The Federal Commissioner representing Abia State at the Revenue Mobilisation, Allocation and Fiscal Commission (RMFAC), Mrs Nkechi Oti, said some oil wells belonging to Abia State are quietly ceded to neighbouring states, affecting Abia State’s revenue allocation.
The commissioner disclosed this while presenting her report on her familiarisation tour to the Abia state governor, Alex Otti, saying that the oil wells lost by the state to the act are cutting down the state’s revenue allocation. Oti explained that the purpose of her visit was the examine the financial status of the state with respect to revenue allocation to the state.
She pledged to improve the revenue allocated to the state after implementing her findings from her familiarisation tour. She recommended that the state improve its monitoring of its solid mineral sector, establish stronger inter-ministerial collaboration, and enhance training for Local Government Staff.
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Oti, in addition, listed some bottlenecks affecting oil-producing regions in the state. She identified electricity and security lapses and warned that Abia’s share from the federation account can be affected by differences in statutory payments. She closed by commending the government in areas of digitisation and project completion.
The Abia state governor, in response to the findings on the oil wells in the state, revealed that the state has long set up a company, Abia Petroleum Trading and Allied Limited (APTA), to monitor and supervise the recovery and management of oil wells in the state.
He also urged RMFAC to help increase the state’s federal allocation, as such is much needed for the revamping of various sectors in the state.
