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Bayelsa Seeks Upward Review of 13% Derivation Formula

The governor expressed regret that the 13% oil derivation formula, which is subject to a periodic review has remained stagnant since 2003.

The Bayelsa State Government has urged members of the incoming 10th National Assembly from the Niger Delta to vigorously agitate for an upward review of the 13% crude oil derivation formula to a minimum of 25%.

Governor Douye Diri of the state, gave the charge at the 108th session of the state Executive Council meeting on Wednesday at the Government House, Yenagoa.

Represented by his deputy, Senator Lawrence Ewhrudjakpo, the governor expressed regret that the 13% oil derivation formula, which was subject to a periodic review, has remained stagnant since 2003.

He also called on the President-elect, Bola Tinubu, to fulfill his promises, especially on resource control for the sake of equity and fairness to the people of the Niger Delta, who were suffering the brunt of crude oil production in the country.

While expressing appreciation to the people of Bayelsa for their large turn out on Tuesday to celebrate and honour late Ijaw icon, Major Isaac Adaka Boro, he recalled that the issues of Boro struggle which included injustice, inequality, self-determination and self-recognition, still persisted.

He also asserted that the Ijaws, who were the largest tribe before being balkanised into several states by the Nigerian state following the Arthur Richard Constitution, deserved to be accorded recognition, which was one of the issues Boro agitated for.

Diri, therefore, called on Tinubu to improve on the derivation formula to at least 25% as a champion of resource control himself towards addressing inequalities inherent in the revenue allocation system.

“We use this opportunity to encourage our members in the National Assembly to agitate for the upward review of the 13% derivation formula which has remained stagnant for too long.

“Since 2003, the derivation formula has remained unchanged. We believe that the incoming administration of Senator Bola Tinubu, who is an advocate of resource control, when he gets on the saddles as president.

“The incoming President has to make an improvement on the current 13% derivation formula to make it a minimum of 25% for a start and a maximum of 80% before he leaves office,” he said.

Olusegun Samuel

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