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States Tackle FG Over PIA
The 36 state governments met, yesterday, at the Federation Account and Allocation Committee (FAAC) meeting to review the Petroleum Industry Bill, which was signed into law, last Monday by President Muhammadu Buhari.
A top official of the Federal Ministry of Finance said the state governments had put the ministry on notice that they would state their grievances with the Petroleum Industry Act at the FAAC meeting.
Ahead of the FAAC meeting, the Nigerian Bar Association (NBA) advised the state governors to challenge the Act in court.
The FAAC consists of the Minister of Finance as chairman, all state commissioners of finance, state accountants-general, Accountant-General of the Federation and the Permanent Secretary in the Federal Ministry of Finance, who is the secretary.
It meets monthly to share revenues among the federal, state and local governments.
Reports had indicated that before the President signed the PIB, state governors had on August 10 written to ask him to withhold his assent.
According to the reports, the governors argued that the Petroleum Industry Act would deny the states their fair share from the Federation Account because it favoured the Federal Government and the Nigerian National Petroleum Corporation (NNPC), which would transform into a limited liability company.
Last Wednesday, a state official, stated, “The governors have directed their commissioners for finance to get a copy of the Act signed by the President. Obviously, the law will top the agenda of the FAAC meeting.
“State commissioners will raise the misgiving the states have about the law at the FAAC meeting and take a common position.”
When contacted, the Chairman, Forum of Commissioners of Finance, David Olofu, said members would meet and review the PIA.
Olofu, who is Benue State’s Commissioner for Finance, who spoke in Makurdi, confirmed that the FAAC meeting would hold, Thursday (yesterday).
He stated, “I am still trying to get to the crux of the Act so that I can review it; it is after I review it that I can make a statement. We are having the FAAC meeting today; we will get the law and review it and then get back to you.”
The Publicity Secretary of the Nigerian Bar Association, Rapulu Nduka, noted that people in different parts of the country had been making comments on the provisions of the PIA, adding that some of them were feeling short-changed.
He stated, “Lawmaking is one of the responsibilities of the legislature and since there are legislators from all states of the federation, then there should be proper representation.
“The purpose of having legislators from all states is that they should be able to debate laws before they are passed in order to ensure that those laws are made in the interest of every region.
“If the governors believe that some parts of the Act are unconstitutional, then by all means, let them approach the courts. They should go to court to challenge the aspects, which they believe are unconstitutional.”
Also, a Senior Advocate of Nigeria, Babatunde Ogala, stated, “This is a law that has been in the works for a very long time. We are not oblivious to the reservations of different commentators and groups, especially in the South-South.
“I believe it is a step in the right direction since we now have three per cent, where we once had nothing. However, the Act can still be amended if it proves to be unsatisfactory.”
A Senior Advocate of Nigeria, Chief Mike Ozekhome, last Wednesday, called on state attorneys general to challenge the Federal Government on the PIA.
Ozekhome, faulted the decision of the President to sign the law, and called on state attorneys general to challenge the Federal Government at the Supreme Court.
He said, “The entire Act is a mere ruse in monstrosity, artifice and design, carefully crafted, incubated and delivered to actually do irretrievable violence to the principles of federalism and the doctrine of separation of powers ably propounded in 1748 by Baron de Montesquieu, a great French philosopher.
“The Act seeks to frontally attack Section 162 of the 1999 Constitution, which provides that all revenues accruing to the federation shall be paid into a Federation Account from which sharing shall be made among the three tiers of government.
“This is unconstitutional and it must be struck down in accordance with Section 1(3) of the 1999 Constitution of Nigeria. In a sane clime, the cash cow, the NNPC, ought to be unbundled to make it more productive, transparent and accountable to the Nigerian people.
“But most curiously, the Act has strengthened its hand of non-accountability and non-responsibility.
“How can the Federal Government alone have shares in the only viable cash cow of Nigeria to the total exclusion of the other three tiers of government, major stakeholders, oil-bearing communities and the long-suffering people of the Niger Delta?
“How can an Act of Parliament, rather than assuage and ameliorate the sufferings of a beleaguered people, further compound them by reaffirming the people’s perilous status as slavish hewers of wood, drawers of water, masseurs of ego and side-line onlookers in the exploitation and use of their God-given wealth through their natural resources?
“The 36 state attorneys general should immediately approach the Supreme Court and challenge the Federal Government’s impunity and the act of exclusive lawlessness and legislative rascality by invoking the original jurisdiction under Section 233 (1) of the 1999 Constitution.”
President of the Senate, Dr Ahmad Lawan, last Wednesday, gave an insight into what the National Assembly did to get the PIB.
Lawan disclosed the strategy adopted by the 9th National Assembly while answering questions from journalists shortly after a brief ceremony at the Presidential Villa.
The Senate President said, “Everyone knows that the Petroleum Industry Bill suffered a lot of hiccups in the National Assembly previously but when we came in 2019, both chambers identified the passage of the PIB as one very strong, fundamental, critical and strategic bill that we must pass within the life cycle of this 9th National Assembly.
“And by the Grace of God, we redefined the way to go about it because we would have learnt from the mistakes of the past on the issue. And what we emphasised and that worked for us to achieve what we did was to ensure that we work very closely with the executive arm of government right from the conception of the bill itself.”
The Administrator of Rivers State, Retired Vice Admiral Ibok-Ete Ekwe Ibas, has assured the commitment of Rivers State government to workers’s welfare and industrial harmony in Rivers State.
The Sole Administrator gave the assurance after meeting with leadership of organized labour unions at the Government House, Port Harcourt on Wednesday.
Ibas reaffirmed government’s policy of prompt payment of salaries and pensions to workers and retirees, stating that all local government employees are not receiving the approved minimum wage.
He disclosed that approval has been given for payment of newly employed staff at Rivers State University Teaching Hospital and the Judiciary, while medical workers in Local Government Areas will now receive correct wages.
Ibas explained that, Government is reviewing implementation challenges of the Contributory Pension Scheme ahead of the July 2025 deadline, adding that Intervention buses have been reintroduced to ease workers’ transportation ,with plans to expand the fleet.
He said specialized leadership training for top civil servants will commence within two weeks, while due consideration is being given to implementing the N32,000 consequential adjustment for pensioners and clearing outstanding gratuities.
Ibas commended Rivers State workers for their dedication to service and called for sustained partnership with labour unions to maintain industrial peace.
“This administration recognizes workers as critical partners in development. We remain committed to addressing your legitimate concerns within available resources,” he stated.
The State NLC Chairman, Comrade Alex Agwanwor, thanked the Administrator for the steps taken so far with regard to workers welfare while appreciating his disposition towards alleviating the transportation problem faced by workers.
He also expressed appreciation for the government’s openness to dialogue and pledged continued cooperation towards achieving mutual goals.
The Rivers State Government assured all workers of its unwavering commitment to their welfare and called for continued dedication to service delivery for the collective progress of our dear State.
The Nigeria Labour Congress (NLC), Rivers Council, has called for policies that will improve the economic situation of the country in order to ensure enhanced living standard for workers.
The State Chairman, Mr Alex Agwanwor, made the remark on behalf of the unions affiliated to Labour Congress during the 2025 workers day celebration in Port Harcourt, yesterday.
Agwanwor highlighted the demands of the Unions which included the immediate payment of pension arrears, implementation of the N32,000 minimum wage for pensioners, and payment of gratuities and death benefits without further delay.
“We are calling for the regulation and protection of e-hailing drivers, implementation of increments and promotions, and resolution of long-standing issues in the polytechnic sector,” he said.
Agwanwor on behalf of the unions appealed to President Bola Tinubu to reinstate the democratically elected Governor, Deputy Governor, and members of the Rivers State House of Assembly.
He stressed the importance of democratic governance and good working relationship with elected representatives.
According to him, the unions expressed disappointment over the imposition of taxes, increase in electricity tariff, and high cost of goods and services, which have further worsened the plight of workers.
“We urge the federal government to take measures to alleviate the suffering of citizens,” he said.
Vice-President Kashim Shettima says President Bola Tinubu is committed to unlocking Nigeria’s full potential and position the country as a leading force on the African continent.
Shettima stated this when he hosted a delegation from the Hertie School of Governance, Berlin, led by its Senior Fellow, Dr Rolf Alter, at the Presidential Villa in Abuja last Wednesday.
He said Nigeria was actively seeking expertise from the global best institutions to enhance policy formulation and implementation, particularly in human capital development.
The Vice-President noted that President Tinubu was determined to elevate Nigeria to its rightful position as a leading force in Africa.
“The current crop of leadership in Nigeria under President Bola Ahmed Tinubu is ready and willing to unleash the full potential of the Nigerian nation on the African continent.
” We are laying the groundwork through strategic reforms, and at the heart of it, is human capital development.”
He described the Hertie School as a valuable partner in the journey.
According to him, Hertie School of Governance, Berlin, has track record and institutional knowledge to add value to our policy formulation and delivery, especially in this disruptive age.
Shettima reiterated the government’s priority on upskilling Nigerians, saying ” skills are very important, and with our Human Capital Development (HCD) 2.0 programme.
“We are in a position to unleash the full potential of the Nigerian people by enhancing their capital skills.”
The Vice-President acknowledged the vital support of international development partners in that effort.
” I want to thank the World Bank, the European Union, the Bill and Melinda Gates Foundation, and all our partners in that drive to add value to the Nigerian nation,” he maintained.
The Vice-President said human capital development was both an economic imperative and a social necessity.
Shettima assured the delegation of the government’s readiness to deepen cooperation.
” We need the skills and the capacity from your school. The world is now knowledge-driven.
“I wish to implore you to have a very warm and robust partnership with the government and people of Nigeria.”
Shettima further explained recent economic decisions of the government, including fuel subsidy removal and foreign exchange reforms.
“The removal of fuel subsidy, the unification of the exchange rate regime and the revolution in the energy sector are all painful processes, but at the end of the day, the Nigerian people will laugh last.
“President Tinubu is a very modern leader who is willing to take far-reaching, courageous decisions to reposition the Nigerian economy,” he added.
Earlier, Alter, congratulated the Tinubu administration for the successful launch and implementation of the Human Capital Development (HCD) strategy.
The group leader described the development as ambitious and targeted towards the improvement of the lives of the citizens.
He expressed satisfaction with the outcome of his engagements since arriving in the country.
He applauded the zeal, commitment, energy and goodwill observed among stakeholders in the implementation of Nigeria’s HCD programme.
Alter said the Hertie School of Governance would work closely with authorities in Nigeria across different levels to deliver programmes specifically designed to address the unique needs of the country.
He, however, stressed the need for government officials at different levels to be agile and amenable to the dynamics of the evolving world, particularly as Nigeria attempted to successfully accelerate its human capital development aspirations.