The Niger State Government has dragged the Federal Government to the Supreme Court over its exclusion from the 13 percent derivation formular for oil producing states.
The suit is challenging the Federal Government’s refusal to include Niger State among the states benefitting from the 13 percent derivation.
Besides, the suit is contending the omission of remitting same proceeds of fiscal revenue generated and accrued through Hydroelectric Power dams in Niger State, the territory and part of the resources of Niger State to the overall electricity generation to the national grid in Nigeria since 1968 till date.
The state government is praying for an order to include Niger state in the 13 percent derivation as enshrined in the Enactment of Allocation of Revenue (Federation Account, etc.) Act, 2004 as well as seeks the interpretation and application of section 232 (1) & (2) of the Nigerian Constitution.
Mohammed Ndarani (SAN), who filed the originating summon on behalf of the state government, prays the apex court to determine whether Niger State is not qualified to be classified as an oil and natural resources producing States,
and therefore entitled to thirteen percent derivation within the meaning of section 162(2) of the 1999 Constitution.
He said Niger state hosts four major hydroelectricity dams: Kainji Dam, Jebba Dam, Shiroro Dam and Zungeru Dam, which serve as a power house for electricity supply to various States in Nigeria.
He argued that through these power stations, the Federal Government extends electricity supply to Niger, Benin and Togo.
According to him, the Attorney-General of the Federation and Minister of Justice was brought before the apex court because he has an oversight legal advice function over advising and representing the Accountant-General.
He also said that the Accountant-General has the constitutional role of preparing the nation’s financial statements arising from collection and receipts of income, fees, rentals and taxes and payment out of the Federation Account.
The Attorney General,he said, is required at all times to offer legal advice and represents the Auditor-General of the Federation and the Revenue Mobilization Allocation and Fiscal Commission that oversees revenue accruing to, and disbursement of such funds from the Federation Account.
He maintained that the AGF also represents and advises the President on all legal matters involving the functions of the President but has failed over the years in its duties.
He explained that this should have been to ensure equitable distribution of resources in conformity with the current realities, particularly, in relation to the enormous fiscal revenue generated by Niger state.
Ndarani said Niger state, host to the dams which were established in 1968 and have laid the golden eggs has been a victim of incessant and continuous flooding in recent years and still counting.
This,he added, has resulted in wanton loss of human lives and livestock as well as destruction of properties, leading to displacement of many residents from their homes.
He claimed that Physicochemical/Microbiological Impact Assessment Report conducted by the State government showed the level of degradation in the affected areas.
He said:”This represents an impending danger that looms large in the horizon for the state over the coming years if urgent stringent environment protection measures are not taken.
“To the chagrin, detriment, continuous exploitation and utter impoverishment of the people of Niger State, the AGF continuously and continually whisked off profits from the state.”
According to him, the Federal Government, should not be only concerned about benefiting from the dams located in the territory of the state without a care for its people.
He said that unfortunately the office of National Bureau of Statistics had no information on the volume of electricity by megawatts generated by the dams since 1968 and 2019, except for those of 2020, 2021, 2022 and 2023.
He said they gave the NBS’s computation of the volume of electricity by megawatts generated into the national grid from 2020 – 2023 as follows:
“The sum total megawatt generated in 2020 is equal to 2,232,706.27, 2021 equal to 2,632,348.00, 2022 equal to 2,830,002.96 and in 2023 equal to 2,658,612.96.
“These dams have generated fiscal revenue which has been controlled by the federal government and have been indisputably redistributed equally amongst the constituent states without considering the host (Niger State) since 1968 till date.”
He stated that Niger state and its citizens and residents suffer continuous exploitation, neglect and ravaging flood owing to the power generating activities of the federal government and its agencies.
“Conversely, the Federal Government continues to enjoy the profits from the dams, leaving the state in penury and misery, Ndarani averred.
He added that the pitiable, miserable and hopeless plight of the Niger State indigenes and residents alike cannot be over emphasized
Despite the misfortune of Niger state at the hand of the Federal Government,
Ndarani argued that despite the misfortune of Niger state at the hand of the Federal Government, the latter has also paid no attention whatsoever to the adverse environmental impacts of the activities of the power generating companies at the dams.
He said:”It is such a sorry state of affairs that not even the National Environmental Standards and Regulations Enforcement Agency (NESREA), has put any program in place to ameliorate the sufferings of Niger state’s citizens and resident.”
He averred to the fact that Niger State is a purely agrarian state as the inhabitants are subsistence farmers whose produce are enjoyed across the state and beyond.
