Niger Delta
MOSOP-USA Flays Federal Allocation Sharing Mentality By States …Supports Full Financial Autonomy For LGs
A socio-ethnic movement in the Niger Delta of Nigeria, the Movement for the Survival of the Ogoni People USA (MOSOP-USA), has chastised many states for depending sorely on federal allocation for survival.
The movement, therefore, recommended the adoption of a revenue distribution formula among the three tiers of government that will encourage production and discourage a dependent sharing mentality.
The recommendation was contained in a memorandum signed by the President of MOSOP-USA, DineBari Augustine Kpuinem, and submitted to the Senate Committee on Constitution Review, recently.
According to Kpuinem, “it is absurd that most states only depend on the derivation coming from the Federal Government without putting in place internal generation of revenue mechanism”.
He noted that the regression being experienced in the country is as a result of misappropriation of revenue allocation derived majorly from oil exploration in the Niger Delta.
MOSOP-USA called for the amendment of Section 162 (2) of the 1999 Constitution that deals with derivation fund to include a clause that will ensure accountable application of the fund.
The memorandum also urged the states that receive derivation fund to set up independent agencies run by men of integrity for proper application of the fund for the development of the States.
According to the movement, “The fund should be paid to these entities and not included in the state government budget, and subjected to the governance structure similar to an amended fashion of the Host Community Development Trust in the Petroleum Industry Act (PIA).”
MUSSOP-USA further recommended full autonomy for local governments in the country, saying the third tier of government should be independent of the State.
“Local government councils should be given full financial autonomy to enhance their performance and to maximise productivity without prejudice to their creation and oversight by the state governments. This requires the abolition of the State Joint Local Government Account”, the group stated.