The Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) has reaffirmed its commitment to ensuring transparency and sustainability in the management of the 13 per cent derivation fund allocated to Nigeria’s oil-producing states.

Dr. Mohammed Bello Shehu, Chairman of RMAFC, emphasized the importance of balancing constitutional provisions, judicial interpretations, and state-level management to guarantee fair allocation. His remarks came during a meeting with a delegation from the Host Communities of Nigeria Producing Oil and Gas (HOSCON), led by Chairman Prince Michael Emuh, at the Commission’s Abuja headquarters.

Shehu highlighted the significance of host communities in the oil and gas sector, stating:
“Without the peace and cooperation of the host communities, the exploration and production of oil and gas in Nigeria would not be possible.”

The Secretary to the Commission, Engr. Joseph Okechukwu Nwaeze, reassured that RMAFC would maintain fairness and transparency in fund distribution, adding that the advocacy efforts of host communities “will not be in vain.”

Federal Commissioners, including Desmond Akawor (Rivers State) and Nkechi Otti (Abia State), called for closer collaboration between host communities and government institutions, highlighting the need to protect projects funded through the derivation fund from vandalism to ensure sustainability.

Prof. Aliyu Idris, Technical Assistant to the Chairman, encouraged HOSCON to submit a memorandum to the National Assembly proposing a constitutional framework for managing the 13 per cent derivation fund. Embedding such a framework in the Constitution, he explained, would make compliance mandatory for all states.

Prince Michael Emuh described the engagement as “a new dawn for the long-neglected communities that lay the golden egg,” lamenting that despite contributing significantly to national wealth, host communities often face marginalization.

The meeting underlined RMAFC’s readiness to work with stakeholders to develop a transparent, fair, and sustainable framework that ensures host communities receive their rightful benefits from oil revenues.