Editorial
Still On Fiscal Federalism
Former president of the Nigeria Bar Association and a Senior Advocate of Nigeria, Chief Olisa Agbakoba, recently expressed popular sentiment among reputable Nigerians, when he backed his determination to institutionalise a truly Fiscal Federation in post golden jubilee Nigeria by sending a bill to the National Assembly.
With a title: “An Act to Alter the Constitution of the Federal Republic of Nigeria, 1999…” Agbakoba has appealed to the Seventh National Assembly to amend the Constitution to reflect true federalism with the Federal Government wielding limited powers and responsibilities.
In the Bill, Agbakoba, among others, is seeking for the devolution of powers from the centre to the federating units in items such as health, education, agriculture, commerce and industry, transportation, prisons and police, housing and property development, land administration and management, including the mining of the minerals therein, among others.
Agbakoba’s logic, we believe, is in tandem with some of the yearnings of President Goodluck Jonathan’s Presidency, which we are aware, is currently consulting stakeholders on a whole range of issues in his proposed Constitutional amendment. The president’s proposal is said to include between 30 and 50 amendments in the provisions of the Constitution, encompassing the six-year single tenure for president, and governors, abolition of joint state-local government accounts, constructive true federalism, removal of prison management from the exclusive list, and new revenue allocation formula, among others.
The Tide agrees with both Agbakoba and Jonathan, among several other notable Nigerians, that a true federation cannot merely allocate pitance in funds to the federating units, and keep a bulksome without consciously devolving more powers to them. The truth of the matter is that the quasi federal system Nigeria operates today is not delivering the required dividends to the people because the centre is too heavy, indolent and corrupt.
We believe that many Nigerians are united over the need and the push to revert to the status quo ante and make Nigeria live the true meaning of a federal state, as in pre-1966 Nigeria. This is because, among politicians, labour leaders, lawyers, businessmen, human rights activists and other professionals, the direction is the same: There is a glaring awareness that ensuring fiscal federalism would be the yawning imperative Nigeria cannot do without, not only for socio-economic and political stability, but for the much-sought-after rapid development.
The Tide holds that the present concept of federal arrangement is retrogressive and lacks competitiveness. In fact, it is a direct opposite of what the founding fathers envisioned for the country at birth.
The concept of fiscal federalism was first introduced in Nigeria in 1946, following the adoption of the Richards Constitution. The period 1947-52 marked the beginning of the recognition of sub-national governments during which financial responsibilities were devolved to the three regions-North, West and East.
At independence in 1960, these three regions were clearly autonomous and controlled their primary resources, and thus, were able to generate ample revenue individually. From 1960 to 1966, the same constitution gave the federating regions so much powers that left the central government with barely 15 per cent of the nation’s earnings.
It was this system, as provided for in the nation’s constitution, that laid the foundation for the rapid socio-economic development witnessed in the regions during the First Republic. Unfortunately, that giant stride that could have put the country firmly in the league of developed nations of the world, was jettisoned as soon as the military took over the reins of governance, using the civil war as justification for the revision of that fiscal formula.
Today, there are 36 states and the Federal Capital Territory (FCT) with a near status of a state and 774 local governments recognised by the Constitution. If ethnic-based resource control, which has for years powered calls for a sovereign national conference is unacceptable, then the only choice left is to use the existing states and local governments as the federating units.
The Tide believes that Jonathan can rework Nigeria by the mock federal arrangement, which has been variously and derogatorily described as ‘lopsided’, ‘quasi’ federal structure to function like a truly federal system of government in which the federating units control their resources and pay taxes to the centre. That way, the Federal Government focuses on such exclusive issues as national security and defence, foreign policy, currency minting and monetary policy, among other limited concurrent responsibilities.
If Jonathan achieves these, in addition to ensuring 24-hour uninterrupted power supply, then, Nigeria is on the threshold of history, and indeed, transformation.
Editorial
Checkmating ‘One-Chance’ Menaces In PH
Editorial
That Oshiomhole’s Call On FG’s Road Projects
There are moments in the life of a legislature when plain speaking becomes a public service. Senator Adams Oshiomhole provided such a moment on the floor of the Senate when he accused the Minister of Works, Senator David Umahi, of manifestly neglecting critical federal arteries in Edo and Delta States, and implored his colleagues to prevail on the Minister to adopt a more equitable and genuinely national approach to road infrastructure delivery. It was blunt, it was uncomfortable, and it was necessary.
The specifics of his complaint deserve restating. Drawing attention to the recent approval of some 20 new road projects despite the parlous state of existing ones, the former Edo State governor lamented that Nigerians cannot travel from Benin to Warri, Benin to Asaba, Benin to Auchi, or Auchi to Okene without encountering severe distress. He alleged a deliberate omission of these corridors from the national budget in the last three years, save for palliative interventions directed by President Bola Tinubu through tax credit arrangements. His question — “What have we done wrong?” — resonates far beyond the chambers of the National Assembly.
We lend our full and unequivocal support to that call. The Auchi-Benin Road, for instance, has been in a deplorable and near-impassable condition for several years, turning what should be a two-hour journey into an all-day ordeal of broken axles, extortionate fares, and despondent commuters. The media have, on multiple occasions, chronicled the suffering of motorists, traders, and students who ply that route. To describe it as a federal road today is to stretch the meaning of the term beyond recognition.
This pattern of sidelining is not confined to Edo or Delta. Even here in Rivers State, the disposition of the Federal Ministry of Works has left much to be desired, particularly along the Eleme axis of the East-West Road. That road, which ought to be a flagship of federal presence in the Niger Delta, has remained in a wretched state for long. Those who use it daily — workers at the Eleme Petrochemical Complex, the two refineries, Onne Port, and the countless ancillary industries — can attest to its deterioration. Work has proceeded in fits and starts without the sustained urgency such a strategic road demands.
The Eleme stretch is not a mere intra-state byway. It is the gateway to the nation’s economic jugular. According to the Federal Ministry of Works and Housing’s 2023 Highway Condition Survey, only about 35 per cent of the country’s 36,000 kilometres of federal roads are rated as being in good or fair condition, with the remainder classified as poor or very poor. The East-West Road, conceived in the 1970s to bind the entire Niger Delta, remains unfinished in critical sections more than four decades after. If it had been treated as a priority, the perennial gridlock, carnage, and economic loss on the Eleme-Refinery junction would have long been consigned to history.
The irony is as painful as it is glaring. The Niger Delta remains the goose that lays the golden eggs. Data from the Nigeria Extractive Industries Transparency Initiative [NEITI 2023 Oil and Gas Audit] show that the region still accounts for over 78 per cent of Nigeria’s federally collected export earnings and about 65 per cent of total government revenue. The National Bureau of Statistics [NBS Foreign Trade Report Q4 2024] similarly confirms that crude oil continues to dominate export receipts. By every metric of equity and economic logic, a region that sustains the national purse deserves first-rate consideration in the allocation of infrastructure, not afterthoughts and tokenism.
Road infrastructure is not largesse to be dispensed by favour; it is the skeleton upon which commerce, cohesion, and citizenship hang. When contracts are concentrated in one geopolitical zone while other zones are left to contend with craters, it erodes trust in the federation itself. The World Bank’s Nigeria Development Update [June 2023] estimated that poor transport connectivity inflates the cost of moving goods by up to 40 per cent and costs the Nigerian economy an estimated $1.5 billion annually in lost man-hours and vehicle maintenance. If we profess to be one country, then equity must be the compass that guides key institutions before any project is executed. Development must spread round, not pool in one place as though other regions do not matter.
There is also a grave security dimension that can no longer be ignored. The deplorable condition of federal roads has become a veritable enabler of criminality. The NBS Crime Experience and Security Perception Survey reported over 2.5 million incidents of kidnapping-related occurrences nationally, with transport workers identifying bad road spots as prime ambush points. When vehicles are forced to crawl at 10 kilometres per hour through failed sections at Auchi, Sapele Road, or Eleme, they become sitting ducks for armed gangs. Fixing bad roads, therefore, is not merely about convenience; it is about safeguarding lives.
By his intervention, Senator Oshiomhole has hit the nail on the head and reminded Minister Umahi of a fundamental constitutional truth: public office is held in trust. The Ministry of Works is not a personal estate where contracts are awarded according to whim or political convenience. It is a national institution funded by the collective resources of Nigerians, including the oil and gas rents from the very communities whose roads are now neglected. The Minister must demonstrate balance, transparency, and a pan-Nigerian outlook in the distribution of projects that impact the daily existence of citizens. Selective neglect breeds suspicion, and suspicion is corrosive at a time when the nation is preaching unity, oneness, equity, and justice.
Consequently, the National Assembly must go beyond rhetoric and assert its oversight powers with vigour. Sections 88 and 89 of the 1999 Constitution [as amended] empower the legislature to investigate and expose any maladministration in the execution of federal projects. If an office holder is not acting rightly, it is the duty of the Senate and the House of Representatives to call him to order. Oversight must not be reduced to budget approval ceremonies; it must translate to field verification, public hearings, and insistence that the Federal Character principle, as enshrined in Section 14(3) of the Constitution, reflects in road awards.
Let the Auchi-Okene, Benin-Warri, Benin-Asaba, and Eleme East-West gangways be restored to motorable dignity. Let priority be given to completing existing, economically vital roads before embarking on new ones. If those who, through their resources, sustain the federation are sidelined in the distribution of tangible dividends, it tells poorly of our nationhood. Bad roads must be fixed, and they must be fixed now, with fairness as the guiding standard.
Editorial
Making Rivers’ 2026 Budget Count
-
News2 days agoRSG Targets Nine Million Residents in Mosquito Net Distribution Campaign
-
Oil & Energy2 days agoAiyedatiwa Signs New Electricity Bill
-
Oil & Energy2 days agoNLNG Commissions Research And Innovation Centre In RSU
-
Maritime2 days agoMarine Minister Commends President Tinubu On NPERA Bill Assent
-
News2 days agoKenPoly Holds Eight Convocations, August 29
-
News2 days agoRSG Begins Another Phase of Projects Commissioning Today
-
News2 days agoRMAFC Completes Revenue Sharing Review, Proposes New Pay
-
Maritime2 days agoNAGAFF Petitions IGP Over Alleged Maritime Police Harassment
