Oil & Gas-Producing States Share N90bn In One ne Month

 Oil and gas producing states in Nigeria shared N90.191 billion in January 2026, a decline of 6.11 per cent when compared with the N96.083 billion shared by the states in December, data released by the Office of the Accountant-General of the Federation (OAGF) had revealed.

According to the OAGF in its presentation to the Federation Account Allocation Committee, the money was allocated to the states from the country’s oil and gas earnings in January 2026, under the 13 per cent derivation fund.

Year-on-year, the accountant-general’s office disclosed that the amount disbursed in January 2026, was 7.46 per cent lower than the N97.464 billion shared by the states in January 2025.

According to the OAGF, the oil and gas producing states are Abia, Akwa Ibom, Anambra, Bayelsa, Delta and Edo. Others are Imo, Ondo and Rivers; including Enugu and Kogi states, which were recently added to the list, for gas produced in their domains.

Giving a breakdown of the funds shared by the nine states in January 2026, the OAGF disclosed that gross allocation to the states from crude oil earnings stood at N86.055 billion, compared with N85.104 billion in December 2025; while gross derivation on gas using new 13 per cent derivation indices, stood at N4.137 billion, down from N10.979 billion in the previous month.

Further breakdown of the allocation on a state-by-state basis, showed that in the month of January 2026, Abia State collected N1.417 billion; Akwa Ibom’s share of the allocation was N18.411 billion; Anambra State received N1.016 billion; Bayelsa State – N19.936 billion; Delta State – N29.088 billion; Edo State – N2.068 billion; while Imo, Ondo and Rivers received N2.035 billion, N2.805 billion, and N13.415 billion, respectively.

New entrants to the list of beneficiaries, Enugu and Kogi states, both received N20,917,70 each, from gas produced in their localities.

In comparison, in the month of December 2025, the OAGF noted that Abia, Akwa Ibom, Anambra, Bayelsa, Delta and Edo states received N1.502 billion, N18.935 billion, N757.297 million, N21.03 billion, N30.716 billion, and N2.434 billion, respectively, while N2.371 billion, N3.098 billion, N15.239 billion, N62,050.98, and N62,050.98, were allocated to Imo, Ondo, Rivers states, Enugu and Kogi states, respectively.

The 13 per cent oil derivation principle is a constitutional provision that mandates the allocation of 13 per cent of the country’s total mineral revenue to the states from which that revenue was extracted.

The aim of the fund is to compensate these states for the environmental and infrastructural impacts of oil and gas exploration and to assist them in developing their communities.

The fund was disbursed from the Federation Account to oil-producing states and is meant to provide direct benefits to oil-producing communities.

In addition, explaining the sources of the funds from which the 13 per cent derivation monies were disbursed, the Nigerian Revenue Service (NRS) disclosed that it collected N692.35 billion in oil taxes, noting that this was N476.763 billion or 221.15 per cent higher than the N215.587 billion collected in December 2025.

“It is higher than the 2026 monthly target of N608.750 billion by N83.6 billion, or 13.73 per cent. The reason for the increase in the Petroleum Profit Tax (PPT) collections when compared with previous month is due to increase in receipt from Production Sharing Contracts (PSC),” it added.

The NRS further stated that its collection for petroleum royalties and other oil and gas revenue for January 2026 amounted to N251.183 billion.

It noted that the total amount it collected across the oil and non-oil sector stood at N2.939 trillion, a decline of 8.92 per cent, when compared with the 2026 monthly target of N3.227 trillion.

The NRS said: “When all the revenue above is compared to the total collection of N2.939 trillion, oil taxes collection of N692.350 billion represents 23.56 per cent, Company Income Tax (CIT) & other taxes collection of N912.382 billion represent 31.04 per cent, Value Added Tax (VAT) collection of N1.083 trillion represents 36.85 per cent, while Petroleum Royalties and other Oil and Gas Revenue collection of N251.183 billion represents 8.55 per cent.”