Local Government Autonomy Hits Roadblock as Governors Resist Direct Allocation
The implementation of the Supreme Court judgment granting full autonomy to Nigeria’s 774 local governments has encountered significant resistance from some state governors.
Despite the court’s ruling nearly nine months ago, these governors are now warning their council chairmen against opening accounts with the Central Bank of Nigeria (CBN) for direct allocation payments.
Governors’ Opposition to CBN Accounts
According to investigations by The PUNCH, several governors are using intimidation and coercion to dissuade their local government chairmen from opening CBN accounts. This move is seen as an attempt to maintain their access to local government funds.
One local government chairman revealed that a governor in the South-East region refused to accept a deal where 50% of the monthly allocations would be remitted to him in exchange for allowing direct payment into the CBN account.
Challenges in Implementing Autonomy
The process of opening CBN accounts for local governments has faced delays, with the CBN and local governments trading accusations.
The immediate-past Account-General of the Federation, Oluwatoyin Madein, and the Attorney-General and Minister of Justice, Lateef Fagbemi, SAN, have begun discussions on the modalities for opening these accounts. However, identifying local governments with democratically elected officials remains a challenge.
Progress in Delta State
In a rare instance of cooperation, Delta State’s local government areas have submitted their account details, paving the way for direct allocation payments.
This move could serve as a model for other states, but the resistance from most governors threatens to undermine the implementation of the Supreme Court judgment.
Implications of Governors’ Resistance
The governors’ opposition to the CBN accounts is rooted in their desire to maintain control over local government funds. By resisting direct allocation payments, they may be attempting to preserve their influence over local government affairs.
However, this resistance could have far-reaching implications for the autonomy of local governments and the effective implementation of the Supreme Court judgment.
Next Steps
The Federal Government’s commitment to implementing the Supreme Court judgment remains unchanged, despite the challenges. The panel set up to ensure the implementation of local government autonomy will likely continue to work towards finding solutions to the current impasse.
As the situation unfolds, the fate of local government autonomy in Nigeria hangs in the balance, with the potential for significant implications for the country’s governance structure.
