Prof Mike Ozekhome, the Senior Advocate of Nigeria, has lauded the judgment of the Supreme Court on recent judgement on July 11, 2024, which directed the Federal Government to pay allocations due to Local Government Areas directly to their accounts, abolishing the old practices of State-Local Government Joint Account.
Ozekhome believes the judgement is timely and courageous, as it interprets section 162 of the Constitution, which provides for a joint State-Local Government Account.
He believes that state governors have been way-lapping local governments’ funds along the way, impoverishing them and leaving them with little to work with.
The Apex Court’s decision to grant full financial autonomy allows money to be released and paid directly to the 774 local government councils, which constitute the third tier of government.
”This will allow LGs to breathe some air of freedom and allow overbearing state governors to focus on developing their places. Nigeria operates a lopsided federation, more like a unitary system of government, where the federal government controls 67 items on the exclusive legislative list, resulting in the federal government receiving 52.68% of the national income” Ozekhome stated.
Ozekhome questions the federal government’s role in controlling almost 53% of the national income, as it is overloaded and overpampered.
The federal government is over-bloated and overpampered, using too much money and making the centre too attractive, eating deep into funds meant for states and local government areas.
”The judgment is seen as epochal, having far-reaching effects because money will now be made available directly to local government areas which will no longer be subservient”. he stated.
The Supreme Court also stated that no state government has the power to dissolve local government areas, as previous cases have shown that states often dissolve local government areas without proper authorization. The Supreme Court has declared that no state government should ever be able to dissolve any local government area in Nigeria for any reason.
The judgement is salutary, timely, and regenerative, and should be upheld by all governments and people in Nigeria for better democratic dividends. It is seen as a victory for Nigeria’s democracy.
FRCN