Mkpoikana Udoma
Port Harcourt — Legal luminary and human rights advocate, Femi Falana, SAN, has called for direct disbursement of a portion of the 13 percent derivation fund to oil-producing communities, arguing that such reform is essential to ensure equity and development in the Niger Delta.
Falana made the call recently at the Ken Saro-Wiwa 30th Anniversary Memorial Lecture in Port Harcourt recently, where he said it was unjust for state governments to retain all derivation funds while host communities bear the brunt of oil exploration.
“The Federal Government must give back to the Niger Delta from the enormous wealth of the area,” he said. “Part of the 13 percent derivation must go directly to the oil and gas producing communities.”
The human rights lawyer stressed that the current arrangement where only state governments control derivation funds has led to widespread corruption and underdevelopment at the grassroots level.
“Nine oil-producing states receive special allocation from Abuja every month,” Falana stated. “They must in turn give back to the communities that produce the oil and gas.”
He suggested that not less than five percent of the 13 percent derivation be mandatorily allocated to Host Communities, HOSCOMs, to promote visible development and restore public trust.
“What is important is that at least 5% of the 13% derivation should go to the host communities,” Falana insisted. “That is how you ensure that the people benefit directly from their resources.”
Falana also tasked the media and civil society with extending their scrutiny beyond the federal level to state and local government finances.
“Every month, Rivers State local governments receive over N500 million,” he said. “Apart from paying salaries, where is the development? We must hold state and local authorities accountable just as we do the Federal Government.”
He concluded that until fiscal transparency reaches the grassroots, the Niger Delta will remain trapped in poverty despite its immense oil wealth.
