Due to a remarkable increase in revenue generated in August 2017, a total of N637.704 billion has been distributed as federal allocations among the Federal Government, State Governments and Local Government Areas.
A communiqué issued by the Sub-Committee of Federation Accounts Allocation Committee (FAAC) of the Office of the Accountant-General of the Federation, at the end of the meeting held on Thursday, showed that the gross statutory revenue received for the month is N550.992 billion and is higher than the N387.319 billion received in July by N163.673 billion.
The distributed amount comprises the month’s statutorily distributable revenue of N550.992 billion and the Value Added Tax (VAT) of N86.712 billion, making up N637.704 billion,
Consequently, from Net Statutory Allocation, the Federal Government received N260.609 billion representing (52.68%); the states received N132.184 billion (26.72%); local government s got N101.908 billion representing (20.60%); while the Oil Producing States received N41.977 billion as 13% derivation revenue.
From the revenue available from the Value Added Tax (VAT), the Federal Government received N12.487 billion (15%); states received N41.622 billion (50%) while the councils got N29.135 billion (35%).
The Communique further stated that there was a decrease in the average price of crude oil from $51.05 to $50.44 per barrel and a significant increase in export volume by 0.85 million barrels, which resulted in increased revenue from export sales revenue by about $41million.
There was also shut-in and shut-down of pipelines due to the activities of vandals as well as for maintenance which had a negative impact on production. Moreover, the Force Majeure declared at the Forcados terminal since February 2016 was still in place.
Significant increases were also recorded in Companies Income and Petroleum Profit Tax while Import and Excise Duties and VAT recorded marginal increases. Meanwhile, the balance of the excesses crude account is $2.309 billion.