Group urges Tinubu to address imbalances in federal policies

The Anti-Corruption and Research-Based Data Initiative, on Monday, urged President Bola Tinubu to address longstanding imbalances in Nigeria’s federal policies, including the quota system, federal character principles, and derivation formulas.

The group called for a comprehensive review of these policies to ensure equity, fairness, and justice for all regions of the country.

In a statement issued by its Chairman, Board of Trustees, Ifeanyi Ozigbo, ARDI highlighted persistent inequalities in these policies, claiming they have hindered national progress and created an uneven playing field between the North and South.

“The Anti-Corruption and Research-Based Data Initiative is requesting President Bola Ahmed Tinubu to review some of the existing inequitable policies, such as the quota system, federal character principles, and the non-derivation sharing formula currently practised in the federation, to ensure equity, fairness, and justice for all components of the country,” the statement read.

“These policies have created significant imbalances between the North and the South, favouring inefficiency, encouraging laziness among governors, and discouraging hard work.”

ARDI also urged the president to consider the concerns of the North regarding the proposed tax reform bills, advising extensive consultations to capture diverse perspectives.

The group expressed the North’s apprehension about potential revenue reductions from the Federation Account under the proposed VAT sharing formula, which it said appeared to favour metropolitan cities and resource-rich regions.

ARDI further acknowledged grievances in the South regarding policies like the quota system and federal character principles, which it argued often prioritise less qualified individuals from one region over more qualified individuals from another. Civil service promotions were cited as a key example of these inequalities.

On derivation, ARDI criticised the current formula, stating that oil-producing states bear disproportionate environmental burdens yet receive only 13 percent of derivation funds. The group proposed increasing the percentage to at least 60 percent, arguing that this would address environmental devastation while promoting fairness in revenue sharing.

The statement also stressed that every state possesses natural resources, and a fair derivation formula would encourage innovation and resource utilisation across the country.

“We believe this is an opportunity to correct these imbalances,” ARDI stated. “The fears of the North should be considered, as well as the concerns of the South, because what is good for the goose is also good for the gander.

“The tax reform bill may not be perfect, but it can promote healthy competition among the federating units if implemented equitably. Mr President should consult widely to address the fears of the North and also take steps to address the South’s concerns regarding the quota system, federal character, and derivation formulas. We need a federation that is fair to all regions,” the group concluded.