NEITI: Oil producing states can’t account for N8.59bn projects

Nigeria Extractive Industries Transparency Initiative (NEITI) has expressed concern over the inability of states within the Niger-Delta region to account for N7.4 billion allocated by Niger Delta Development Commission (NDDC) for grass root development projects in their respective states.

Waziri Adio, NEITI executive secretary, who disclosed this during the assessment of the commission’s account during the management retreat held in Port Harcourt, Rivers State, noted that NDDC member states duplicated 22 of such projects valued at N1.19 billion during the period under review.

According to the NEITI report presented at the NDDC management retreat, a total of $1.98 billion were remitted to the NDDC between 2007 and 2014.
This was in addition to the sum of N594 billion paid to the Commission in local currency during the same period.

The breakdown of the remittances shows that NDDC received N594 billion from 2007 to 2011, while $559 million was paid to the Commission in 2012.
NEITI report findings also showed that in 2013, the NDDC received $563 million while in 2014 the sum of $865 million were remitted to the Commission.

NEITI also informed the NDDC Management team that from its Fiscal Allocation and Statutory Disbursement Audit report covering 2007-2011, the sum of N7.4 billion allocated to member states of the Commission for grass root development projects in the respective states could not be accounted for while 22 of such projects valued at N1.19 billion were duplicated.

Adio, who was represented by NEITI’s director, Ccmmunications, Orji Ogbonnaya Orji, however, expressed the resolve of the initiative to partner NDDC in the bid to enthrone transparency and accountability in the operations of the Commission.

Adio noted that the NDDC and NEITI were set up with similar mandates targeted at addressing the syndrome of resource curse, a situation where countries like Nigeria blessed with abundant natural resources find their larger population living in abject poverty as a result of overdependence on the natural resource and mismanagement of revenues accruing from the resource.

He lamented that over the years public perception of NDDC was more of an agency with huge revenue resources but with little impact on the lives of the people of the Niger Delta.

The NEITI boss also urged the new team at the NDDC to carry out a corruption risk assessment that will enable the agency develop a framework to strengthen its operations.

The NEITI Executive Secretary urged the new Board and Management of the NDDC to carry out an independent project implementation audit, commit to good corporate governance and the principles of the global extractive industries transparency initiative.

The Managing Director of the NDDC, Nsima Ekere, welcomed the emerging partnership between NEITI and the NDDC and pledged to use the NEITI reports as major tools to enthrone accountability and corporate governance.

He gave the assurance that the NDDC under the new Board and management will fully embrace the principles of the global Extractive Industries Transparency Initiative (EITI) to reverse the resource curse syndrome in the Niger Delta, through efficient resource utilization, corporate governance and project delivery.