Editorial
Release Rivers’ $1.1bn Now
If the recent judgement of a Federal High Court in Abuja, ordering the Federal Government to pay both Rivers and Akwa Ibom States a total sum of $3.3 billion is anything to go by, Rivers State will soon be well-heeled and perhaps secure more funds for infrastructural development by a whopping $1.1 billion (N456,899,206,755.68 billion at an exchange rate of N409.94 per dollar).
The court, in a judgement delivered by Justice Taiwo Taiwo, specifically ordered that $1,114,551,610 be paid to Rivers State, while another sum of $2,258,411,586 be reimbursed Akwa Ibom State, being the amount they separately claimed against the Federal Government as share that ought to accrue to them from $62 billion recovered from oil companies. The court also awarded a post-judgement interest of 10 per cent in favour of the plaintiffs until the final liquidation of the judgement.
The money is entitlements of Rivers and Akwa Ibom States, based on the subsisting decision of the Supreme Court over production sharing contracts arising from the Deep Offshore and Inland Basin Production Sharing Contracts. Taiwo delivered the judgement in Suit No: FHC/ABJ/CS/174/2021 filed by the Attorneys-General of both states against the Attorney-General of the Federation.
Recall that in 2016, Rivers, Bayelsa and Akwa Ibom States, through their Attorneys -General, had sued the Federal Government at the Supreme Court, seeking a declaration that there is a statutory obligation imposed on the Defendant pursuant to Section 16(1) of the Deep Offshore Inland Basin Production Sharing Act, Cap.D3 Laws of the Federation of Nigeria 2004, to adjust the share of the Federation in the additional revenue accruing under the Production Sharing Contracts, if the price of crude oil at any time exceeds $20.00 per barrel.
Hence, the states had asked the court to declare that the failure of the Defendant to accordingly adjust the share of the Federal Government in the additional revenue in the Production Sharing Contracts, following the increase of the price of crude oil above 20.00 per barrel in real terms, constitutes a breach of the said Section 16 (1) of the Deep Offshore and Inland Basin Production Sharing Contracts Act, and has, therefore, affected the total revenue accruing to the Federation, and consequently, the total statutory allocation accruing to the Plaintiffs.
We feel ecstatically delighted at this historic judgement and commend the court for its courage in deciding the matter in the way it has gone. Specifically, we congratulate the Rivers State Governor, Chief Nyesom Wike, on this impressive victory and his audacity in instituting the suit with his Akwa Ibom counterpart, Mr Emmanuel Udom, first at the Supreme Court, and then the Federal High Court.
Beyond the legal victory, it is hoped that President Muhammadu Buhari will graciously accept the court’s decision and act as quickly as possible. Such a response will showcase him as the democrat he has always professed to be. Besides, it will promote the rule of law and encourage many other leaders who are consistently prone to disobeying court judgements to desist from the awkward practice.
Following the judgement of the Supreme Court and in compliance with the Attorney- General of the Federation’s advice, the Defendant constituted a body to determine the respective liabilities including the amount due to oil mineral producing states as derivation proceeds. The report of that body stated among others that Rivers and Akwa Ibom States were entitled to $1,114,551,610.00 and $2,258,411,586.00, respectively, as derivation proceeds.
However, the Attorney-General, without recourse to the governments of Rivers and Akwa Ibom States, unilaterally claimed to have settled with International Oil Companies (IOCs). We reject this move to manipulate the judgement of the court by the federal authorities. This is unacceptable. The court has already ruled on the matter and anything short of that cannot stand.
If the money is promptly released, Governor Wike, known to always intervene and fix many federal projects in the state, particularly roads and building of flyovers on federal roads, will certainly utilise the funds for that objective. From the Port Harcourt-Owerri Federal Road, Port Harcourt-Aba Road, Port Harcourt-Refinery-Onne Road to Federal roads within the City of Port Harcourt: Ikwerre, Azikiwe, among others, the evidence abound. These funds running into billions of naira could have been applied to other clutching needs and concerns of the state.
It is heartwarming that this good news has come when the state is in dire need of finance to satisfy her craving for more essential and developmental projects. Consequently, a better way to utilise the money is to set out a proper plan and procedures to effectively manage it. Indeed, the government and people of the state will be better off if there is a coherent blueprint detailing how the funds should be handled to procure tangible benefits to everyone.
Since there has always been a need to enhance the lives of Rivers people and alleviate poverty in the state, we are strong on the view that the money, when released, could be used for infrastructural projects. The state is in dire need of both hard and soft projects such as proper transport systems, power generation, security, agricultural development, education, workers’ welfare, pensions and gratuities, human capital development, health care, among others. Investing in these areas will create better and longer-term value.
Known for prudently managing the financial resources of the state, it is not in question that the governor has demonstrated that good governance is feasible where there is the political will to do so. There could not be a better way of satisfying the yearnings of the Rivers people and silencing political detractors than the governor’s landmark achievements in the state through key and economically viable projects. There is a need for Wike to lay a good foundation by completing all other viable and people-oriented inherited projects from his predecessors so that his successor would have a smooth sail in governance.
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
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