Abuja: The Niger State government has initiated legal proceedings against the Attorney-General of the Federation and Minister of Justice at the Supreme Court, addressing the state’s exclusion from the 13% derivation allocation. The case has been filed to seek clarity on the interpretation and application of specific constitutional sections regarding revenue allocation.
According to News Agency of Nigeria, the summons filed at the apex court by Niger’s counsel, Mohammed Ndarani, SAN, calls for the inclusion of Niger State in the 13% derivation allocation, as outlined in the Enactment of Allocation of Revenue (Federation Account, etc.) Act, 2004. The lawsuit questions whether Niger State should be recognized among the states that produce natural resources and therefore be entitled to the derivation benefits as per the constitutional provisions.
The issue at the heart of the lawsuit is the federal government’s failure to categorize Niger as a beneficiary of the 13% derivation. The state argues that its significant contribution to national electricity through its hydroelectric power dams should qualify it for this allocation. The government claims that revenue generated from these dams, established in 1968, has not been fairly shared with the state.
Ndarani highlighted that Niger State is home to four major hydroelectric dams-Kainji, Jebba, Shiroro, and Zungeru-which not only supply power to various Nigerian states but also to neighboring countries, including Niger, Benin, and Togo. The attorney-general has been called to account for his role in advising and representing national financial and auditing bodies involved in revenue distribution.
The counsel for Niger State emphasized the adverse impacts of the dams on local agriculture and the environment. The large-scale flooding and land occupation by the dams have led to significant disruption and loss for the people of Niger. The state has conducted environmental assessments revealing severe degradation, posing future risks if not addressed.
Ndarani criticized the federal government for profiting from the dams while neglecting the welfare of the host state. He pointed out the lack of environmental mitigation efforts from national agencies, exacerbating the plight of locals affected by the environmental consequences of the dams’ operations.
The lawsuit reflects a broader contention over resource allocation and the equitable distribution of fiscal revenues, seeking to address long-standing grievances of neglect and exploitation faced by Niger State and its residents.
