The Niger state government has sued the attorney-general of the federation (AGF) and minister of justice over the state’s exclusion from the 13 percent derivation fund.
In an originating summons filed at the supreme court, the state, through its counsel Mohammed Ndarani, is seeking an interpretation of section 232 (1) and (2) of the 1999 constitution (as amended), as well as the application of relevant provisions of the Allocation of Revenue (Federation Account, etc.) Act, 2004.
The suit challenges the federal government’s failure to classify Niger as a state entitled to benefit from the 13 percent derivation, despite hosting major hydroelectric power infrastructure that significantly contributes to the national power supply.
Ndarani argued that Niger qualifies as a resource-producing state due to the presence of four key hydroelectric power dams, including Kainji, Jebba, Shiroro and Zungeru, which he said have been central to Nigeria’s electricity generation since 1968.
He said, despite the Niger’s contribution to the national grid, and even power exports to neighbouring countries such as Benin, Togo and Niger Republic, the state has been excluded from the fiscal benefits of resource derivation.
“The resources of these four (4) Dams since 1968 have erupted incessantly and spilt unquantifiable volume of hydrocarbon and other intoxicants, destroying Aquatic lives, the ecosystem, aquaculture, fish farms, rice farms, yam farms, onion farms, houses and worship centres over these years unabated,” the document seen by TheCable read.
“The plaintiff is in a precarious situation of continuous injuries and suffering unabated, general economic loss, complete desertion/ displacement, mental and psychological torture as a result of the incessant menace from the heavy and uncontrollable flood of intoxicants from the Kanji Dam, Jebba Dam, Shiroro Dam and Zungeru Dam, which has been a source of huge revenue to the defendant.
“Aside from the concerns raised relating to hydroelectric infrastructure sited in Niger state, the state has also continued to provide the nation with other mineral resources in commercial quantities.”
The suit also faulted the federal government’s alleged failure to remit proceeds of fiscal revenue generated from hydroelectric power in the state to its coffers.
Ndarani said the AGF was named as the defendant because of the office’s responsibility to offer legal advice and representation to key revenue and financial institutions, including the accountant-general of the federation, the auditor-general, and the Revenue Mobilisation Allocation and Fiscal Commission.
He accused the AGF of failing in its constitutional duty to ensure equity in revenue distribution and to advise the president on the legal responsibilities tied to Niger’s fiscal contributions.
Ndarani further argued that the exclusion has denied the state much-needed funds for development, especially given its largely agrarian economy, where most residents engage in subsistence farming.
No date has been fixed for the hearing of the matter.(The Cable)
