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"Haggling
over which state gets what percentage of nation’s
revenue shall cease if the average citizen has an unencumbered
constitutional right to reside in any state of his choice
within Nigeria as is the case in the US, for example. The
federal government should aspire to partner with resource-rich
jurisdictions and aim to derive its revenue mostly through
taxation, licensure and sundry tariffs which must be paid
regularly into the central coffer. As long as the mentality
of state of origin determines citizens’ rights in
Nigeria, no man-made formula for revenue allocation by the
central government shall permanently placate the demands
of agitators on either side of this debate. Natural justice
demands that revenue derived from resources, whether renewable
or non renewable, ought to remain close to where they originate.
Citizens, who wish to directly partake in benefits and associated
responsibilities of resource-rich states, should be free
to excise the option of migrating and establishing legal
residency in those states." -
Dr. Nwosu |
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The
debate over resource control lies close to the core of
the dilemma that faces Nigeria as it grapples with many
exigencies of nation building. Emotions usually run high
whenever Nigerians deliberate over this thorny issue for
obvious reasons. Nigerian political economy has become
overly centralized since conclusion of the Civil War.
The 4 regional governments of pre-war era were replaced
with 36 states which are individually unable to self-sustain
without constant infusion of funds from the center. Many,
correctly or incorrectly, have blamed regional federal
structure for enabling the circumstances that ultimately
led to the Civil War. The Nigerian nation drifted in political
doldrums sequel to the Northern-led counter coup of July
1966 that toppled the first military government headed
by General Aguiyi-Ironsi mostly because of refusal by
leadership of former Eastern Region to kowtow to central
ruling junta in Lagos headed by General Gowon. In a quest
to find a lasting solution to the ensuing stalemate and
to forestall future resistance by a regional authority
to central control, a political masterstroke was conceived
and deployed in ways that changed the geopolitical destiny
of Nigeria for good.
Creation of 36 new states out of the former
4 regions has put Nigeria on a totally different trajectory
from what used to be the case in the First Republic. In
fact, most would agree that the unilateral decision by
Gowon’s regime to break up former Eastern Nigeria
into 3 states made the secession of Biafra inevitable.
The secession, in turn, precipitated the Civil War whose
aftermath has transformed the country in far-reaching
ways. Once initiated, the orgy of new state creation would
not abate until 36 states have emerged. With creation
of new states also came new local governments. But still,
new state agitators are not done yet. The military rulers’
principal consideration during state creation exercise
was mostly political with little or no regard for economic
viability of the newly created entities. States were arbitrarily
created by issuing decrees and the central government
bureaucracy was simply instructed to apportion monthly
subventions to enable the machinery of governance to commence
operations. Now that the excitement of new state creation
has mellowed, the implications of the whole exercise are
beginning to dawn on the citizenry. The new states, which
were primarily created to enhance the stature of central
government over the peripheral federating units, have
now come of age and are determined to challenge Abuja’s
supremacy over the nation’s resources.
The
current revenue-sharing formula is a legacy of military
rule. Perhaps, in order to ensure justice or simply to
placate local agitation for resource control, it was deemed
appropriate to repatriate 13% of revenue generated from
natural resources to states where they are derived. No
one can properly explain how this percentage was arrived
at and whether it should be fixed or adjustable with time.
This uncertainty is the main reason why debates over resource
control shall remain a feature of Nigerian political discourse
for the foreseeable future. Hard line positions have developed
on either side of resource-control debate. On the extremes,
some argue for complete abrogation of revenue repatriation
on one side while, on the other side, some have issued
ultimatum for reversion to 50:50 revenue sharing formula
of the First Republic. Somewhere in between, there is
an array of opinions on readjusting 13% a few percentage
points either way to assuage the angst of protagonists
from oil-producing and non oil-producing camps. In this
confusion, emotions are being dissipated on an issue which
is really tangential to the core dilemma that confronts
Nigeria’s very survival as a nation. Everyone appears
to forget that the greatest threat to the country’s
existence has always been lack of clarification of citizens’
rights, not a dispute over resource control. The Civil
War, which almost destroyed Nigeria, was instigated by
ethnic cleansing against a segment of the population whose
rights to live and thrive in some parts of the country
were arbitrarily repudiated by fellow citizens with official
connivance.
Ongoing
debate on resource control shall continue to be meaningless
to the structured evolution of the Nigerian state unless
the issue is coupled with clarification of rights of the
average citizen. Haggling over which state gets what percentage
of nation’s revenue shall cease if the average citizen
has an unencumbered constitutional right to reside in
any state of his choice within Nigeria as is the case
in the US, for example. The federal government should
aspire to partner with resource-rich jurisdictions and
aim to derive its revenue through taxation, licensure
and sundry tariffs which would be paid regularly into
the central coffer. As long as the mentality of state
of origin determines citizens’ rights in Nigeria,
no man-made formula for revenue allocation by the central
government shall permanently placate the demands of agitators
on either side of this debate. Natural justice demands
that revenue derived from resources, whether renewable
or non renewable, ought to remain close to where they
originate. Citizens, who wish to directly partake in benefits
and associated responsibilities of resource-rich states,
should be free to excise the option of migrating and establishing
legal residency in those states.
It is quite interesting to note that even
the most ardent protagonists of resource control are not
at all enthused by the idea of liberal state residency
rights being granted to fellow citizens to enable them
to become domiciled in their states if they so choose.
For now, the resource control debate appears to be instigated
more by selfish greed amongst the political elite than
by genuine desire to ensure entrenchment of equitable
sharing of proceeds from resources with which Nigeria
is abundantly endowed. The superficial debate that has
captivated the interests of the privileged elite is all
about sharing the national cake as is and not necessarily
on how to establish the basis for sustainable equitable
development of all parts of Nigeria for ultimate benefit
of the average citizen. It is an absolute waste of time
and effort to dwell at length on how much to tinker with
the current 13% derivation formula since whatever is agreed
upon cannot endure under prevailing circumstances. Furthermore,
pervasive official corruption amongst the political elite
and the bureaucracy at all levels of governance guarantees
that the average resident of resource-rich states may
still remain impoverished even if a larger share of revenue
is won on his behalf at the end of this debate.
It will be almost impossible to get a
handle on official corruption in Nigeria until present
methodology for deriving and sharing the nation’s
resources is revamped in fundamental ways. In current
method, the nation’s revenues are first aggregated
in a central pool in Abuja before they are subsequently
redistributed back to the peripheral jurisdictions where
they originated in the first place. This lengthy circuitous
process is not only wasteful but it also creates ideal
opportunities for fraud and misappropriation of funds
by those who are charged with the responsibility to make
it work. This method may have been tailor-made to suit
the command-style governance of erstwhile military regimes.
That it has been adopted and allowed to persist as the
modus operandi even in a civilian democratic dispensation
is hard to justify. Who benefits from centralized control
of all the nation’s vital resources from a given
address in Abuja? Only a handful of politicians and bureaucrats
who are well positioned in the leadership chain of command
do. Who are the losers? Almost everyone else loses in
an economic system that is predicated on inefficiency,
corruption and non accountability as is the case today.
This is what the ongoing debate in Abuja ought to be focusing
on, not how to adjust the current formula for sharing
revenue from oil amongst the well-placed few while the
real owners of the land are eventually left to wallow
in their predicament empty-handed.
Every inch of Nigerian soil is endowed
with one type of resource or the other. We are currently
only obsessed with crude petroleum deposits which constitute
a non-renewable resource that is destined to be exhausted
sooner than later if current pace of exploitation is maintained.
It is thus myopic for our national leaders to go to a
great length to define our economic destiny based on bloated
importance of a resource that is here today but may be
gone tomorrow. Nigerian economy can be programmed to evolve
in a more sustainable fashion if equal or greater emphasis
is placed now on generation and reliance on renewable
resources which are bound to outlast our limited known
crude petroleum reserves. Revenue sharing formula should,
therefore, not be based entirely on just crude petroleum
proceeds as is the case now, no matter how dominant they
are in today’s economy. Any formula derived under
present circumstances, because it is artificial and not
based on natural law, shall be unsustainable for the long
haul. Ultimately, the proper thing to do now for Nigeria
and its diverse population is to allow natural justice
to be the guiding principle in an equitable restructuring
of the nation’s economic system.
Nigeria
is in a mess, as we speak, because many fundamental errors
have already become entrenched in the nation’s political
economy. It is futile for us to blame Britain now for
creating colonial Nigeria because that decision was never
made to reflect the best interests of indigenous population
at the time. As heirs of post-colonial Nigeria, this generation
has to contend with the reality of its existence and endeavor
to derive practical methods to make this piece of real
estate to work for long-term benefits of all its inhabitants.
An unsuccessful but expensive attempt has already been
made during the Civil War to dismember this artificial
creation and the only viable option left now for present
generation is to make Nigeria a livable and prosperous
geopolitical entity for its teeming population. Those
who pitch discord tones that emphasize the negatives which
abound in the system must, at end of the say, proffer
practical solutions for moving the nation forward within
the realities of today’s world. It is clear that
dissonant and centrifugal voices within the nation’s
sociopolitical realm unwittingly provide fuel and ammunition
to forces that can only perpetuate the darkness that has
currently enveloped the only nation we have today. Sensible
minds ought to be able to discern the difference in the
motives of those who are genuinely defending their group’s
parochial interests from those who are merely playing
to the gallery so as to position themselves to benefit
more from the status quo.
Debates
over resource control is legitimate, within context of
today’s Nigeria, only if it is used as a means to
better clarify citizen’s rights to live free and
prosper in a country to which he claims ownership. Dissociating
these two vital issues renders the resource-control debate
vacuous and utterly irrelevant because both dovetail with
each other inseparably. Late Dr. Chuba Okadigbo once headed
a senate committee that was tasked to provide guidance
in producing legislative amendments to guarantee universal
citizen rights for the average Nigerian. Extensive consultations
and hearings were held nationwide but the work of this
committee was somehow drowned out by the noise that regularly
disrupts the agenda of political operatives in Abuja.
It would appear that the subject of citizen’s right
to live free and prosper in all nooks and corners of his
country has been shoved to the backburner while an important
confab, which is convened to deliberate on our collective
future, is busy bickering over sharing of revenue from
a single commodity - crude oil. It is easy to predict
that nothing meaningful shall come out of this revenue-sharing
debate because it is akin to putting the cart before the
horse. If there is any need to continue ongoing national
discourse over resource control, let it be coupled with
delineation of citizen rights. Doing otherwise is merely
wasting everybody’s time and our scarce national
resources.
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Osondu
The Survival Struggle for Ndiigbo |
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