By Lincoln G. Peters
Monrovia, July 16, 2026: The Senate Joint Committee on Lands & Mines and Concession & Investment has raised concerns about the nonpayment of counties’ concession shares of funds received from concessions operating in Liberia.
These funds have been paid to the government’s consolidated account for disbursement to the affected counties but have reportedly not reached their intended destinations.
On July 14, 2026, Senator Simeon B. Taylor of Grand Cape Mount County, Chair of the Senate Committee on Lands & Mines, and Senator Numene T.H. Bartekwa of Grand Kru County, Chair of the Senate Committee on Concession & Investment, wrote to the Senate Plenary through Pro-Tempore Nyonblee Kangar-Lawrence.
The letter requested the appearance of representatives from the Ministries of Finance & Development Planning, Local Government, and the Liberia Revenue Authority (LRA).
The purpose of the request is to have the ministries and the LRA appear before the Senate Plenary to provide a detailed report on the status of Cape Mount’s share and other counties’ shares of funds received from concessions, as stipulated by law.
According to the Communication, on June 22 and 29 2026, respectively, separate letters of invitation were sent to the entities mentioned above by the Joint Committee comprising the Committees on Lands & Mines and Concession & Investment.
Furthermore, in both letters of invitation, the Joint Committee requested the three (3) entities to appear for the purpose of holding discussions on the status and effective implementation of Part IV of the Local Government Act entitled: Natural Resource Revenues Sharing and Sections 4.1, 4.2, 4.3, 4.3.1, 4.3.2, 4.3.3 and 4.3.4 thereof.
The committee stated in its communication, read on the floor of the Senate, that Part IV and related sections of the Local Government Act require the Central Government to remit a percentage of revenues generated from concessionaires to the counties, including those hosting concession operations.
The Joint Committee indicated that effective implementation of these provisions is important for county development and requested the Senate’s intervention for a full report on the status of the funds.
What does Concession Sharing Law Say:
Part IV: Natural Resource Revenues Sharing. 4.1. Sources of Natural Resource Revenue mandates the payments to the central government by a natural resource concessionaire for exploration of a natural resource shall constitute the sources of natural resources revenue, except income taxes It includes but not limited to, iron ore operations, gold and diamond operations, oil and gas operations, and agricultural and forestry operations
4.2. Establishment of a Transitory Account calls for a Transitory Account: A transitory Account is hereby established at the Central Bank of Liberia into which the collection of all payments from natural resources operations shall be initially deposited. Notably, the revenues from the transitory account shall be distributed to the Consolidated Account for Central Government and the General Funds for each county and affected communities
4.3. Distribution of revenue from Natural Resources between the Central Government and Local Governments
The revenues collected from natural resources shall be shared between the Central Government and Local Government under the derivative-bused model. All funds allocated to the local government under the derivative-bused model shall be distributed to the sub-local government units using the indicator-based model. The distribution based on the derivative-based model shall be as follows:
4.3.1. Ten percent (10%) of the natural resource revenues shall be transferred from the Transitory Account directly to the General Funds of the affected county. This revenue shall be allocated between the local government and the sub-local government units as determined by the LGFB using the indicator-based model as published in the Annual Budget Law and distributed monthly along with the non-natural resource revenue.
4.3.2. Twenty-five percent (25%) to all the fifteen (15) Local Governments, including the county of origin. The revenue shall be allocated amongst the 15 counties as determined by the LGFB using the indicator-based model as published in the Annual Budget Law and distributed monthly along with the non-natural resource revenue.
4.3.3. Sixty percent (60%) to the Central Government towards its general revenues and shall be transferred to the General Revenue Account: and
4.3.4 Five Percent (5%) to communities and/or counties affected by the exploitation and transportation of the natural resource for shipment overseas or processing within Liberia.
The revenue shall be transferred from the Transitory Account directly to the General Funds of each of the affected county (ies) in their proportion using the indicator-based model as determined by the LGFB.
4.4. Distribution Frequency
The committee asked that the matter be elevated to the full Senate Plenary so that the relevant ministries and agencies can provide a detailed explanation of the status and implementation of Part IV of the Local Government Act regarding natural resource revenue sharing.
