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Reps To Consider Increase In Derivation Fund From 13% to 50%

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By Gloria Ikibah
The House of Representatives is set to consider a constitutional amendment bill which is aimed to increase the derivation fund from the current “not less than 13 per cent” to “not less than 50 per cent”, to ensure the development of all Nigerian states and regions where mineral resources are being extracted.
The bill which was sponsored by Rep. Awaji-Inombek Abiante and 8 other lawmakers has been deferred for debate on Tuesday at plenary.
The decision by Speaker Tajudeen Abbass was arrived at when some lawmakers pleaded to be given copies of the bill to study when the bill was read for second time at plenary on Wednesday.
The bill seeks to alter section 162(2) of the 1999 constitution by deleting the words ‘not less than thirteen percent’ and inserting ‘not less than fifty percent’.
According to the general principle of the bill made available to Naijablitznews.com, the proposed piece of legislation is in response to the clamor of the present administration to righting the wrongs of previous regimes and by ensuring the practice of true federalism.
The sponsors of the Bill argued that the initiative is in tandem with the dream of the founding fathers of Nigeria.
They argued: “Let us indeed renew the hope not only of our founding fathers but also that of generations after us by the unanimous endorsement to review quickly and to amend the formula to not less than fifty percent (50%) according to the Independence Constitution of 1960 and the Republican Constitution of 1963 in Sections 134 {1 (a &b)} and 140 {1(a & b).
“It is noteworthy to add that including all revenues from VAT in this sharing arrangement will enhance competition among the states for increased productivity by making their environment friendlier for investment in order to increase their revenue. This is in tandem with the spirit of equity and justice.
“There has been discovery of one billion barrel of crude oil and gas in North-Eastern part of the country along the Chad Basin in neighboring Bauchi and Gombe states; there are gold fields in Zamfara, Niger, Osun, Kwara, Ebonyi, Kaduna, Edo and Bauchi states and also the FCT; tin mining in Plateau and Nasarawa state among others.
“The truth is, every state in Nigeria is endowed with mineral resources and this bill seeks to ensure that states and regions where these minerals are extracted from also have their revenues allocated according to the 50% derivation formula”.
Rep. Abiante argued that the current formular of revenue sharing renders the collective wisdom of our patriots/statesmen and their intellectual wisdom worthless.
He said: “The current ‘not less than thirteen percent’ derivation entrenched in the 1999 Constitution is grossly inadequate and a mis-representation of the Spirit of pre-independence negotiations and agreements.
“Even in the intent and desire to ensure the rehabilitation and development of the damaged environment where mineral resources (liquid, gaseous and solid) are derived for the sustenance and development of the whole country does not also seem achievable with the current practice of 13%.
“This Bill is not all about resource control but an attempt to address the myriads of issues bordering on the meager “not less than 13%” derivation fund payable to states on revenues derived from their environment as provided for in Section 162(2) of the 1999 Constitution of the Federal Republic of Nigeria as (amended).
“It is important to state that this amendment is not only relevant for today, but also for the future. Some of us may feel that this section that we seek to amend makes no meaning to them, because, their states are not presently affected. But it is pertinent to ask, what about the future?
“Let us remember that every state in the Federal Republic of Nigeria is blessed with abundant natural resources capable of turning the economic fortunes of the country. The increased interest by Federal Government to reduce the dependence on oil and gas as the mainstay of our economy means attention will be shifted to the solid minerals”.
The lawmaker further stated that the huge environmental impacts of the exploitation of natural resources on the host communities are devastating, including pollution, hunger, insecurity and youth restiveness.
“The meager ‘not less than 13%’ derivation as presently provided for by the 1999 Constitution of the Federal Republic of Nigeria encourages Illegal exploitation and mining of our natural resources. It is said he whose parents provides enough food does not bring disgrace to his parents by fighting for food outside. It is a truism that rich parents who do not provide enough food for their children despite having them in abundance can only encourage such children to pilfer from them.
“The illegal refineries that litter the entire Niger Delta region and illegal mining sites across some other parts of Nigeria are reflections of non-commitment of enough funds for the development of these areas.
“The deployment of enough funds means more development in terms of social, economic and security infrastructures. The various State Governments’ ability to build industries will keep the restive youths engaged and away from crimes, especially from the illegal mining and exploitation of natural resources.
“The eradication of illegal mining will mean more money for the Federal and the State governments to share for development purposes, besides the energy and the resources used in chasing and closing illegal operators would be channeled to fast-track the development and protection of the region and indeed any part of the Federation as presently is where mineral resource or any revenue is gotten for the running of the business of Governance, hence the urgent need to increase the derivation fund from “not less than thirteen percent” to “not less than fifty percent”.
“This menace of oil theft has become a threat to our national security and economy, hence the recent tour of the Niger Delta region by the National Security Adviser, Mallam Nuhu Ribadu, Chief of Defence Staff, Minister of Defence, Minister of State for Petroleum Resources, Chief of Air Staff on the 26th of August, 2023 with the strong determination to fight illegal refineries.
“The revenue allocation formula as previously enshrined in both the Independence and Republican constitutions will certainly resolve this issue and make for greater patriotism and a sense of commitment from all. This sense of patriotism will reduce or totally eliminate oil theft and illegal mining as constantly reported.
“It will also make for greater development hinged on healthy competition as witnessed in the pre-independence Nigeria and the First Republic where we had the famous Cocoa House, the University of Ibadan, the University of Nigeria, Nsukka, the University of Ife as it was then called, the famous groundnut pyramid in Kano, the foundation for the eventual establishment of the Ahmadu Bello University, the Western Nigeria Television and several others”.
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Expect fresh electricity tariff hike, FG put Nigerians on alert

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By Kayode Sanni-Arewa

The Federal Government has said plans are ongoing to increase electricity tariffs “over the next few months”.

It, however, said that the planned increase needed to be balanced by subsidies for less-affluent electricity users.

Bloomberg quoted the Special Adviser to President Bola Tinubu on Energy, Olu Verheijen, as giving this hint at the Africa Heads of State Energy Summit in Dar es Salaam, Tanzania, where Nigeria presented a $32 billion plan to expand electricity connections by 2030.

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According to the presidential aide, Nigeria is trying to resolve the transition to a cost-efficient but cost-reflective tariff to attract private investors.

She said: “One of the key challenges we’re looking to resolve over the next few months is transitioning to a cost-efficient but cost-reflective tariff.

“So the sector generates revenue required to attract private capital, while also protecting the poor and vulnerable.”

Last year, the federal government approved a threefold increase in electricity tariff for customers under the Band A classification.

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The fresh move to raise tariffs comes amid mounting pressure from Nigeria’s debt-burdened electricity distribution companies for tariffs to be cost-reflective so they can improve their finances.

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Kamorudeen Ogunlana Assumes Office as Ninth Clerk to the National Assembly

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…commend his predecessor’s leadership, integrity
…pledge to foster inclusivity, teamwork within NASS
By Gloria Ikibah
Barrister Kamorudeen Ogunlana has officially taken over as the Ninth Clerk to the National Assembly (CNA) since 1993.
The handover ceremony took place on Saturday evening at the National Assembly complex, Abuja, with management staff and dignitaries in attendance.
During the event, the outgoing CNA, Sani Magaji Tambuwal, expressed gratitude and formally transferred authority, and stated: “I formally hand over this document on the National Assembly to Kamorudeen Ogunlana.”
In his acceptance speech, Barrister Ogunlana praised his predecessor’s leadership and integrity, and emphasised the significance of the office of the CNA.
He said: “Today is historic. I want to start by congratulating the CNA. It is an achievement for you to start a journey and complete it. It is not just to complete it, you completed it with your reputation intact.
“The office of the Clerk to the National Assembly is one of the few offices that the Commission actually created. You may see some Chief Executives, Perm Secs, no, no, no. The Clerk to the National Assembly is one of the few offices that the Commission actually created.
“Within the National Assembly Service, apart from the Public Complaint Commission, it’s only the Clerk to the National Assembly that is mentioned. Now that position is not just cosmetic, we all know the role of the Clerk to the National Assembly, and that role is actually evolving.”
Ogunlana likened the Clerk’s responsibilities to those of a Head of Service, managing thousands of staff, legislative aides, and high-ranking officials.
“Today, when I look at the Clerk, I see the equivalent of Head of Service. Some of you feel maybe the Clerk is an equivalent of Perm Sec, no, we’ve moved beyond that.
“It doesn’t just end there, we are talking of somebody that is managing over 4,000 staff within this confined space. We are talking about a person that manages over 7,000 Legislative Aides, then not to talk of the VIPs – the lawmakers.
“Within this space, we have the number 3 and the number 4 Citizens. Within this space.
“Do you know what it means for the President of this country to come to your domain? Do you know what it takes to host the President? Anytime they say the President is coming, for us, it’s like a one-month affair, we don’t sleep! But this man was able to navigate those terrains successfully”.
He commended Tambuwal for mentoring his successor, asserting that, “No matter how good you are, if you don’t groom your successor, you are a failure in the area. This man actually groomed his successor.
“Now, I’ve heard people talking about successor, successor, this man has actually passed the first test of leadership. Why do I say that he has passed the first test of leadership? Leadership is very challenging, it’s not enough for you to have intellect, how you comport yourself matters. Not to even talk of commanding your followers. But I’ve watched him thoroughly, I saw that.
“I’ve already read out his legacy, so, when it comes to legacy, even generations of his children, when they come here, there are things that they will point to: it was under my father’s regime that this was done. So, you have actually left an enduring legacy, sir.”
Reflecting on Tambuwal’s achievements, Ogunlana highlighted financial strides made under his leadership
“Just yesterday or two days ago, I was compelled to highlight his achievements. I’ve listened to you, two things, even though you did not exhaust them, but let me just mention two things that you have left out consistently because I clerked the Committee on Judiciary in the House of Reps. When I was there, I took them from an annual budgetary allocation of less than one billion to about 100 billion.
“Consistently, because the judiciary and the parliament enjoy what they call first-line charge, so most times there’s this coincidence between the two. I don’t know whether it’s deliberate, but whatever they give the judiciary, that’s what they give the National Assembly. So, we were like that up to 130 billion for each.
“But there’s something about this man that people do not know. So I need to bring that up because I was with the Appropriation Chairmen and they mentioned it. They say it’s because of this man that they have to now increase the benchmark to 344”, he added.
Outlining his vision, Ogunlana pledged to foster inclusivity and teamwork within the National Assembly.
“I intend to democratize decision-making. There is no way I will sit down here because I don’t know it all. I have the legal and the legislative background, but I can’t claim to be an expert when it comes to financial issues, and that is where he comes in. I’m very happy that even though he’s leaving, he’s not really leaving”, he stated.
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FG announces launch of Nigeria-made HIV/AIDS Drugs for 2025

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The Director-General of the National Agency for the Control of AIDS, Dr Temitope Ilori, has said plans are ongoing to support the domestic production of HIV commodities such as test kits and anti-retroviral drugs before the end of 2025.

Ilori disclosed this at the weekend in Ilorin, Kwara State, while inaugurating the Kwara Prevention of Mother to Child Transmission and Pediatrics ART Acceleration Committee.

The NACA DG explained that domestic production of HIV commodities was part of ways the government was creating an enabling environment for ending AIDS as a public health threat by 2030.

She added that other ways include enrolling all individuals in the national health insurance program, mobilising resources to states and strengthening advocacy efforts and supporting vaccine research and innovation.

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Ilori said the committee being set up was aimed at achieving an AIDS-Free Generation and ensuring a sustainable HIV response.

‘’UNAIDS 2023 reports indicate that approximately 140,000 children aged 0-14 are living with HIV, with 22,000 new infections and 15,000 AIDS-related deaths occurring annually.

‘’Despite progress, PMTCT and pediatric HIV coverage remains below 33%, far from the 95% target.

‘’To address this, the Global Alliance Action Plan to End AIDS in Children was developed in 2021 with full financial support, yet coverage remains suboptimal,’’ she said.

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The NACA DG noted that Kwara State’s HIV prevalence (0.8%) was below the national average of 1.4%, disparities persist.

‘’Women are disproportionately affected (1.3%) compared to men (0.4%), and some local governments require targeted interventions to maintain and further reduce prevalence rates.

‘’Achieving an AIDS-Free Generation is within reach, and no child should be born HIV-positive in Kwara State.

‘’I urge all partners to support us in developing a comprehensive line-list of children of HIV-positive clients, which is crucial to accelerating paediatric ART nationwide,’’ she added.

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Ilori said that the Minister of State for Health has established a national acceleration committee, and the model was being replicated at the state level to eliminate mother-to-child transmission and enhance real-time program monitoring.

She however noted that there was a need for government-led sustainability efforts to address government’s continued reliance on donor support.

‘’Over the past few days, I have received numerous calls regarding the implications of the 90-day foreign aid suspension on our HIV program.

‘’While we are relieved that HIV services remain exempt, this situation underscores the need for government-led sustainability efforts.

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Kwara State Deputy Governor, Kayode Alabi, however assured that the state government would ensure the committee achieves its mandate.

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