Delegates Express Divergent Views over Federal Government’s Funding of NDDC As the debate on Devolution of Power commenced in earnest at Monday’s plenary of the National Conference, there were divergent views among some delegates on the true state of Federal Government’s funding for the Niger Delta Development Commission (NDDC). While advocating for the increase in the derivation to the Niger Delta states, Chief Sergent Awuse from Rivers State throws the first salvo that whoever said that the Federal Government funds the Niger Delta Development Commission (NDDC) is wrong. He challenges delegates that are peddling the information that the Federal Government funds NDDC to go into the record book and check. According to him, the NDDC is sustained by the contribution from oil companies operating in the Niger Delta. He goes ahead to paint a gory picture of the challenges that inhabitants of Niger Delta are facing as a result of oil exploration in their domain. “Delegates should go to Niger Delta and see some villages who don’t know if it is day or night because of oil flaring. There is highest number of blindness in oil producing states.” He disabuses the mind of delegates that Niger Delta delegates are asking for more money for the sake of it. He said the call for increase in derivation is a call for justice and equity. “We stand here for justice; because of oil revenue, a lot of states don’t want to exploit their own resources. The 13% is a constitutional issue which says that it must not be less than that percentage.” He submits that derivation should be increased to 25% . Chief Awuse declares that revenue generated from each state of the federation, and not just oil should attract the derivation of 25%. According to him, this will enable the states that are presently suffering to get back to life. Responding to the assertion by Chief Sergent Awuse that the Federal Government is not contributing to the NDDC, Hon. Mohammed Kumalia informs delegates that while he was a member of the House of Representative, the National Assembly ensured that a clause for 10% contribution by the Federal Government into NDDC was inserted in the Commission’s Act despite opposition from the Executive. Hon. Kumaila reveals that the funding structure for NDDC consists of oil companies and 10% of the annual budget of the Federal Government. While opposing the call for increase in derivation, Hon. Kumaila declares that it is very important to situate every agitation and decision to the present economic reality. He admonishes delegate to have a collective responsibility to say the fact and reach consensus on the way forward. Former Governor of Bayelsa State, Chief D.S.P. Alameisigha counters the explanation by Hon. Kumaila by declaring that the Federal Government is not contributing to the NDDC despite the fact that the law setting up the commission specifically calls on the Federal Government to do so. Chief Alameisgha observes that the economic foundation of federalism in a federal country like Nigeria is the autonomy of the federating states. He declares that it is wrong and provocative for anyone to compare the cultivation of groundnut with the degradation of oil producing areas. He calls for 100% ownership of resources starting from 50% in the interim. In his own contribution, Elder Stateman, Chief Edwin Clark alleges that the Federal Government owes NDDC up to the tune of six hundred million naira. He reminds delegates that the problem the Niger Delta people are experiencing is devastation in the environment. He says, “Let justice prevail. What we are asking for is nothing less than 50%. No one should come here to say that the status quo should remain. Anyone advocating that the status quo should remain is un- progressive.” In a bid to clear the air on the controversy over the funding of NDDC, Mr. Femi Falana (SAN) sought the permission of the conference chairman to raise a point of information which was granted. According to Mr. Falana, the funding of NDDC by virtue of Section 14 of the NDDC Acts, the Federal Government is required to contribute 15% equivalent of total statutory monthly allocation due member states of the commission from the federation account being the contribution of the federal government. In addition to that, Mr. Falana reveals that 3% of the total annual budget of the oil producing companies operating offshore and onshore is contributed. Mr. Falana informs delegates that the contribution of the Federal Government to the NDDC since President Olusegun Obasanjo era has not been paid. “It is in the tune of N1trillion,” Mr. Falana declares. He also reveals that the $ 1billion recommended by the United Nation to clean up the Niger Delta has not been paid by the Federal Government.
Posted on: Tue, 08 Jul 2014 15:58:30 +0000
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