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Petroleum department’s 2021 revenue hitting N3.2tn in Dec.

By Newsdesk

The Department of Petroleum Resources (DPR) has disclosed that the department would be recording nothing less than N3.2 trillion as its 2021 revenue by December 2021 as against N2.7trillion recorded by the government’s agency during the previous year.

It explained that 70 per cent of the agency’s 2021 revenue projection had been recorded before last day of August and that the rest of the 30 per cent on target would certainly be covered before the year runs out.

The Chief Executive Officer, DPR, Sarki Auwalu, stated that the agency was on target of N3.2 trillion as 2021 revenue and that the figure would be completely generated before end of December, 2021.

Speaking during DPR management team’s visitation to Petroleum Technology Development Fund (PTDF) office in Abuja, on Wednesday, Auwalu indicated that through teamwork the agency was able to generate 70 per cent of the projected revenue as at end of August and that the rest of 30 per cent would also be covered before the year runs out.

He said that the department’s current performance had proved that the N3.2 trillion of the projected revenue would be generated by the set date, with the  70  per cent result already recorded in August.

The DPR’s boss claimed that government took advantage of fiscal terms within old and new legislation which created a level of increased signature bonuses and that country stands at the advantage of exporting skills to emerging oil and gas countries across Africa with proper implementation of the newly passed Petroleum Industry Act.

“Last year, we exceeded our revenue budget. We were given N1.5 trillion but we were able to generate N2.7trillion. This year, our revenue budget was N3.2 trillion. By the end of August 2021, we have generated up to 70 per cent.

“So, with September, October, November and December, it is only the 30 per cent that we will work over. We reorganise the work programme that is normally being done in the DPR to key into the new operational structure as we see it in the bill, now an act.

“That programme is being handled by the planning and strategic business unit as against what we use to have, because the entire work programme is supposed to show not only technical, but also commercial and viability of oil fields and to guarantee the return on investment for investors.

“We have also created an economic value and benchmarking unit to key into the new fiscal provisions of the PIA,’’.

Auwalu assured that DPR was ready to partner with the Fund to continue to build capacity in the oil and gas and that Federal Government was determined to create leeway that would encourage investors and drastically improve the nation’s petroleum industry.

The department’s head hinted that over 300 legal battles in the oil and gas industry in Nigeria, which had been stalled for the past 20 years in courts, were been resolved through alternative dispute resolution.

On his part,  Executive Secretary, PTDF,  Bello Gusau,  Responding, Gusau commended DPR and its management team for providing oil and gas industry enabling environment such that has been enhancing business activities in the sector.

He stated that the department remained head of the oil and gas industry in Nigeria just as he expressed satisfaction on DPR’s wealth of ideas which his office has continue benefitting from.

“The last time we visited, we had a good discussion and issues raised are being implemented like tracking the inflow of fund in signature bonus accounts.

“We extended the meeting and involved ministry of Finance, Accountant General office and even the Central Bank of Nigeria (CBN).

“Sitting at field development plans and attending significant meetings, helped us to know where and what the industry is trying to do and it also helps to inform our decisions in training and capacity plans,’’ he said

The petroleum funding body’s head urged the DPR to double effort to ensure efficiency and productive petroleum industry in Nigeria, just as he assured that his office would not deny the department and other agencies in the sector collaboration, as the head of the implementation committee of the Petroleum Industry Act.

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