FG should reduce excessive taxation on oil & gas investment — LCCI - Vanguard News Nigeria

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FG should reduce excessive taxation on oil & gas investment — LCCI vanguardngr.com vanguardnews

The President of LCCI, Mr. Babatunde Ruwase made this call in a parley with pressmen on the agenda for the new government, adding that, there is currently a proposal by the Nigeria Ports Authority to impose $1 levy on every barrel of oil export and also new levies are being proposed under the National Oil Spill Detection and Response Agency [NOSDRA] amendment bill as well as the Maritime University amendment bill.

“Crude oil export is our biggest foreign exchange earner; ironically, the biggest foreign exchange expenditure is also on the importation of petroleum products. Increases in crude oil price benefit the Nigerian economy with regards to foreign exchange earnings but penalises the economy in terms of the huge foreign exchange commitment to importation of refined petroleum products and high energy cost.

Ruwase noted that top government functionaries have repeatedly expressed concerns over the funding gap that exist in government, adding that, it is therefore important to quickly develop a fiscal sustainability strategy as the administration progresses into its second term.

 

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