The Minister of Finance and Coordinating Minister of the Economy, Wale Edun says a forensic audit of the Nigerian National Petroleum Company (NNPC) Limited is afoot.
Edun spoke on Tuesday during the Nigerian Investor Forum, held on the sidelines of the International Monetary Fund (IMF) and World Bank spring meetings in Washington DC, United States.
Addressing a group of investors drawn from renowned global financial institutions, including J.P. Morgan, the minister outlined critical reforms the federal government has implemented to reset the economy and restore confidence.
Edun also highlighted the recent NNPC shake-up as part of the government’s efforts to reposition the company for optimal performance, particularly in terms of boosting oil production.
Responding to a question on the arrears being claimed by the NNPC, the minister said a reconciliation process is ongoing.
“There’s a forensic audit of NNPC underway so that we can really understand what has happened in the past. As for now, there’s a reconciliation exercise going on,” he said.
“Because the truth is, as we all know, the removal of the fuel subsidy was announced on May 29, 2023, but it took time to achieve.
“Part of that burden shifted from the government’s budget to NNPC. So, they have a legitimate claim and they have some arrears that need to be given to them.
“But then it’s a two-sided thing. There’s a reconciliation on underway. And the most important thing is that NNPC needs to come to the table with more oil production, more dollar revenue, and indeed, more revenue to the federation.
“That’s the mandate they have been given and I think they will deliver.”
Edun’s announcement comes amid renewed calls for a thorough audit of NNPC’s operations under Mele Kyari, the former group chief executive officer (GCEO).
Stakeholders have long been concerned about the NNPC’s operations, accusing the company of executing oil-backed deals shrouded in secrecy.
The Nigeria Extractive Industries Transparency Initiative (NEITI) in its ‘2021 Oil and Gas Industry Report’, released in September 2023, said NNPC did not remit $2 billion in taxes to the federal government before transitioning to a commercial entity.
The oil firm has since denied the allegation.
In December 2024, the federal government auditors probed NNPC’s N2.7 trillion subsidy refund claim.
Also in January, a report by the auditor-general indicted the NNPC of financial infractions.
On April 2, President Bola Tinubu made changes to the board of NNPC.
Tinubu appointed Bayo Ojulari, NNPC’s group chief executive officer (GCEO), to replace Kyari, while Ahmadu Musa Kida was named NNPC’s non-executive chairman, replacing Pius Akinyelure.
Subsequently, the NNPC announced the appointment of an eight-member senior management team on April 4.
Following his appointment, Ojulari said his administration plans to attract sectoral investments worth $60 billion by 2030.
He also stated that he plans to increase crude oil production to over two million barrels per day (bpd) and sustain it through 2027, with a goal of reaching three million bpd by 2030.
