Senate holds emergency closed-door session amidst confusion over LG financial autonomy

The Senate was in a state of disarray on Wednesday as it addressed the implications of the Supreme Court’s ruling in August, which granted financial autonomy to the 774 Local Government Councils across Nigeria.

The turmoil began after the Senate dealt with a series of petitions. Senator Tony Nwoye from Anambra North raised a Point of Order that was acknowledged by Senate President Godswill Akpabio. Nwoye cited alleged attempts by certain state governments to undermine the Supreme Court’s decision by passing counter legislation in their state assemblies.

While presenting his case, Nwoye indicated that nine other Senators supported his motion. He accused some governors of enacting laws that would force local councils to deposit their funds into State/Local Government Joint Accounts, a practice deemed illegal by the Supreme Court.

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After Nwoye concluded his arguments, which included six requests for the enforcement of the ruling, Senator Adamu Aliero of Kebbi Central interjected with a constitutional point of order to halt the debate.

Aliero referenced Section 287 of the 1999 Constitution, emphasizing the enforceability of Supreme Court decisions across Nigeria. He stated, “Supreme Court judgement is enforceable across the country. There is no need for us to be debating anything that has to do with it here.”

Senate President Akpabio concurred and brought up Section 162, Sub-section 6 of the Constitution, which establishes the State/Local Government Joint Account. He suggested that amendments to certain constitutional provisions would be necessary for the full realization of local government autonomy.

In a twist, before any final decision could be made on Nwoye’s motion, he invoked Order 42 of the Senate Standing Rules for personal clarification. Concurrently, Senator Abdulrahman Summaila Kawu raised a similar point of order, leading to increased confusion among senators. This prompted a rush to consult the Senate President, ultimately resulting in an emergency closed-door session at 12:46 PM.

It will be recalled that the Supreme Court had previously ruled that state governors could no longer withhold or control funds meant for local governments.

The court deemed such practices illegal and unconstitutional, violating Section 162 of the 1999 Constitution. The judgement, delivered by Justice Emmanuel Agim, asserted that no state assembly could create laws interfering with funds allocated for local councils.

The Supreme Court emphasized the need for democratic governance within local councils and ruled that funds should be directly transferred from the federation account to the local governments, as past methods had failed.

The court stated, “Demands of justice require a progressive interpretation of the law… since paying them through states has not worked, justice of this case demands that LGA allocations from the federation account should henceforth be paid directly to the LGAs.”

Additionally, the court ruled against the appointment of caretaker committees by governors, affirming the states’ obligation to maintain democratic governance at this third tier of government. This ruling came in response to a suit filed by the Federal Government seeking financial autonomy for local governments.

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