Reps to NEITI: Recover N2.6 trn owed FG from 77 oil companies

Jonas Ezieke, Abuja

The House of Representatives on Wednesday urged the Nigeria Extractive Industries Transparency Initiative (NEITI), the National Oil Spill Detection and Response Agency (NOSDRA) and the Federal Inland Revenue Service (FIRS) to provide necessary data needed to facilitate recovery of N2.6 trillion debts owed the Federal Government by some oil companies.

This followed the adoption of a motion titled ‘Urgent Need to Recover Outstanding Debts Owed the Federal Government by Oil and Gas Companies  in Nigeria’ by Hon.Ahmed Munir (Kaduna, APC) on the matter on the floor of the House at plenary.

Munir while debating the motion noted that there is reports by Nigeria Extractive Industry Initiative NEITI, that 77 oil companies  operating in Nigeria are owing the federal government N2.6 trillion

The lawmaker further noted that debts accrued from the failure of the firms to remit petroleum profit tax, company income tax, education tax value added tax, withholding tax, royalties and concessions on rentals to the government.

He said:” Concerned that such huge debts is being overlooked at a critical time when the country needs funding for its annual budgets.

“Cognizant that if debts are not recovered, the money could be used to service some of the federal government’s debts as well as funds up to 16.2 percent of the 2022 budget deficits”.

He expressed concerns that noting that the recovery of the debts is critical in this period of dwindling revenue especially as the Covid-19 pandemic had affected the country’s economy.

Consequently, the House presided by the Speaker Hon. Femi Gbajabiamila unanimously adopted the motion with a voice vote.

The Speaker said that an investigative ad-hoc committee comprising of twelve (12) members led by the House Leader Hon. Ado Doguwa is to be set up on the matter.