By: Bruno Uche
The Minister of Finance, Kemi Adeosun, said that the Nigerian National Petroleum Corporation (NNPC) and the Federation Accounts Allocation Committee (FAAC) are to agree on a revised template for remittance of revenue to the Federation Account.

She said that the current template by the NNPC has been a source of conflict between the national oil company and other FAAC members over revenues proposed every month for sharing.

The Chairman of Federation Account Allocation Committee (FAAC) and Minister of Finance, Mrs. Kemi Adeosun (left); Permanent Secretary in the Federal Ministry of Finance, Dr. Mahmoud Isa-Dutse, and Director, Home Finance,Federal Ministry of Finance, Mrs. Olubunmi Siyanbola, during the FAAC meeting presided over by the Minister on Friday, 27th July, 2018.

Mrs. Adeosun who was addressing reporters at the end of the FAAC meeting for July said President Muhammadu Buhari has directed a new template to replace the current one by NNPC. This she said, would permanently address the controversy over inadequate remmitances between the NNPC and state governments. She also said that the committee adopted June allocation which has been inconclusive from the previous month.

The FAAC meeting last June ended in a deadlock without members agreeing to share the N147 billion revenue provided by the NNPC for distribution.

meanwhile the Minister gave the figure shared by the three tiers of government as the sum of N821 billion representing federation revenue for the month of June.

Details of the revenue for the month presented by the minister showed gross statutory revenue of about N694.7billion, higher than last month’s N575.5 billion by N119.2 billion.

The breakdown showed that the federal government got N315 billion , while States and Local governments received N194. 5 billion and N147, 05 billion,respectively.

The oil producing states of the Niger Delta received additional N42.8 billion representing 13 per cent derivation.

On the new template, the minister said a pre-FAAC meeting would hold between the Federal Ministry of Finance and the NNPC to consider the figures availablw for remittance for the month before each FAAC.


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