MAKINDE ACCUSES FG OF WITHHOLDING NLNG FUNDS UNTIL AFTER 2027, DEMANDS ACCOUNTABILITY

A fierce dispute has erupted between Oyo State Governor Seyi Makinde and the Presidency over the alleged withholding of Nigeria Liquefied Natural Gas (NLNG) dividends, with Makinde accusing the Federal Government of delaying N250 billion per state until after the 2027 election and the Presidency dismissing the claim as mathematically impossible.

The NLNG dividend dispute has become a flashpoint in the run-up to the 2027 election, with Makinde, the presidential candidate of the Allied Peoples Movement, positioning himself as a champion of fiscal accountability.

MAKINDE’S ALLEGATION

Makinde raised the allegation on Friday at the 2027 Budget Stakeholders’ Consultative Engagement held at the University of Ibadan.

“They fooled us. The Nigeria LNG paid dividends to the Federal Government, which went straight into the Federation Account, but they spent it,” Makinde said.

He stated that the amounts due to the states had been reconciled and that each state was expected to receive more than N250 billion.

“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. Is the election more important than the people of Nigeria?” he asked.

THE PRESIDENCY’S RESPONSE

The Presidency, through the Special Adviser to the President on Information and Strategy, Bayo Onanuga, issued a statement on Sunday dismissing Makinde’s claim as “false” and inconsistent with the company’s financial records.

Onanuga argued that distributing N250 billion to each of Nigeria’s 36 states would amount to N9 trillion, excluding the Federal Government, the FCT and the 774 local government areas.

“Under the Federation Account Allocation Committee (FAAC) formula, states receive 26.72 per cent of the distributable Federation Account revenue. For the states’ share alone to reach N9 trillion, total NLNG dividends paid into the Federation Account would have to exceed N33.68 trillion (about $25 billion) in a single declaration,” the statement read.

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

The Presidency disclosed that NLNG had paid approximately $21.5 billion in dividends to the Federation over 25 years, with less than $3 billion received since Tinubu assumed office in May 2023.

“Therefore, any claim that a single payout exceeds the company’s entire lifetime distribution to the Federation, and is being withheld—defies basic logic and economic reality,” Onanuga said.

He also criticised Makinde’s public conduct, urging him to desist from making “falsehoods and disinformation the hallmarks of his campaign”.

THE POLITICAL CONTEXT

The dispute is not merely economic. It is deeply political.

Makinde is the presidential candidate of the Allied Peoples Movement for the 2027 election. His allegation that the Federal Government is withholding funds until after the election is a direct challenge to the Tinubu administration’s fiscal credibility .

The Presidency’s response, which included a detailed mathematical rebuttal, suggests that it views Makinde’s claim as a serious political threat that requires a substantive response, not merely a dismissal.

WHY IT MATTERS

At the heart of the dispute is a question of accountability: what happened to Nigeria’s NLNG dividends?

The Presidency says the amounts claimed by Makinde are impossible. Makinde says the funds have been spent or withheld. Neither side has provided a full, transaction-by-transaction reconciliation of the NLNG dividend payments.

For Nigerians, the dispute is a reminder that the management of the country’s commonwealth remains opaque. Whether Makinde’s figures are accurate or not, the demand for transparency in the handling of NLNG dividends is legitimate.

ValidViewNetwork reports that the Presidency has dismissed Makinde’s claim. Makinde has not yet responded to the Presidency’s statement.