The Revenue Mobilisation Allocation and Fiscal Commission plans to adopt terrain type in states and local government areas as a principle in sharing revenue from the Federation Account.
This was contained in a statement signed by the Head, Public Relations, RMAFC, Ibrahim Mohammed, and released on Monday in Abuja.
According to the statement, the Horizontal Revenue Allocation Formula is to be included in the ongoing review of the current Revenue Allocation Formula.
It said Elias Mbam, the commission’s Chairman, said this when he addressed the opening of a three-day multi-agency meeting.
The statement said the meeting involved the Office of the Surveyor-General of the Federation and the National Boundary Commission.
It also said the Surveyors-General of the 36 states of the federation and the Federal Capital Territory attended the meeting.
“The meeting was convened to address complaints submitted by some of the states and local governments on the report on terrain types which was prepared by the OSGOF in 2007,” the statement said.
It said the meeting discussed the implications of the ruling of the International Court of Justice as it affected the land mass figures of some states and local governments.
“Mbam said the forum was also expected to advise the commission on the appropriate weights to be apportioned to each of the three terrain types,” the statement added.
This would be from the five per cent allocated to the terrain factor under the Horizontal Revenue Allocation Formula.
Mbam also reiterated the Commission’s desire to ensure fair and equitable implementation of all factors under the Horizontal Revenue Allocation Formula.
Chief Chris Adighije, RMAFC’s Indices and Disbursements Committee Chairman, said most of the factors hitherto used in allocating revenue to the constituent parts of the federation were socio-economic in nature.
Adighije said this was prior to the introduction of land mass and terrain as factors on the Horizontal Revenue Allocation.
“In applying these twin factors, the commission observed that terrain is a more significant variable of the two since it has primary effect on development costs and sometimes represents a constraint to development,” Adighije said.
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