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Delta engages consultants to recover shortfalls in 13% derivation - The Revealer
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Delta engages consultants to recover shortfalls in 13% derivation

Delta state government Wednesday said it has engaged the services of two consultants to probe into the under payment of 13 % oil derivation from the federal government to the state.

The Blueprint reported that the state government who raised the suspicion said that the two consultants would recover the shortfalls after the reconciliation with the federal government.

State Commissioner for Information, Mr Charles Aniagwu, stated this in Asaba while briefing journalists on the outcome of the State Executive Council (SEC) meeting.
Aniagwu said the consultants would review records at the Nigerian National Petroleum Corporation (NNPC), Federal Ministry of Finance and other relevant agencies in order to reconcile figures, and find out if the federal government has been faithful to its obligation.

According to him, the decision to probe into the proceeds of oil derivation was part of measures to revive the state economy, following the impact of the COVID-19 pandemic.

“There are instances where the federal government would say that they are paying subsidies. On such occasions, if the total amount is N100.00, for instance, and the government pays N40.00 for subsidies, they will now base the 13% derivation on N60.00 instead of the initial N100.00.

“This is what we want to reconcile, hence we are engaging the services of the consultants. If at the end of the day, nothing is discovered, the consultants will not be paid but if anything is realised, we will apply for refunds, and the consultants will be entitled to 11.5%,” he explained.

Aniagwu said council also approved N600 million as counterpart fund for the Sustainable Development Goals (SDG) projects, and another N809 million as counterpart to fund projects being handled by UNESCO and other global agencies.

The commissioner explained that the approval of the counterpart funds was also part of measures to revamp the state economy, adding that the Medium Term Expenditure Framework for the 2021 budget estimate was also approved.

Also approved, according to him, was the completion of Oghoye Floating Market in the Warri North local government area of the state. The project will gulp about N4.3 billion.

Edet Udoh

We are The Revealer, a general online news platform based in Nigeria. Our focus amongst others is to provide credible, factual, well researched and balanced news and articles for our teeming readers in business, governments, politics, engineering, science, religion, technology etc. Edet Udoh is the Managing Editor. He is an experienced media person. He has worked extensively with the Champion Newspapers, The Authority Newspapers and the Blueprint Newspaper before starting Revealer Online News platform in 2018. He can be reached with this email address: edetudoh2003@gmail.com or via these phone numbers 08061246427 and 08170080488

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