report of the apc committee on true federalism. · 2.3 recommendation 4 – fiscal federalism and...

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REPORT OF THE APC COMMITTEE

ON TRUE FEDERALISM.

Volume 2: Legislative, Executive and Other Action Plans

APC ADHOC COMMITTEE C/O PROGRESSIVE GOVERNORS FORUM

JANUARY 2018.

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Table of Contents

1.0 Background ........................................................................................................... 4

1.1 Summary of Action Plans by category ................................................................... 4

2.0 Section 1: Legislative Action .................................................................................. 6

2.1 Recommendation 2 – Merger of States ................................................................. 6

2.2 Recommendation 3 – Derivation Principle ............................................................. 9

2.3 Recommendation 4 – Fiscal Federalism and Revenue Allocation ....................... 11

2.4 Recommendation 5 – Devolution of Powers ........................................................ 13

2.5 Recommendation 8 – Independent Candidacy .................................................... 16

2.6 Recommendation 9 – Local Government Autonomy ........................................... 22

2.7 Recommendation 11 – Resource Control ............................................................ 30

2.8 Recommendation 15 – Citizenship ...................................................................... 38

2.9 Recommendations 10 – Ministerial Appointments ............................................... 40

2.10 Recommendation 19 – Judiciary ......................................................................... 42

2.11 Recommendations 16 – States Realignment and Boundary Adjustments .......... 50

2.12 Recommendation 18 – Referendum .................................................................... 53

3.0 Section 2: Executive Action ................................................................................. 55

3.1 Recommendation 1 – Creation of States ............................................................. 55

3.2 Recommendation 2 – Merger of States ............................................................... 55

3.3 Recommendation 3 – Derivation Principle ........................................................... 55

3.4 Recommendation 4 – Fiscal Federalism & Revenue Allocation .......................... 56




3.8 Recommendation 13 – Demand for Affirmation of Vulnerable Groups ................ 57

3.9 Recommendation 15 – Citizenship ...................................................................... 57

3.10 Recommendation 16 – States Realignment and Boundary Adjustments ............ 57

3.11 Recommendation 17 – Secular Status ................................................................ 58

3.12 Recommendation 1 – Creation of States ............................................................. 59

3.13 Recommendation 2 – Merger of States ............................................................... 59

3.14 Recommendation 4 – Fiscal Federalism & Revenue Allocation .......................... 59

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3.16 Recommendation 8 – Independent Candidacy .................................................... 60


3.18 Recommendation 10 – Power Sharing and Rotation ........................................... 60


3.20 Recommendation 13 – Demand for Affirmation of Vulnerable Groups ................ 61

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Legislative, Executive and Other Action Plans for The Implementation of

Committee’s Recommendations

1.0 Background

The APC Committee on True Federalism was constituted by the Party to consider and make

recommendations to the National Working Committee on key items relating to the Nigerian

Federation and the agitations for “True Federalism” or “Restructuring”. Having carried out

consultations and received memoranda from stakeholders in the six (6) geopolitical zones and

having regard to the reports and recommendations of previous National Conferences and other

proposals, the Committee made twenty-five (25) recommendations most of which will require a

combination of executive, legislative and other actions. This volume spells out in detail the specific

actions that are required of the Executive and Legislative arms of government as well as the party.

This report therefore, is presented in three (3) sections:

• The first section focuses on the relevant legislations that would need to be amended

or enacted in order to give effect to the said recommendations. Where legislative

action is required a draft bill has been produced;

• The second section highlights the relevant recommendations that require executive

actions from federal and state governments;

• The third section contains those recommendations that do not require any executive

or legislative action but to be acted upon by others.

1.1 Summary of Action Plans by category

This table shows the sequence of actions to each category that concerns each section.

S/N Action Plans Section 1: Legislative

Section 2: Executive

Section 3: Other

Actions

1. Creation of states X X

2. Merger of states X X X

3. Derivation principle X X

4. Fiscal Federalism X X

5. Devolution of powers X X X

6. Federating units

7. Form of Government

8. Independent candidacy X X

9. Land Tenure System

10. Local government autonomy X X X

11. Power sharing and rotation X

12. Resource control X X X

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S/N Action Plans Section 1: Legislative

Section 2: Executive

Section 3: Other

Actions

13. Type of legislature

14. Demand for affirmation for vulnerable groups X X

15. Ministerial appointment

16. Citizenship X

17. State constitution

18. Community participation

19. Minimum wage

20. Governance

21. Judiciary X

22. States realignment and boundary adjustments X X

23. Secular status X

24. Referendum X

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2.0 Section 1: Legislative Action

2.1 Recommendation 2 – Merger of States

The Committee observed that there was no consensus from stakeholders on the merger of states.

However, the Committee recommends that the Constitution should provide a legal basis for states

that might in future wish to consider this option to do so. Therefore, it is proposed that Section 8

of the Constitution should be expanded to accommodate merger of States. The amendment to

be made will stipulate the laid down procedure for mergers which shall be in pari materia with the

procedure for creation of states.

Legislative Action: Expand Section 8 of the Constitution by amendment.

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A BILL

FOR

AN ACT TO ALTER THE PROVISIONS OF THE CONSTITUTION OF THE FEDERAL

REPUBLIC OF NIGERIA, 1999 TO PROVIDE FOR THE MERGER OF STATES AND FOR

RELATED MATTERS

( ) Commencement

ENACTED by the National Assembly of the Federal Republic of

Nigeria as follows –

1 The Constitution of the Federal Republic of Nigeria, 1999 is

altered as set out in this Bill.

Alteration of the

Constitution

2.

Section 8 of the Constitution is altered by inserting a new

section 8. (1A) as follows -

“An Act of the National Assembly for the purpose of merger of

existing States shall only be passed if-

(a) A request, supported by at least two-thirds majority of

members (representing the states demanding for the

merger of the existing States) in each of the following,

namely-

(i) The Senate and House of Representatives,

(ii) The Houses of Assembly in respect of the areas

seeking for merger from the affected States,

(iii) The Local Government Councils in respect of the

areas in the states concerned,

is received by the National Assembly.

(b) A proposal for the merger of the States is thereafter

approved in a referendum by at least two-thirds majority

Alteration of

section 8

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of the people of the states where the demand for merger

of the States originated;

(c) The proposal is approved by a resolution passed by two-

thirds majority of members of each House of the National

Assembly.

3.

4.

A new sub-section 7 is added after sub-section 6 as follows:

Any merger of states or boundary realignment and adjustment

which is done under this section shall remain irreversible until

after the expiration of a period of twenty-five (25) years from the

date the merger came into effect.

This Act may be cited as the Constitution of the Federal

Republic of Nigeria, 1999 (Fourth Alteration) Act, No... 2018.

Citation

EXPLANATORY MEMORANDUM

This seeks to alter the Constitution of the Federal Republic of Nigeria, 1999 (as

amended) to provide for the merger of States of the Federation.

THIS ALTERATION WAS PASSED BY THE SENATE/HOUSE OF REPRESENTATIVES ON

THE ...............DAY OF ................2018

............................................................... .................................................................

President/Speaker, Clerk,

Senate/House of Representatives Senate/House of Representatives

of the Federal Republic of Nigeria of the Federal Republic of Nigeria

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2.2 Recommendation 3 – Derivation Principle

To promote the unity of the country and ensure that states are more financially empowered to deliver services to their residents, as well as ensure no one feels disadvantaged, the committee recommends that the federal government should expeditiously review current derivation formula to reflect areas of national consensus which are adoption of “state control of resources and pay Tax to FG”, upward review of the current formula in favour of states and adoption of similar derivation formula in favour of solid minerals and power generation. The Committee in response to popular opinion recommends an upward review of the current

derivation formula and adoption of the said formula in favor of solid minerals and hydro power.

This recommendation will entail the amendment of Section 162 (2) of the Constitution.

Also, it has been noted that there is no clear provision in any legislation assigning the specific

responsibility for initiating the review of the derivation formula to any particular organ of

Government, even though Item 32 of Part 1 of the Third Schedule to the Constitution

stipulates that the formula shall remain for a period of not less than five (5) years. This implies

that the formula will be reviewed periodically subject to the period not being less than five years.

It is instructive to note that the current formula has been in place for over 17 years without review.

This is probably because of the failure to assign responsibility for initiating the review process on

any organ of Government.

It is recommended that the Revenue Mobilization and Fiscal Allocation Commission Act,

2004 be amended to vest the Commission with the power and responsibility to periodically review

the derivation formula and make proposal to the President who shall then table same before the

National Assembly for necessary legislation.

Legislative Action: Expand Section 6 (1) of Revenue Mobilization and Fiscal Allocation

Commission Act by amendment.

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A BILL

FOR


REPUBLIC OF NIGERIA, 1999 TO PROVIDE FOR AN UPWARD REVIEW OF THE

DERIVATION FORMULA, FOR THE INCLUSION OF SOLID MINERALS AND HYDRO

POWER IN THE DERIVATION PRINCIPLE AND FOR RELATED MATTERS

( ) Commencement


Nigeria as follows:



Alteration of the

Constitution

2.

Section 162 subsection (2) of the Constitution is altered in the

following manner –

i. by substituting the words “thirteen per cent” in lines 2-

3 of the proviso thereof with the words “fifteen per

cent”; and

ii. by adding the words “including solid minerals and

hydro power” in line 4 of the said proviso after the

words “natural resources”.

Alteration of

section 162 (2)

3. This may be cited as the Constitution of the Federal Republic of

Nigeria, 1999 (Fourth Alteration) Act, No... 2018.

Citation



amended) to provide for an upward review of the derivation formula and include

solid minerals and hydro power in the derivation principle.


THE ...............DAY OF ................2018

............................................................... .................................................................


Senate/ House of Representatives Senate/House of Representatives


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2.3 Recommendation 4 – Fiscal Federalism and Revenue Allocation

Government needs to be explicit regarding the true meaning of derivation principle and fiscal federalism & revenue allocation for better public understanding and also to effectively manage the complexities of adoption of state control of resource and payment of taxes to the federal government. The committee believes that it would be beneficial for all, if there is an upward review of current revenue formula in favour of states. In view of the fact that this is a technical and rather complex issue, the Committee recommends that Federal Government should urgently direct the Revenue Mobilisation, Allocation and Fiscal Commission to among others fashion out a new revenue allocation formula in consonance with the provisions of the 1999 Constitution as amended, which envisages a periodic review of the formula. This should take account of items devolved from federal to state governments. Furthermore, since section 162(2) of the Constitution already provides for principle of derivation of not less than 13%, there is clearly room for its upward review. Based on the responses received and other findings, the Committee recommends an upward review of the current revenue sharing formula in favor of the states. This is in view and taking cognizance of the proposed control of resources by the States and the devolution of powers from the Federal Government to the states. The current formula for sharing revenue is 56% to Federal Government, 24% to State Governments and 20% to Local Governments. To give effect to this recommendation, the Allocation of Revenue (Federation Account etc.) Act, 2002 will have to be amended in favor of the states.

Legislative Action: Amend Section 162 (2) of the Constitution.

Amend the Allocation of Revenue (Federation Account etc.) Act

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A BILL

FOR

AN ACT TO ALTER THE PROVISIONS OF THE REVENUE MOBILISATION AND FISCAL

COMMISSION ACT TO EMPOWER THE COMMISSION TO INITIATE THE PROCESS FOR

REVIEW OF THE DERIVATION PRINCIPLE IN THE CONSTITUTION AND FOR RELATED

MATTERS

( ) Commencement


Nigeria as follows:

1 The Revenue Mobilisation, Allocation and Fiscal Commission

Act, 2004 (in this Bill referred to as “the Principal Act”) is altered

as set out in this Bill.

Alteration of the

Act

2.

Section 6(1) of the Principal Act is altered by inserting a new

subsection (g) as follows -

(g) to periodically review the derivation formula and make

proposal to the President who shall table same before the

National Assembly.

Alteration of

section 6 (1)

3. This Act may be cited as the Revenue Mobilisation, Allocation

and Fiscal Commission (Alteration) Act, No... 2018.

Citation


This Act seeks to alter the Revenue Mobilization, Allocation and Fiscal

Commission Act, 1989 to empower the Commission to periodically review the

derivation formula and make proposals to the President.


THE ...............DAY OF ................2018

............................................................... .................................................................




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2.4 Recommendation 5 – Devolution of Powers

Following the overwhelming popular demand for the devolution of powers to the states by the

Federal Government, the Committee recommends same. Accordingly, the Second Schedule

Part I and II of the Constitution will be amended to transfer items to be devolved from the

exclusive legislative list to the concurrent legislative list as follows:

S/No Items Exclusive Concurrent

1 Foods, Drugs, Poison, Narcotics and Psychotropic substances

Narcotics and Psychotropic substances

Foods, Drugs, Poison

2 Fingerprints and Identification of criminal records

Fingerprints and Identification of criminal records. Federal and States to share information on a reciprocal basis.

3 Registration of Business Names

Registration of Business Names of businesses operating beyond one state.

Registration of Business Names.

4 Labour

Labour including trade unions, industrial relations, conditions, safety and welfare of labour, industrial disputes, prescribing minimum wage and industrial arbitration.

5

Mines and minerals including oil fields, oil mining, geological surveys and natural gas

Mines and minerals including oil fields, oil mining, geological surveys and natural gas

6 Police Police

7 Prisons Prisons

8

Public holidays (to be classified as National public holidays and State public holidays

Public holidays

9 Railways Railways

10 Stamp Duties Stamp Duties only with respect to individual and business names

Legislative Action: Move items listed above from Exclusive Legislative List to the Concurrent

Legislative List and amend relevant extant Laws in respect of each of them as may finally be

approved.

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A BILL

FOR


REPUBLIC OF NIGERIA, 1999 TO PROVIDE FOR THE DEVOLUTION OF POWERS OF THE

FEDERAL GOVERNMENT TO THE STATES AND TRANSFER OF ITEMS FROM THE

EXCLUSIVE LEGISLATIVE LIST TO THE CONCURRENT LEGISLATIVE LIST AND FOR

RELATED MATTERS

( ) Commencement


Nigeria as follows:



Alteration of the

Constitution

2.

The Second Schedule Part I of the Constitution is altered by

transferring the under-listed Items contained therein to the

Second Schedule Part II –

“Item No. 2 – Arms and ammunition for the purpose of policing

only;

Item No. 8 – Census for the conduct of national and state

census;

Item No. 21 – Food, Drugs and poisons;

Item No. 28 – Fingerprints, identification and criminal records;

Item No. 34 – Labour including trade unions, industrial relations,

conditions, safety and welfare of labour, industrial disputes,

prescribing minimum wage and industrial arbitrations;

Item No. 36 – Ownership and operations of ships and shipping

only;

Alteration of the

Second

Schedule Part I

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Item No. 39 – Mines and minerals including oil fields, oil mining,

geological surveys and natural gas;

Item No. 45 – Police;

Item No. 48 – Prisons;

Item No. 51 – Public holidays;

Item No. 55 – Railways;

Item No. 58 - Stamp duties;

Item No. 62 (f) – Registration of business name”.



Citation



amended) to devolve some powers of the Federal Government to the States by

transferring some items from the exclusive legislative list to the concurrent

legislative list.


THE ...............DAY OF ................2018

............................................................... .................................................................




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2.5 Recommendation 8 – Independent Candidacy

The committee notes that majority of respondents are opposed to Independent Candidacy. However, the committee still recommends that the party should support the demand for widening the political space by allowing for Independent Candidates. The party should note that this is popular among members of the National Assembly who have already approved it as part of their constitution amendment exercise and awaiting adoption by the House of Assembly of States. However, it is necessary to introduce strong eligibility criteria and process checks in order to prevent abuse for instance, by attention-seeking candidates who will demand their inclusion on the ballot papers and thereafter use it to create crises in the electoral process. It is necessary and important to ensure that INEC is not inundated and overwhelmed by a large number of independent candidates some of whom may be unserious. There is growing demand for independent candidacy. Even though this is a novel proposition that

has hitherto not been provided for in any of our existing laws, in view of the growing support for

same, the Committee recommends that it should be provided for by the Constitution. Accordingly,

Sections 65 (2), 106 (d), 131 (c), 142 (1), 176 (c) and 187 of the Constitution will be amended

to provide for independent candidacy. Also, the Electoral Act, 2010 will be amended particularly

Section 87 thereof to provide for strong eligibility criteria which must be met by persons wishing

to contest as independent candidates. These criteria shall include but not limited to the following:

a) Any person desiring to stand for an elective post as an independent candidate shall not

be a registered member of a political party at least six (6) months before the date set for

the elections in which he intends to contest.

b) His nominators must also not be members of any registered political party.

c) The said candidate must pay a deposit to INEC in the same range as the non-refundable

deposit fee payable by candidates sponsored by political parties to their parties, which

amount shall be determined by an Act of the National Assembly.

d) The candidate must also meet other qualification requirements provided for by the

Constitution and any other law.

It should be noted however; the Committee is cognizant of the fact that the National Assembly in

its current Constitution amendment exercise has adopted a proposal in favor of independent

candidacy.

Legislative Action: Amend Sections 65 (2), 106 (d), 131 (c), 142 (1), 176 (c) and 187 of the

Constitution.

Amend Section 87 of the Electoral Act, 2010.

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A BILL

FOR


REPUBLIC OF NIGERIA, 1999 TO PROVIDE FOR ELIGIBILITY OF PERSONS TO CONTEST

ELECTIONS AS INDEPENDENT CANDIDATES AND FOR RELATED MATTERS

( ) Commencement


Nigeria as follows:



Alteration of the

Constitution

2.


subsection (3) as follows -

“A person shall be qualified for election under subsection (1) of

this section as an independent candidate if –

(a) he is not a member of any registered political party and

has not been so registered by any political party at least

six (6) months prior to the date set for the elections at

which he intends to contest;

(b) he is nominated to contest the elections by persons who

must not be registered members of any political party at

least six (6) months prior to the elections;

(c) he is not disqualified for elections by any provisions of

this Constitution; and

(d) he has fulfilled other requirements for election set forth by

an Act of the National Assembly including the payment of

nomination fees”.

Alteration of

section 65 (2)

3.


subsection (2) as follows -.

Alteration of

section 106

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4.

5.












(d) he has fulfilled other requirements set forth by an Act of

the National Assembly including the payment of

nomination fees”.


subsection (2) as follows –












Alteration of

section 131

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6.

7.



nomination fees”.



“In any elections to which the provisions of subsection (1) of this

section relate, a candidate standing for election to the office of

President as an independent candidate shall not be deemed to

be validly nominated unless he nominates another candidate as

his associate running for the office of Vice-President, who shall

not be a member of any registered political party and has not

been so registered by any political party at least six (6) months

prior to the date set for the elections at which he intends to

contest and that candidate shall be deemed to have been

elected to the office of Vice-President if the candidate who

nominated him is elected to the office of President”.

Section 177 of the Constitution is amended by inserting a new













Alteration of

section 142

Alteration of

section 177

Alteration of

section 187

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8.

9.



nomination fees”.



“In any elections to which the provisions of subsection (1) of this

section relate, a candidate standing for election to the office of

Governor as an independent candidate shall not be deemed to

be validly nominated unless he nominates another candidate as

his associate running for the office of Deputy Governor, who

shall not be a member of any registered political party and has

not been so registered by any political party at least six (6)

months prior to the date set for the elections at which he intends

to contest and that candidate shall be deemed to have been

elected to the office of Deputy Governor if the candidate who

nominated him is elected to the office of Governor”.

This may be cited as the Constitution of the Federal Republic of


Citation



amended) to provide for eligibility of candidates standing for elections as

independent candidates.


THE ...............DAY OF ................2018

............................................................... .................................................................




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A BILL

FOR

AN ACT TO ALTER THE PROVISIONS OF THE ELECTORAL ACT 2010 TO ALLOW

INDEPENDENT CANDIDATES TO CONTEST ELECTIONS AND FOR RELATED MATTERS

( ) Commencement


Nigeria as follows:

1 The Electoral Act, 2010 (in this Bill referred to as “the Principal

Act”) is altered as set out in this Bill.

Alteration of the

Act

2.

Section 87 of the Principal Act is altered by inserting a new

subsection (12) as follows -

“(12) nothing in this section shall prevent any person from

contesting any elective position as an independent

candidate subject to the fulfilment of any conditions as may

be stipulated by the Constitution and any other Law”.

Alteration of

section 87

3. This Act may be cited Electoral (Amendment) Act, No... 2018. Citation


This Act seeks to alter the provisions of the Electoral Act 2010 to allow independent

candidates to contest elections into any elective post in Nigeria.


THE ...............DAY OF ................2018

............................................................... .................................................................




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2.6 Recommendation 9 – Local Government Autonomy

There are divergent opinions on the issue of Local Government autonomy. In line with the

Committee’s findings, it recommends that the current system of local government administration

as provided for by the Constitution should be amended and States be allowed to develop and

enact laws for a local administration system that is peculiar to each of them. However, the

existence of democratically elected Local Government Councils should be guaranteed under the

Constitution, albeit under the exclusive administration of the states. In this regard Sections 7, 8,

162, the First Schedule, Part 1, Fourth Schedule and any other section that provides for Local

Government in the Constitution shall be amended.

Also, the Allocation of Revenue (Federation Account etc.) Act, 2002 and Section 40 of the

Value Added Tax Act, 1993 will be amended to remove local governments and the Monitoring

of Revenue Allocation to Local Governments Act, 2005 shall be repealed.

Legislative Action: Amend Sections 7, 8, 6,162, the First Schedule Part 1 and Fourth Schedule

of the Constitution (see Draft Bill for an Act to Alter the Provisions of the Constitution of the Federal Republic of Nigeria,

1999 to Make Local Government Areas Administrative Units of Each State and for Related Matters).

Amend Section 1 of the Allocation of Revenue (Federation Account etc.) Act (see Draft Bill

for an Act to Alter the Provisions of the Allocation of Revenue (Federation Account) Act, 2002 to Alter the Sharing Formula

in Favor of the States and for Related Matters).

Section 40 of the VAT Act (see Draft Bill for an Act to Alter the Provisions of the Value Added Tax 1993 to Remove

Local Governments and Review the Sharing Formula in Favor of the States and for Related Matters).

Repeal the Monitoring of Revenue Allocation to Local Governments Act, 2005 (see Draft Bill for an

Act to Repeal the Monitoring of Revenue Allocation to Local Governments, Act 2005).

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A BILL

FOR


REPUBLIC OF NIGERIA, 1999 TO MAKE LOCAL GOVERNMENT AREAS

ADMINISTRATIVE UNITS OF EACH STATE AND FOR RELATED MATTERS

( ) Commencement


Nigeria as follows -



Alteration of the

Constitution

2.

Section 7 of the Constitution is altered by substituting it with a

new section 7 as follows -

“(1) The system of local government by democratically elected

local government councils as full administrative units under

each State, is guaranteed under this Constitution and

accordingly, the Government of each State shall ensure their

existence under a law of the State which provides for their

establishment, structure, composition, finance and functions.

(2) Each State shall in prescribing the area over which a local

government council may exercise authority –

(a) define such area as clearly as practicable; and

(b) ensure, that in defining such area regard is paid to –

(i) the common interest of the community in the area,

(ii) traditional association of the community, and

(iii) administrative convenience.

Alteration of

section 7

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(3) it shall be the duty of a local government council within the

State to participate in economic planning and development of

the area referred to subsection (2) of this section and to this end

an economic planning board shall be established by a law

enacted by the House of Assembly of the State.

(4) The Government of a State shall ensure that every person

who is entitled to vote or be voted for at an election to a House

of Assembly shall have the right to vote and be voted for at an

election to a local government council.

(5) The House of Assembly of a State shall make provisions for

statutory allocation of public revenue to local government

councils within the State.

3.

4.

5.

6.

7.

Section 8 of the Constitution is altered by deleting subsections

(5) and (6) thereof.

Section 162 of the Constitution is altered as follows-

“in subsection (3) by deleting the words ‘and the local

government councils in each State’ in line 3 thereof”.

“Subsections (5), (6) and (7) are hereby deleted”.

The First Schedule, Part I to the Constitution is hereby deleted.

The Fourth Schedule to the Constitution is hereby deleted.

This may be cited as the Constitution of the Federal Republic of


Alteration of

section 8.

Alteration of

section 162

Alteration of the

First Schedule

Alteration of the

Fourth Schedule

Citation

Page | 25



amended) to bring the local government system of government under the control

of the States.


THE ...............DAY OF ................2018

............................................................... .................................................................




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A BILL

FOR

AN ACT TO ALTER THE PROVISIONS OF THE ALLOCATION OF REVENUE (FEDERATION

ACCOUNT) ACT, 2002 TO ALTER THE SHARING FORMULA IN FAVOUR OF THE STATES

AND FOR RELATED MATTERS

( ) Commencement


Nigeria as follows:

1 The Allocation of Revenue (Federation Account) Act, 2002 (in

this Bill referred to as “the Principal Act”) is altered as set out in

this Bill.

Alteration of the

Act

2.

3.

Section 1 of the Principal Act is altered as follows -

i. In subsection (a) by substituting the figure 56% with

40%;

ii. In subsection (b) by substituting the figure 24% with

60%; and

iii. By deleting subsection (c).

Section 2 of the Principal Act is altered as follows:

i. In subsection (3) (a) the words “or local government”

in lines 2 and 3 are hereby deleted;

ii. Subsection (3) (a) (ii) is hereby deleted;

iii. In subsection (3) (b) the words “or local government”

in line 3 are hereby deleted; and

iv. In subsection (3) (c) the word “local” in line 2 is hereby

deleted.

Alteration of

section 1

Alteration of

section 2

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4.

Sections 3, 4 and 7 of the Principal Act are hereby deleted

Alteration of

sections 3, 4 and

7

5. This Act may be cited as Allocation of Revenue (Federation

Account) (Amendment) Act, No... 2018.

Citation


This Act seeks to alter the provisions of the Allocation of Revenue (Federation

Account) Act, 2002 to remove local governments and review the sharing formula

in favour of the States.


THE ...............DAY OF ................2018

............................................................... .................................................................




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A BILL

FOR

AN ACT TO ALTER THE PROVISIONS OF THE VALUE ADDED TAX 1993 TO REMOVE

LOCAL GOVERNMENTS AND REVIEW THE SHARING FORMULA IN FAVOUR OF THE

STATES AND FOR RELATED MATTERS

( ) Commencement


Nigeria as follows:

1 The Value Added Tax Act, 1993 (in this Bill referred to as “the

Principal Act”) is altered as set out in this Bill.

Alteration of the

Act

2.

Section 40 of the Principal Act is altered as follows -

iv. In subsection (a) by substituting the figure 15% with

35%;

v. In subsection (b) by substituting the figure 50% with

60%; and

vi. By deleting subsection (c)

Alteration of

section 40

3. This Act may be cited as Value Added Tax (Amendment) Act,

No... 2018.

Citation


This Act seeks to alter the provisions of the Value Added Tax to remove Local

Governments and to review the sharing formula in favour of the States.


THE ...............DAY OF ................2018

............................................................... .................................................................




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A BILL

FOR

AN ACT TO REPEAL THE MONITORING OF REVENUE ALLOCATION TO LOCAL

GOVERNMENTS, ACT 2005

( ) Commencement


Nigeria as follows –

1. The Monitoring of Revenue Allocation to Local Governments Act,

2005 is hereby repealed

Repeal

2.

This Bill may be cited as the Monitoring of Revenue Allocation to

Local Government (Repeal) Act, 2018.

Citation


This Act seeks to repeal the Monitoring of Revenue Allocation to Local

Governments Act, 2005.


THE ...............DAY OF ................2018

............................................................... .................................................................




Page | 30

2.7 Recommendation 11 – Resource Control

The Committee noted the growing agitations for states to exercise control over natural resources

within their respective territories and pay taxes or royalties therefrom to the Federal Government.

If the recommendation is accepted and control of resources is ceded to the states then several

other legislations will have to be amended consequentially as follows:

(a) Petroleum Act, LFN 2004.

The Act in Section 1, vests the entire ownership and control of all petroleum in, under or

upon any lands to which this section applies in the State (Federal Government). It also

vests the power to grant oil exploration license and construction or operation of refineries

in Nigeria on the Minister. Therefore, if control of resources is ceded to the states, the Act

will be amended to vest ownership and control on the oil producing states together with

the power to grant oil exploration license and construction or operation of refineries on the

State Governors while ownership of oil deposits within the territorial water remains with

the Federal Government. The amendment will be by way of repeal and re-enactment

because all the sections of the Act will require amendment.

(b) Nigerian Minerals and Mining Act, 2007

The Act vests ownership and control of all mineral resources upon any land, the

continental shelf and territorial waters of Nigeria on the Federal Government. It also vests

the power to grant and revoke exploration licenses and make regulations on the Minister.

If control of resources is ceded to the states, the Act will be amended to vest ownership

and control of mineral resources upon land on the states. However, it is expedient that

ownership and control of resources in the continental shelf and territorial waters remains

with the Federal Government. Therefore, the Act will be repealed and re-enacted because

the required amendments will be quite substantial.

(c) Land Use Act, 1978

Section 1 of the Act vests all land in a State on the Governor to be held in trust for the

people of Nigeria and gives the Governor the power to administer land in accordance with

provisions of the Act. However, the powers of the Governor are subject to the provisions

of the Minerals Act. Therefore, Section 12 (1) of the Land Use Act will be amended to

remove the limitation placed on the powers of the Governor.

Page | 31

(c) Petroleum Profit Tax Act, 2007

The Act provides for the imposition of tax upon profits from the winning of Petroleum in

Nigeria and same accrue to the Federal Government. Therefore, Sections 3, 8-20 of this

Act will have to be amended to reflect state control.

Legislative Action: Amend Petroleum Act, LFN 2004

Amend the Nigerian Minerals and Mining Act, 2007

Amend Section 12(1) Land Use Act, 1978

Amend Section 3, 8-20 Petroleum Tax Act, 2007

Page | 32

A BILL

FOR

AN ACT TO ALTER THE PROVISIONS OF THE PETROLEUM ACT, 1969 AND FOR

RELATED MATTERS

( ) Commencement


Nigeria as follows:

1 The Petroleum Act, 1969 (in this Bill referred to as “the Principal

Act”) is altered as set out in this Bill.

Alteration of the

Act

2.

3.

Section 1 of the Principal Act is altered by substituting it with a

new section 1 as follows -

“1. (1) The entire property in and control of all Petroleum

Resources in, under and upon the contiguous

continental shelf and Exclusive Economic Zone of the

Federal Republic of Nigeria is and shall be vested on

the Federal Government of Nigeria.

(2) The entire property in and control of all Petroleum

Resources in, under and upon any land, rivers, streams

and water courses within Nigeria is and shall be vested

on the government of the state within whose territory

such Petroleum Resources are found or discovered and

same shall be administered by the State in accordance

with the Law of the State.

Section 4 of the Principal Act is altered by as follows:

i. In subsection (2) (a) by inserting the words “or State”

after the word “Federal”.

ii. In subsection (5) by inserting the words “or State” after

the word “Federal” and deleting the words “in a State”

after the word “authorities”.

Alteration of

section 1

Alteration of

section 4

Page | 33

4.

5.

6.

7.

8.

iii. In subsection (6) by substituting the words “two years

or a fine of N2,000” with the words “a term of not less

than 10 years or fine of not less than N20,000,000”


i. In subsection (1) by substituting the words “fine of

N100” with the words “fine of not less than N10,000”.

ii. In subsection (2) by substituting the words “fine of

N5,000” with the words “fine of not less than N50,000”.

Section 6 (1) of the Principal Act is altered by inserting the

words “or State” after the word “Federal”.


i. In subsection (3) by substituting the words “not

exceeding N2,000” with the words “not less than

N20,000,000”.

ii. In subsection (4) by substituting the words “not

exceeding N200 or to imprisonment for a period not

exceeding six months” with the words “not less than

N2,000,000 or imprisonment for a period of not less

than two years”.

Section 8 of the Principal Act is altered by inserting the words

“or State” after the word “Federal”.


i. In subsection (1) by substituting the words “not

exceeding N200 or to imprisonment for a period not

exceeding six months” with the words “not less than

Alteration of

section 5

Alteration of

section 6

Alteration of

section 7

Alteration of

section 8

Alteration of

section 13

Page | 34

9.

N2,000,000 or imprisonment for a period of not less

than two years”.

ii. In subsection (2) by substituting the words “not


N20,000,000”.

iii. In subsection (3) by substituting the words “not


N20,000,000”.


i. By inserting in the definition of “Minister” the words “or

the State Commissioner responsible for Petroleum

Resources” after the word “Minister”.

ii. In the definition of “State” by deleting the words

“except in section 1 of this Act”.

Alteration of

sections 15

10. This Act may be cited as the Petroleum (Amendment) Act, No...

2018.

Citation


This Act seeks to alter the provisions of the Petroleum Act, 1969 to vest ownership

and control of petroleum resources on the Government of the State within whose

territory the petroleum resources are found.


THE ...............DAY OF ................2018

............................................................... .................................................................




Page | 35

A BILL

FOR

AN ACT TO ALTER THE PROVISIONS OF THE NIGERIAN MINERALS AND MINING ACT,

2007 AND FOR RELATED MATTERS

( ) Commencement

ENACTED by the National Assembly of the Federal Republic of Nigeria as

follows:

1 The Nigerian Minerals and Mining Act, 2007 (in this Bill referred to as “the

Principal Act”) is altered as set out in this Bill.

Alteration of the

Act

2.

Section 1 of the Principal Act is altered by substituting it with a new

section 1 as follows -

“1. (1) The entire property in and control of all mineral

resources in, under and upon the contiguous continental

shelf and Exclusive Economic Zone of the Federal Republic

of Nigeria is and shall be vested on the Federal Government

of Nigeria.

(2) The entire property in and control of all mineral

resources in, under and upon any land, rivers, streams and

water courses within Nigeria is and shall be vested on the

government of the state within whose territory such mineral

resources are found or discovered and same shall be

administered by the State in accordance with the Law of the

State.

(3) All land in which mineral resources have been found in

commercial quantities shall from the commencement of this

Act or State Law be acquired by the Government of the State

where such minerals are found in accordance with the

provisions of the Land Use Act.

(4) The property in the mineral resources shall pass from the

Federal or State Government, as the case may be, to the

person by whom the mineral resources are lawfully won

upon their recovery.”

Alteration of

section 1

Page | 36

3.

4.

5.

6.

7.

8.

9.

Section 2 of the Principal Act is altered by substituting subsection (1)

thereof with a new subsection (1) as follows:

“(1) No person shall search for or exploit mineral resources in Nigeria

or divert or impound water for the purpose of mining except as

provided in this Act or any Law enacted by the State where the

minerals are found.”

Section 4 of the Principal Act is altered by inserting the words “or any

Law enacted by a House of Assembly of a State” after the word “Act”.

Section 6 of the Principal Act is altered by deleting the word

“exclusive” in line 1 thereto.

Section 35 (2) (a) of the Principal Act is altered by inserting the words

“or Governor” after the word “President”.

Section 38 (a) of the Principal Act is altered by inserting the words

“or State” after the word “Federal”.

Section 39 of the Principal Act is altered by inserting the words

“House of Assembly of a State” after the words “National Assembly”.


i. Inserting the definition of “Governor” to mean the Governor

of any of the thirty-six (36) States of the Federal Republic

of Nigeria.

ii. “Gazette” means the Official Gazette of the Federal or

State Government in Nigeria.

iii. “Mining Lease” means the mining lease granted under this

Act or Law of a State.

iv. “Minister” means and includes the Minister or State

Commissioner responsible for regulating matters relating

to exploration, development and exploitation of mineral

resources.

Alteration of

section 2

Alteration of

section 4

Alteration of

section 6

Alteration of

section 35

Alteration of

section 38

Alteration of

section 39

Alteration of

sections 164

Page | 37

10. This Act may be cited as the Nigerian Minerals and Mining

(Amendment) Act, No... 2018.

Citation


This Act seeks to alter the provisions of the Nigerian Minerals and Mining Act, 2002 to

vest ownership and control of mineral resources on the Government of the State within

whose territory the minerals are found.


THE ...............DAY OF ................2018

............................................................... .................................................................

President; Speaker, Clerk,



Page | 38

2.8 Recommendation 15 – Citizenship

It is considered that the Constitutional provisions on citizenship contained in Sections 25-32 of

the Constitution are explicit and unambiguous to the effect that there is only one citizenship i.e.

the Nigerian Citizenship.

This does not require legislative action. This need not be because the Land Use Act has since

1978 recognized and given effect to “settlers” or customary tenants as entitled to a right of

occupancy or “ownership” of the land of which they were occupiers when the Act came into effect.

However, the issues of indigeneship, residency and settlers are often confused with citizenship.

The issue of settlers generates a lot of controversy especially in conflict zones. On the issue of

indigeneship or place of origin, some argue that it is discriminatory and should be replaced with

residency. The problem with this however, is that while place of origin or indigeneship is and

remains one, residence can be multiple and difficult to ascertain for the purpose of access to

privileges open to the people of a state or local government area. Perhaps, instead of residence,

domicile should be considered as an alternative. Domicile has been legally defined as “Home.

Permanent Home”. Whereas a person can have several places of residence, domicile can only

be the one place a person regards as his “Permanent Home”. The term “Permanent Residence”

is to be preferred because of its certainty and “indigene” should be removed.

Legislative Action: Create an Act to modify the Federal Character Commission Act.

Page | 39

A BILL

FOR

AN ACT TO ALTER THE PROVISIONS OF THE FEDERAL CHARACTER COMMISSION

(ESTABLISHMENT etc.) ACT, 1995 AND FOR RELATED MATTERS

( ) Commencement


Nigeria as follows:

1. The Federal Character Commission (Establishment etc.) Act,

(in this Bill referred to as “the Principal Act”) is altered as set out

in this Bill.

Alteration of the

Constitution

2.

3.

Section 17 (k) of the Principal Act is hereby deleted.

From the commencement of this Act, the word “Indigene” of a

state shall be interpreted to mean “place of permanent

residence or domicile” and any other definition in any Law or

Regulation becomes void and of no effect to the extent of its

inconsistency with this definition.

Alteration of

Section 17 (k)

4. This Act may be cited as the Federal Character Commission

(Establishment etc) (Amendment) Act, No... 2018.

Citation


This Act seeks to alter the provisions of the Federal Character Commission

(Establishment etc.) Act, 1995 to remove the powers of the Commission to define

the word indigene of a state.


THE ...............DAY OF ................2018

............................................................... .................................................................




Page | 40

2.9 Recommendations 10 – Ministerial Appointments

The committee recommends that section 147(3) of the constitution be amended to remove the requirement on the President to appoint a Minister from every state of the Federation who must be an indigene of the state.

Legislative Action: Expunge the proviso of Section 147 (3).

Page | 41

A BILL

FOR


REPUBLIC OF NIGERIA, 1999 TO EXPUNGE THE PROVISO TO SECTION 147 (3)

THEREOF AND FOR RELATED MATTERS

( ) Commencement


Nigeria as follows:

1. The Constitution of the Federal Republic of Nigeria, is altered

as set out in this Bill.

Alteration of the

Constitution

2.

Section 147 (3) of the Constitution is altered by expunging the

proviso thereto.

Alteration of

Section 147 (3)


Nigeria, 1999 (Fourth Alteration) Act, No ... 2018.

Citation



amended) to expunge the proviso to section 147 (3) of the Constitution.


THE ...............DAY OF ................2018

............................................................... .................................................................




Page | 42

2.10 Recommendation 19 – Judiciary

To correct/amend the current anomaly whereby the recurrent expenditure of state judiciary

officers is paid from the Consolidated Revenue Fund of the federation through the National

Judicial Council.

The Committee has recommended that the functions of the National Judicial Council (NJC) in

relation to state courts should be transferred to the States Judicial Councils This will be more in

tune with our federal system. At the same time, it will preserve the independence of the judiciary

in the states through the State Judicial Council similar to the function of the National Judicial

Council (NJC) in relation to federal courts.

After very careful deliberation, the committee notes that of the three arms of government, the

judiciary is the most centralized. The committee therefore recommends that each state should

have and control its own judiciary including appointment, promotion, discipline, transfer and

remuneration of Judges. The function of the National Judicial Council, NJC, should be limited to

federal courts only while the constitution should be amended to establish states judicial

committees to be responsible for state courts. Their powers in relation to the state courts shall be

analogous to the powers of NJC in relation to federal courts. This of course will be without

prejudice to inter-service transfer in which case such transferees will come under the relevant

judicial service.

Section 6(5)(K) should be amended to make it clear that states can establish courts to exercise

jurisdiction at first instance or on appeal on matters with respect to which the states can make

laws.

Legislative Action: (i) Amend Section 6 (5) (K) of the Constitution.

(ii) Amend Section 84 (4); 124 (2); 124 (4) of the Constitution

Page | 43

A BILL FOR

AN ACT TO ALTER THE PROVISIONS OF THE CONSTITUTION OF THE FEDERAL REPUBLIC OF NIGERIA, 1999 TO PROVIDE FOR THE ESTABLISHMENT OF STATES COURT OF APPEAL AND THE APPOINTMENT OF JUDGES OF STATE COURTS BY THE STATES AND FOR RELATED MATTERS

( ) Commencement

ENACTED by the National Assembly of the Federal Republic of Nigeria as follows:

1. The Constitution of the Federal Republic of Nigeria, 1999 is altered as set out in this Bill.

Alteration of the Constitution

2. 3. 4. 5.

Section 6 (5) (b) of the Constitution is altered by substituting it with a new subsection (5) (b) as follows – “(5) (b) the Federal Court of Appeal or a State Court of Appeal”. Section 197 (1) of the Constitution is altered by inserting a new subsection (d) after the existing subsection (c) as follows: “(c) State Judicial Council.” Section 270 of the Constitution is altered by inserting a new section 270 (A) immediately preceding the existing section 270 as follows: “270 (A). (1) There shall be a State Court of Appeal for each State of the Federation. (2) The State Court of Appeal shall consist of:

(a) The Presiding Judge; and

(b) Such number of Judges of the State Court of Appeal as may be prescribed by a law of the House of Assembly of the State”.

Section 271 of the Constitution is altered by inserting a new section 271 (A) immediately preceding the existing section 271 as follows:

Alteration of section 6 Alteration of section 197

Alteration of section 270 Alteration of section 271

Page | 44

6.

“271(A). (1) The appointment of a person to the office of Presiding Judge of the State Court of Appeal shall be made by the Governor of the State on the recommendation of the State Judicial Council subject to confirmation of the appointment by the House of Assembly of the State. (2) The appointment of a person to the office of a Judge of the State Court of Appeal shall be made by the Governor acting on the recommendation of the State Judicial Council. (3) A person shall not be qualified to hold the office of a Judge of the State Court of Appeal unless he is qualified to practise as a legal practitioner in Nigeria and has been so qualified for a period of not less than fifteen years. (4) If the office of Presiding Judge of the State Court of Appeal is vacant or if the person holding the office is for any reason unable to perform the functions of the office, then until a person has been appointed to and has assumed the functions of that office, or until the person holding the office has assumed those functions, the Governor of the State shall appoint the most senior Judge of the State Court of Appeal to perform those functions. (5) Except on the recommendation of the State Judicial Council, an appointment pursuant to subsection (4) of this section shall cease to have effect after the expiration of three months from the date of such appointment and the Governor shall not re-appoint a person whose appointment has lapsed.” Section 272 of the Constitution is altered by inserting a new section 272 (A) immediately preceding the existing section 272 as follows: “272 (A). (1) Subject to the provisions of this Constitution, the State Court of Appeal shall have jurisdiction to the exclusion of any other court of law in the State, to hear and determine appeals from the State High Court, State Sharia Court of Appeal and the State Customary Court of Appeal and appeals from the decisions of the State Court of Appeal shall be made directly to the Supreme Court of Nigeria.

Alteration of section 272 Constitution

Page | 45

7.

(2) For the purpose of exercising any jurisdiction conferred on it by this Constitution or any law, a State Court of Appeal shall be duly constituted if it consists of at least three Judges of that court. (3) Subject to the provisions of any law made by the House of Assembly of the State, the Presiding Judge of the State Court of Appeal shall make rules for regulating the practice and procedure of the State Court of Appeal. (4) The provisions of this Constitution relating to the right of appeal at the Federal Court of Appeal shall be applicable to the States Court of Appeal. The Third Schedule, Part II of the Principal Act is altered by inserting a new Paragraph “D” after the existing Paragraph “C” as follows:

D – State Judicial Council

“6. The State Judicial Council shall comprise of the following members:

(a) The Chief Judge of the State, who shall be the Chairman;

(b) The Presiding Judge of the State Court of Appeal;

(c) The Attorney-General of the State;

(d) The Grand Kadi of the Sharia Court of Appeal of the State;

(e) The President of the Customary Court of Appeal of the

State;

(f) Five retired Justices selected by the Chief Judge of the State from the State Court of Appeal or High Court;

(g) Five members of the Nigerian Bar Association who have

been qualified to practice for a period of not less than fifteen years at least one of whom shall be a Senior Advocate of Nigeria, appointed by the Chief Judge of

Practice and Procedure Right of Appeal Alteration of the Third Schedule, Part II

Page | 46

the State on the recommendation of the State Executive Committees of the Nigerian Bar Association to serve for two years and subject to re-appointment;

Provided that the five members shall sit in Council only for the purposes of considering the names of persons for appointment to the superior courts of record. 7. The State Judicial Council shall have power to:

(a) recommend to the Governor from among the list of persons submitted to it by the State Judicial Service Commission persons for appointment to the offices of the Chief Judge of the State, Presiding Judge of the State Court of Appeal, Judges of the State Court of Appeal and the State High Court, Grand Kadi and Kadis of the State Sharia Court of Appeal and the President and Judges of the Customary Court of Appeal of the State;

(b) recommend to the Governor the removal from office of the judicial officers specified in sub-paragraph (c) of this paragraph, and to exercise disciplinary control over such officers;

(c) collect, control and disburse all moneys, capital and

recurrent for the judiciary;

(d) advise the Governor on any matter pertaining to the state judiciary as may be referred to the Council by the Governor;

(e) appoint; dismiss and exercise disciplinary control over

members of staff of the Council;

(f) control and disburse all monies, capital and recurrent, for the services of the Council; and

(g) deal with all other matters relating to broad issues of

policy and administration. 8. The secretary of the Council shall be appointed by the State Judicial Council on the recommendation of the State Judicial

Page | 47

Service Commission and shall be a legal practitioner who has qualified to practice for a period of not less than ten years.”

8. This may be cited as the Constitution of the Federal Republic of Nigeria, 1999 (Fourth Alteration) Act, No... 2018.

Citation


This seeks to alter the Constitution of the Federal Republic of Nigeria, 1999 (as amended) to provide for the establishment of State Courts of Appeal and the appointment of Judges of State superior courts of record by the States.


THE ...............DAY OF ................2018

............................................................... .................................................................




Page | 48

A BILL FOR

AN ACT TO ALTER THE PROVISIONS OF THE CONSTITUTION OF THE FEDERAL REPUBLIC OF NIGERIA, 1999 TO PROVIDE FOR THE PAYMENT OF REMUNERATIONS OF STATE JUDICIAL OFFICERS DIRECTLY FROM THE CONSOLIDATED REVENUE FUND OF THE STATE AND FOR RELATED MATTERS

( ) Commencement

ENACTED by the National Assembly of the Federal Republic of Nigeria as follows:

1. The Constitution of the Federal Republic of Nigeria, 1999 is


Alteration of the Constitution

2. 3. 4.

Section 84 (4) of the Constitution is altered by expunging the offices of “Chief Judge of a State”, “Judge of the High Court of a State”, “Grand Kadi and Kadi of a Sharia Court of Appeal of a State”, and “President and Judge of a Customary Court of Appeal of a State”. Section 124 (2) of the Constitution is altered by inserting the words “a first line” immediately after the word “be” in line two thereof. Section 124 (4) of the Constitution is altered by inserting the following words (offices) “Chief Judge of a State”, “Presiding Judge and Judge of a State Court of Appeal”, “Judge of the High Court of a State”, “Grand Kadi and Kadi of a Sharia Court of Appeal of a State”, and “President and Judge of a Customary Court of Appeal of a State” immediately after the words (office) “Deputy Governor” and also inserting the words “State Judicial Council” immediately after the words “ State Judicial Service Commission” in the last line thereof.

Alteration of Section 84 Alteration of section 124 (2) Alteration of section 124 (4)

5. This may be cited as the Constitution of the Federal Republic of Nigeria, 1999 (Fourth Alteration) Act, No ... 2018.

Citation

Page | 49


This seeks to alter the Constitution of the Federal Republic of Nigeria, 1999 (as amended) to provide for the payment of remuneration of State Judicial Officers directly from the Consolidated Revenue Fund of the State.


THE ...............DAY OF ................2018

............................................................... .................................................................




Page | 50

2.11 Recommendations 16 – States Realignment and Boundary Adjustments

The committee recognizes the existence of intra-state conflicts along ethno-religious fault lines in many states where minority and majority interests are in direct competition. At the underbelly of these conflicts are arguable demands for boundary adjustments and clamours for unmerging and remerging with contiguous states. The historical evolution of states from the defunct regional into the current state structure was largely done by military fiat with minimum people to people consultation which is now playing up under a democratic freedom of expression. Against this backdrop, the committee recommends a dispassionate review and consideration for all marginal agitation in conflict zones that request for choice of determination of preferred states of residence within the context of the constitutional guarantees of freedom of association and in the context of the existing state structure of the republic. In as much as it is desirable for states and communities agitating for boundary adjustments and

realignment to have avenues to ventilate their agitations through laid down procedures in line with

the constitutional right to freedom of association, it is the Committee’s opinion that Sections 8 (2)

and (4) of the Constitution have made provisions on the issue. However, the said provisions will

need to be amended to subject any request for boundary adjustment and realignment to a

referendum as is the case with creation of states and local governments under Section 8 (1) and

(3) of the Constitution.

Legislative Action: Amend Section 8 (2) and 8 (4) of the Constitution.

Page | 51

A BILL

FOR


REPUBLIC OF NIGERIA, 1999 TO PROVIDE FOR THE CONDUCT OF REFERENDUM IN

THE CASE OF REQUEST FOR BOUNDARY ADJUSTMENT AND RE-ALIGNMENT AND

FOR RELATED MATTERS

( ) Commencement


Nigeria as follows:



Alteration of the

Constitution

2.

3.

Section 8 subsection (2) of the Constitution is altered by

inserting new subsections (c), (d) and (e) as follows –

“(c) a proposal for the boundary adjustment is thereafter

approved in a referendum by at least two-thirds majority of the

people of the local government areas where the demand for the

boundary adjustment originated;

(d)the result of the referendum is then approved by a simple

majority of the members in each of the local government

councils in a majority of the local government councils in the

State;

(e)the result of the referendum is approved by a resolution

passed by two-thirds majority of members of the House of

Assembly”

Section 8 subsection (4) of the Constitution is altered by

inserting new subsections (c), (d) and (e) as follows –

“(c) a proposal for the boundary adjustment is thereafter

approved in a referendum by at least two-thirds majority of the

people of the local government areas where the demand for the

boundary adjustment originated;

Alteration of

section 8 (2)

Alteration of

section 8 (4)

Page | 52

(d)the result of the referendum is approved by a resolution

passed by two-thirds majority of members of the House of

Assembly”



Citation



amended) to provide for the conduct of referendum in the case of any demand for

boundary adjustment.


THE ...............DAY OF ................2018

............................................................... .................................................................




Page | 53

2.12 Recommendation 18 – Referendum

The committee notes that globally, the provision of opportunity for direct peoples’ choice in matters that fundamentally affect their existence and livelihood through universal suffrage is part of modern constitutional democracies. The cost of such practice, and perceived threat to national cohesion have always been the restraining factors against adoption and frequent use. Nonetheless, the committee recommends that the party and the Federal Government should give

consideration to this growing demand for a constitutional provision for referendum as a tool for

popular participation in political decisions that affect the country. The proponents did not avail the

Committee with the conditions and criteria for a referendum presumably as these are matters of

details. In dealing with this request the committee further recommends a clear definition of

conditions and criteria under which it can be used bearing in mind the territorial integrity and

sovereignty of the nation.

Legislative Action: Amend Section 8 of the Constitution.

Page | 54

A BILL

FOR


REPUBLIC OF NIGERIA, 1999 TO PROVIDE FOR THE CONDUCT OF REFERENDUM IN

MATTERS OF NATIONAL OR STATE LEVEL IMPORTANCE AND FOR RELATED

MATTERS

( ) Commencement


Nigeria as follows:



Alteration of the

Constitution

2.

Section 9 of the Constitution is altered by inserting new

subsections (5) after the existing subsection (4) as follows –

“(5) A proposal for the alteration of this Constitution (not being

a proposal under section 8 of this Constitution) or a proposal for

a decision on any matter of national or state level importance

shall be approved by at least a simple majority of eligible voters

in a referendum to be conducted by the Independent National

Electoral Commission”.

Alteration of

section 9



Citation



amended) to provide for the conduct of referendum in matters of national or state

level importance.


THE ...............DAY OF ................2018

............................................................... .................................................................




Page | 55

3.0 Section 2: Executive Action

3.1 Recommendation 1 – Creation of States

It is the considered opinion of the committee that creation of more states is not expedient because

to do so will merely create new sub-national bureaucracies and their attendant costs while

reducing the share of federal statutory allocation accruing to existing and proposed new states

that are already grappling with the high cost of governance, payment of salaries of workers and

bringing development to the people. The creation of states could further weaken the federating

units and thus run contrary to popular demands for “True Federalism” which the APC stands for.

Executive Action: (1) Governors to focus more on inclusive governance in their states to reduce

local complaints about exclusion and demand for self-determination. Specifically, the PGF should

stake steps to champion this in states under their domain and evolve a best practice model that

non-APC states in the Nigeria Governors Forum (NGF) can emulate.

(2) The peer review mechanism of the PGF should be revitalized to further promote inclusive

governance.


Although demand for this is not yet intense, nonetheless, the committee strongly recommends

that the Constitution should provide legal and administrative frameworks for states that might in

future wish to consider this option provided this does not threaten the authority or existence of the

Federation.

Executive Action: (1) Governors will have to educate their respective assemblies on the futuristic

advantages of this provision of the constitution and passage at the state level.

(2) Presidency should see this as a potential window of attaining fiscal prudence and efficiency of

resource use in states.

(3) PGF states to champion and promote this and influence their counterparts in Nigeria

Governors Forum (NGF).

3.3 Recommendation 3 – Derivation Principle

The Committee recommends that the federal government should consider expeditiously the

review of current derivation formula to reflect areas of national consensus which suggests

“adoption of state control of resources & pay Tax to FG”, upward review of the current formula in

favour of states and adoption of similar derivation formula in favour of solid minerals and hydro

power generation.

Executive Action: (1) It is in the interest of states to get additional resources to deliver services.

Therefore, they need to prevail on National Assembly members from their states to support this.

(2) Presidency to demonstrate interest in agenda and publicly associate with it.

Page | 56

3.4 Recommendation 4 – Fiscal Federalism & Revenue Allocation

Government needs to be explicit regarding the true meaning of derivation principle, fiscal

federalism and revenue allocation for better public understanding and also, in order to effectively

manage the complexities of adoption of state control of resource and payment of taxes to the

federal government. The committee believes that it would be beneficial for all, if there is an upward

review of current revenue formula in favour of states.

Executive Action: (1) It is in the interest of states to get additional resources to deliver services.

Therefore, they need to prevail on National Assembly members from their states to support this.

(2) The Presidency should show commitment to vertical fiscal reform that matches resource

distribution and reflects the reorganised share of responsibility between FG and states.


The Committee recommends that the party put its political weight behind the overwhelming

demand for devolution of powers to states by the Federal Government. This would involve the

transfer of some items from the Exclusive List to the concurrent list.

Executive Action: The Presidency should notify the National Assembly of its endorsement of the

times for devolution and publicly take a stand.


The Committee notes that the demand for local government autonomy is as a result of the alleged

interference in the management of the monies allocated to LGAs from the Federation Account.

LGAs cannot be federating units under the principles of federalism thereby making the whole

notion of direct allocation to LGAs from the federation account an aberration. In conformity with

conventional principle of federalism, LGAs should be no more than administrative units of states.

In view of these, and in line with empirical findings during consultations, the committee

recommends that LGA should be removed from the federal constitution and states be allowed to

develop a local administrative system that is relevant and peculiar to each state.

Executive Action: Given the recent adoption of LGA autonomy by NASS in the ongoing

constitution amendments, it is now left for state assemblies to determine the fate of this proposal.

Governor have to lobby NASS to reopen this legislation for further debate and re-enactment.

This is a strategic opportunity for the Presidency to promote local demand for good governance

at state level. With this position, the FG will shed the load of popular demand for the “dividends

of democracy” to become more strident at state level than it currently is the case.

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There is a rallying call for the geo-political zones (regions)/states to control natural resources in

their states. However, for this to be considered the committee recommends the specific concerns

of all zones be factored into the final resolution of contending positions in review of current system.

Executive Action: (1) Governors to promote agenda in their respective states and cause their

National Assembly members to support it.

(2) Presidency to demonstrate interest in agenda and publicly associate with it.

3.8 Recommendation 13 – Demand for Affirmation of Vulnerable Groups

The Committee recommends that all categories of vulnerable groups i.e. women, youths,

physically challenged persons be given adequate attention in terms of appointment into

government jobs and political positions. A dedicated advisory role should be created at all levels

of government to ensure that this is acted upon and sustained on in policy and fiscal provision.

Executive Action: (i) The Presidency should as a matter of policy appoint representatives of the

physically challenged people into government positions. Presidency should also promote, as

deliberate policy, enhanced access of physically challenged people into public facilities.

(ii) PGF members should adopt same position as the Presidency in respect of their states.

3.9 Recommendation 15 – Citizenship

The Committee recommends a comprehensive review of all constitutional provisions on

indigeneship and residency status to ensure adequacy for all recent clamouring especially in

conflict zones. Where applicable, additional legislation at national and state levels should be

promoted through the members and caucuses of the party in all national and state Assemblies.

Importantly the committee further note that the resultant amendments and new laws arising from

this review should give focal attention to compliance and enforcement mechanism to give effect

to these laws.

Executive Action: Since much of the issues on indigeneship occur predominantly at state level,

the PGF will need to act in a way that give practical meaning to the intents of this recommendation.

It is exciting to note that some states are already in the vanguard of this progressive approach.

3.10 Recommendation 16 – States Realignment and Boundary Adjustments The Committee recommends dispassionate review and consideration for all marginal agitations

in conflict zones that request for choice of determination of preferred states of residence within

the context of the constitution guarantees of freedom of associate and in the context of the existing

state structure of the republic.

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Executive Action: The Presidency should initiate necessary executive action by directing the

National Boundary Commission to address the challenges being addressed by this

recommendation.

The PGF will be a very good platform to dialogue and informally resolve any possible conflicts

that could arise from boundary adjustments.

3.11 Recommendation 17 – Secular Status

The Committee notes that strict secularism may not be practicable in the current circumstance of

the country, but also notes that at some point in future, the Constitution may give consideration

to ceding all matters relating to religion to the states in the spirit of true federalism, self-

determination and self-governance by the federating units.

Executive Action: The Presidency should develop a phased programme for its eventual

disengagement from direct participation in religious matters and surrender of such to the states.

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Section 3: Action by others 3.12 Recommendation 1 – Creation of States

It is the considered opinion of the committee that creation of more states is not expedient because

to do so will merely create new sub-national bureaucracies and their attendant costs while

reducing the share of federal statutory allocation accruing to existing and proposed new states

that are already grappling with the high cost of governance payment of salaries of workers and

bringing development to the people. The creation of states could further weaken the federating

units and thus run contrary to popular demands for “True Federalism” which the APC stands for.

Other Action: APC should evolve an internal competition in inclusive governance among its

states. This on the long term will reduce agitations for new state creations from marginalized parts

of existing states.


Though there is no immediate demand for this, nonetheless, the committee strongly recommends

that the Constitution should provide for legal and administrative frameworks for states that might

in future wish to consider this option provided this does not threaten the authority or existence of

the Federation.

Other Action: The party should encourage its parliamentarians to sponsor this bill in the Senate

and HOR.

3.14 Recommendation 4 – Fiscal Federalism & Revenue Allocation

Other Action: The party should throw its full weight behind this popular demand and lobby both

the Presidency and the National Assembly members of the party to the favour of this demand.

other action required.

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The Committee recommends that the party put its political weight behind the overwhelming

demand for devolution of powers to states by the Federal Government. This would involve the

transfer of some items from the Exclusive List to the concurrent list.

Other Action: No other action required.

3.16 Recommendation 8 – Independent Candidacy

The Committee recommends that the party should support popular demand for Independent

Candidacy. However, it is necessary to introduce strong eligibility criteria and process checks in

order to prevent abuse by unserious candidates as well as ensure that INEC is not inundated and

overwhelmed by a large number of independent candidates.

Other Action: The party should publicly identify with this popular demand and promote its

adoption and inclusion into relevant laws.


The Committee notes that the demand for local government autonomy is as a result of the alleged

interference in the management of the monies allocated to LGAs from the Federation Account.

LGAs cannot be federating units under the principles of federalism thereby making the whole

notion of direct allocation to LGAs from the federation account an aberration. In conformity with

conventional principle of federalism, LGAs should be no more than administrative units of states.

In view of these, and in line with empirical findings during consultations, the committee

recommends that LGA should be removed from the federal constitution and states be allowed to

develop a local administrative system that is relevant and peculiar to each state.

Other Action: The party needs to intensively engage its members in NASS for full endorsement

and passage of this recommendation in line with the traditional principles of federalism and

popular demand.

3.18 Recommendation 10 – Power Sharing and Rotation

The committee recommends that the complexity of power sharing and rotation should be

managed at the party level rather than it being provided for in the constitution or have a dedicated

law.

Other Action: The party should endeavour to make its position on power rotation and zoning

clear to its members and the public in general. The inclusive participation on basis of affirmation

should also be deployed to manage demands for state creation in states to reinforce the actions

in Recommendation 1.

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There is a rallying call for the zones (regions)/states to control resource however; for this to be

considered the committee recommends the specific concerns of all zones be factored into the

final resolution of contending positions in any review of current system.

Other Action: Encourage party caucus in National Assembly to initiate action.

3.20 Recommendation 13 – Demand for Affirmation of Vulnerable Groups

The Committee recommends that all categories of vulnerable groups i.e. women, youths,

physically challenged persons be given adequate attention in terms of appointment into

government jobs and political positions. A dedicated advisory role should be created at all levels

of government to ensure that this is acted upon and sustained on in policy and fiscal provision.

Other Action: The party has positions of Youth Leader and Woman Leader in its various levels.

The same consideration could be extended to the physically challenged people.

report of the apc committee on true federalism. · 2.3 recommendation 4 – fiscal federalism and...

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