THUR, AUGUST 24 2023-theGBJournal |Dr. Philip Mshelbila, MD/CEO of Nigeria LNG Limited, played up the grave impact of multiple taxation and pipeline vandalization on NLNG’ production and bottomline when he and the Board of Directors and Management gas producing giant paid a courtesy visit to the President of the Federal Republic of Nigeria, His Excellency, President Bola Ahmed Tinubu, at the Presidential Villa in Abuja Wednesday.
Mshelbila stressed that challenges around pipeline vandalization has constrained NLNG’s production with consequent loss of revenue to the government.
”Multiple taxation from various government agencies and the Finance Act, which is being amended yearly distorts corporate planning and puts business on the backfoot, stifling investor confidence and investment opportunities in the sector,” he told the President.
Mshelbila, stated that since inception, NLNG has contributed enormous revenue to the government through dividend and taxes, noting that the FIRS declared the company as the largest tax paying company in 2022.
He also emphasized that NLNG’s Domestic LPG (DLPG) Scheme has guaranteed LPG supply, availability, and affordability, and has also stimulated the development of different parts of the DLPG value chain in Nigeria, with 100% of produced LPG volumes from NLNG dedicated to the domestic market, supplying about 40% of Nigeria’s domestic LPG demand.
During the visit, Chairman, NLNG Board, HRM King Edmund Daukoru, CON, expressed profound gratitude to President Tinubu for his unwavering support in bolstering Nigeria’s position in the global energy landscape.
He acknowledged the crucial role NLNG has played in Nigeria’s economy, noting the need for government support in resolving some challenges the Company is presently facing.
President Tinubu, in his response, thanked NLNG for the visit and commended NLNG for its steadfast commitment to excellence and immense contributions to the GDP, acknowledging the critical role the company plays in Nigeria’s economy.
Tinubu affirmed the importance of Gas not just as a transition fuel but also as the fuel for the future, assuring that the Gas Sector would get priority attention in this administration.
He assured the Board that all encumbrances to the progress and development of Nigeria’s industrial citizens as well as any further impediment to the business practice in the oil and gas sector would be swiftly removed.
President Tinubu emphasised that for the oil and gas industry to continue to thrive, all stakeholders in the value chain especially the host communities need to be engaged and carried along to enable the government build confidence and trust.
He urged the Board and Management of NLNG to continue to work in collaboration with government to ensure that issues can be resolved quickly and efficiently while reiterating his administration’s commitment to ensuring that businesses thrive in order to generate economic prosperity and sustainable development.
Twitter-@theGBJournal|Facebook-the Government and Business Journal|email:gbj@govbusinessjournal.com| govandbusinessj@gmail.com
