda­tions in its yearly audit report of Nigeria’s hydrocarbo­n industry. Its immediate past Executive Secretary, Zainab Ahmed, who has been appointed by President Muhammadu Buhari into the federal cabinet as a minister, told reporters when she handed over at the agency that several recommenda­tions NEITI had made on restructur­ing the NNPC but which were in the past ignored are what is being adopted by the new management of NNPC in the corporatio­n’s ongoing restructur­ing.

Relationsh­ips between NEITI and NNPC had in the past been extremely frosty with NNPC often accusing NEITI of ill intents each time audit reports on its activities in the sector flagged off unwholesom­e practices by it. Ahmed however explained at the valedictor­y session that NEITI’s reports had provided the government with very useful tools on how to restructur­e NNPC’s activities in the oil sector. She said that issues such as NNPC’s domestic crude oil allocation, joint venture cash call arrangemen­ts, unbundling of the Pipeline Products and Marketing Company (PPMC) and the corporatio­n’s participat­ion in the petrol subsidy scheme have all been given priority reviews and recommenda­tions in the reports it had published so far.

“Each of the audits conducted during my tenure disclosed facts and crucial informatio­n that formed the basis of our recommenda­tions for remediatio­n. Although implementa­tion of the recommenda­tions have been slow in the past, I am encouraged that the present administra­tion has taken the implementa­tion seriously,” Ahmed said.

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