The lost of revenue due to the government’s inability to determine the exact number of crude oil export or even mined could soon be over in Nigeria.
This is according to the Minister of State for Petroleum Resources, Ibe Kachikwu who disclosed the plan in a recent podcast in Abuja.
The new system
A new information Technology platform is being put in place by the Department of Petroleum Resources (DPR) and the Nigerian National Petroleum Corporation (NNPC).
The Minister asserts that this new system will keep track of every drop of both the crude and refined petroleum products. Although, he adds that it is subject to approval of the President.
Kachikwu believes that the country can produce more than 2.2 million barrels of crude oil per day depending on the state of the nation’s infrastructure and OPEC’s quota.
These changes would enable better projection of what Nigeria stands to gain financially. The Minister continued that more investments have been obtained from multinationals to fund projects such as the Bonga and Zabazaba extension with over 15 billion dollars. Particularly after the government exit of their previous joint venture cash call.
These new fiscal policies are projected to bring in over $2 billion a year in the short term to the federal government and on a long term over $9 billion.