Former Vice President Atiku Abubakar has described the judgement of the Supreme Court, which affirmed fiscal autonomy for local government areas in the country as a win for the people of Nigeria.
He, however, noted that the local governments should not be limited to revenues from the Federation Account alone, but should be allowed to benefit from Internally Generated Revenues (IGR) from their domains contrary to the current practice of State Governments reaping from where they did not sow.
Atiku, who reacted to the verdict on his X handle on Thursday, said the apex court’s ruling was a right step in the right direction and a major corrective action in greasing the wheels of national development across the country.
He noted, “The decision by the Federal Government to consolidate disbursements of local councils’ revenues into the state government accounts was a decision that was borne out of politics of hasty compromise.”
The former presidential candidate of Peoples Democratic Party (PDP) in the 2023 elections said he aligned with the Supreme Court’s decision that the structure of the Nigerian government is portioned in three layers, and of these, the local governments should be centres of development.
He added, “I also share the belief that fiscal autonomy to the local governments should not be limited to revenues from the Federation Accounts, but indeed, should apply to Internally Generated Revenue from the respective local government authorities.
“Many of our states, especially those in the ultra urban areas with high density economic activities, have become notorious in muscling local councils from generating revenue on items that border on motor parks, outdoor advertising, rents and many more.
“The verdict of the court is in tandem with the core functions of the Supreme Court as an arbitration court between and among governments,” the former Vice President added.
