CONFIDEN TIAL DRAFT The Petroleum Revenues Special Task Force carried out a review of the Nigerian Petroleum Industry with a view to fulfilling its Terms of Reference as inaugurated by the Honourable Minister of Petroleum Resources.
Executive Summary Background
The Honourable Minister of Petroleum Resources, driven by the need to strengthen the institutions responsible for Petroleum Revenue Management, commissioned the Petroleum Revenue Special Task force (PRSTF) on 28 February 2012. The goal of the Task Force was to support the programme of the Federal Government of Nigeria in enhancing optimization, probity and accountability in the operations of the Petroleum Industry.
As part of this agenda and the issues arising from the various fiscal regimes existing in the sector, there arose an urgent need to establish the streams of revenue flows from the Petroleum sector to the Federal Republic of Nigeria and design systems and processes which would enhance the accountability of each agency or entity. The assignment of the Special Task Force is contained in its Terms of Reference and covers the entire Petroleum Value Chain. Accordingly, the Task Force set out to confirm if existing systems, laws, processes and functions across the value chain provide reasonable assurance that revenues from the Petroleum Industry are captured, complete, recorded intact, properly accounted for and that revenue due is demanded and collected. Terms of Reference At the inauguration of the Petroleum Revenue Special Task Force, the following Terms of Reference (ToR) were communicated: 1.
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To work with consultants and experts to determine and verify all petroleum upstream and downstream revenues (taxes, royalties, etc) due and payable to Federal Government of Nigeria;