ABUJA, Nigeria — A prominent Niger Delta environmental and human rights activist, Chief Mulade Sheriff, PhD, has urged President Bola Ahmed Tinubu to immediately halt the direct payment of 13 per cent oil derivation funds to oil-producing state governments, warning that decades of corruption and mismanagement have left host communities poorer and underdeveloped.
Instead, Mulade is calling for the funds—worth trillions of naira over the years—to be redirected into federally coordinated, transparent mega development projects across the Niger Delta.
In a statement issued Wednesday, January 7, 2026, the activist argued that the original purpose of the derivation policy has been largely defeated, as many oil-bearing communities continue to suffer from poverty, unemployment, environmental degradation, and lack of basic infrastructure, despite massive financial allocations.
“The 13 per cent derivation fund was designed to bring development and relief to oil-producing communities, but sadly, that objective has been largely defeated,” Mulade said. “What we see today is massive diversion, mismanagement and misappropriation of these funds, with little or no impact on the lives of ordinary people in the creeks.”
Mulade, who is the Ibe-Serimoowei of the oil-rich Gbaramtu Kingdom in Delta State, proposed a bold policy shift that would see derivation funds invested in large-scale, independently monitored projects focusing on coastal protection, environmental remediation, roads and bridges, healthcare, education, and youth employment.
He stressed that such projects should be executed through special-purpose development frameworks, backed by strong community participation, credible oversight, and clear performance benchmarks, to ensure accountability and value for money.
According to him, redirecting the funds would not only deliver visible development but also address the root causes of insecurity, oil theft, and pipeline vandalism in the region.
“Rather than sharing money that disappears into private pockets, let us invest in life-changing projects that will stand the test of time and create jobs for our youths,” he said.
The activist also called on the National Assembly to support constitutional and policy reforms that would allow for more effective use of derivation funds in the direct interest of oil-bearing communities.
Mulade expressed confidence that, with political will and transparency, the Tinubu administration could reset the Niger Delta development narrative, reduce unrest, and restore public trust in the management of Nigeria’s oil revenues.
NIM
