16th February 2019
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States in former Upper Nile not getting 5% oil share -Governor

Author : Alhadi Hawari | Published: 2 years ago

The new states created from the former Upper Nile are not receiving their share of oil revenues due to the current conflict, the Governor of Northern Upper Nile has said.

Deng Akuei Kak told Eye Radio that the former Upper Nile State used to receive five percent of revenues of oil produced from the oilfields in the state.

Mr. Deng said the money used to be divided between the state and the county.

“The percentage of 3 percent is going to the county which is producing the oil and the 2 percent is going to the whole state. This thing is there but due to the security crisis in the country, this percentage is not accounted,” said Akuei.

He said the new states are not receiving the money anymore, although the share remains in the official documents of the Ministry of Finance.

“This percentage is there in the national Ministry of Finance as a figure, it is not going to the state because the price of oil is very little and our country is in need of these percentages. We know the situation of our country and we are part of it,” he said.

After the conflict began in 2013, oil production reduced from about 240,000 barrels per day to 130,000 nowadays.

The reduction in production also coincided with the decline in oil prices at the world market.