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· In a report released by the World Bank’s Extractives Global Programmatic Support (EGPS) Multi-Donor Trust Fund and EITI reveals that Nigeria has so far recovered about $3 billion as a result of more transparency in the sector
· The global bodies stated that the initiatives by the Nigeria Extractive Industries Transparency Initiative (NEITI) led to ongoing reforms that have helped the country to identify about $20 billion
The World Bank and the Extractive Industries Transparency Initiative (EITI), the global standard for the promotion of openness in the oil, gas and mineral resources management, have acknowledged that Nigeria has made notable improvements in the governance of its oil sector. In a recent report released by the World Bank’s Extractives Global Programmatic Support (EGPS) Multi-Donor Trust Fund and EITI reveals that Nigeria has so far recovered about $3 billion as a result of more transparency in the sector. The global bodies stated that the initiatives by the Nigeria Extractive Industries Transparency Initiative (NEITI) led to ongoing reforms that have helped the country to identify about $20 billion in recoverable revenues, and to recover approximately $3 billion into government coffers to date.
The World Bank publication noted that so far the industry was opaque, with little reliable public information on production levels, crude oil losses, government investment in the upstream projects or downstream information. Supported by World Bank’s Extractives Global Programmatic Support Trust Fund, NEITI has now succeeded in publishing its reports in a timely and efficient manner. Both organisations complimented NEITI for the release of prompt reports on the extractive industries, including the one on the Nigerian National Petroleum Corporation (NNPC), which drew the attention of the Nigerian authorities. It exposed the unremitted funds of more than $20 billion, which the NNPC should have contributed to government revenues highlighting the urgent need for oil sector reform. The report triggered a national dialogue on the urgency of reforms and caught the attention of decision-makers.
The report also pointed out that the country still has to address its developmental issues, including the need to reduce economic dependence on oil and rebuild social infrastructure. It is hoped that greater transparency and accountability would lead to an overall reform process that helps Nigerians gain crucial access to electricity and accelerates the government’s economic recovery and growth plan.
The Department of Petroleum Resources (DPR), Nigeria’s oil sector regulator has unveiled a strategic plan and policy for the survival and the success of the industry post-COVID-19.
