Editorial
That S’Court’s Verdict On Oil Revenue
Obviously pacified by the Supreme Court’s landmark judgement recently, ordering the Federal Government to adjust the sharing of proceeds from the sale of crude oil whenever the price exceeds $20 per barrel benchmark, three littoral states in the Niger Delta region, namely, Rivers, Bayelsa and Akwa Ibom States may have heaved a huge sigh of relief over perceived marginalisation of the region in the Nigerian project.
By implication, the oil-producing states and local government areas will garner substantial revenue from crude oil sales; especially against the backdrop of the latest report by the Presidency that Nigeria got $1.1 trillion from oil in 28 years.
The apex court’s ruling was sequel to suit No. SC/964/2016 filed on behalf of the three aforementioned oil-producing states by their attorneys-general seeking the interpretation of section 162 of the 1999 Constitution, as amended.
A seven-man panel which included the Chief Justice of Nigeria (CJN), Justice Walter Onnoghen in a unanimous ruling ordered that the 13 percent derivation due to oil-producing states be paid upon recovery in accordance with Section 162 of the Constitution.
Apparently irked by what they earn from oil proceeds, the plaintiffs approached the court in November, 2017 for proper interpretation of section 16 (1) of the Deep Offshore and Inland Basin Production Sharing Contract Act. The suit was filed on behalf of the plaintiffs by Mr. Lucius Nwosu (SAN).
While delivering the judgement, Justice John Okoro ordered the Federal government to immediately embark on an upward review and adjustment of the shares of revenue accruing to the Federal government and the states concerned whenever the price of crude oil exceeds $20 per barrel.
The Tide, indeed, commends Rivers, Bayelsa and Akwa Ibom States for the courage and boldness in seeking constitutional interpretation of the relevant sections of the sharing contract law and particularly the exemplary and landmark judgement which has, in no small measure, affirmed the independence of the judiciary over constitutional matters.
The verdict evidently and clearly shows that in a constitutional democracy such as ours, the judiciary remains the bastion of hope for the citizenry, and the federating units.
The Niger Delta people have, over the years, been traumatised, marginalised and victimised in the Nigerian state, especially against the backdrop that the region produces the bulk of the nation’s wealth, with little or nothing to show for their natural endowments.
Perhaps, this informs why there have been persistent agitations for true and fiscal federalism rather than the prevailing skewd system which does not impact on the wellbeing of the federating states or regions. Maybe, that is why the clamour for restructuring of Nigeria has heightened lately.
The Tide, therefore, implores the Federal government to respect and expedite the process of executing the Supreme Court’s ruling without further delay.
While we whole-heartedly welcome the court’s verdict, we strongly believe that the ruling will be a watershed that would positively impact on the lives and wellbeing of Niger Delta people in the larger Nigerian State. The judgement will, for sure, boost the revenue of the oil-producing states and local government councils.
We expect that the Federal Government, the three states involved and the oil companies will do the needful by implementing the contractual obligations as enshrined in the extant law.
The Tide also condemns, in the strongest terms, the managements of major oil companies which collude with government officials to under-develop the oil-bearing communities and the people who have suffered untold hardship due to the devastation of their environment.
These economic saboteurs must no longer be allowed to have their way.
We see the Excess Crude Account as a platform employed by successive administrations to garner more revenue from oil proceeds towards further impoverishing the oil-producing communities and this must stop forthwith.
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
-
News3 days agoRSG Targets Nine Million Residents in Mosquito Net Distribution Campaign
-
Oil & Energy2 days agoAiyedatiwa Signs New Electricity Bill
-
Maritime2 days agoMarine Minister Commends President Tinubu On NPERA Bill Assent
-
Oil & Energy2 days agoNLNG Commissions Research And Innovation Centre In RSU
-
News3 days agoKenPoly Holds Eight Convocations, August 29
-
News3 days agoRSG Begins Another Phase of Projects Commissioning Today
-
News3 days agoRMAFC Completes Revenue Sharing Review, Proposes New Pay
-
Maritime2 days agoNAGAFF Petitions IGP Over Alleged Maritime Police Harassment
