Shell Remits $4.9bn To FG in 2023, Up 29.7% From 2022

Shell Plc has disclosed that it remitted $4.9 billion to the federal government in 2023, representing production entitlements, royalties and fees.

The figure shows a 29.71% increase from $3.8 billion paid in 2022.

This was contained in Shell’s latest report on Sustainability and Payments to Governments for 2023 in 26 countries, published on Tuesday.

According to the report, production entitlements amounted to $3,467,712,631; taxes $587,644,761; royalties $727,850,830; and fees $146,099,334.

Further breakdown showed that $139,994,044 was paid as fees to Niger Delta Development Commission; Nigerian National Petroleum Corporation received $3,467,712,631 as production entitlement; Nigerian Upstream Petroleum Regulatory Commission received $727,850,830 royalties and $1,732,350 fees.

Others include; Federal Inland Revenue Service received $587,644,761 taxes; National Agency For Science And Engineering Infrastructure received $4,287,050 fees while $85,890 fees went to Nigeria Police Trust Fund.

In his introduction to the report, Chief Executive Officer, Shell Plc, Wael Sawan, said: “In 2023, we made good progress in our goal of creating more value with less emissions. As we continue to deliver the oil and gas that the global energy system relies on, we are reducing the carbon emitted in its production. We are also investing in low-carbon and non-energy products that reduce emissions for our customers.

“We have already achieved some of the commitments made under our respecting nature goal, which we set in 2021. These include reducing fresh-water consumption by 15 per cent compared with 2018 in areas where water supplies are stressed, which we reached ahead of the target date of 2025.

We are also making progress in our ambition to become one of the most diverse and inclusive organisations in the world.”

The report showed that a total of $29,516,841,538 was paid to governments in 26 countries during the year under review.