Kogi receives first 13% derivation as fist oil-producing state in northern Nigeria


 

 

 

By Muhammad Ohunene Simbiyat

 

 

Kogi receives first 13% derivation as fist oil-producing state in northern Nigeria

Kogi has become the first state in northern Nigeria to join the league of oil-producing states in Nigeria.

Hitherto, southern states of Rivers, Bayelsa, Cross River, Akwa Ibom, Edo and Imo are the custodians of the country’s oil reserves.

Kogi State governor, Yahaya Bello, announced recently that the state had received the first tranche of 13 per cent derivation allocation as an oil producing zone in the country.

He said “I am elated to announce to the good people of Kogi State that my administration has received our first derivation allocation as an oil-producing state, the governor announced on October 20, 2022.

“Let me reiterate this to the people of Kogi State, that my promise to make their resources work for them is iron cast.

“We will build more schools, hospitals and construct more roads. We will empower our youths and women. Under my watch, we will ensure security.”

Kogi was declared an oil producing state after a long battle with Anambra state over the ownership of an oil field on Ibaji land.

Ibaji Local Government Area is located along the coast of River Niger, bordered by Edo, Enugu and Anambra states. It occupies 1,377km² land with a population of almost 180,000 people, according to the National Population Commission’s data.

Long tortious road

Kogi got its oil-producing status through struggle with Anambra and Enugu states over the ownership of the Ibaji oil well.

Governor Bello said, “We worked hard to make this history. But we wouldn’t have achieved it without the support of our people, who stood resolutely with us to make this see the light of the day.

“We also wish to express our gratitude to President Muhammadu Buhari for his leadership roles, as well as the Revenue Mobilisation Allocation Fiscal Commission (RMAFC) for making this a reality.”

Former President Goodluck Jonathan’s declaration of Anambra as an oil- producing state in 2014 sparked off crisis between Ibaji and the state.

Nigerian Post on Sunday reported that the declaration particularly pitched the people of Ibaji land of Kogi against Aguleri-Otu community in Anambra over the ownership of an oil well said to be located in Ibaji.

Stakeholders deployed all kinds of tactics, including the use local militants, leading to bloodbath and destruction of properties for almost three years until voice of reason was allowed to prevail.

Subsequently, the Kogi State government, particularly indigenes of Ibaji, where the oil was allegedly drilled, felt shortchanged over the declaration of Anambra as an oil-producing state. It was also reported that the oil well at Igah, which feeds Orient Petroleum Refinery in Anambra, is said to be on Ibaji land in Kogi.


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