“In addition, there are also a lot of administrative burdens on NNPC that impair on its ability to operate as a profitable commercial enterprise.”
Publishing the audited statements of its 20 subsidiaries and business divisions for first time, industry stakeholders, who lauded the move, as a landmark in instituting transparency in its financials, however stressed the need to overhaul the state oil firm, and make it profitable like other national oil companies around the world.
Similarly, the Pipelines and Product Marketing Company , recorded raked in about N29.5 billion in 2018 against the N113 billion achieved a year earlier, reporting profit after tax of N9.3 billion against losses of N27 billion year-on-year. He also sees the move as the beginning of a better future, especially when a new administrator finds something good from his predecessors and follows through, noting that the losses coming from some subsidiaries were unavoidable, because the Corporation has many cost centres that are highly subsidized by other business units.
To Iledare, NNPC will not make money with its cost profile year-on-year, especially with the current amorphous governance structure, adding it would be better off if reformed with distinctive policy, regulatory, and commercial institutions. He equally sees the development as a positive move for greater transparency and accountability at the Corporation, saying it should be sustained.
However, Faniran noted that there appears to be no audited accounts for the Central Headquarters , where the Crude Oil Marketing Department is located, which according to NNPC Monthly Financial and Operational Report for December 2018 accounted for N158.64 billion or nearly 45 per cent of the total losses of N355.62 billion incurred by all NNPC subsidiaries and units.
Nigeria Latest News, Nigeria Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
FG receives N1.6bn COVID-19 donations
Read more »
Nigeria Received Over N1.68bn COVID-19 Donations In Two Months – AGFNigeria Received Over N1.68bn COVID-19 Donations In Two Months – AGF
Read more »
FG receives N1.69bn COVID-19 donationThe federal government received a total sum of N1.69 billion as COVID-19 eradication support donations from April 1 to May 31.
Read more »
Ex-gov Ahmed siphoned N1.8bn with road contract –Speaker|p style=
Read more »
Ex-Gov Ahmed Siphoned N1.8bn With Road Contract, Kwara Speaker Alleges | Sahara ReportersEx-Gov AbdulfataAhmed Siphoned N1.8bn With Road Contract, kwaragovt Speaker Alleges | Sahara Reporters What the speaker has said is political to please his people. We have done the needful when we were in government. READ MORE:
Read more »