Financial Energy Review
by Musa Ibrahim……………
Irked by the dwindling revenue generation of some top federal government parastatals coupled with the heavy debt burden on the government, the Minister of Finance, Mrs Zainab Ahmed has said that special focus and close supervision will now be on the revenue generation management of the 10 special owned government parastatals.
The 10 government-owned enterprises (GOE) named in the first phase of the initiative are Nigerian National Petroleum Corporation (NNPC), Nigerian Ports Authority (NPA), Nigeria Maritime Administration and Safety Agency (NIMASA), Federal Inland Revenue Service (FIRS) and Nigeria Customs Service (NSS).
Others include Corporate Affairs Commission (CAC), Department of Petroleum Resources (DPR), Nigerian Communications Commission (NCC) Federal Airports Authority of Nigeria (FAAN) and Nigeria Shippers’ Council (NSC).
At the opening of a three-day orientation programme for 50 directors of revenue who are to be posted to various GOEs in Abuja, the Minister said the initiative was in compliance with Presidential approval conveyed via SGF’s circular reference SGF.50/S.3/C.9/24 dated 16th October 2018 on the approved Revenue Performance Management Framework for Government Owned Enterprises (FGOEs).
According to her, “government is increasingly concerned with the dwindling profile of Revenue and this trend has to be quickly arrested particularly with Key revenue generating agencies of the Government.
“It is my considered opinion that the presence of Directors of Revenue at the FGOEs will ensure strict adherence to extant rules and regulations in the areas of compliance to approved budget and due process mechanism in procurement and payments.
“The Directors of Revenue, in the course of the discharge of their functions, shall be involved in the revenue operations of the FGOEs, have a better understanding of business processes and operations of the FGOEs and cause improved transparency and accountability in revenue reporting by the FGOEs.
“In addition, they are expected to seek opportunities and avenues for revenue improvements which are the ultimate aim of the Government.
I am pleased to inform you that the discharge of these duties will be aided with the deployment of Information Technology.
“The Integrated Revenue Monitoring System is being put in place to help the monitoring of the revenues of the FGOEs online real-time and to ensure its improved transparency and accountability.
“This programme is designed as an orientation to the officers that will be posted as Directors of Revenues and is hoped that this will help them to discharge their duties effectively and efficiently and most importantly in utmost good faith” she said.
Earlier, Accountant General of the Federation, Mr Ahmed Idris said the vision of this initiative is to achieve transparency and accountability of Government revenue with special focus on FGOEs, improved revenue performance and ultimately to provide a sustainable source of funding for Government budget execution.
He, therefore, urged the participants to be active during the orientation programme.
In a remark read on his behalf, Secretary to Government of the Federation, Mr Boss Mustafa said the decision taken to boost the revenue base of Government was to post Professional Treasury Officers to select FGOEs will among others enable the Treasury to have a better understanding of the business processes and operations of the FGOEs.
“This will help in the review of the current systems, policies and procedures in revenue administration and management.
“The policy is a reform initiative aimed at generating more revenue and associated remittance into the government treasury and to also improve the operational performance of all GOEs. Hitherto, Government has noted that a number of GOEs remit less operating surpluses to the Consolidated Revenue Fund than is required by law and/or Financial Regulations” he said.
