Using LGAs As Basis For Revenue Sharing Unacceptable

Bayelsa State Governor, Senator Douye Diri has faulted the use of LGAs as a basis for revenue sharing in the country.

The governor, represented by Lawrence Ewhrudjakpo, his deputy, expressed his displeasure while declaring open a sensitisation programme on the review of the existing revenue allocation formula.

The event was organised by the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) in Yenagoa, the state capital, on Thursday.

Diri stated that the existing formula needs to be looked into.

He also expressed that the RMAFC should review some of its revenue-sharing parameters in the interest of equity and fairness.

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The current formula gives 52.68 percent to the federal government, the 36 states share 26.72 percent, while 20.6 percent goes to the 774 LGAs.

The governor stated that Bayelsa, with only eight LGAs and more square kilometres than several states in the country, is being shortchanged.

He said Bayelsa has about 11,000 square kilometers and some of its LGAs like Southern Ijaw are bigger than five or more council areas in some states.

“We believe that some of the indicators, you are using to share revenues currently do not promote equity and fairness in this country and therefore not acceptable to us,” he said.

“For instance, we do not agree that you should continue to use local government areas as a basis for sharing revenues. It is faulty because the creation of local governments was not done scientifically.

“It was purely political and a case of who was holding the knife and the yam at the time of creating them. And so, those who had the knife cut more to themselves.”