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Sources have gathered that the host communities of core Ijaw oil producing areas of Egbema, Gbamaratu and Ogulagha Kingdoms in Delta State have threatened to shut down oil flow stations unless they are being paid directly, the 27% alleged share of the 13% derivation fund which accrues to the state.
In a letter signed by 28 chiefs and members from each of the communities in the three kingdoms to President Goodluck Jonathan, said urgent intervention was required to avoid crisis that may lead to flow stations in their kingdoms being closed.
Stating that 13% derivation fund is not part of any consolidated revenue of state government, it is a benchmark for revenue allocation for host communities in Nigeria, it is however illegal to allocate 13% derivation fund through a third party to the host communities.
Payment of 13% through third parties the communities continued has given the sate governors total control of the resources of this oil communities to the exclusion of the host communities, while stating that in Delta state the situation has been so embarrassing.
(Edited by: Blueblock)
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