The Nigeria Extractive Industries Transparency Initiative has reiterated that compliance with its mandatory audit process is not optional but a legal obligation for all companies operating in Nigeria’s extractive industries.
This remark was made by NEITI’s Executive Secretary, Dr Orji Ogbonnaya-Orji, according to a press statement on Wednesday by the Director of Communications & Stakeholder Management at NEITI, Mrs Obiageli Onuorah.
Orji spoke during the opening session of the NEITI Companies Forum in Lagos, noting that transparency and accountability are critical to improving investor confidence and aligning Nigeria’s extractive practices with global standards.
He further emphasised that compliance with the audit process would help strengthen citizens’ trust in the sector, while improving Nigeria’s business environment.
The statement read, “Orji stressed that transparency and accountability are not only national requirements but also critical pillars for building investor confidence, strengthening citizens’ trust, and aligning Nigeria’s extractive practices with global standards.
“Orji explained that compliance with NEITI’s audit process underpins efforts to improve Nigeria’s business environment and attract sustainable international investments.”
The NEITI Companies Forum has become an essential platform for engaging with companies in Nigeria’s oil, gas, and mining sectors, the statement noted.
The forum focuses on several key areas, including data disclosure on company payments, beneficial ownership transparency, contract transparency, sub-national fiscal sustainability, climate change, and multi-stakeholder collaboration.
Orji also announced that work on the 2024 NEITI Industry Reports had already begun and would be concluded before the end of the year. He urged companies to ensure full compliance and meet the reporting deadlines.
“He announced that work on the 2024 NEITI Industry Reports has already commenced and will be concluded before the end of the year, urging companies to ensure full and timely compliance to meet reporting deadlines,” the statement added.
The forum provided an opportunity for companies to raise operational concerns.
Representatives from the oil, gas, and mining sectors appealed for NEITI’s intervention regarding multiple taxation, royalties, and levies imposed by various government agencies.
The Chairman of the NEITI Companies Forum, Mr Gwueke Ajaifia, acknowledged the frustration companies face due to the proliferation of data and payment demands and called on NEITI to escalate the matter to the federal government.
The President of the Miners Association of Nigeria and Deputy Chairman of the Forum, Mr Dele Ayanleke, commended NEITI for establishing the Companies Forum.
He urged the agency to leverage its multi-stakeholder framework and international affiliations to address industry concerns and restore investor confidence.
Representing the South-West Zone on NEITI’s National Stakeholders Working Group, Mr Taiwo Olasupo highlighted the vast mineral deposits in the South-West region.
He encouraged investors to seize opportunities in the region, which could lead to both profit and job creation in host communities.
The Lagos session of the NEITI Companies Forum also discussed critical industry issues, including divestments, liabilities, and the impact of ongoing federal government reforms on the growth and sustainability of Nigeria’s extractive industries.
NEITI is a government agency established to promote transparency and accountability in the country’s oil, gas, and mining sectors.
Operating under the NEITI Act of 2007, the agency aligns with the global Extractive Industries Transparency Initiative framework to ensure the proper management of Nigeria’s natural resources.
NEITI’s core responsibilities include conducting independent audits of the extractive sector, monitoring compliance with fiscal policies, and advocating for reforms that aim to improve governance and attract sustainable investments.
