Enugu State Governor, Peter Mbah, has called on the federal government to commence the remittance of the state’s share of the 13 percent oil derivation fund.
Speaking on Tuesday while receiving the indices and disbursement committee of the Revenue Mobilisation, Allocation, and Fiscal Commission (RMAFC) at the Government House, Mbah expressed concern that despite a December 2022 communication from RMAFC affirming Enugu’s status as an oil-producing state, the state is yet to receive any derivation funds linked to the three oil fields in the Anambra River Basin.
“We still have this lingering issue of Enugu being recognised as an oil-producing state, which your office communicated to us in December 2022, following the Inter-agency Technical Committee’s report,” Mbah stated. “The committee recommended that Enugu should benefit from the 13 percent derivation from the Anambra River Basin 1, 2, and 3 fields. However, we are yet to receive any proceeds from those fields. We hope your office will act swiftly to rectify this.”
Highlighting progress in the state’s internal revenue, the governor noted that Enugu has boosted its Internally Generated Revenue (IGR) by over 400 percent through the adoption of technology to broaden the tax base and eliminate leakages. He expressed hope that the RMAFC’s allocation indices would reflect the significant growth.
“Our 2025 budget projects an IGR of over N500 billion, and we are confident of surpassing that target,” he said.
Mbah also emphasized his administration’s commitment to transparency, noting that all revenues due to local governments are fully remitted, with extra support provided for capital projects.
In his remarks, Ismaila Mohammed Agaka, RMAFC commissioner representing Kwara State and leader of the visiting delegation, praised the governor for judicious use of public funds and visible infrastructural development across the state.
“Before our visit, we assumed the reports were mere media hype. But after touring the state, we’ve witnessed the projects first-hand,” Agaka said. “The removal of illegal structures and the impressive development of Smart Schools and Health Centres in all 260 wards demonstrate disciplined and people-centered governance.”
He added that the commission’s visit was aimed at monitoring how federal allocations are distributed to the state and local government councils.