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Labour Party lawmakers from Anambra State have accused Governor Chukwuma Soludo of attempting to undermine local government autonomy through a proposed bill titled “Anambra State Local Government Administration Law 2024.”
The lawmakers, which included, Senator Tony Nwoye, George Ozodinobi, Afam Ogene, Idu Emeka, and Anekwe Peter, voiced their concerns during a press conference held in the National Assembly on Thursday, in Abuja.
The lawmakers raised the alarm over what they described as an attempt by the Anambra State government to reverse the Supreme Court’s recent ruling that grants financial autonomy to local governments.
The Supreme Court, in its July 11, 2024, judgment, ruled that local governments must receive funds directly from the Federation Account, bypassing the state government.
Nwoye said, “The Anambra State government, through its proposed Local Government Administration Law 2024, seeks to deprive the 21 local governments in the state of their financial autonomy, which was recently affirmed by the Supreme Court.”
The caucus highlighted specific sections of the proposed bill that contradict the Supreme Court’s decision.
For instance, Section 13 of the bill establishes a State Joint Local Government Account, allowing the state government to control federal allocations to local governments.
This, they argued, directly violates the Supreme Court’s injunction that prohibits state governments from tampering with local government funds.
In the Supreme Court judgment, Justice Emmanuel Agim ruled that states have no constitutional right to manage or control local government allocations.
The LP lawmakers noted that the court emphasised that local governments are entitled to receive their funds directly from the Federation Account without interference from state governments.
The lawmakers further criticised the bill’s provision in Section 14, which requires local governments to remit a percentage of their allocations to a consolidated account managed by the state.
He pointed out that this violates the Supreme Court’s declaration that states have no authority over local government funds.
The lawmakers also condemned “Another obnoxious section of the proposed Anambra State Local Government Administration Law 2024 aimed at stifling Local Government financial autonomy is section 16, which established Local Government Joint Security Trust account that shall be managed on its behalf and which requires the Local Governments to remit 20 per cent of its allocation within two working days of receipt of its allocation from Federation Account.”
They argued that this would financially cripple the local governments, making them dependent on the state.
Quoting Justice Moore Adumein’s contribution to the Supreme Court ruling, Senator Nwoye stated, “The chokehold on local government allocations by states must be stopped, or else local governments will suffocate, die, and become extinct.
“States should stop treating local governments as their colonies.”
The Labour Party caucus called on Governor Soludo and the Anambra State House of Assembly to reconsider the proposed law and fully comply with the Supreme Court’s judgment, which is aimed at strengthening the financial independence of local governments across Nigeria.
