The Nigeria Extractive Industries Transparency Initiative (NEITI) will commence a comprehensive and independent audit of the fiscal allocation and statutory disbursements of the extractive industries revenue funds from the federation account to Nigeria's three tiers of government.
The audit will amongst other objectives establish how funds from the account were distributed and received by the federal, state and local government councils.
A statement from NEITI in Abuja stated that the Federal Executive Council (FEC), presided over by President Goodluck Jonathan, approved the project at its last meeting on Wednesday, November 28.
NEITI said in the statement that the audit was equally designed to provide base line information and data to the three tiers of government on the basis of computation of who gets what, how and why.
It added that the exercise would also explain if each of the three tiers gets from the funds their actual due.
NEITI also noted that the audit is expected to review policies and procedures in the disbursement and utilization of extractive revenue funds by the three tiers of government and that major agencies to be covered by it include the Niger Delta Development Commission (NDDC), Petroleum Development Technology Fund (PDTF), Central Bank of Nigeria (CBN) and the Federal Government's share of derivation and ecology funds.