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Revenue formula: Oil producing states deserve 25% – Urhobo group

By CHARLES KUMOLU
URHOBO Youth Assembly, UYA, has demanded for the upward review of the 13 per cent derivation funds for oil producing states to at least 25 per cent, in the interest of equity, justice and fair play.

It also called on President Goodluck Jonathan to prevail on the governors of Bayelsa, Rivers and Akwa Ibom States to create oil commissions, so that the struggle of the founding fathers of the 13 per cent derivation fund will not be in vain.

The group made this known in a statement by Mr.  Jude Akpore, Frank Onogagamue and Akpobaro Umukoro.

The group said: “We passionately appeal to Mr. President to direct the defaulting governors of Bayelsa, Rivers and Akwa Ibom to create oil commissions, so that the ideas and the struggle of the founding fathers of the 13 per cent derivation fund will not be in vain.

“We also advocate an upward review of the 13 per cent derivation fund to at least 25 per cent  in the name of equity, justice and fair play.”

It further noted that the 19 Northern state governor have the constitutional right to call for a review of revenue sharing formula, but noted that the 13 percent derivation fund was never part of any state consolidated revenue.

It said: “We state unequivocally that the 13 per cent derivation fund was never part of any state consolidated revenue.  Therefore, it is not and was not part of consolidated revenue of the oil producing states.”

This position had been upheld by the Revenue Mobilization, Allocation and Fiscal Commission, RMAFC, as contained in their submission to the 6th National Assembly in 2008 during the presidency of the late Alhaji Umaru Yar’ Adua

“In that submission, RMAFC stated that the 13 per cent derivation fund is not part of the consolidated revenue of any state government,” the statement added.


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