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Amaechi Demands Revenue On Gas Proceeds From FG

 

PORT HARCOURT- The Rivers State Governor Rt. Hon. Chibuike Rotimi Amaechi has appealed to the members of the National Assembly to prevail on the Federal Government to include the payment of Revenue for gas resources in the 13 per cent derivation to Gas producing states.


Governor Amaechi made the appeal recently when members of the Senate Committee on Gas led by its Chairman Senator Osita Izunaso, paid him a courtesy call at Government House, Port Harcourt, during their visit to the state as part of their oversight functions to oil and gas installations in the state.


The State Governor said “the constitution of Nigeria provided for the payment of 13 per cent derivation of natural resources, which includes oil and gas but did not say oil alone, and urged the Senate Committee on gas to impress it on the Federal Government to pay Rivers State monies accruing from its gas resources as well.


He stated that the “non remittance of money accruing from gas is a breach of the constitution, because the absence of such funds is denying the state of projects which such funds would have been deployed in the interest of the host communities.


Amaechi’s predecessor in office Peter Odili had repeatedly advocated for payment of the derivation funds all through his eight years rule in the state but got no positive response from the federal government.
“If you can beg Federal Government to give us our money, it will be good for us. I’m happy that you noted it, please reflect it in the budget, add it if it is not found in the budget when presented to you at the National Assembly”, Governor Amaechi stated.


The Governor decried moves to pipe gas from the Niger Delta to other parts of the country for export purposes emphasizing that the comparative advantage of exporting gas from the area where it is domiciled is for the overall benefit of the country.


He opined that “piping gas to Lagos and other politically considered locations would cost thrice higher than the amount to locate such facilities in the area where they are found”.


Governor Amaechi described the oversight assignment of the Committee as critical to moving the nation forward, particularly that of ending gas flaring which according to him was affecting the people of Rivers State , pointing that if the gas flared were converted into cash it would be used to develop all parts of the country.


The State Governor “recommended that the bill on ending gas flaring should include penalty payment to the communities where the gas is flared, and not to the Federal Government, because the effects of gas flaring on the communities has been very devastating while Federal Government suffers no effect”.

 

 

 

 

 


 

 

 

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