13% Derivation Funds Meant for Communities, Says Niger Delta Group

A Niger Delta civil society group has renewed calls for oil-producing communities to directly benefit from the 13 per cent derivation fund, insisting that state governments are not the original beneficiaries.

The Niger Delta Civil Society Forum accused the Revenue Mobilisation Allocation and Fiscal Commission of misinterpreting constitutional intent following comments credited to its chairman, Dr. Mohammed Bello Shehu.

In a statement issued in Warri, the group argued that derivation was introduced to compensate host communities for environmental destruction, economic displacement, and health challenges linked to oil exploration.

The group maintained that channeling derivation funds solely to state governments continues decades of injustice against host communities across the Niger Delta. It stressed that derivation represents restitution rather than political revenue sharing.

The Forum called on President Bola Tinubu and the National Assembly to establish a derivation board and monitoring committee to ensure direct allocation and transparent use of funds for community-driven development.