12 June 2018, Sweetcrude, Port Harcourt — Rivers State Governor, Nyesom Wike, says oil-producing states should be paid their 13 percent derivation from the $1 billion the Federal Government planned to withdraw from the Excess Crude Account to fight insurgency in the North East.
Speaking at the Government House, Port Harcourt while receiving the Leadership Newspaper Governor of the Year Award 2017, Wike noted that it was mandatory for the constitutional procedure to be followed.
The governor said while the state government was not against the fight against insurgency, all required constitutional procedures must be respected.
He added that he has been officially approached to lobby the Rivers State House of Assembly to approve the resolution mandating the withdrawal of the said funds.
“They have approached us to lobby for the passage of a resolution by the State House of Assembly approving the $1 billion withdrawn from the Excess Crude Account to fight the insurgency.
“The law is clear. On every proceed from oil, you must remove 13 percent derivation for oil producing states. We cannot be stampeded into doing the wrong thing. So, where is the 13 percent derivation for oil-producing states? In fighting the insurgency, you must respect the law,” he said.
According to him, all the negative actions against the Rivers State Government were targeted at denying the state the balance of the Paris Club Refund.
Wike also informed the Rivers State House of Assembly members of the refusal of the Federal Government to release budget support fund to the state government, when all other states have received the fund.