Presidency dismisses Makinde’s claim of N250bn NLNG dividend per state

The Presidency has dismissed Oyo State Governor Seyi Makinde’s claim that the Federal Government is withholding N250 billion in Nigeria LNG Limited (NLNG) dividends for each state until after the 2027 general elections, describing the allegation as false.

In a statement issued on Sunday, the President’s Special Adviser on Information and Strategy, Bayo Onanuga, said the figures cited by Makinde did not align with the history of NLNG dividend payments or the Federation Account revenue-sharing formula.

Makinde had raised the issue on Friday at the 2027 Budget Stakeholders’ Consultative Engagement in Ibadan, alleging that the funds had been withheld despite states having identified projects for which the money would be used.

“Each state was supposed to get N250 billion. We had already identified projects that would expand Oyo State’s economy. But they have now said the money will not be paid until after the election,” the governor was quoted as saying.

However, the Presidency argued that distributing N250 billion to each of Nigeria’s 36 states would require N9 trillion, excluding allocations to the Federal Government, the Federal Capital Territory and the 774 local government areas.

According to Onanuga, states receive 26.72 per cent of distributable Federation Account revenue under the Federation Account Allocation Committee (FAAC) sharing formula.

He said the states’ combined share would reach N9 trillion only if total NLNG dividends paid into the Federation Account exceeded N33.68 trillion, or about $25 billion, in a single payout.

“The NLNG has never paid $25 billion in dividends to the Federation Account in a single payout,” the statement said.

The Presidency added that NLNG had paid approximately $21.5 billion in dividends to the Federation over the past 25 years, with less than $3 billion realised since President Bola Tinubu assumed office.

It argued that Makinde’s claim of a single dividend payout exceeding the company’s total historical payments to the Federation was inconsistent with the available figures.

The statement also criticised the governor’s public comments since declaring his presidential ambition under the Allied People’s Movement (APM), accusing him of making misleading claims for political purposes.

It urged Makinde to present verifiable facts and called on Nigerians to disregard what it described as unfounded allegations against the Federal Government.

The dispute comes amid scrutiny of revenue allocations to states. According to figures cited in the report, the 36 states received N4.83 trillion from the Federation Account between January and June, with Oyo State receiving N147.32 billion.

Meanwhile, NLNG Chief Executive Officer Adeleye Falade said in July that the company had paid $47.2 billion in dividends to all its shareholders, including the Federal Government, from revenue of $149.6 billion since operations began.

The Federal Government holds a 49 per cent stake in NLNG.