by Ebere Agina
The Nigeria Extractive Industries Transparency Initiative (NEITI) has commenced the audit of physical allocations and statutory disbursement of the extractive industry from 2007 to 2011 with an initial focus on the nine oil-producing states.
This audit is coming in line with the decision of the Federal Executive Council at its November 28, 2013 meeting.
NEITI is engaging an indigenous audit firm, S.A.I.O. Partners, to audit the allocations to the nine states benefiting from the 13 per cent oil derivation. The audit is expected to be completed within the next nine months
The states benefiting from the 13 per cent oil derivation are the oil-producing states of Abia, Akwa Ibom, Bayelsa, Cross River, Delta, Edo, Imo, Ondo and River.
The exercise will also be extended to key entities like the Central Bank of Nigeria (CBN), the Niger Delta Development Commission (NDDC) and the Petroleum Technology Development Fund (PTDF).
The audit will also cover the Federal Government’s share of derivation and ecology as well as the management of the excess crude account.
Speaking at a ceremony to sign the Memorandum of Understanding with the auditing firm, the executive secretary of NEITI, Zainab Ahmed, said the exercise is not a witch-hunt but one that will create data for national planning and development.