Supreme Court grants autonomy to Local Governments

The Supreme Court, on July 11, 2024, grants the 774 Local Government Areas, LGAs, in Nigeria financial autonomy, prohibiting the state governors from accessing the allocations of the local government areas.

The judgement delivered by Justice Emmanuel Agim, is aftermath of a suit instituted by the Federal Government under President Ahmed Bola Tinubu, to secure financial autonomy for the third tier of the government.

Recall that the court has recently dismissed preliminary the objections projected by the state governors to challenge the competency of the suit before the court.

The appellate court, however, declared that it is unlawful and unconstitutional for governors to continue to receive allocations on behalf of the local governments.

The court described as the reception and seizure of LGA funds by State Governors that has been on for over two decades, as dubious activity, noting that it was an obvious violation of Section 162 of the 1999 Constitution, as amended.

It further maintained that no House of Assembly of any state has the authority to enact laws to interfere with the LGAs allocations and funds.

The court also revealed that the law empowered  LGAs to be governed by democratically elected officials, and ordered directly payment of money from the federation account to LGAs.

The Judge said, “Demands of justice require a progressive interpretation of the law. It is the position of this court that the federation can pay LGA allocations to the LGAs directly or pay them through the states.

“In this case, 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.”

It further declared unconstitutional the appointment of caretaker committees by governors to run the affairs of the LGAs.

It held that the 36 states are under obligation to ensure democratic governance at the third tier of government.