Edo Unveils N28 Billion Derivation Refund Plan

In a recent press conference held in Benin City, Mr. Joseph Eboigbe, the Commissioner for Finance, Budget, Economic Planning, and Development in Edo State, disclosed the state’s allocation of N28 billion from the one trillion naira 13 percent derivation refund intended for oil-producing states in Nigeria. As of now, Edo State has received N2.1 billion in three quarterly installments.

Mr. Eboigbe highlighted the distribution plan, stating that the funds would be disbursed in 20 quarterly releases over five years. These quarterly releases, amounting to N700 million each, are aimed at fostering sustainable development in the state. The transparency of the process was underlined, with records readily available for scrutiny.

Eboigbe claims, “Edo State’s portion of that amount was N28 billion naira. The amount that reached us was a negligible portion of the N1 trillion.

“Thus far, N2.1 billion has been released to us in three quarterly releases: N700 million, N700 million, and N700 million. That is what has entered the State’s coffers; the records are in the office of the Accountant General, and it can be verified in the bank.

“We contributed N28 billion, and the remaining funds will be disbursed over the course of five years, in 20 quarterly installment releases. To date, three installment releases totaling N700 million have been made; we have the documentation available for anyone who requests to review it.”

Explaining the genesis of the derivation refund, Mr. Eboigbe outlined the collaborative efforts of finance commissioners nationwide, which led to the identification of discrepancies in the federal government’s handling of revenue from oil and gas sales.

The resulting establishment of the one trillion naira fund for oil-producing states was backed by approvals from the Economic Council and the President, with a clear distribution methodology devised by the Revenue Mobilization Allocation and Fiscal Commission (RMFAC).

Supporting this financial update, Mr. Chris Osa Nehikhare, the Commissioner for Communication and Orientation, and Mr. Crusoe Osagie, the Special Adviser to the Governor on Media Project, reiterated the administration’s commitment to utilizing resources judiciously for projects beneficial to the people of Edo State. Emphasizing a fiscally responsible approach, the officials reassured the public that funds will be allocated for impactful initiatives that address the needs of the populace.