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Wike Seeks Upward Review Of Revenue Allocation To States
Rivers State Governor, Chief Nyesom Wike, has urged the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) to reduce revenue accruable to the Federal Government from the federation account to 40percent, and increase those of states and local government councils to 40 and 20per cent, respectively.
The governor said the current revenue sharing formula that allows the Federal Government to take 52.68percent, and the states and local government councils to take 26.72percent and 20.60percent, respectively was unacceptable.
Wike made the assertion when members of the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) led by its Chairman, Chief Elisa Mbam paid him a courtesy call at the Government House, Port Harcourt, last Wednesday.
The governor observed that despite the changes that the country had been through in the past 29 years, it was regrettable that it has continued to use the 1992 revenue formula prescribed by the military.
Wike faulted the use of 1992 population figure, public school enrolment and public hospital bed spaces, land mass as formula for allocation of revenue.
He argued that a more equitable formula should also take into cognisance current population figure as well enrolment in private schools and number of bed spaces in private hospitals.
“Using the same formular of 1992 as a basis for revenue allocation in this country is so unfortunate. And to worsen the situation under a democratic dispensation, since 1999 till now, our country has not reviewed the revenue allocation formula.”
Wike urged the commission to reduce the revenue accruable to the Federal Government to 40percent because it has abdicated its responsibility of providing security and basic infrastructure to the federating states.
“You people should reduce the percentage of the Federal Government. Give them 40percent. Give the states 40percent, give local government 20percent. In that way, most of the responsibilities that belong to the Federal Government will now be taken away and given to the states.”
He noted that the current centralised federal system in operation in Nigeria has made it impossible for most states to look inwards and harness their potentials.
According to him, the country’s vast resources, will continue to amount to nothing if the states are not allowed to use their resources to drive and determine their development.
“We cannot talk about operating a federal system without having a fiscal federalism. It is practically impossible. Let’s cancel that word federalism, we are operating a unitary system. But you cannot be saying we are operating a federal system, at the same time operating a centralised system.”
The governor expressed reservation about the willingness of the present Federal Government to implement the recommendations of the revenue mobilisation and fiscal commission, which is currently holding public hearing on new revenue sharing formula across the six geopolitical zones.
The Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) Chairman, Chief Elisa Mbam, explained that one of the major mandate of the commission is to review from time to time the revenue allocation formula to conform with changing realities.
Mbam explained that it has become necessary to review the current formula because the last review was done in 1992.
He observed that there has been a lot of changes in the political and socio-economic situation of the country.
According to him, the data that will be collated from the states will help the commission to arrive at a fair revenue formula.
“We believe that what we will get from states will help us to come up with a revenue formula that will be fair, just and equitable.”
He commended Wike for his developmental stride, and urged other states to emulate Rivers State.
Later during the South-South Zonal Public Hearing, the State Chief Executive, Chief Nyesom Wike, restated that the present revenue allocation formula cannot meet the present realities of our dear nation and the socio-economic development of all levels of Government.
Wike made this assertion during the South–South Zonal Public Hearing on the Review of the Current Revenue Allocation Formula at Hotel Presidential in Port Harcourt, yesterday.
Speaking through his Deputy, Dr. Ipalibo Harry Banigo, Wike said “it is very clear to anyone who cares to know that the Federal Government is overburdened and overloaded and cannot efficiently deliver a federal system as we envisage it in our Federation”.
According to the governor, the states needs to be encouraged to be able to build up their own potentials, adding that It was all part of encouraging inclusiveness and encouraging a sense of belonging.
The governor further said “in Rivers State, we are building 10 overhead bridges because we envisage the future, it is futuristic, we have a city with so much traffic and these 10 overhead bridges are a must, apart from the infrastructure that is going on in all our communities and 23 local government areas.”
Wike, who noted that bridges, jetties and educational Institutions all fall under the laps of the states, called for the reduction of the allocation of the Federal Government and an increase of the allocation to the states and local governments, stressing that this is what equity is all about.
Wike, who expressed delight that the commission had gone round and done sensitization, collected various data and indices, expressed the hope that all these would not be thrown away at the end of the day, and prayed that the feelings and aspirations of the Nigerians of today would garner their efforts and bring it to fruition.
In his address, the Chairman, Revenue Mobilization Allocation and Fiscal Commission, Engr. Elias Mbam, disclosed that the Revenue Mobilization Allocation and Fiscal Commission (RMAFC) by virtue of Paragraph 32(b) Part 1 of the Third Schedule to the 1999 Constitution of the Federal Republic of Nigeria (As Amended) is empowered “to review from time to time the Revenue Allocation Formula and Principles in operation to ensure conformity with changing realities, provided that any Revenue Formula which had been accepted by an Act of the National Assembly shall remain in force for a period of not less than five years from the date of commencement of the Act”.
According to him, the commission has embarked on the process of reviewing the existing Vertical Revenue Allocation Formula, adding that the review became necessary because a lot of socio- economic and political changes have taken place since the last review in 1992.
The Rivers State Ministry of Culture and Tourism has floated a culture content platform in collaboration with digital television group, Multichoice.
Permanent Secretary, Ministry of Culture and Tourism, Mr. Freddy Ndigbara, disclosed this after a meeting with MultiChoice Head of Content Acquisition, Don Dotun Ojon, in Port Harcourt.
He assured that content entrepreneurs and film makers would enjoy the platform by promoting culture and other contents to sell the states tourism potentials.
He said MultiChoice M-net was now open to increase its patronage for content shots on locations in Rivers State, describing the State as one that has numerous potentials for film tourism.
“We were privileged to have Don Ojon with us at the Rivers International Film Festival (RIFF) at the weekend in Bonny and he saw, first hand, the numerous sites and opportunities that are open to creatives in the State. After that, we felt it was important to deepen the conversation and he obliged. This is a cheering news for the sector in the State,” he said.
Ndigbara stated that “Rivers State has many more untold stories to tell, many more contents to reel out and the assurances from the M-net Acquisition Manager is an indication that the industry in the state will soon enjoy a new lease of life”.
The Permanent Secretary thanked Ojon for the visit and assured that creatives in the State would grap this opportunity and show the world that Rivers State is a major hub for film tourism in Nigeria.
On his part, Ojon said the visit was to discuss on ways of promoting tourism in the State using creatives and film.
Ojon said although the company has recently been acquired by canal+ France and is undergoing restructuring, he would promote the chances of Rivers State to host the MultiChoice talent factory in the State.
With Asaba, capital of Delta State, being saturated, Ojon said the next port is Rivers State, which he said is capable of building fresh crop of creatives, new locations, new story lines and concepts.
He, therefore, called for collaboration from stakeholders in the State.
Kevin Nengia
This is according to a campaign timetable released by the APC Campaign Council last month.
The Tide reports that the APC presidential campaign kicked off in Kaduna on October 24 with President Bola Tinubu in attendance.
The campaign train later moved to Cross River, Gombe, Nasarawa, and Ekiti on November 2, 3, 4 and 5 respectively with the Vice President, Kashim Shettima representing the President at the rallies.
President Tinubu is personally scheduled to attend 12 states including Rivers, Kaduna, Plateau, Oyo, Borno, Enugu, Bauchi, Sokoto, Delta, Kano, Adamawa and Lagos.
The Rivers State rally, scheduled to hold at the Adokiye Amiesimaka Stadium, Port Harcourt, is expected to witness a large crowd of party supporters drawn from a coalition of political parties in the State.
The party is expected to round off its presidential campaign in Lagos State on January 9, 2027.
The Tide reports that Tinubu has not visited Rivers State as President since he assumed office in May 2023. His last physical visit to the State was before his inauguration on Wednesday, May 3 – Thursday, May 4, 2023, when he was hosted by then Governor Nyesom Wike in Port Harcourt to commission the Rumuola/Rumuokwuta Flyover and the Magistrates’ Court Complex.
Tomorrow’s visit will be his first to the State since assuming office.
Fubara gave the charge on Wednesday while declaring open the 126th, 127th and 128th Combined Quarterly Meeting of the Rivers State Traditional Rulers Council, in Port Harcourt.
The governor said the primary function of traditional rulers is to administer justice and ensure fairness, saying their conduct must not lead to division and unmanageable crises.
“Let me therefore, request, if that is the right word to use, that please, as we are entering into this political season actively, everyone should ensure that your conduct promoted peace in your place. Your actions should not be what would lead to the division and multiple crisis that we cannot manage as a government.
“I think with that, we can all live as one and we can also continue to make this progress that we are trying with all our mind, our body and our soul, to ensure that we deliver to our dear State,” he said.
Fubara urged the royal fathers to abide by the oath and constitution they swore to before ascending their respective stools, in the interest of stability and progress of the State.
He also enjoined them to set aside individual sentiments and place the interest of Rivers State above personal considerations, noting that this principle has guided his own day-to-day governance of the State.
“I want to enjoin everyone to keep aside issues of individual sentiments and ensure that the interest of our state supersedes whatever thing that we have in our mind. This is not just what I’m saying here, it is what I’ve also practiced and displayed in my day-to-day life in the governance of our dear State,” he said.
On the appeal for improved welfare for traditional rulers, the governor clarified that the delay in actualising some of the requests they made in the past was not from the government but from the inability of the Council to put its house in order.
Fubara explained that the issue of stipends paid to the traditional rulers by the local government councils, was a statutory benefit provided for in the constitution and not what a state governor can change by mere verbal pronouncements.
He assured that he remains a man of his word and will fulfill his promises to the traditional rulers before leaving office, next year.
He reaffirmed his respect for the traditional institution as custodians of culture and the closest link to the people, thanking them for their prayers and support.
The governor urged the royal fathers to ensure that the combined quarterly meeting featured fruitful deliberations that will strengthen peace and development in the State.
Earlier, the Chairman of the Rivers State Council of Traditional Rulers and Paramount Ruler of Apara Kingdom, His Royal Majesty, Eze Chike Amadi Worlu Wodo, expressed profound gratitude to the State Government for its efforts in maintaining a cordial relationship with the traditional institution.
Wodo highlighted the importance of traditional rulers in conflict resolution, noting that their closeness to the people places them in a strategic position to mediate in disputes involving chieftaincy matters, family disputes and land ownership in their respective communities.
The royal father drew the attention of the State Government to some challenges affecting the performance of the traditional institution, particularly the lack of official utility vehicles and logistical support needed to discharge its responsibilities effectively.
He also appealed for improved monthly stipends and better welfare provisions to reflect prevailing economic realities.
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