Home Economy Kogi Gets First Derivation Allocation as Oil-producing State

Kogi Gets First Derivation Allocation as Oil-producing State

by News Desk
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Kogi State

Kogi says it has received its first oil 13 percent derivation allocation from the federation account.

Kingsley Fanwo, the state’s information commissioner, disclosed this after the State Executive Council Meeting at Government House, Kogi on Thursday.

Most of Nigeria’s crude oil and gas comes from the Niger Delta. But in 2021, the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) recognized Kogi State as the owner of the Oda River-1 oil well, making the North-central state eligible for the 13 percent derivation fund.

It is not clear how much the state received. Mr. Fanwo said that Gov Yahaya Bello, who announced the news during the meeting, assured residents of his administration’s determination to continue to record more wins for the state.

“It’s on record that this administration has recorded many giant strides in various sectors covering the thematic areas of our governor’s New Direction Blueprint,” he said.

“This new breakthrough in the derivation allocation will no doubt make us do more for our people.

“On breaking the news, our governor said he was so elated to announce to the good people of Kogi State that the administration has received our first derivation allocation as an Oil Producing State.

“This announcement is in line with the administration’s commitment to transparency and accountability, for which we have received many awards.

“We worked hard to make this history. But we wouldn’t have achieved it without the support of our people, who stood resolutely with us to make this see the light of day.

“We also wish to express our gratitude to President Muhammadu  Buhari for his leadership roles as well as the RMAFC for making this a reality,” he stated.

The Commissioner further said that Mr. Bello restated his promise to the people that he would ensure that the resources worked for them.

”We will build more schools, and hospitals and construct more roads. We will empower our youth and women. Under my watch, we will ensure security.”

While noting that the allocation came at a time the State Government was building legacy projects across the state, the governor pledged to ensure “judicious use of the derivation allocation”.

“Our governor has once again proved that he is a goal-getter with the tenacious manner he defended the interest of the state to be listed as an Oil Producing State,” the Commissioner said. (NAN)

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