RMAFC RESTARTS VERIFICATION OF DISPUTED OIL AND GAS WELLS

The Revenue Mobilisation Allocation and Fiscal Commission has reopened the verification of disputed and newly drilled oil and gas wells following complaints from states over an earlier exercise used in determining the distribution of the 13 per cent derivation revenue. The commission said it had discarded the previous draft verification report after receiving claims, counterclaims and complaints, particularly over the coordinates and locations of disputed and newly drilled wells.

The development was disclosed in a statement issued on Thursday by the Head of the Information and Public Relations Unit of RMAFC, Maryam Umar-Yusuf, following the inauguration of a reconstituted Inter-Agency Technical Committee to verify disputed and newly drilled oil and gas wells from 2017 to date. Speaking at the inauguration in Abuja, the RMAFC Chairman, Dr Mohammed Shehu, said the previous draft report was rejected because of concerns raised by various states. He said the complaints focused largely on the need to re-verify the coordinates of affected wells and accurately plot them on approved maps.

Shehu explained that the fresh exercise could affect the distribution of the 13 per cent derivation fund among oil and gas-producing states because the location of producing assets determines the states entitled to derivation revenue from them. He said the verification was part of RMAFC’s constitutional responsibility to monitor revenue accruing to and distributed from the Federation Account, stressing that the exercise was aimed at ensuring an equitable distribution of derivation revenue. He directed the committee to ensure that the coordinates, maps and boundaries used in determining the locations of the affected wells accurately reflect the situation on the ground.

The RMAFC chairman further instructed the committee to consider relevant court decisions, rely strictly on approved maps and conduct physical field verification where necessary. The commission adopted a two-tier structure for the exercise to strengthen technical scrutiny and accountability. The first tier comprises technical officers and experts from RMAFC, the Office of the Surveyor-General of the Federation, the National Boundary Commission and the Nigerian Upstream Petroleum Regulatory Commission. The technical team will conduct field inspections, ground-level verification and technical analysis before preparing its initial report, while the second tier, an Executive Committee led by RMAFC leadership, will provide strategic direction, coordinate the participating agencies and oversee final approvals before the findings are presented for formal ratification.

Shehu also disclosed that relevant security agencies would be engaged to provide administrative clearances, tactical assistance and security coverage for officials carrying out field operations, particularly in difficult coastal and other complex areas. To promote transparency, Surveyors-General from the affected states and representatives of the Senate Committee on Petroleum Resources (Upstream) will participate as observers. Shehu urged committee members to conduct the assignment with integrity and objectivity, saying the aim was to achieve clarity, fairness, stability and a lasting resolution to disputes over oil and gas wells among beneficiary states. RMAFC Secretary, Tosin Adeyanju, also urged the committee to prioritise national interest, noting that the exercise would attract greater scrutiny because of concerns arising from previous verification exercises. The inauguration was attended by the Chairman of the Crude Oil Monitoring Committee and RMAFC Federal Commissioner representing Kano State, Adamu Abdu Fanda, commissioners representing Osun, Edo, Yobe, Taraba, Zamfara, Jigawa and Ogun states, as well as representatives of other relevant government agencies.