NNPC subsidiary, last year, spends N31.88bn on 264 employees

The Nigerian Gas Company Limited (NGC) spent N31.88 billion on salaries, welfare and other personnel expenses in 2020, the firm’s financial statement for the year ended December 31, 2020, reveals.

Established in 1988, the NGC is one of the 11 subsidiaries of the Nigerian National Petroleum Corporation (NNPC).

According to the financial statement, NGC maintained 264 employees and three top directors — earning annual pay of N10 million and above — in the year under review.

This is higher than the 260 employees it had in the preceding year of 2019.

In 2020, NGC spent N5.4 billion on the payment of salaries, allowances gulped N5.1 billion, while management monetised benefit was N941 million.

A total of N12.7 billion was spent by NGC on employees welfare in the same year.

Employee defined benefit scheme was allocated N3.1 billion while “contribution to defined contribution plan” received N4.4 billion.

According to the Cable, the senior staff members of NGC benefitted the most from the welfare and other personnel expenses — having constituted 90.5 percent of the entire staff population.

Meanwhile, the total figure of N31.8 billion is lower than the N36.4 billion expended on NGC personnel expenses in 2019.

According to the report, NGC recorded a significant increase in its foreign exchange gains from N3.1 billion in 2019 to N25.1 billion in 2020.

The company’s profit before tax increased by 19 percent from N54.7 billion in 2019 to N65.1 billion in 2020.

Profit after tax also rose by 20 percent to N52.7 billion from N43.7 billion in the preceding year.

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In terms of revenue, NGC generated N109.1 billion in 2020, representing a 21 percent increase from N90.2 billion in 2019.

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