| Oshiomhole decries non-remittance of states' allocation Oct 3rd 2013, 23:00, by online@ngrguardiannews.com ( From Alemma-Ozioruva ) 
- GOVERNOR Adams Oshiomhole of Edo State yesterday alerted that Nigeria was in near a "disaster point" over the inability of the Federal Government to pay state governments their share of the monthly allocation.
He also accused the Nigerian National Petroleum Corporation (NNPC) of not telling Nigerians the truth over its inability to remit over N2.3 trillion to the Federation account.
Speaking in a special media chat as part of activities marking the country's 53rd independence, the governor said the implication of the non-remittance was that most states are unable to pay salaries to their workers, which in turn means that they would not be able to take care of their families.
He also added that contractors would not be able to get their monies for jobs done, they would in turn retrench workers; these he said could spell doom for the country. - He urged the NNPC to pay the over N2.3 trillion owned to the Federation Account, adding that the company was not being sincere with Nigerians as regards the number of barrels of oil being refined daily which according to him, is pauperising the nation despite its oil rich potential.
The governor added: "I don't know if the Federal Government is broke but I know there is serious crisis and it is unprecedented in the history of this country. For the first time since 1999 allocations can no longer come as at when due to states. I have been involved in trying to understand what the reasons are and I have not seen anything yet. Whether we use the word broke or you deny the word broke, the truth is that there is financial crisis in Nigeria which has very serious national security implications.
"Because when we can't pay salaries, Federal Government can't pay salaries as at when due, and you can't pay your contractors and your contractors will begin to retrench their workers, that is recipe for national disaster. So I am hoping that NNPC should wake up and meet its obligation to the Federation Account otherwise, the integrity of government is at stake, if I can't keep my promise, Federal Government can't keep its promise, all other governors can't keep their promises, the Nigeria electorate will be so disillusioned and it will be a disaster. So I am hoping that NNPC recognises that it cannot be business as usual and they have few cases to answer as far as I am concerned," he said.
He said two years ago it was about the amount of money Nigeria was spending on subsidy as revealed by the various probes by the National Assembly and Presidency. "But just as we are dealing with that, now we begin to hear about the theft of our crude oil such that what is accruing to the federation account is not enough to meet budgetary provision.
"This year's budget was based on 79 dollars per barrel, that is about 2.4, 2.5 million barrels per day. Now, contrary to all the forecast, nothing is getting better. And it is sad that we are not doing enough to change things for the better, the challenge of government in any part of the world is to deal with the issues. If the economy is not doing well, you do certain things differently and recover.
Oshiomhole further stressed: "Well it is no more matter for debate, we are ten months into the new year and oil has performed very well, at about 105 to 110 dollars per barrel throughout 2013, which means that if we have budgetary provision of 79 dollars, we ought to have a surplus of about 30 per cent, which should be in the crude oil account. But rather than having this surplus we are witnessing a situation where federal allocations no longer come as at when due, states can't pay salary.
In Edo State like the rest of our 36 states, part of our July allocation has not been paid. About a third of our August allocation has not been paid and nothing has been paid for September allocation. And it is the first time since 1999 that this thing has happened." |
