Former Vice President during the presidency of Chief Olusegun Obasanjo, Alhaji Atiku Abubakar has hailed the judgement of the Supreme Court on Thursday, affirming fiscal autonomy for local government councils across Nigeria.
The Supreme Court made bold in the ruling that it is unconstitutional for state governors to hold funds allocated for local government administrations.
The seven-man panel, in the judgment delivered by Justice Emmanuel Agim, declared that the 774 local government councils in the country should manage their funds themselves, noting that the power of the government is portioned into three arms of government, the federal, the state and the local government.
The court also declared that it is not within the power of a state government to appoint a caretaker committee and a local government council is only recognisable with a democratically elected government.
The Supreme Court’s decision overturns the previous practice of consolidating local council revenues into state government accounts.
Meanwhile, the former Vice President, expressing his elation at the ruling, wrote on the X platform on Thursday that the ruling is “a win for the people of Nigeria” and a step in the right direction.
Atiku had been all out against the earlier arrangement before the ruling, with an argument that it was borne out of politics of hasty compromise.
In the statement, Atiku said, “I align with the decision of the Supreme Court that the structure of the Nigerian government is portioned in three layers, and of these, the local governments should be centres of development.
“I also share the belief that fiscal autonomy to the local governments should not be limited to revenues from the Federation Accounts, but indeed, should apply to Internally Generated Revenue from the respective local government authorities.”
“Many of our states, especially those in the ultra-urban areas with high-density economic activities, have become notorious in muscling local councils from generating revenue on items that border on motor parks, outdoor advertising, rents and many more.
“The verdict of the court is in tandem with the core functions of the Supreme Court as an arbitration court between and among governments.”
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