Strengthening Ties: TETFUND and NEITI Forge Stronger Partnership for Data Access and Tax Compliance

Strengthening Ties: TETFUND and NEITI Forge Stronger Partnership for Data Access and Tax Compliance

The Nigeria Extractive Industries Transparency Initiative (NEITI) and the Tertiary Education Trust Fund (TETFund) have strengthened partnership on accessibility to credible data, tax compliance and revenue transparency and disclosures.

The Executive Secretaries of NEITI and TETFund, Dr Orji Ogbonnaya Orji and Mr Sonny Echono made the commitment on Wednesday when the  TETFund management  paid a courtesy visit to the NEITI  in Abuja.

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They expressed commitment to manpower training and development, public finance management and educational financing for members of their staff and other critical stakeholders on transparency and natural resource governance.

The executive secretary of TETFund said the visit was  aimed at seeking collaboration with NEITI in  areas of access to data on what is accrued to TETFund and tax compliance by extractive companies.

This, he said,  would ensure right payment ; revenue transparency on reporting to ensure there were no gaps between companies’ payments and their disclosure.

“These pieces of information will enable TETFund expand their support for infrastructural development of tertiary institutions in Nigeria,” he said .

Echono explained that TETFund has enormous confidence in the credibility of NEITI data and availability capabilities which his agency found  quite useful in its revenue generation drive.

A joint initiative to train TETFund stakeholders, tertiary institutions, and key policymakers on transparency, accountability, and public finance management principles was agreed upon in line with global best practices.

Speaking, the NEITI executive  secretary emphasised the need for stronger collaboration between it  and TETFund.

This, he said, would ensure that funds meant for development of tertiary education in Nigeria and national development from the extractive sector were efficiently and transparently managed.

Orji said that over the years, NEITI had closely monitored revenues accruing from the oil, gas, and mining sectors, particularly the Education Tax, which formed a major component of TETFund’s financial inflows.

“NEITI has noted with significant concerns,  the remittances of the funds by liable operating entities, as well as the prudent and accountable management of the revenues to achieve intended purposes.

“NEITI and TETFund will ensure prompt remittances of education tax; promote prudent utilisation of funds, and encourage data sharing and joint research,”  he said.

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The executive secretary said NEITI would continue to track payments from oil and gas companies, to ensure the correct taxes were remitted as and when due, in line with  provisions of the Companies Income Tax Act (CITA).

He said NEITI would support TETFund in addressing gaps in compliance by extractive sector players.

He said accountability in the use of these funds would build public confidence in the tax system and ensure that tertiary institutions received adequate funding for infrastructure, research, and human capital development.

He disclosed that over N3.8 trillion accrued to the TETFund  between 2013 and 2023.

He said the latest reports of the NEITI industry audits of the oil, gas and mining sectors for 2023,  showed that accruals to the fund were N229.34 billion in 2022 and N564.65 billion in 2023 respectively.

He commended TETFund for its visibility in the provision of infrastructure and research and development support to tertiary institutions in Nigeria.

“To enhance decision-making, policy formulation, and resource allocation to critical educational needs, partnership and technical support from TETFund to complete the NEITI Data Centre and Library will be a strategic investment,” Orji said.

When completed, Orji said the NEITI Data centre would serve as a comprehensive repository for information on Nigeria’s oil, gas, and solid minerals industries, including all NEITI Annual Industry Reports from 1999 to date.