Niger Delta group urges Tinubu to issue Executive Order on 13% derivation fund

A Niger Delta-based civil society organisation, the Niger Delta Civil Society Forum, has called on President Bola Tinubu to issue an Executive Order to ensure what it described as the lawful and people-focused implementation of the 13 per cent derivation fund meant for oil and gas producing communities.

The group made the demand in a statement signed by its Coordinator, Ezekiel Kagbala, and made available to journalists in Warri, Delta State, on Wednesday.

The Forum said the call had become necessary following what it alleged was the continued failure to implement the derivation fund in accordance with constitutional provisions and the original objective behind its establishment.

According to the group, the derivation principle was introduced to address developmental deficits and environmental challenges faced by oil-producing communities, stressing that current implementation practices have not achieved those goals.

It explained that the organisation had sustained advocacy through electronic and print media platforms while also engaging relevant Federal Government institutions to push for reforms in the management of the fund.

The Forum disclosed that it had engaged the Revenue Mobilisation Allocation and Fiscal Commission, urging the body to discharge its constitutional responsibility by recommending a transparent and lawful framework to the President for administering the derivation fund.

It added that a formal letter had also been sent to President Tinubu, appealing to him to exercise his constitutional authority over matters listed under the Exclusive Legislative List, particularly oil and gas resources, to address perceived irregularities in the administration of the fund.

The group further proposed the establishment of a structured 13 per cent derivation fund framework in each oil-producing state, alongside a Presidential Monitoring Committee to promote transparency, accountability, and effective utilisation of the funds for host communities.

Citing historical precedents, the Forum noted that during the administration of Shehu Shagari, derivation committees and a presidential monitoring body were created when the derivation formula stood at 1.5 per cent, while the regime of Ibrahim Babangida established the Oil Mineral Producing Areas Development Commission after increasing derivation to three per cent.

The organisation argued that these past arrangements demonstrated that direct allocation of the derivation fund to state governments contradicts the constitutional intent and historical practice guiding the management of oil revenues.

The Forum also paid tribute to Chief Dr Wellington Okirika, popularly known as “Mr 13% Derivation,” describing him as a long-standing advocate whose efforts have kept the issue prominent in national discourse.

It, however, urged the President to urgently issue an Executive Order to ensure a transparent and constitutionally compliant implementation of the 13 per cent derivation fund, which it said would promote equity, justice, and sustainable development in oil-producing communities.

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