No ₦250bn NLNG Dividend Payout For Each State — Presidency

The Presidency has dismissed claims that the Federal Government is withholding ₦250 billion in Nigeria Liquefied Natural Gas (NLNG) dividends for every state of the federation, describing the allegation as false.

The Presidency’s response adopted a declare by Oyo State Governor Seyi Makinde that the Federal Government had delayed the discharge of the funds till after the 2027 normal elections.

In an announcement issued on Sunday, the Special Adviser to the President on Information and Strategy, Bayo Onanuga, urged Nigerians to ignore the allegation, arguing that the figures cited by the governor didn’t align with the revenue-sharing method and NLNG’s historic dividend funds.

Makinde had made the declare on the 2027 Budget Stakeholders’ Consultative Engagement held on the Olola Ogunlana Hall, International Conference Centre, University of Ibadan, on Friday.

The governor mentioned the funds would have enabled his administration to execute initiatives aimed toward increasing Oyo State’s economic system.

“Each state was supposed to get ₦250 billion. We had already identified projects that would expand Oyo State’s economy. But they have now said the money will not be paid until after the election. Is the election more important than the people of Nigeria?” Makinde was quoted as saying.

However, Onanuga mentioned the alleged payout would quantity to ₦9 trillion for the 36 states alone, excluding the Federal Government, the Federal Capital Territory and the 774 native authorities areas.

He defined that underneath the Federation Account Allocation Committee (FAAC) revenue-sharing method, states obtain 26.72 per cent of distributable income from the Federation Account.

According to him, for the states’ share alone to succeed in ₦9 trillion, whole NLNG dividends paid into the Federation Account must exceed ₦33.68 trillion, equal to about $25 billion, in a single declaration.

“NLNG has never paid $25 billion in dividends to the Federation Account in a single payout,” the assertion mentioned.

Providing additional context, Onanuga mentioned NLNG had paid roughly $21.5 billion in dividends to the Federation over the previous 25 years, with lower than $3 billion realised since President Bola Tinubu assumed workplace.

He argued that the figures contradicted the declare {that a} single dividend payout of the magnitude alleged by Makinde had been made and was being withheld by the Federal Government.

The presidential spokesman additionally criticised the governor’s public statements on federal income allocations, urging him to train restraint in his feedback.

Onanuga additional accused Makinde of constructing deceptive claims since embarking on his presidential ambition, alleging that the governor had beforehand described the monetary inflows from the Federation Account to states, together with Oyo, as “voodoo”.

He mentioned Makinde was free underneath Nigerian regulation to pursue his presidential ambition however ought to keep away from making claims that the Presidency considers inaccurate.

The assertion urged Nigerians to ignore the governor’s allegation, arguing that it might mislead residents and create pointless mistrust of the Federal Government.