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ECA rises to $4.5bn as FG, States, LGs share N755.9bn in June

By on July 17, 2014

The Federation Accounts Allocation Committee (FAAC) yesterday shared a total distributable revenue amounting to about N755.95 billion among the three tiers of government for June as it emerged that the money, Excess Crude Account (ECA) kept to provide succour in rainy days had increased from about $3.6 billion to about $4.5 billion.

In the previous month, to total revenue collection in the month under review was significantly helped by the Company Income Tax (CIT), Petroleum Profit Tax (PPT)-particularly, the upward review of estimates by some companies.

Addressing journalists after the monthly meeting of the committee in Abuja, Minister of State for Finance, Alhaji Bashir Yuguda, said although there was slight decline in mineral revenue which stood at about N417.61 compared to the previous month following the   ongoing repair and maintenance work at various terminals, including the Force Majeure declared at Forcados between March and May, revenue was further boosted by the remittance of $148 million by TEPNG Limited and Chevron Nigeria Limited. Non-oil revenue stood at about N165.93 billion while VAT increased slightly to about N65.41billion compared to about N66.41 billion in May.

He said a total revenue distributable for the month including value added tax (VAT) was about N684.89 billion as well as an additional N71.04 billion from excess non oil revenue proceeds.

Also shared was the constant N35.549 billion under the subsidy re-investment programme (SURE-P).

A breakdown of the statutory allocation showed the federal government got about N270.14 billon while states shared about N137.02 billion as well as the local governments which received about N105.63 billion. The sum of about N57.89 billion was allocated to the oil and gas producing states under the derivation principle.

It came as the state governments, through their respective representation at FAAC, also insisted there was no going back in their campaign to stop the oil subsidy programme on grounds that it was currently abused and benefitting only a few individuals.

Chairman, Forum of Finance Commissioners, Mr. Timothy Odah, said it was still awaiting the report of the sub committee set up to assess the impact of the subsidy programme adding that: “We still stand on removal of oil subsidy. A few Individuals are benefiting from it, as subsidy should rather be based on consumption.”

He added that the issue on subsidy removal dominated the agenda of the meeting

 

 

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