The controversy surrounding the 13 per cent derivation accruing to host communities of oil producing states, will soon be a thing of the past as the governorship candidate for the Social Democratic Party (SDP) in Delta State and former minister of State for education, Olorogun Barr. Kenneth Gbagi, FNIM, said he would directly pay the 13 per cent derivation fund to the resource-bearing settlements.
Gbagi, whom the Asagba of Asaba, Obi (Prof) Chike Edozien, one of the most respected kings in the country, said is trusted, has character and integrity, made the promise while speaking with Delta Ijaw Traditional Rulers Forum at the Palace of His Royal Majesty (HRM),
Elder Capt. (King) Dr. Joseph I. Timiyan (Ebenanaowei of Ogulagha kingdom) who doubles as the Chairman of the forum recently.
Hear him: “My government will release the 13% derivation that the federal government has released to you people, I will release it en-block to the owners of the 13%.
“The various MDAs, will have their accounts and from the federation account, the 13% will come directly to them.
“All I am going to do as a governor is to make sure that the money is utilized by them. I will not take the money first, put it into a state account.
“At that point DESOPADEC will be dissolved and let the communities directly handle their money. So, the 13% we fought for, let it go directly to the owners of the 13%”.
“Unless injustice is destroyed, we are not going anywhere. From 3rd of June when I came here for your prayers which was given to me free of charge till now, your situation individually and traditional rulers from this world where wealth and money is flowing like tap, your situation has gone worse.
“And there is no reprieve that it will get better unless we personally ourselves change the narrative.
“I am going to partner with all my traditional rulers because you are going to make money and form government”, he assured.
It would be recall that in 2012, former minister for Information and South-South leader, Chief Edwin Clark, called on the Federal Government to stop paying the 13 percent derivation fund to oil producing communities through the governments of their states, saying it was unconstitutional.
Also, in 2021, a bill seeking to amend the 1999 Constitution to allow for direct payment of the 13% derivation fund directly to oil producing communities was introduced in the House of Representatives.
If passed into law, the 13% derivation fund would be paid directly to the host communities of each benefiting states through the Host Communities Development Commissions.
Rep. Doctor Farah, Member representing Degema/ Bonny Federal Constituency from Rivers State, said the bill ‘Constitution of the Federal Republic of Nigeria, 1999 (Amendment) Bill, 2021 (HB. 1570)’, is intended to address and correct the injustices the oil producing communities have been experiencing.
“In demonstrating its seriousness, a section of the bill recommended that ‘ failure of any state to establish the Host Communities Development Commission shall be deemed as an offence and such a state shall forfeit 30% of her monthly benefit from the 13% derivation fund till such a time that the Commission is established’
Before the presentation of the bill, the Federal Lawmaker had accused the Governors od the Niger Delta states, of wasting N10 trillion from the derivation fund in 8 years.
