DPR generates N673.7bn revenue in first half of 2020

DPR generates N673.7bn revenue in first half of 2020

The Department of Petroleum Resources (DPR) has generated N673.7 billion as revenue in the first half of this year.

 

Its spokesman, Paul Osu, said in a statement that the Director of DPR, Mr Auwalu Sarki, disclosed this during the visit of the Federation Allocation Accounts Committee (FAAC) Post-mortem Sub-Committee to the department on Wednesday.

 

The FAAC delegation was led by the Chairman of the committee, Mr Kabir Mashi.

 

He said that DPR was a revenue collection agency for revenues accruable to the government from oil and gas industry operations and pledged that the agency would surpass its revenue target for 2020.

 

According to him, DPR operates a cashless revenue system which enables all revenue remittances to be paid directly into the Federation Account in total compliance with the Treasury Single Account (TSA) policy of the Federal Government.

 

He said that DPR conducted comprehensive quarterly and annual reconciliations of revenue payments to ensure accurate and timely remittances to the Federation Account.

 

Besides, Sarki said that DPR was responsible for the collection of oil and gas royalties, which represented proportional value of oil and gas production and sales from oilfields as well as gas flare penalties imposed for gas flaring.

 

He said the agency was also responsible for collection of concession rentals paid for grant of oil and gas acreages by exploration and production companies and miscellaneous oil revenue.

 

He added that the amount also consisted of statutory application fees, licence and permit fees as well as penalties.

 

According to him, DPR conducts comprehensive quarterly and annual reconciliations of revenue payments to ensure accurate and timely remittances to the Federation Account.

 

Responding, Mashi commended DPR for putting in place appropriate measures to ensure timely and accurate collection of revenues for the government.

 

Mashi said that the visit was to strengthen collaboration of FAAC with revenue collection agencies of government to ensure seamless analysis of revenue inflows into the Federation Account.

 

He encouraged DPR to sustain its positive revenue collection drive and initiate policies that would stimulate the economy so as to significantly boost current contribution of the oil and gas sector to the nation’s Gross Domestic Product (GDP).

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