PERFORMANCE EVALUATION OF NNPC (1999-2013) USING REGRESSION ANALYSIS TECHNIQUES
The oil industry which is the leading sector of the economy should have some spill over into the other sectors of the economy.
The Nigerian economy has become dependent oil revenues over the past decades. During the 1986-92 periods, oil export revenues increased at an average of 13 percent per annum which GDP measure in current US Dollars, decrease by an average while oil export revenues alongside the continuing decline of the non-oil economy implies higher dependency.
Over the years, the contributions of the oil industry to the growth of Nigeria economy are great. On this promise, the researchers want to evaluate the performance of the NNPC on the Economic development of Nigeria.
The aim of this study is to evaluate the contribution of NNPC in Nigeria economic development, to know if there is a relationship between NNPC’s performance and the economic development of Nigeria and to point out the negative roles of NNPC and the oil industry. This research work would be of importance to policy makers, researchers and the Nigerian government in improving the economy of the country.
In the methodology, the data used for this study is secondary data from the central bank of Nigeria 2012 statistical bulletin. The data are been analyzed using regression.
The findings from the survey revealed that:
-NNPC contributes massively towards the economic development of Nigeria.
-There is a significant relationship between the performance of NNPC and the economic development of Nigeria
- Background of the study
The Nigerian national petroleum corporation (NNPC) was established on April 1, 1977 as a merger of the Nigerian National Oil Corporation and the Federal Ministry of Mines and Steel. NNPC by law manages the joint venture between the Nigerian federal government and a number of foreign multinational corporations, which include Royal Dutch Shell, Agip, Exxon Mobil, Chevron, and Texaco (now merged with Chevron). Through collaboration with these companies, the Nigerian government conducts petroleum exploration and production. The NNPC Towers in Abuja is the headquarters of NNPC Consisting of four identical towers. NNPC also has zonal offices in Lagos, Kaduna, Port Harcourt and Warri. It has an international office located in London, United Kingdom.
In addition to its exploration activities, the Corporation was given powers and operational interests in refining, petrochemicals and products transportation as well as marketing. Between 1978 and 1989, NNPC constructed refineries in Warri, Kaduna and Port