Concerns are mounting following the recent signing of the “Anambra Local Government Administration Law 2024” by Anambra State Governor, Prof. Chukwuma Soludo. The bill, which was swiftly passed by the state House of Assembly, mandates local councils to remit a portion of their federal allocation into a consolidated account controlled by the state government. This move appears to counter a recent Supreme Court ruling granting financial autonomy to Nigeria’s 774 local government areas.
Earlier this year, the Attorney-General of the Federation (AGF), Prince Lateef Fagbemi, filed a suit at the Supreme Court seeking to free local governments from state control. The Supreme Court ruled in favor of the federal government, allowing local government allocations to be paid directly. Justice Emmanuel Agim, speaking for the court, declared that the retention of local government funds by state governments was unconstitutional, asserting that direct payment from the federal account was necessary.
The Supreme Court’s decision was celebrated by many Nigerians, who saw it as a victory for transparency and governance. For years, state governors have been accused of mismanaging local government funds, appointing loyalists as council heads, and withholding most of the allocations. The ruling was viewed as a revolutionary step toward financial independence for local councils.
However, it quickly became apparent that state governments were displeased with the ruling. Odoh Uruchi, Chairman of the Body of States Attorneys General, indicated that they would review the judgment, suggesting that states might challenge or circumvent it.
Governor Soludo’s new law, which many interpret as an attempt to maintain control over council funds, has drawn criticism. At the signing ceremony, Soludo argued that granting absolute autonomy to local governments would lead to chaos. He framed the law as a necessary adjustment to implement the Supreme Court’s decision, stating, “If the state House of Assembly abdicates this constitutional duty, the Local Government will then have no law on the use and management of its finance.”
Soludo defended himself against accusations of financial control, arguing that collaboration between federal and state governments is necessary for effective governance. Nevertheless, his law has sparked controversy, with critics questioning whose interests it truly serves. Many see it as a strategic move that undermines the autonomy intended by the Supreme Court ruling.
The debate raises important questions about Nigeria’s democratic processes and the influence of governors over state legislatures. As Soludo’s law unfolds, it remains to be seen whether it will set a precedent for other states or if the Supreme Court’s ruling will prevail in its intended form. Nigerians are left to ponder the implications of Soludo’s approach and its impact on local governance and democracy.