Address by

His Excellency President Olusegun Obasanjo

At the Inauguration of The Technical Committee on the Review of the Structure of Local Government Councils

 Abuja, June 25, 2003



 

PROTOCOL

In my broadcast to the nation on Wednesday last week, I highlighted the need to review the structure of governance in Nigeria, and in particular the structure of the existing local government system.

 

Successive governments in Nigeria have initiated several reforms on the local government system, with the aim of improving its effectiveness as a vehicle for promoting and sustaining grassroots development. For so long, our people have yearned for democracy in our nation and rightly deserve a qualitative lift in their living conditions, as visible dividends of democracy. However, unless the existing Local Government system is reviewed and restructured to promote greater accountability, optimal performance and drastic reduction of the current astronomical cost of operating the system, the yearnings of our people will be unwarranted.

 

When in 1976, the Local Government Reform was introduced, it was the first time that full recognition was given to the Local Government as a tier of government in its own right, with the following implications:

1.    The establishment of a full government apparatus, fully supported with the symbols and instruments of power and authority.

2.    A government with distinct responsibility for managing its finances through internal generation of revenue and complemented with allocation from the Federation Account.

3.    A government with the capability to initiate its own development projects in such areas as roads, agriculture, health, and others.

 

This Reform of 1976 was so confident in outlook and so bold in its vision, that it attracted eminent persons like Alhaji Shehu Shagari to be Chairman of SUDA (Sokoto Urban Development Authority), and late Chief Simeon Adebo was invited to chair the reformed Abeokuta Local Government.

 

The 1976 Reform has, tragically, undergone what can at best be described as contradictions of the original concept. To begin with, the increase in the number of states has meant more close proximity between state governments and grassroots development.

 

We also notice that proliferation of State Governments has been matched by proliferation of Local Governments without adequate consideration for viability. In fact there is clear evidence that the creation of Local Governments has been for reasons that not only negate the objectives and principles of the 1976 Reform, but, in some cases, are clear expressions of patronage by revenue distribution to favoured areas or interest groups.

 

In the mean time, there remains the constitutional obligation to feed administrative structures from the same Federation Account without improving quality of governance, nor enhancing the development prospects of the country.

 

Also, the issue of more Local governments continues to generate intense political interest, with some seeing it as avenue to get more revenue, while others see it as an unavoidable reaction to the perceived imbalance in State representation at the Federal House of Representatives. Beyond the politics of the local government system, however, there is the imperative of refocusing on its developmental objective.

 

We are aware of the apprehensions of some of our people regarding the intention of Government on this review exercise. At the same time, we have noted the criticism from some quarters that the exercise should not have been restricted to the local governments alone, as the other tiers of government would also seem to show symptoms of some distortions to principles of effective governance. Let me allay the fears of all Nigerians that our intention is noble, and it is to primarily re-focus our people on the important issues of national development as it affects the largest segment of our people at the grassroots.

 

It is critical today, to address the challenges of grassroots development. Let us bear in mind that the extensive broadening of the revenue base of the local governments, has not translated into tangible development at the grassroots. This Technical Committee on the Review of the Structure of Local Governments in Nigeria is to, among other things, diagnose the crisis of local government system in our country and propose viable alternatives aimed at ensuring that local governments do indeed serve as agencies for grassroots development.

 

The Chairman of the Committee is His Royal Highness, Etsu Nupe, Alhaji Umaru Sanda Ndayako. Other members will include:

 

1.    AIhaji Liman Ciroma

2.    Prof. A.D. Yahaya

3.    Barrister John Ochoga

4.    Prof. Godwin Odenigwe

5.    Mr. Augustine Udoh Ekong

6.    Prof. Akin Mabogunje

7.    Senator Tunde Ogbeha

8.    Hon. Austin Okpara

9.    Mrs. Abieyuwa Garba

10.  Mr. Venatius Ikem

Alhaji I. B. Sali and Barrister (Mrs.) H.A. Oseni will serve as Secretary and Deputy Secretary respectively.

 

The Terms of Reference will be:

     to examine the problem of inefficiency and high cost of governance with a view to reducing costs and wastage at the three tiers of government;

 

     to review the performance of local governments within the last four years and consider the desirability or otherwise of retaining the local government as the third tier of government. Also and in that regard to consider the adoption of a modified version of the pre-1976 local government system of government;

 

     to examine the high cost of electioneering campaign in the country and consider the desirability of whether political parties, rather than individual office seekers, should canvass for votes in elections; and to consider any matter, which in the opinion of the Technical committee, are germane to the goal of efficient structure of governance in Nigeria.

 

From these, it is evident that the task before this Committee extends beyond the review of the existing local government system. It will also incorporate other weighty issues that impact, in equal measure, on the arrangements at the Federal and State levels. We believe that this is the time to begin to examine these issues and to propose viable alternatives, so that the resources of our nation can be appropriately deployed to financing the development needs of our nation, while reducing the cost of governance.

 

Considering the importance of the task at hand, this Technical Committee has been carefully composed, so as to ensure that members are not only representatives of each of the geopolitical zones of the country but are also experts on local government affairs, traditional institutions, public administration, regional planning and law, among others.

 

I urge the Committee to immediately set about the accomplishment of its task and to submit, in two months, a report to government for consideration and implementation. I have no doubt that you will be consulting widely with all relevant stakeholders in the implementation of the task, and that your final report will reflect the consensus regarding what is best for Nigeria.

 

I wish to express the profound appreciation of our Administration to you for accepting to serve on this Committee. I wish the Committee God’s guidance and success in this very important national assignment.

 

I thank you.