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APC, PDP govs disagree over oil revenue sharing

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The Governor of Bauchi State, Bala Mohammed, has revealed that state governments have yet to benefit from the improved revenue generated by the oil sector, as the remittances are not being properly credited to the Federation Account.

The governor, who also serves as the Chairman of the People Democratic Party Governors forum, urged the Federal Government to provide a clear and detailed explanation to the public as to why the revenues that have been collected are not being properly remitted for distribution and sharing among the three tiers of government as stipulated by the law.

The governor disclosed these when the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, paid a courtesy call at the government house ahead of the 2024 Conference for the National Council on Finance and Economic Development ongoing in the state.

He stressed that it should be considered nothing short of a miraculous work that States are yet to benefit under the current minister despite being one of the biggest oil-producing nations.

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The PUNCH reports that NNPCL is a major revenue-generating agency in Nigeria, operating as the national oil company in charge of the management, sales, etc, of the country’s crude oil and gas, among other key functions.

It remits revenue from crude oil sales to government coffers.

But in recent years, the NNPC remitted literally zero funds to the Federation Account due to the payment of subsidy on Premium Motor Spirit.

Checks by our correspondent showed that the national oil firm didn’t add a single naira to the federation account in 2022.

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It said fuel subsidy stopped the revenue-generating firm from remitting taxes and royalties to the Federation Account, as well as halted the company from making a profit.

But the former Chief Financial Officer of NNPCL, Umar Ajiya, in a documentary earlier this year, confirmed that the removal of subsidy had made the company start making remittances into the Federation Account.

“We have now begun to pay dividends to the federation. We are also paying our due obligations in terms of taxes and royalties,” he stated.

The company further stated in the documentary that the end to subsidy enabled it to contribute N4.5tn to the Federation Account in nine months.

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“For the first time in a long time, NNPC Ltd in 2023 contributed to the Federation Account, accounting for N4.5tn between January and September 2023,” the national oil company stated.

Additional checks also revealed that NNPC contributed N431.06bn of its accrued revenue to the federation account in the first seven months of 2024.

Stakeholders had expected improved disbursement following the removal of fuel subsidy by the current deregulation of the sector, which increased petrol prices by 490 per cent.

But commenting, the governor complained that it’s yet to see any changes.

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He said, “It’s a miracle that we are one of the biggest oil-producing nations, but we have not benefited for some time since you came on board.

“You have to explain that this is what you are going through. That is inclusion. And if you don’t say it, nobody will know. But, some of us know. We call this leadership and responsibility.”

“You have to make our oil and gas sector produce. Not only to produce and sell but put it in our Treasury for distribution and sharing.

“You must provide financial services to us at subnational. Financial services that will help us to enhance our productivity, and also use the resources wisely. Because without us, there will be no Federal Government.”

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Responding, the ruling All Progressives Congress have slammed governors elected on the platform of the Peoples Democratic Party to prove that they have not benefited from the crude earnings under the current administration of President Bola Tinubu.

In an exclusive interview with The PUNCH, Deputy National Organising Secretary of APC, Nze Chidi Duru, urged the Chairman of the PDP Governors’ Forum and Bauchi State Governor, Senator Bala Mohammed, to always seek clarification before running to the public with unsubstantiated argument.

He said, “Our call at all points in time is that opposing views are welcome in as much as they are constructive towards nation-building, and they are not views expressed only because they want to play to the gallery. If his view is to be taken seriously, it must not be generic and verbose. It must be specific and concrete.

“Senator Mohammed must put down those evidence on the table for further elaboration. It is only at that point that we can then, as a political party, venture to take on the issues in a very objective manner. We have seen clamours of this before now and when you dig further, you will find no substance in it.

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“So, by and large, it is welcome, and our call would be that he put the facts. We have always known that proceeds that ought to go into the consolidated revenue account of the country are not things done in an obscure manner. They are things that are done transparently.”

While stating that the APC government is not averse to correction, Duru demanded Mohammed present sufficient evidence to back up his claim, especially now that virtually every Nigerian knows each state earns more allocation under the current administration.

According to him, similar alarms raised in the past had turned out to be mere gaslighting on the part of those who want the Federal Government to look bad before the public.

“It is important again to note that this is the first time in the history of our country that more money has gone into the hands of the various tiers of government at various levels. At the state level and the local government level. So, one would be interested to know what these enormous resources have been deployed at those levels and used in the various states and tiers of government.

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“So, the party and the government are not averse to any constructive criticisms or further feedback or data that would help the government to plug in the various loopholes that would bring in money. At the end of the day, these monies are not just meant for the federal government. It is not meant for the APC government or the Tinibu government. These are monies meant for distribution to the states, the local government as well as the federal.

“So, as much as the federal is interested in receiving more money, I would also believe that the states and the local government are also interested in receiving more money. The only way they can make more money or get more money on top of what they are getting is to point out if there are recognisable leakages in the system that need to be blocked.

“If the money that needs to come into the consolidated account is not coming in and is pointed out, the government would make the necessary effort to make sure that those monies are coming into the coffers of the government. This is where I think that the opposition should help headline and spotlight what needs to be done to make the country a much better place than is currently the case,” he stated.

The NNPCL Spokesperson, Femi Soneye, didn’t respond to calls, texts and WhatsApp messages sent to his phone lines to clarify the situation.

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Inflation, Rising Costs Behind 50% Telecom Tariff Increase – Minister

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…FG to invest ₦6bn in fibre optic expansion

 

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By Gloria Ikibah

 

The Minister of Communication, Innovation, and Digital Economy, Dr. Bosun Tijani, has attributed the recent 50 percent increase in telecommunication tariffs to inflation and rising operational costs.

 

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The Minister disclosed this during the 2025 budget defense session held by the joint House of Representatives and Senate Committees on Communication, on Tuesday in Abuja.

 

Explaining the rationale behind the tariff hike, Dr. Tijani stated that the move aligns with broader economic trends where increased tariffs lead to higher consumer prices due to added costs on imported goods.

 

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The Minister also revealed plans by the Federal Government to invest ₦6 billion in the deployment of 90,000 kilometers of fiber optic cables, increasing Nigeria’s current coverage from 35,000 kilometers to 125,000 kilometers, and he described this initiative as a critical step towards boosting communication infrastructure and fostering growth in key sectors of the economy.

 

“Tariffs act as a sales tax, causing a one-off price increase rather than sustained inflation.

 

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“Outside of South Africa and maybe Egypt or Tunisia, many African countries face a significant deficit in fiber optic cable coverage.

 

“This is going to become a big business. We want Nigerian companies not only to lay cables within Nigeria but also to provide these services for neighboring countries. And we want our people to be the workforce driving this transformation,” he said.

 

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Dr. Tijani who emphasised the importance of communication infrastructure in ensuring security and economic development, highlighted the historical reliance on private investment for telecommunications infrastructure, which has often prioritized profitable urban areas over rural communities.

 

“Private companies only invest where they see potential returns.

“They use tools like night-time satellite data to identify economic activity, represented by lights, and focus their investments in those areas. This has left many underserved regions without proper infrastructure. Addressing this disparity is a priority for us,” he explained.

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The Minister, however, lamented the inadequate funding of the Ministry, which he said hampers its ability to fulfill its mandate effectively.

 

“The Ministry is underfunded compared to agencies like the NCC. We lack the necessary resources and software to track revenue-generating activities efficiently. With better funding, the Ministry could generate significantly more revenue and enhance its impact,” he said.

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In his remarks, Senator Shuaib Salisu, Co-Chairman of the Senate Committee on Communication, acknowledged the critical contributions of the communication sector to Nigeria’s economic growth. He called for a review of the Ministry’s 2025 proposed budget to ensure it is adequately equipped to deliver on its mandate.

 

Following discussions, the Committee adopted a motion urging the Committees on Appropriation to consider an upward revision of the Ministry’s budget for 2025.

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Kalu Calls On UK Govt to Support Nigeria’s War Against Corruption

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…praised diplomatic ties between the two countries

 

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By Gloria Ikibah

 

The Deputy Speaker of the House of Representatives, Rep. Benjamin Kalu, has called on the government of United Kingdom (UK) to support Nigeria’s fight against corruption.

 

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The Deputy Speaker made the call during his speech in an event tagged “UK-Nigeria Collaboration: A Parliamentary Strategic Dialogue” which attracted the presence of the Deputy Leader of the British House of Lords, Rt. Hon. Lord Collins among other members of parliament from Nigeria and UK in London on Wednesday.

 

Kalu emphasized the importance of collaboration between the two countries in tackling corruption amongst other challenges.

 

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He commended the diplomatic ties between Nigeria and the United Kingdom, highlighting the potential for deepened economic relationships.

 

Referencing the partnership between Nigeria and the UK as a testament to shared values and mutual interests, Kalu added that by deepening collaboration across these sectors, both countries will unlock the  opportunities for sustainable growth and development.

 

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He said: “The UK-Nigeria Strategic Partnership establishes a comprehensive framework for deepening bilateral relations and achieving shared objectives. This collaboration spans six pillars: Growth and Jobs: Through the Enhanced Trade and Investment Partnership (ETIP), both nations will drive mutual economic growth by addressing market barriers, boosting two-way trade, and fostering sustainable investments in manufacturing, agriculture, and energy.

 

“Both nations commit to facilitating safe migration, tackling visa abuse, and operationalizing prisoner transfer agreements while advancing reforms in global financial systems.

 

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“I wish to call on the UK Government to intensify its efforts towards supporting Nigeria’s war against corruption in all its facets. One of the ways the UK can support this fight is to ease the process of repatriation of monies seized from Nigerian officials that are trapped in the UK financial system. Incidentally, I am here with the Chairman of the Nigerian Parliament Committee on Financial Crimes and he will be happy to continue the conversation with relevant officials.

 

“Nigeria seeks the UK’s continued support in recovering illicit funds. Enhanced collaboration should focus on: Setting up mechanisms to curb illicit financial flows. Strengthening institutions to combat  corruption. Facilitating asset recovery processes through bilateral agreements”.

 

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Kalu who is the Chairman,  Nigeria’s House Committee on Constitution Review and an advocate for political inclusion also called on the UK’s Foreign, Commonwealth & Development Office (FCDO) to support the work of the panel.

 

“As Chair of the House Committee on Constitution Review, I acknowledge the monumental task of refining Nigeria’s constitutional framework to reflect the evolving needs of its people. Key issues under deliberation—such as the creation of special status seats for women in legislative assemblies, the enactment of more gendersensitive legislation, and the potential introduction of sub-national policing—are pivotal to fostering inclusive governance and addressing the nation’s security challenges.

 

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“Thus, I implore the UK’s Foreign, Commonwealth & Development Office (FCDO) to extend tailored support to the Committee’s critical work. By providing technical assistance, research expertise, and capacity-building programs, the FCDO can help ensure that these constitutional reforms are comprehensive, evidence-based, and aligned with international best practices.

 

“Such support would not only strengthen Nigeria’s democratic institutions but also reinforce shared values of equity, justice, and security, which underpin the UK-Nigeria Strategic Partnership. This collaboration would demonstrate a profound commitment to empowering marginalized groups, ensuring safer communities, and fortifying Nigeria’s legislative framework for future generations”, he said.

 

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FG Launches Plastic Waste Vending Machines to Tackle Pollution, Promote Circular Economy

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By Gloria Ikibah

The Federal Government has unveiled Plastic Waste Reverse Vending Machines to address environmental pollution and promote sustainable waste management in Nigeria.

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The launch, which took place on Wednesday at the National Assembly complex in Abuja, is part of the United Nations Industrial Development Organization (UNIDO) project titled “Promoting Sustainable Plastic Value Chains Through Circular Economy Practices.”

Speaking at the event, Minister of Environment, Mallam Balarabe Lawal, described the initiative as a significant milestone in the fight against plastic pollution and the promotion of sustainable practices in waste management.

He stressed that the vending machines will reward Nigerians for depositing plastic bottles and other recyclable materials, thereby fostering a culture of recycling.

“Today, we take an important step forward in our collective fight against plastic pollution.

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“As we stand together, this reverse vending machine represents not just a tool, but a symbol of our unwavering commitment to a cleaner, greener, and more sustainable future for Nigeria”, Mallam Lawal said.

The Minister also highlighted the broader benefits of the initiative, as he explained that the technology encourages proper waste disposal and reduces environmental pollution while advancing the concept of a circular economy.

“Reverse vending machines are a cutting-edge solution in waste management. They allow individuals to deposit bottles and other recyclable materials, receiving a reward in return.

“This simple yet powerful technology encourages proper waste disposal and creates a culture of recycling, where each citizen can actively participate in protecting our environment,” he added.

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Mallam Lawal further noted the economic and environmental gains associated with the initiative, including cleaner communities, job creation, and increased public awareness of sustainability. He stressed that the project embraces local innovation and craftsmanship while reinforcing the government’s dedication to environmental protection.

“With its unveiling, we embrace local innovation and craftsmanship, and a renewed dedication to protecting our environment,” the Minister said.

Chairman of the House of Representatives’ Committee on Environment, Rep. Julius Pondi, commended the initiative and described it as a game-changer in waste management.

He called on UNIDO to collaborate with the National Assembly to replicate the project nationwide.

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The initiative is expected to significantly reduce plastic pollution across the country, empower communities, and encourage the active participation of citizens in sustainable environmental practices.

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