By Ayomide Otitoju
Oyo State Governor Seyi Makinde has maintained that states and local governments are owed about ₦9 trillion in Nigeria LNG Limited (NLNG) dividends, following the Presidency’s rejection of his claim that the Federal Government is withholding the funds.
The dispute followed Makinde’s remarks at the 2027 Budget Stakeholders’ Consultative Engagement held at the Olola Ogunlana Hall, International Conference Centre, University of Ibadan, on Friday.
The governor, who is the presidential candidate of the Allied Peoples Movement (APM), claimed that each state was expected to receive ₦250 billion but that the Federal Government had delayed payment until after the 2027 general elections.
“Each state was supposed to get ₦250 billion. We had already identified projects that would expand Oyo State’s economy. But they have now said the money will not be paid until after the election. Is the election more important than the people of Nigeria?” Makinde said.
However, presidential spokesman Bayo Onanuga dismissed the allegation on Sunday, describing it as false and urging Nigerians to disregard it.
Onanuga explained that the proposed ₦250 billion allocation to each of the 36 states would amount to ₦9 trillion, excluding the Federal Government, the Federal Capital Territory and the 774 local government areas.
He said states receive 26.72 per cent of distributable revenue from the Federation Account Allocation Committee (FAAC), adding that for the states’ share alone to reach ₦9 trillion, total NLNG dividends paid into the Federation Account would have to exceed ₦33.68 trillion, or approximately $25 billion, in a single declaration.
“NLNG has never paid $25 billion in dividends to the Federation Account in a single payout,” Onanuga stated.
Reacting through a statement signed by his Special Adviser on Media, Sulaimon Olanrewaju, Makinde said the Presidency had failed to address the central issue surrounding the alleged shortfall in NLNG dividend payments.
According to the statement, the Nigeria Governors’ Forum (NGF), with the support of the Federal Government, engaged a consultant to reconcile NLNG dividend payments, an exercise that reportedly identified a shortfall of about ₦9 trillion owed to states and local governments.
The statement claimed that the Federal Government had accepted the findings and that the report remained in the custody of both the Federal Government and the NGF.
It added that Makinde, as the incumbent vice-chairman of the NGF, was familiar with the reconciliation process.
The governor’s media adviser also noted that the Presidency had stated that NLNG had paid $21.5 billion in dividends into the Federation Account since inception, including $3 billion received under the current administration.
However, the statement argued that the Presidency had not explained how the funds were distributed.
“Governor Makinde conducts public discourse with decorum and does not make unfounded claims or quote figures without a basis,” the statement said.
It added that the governor’s office remained willing to provide further clarification while urging the Presidency to address the substance of the dispute.
The disagreement centres on the reported reconciliation of NLNG dividend payments, the alleged shortfall and how the funds were allocated among the tiers of government. The competing claims have yet to be independently established by the information provided.
