The Host Communities of Nigeria (Oil and Gas), HOSTCON, has advocated the need for the amendment of Section 162(2) of the 1999 Constitution to allow for direct payment of the 13% Derivation Fund directly to the host communities that produce oil and gas.
This was contained in the report presented by the body during the two-day zonal public hearing of the Senate Committee on Constitutional Amendment held in Asaba, capital of Delta State recently.
HOSTCON stated in the document that Section 162(2) of the 1999 Constitution, as amended partly states: “Provided that the principle of derivation shall be constantly reflected in any approved formula as being not less than thirteen per cent of the revenue accruing to the Federation Account directly from any natural resources.”
The document signed by the National Chairman of HOSTCON, Dr. Mike Emuh, called on the Constitutional Review Committee of the Senate to amend the said Section 162 (2) of the 1999 Constitution to provide for a direct payment of the 13% derivation fund to the host communities through an oil and gas Commission, adding that it is the only panacea to the present crisis in the Niger Delta.
The body traced the origin of the fund and the several efforts it has made to convince the federal government of the need for the host communities to manage the money themselves.
383100cookie-checkHOSTCON Seeks Direct Payment Of Derivation Fund To Communities
