The Attorney-General of the Federation (AGF) and Minister of Justice, Lateef Fagbemi, has hailed Thursday’s judgement of the Supreme Court affirming the financial autonomy of Nigeria’s local governments.
The judgement is a historic victory for the 774 local government areas, freeing them from the oppressive control of state governors, Mr Fagbemi said while addressing journalists at the State House in Abuja on Thursday.
Mr Fagbemi expressed his satisfaction with the judgement, noting the widespread public approval.
“I call it the ‘local government emancipation judgement’ because it truly frees local governments from past constraints. I hope local government officials will seize this opportunity to develop their areas,” Mr Fagbemi stated.
Local government autonomy issue
For over two decades, governance by most of the 774 local governments, the third tier and closest level of government to the grassroots, has been almost crippled in most states due to the governors’ withholding of the federal allocations belonging to them.
Traditionally, funds from the Federation Account meant for local governments have been released through state governments.
The AGF’s suit, filed in May, sought to bolster the independence of local governments by ensuring they get their federal allocations directly from the federal government, bypassing the state governors-controlled joint accounts.
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Mr Fagbemi argued that, by Nigeria’s constitution, only democratically-elected local government executives can administer local government funds, not the caretaker committees governors often set up after arbitrarily dissolving the elected officials.
The Supreme Court upheld all of the AGF’s prayers on Thursday, ordering the federal government to send federal allocations belonging to the local governments directly to them.
The Supreme Court’s decision is expected to alter governance and the administration of local governments remarkably, as it also stopped state governors from arbitrarily dissolving elected executives of local governments.
“The ball is in the governors’ court. The judgement is unambiguous about their obligations and the repercussions of failing to comply, which take immediate effect,” Mr Fagbemi said.
Governors speak
The Governor of Anambra State, Charles Soludo, welcomed the Supreme Court decision, describing it as a boon for grassroots development and poverty alleviation.
Although he had yet to review the full judgement, Mr Soludo said it would help to redirect resources to the local level.
“I haven’t seen the full document, but I’ve got snippets. Fundamentally, we need resources to reach the grassroots and ensure people’s money works for them at all levels, be it federal, state, or local (government),” Mr Soludo said.
He expressed commitment to transparency and accountability in public resource utilisation.
He also said the Anambra State was preparing to conduct local government elections.
“When I took office, I promised our people local government elections. We’ve passed the Independent Electoral Commission law to strengthen our institutions, and we’re preparing to organise these elections,” Mr Soludo said.
Also, the Governor of Cross River State, Bassey Otu, hailed the judgment.
“I don’t believe anyone opposes development at the local government level. While I haven’t read the full judgement, I trust its implementation will enhance our local government administration,” Mr Otu commented.
Atiku reacts
Former Vice President Atiku Abubakar described the verdict as “a win for the people of Nigeria.”
He also said the ruling is a step in the right direction and a major corrective action in greasing the wheels of national development across the country.
Criticising the existing arrangement for funding local governments, Atiku said disbursements of local councils’ revenues into the state government accounts was a decision that was borne out of politics of hasty compromise.
He added: “I also share the belief that fiscal autonomy to the local governments should not be limited to revenues from the Federation Accounts, but indeed, should apply to Internally Generated Revenue from the respective local government authorities.
“Many of our states, especially those in the ultra urban areas with high density economic activities, have become notorious in muscling local councils from generating revenue on items that border on motor parks, outdoor advertising, rents and many more.
“The verdict of the court is in tandem with the core functions of the Supreme Court as an arbitration court between and among governments.”
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