FG, states and LGs share N420bn for September

The September 2016 revenues distributed to the three tiers of government came down by N90.27bn to N420bn as against N510.27bn dis­tributed in the month of August. This is no thanks to the activities of pipeline vandals which have contin­ued to take its toll on gov­ernment revenues.
This shortfall was in spite of the slight increase in the price of crude oil from $46.06 per barrel to $48.43 per barrel.
The Permanent Secretary Ministry of Finance, Alhaji Mahmoud Isa-Dutse, who represented the Minister of Finance and Chairman of the Federal Allocation Ac­count Committee (FAAC), Mrs Kemi Adeosun, dur­ing a media briefing dis­closed that crude oil export decreased by 1.15m barrels, which occasioned a decline of $46.06m in the federation export sales despite the rise in oil price.
The Permanent Secretary also pointed out that a fresh force majeure declared at the Bonny terminal, as well as the subsisting one at For­cados terminal and the shut-in and shut-out of pipelines for repairs and maintenance also added to the decline in revenues.
Revenues from dutiable imports, Joint Venture Cash call, Foreign Companies’ In­come Tax and value added tax (VAT) also declined dur­ing the period.
The gross statutory rev­enue for September 2016 stood at N279.746bn which was lower than the N315.045 billion received in the August by N35.299bn.
A breakdown of the al­location revealed that the federal government re­ceived N129.6bn; States got N91.891bn while the local governments went home with N68.65bn.
Other revenues distrib­uted for the month includ­ed exchange rate gain of N41.4bn and excess petro­leum profit tax of N63.38bn.
The oil producing states received an extra N13.729bn as 13 per cent derivation for the period under review.
The sum of N6.330 billion was refunded by NNPC to the FGN while there was a proposed distribution of N63.386bn from the Excess PPT Account.
The permanent secre­tary also disclosed that the amount in the excess crude account remained at $2.454bn, same value as at August 2016.images21

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