NEITI Targets $6 Billion Recovery in Oil Sector: A Deep Dive into Nigeria’s Financial Crackdown

By Achimi muktar

In a bold move to recover massive outstanding funds, the Nigeria Extractive Industries Transparency Initiative (NEITI) is spearheading efforts to retrieve $6 billion and an additional ₦66 billion owed to the Federal Government by oil industry stakeholders. The revelation was made on Monday by NEITI’s Executive Secretary, Ogbonnaya Orji, during the 2025 budget defense session before the House of Representatives Committee on Petroleum Resources (Upstream).

Mr. Orji disclosed that NEITI is working closely with the Economic and Financial Crimes Commission (EFCC) to ensure these funds are recovered and deposited into government coffers. Highlighting the agency’s track record, he noted that $3.7 billion was successfully recovered in 2020 and 2021 as part of efforts to address outstanding liabilities within the sector.

“NEITI’s mandate is clear: to promote transparency and accountability in Nigeria’s oil, gas, and mining sectors,” Mr. Orji stated, emphasizing the agency’s pivotal role in resource governance.

For the 2025 fiscal year, NEITI has been allocated ₦6.5 billion, with ₦2.220 billion earmarked for personnel, ₦1.722 billion for overhead, and ₦2.575 billion for capital projects. Mr. Orji outlined the agency’s key activities for the year, which include:

Producing industry reports on the oil, gas, and mining sectors.

Conducting fiscal allocation and statutory disbursement audits.

Researching Nigeria’s actual petrol consumption.

Analyzing the economic impact of energy transition.

Undertaking a national perception survey on EITI (Extractive Industries Transparency Initiative) implementation in Nigeria.

These activities are part of NEITI’s broader mission to enhance resource transparency and ensure that the nation benefits equitably from its natural wealth.

During the session, committee members scrutinized the proposed budget, raising concerns over certain expenditures. Kafilat Ogbara (APC-Lagos) criticized the ₦32 million allocated for meals, calling it excessive amidst widespread economic hardship.

“Government agencies must ensure that their budget proposals align with economic realities,” Ms. Ogbara stated, echoing sentiments shared by her colleague, Ademorin Kuye (APC-Lagos). Mr. Kuye highlighted public skepticism about the National Assembly’s role, urging agencies to demonstrate fiscal discipline.

Committee Chairman Alhassan Doguwa also took issue with the language of the budget and questioned the inclusion of the National Assembly in the agency’s welfare package. “Our focus is on the welfare of Nigerians. Agencies must prioritize public interest in their spending,” Mr. Doguwa emphasized. However, he assured NEITI of the committee’s support in fulfilling its mandate.

NEITI’s aggressive push to recover funds is part of its broader strategy to address longstanding issues in Nigeria’s extractive industries. With a proven track record and clear objectives for 2025, the agency is positioning itself as a key player in ensuring financial accountability and transparency.

As Nigeria navigates economic challenges, the success of NEITI’s initiatives could mark a turning point in harnessing the nation’s resources for the benefit of its citizens. With $6 billion and ₦66 billion on the line, all eyes are now on NEITI to deliver on its ambitious recovery goals.