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FG, States, LGAs Share N4.55trn In Nine Months

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The Federal Government, states and local government authorities shared a total of N4.55 trillion between January and September this year as disbursements from the Federation Accounts Allocation Committee (FAAC).
According to the latest quarterly report of the Nigerian Extractive Industries Transparency Initiative (NEITI), released in Abuja on Wednesday, out of the N4.55 trillion that was shared in the review period, N1.76 trillion was disbursed in the third quarter as against the N1.38 trillion and N1.41trillion shared in the second and first quarters of the year, respectively.
It also showed that between January and September, the Federal Government received the highest allocation of N1.85 trillion, followed by state governments with N1.51trillion and the 774 local governments with N913.8 billion.
The sum of N271.78 billion went to the Department of Petroleum Resources, Nigeria Customs Service and the Federal Inland Revenue Service as costs of revenue collection.
Further analysis showed that the revenues shared to the federating units were higher in the third quarter, a situation that has been the pattern for some years now.
For instance, while the Federal Government got N549.41billion in the second quarter of 2017, the third quarter figure was N752.79 billion, an increase of 37.02 per cent. The trend was the same for the states and local governments, as they received N586.58billion and N363.98billion in the third quarter as against N467.13billion and N280.42billion in the second quarter, respectively.
The report noted that the percentage increases between the two quarters for the two tiers of government were 25.57 per cent and 29.8 per cent.
It attributed the reason for the increases in FAAC disbursements to the three tiers of government in the third quarter to the positive developments in the oil sector occasioned by resurgent crude prices and increased production levels.
The NEITI quarterly review report based its analysis on data obtained from FAAC, the National Bureau of Statistics, Federal Ministry of Finance and the Budget Office of the Federation.
The report stated that the “upward trend in the FAAC disbursements to the three tiers of government are encouraging signs, which if sustained, will improve government expenditures, help to boost economic activities and move the country further away from recession.”
The report also stated that Nigeria’s revenue in the first half of 2017 was about 49 per cent lower than the budgeted figures.
It stated that while the government projected N5.368trillion revenue inflow in its 2017 fiscal framework for the first six months of the year, the actual inflow was N2.712trillion.
The government’s half-year projections were N2.67trillion for oil and N2.7trillion for non-oil revenues, but the actual revenue fell short of projections.
“Actual oil revenue was N1.587trillion, representing a shortfall of N1.079trillion, implying a 40.4 per cent underperformance. Non-oil revenue fared slightly worse, as only 41.6 per cent of the projected revenue was realised. Actual non-oil revenue totalled N1.125 trillion, indicating a shortfall of N1.575 trillion,” the report stated.
It pointed out that while the government projected that the non-oil sector would outperform the oil sector, the latter performed better by as much as 41 per cent in revenue generation, raking in N1.587 trillion as against N1.125 trillion for the non-oil sector.
Figures for the three tiers of government were no different. The Federal Government had hoped for N2.542 trillion revenue flow for the first half of the year, but the actual revenue was N1.497 trillion.
A breakdown of the inflows showed that the oil sector accounted for a larger part of the shortfall, with a 60 per cent drop, while the non-oil sector underperformed by 49 per cent.
“Budgeted half-year inflow from the oil sector was N1.061 trillion but actual oil inflow to the Federal Government was N414 billion. The Federal Government’s budget estimated half-year non-oil revenue inflow at N705 billion, but realised only N352 billion, indicating a 49 per cent shortfall,” the NEITI report stated.
FG sacks trade fair complex concessionaire
The Federal Government has sacked the concessionaire in charge of the Lagos International Trade Fair Complex over non-remittance of lease fees totalling N6 billion.
As stated in the termination letter issued by the National Council on Privatisation (NCP), the concessionaire, Aulic Nigeria Limited, had breached the agreement it signed in 2007 with the Federal Government.
According to the letter, the illegalities perpetrated over the years by the concessionaire vary from the non-remittance of the lease fees to the alleged eviction of the management board from the administrative building, among others.
The letter stated that the NCP terminated the concession agreement on August 23, but took some time to implement the decision due to logistics and security reasons.
The Inspector General of Police, Ibrahim Idris, had on November 20, issued a directive that the concessionaire be evicted from the complex and this was smoothly carried out.
According to the termination letter, the management board, headed by the Executive Director, Lagos International Trade Fair Complex, Mrs. Lucy Ajayi, was directed to take possession of the complex from the concessionaire.
Speaking at a press conference in Lagos on Tuesday, Ajayi said the board would now be able to perform its statutory function and move the complex to greater heights.
Ajayi, while addressing the shop owners, assured them that they were in an era of new change, stating that the management board would do its best to ensure that their interests were taken into consideration.
“I want to thank you all for your perseverance and endurance during those trying periods. I use this medium to assure you that all those injustices meted out to you in time past are over,” she said.
The Chairman, Stakeholders Forum, Lagos International Trade Fair Complex, Mr. Jude Okeke, described the takeover by the management board as a re-birth for the complex.
According to him, by design, the management board is supposed to be the landlord of the complex, overseeing all the activities within and around it.
“We have been in the wilderness for a long time and this has caused a lot of losses in financial, trade and other aspects,” Okeke stated.

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Bayelsa To Spend N1.24trn As Diri Presents 2027 Appropriation Bill …Works, Education, Sports, Others Gulp Lion’s Share

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Bayelsa State Governor, Senator Douye Diri has presented the 2027 Appropriation Bill of the State to State House of Assembly.
Christened the ‘’Budget of Assured Prosperity for Sustainable Growth and Development”, the appropriation bill was based on a projected revenue of N1,242, 688,970,520,22.
The Governor said the 2027 proposals were derived from broad stakeholder engagements involving traditional rulers, technical experts, the organised private sector and citizens across the state, noting that it was a historic budget being the first as the state was beginning its fourth decade and presented at a time sustained investments were visible in all the local government areas.
“Our fiscal priorities remain clear: roads and bridges that connect communities, better health and education services, reliable power and an environment in which businesses and families can thrive”, he said.
Presenting the estimates, governor Diri said N840.791 billion representing approximately 68 per cent was proposed for capital expenditure while recurrent expenditure was put at N401.897 billion representing approximately 32 per cent.
He observed that the proposed budget was approximately 22 per cent larger than that of the 2026 fiscal year, which was N1.016 trillion, just as he listed some strategic projects that would continue to receive priority attention in 2027, saying they were all at advanced stages of completion.
The projects according to the governor, include the Ekeremor–Agge Road Phase I, Nembe–Brass Road Phase I, Akaba–Ayakoro Road with spur to Otuegwe 1, Glory Drive Phase 3, Agbere-Elemebiri Road, the 30,000-seater stadium at Igbogene, and the nine-storey state secretariat complex.
The governor expressed the conviction that with work progressing on the three senatorial roads, all local government headquarters would be connected to the state capital and boost socio-economic activities across the state.
“With work progressing on all senatorial causeways, we are moving closer to an ambition our people have held since the creation of the state: to connect the capital to every local government headquarters and open up access to our coastal communities. This will boost fisheries, marine and blue economy enterprises, and tourism.
“These projects demonstrate that our beautiful terrain should not limit our ambition. With resolve, sound planning and prudent management, Bayelsa is building what many once thought were impossible”, he added.
Giving a breakdown of the sectoral allocations, Works and Infrastructure got the lion’s share of N422.84 billion followed by Education ¦ 126.97 billion and Sports ¦ 68.50 billion.
Also, Health was allotted ¦ 53.32 billion, Security N24 billion, Public Utilities N22.94 billion and Agriculture got N17.74 billion.
Diri charged the Ministry of Budget and Economic Planning to enforce coordination, transparency and accountability and ensure effective implementation of the budget.
According to him, government would continue to improve its model schools, support accreditation of programmes in tertiary institutions, strengthen science and technical education and introduce digital learning tools in schools.
He added that the administration would pursue the upscaling of its 60 megawatts independent power plant to 100 megawatts and prioritise water provision in 2027.
He also remarked that the allocation to the sports sector would enable government accelerate work on the stadium project as the state prepares to host the National Sports Festival.
In his remarks, Deputy Speaker of the House of Assembly, Rt. Hon. Michael Ogbere, commended Governor Diri for the successful implementation of the 2026 budget, and appreciated him for his visionary leadership.
Hon. Ogbere described Diri as a peace maker, bridge builder and a leader who has constructed roads and bridges across 80% of all communities in the state, expressing confidence that the projects outlined were achievable.
The Deputy Speaker assured the governor of the 7th Assembly’s support and speedy passage of the budget while the Majority Leader, Rt. Hon. Monday Bubou, moved a motion for the members to pass a vote of confidence on Governor Diri and the administration, which was unanimously endorsed by the lawmakers.

 

Ariwera Ibibo-Howells, Yenagoa

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NNPC Targets Two Million Bpd Productions In 2027

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The Nigerian National Petroleum Company Limited (NNPC) has said that ongoing reforms in Nigeria’s oil and gas sector have lifted national crude oil production by 600,000 barrels per day, from about 1.2 million barrels per day to 1.8 million barrels per day.
According to the company, the improvement has strengthened Nigeria’s position as a destination for international energy investment.
Group Chief Executive Officer ( GCEO) of NNPC Limited, Engr. Bashir Bayo Ojulari, made the remarks last week at an Energy Talk titled “Nigeria’s Reform Agenda: Competing for Energy Capital”, moderated by John Defterios, Chairman, MENA, APCO, at the 2026 Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC) in Abu Dhabi, United Arab Emirates.
Ojulari linked the production growth to the implementation of the Petroleum Industry Act (PIA) 2021, an improved investment climate, better investment decisions, and stronger collaboration between NNPC Limited and its partners.
He said the current output level is a milestone in NNPC Limited’s journey towards its 2 million barrels per day target by 2027.
The Company, he explained, is focused on maintaining infrastructure, protecting base production, increasing output from existing assets, and advancing new projects designed to lift production further.
“The figure of 1.8 million barrels per day is a stage in a journey towards our objective.
We are concentrating on the basics, which are maintaining our infrastructure, protecting base operations and executing the projects that will take production higher,” Ojulari stated.
On the domestic market, the GCEO said the removal of petrol subsidy has been accompanied by an expanded Compressed Natural Gas (CNG) programme.
He noted that over 400 CNG conversion centres have been established, while more than 1,000 trucks are transporting petroleum products

Nkpemenyie Mcdominic, Lagos

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SEREC Demands Independent Forensic Audit Of NIMASA CVFF Funds

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The Sea Empowerment and Research Centre (SEREC) has call for an independent forensic audit of the Nigerian Maritime Administration and Safety Agency (NIMASA), following conflicting claims over the management and currency status of the Cabotage Vessel Financing Fund (CVFF).
The centre said the controversy surrounding the fund had reinforced its earlier concerns about transparency, accountability and the possible erosion of contributions through currency conversion and administrative decisions.
In a reaction titled, “Cocks Crow at Dawn — On the CVFF Audit Crisis,” forwarded by SEREC’s representative, Eugene Nweke, the organisation said the latest revelations had vindicated its earlier calls for a comprehensive examination of NIMASA’s accounts from 2004 to date.
SEREC said former NIMASA Director-General, Temisan Omatseye, had disclosed that dollar-denominated contributions were converted into naira and invested in fixed deposits during his tenure, while the incumbent Director-General, Dr Dayo Mobereola, maintained that the fund remained in dollars with the Central Bank of Nigeria.
The organisation said the conflicting accounts raised questions about the actual value, location and management of the fund, which was to provide financing support established for indigenous shipowners under the Coastal and Inland Shipping (Cabotage) Act.
It argued that shipowners, as contributors to the fund, deserved documentary evidence showing how much had accrued, where the money was domiciled, the interest generated and the amount currently available for disbursement.
SEREC also warned that converting dollar contributions into naira exposed the fund to significant foreign exchange losses, given the depreciation of the local currency over the years.
According to the organisation, if the contributions were converted into naira and retained in that currency, the fund could have suffered a substantial erosion in its real value, undermining its original objective of strengthening indigenous shipping capacity.
It maintained that the CVFF was contributors’ money and should not be treated as government largesse, stressing that shipowners had a legitimate right to demand accountability.
The centre further criticised maritime industry stakeholders, particularly shipowners’ associations, for allegedly prioritising access to the fund over sustained demands for transparency in its management.
SEREC insisted that no disbursement should take place without a comprehensive forensic audit to establish the fund’s financial history and current position.
It said the audit should cover all contributions, currency conversions, investments, accrued interest and administrative transactions relating to the fund from 2004 to date.
The organisation said the findings would provide the necessary clarity on the financial position of the CVFF and help restore confidence among indigenous shipowners seeking access to the facility.

 

Nkpemenyie Mcdominic, Lagos

 

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