Presidency denies withholding ₦250bn NLNG dividends from states

The Presidency has dismissed Oyo State Governor Seyi Makinde’s claim that the Federal Government is withholding ₦250 billion in Nigeria LNG Limited (NLNG) dividends for each state until after the 2027 general elections.

Bayo Onanuga, Special Adviser to the President on Information and Strategy, described the claim as false, arguing that the amount cited by the governor was inconsistent with the historical dividend payments made by NLNG to the Federation Account.

In a statement issued on Sunday, Onanuga said distributing ₦250 billion to each of Nigeria’s 36 states would amount to ₦9 trillion, excluding the Federal Government, the Federal Capital Territory and the 774 local government areas.

He explained that, under the Federation Account Allocation Committee (FAAC) revenue-sharing formula, states receive 26.72 per cent of distributable revenue from the Federation Account.

According to him, for the states’ share alone to reach ₦9 trillion, total NLNG dividends paid into the Federation Account would have to exceed ₦33.68 trillion, or approximately $25 billion, in a single declaration.

“NLNG has never paid $25 billion in dividends to the Federation Account in a single payout,” he said.

Onanuga added that NLNG had paid approximately $21.5 billion in dividends to the Federation over the past 25 years, with less than $3 billion realised since President Bola Tinubu assumed office.

He argued that the figures contradicted Makinde’s claim that a single dividend payout of the magnitude alleged was being withheld by the Federal Government.

Makinde had raised the issue on Friday at the 2027 Budget Stakeholders’ Consultative Engagement held at the Olola Ogunlana Hall, International Conference Centre, University of Ibadan.

The governor alleged that each state was entitled to ₦250 billion from the NLNG dividend windfall but that the Federal Government had indicated the money would not be released until after the 2027 elections.

“Each state was supposed to get ₦250 billion. We had already identified projects that would expand Oyo State’s economy. But they have now said the money will not be paid until after the election. Is the election more important than the people of Nigeria?” Makinde said.

However, the Presidency accused the governor of making misleading claims and urged him to exercise restraint in his public statements as he pursues his presidential ambition.

Onanuga also criticised Makinde for previously describing the substantial financial allocations from the Federation Account to states, including Oyo, as “voodoo”.

He said the governor was free to pursue his political ambition but should avoid statements the Presidency considers false or misleading.

The presidential spokesman urged Nigerians to disregard Makinde’s claims, arguing that they could mislead the public and create unnecessary tension between citizens and the Federal Government.

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