Pay Anambra 13% Derivation, Group Tells FG

David-Chyddy Eleke in Awka

A group, Host Communities of Nigeria (Hostcom), has called on the federal government to commence immediate payment of 13 per cent derivation to Anambra State as an oil-producing state.

The group made the call monday while briefing journalists in Awka, Anambra State capital.

The group faulted the position of the federal government that the state cannot benefit from the 13 per cent derivation as an oil producing state, because its oil was not in commercial quantity.

National Chairman of Hostcom, Dr. Mike Emuh who spoke to journalists after a meeting of the state chapter of the group called for explanation over the whereabouts of oil drilled from the recently discovered wells in Anambra State.

He said, “If they say the oil in Anambra is not in commercial quantity, then they should tell us what has been happening to the quantity drilled from Anambra.

“Even if it is one drum, we demand to know where it goes. Have they allocated Anambra oil wells to some powerful individuals? If at all oil is being drilled from Anambra, what happens to the money realised from the sale?

“I tell you, Anambra is long overdue for 13per cent derivation paid to all oil producing states. Even Lagos where oil was discovered just the other day is now enjoying 13percent derivative, so, why shouldn’t Anambra?”

He described the discovery of gas in Anambra as a blessing to the state, saying that while oil was fast depleting in quantity in Nigeria and the price shrinking, gas has remained high in price.

“Oil is going, and gas is coming. Gas is now the major frontier of oil business, and with the discovery of gas in Anambra, it is supposed to be a major boom for the state,” Emuh said.