It was another season of windfall when the tiers of government shared a total sum of N921 billion from different sources of revenue at the last meeting of the Federation Account Allocation committee (FAAC) which was held in Abuja. The meeting was chaired by Dr. Yerima Lawal Ngama, Finance Minister of State who is also the Chairman of FAAC.
The Economic Confidential gathered that the allocation came from three sources: a sum of N727 billion came from statutory and VAT allocations, N187 billion was transferred from the Foreign Excess Crude Account and a total sum of N7.6 billion was a batch of refunds from the Nigerian National Petroleum Corporation (NNPC).
The highest recipients of the N727 billion from the statutory and VAT allocations were the oil producing states of Rivers that received N15.4, Akwa Ibom N14.5bn, Delta N12.8bn and Bayelsa N8.6bn.
The highest recipients from non-oil –producing states were Lagos N12.7bn and Kano N9bn. The lowest recipients as revealed in the table exclusively provided by the Economic Confidential magazine are Gombe N2.9bn and Ebonyi N3.1bn. The Economic Confidential can also confirm other disbursements in the month where Federal government received N173.4n, FCT Councils N3.5 billion, Nigerian Customs Service (NCS) N2.1bn, and Federal Inland Revenue Service (FIRS) N3.7bn.
The total sum of N187 billion from the Foreign Excess Saving Account was revenue generated as differential between budget & actual receipts into the account. While some oil producing states received over N8 billion Naira each from the account due to the derivation from oil and gas, some non-oil producing states got amount lesser than N2 billion each.
The refund of N7.6bn from NNPC was the 6th such refunds which were shared at the meeting of the Federation Account Allocation Committee. In some instance a total allocation to local governments in a particular state could be higher than the allocation made to the state. The refund also featured the application of derivation principle on Oil and Gas.
For the details of those allocations, check the Facts and Figures section of Economic Confidential for the tables