Articles and Opinion

N10trn revenue: A perspective into NNPC Ltd’s trajectory of profitability, accountability

In an era when global energy markets are grappling with volatility, NNPC Ltd’s ability to generate and remit N10 trillion in revenue stands as a testament to the effectiveness of its operational strategies. This achievement speaks volumes of the capacity of Mallam Melee Kyari, a significant milestone in a country where government revenues heavily depend on oil and gas.

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By Ade Faniyi

The Nigerian National Petroleum Company Limited (NNPC Ltd) has been a focal point in Nigeria’s economic discourse, often subjected to scrutiny from critics questioning its operations, transparency, and efficiency. However, under the leadership of Mallam Mele Kyari, the corporation has consistently delivered remarkable results that counter-narratives of inefficiency and opaqueness. The recent revelation of NNPC Ltd remitting N10 trillion in 2024 to the nation’s coffers underscores the company’s evolution into a model of profitability and accountability.

Despite campaigns of calumny to undermine the performance of the Nigerian National Petroleum Company Limited under the dynamic leadership of Mallam Melee Kyari, the gains and bright prospects of the corporation have continued to dwarf the cacophony of noise from the sponsored critics and their backers.

Nigerians were shocked to learn recently that the NNPC Ltd remitted a whopping N10 trillion to the nation’s coffers. This revealed that NNPC Ltd is the highest taxpayer in the country and the only company in Nigeria that publishes 100% of its account statements annually.

Kyari, who critics wrongly accused of opaqueness, stated this during a presentation on NNPCL’s 2024 revenue performance and 2025 projections to the National Assembly’s joint committee on Finance.

Obviously putting his accusers to shame, the Nigeria’s oil corporation czar called for a forensic audit of the funds spent by NNPC Ltd on fuel price stabilization and ensuring uninterrupted petrol supply between January and September 2024.

His words: “Until October 1, 2024, NNPC Ltd, as mandated by the Petroleum Industry Act (PIA), acted as the supplier of last resort for fuel supply.

“A forensic audit is needed to determine the financial obligations of NNPC Ltd and any owed entities. Our transactional accounts are transparent and published annually, reinforcing our status as the top taxpayer and the highest contributor of royalties and dividends”, he said. Regarding the company’s 2025 revenue projections, Kyari indicated that a definitive figure would be provided in two weeks after the upcoming board of directors meeting.

He assured the committee that the parameters for the 2025 budget were both realistic and achievable.

In an era when global energy markets are grappling with volatility, NNPC Ltd’s ability to generate and remit N10 trillion in revenue stands as a testament to the effectiveness of its operational strategies. This achievement speaks volumes of the capacity of Mallam Melee Kyari, a significant milestone in a country where government revenues heavily depend on oil and gas.

The N10 trillion remittance serves as a critical lifeline for Nigeria’s economy, funding essential infrastructure, public services, and economic diversification efforts. It also highlights the corporation’s growing capacity to operate efficiently in a challenging global environment marked by fluctuating oil prices, energy transitions, and domestic demands.

One of the most compelling aspects of Mele Kyari’s leadership has been his unwavering commitment to transparency. NNPC Ltd remains the only company in Nigeria that publishes 100% of its account statements annually. This practice not only demonstrates compliance with global best practices but also builds public trust in an organization historically viewed with skepticism.

Additionally, Kyari’s proactive stance in seeking a forensic audit highlights his determination to clarify NNPC Ltd’s financial commitments during this period. This move will not only provide clarity on expenditures but also reinforce the corporation’s credibility in managing public resources.

Kyari’s call for a forensic audit of NNPC Ltd’s expenditures on fuel price stabilization between January and September 2024 exemplifies this commitment to accountability. By inviting external scrutiny, the NNPC Ltd CEO has positioned the corporation as a transparent custodian of public funds, countering accusations of financial mismanagement.

This feat was achievable largely due to the visionary leadership of Kyari. It will be recalled that from January to September 2024, NNPC Ltd operated as the supplier of last resort, ensuring uninterrupted fuel supply and stabilizing prices in line with its mandate under the Petroleum Industry Act (PIA). While this role was critical for maintaining economic stability and preventing nationwide fuel scarcity, it came with significant financial obligations.

The Petroleum Industry Act (PIA), which Mallam Kyari midwived has redefined the operational framework of NNPC Ltd, transitioning it from a state-run entity to a commercially driven organization and profitable going concern. This transformation has empowered NNPC Ltd to operate with greater efficiency, profitability, and accountability. Kyari’s leadership has been instrumental in aligning the corporation’s operations with the PIA’s provisions, enabling it to compete effectively in a liberalized market.

Under Kyari, NNPC Ltd has embraced reforms that prioritize efficiency and sustainability. These reforms include investments in infrastructure, technology, and human capital, all aimed at enhancing the corporation’s competitive edge in a rapidly evolving energy landscape. Looking ahead, NNPC Ltd’s 2025 revenue projections are grounded in a clear understanding of market dynamics. Kyari has assured stakeholders that the parameters for the 2025 budget are both achievable and aligned with the corporation’s strategic objectives. While definitive figures are pending the upcoming board meeting, there is optimism that NNPC Ltd will sustain its trajectory of growth and profitability.

In achieving set goals and objectives, the NNPC Ltd is focusing on leveraging technology and partnerships to increase oil and gas production, while enhancing efficiency in downstream operations, thereby expanding upstream and downstream operations. In addition, the corporation under Kyari is also diversifying into renewable energy, positioning NNPC Ltd as a leader in renewable energy development, in line with global energy transition trends.

Collaborating with local and international stakeholders to unlock new opportunities and drive economic growth and accelerating efforts to operationalize refineries and reduce Nigeria’s dependence on imported petroleum products, also forms areas of interest for the organisation to maintain profitability and impact.

NNPC Ltd’s impact extends beyond revenue generation. The corporation plays a pivotal role in driving national development through initiatives such as job creation, infrastructure development, and community empowerment. By investing in critical sectors and fostering partnerships, NNPC Ltd is contributing to Nigeria’s long-term growth and stability.


•Faniyi, a public affairs analyst writes from Abuja

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