Gov Mbah laments exclusion of Enugu from 13% derivation fund, seeks redress

Governor Peter Mbah of Enugu State has voiced concern over the state’s continued exclusion from the 13 percent oil derivation fund, despite being officially recognised as an oil-producing state by the Federal Government since December 2022.

Speaking during a courtesy visit by the Indices and Disbursement Committee of the Revenue Mobilisation, Allocation and Fiscal Commission (RMAFC) at the Government House in Enugu on Tuesday, Mbah appealed for the immediate resolution of what he described as an outstanding constitutional entitlement.

“It’s a matter that remains unresolved. Your office communicated to us in 2022 that Enugu State was formally recognised as an oil-producing state based on the Inter-agency Technical Committee’s report on the Anambra River Basin. Yet, to date, not a single kobo has been received,” Mbah stated, visibly concerned.

The Inter-agency Technical Committee had recommended that Enugu benefit from oil revenues derived from the Anambra River Basin 1, 2, and 3 fields, confirming the state’s eligibility under the derivation principle enshrined in the Nigerian constitution.

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While appealing to the RMAFC to expedite administrative and technical processes necessary to facilitate Enugu’s inclusion in the oil revenue sharing framework, the governor also highlighted his administration’s strides in boosting internally generated revenue (IGR).

“We have grown our IGR significantly, by more than 400 percent, and project revenues exceeding N500 billion in 2025,” he said. “This was made possible by deploying digital tools to block leakages and expand our tax base. We also hope the commission’s indices will reflect these changes.”

Governor Mbah further reassured the delegation that Enugu State practices fiscal transparency. “We release 100 percent of funds due to local governments and even supplement their efforts, especially in capital projects. We are deeply committed to accountability,” he added.

In his response, the leader of the visiting delegation, Mr. Ismaila Agaka, RMAFC Commissioner representing Kwara State, stated that the RMAFC team’s visit was part of a nationwide review of how states and local government councils utilise federal allocations.

He assured that any discrepancies, especially issues leading to zero allocations or underfunding of LGAs, would be thoroughly investigated.

“The goal is to ensure equity and accuracy in revenue disbursement and resolve anomalies that may have hindered fair allocation,” Agaka concluded.

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