RMAFC Completes Review Of Revenue Allocation Formula, Remuneration Of Office Holders

The Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) has completed its comprehensive review of Nigeria’s Revenue Allocation Formula and concluded work on the review of remuneration for political, public and judicial office holders.

The Chairman of the Commission, Dr Mohammed Bello Shehu, disclosed this during an interactive session with members of the Nigerian Guild of Editors (NGE) in Lagos, where he presented an overview of RMAFC’s achievements and institutional reforms from 2023 to date.

Shehu said both reviews had reached advanced stages of consideration by the appropriate authorities, describing the revenue allocation exercise as one of the Commission’s most significant assignments.

He said the review was conducted through extensive consultations with the three tiers of government, technical stakeholders and nationwide engagements, alongside an assessment of fiscal responsibilities, revenue trends and comparative federal systems.

According to him, the exercise produced a harmonised report and legislative proposals that are now ready for transmission to the appropriate authorities.

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The RMAFC chairman said the objective was to establish a more equitable and sustainable revenue-sharing framework that reflects Nigeria’s current economic and governance realities.

On remuneration, Shehu confirmed that the Commission had completed the review for judicial office holders, which culminated in the enactment of the Judicial Office Holders (Salaries and Allowances) Act, 2025.

He added that the review of remuneration for executive and legislative office holders was also at an advanced stage, with an executive bill on the Political and Public Office Holders (Salaries and Allowances) Act, 2026 expected to be transmitted to the National Assembly.

Shehu, however, stressed that improved remuneration must be accompanied by greater accountability and performance.

He said remuneration reforms should ensure that better pay translates into improved service delivery and greater value for citizens.

The chairman also highlighted measures taken by RMAFC to strengthen revenue monitoring, particularly in the oil and gas sector, where the Commission has intensified efforts to ensure accurate application of the 13 per cent derivation principle.

He said verification exercises, geospatial mapping and collaboration with relevant agencies had helped resolve longstanding oil well attribution issues, including the reallocation of 17 oil wells from Imo State to Rivers State in line with a Supreme Court judgment.

Similar interventions, he said, had been carried out in Cross River, Akwa Ibom, Imo and Anambra states, while improved gas production reporting had enabled Enugu and Kogi states to benefit from derivation revenues.

Shehu said the Commission had also strengthened collaboration with the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Nigerian National Petroleum Company Limited (NNPCL), Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), National Boundary Commission and Office of the Surveyor-General of the Federation.

He disclosed that RMAFC was also engaging the Ministry of Defence on crude oil theft, pipeline vandalism and production losses, which he identified as major threats to national revenue.

Beyond the petroleum sector, Shehu said the Commission was exploring additional revenue opportunities through partnerships with the Federal Airports Authority of Nigeria (FAAN) and the National Space Research and Development Agency (NASRDA), including the application of satellite and geospatial technologies.

He said the Commission had also improved its infrastructure through the rehabilitation of critical facilities, enhanced security systems and ongoing renovation of its headquarters.

Staff welfare, he added, had been prioritised through improved healthcare services, training programmes and capacity development aimed at strengthening the technical expertise of RMAFC personnel.

Shehu said the engagement with the Nigerian Guild of Editors was part of efforts to promote transparency and improve public understanding of the Commission’s constitutional mandate.

He reaffirmed RMAFC’s commitment to proactive communication, data-driven reforms and stronger collaboration with the media in advancing accountability in public finance.

In his vote of thanks, the Chairman of the Public Affairs and Communication Committee and Federal Commissioner representing Kwara State, Hon. Ismail Muhammed Agaka, commended the media for its role in strengthening democratic accountability.

Agaka reaffirmed the Commission’s commitment to sustained engagement with stakeholders.

Other members of the committee at the event included Hon. Peter Opara, Federal Commissioner representing Imo State; Hon. Ekene Enefe, representing Anambra State; Hon. Hadizatu Uwani Mustapha, representing Borno State; Hon. Ahmed Waziri Hassan, representing Adamawa State; Hon. Bob-Helen Inafa, representing Bayelsa State; Hon. Oti Nkechi Linda, representing Abia State; Professor Olusegun Adekunle Wright, representing Lagos State; and Hon. Victor Eboigbe, representing Edo State.