The Nigeria Extractive Industries transparency Initiative(NEITI) has released the report of the Independent Auditors on Nigeria's Solid Minerals sector covering the period 2007-2010. From the report,the federal government of Nigeria recieved a total of N54.5Billion from mining companies while companies reported they paid N53.8 Billion in form of Taxes,Royalties,Levies,etc.This leaves an unreconciled difference of N687Million.
As part of efforts by NEITI to redirect the nation’s attention to the sector and in keeping with its statutory mandates and the EITI principles, NEITI commissioned an industry Audit of the solid minerals sector, for the first time, following base line information provided by the scoping study conducted earlier in the sector.
The objective of the audit was to establish and make public the revenue flows through investment among the major players in the solid minerals sector, report on the quantities of solid minerals mined, quarried, processed, exported and imported. The audit was also to track solid minerals sector fund collected by the various Government Agencies to the Federation Account and how it is distributed, applied by the various Federal Agencies and also make recommendations on any issues arising during the course of the audit.
Other objectives include the reconciliation of the payments by the major players (companies/entities) in the solid minerals sector in Nigeria and Government receipt of revenues during the period 2007 – 2010 in the areas of Royalty, Ground Rents/Annual Surface Rents, Taxation, Levies etc. A total of 78 (Seventy eight) companies were covered based on the materiality level with their activities covering construction, manufacturing, artisanal mining and mineral buying centres.The Audit is useful for purposes of planning and economic development of the country.