Managing Director of the Niger Delta Development Commission (NDDC), Dr. Sam Ogbuku, made a startling revelation yesterday – the interventionist agency is being owed over N2 trillion.
Ogbuku made the revelation while appearing before the Ibori-Suenu Erhiatake-led House of Representatives’ Committee on NDDC.
The NDDC boss described the sum as the accumulation of 15 per cent of the allocation of the nine oil producing states, which though due to the commission since 2000, has never been paid.
Sections 14 sub-section 2 (a) of the NDDC Act 2000 under Financial Provisions for reads as follows: “There shall be paid and credited to the fund established pursuant to subsection (1) of this section- (a) from the Federal Government, the equivalent of 15 per cent of the total monthly statutory allocations due to member states of the cCommission from the Federation Account; this being the contribution of the, Federal Government to the Commission.”
Ogbuku, also lamented that despite the passing of the 2021, 2022 and 2023 budgets of the commission, they were yet to get the funds till date.
He said: “I want to raise an important issue; when we talk about funding, the NDDC Act says the monthly allocation from the Federal Government is 15 per cent of the allocation of nine states of the Niger Delta. But I can tell you that since the inception of the NDDC, it has not gotten that.
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“The Federal Government only budgets what it wants to give to the NDDC for any year and that is what that it will give. If you look at the 15 percent, we are not getting that. Even with the removal of fuel subsidy and with the increment of states allocation, NDDC is still where it is.
“So, these are issues we want you to help us resolve and we have done our calculation that from 2000 till date we can say we are being owed over N2 trillion from what is supposed to be due NDDC.”
Ogbuku, who assumed office in acting capacity in January this year, lamented that despite fast-tracking the approval for three years budgets of the commission, the funds were yet to be released.
He went further: “We also came in at a point where NDDC never had a budget for 2021, 2022 and 2023. These budgets were before the National Assembly and we had to fast track the passage of those budgets and those budgets were eventually passed in April this year.
“However, since the budget was passed, it has not been handed over to us up till now. We would pray and plead with you to ensure that as fast as possible, you also facilitate the process for us to have the budget because the year is already coming to an end.”
Ogbuku said that due to the huge debt burden of the commission, which was due to a malfunctioning of the system, they had to launch a public private partnership (PPP) arrangement in April this year, where private and public entities can also fund projects in the NDDC.
The Chairman of the NDDC Board, Chiedu Ebie, assured that the agency would maintain cordial relationships with the committee and the National Assembly.
He also promised that his board would work as a team to ensure that the narrative of the commission is changed for the better.
Ibori-Suenu promised to look into the issues raised by the commission with a view to addressing them.
She expressed the committee’s readiness to collaborate with the board to achieve the goal of changing the narrative of the Niger Delta and the commission to improve the lives and conditions of the people of the region.
Ibori-Suenu pledged the committee members’ commitment to carry out their mandate effectively.
She said: “It is very important we create a platform for synergy in implementation of these policies and programmes for the general benefit of Nigerians and especially the people of the Niger Delta. I assure you that this committee is willing and ready to partner with you to make sure that the dividends of democracy are brought to the region and the narratives that had been set by the previous board are changed for the better.
“On this note, I would want to seek your cooperation as a board and to ensure that the information we get from you is what we can work with as a committee, and that everything we do henceforth is in the discharge of our duties to our people.
“On the issue of the budget, we would look into and find out why it hasn’t been transmitted to the Commission. For the time frame I cannot really say, but now you have brought it to our attention, we would look into it.”