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Tax Credit: NNPC’s  N1.6trn quest to fix Nigerian roads

Group Chief Executive Officer of the Nigerian National Petroleum Company Ltd, NNPCL, Mallam Mele Kolo Kyari, inspecting rehabilitation work progress on the Lagos-Badagry Road, as part of the 21 roads funded by the NNPC Limited under the FG’s Federal Roads Infrastructure Tax Credit Scheme.
Bayo Amodu
While Nigeria boasts of the largest road network in Africa, only about 60,000km out of its estimated 195,000km road network is paved. Some of the roads are either in a state of disrepair, poorly maintained or altogether untarred.
As part of the Federal Government’s efforts to improve the condition of road infrastructure and transportation in the country, it introduced Executive Order 007 which was signed by President Muhammadu Buhari on January 25, 2019.
The instrument brought about the Road Infrastructure Development and Refurbishment Investment Tax Credit Scheme with the objective to unlock funding from the private sector for critical road infrastructure in the country.
Executive Order 007 was designed to empower private companies to finance the construction or refurbishment of federal roads designated as “Eligible Roads” under the scheme and recoup their investments through the deduction of the approved total costs expended on the project from their annual Companies Income Tax.
The Road Infrastructure Scheme is a Public-Private Partnership (PPP) intervention that enables the Federal Government to leverage private sector capital and efficiency for the construction, and refurbishment of critical road infrastructure in key economic areas in Nigeria.
Participants under the arrangement were entitled to utilise the total cost, referred to as “Project Cost”, incurred in the construction or refurbishment of an eligible road as a tax credit against their future Companies Income Tax (CIT) liability until full cost recovery is achieved.
Like any other responsible corporate citizen, the NNPC prioritizes road infrastructure as part of its Corporate Social Responsibility (CSR) Projects and became one of the companies that have keyed into the initiative.
The NNPC had expressed interest to invest in the reconstruction of selected federal roads in order to sustain a smooth supply and distribution of petroleum products across the country.
A few months after announcing the release of N621 billion to revamp selected Nigerian roads, the company is planning to invest over N1 trillion for a similar purpose. In the first phase, the NNPC was expected to construct a total of 1,804.6 kilometres of roads at a total cost of N621,237,143,897.35, with the North-central getting the highest chunk of N244.87 billion and the South-south emerging the second highest beneficiary of the NNPC roads project with the sum of N172.02 billion.
In addition, the South-west has a total allocation of N81.87 billion; it’s N56.12 billion for the North-East, while the South-East has N43.28 billion allocation.  The North-west was allocated N23.05 billion.
The Group Chief Executive, NNPC Limited, Mallam Mele Kyari, said during a tour of roads in the North-central and South-west, along with the Chief Executive of the Federal Inland Revenue Service (FIRS), Muhammad Nami and top officials of the Ministry of Works and Housing, that in the coming months, Nigerian road users will experience substantial comfort when commuting.
Also, among the roads visited by Kyari were the one in Niger State where he carried out an assessment of the reconstruction of the Bida-Lambata road in the state, with a length 124.81km and the Lagos-Badagry expressway along the Agbara junction and Nigeria/Benin border.
Under the scheme, the road projects will be funded by NNPC and the equivalent amount deducted by the Federal Inland Revenue Service from the National Oil Company’s tax obligations. Through the scheme, the NNPC will be serving as an enabler for building the Nigerian economy and it is collaborating with key stakeholders such as the Ministry of Works and the FIRS on the execution of the initiative.
The company said this is in response to the plight faced by petroleum products marketers in transportation which affects nationwide distribution.
Interestingly, NNPC Ltd is involved in operations across the oil and gas value chain from exploration and production of hydrocarbon and processing of natural gas to nationwide distribution of petroleum products such as petrol, diesel, and kerosene.
The NNPC’s assets base and operations span across different regions of the country and the oil and gas industry has remained one of the biggest and most important economic drivers through foreign and domestic investments.
Kyari further stated that the NNPC was taking cognisance of the importance of road infrastructure to the development of the Nigerian economy, explaining that it is the reason it is investing massively in road infrastructure.
He termed the programme a game changer in the federal government’s quest to scale up infrastructure projects in the country, noting that the NNPC will continue to support any effort of the government aimed at growing the Nigerian economy.
The GCEO expressed satisfaction with the progress of work so far done in the project sites visited, adding that the NNPC had done its part in releasing all the funds needed for their execution.
He said, “We are very happy about the state of this road development. We are very happy with this intervention across the country not just in this place. We are doing 1,800km across the country. We are taking another set of over N1 trillion of investments in road infrastructure in the country. We believe that this tax credit system that Mr President has put in place is the game changer for our country.
”We believe that in the next 24 months, there will be a massive change to the entire road network in this country and this is why NNPC is your company and working for all of us.
“We think that it is the best way to intervene and bring up our infrastructure. We are adding another set of cash, we have not reached the final numbers, but I know it is over N1 trillion.’’
Kyari stated that the quality of work was top-notch, revealing that the consultants deployed during Buhari’s stint at the Petroleum Trust Fund (PTF), were handling the jobs. “We are using the same consultants in partnership with the Federal Ministry of Works and the FIRS to make sure that this works for all of us and we can see from the quality of work. This is the best framework for delivering infrastructure in the country. We are funding partners. We are development partners and enablers. So, whatsoever the FIRS and the ministry of works approve for us, we will consider from our cash flow and fund them,” he assured.
The Director, Roads, Ministry of Works, Folorunso Esan, said through the intervention, the NNPC has been able to improve the pace of the project from 10 per cent to about 40 per cent within a very short period.
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Economy

NSW onboards over 12,000 users, processes 156,026 trade permits in six months as Phase 2 commmences

Tola Fakolade: Project Director National Single Window and Damola Yusuf, Director Technology, National Single Window during the Press briefing in Abuja

Funso OLOJO, Editor

The National Single Window (NSW) platform has processed 156,026 trade-related licences, permits and certificates since its launch on March 27, 2026, marking a significant milestone in Nigeria’s drive to digitise trade procedures and streamline cross-border cargo movement.

The platform has also attracted more than 12,000 importers, customs agents, shipping lines, airlines and freight forwarders, while recording an impressive 99.98 per cent uptime since the commencement of operations.

These figures were disclosed by the NSW project team  led by Tola Fakolade during a stakeholder engagement with members of the press in Abuja on Tuesday October 13th, 2026  where it provided updates on the implementation of Phase 1 and preparations for the rollout of Phase 2.

The initiative is designed to establish a centralised digital platform through which traders can access trade-related regulatory services, reducing administrative bottlenecks, improving transparency and enhancing the efficiency of import and export procedures.

According to the project team, five government agencies have been fully onboarded on the platform, while more than 8,000 users have received training since operations commenced.

A breakdown of the licences and permits processed showed that the Standards Organisation of Nigeria (SON) accounted for 104,956 transactions, while the National Agency for Food and Drug Administration and Control (NAFDAC) processed 50,622.

The platform has also recorded significant progress in cargo manifest transmission, processing 3,964 air and sea cargo manifests since its launch.

Of this figure, 3,596 were air cargo manifests transmitted by 27 airlines, while 368 were sea cargo manifests transmitted by 56 shipping lines.

The team disclosed that all airlines and air cargo companies had been onboarded for the platform’s operations.

For sea cargo, however, 56 of the 88 shipping lines had so far been onboarded for manifest transmission.

The reported 99.98 per cent platform uptime, the team said, reflected the system’s operational stability and the growing adoption of the digital trade facilitation initiative.
Regulatory Processes Go Digital.

The project team further disclosed that the submission, processing and approval of import licences, permits and certificates for four key regulatory agencies had been fully implemented on the platform.

The agencies are NAFDAC, SON, the Nigeria Agricultural Quarantine Service (NAQS) and the National Environmental Standards and Regulations Enforcement Agency (NESREA).

Payments associated with the relevant import licences, permits and certificates are also being processed through the platform, further integrating regulatory approvals and payment procedures into a single digital environment.

The development is expected to simplify interactions between traders and regulatory agencies by reducing the need to navigate multiple administrative channels for trade documentation.

On the harmonisation of Harmonised System (HS) Codes, the team said rationalisation workshops had been conducted with relevant regulatory agencies, including the Nigeria Customs Service (NCS).

The harmonised codes are expected to be updated on both the NSW platform and the Customs Service’s B’Odogwu system by November 2026.

The harmonisation exercise is intended to promote consistency in the classification of goods, improve coordination between trade-related government agencies and minimise discrepancies in the processing of import and export transactions.

Meanwhile, the onboarding of the Nigerian Ports Authority (NPA) and the Nigerian Maritime Administration and Safety Agency (NIMASA) for Ships Entry Notice (SEN) submission is ongoing.

The service is scheduled to go live on November 16, 2026, marking another step towards integrating maritime regulatory processes into the national digital trade facilitation framework.

Phase 2 Targets Export Processes, Wider Agency Integration

Beyond the progress recorded under Phase 1, the NSW project team confirmed that implementation of Phase 2 had commenced, with delivery scheduled in stages between the fourth quarter of 2026 and the first quarter of 2027.

The second phase is expected to expand the platform’s scope beyond existing import-related processes to cover critical export documentation, additional regulatory approvals and a broader range of trade transactions.

Key components include export-related licences, permits and certificates; Forms NXP and NCX; export cargo manifests; Import Duty Exemption Certificates (IDEC); import and export permits for Free Trade Zones; and payments for export licences, permits and certificates.

The planned expansion is expected to deepen the digitalisation of Nigeria’s trade processes by bringing additional agencies and documentation requirements into a coordinated electronic system.

Under the rollout schedule, the first batch of agencies and services is expected to go live in the fourth quarter of 2026.

The batch comprises the Nigerian Export Promotion Council (NEPC); the Federal Produce Inspection Service (FPIS) and Registered Exporter System (REX) under the Federal Ministry of Industry, Trade and Investment; SON; NAFDAC; and the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA).

The second batch, scheduled for implementation in the first quarter of 2027, will involve the Central Bank of Nigeria (CBN), Nigeria Customs Service, NAQS, Federal Ministry of Livestock Development, Federal Ministry of Marine and Blue Economy, Nigeria Export Processing Zones Authority (NEPZA) and Federal Ministry of Finance.

The inclusion of these institutions is expected to extend the platform’s reach across key areas of export promotion, customs administration, agricultural inspection, financial regulation, marine and blue economy-related trade, and the management of export processing zones.

Testing and Training Ahead of Full Deployment

The project team said preparations for Phase 2 had progressed through several implementation stages, including current-state assessment, technology readiness assessment, future-state design and system customisation.

The remaining implementation activities include user acceptance testing, pilot testing and end-user training ahead of the scheduled go-live dates.

These processes are intended to ensure that the platform’s new functionalities meet operational requirements and that participating agencies and users are adequately prepared before deployment.

The phased implementation approach is expected to allow the project team to address technical and operational issues progressively while expanding the range of services available to stakeholders.

Phase 3 Projected for Late 2027

Looking beyond Phase 2, the team disclosed that Phase 3 of the NSW rollout was projected for implementation between the third and fourth quarters of 2027.

The third phase is expected to introduce additional trade and customs functionalities, including Customs Declaration submission, Form M application and approval, oil and gas-related processes, Advanced Risk Analytics and a Trade Visualisation System.

These proposed features are expected to broaden the platform’s operational coverage and strengthen the digital infrastructure supporting trade documentation, customs processes, risk assessment and trade data analysis.

The planned introduction of Advanced Risk Analytics and the Trade Visualisation System also points to a wider ambition to improve the use of data in trade monitoring and regulatory decision-making.

The stakeholder engagement in Abuja provided an opportunity for journalists to examine the project’s progress, obtain updates on implementation timelines and engage members of the project team on the platform’s operational performance and future expansion.

The NSW team encouraged stakeholders to continue using the platform and provided help desk contacts for users requiring technical support and assistance.

With Phase 1 recording substantial transaction volumes and preparations for the next stages underway, the project’s success will increasingly depend on the effective integration of participating agencies, the smooth onboarding of remaining stakeholders and the reliable delivery of planned digital services.

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Commentaries

The Olokola Conundrum: DP World, Dangote, and ghosts of Nigeria’s contractual sanctity

Monday Discourse with Ibrahim Nasiru

The Ogun State Government’s recent signing of a $7 billion Memorandum of Understanding (MoU) in Paris with Dubai’s DP World has been loudly celebrated by state publicists as a monumental triumph for foreign direct investment.

The ambitious agreement aims to develop the Gateway Deep Sea Port and the Blue Marine Special Economic Zone within the strategic Olokola axis.

However, to seasoned watchers of Nigeria’s industrial policy and maritime concessions, this fresh diplomatic foray triggers a profound sense of deja vu.

By overlapping a fresh international agreement onto a maritime asset where the Dangote Group still holds an active, multi-billion naira partnership and controlling stake, the current administration is navigating a legal and political minefield.

The Olokola project is not a blank canvas; it is a highly contested zone haunted by historical policy reversals and unresolved sovereign commitments.

To understand the volatile structural foundations of Olokola, one must revisit its ambitious inception in 2004.

Conceived under the visionary yet politically fraught collaboration between former Governor Gbenga Daniel of Ogun State and the late Governor Olusegun Agagu of Ondo State, the Olokola Free Trade Zone was designed to be the ultimate crown jewel of Nigeria’s maritime and energy independence.

It attracted an elite, multi-billion dollar investment profile, headlined by the ill-fated Olokola Liquefied Natural Gas (OKLNG) project, backed by global giants including the NNPC, Shell, Chevron, and the BG Group.

Yet, despite its peerless economic blueprint, the entire enterprise famously collapsed under the weight of inter-state political rivalries, bureaucratic paralysis, and sudden federal policy shifts.

When international oil companies pulled out due to a lack of institutional guarantees, local conglomerates like the Dangote Group stepped in to secure strategic stakes, preserving the asset’s industrial viability for the future.

Bypassing this historical footprint without a clean legal resolution is an invitation to systemic friction.

Therefore, the current strategy of double tracking agreements over the exact same geographical and maritime asset represents a dangerous institutional risk.

While the state’s aggressive drive to unlock the economic potential of the Ogun coastline and expand the nation’s blue economy is highly commendable, courting a Middle Eastern maritime giant like DP World while ignoring an existing domestic investor creates severe legal vulnerabilities.

In global shipping and port development, international operators look for absolute clarity regarding terminal operations, land titles, and concession limits

You cannot sustainably attract premium global capital by exposing them to immediate, multi-billion naira litigation from entrenched domestic players who have already sunk enormous resources into the zone’s foundational layout.

International project financiers and global port operators do not just look at shiny executive MoUs signed in European capitals; they look closely at local title security, asset de-risking, and a host state’s history of respecting contract sanctity.

If Nigeria is to successfully position its emerging seaports as competitive hubs within the West African sub-region, it must learn to operate under the global standard of a landlord port model where rights are clearly defined and legally unassailable.

Overlapping political promises only serve to drive away serious developers and delay actual infrastructure delivery.

The global investment community is watching how Nigeria treats its premier industrial actors, and any sign of flip-flopping on contractual terms acts as a major red flag for foreign direct investment.

Ultimately, if Ogun State truly wants the Olokola Deep Seaport to transition from a twenty year boardroom dream into a world class maritime reality, it must aggressively clear its legal debts first.

The administration must pivot away from performative international signings and sit down at a transparent renegotiation table to cleanly buy out or harmonize interests with the Dangote Group.

Failing to do so will ensure that this $7 billion UAE deal suffers the exact same paralyzing fate as the 2004 OKLNG blueprint.

In the high stakes theater of global infrastructure, true economic growth is built on the unyielding sanctity of existing laws and contracts—not on the shifting sands of political expediency.

Ibrahim Nasiru, a public affairs analyst, writes from Abuja 

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Headlines

MARAN trains 20 members at shipping institute, pledges sustained capacity building

Gloria Odion,  Maritme reporter 

The Maritime Reporters Association of Nigeria (MARAN) has trained 20 of its members at the Chartered Institute of Shipping of Nigeria (CISN) in a renewed effort to deepen maritime journalists’ technical knowledge, strengthen professional competence and improve the quality of reporting on Nigeria’s shipping industry and emerging blue economy.

The Graduate Induction Training Programme, which ended on Saturday, October 10, 2026, exposed participants to the technical, regulatory, operational and environmental dimensions of the maritime industry.

Participants are expected to obtain a Postgraduate Diploma Certificate in Shipping upon successful completion of the programme.

The training covered critical areas, including maritime safety and security, integrated marine environment management, shipping and port management, cargo clearance procedures and documentation, as well as the marine and blue economy.

The initiative underscores MARAN’s determination to bridge the knowledge gap between maritime journalism and the technical realities of the shipping industry, equipping its members with the expertise required to report more accurately and analytically on developments across the sector.

Delivering the first lecture, a CISN lecturer, Mr Patrick Ambakederimo, examined the principles of maritime safety and security, highlighting their significance to efficient shipping operations, the protection of lives and property, and the sustainability of maritime activities.

He discussed the identification and management of risks associated with vessel operations, cargo handling and other maritime activities, emphasising the need for strict compliance with safety regulations, regular inspections, adequate crew training and effective emergency response mechanisms.

Participants were also exposed to the importance of intelligence sharing, effective surveillance, coordinated security operations and adherence to relevant international maritime security standards.

The lecture distinguished between maritime safety, which focuses on preventing accidents and operational hazards, and maritime security, which addresses deliberate threats, unlawful activities and other hostile acts within the maritime domain.

Another CISN lecturer, Mr Sunday Duru, delivered a lecture on integrated marine environment management, examining the need for coordinated strategies to protect marine and coastal ecosystems from the environmental pressures associated with shipping, port operations and coastal development.

Duru stressed the importance of collaboration among government agencies, maritime operators, environmental organisations, coastal communities and other stakeholders in addressing environmental challenges confronting the maritime industry.

He identified marine pollution, oil spills, improper waste disposal, plastic pollution and the degradation of coastal ecosystems as critical concerns requiring sustained attention.

He also highlighted the importance of environmental monitoring, pollution prevention, proper waste management and effective enforcement of environmental regulations in safeguarding Nigeria’s marine resources.

Other courses covered shipping and port management, cargo clearance procedures and documentation, and the marine and blue economy.

These sessions were designed to broaden participants’ understanding of the commercial and operational processes underpinning shipping and port activities, while exposing them to the economic opportunities available in fisheries, coastal tourism and other ocean-related industries.

Speaking on the initiative, MARAN President, Oluyinka Onigbinde, reaffirmed the association’s commitment to sustained capacity building as a strategy for producing a corps of maritime journalists equipped to report the industry with greater accuracy, depth and professionalism.

Onigbinde maintained that effective maritime journalism required more than the ability to gather information and write news reports, stressing that journalists must understand the policies, regulations, commercial transactions and operational processes that shape the industry.

According to him, a technically informed maritime press would be better positioned to interrogate policy decisions, scrutinise industry practices, hold stakeholders accountable and explain complex maritime issues to the public.

He said MARAN would sustain its professional development initiatives through strategic partnerships with maritime institutions, government agencies and private-sector operators, creating more opportunities for members to acquire specialised knowledge and practical industry experience.

The association, he added, would continue to explore training programmes that expose members to emerging trends in shipping, port operations, maritime security, international trade and the blue economy.

Onigbinde stressed that continuous professional development was essential to strengthening the credibility of maritime journalism and improving public understanding of the sector’s contribution to national economic growth.

He expressed optimism that the knowledge acquired by participants would translate into improved reporting, particularly in the coverage of port efficiency, shipping operations, maritime safety, environmental sustainability and government policies affecting the industry.

The training comes at a time when Nigeria is intensifying efforts to improve port competitiveness, strengthen maritime security, promote environmental sustainability and unlock the economic potential of its marine resources.

For MARAN, the programme represents an investment not only in the professional development of its members but also in the quality of public discourse on the maritime industry.

By equipping journalists with a deeper understanding of the sector’s technical and commercial realities, the association hopes to promote more informed reporting, strengthen accountability and enhance public appreciation of the maritime industry’s role in Nigeria’s economic development.

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