•Sanwo-Olu reiterates demand for special status

•Says prosperity of Lagos has multiplier effect on S’West, Nigeria

By Segun James


Lagos State Government yesterday demanded one per cent share in the federal revenue allocation formula, maintaining that the state’s unique features and its prosperity bear on development in the South-west and Nigeria, generally.

The government canvassed a special status designation for Lagos State, and proposed that the revenue sharing formula should be 34 per cent for the federal government, one per cent for the Federal Capital Territory, 42 per cent for state governments, 23 per cent for local governments, and one per cent for Lagos State (Special Status). This is against the current revenue allocation formula, which gives the federal government 52.68 per cent, the 36 state governments 26.72 per cent, and the 774 local governments 20.60 per cent.

The Lagos State government’s demands were made by Governor Babajide Sanwo-Olu at the opening of a two-day South-west zonal public hearing on review of the revenue allocation formula, organised in Lagos by the Revenue Mobilisation, Allocation and Fiscal Commission (RMAFC).

In a memorandum on review of revenue allocation formula, which he submitted to the RMAFC, Sanwo-Olu declared that allocating one per cent to Lagos State (Special Status) and allowing the three tiers of government to share 99 per cent in a new revenue sharing formula was straightforward, self-justifying and in no way controversial. He said the review of the current revenue allocation formula was long overdue, stressing that the best way to guarantee national progress and development is to pay attention to sub-national development since the national is a summation of the sub-national.

The governor reiterated the call for Lagos State to be accorded special status in recognition of its huge financial commitments to infrastructure and provision of basic amenities for the increasing population of residents, as well as its preeminent contribution to the national coffers. He said the call, which had been re-echoed at different forums, could not be overemphasised, especially against the backdrop of the current economic situation of the country, the aftermath of the EndSARS protests, and the devastating effects of the COVID-19 pandemic, for which Lagos had been the national epicentre.

Sanwo-Olu stated, “Our demand is a sharing formula that is just, fair and equitable; reflecting the contribution of stakeholders to the common purse; and also one that enhances the capacity of state and local governments to deliver high-quality services and the full dividends of democracy to the greatest number of our people.

“Lagos State is, no doubt, the nation’s commercial capital, and population centre. The level of funding required to service the state’s social and public infrastructure is so significant that it will be difficult for the state to bear the burden for much longer under the present arrangement.

“I should say that it will actually be unfair to expect the state to bear this heavy burden on its own. It is, therefore, necessary to give due consideration to all the variables that support our advocacy for a special status.

“The call for a special status for Lagos is not a selfish proposition; it is in the best interest of the country and all Nigerians, for Lagos which accounts for about 20 per cent of the national Gross Domestic Product (GDP) and about 10 per cent of the nation’s population to continue to prosper.”

Further defending the demand for special status, Sanwo-Olu said Lagos was more than just another state in the Nigerian federation, saying there is no tribe in the country without significant stake in the state.

The governor said, “As the former capital of the country for 77 years (compared to the 30 years that Abuja has been the Federal Capital Territory), Nigeria’s largest metropolis still bears the heavy brunt of being home to all Nigerians; irrespective of age, class, gender, religious affiliation or tribe.

“There are several statistics that show the number of people that come into Lagos every day, however, there are clear indications that most of these people migrate with the intention to make Lagos their new home and in pursuit of personal dreams due to the opportunities the city-state seemingly possesses, and this portends additional responsibilities on the government.

“Additionally, Lagos still harbours a huge number of federal establishments, which could not be moved to Abuja. These include military cantonments and barracks, Police, Customs, Immigration, Civil Defence, Prisons, Road Safety and security/intelligence establishments.

“There are several reasons to justify the call for a special status for Lagos apart from the aforementioned factors and by extension, a review of the Revenue Allocation Sharing Formula.”

Sanwo-Olu also said it would be unfair for Lagos to be left alone to bear the burden of the massive destruction experienced by the state during the EndSARS protests, which were hijacked by hoodlums, and the COVID-19 pandemic.

He said, “This month marks one year after the massive destruction experienced by the state in the violence that accompanied the hijacking of the EndSARS protests. Public buildings were burnt down, and historical infrastructure destroyed.

“Although, we have put that experience behind us and forged ahead, the reality of this unfortunate incident remains with us; resources that should be committed to other areas of need are now being used for the restoration of these public facilities. It will be totally unfair for Lagos State to be left alone to bear these huge expenses without assistance from the centre.

“COVID-19 pandemic is another issue that has once again, supported the justification for Lagos to be accorded the privilege of a special status. As much as this affects the entire country, it is a fact that the degree of havoc caused by this virus differs from state to state.

“Lagos was the epicentre for this virus, the same way it was for the Ebola virus some years ago. The management of these unforeseen occurrences comes with huge responsibilities and financial commitments on the part of the state government.”

Sanwo-Olu commended the chairman and members of RMAFC for taking the bold step of reviewing the revenue allocation method, which he believed would, “result in a fundamental alteration of the current revenue sharing formula, in favour of one that is truly fair and equitable, and that takes into full consideration the specific and more pragmatic fiscal contexts of the sub-national governments of the federation.”

https://www.thisdaylive.com/index.php/2021/10/05/fiscal-federalism-lagos-demands-1-in-revenue-allocation-formula/

Lalasticlala

ok

Lagos is one state in Nigeria that can afford to be a country of its own, without taking any loan from anybody. This statement is entirely true as long as they have access to the oil in the Niger Delta. The economy of Lagos was built by money from other parts of the country. Lagos has no major mineral resources and the indigenes are not one of the best educated in Nigeria. Highly intelligent people from different parts of the country moved Lagos to where it is today and most of them were raised and educated in other states.

Now, the question is should Lagos state alone take all the proceeds of the labour and investment that smart people from other states put in to bring the state to where it is today or should there be a form of reparation in the spirit of brotherhood and 'justice'?

Its well..

Lol

20k

Noted

not heard from this man for almost a year now, since the Lekki toll gate eish, it's obvious he was cautioned by some dark elements.

Supported

Monies should be taken off north since they only use it for jihad and ransom payment which later becomes burden to the nation

Tinubu

Nigeria will end up with James Ibori's quest for resource control

Which kind formula be this again?

Why dem go Dey allocate 1% for Lagos state abi nah me no read the news well

Anyway I believe you sanwo olu

Ok

This is how you'd know a proactive governor ... Not the ones waiting to be pushed before demanding their rights

I like the way Southern Nigeria is waking up to demanding for a better federating system.

Only competition brings true developments. States should be competitors, not going cap in hand to Abuja.

South are waking up against the parasitic North

Lagos don wake up

aikyg:
Lagos is one state in Nigeria that can afford to be a country of its own. However, that goes without saying that the economy is Lagos was built by money from other parts of the country. Lagos has no major mineral resources and the lindens are are not one of the best educated in Nigeria. Highly intelligent people from different parts of the country moved Lagos to where it is today and most of them were raised and educated in other stated.

Now, the question is should Lagos state alone take all the proceeds of the labour and investment that smart people from other states made to bring the state to where it is today or should there be a form of reparation in the spirit of brotherhood and 'justice'?

Your analysis no make at all.
So because, there are people from all over the world making US great means they should share their proceed to all those countries bah?

You can also make your state as great as Lagos . Some people worked for it

Nigeria ��is a fraud. What is the FG doing with 52.6%? The States and LG should take bulk of the resources and pay a small fraction to the center. That's the only to move Nigeria forward otherwise its a total fraud.

Means to kill the fight for states right to its V.A.T
Lagos is backing out

Same way oil producing states enjoy 13% oil derivation... It's only fair if Lagos too gets the 1%. With over 500Bn generated yearly from VAT in Lagos. It's the logical thing to do in view of the ever increasing population in Lagos.

aikyg:
Lagos is one state in Nigeria that can afford to be a country of its own, without taking any loan from anybody. This statement is entirely true as long as they have access to the oil in the Niger Delta. The economy of Lagos was built by money from other parts of the country. Lagos has no major mineral resources and the indigenes are not one of the best educated in Nigeria. Highly intelligent people from different parts of the country moved Lagos to where it is today and most of them were raised and educated in other states.

Now, the question is should Lagos state alone take all the proceeds of the labour and investment that smart people from other states put in to bring the state to where it is today or should there be a form of reparation in the spirit of brotherhood and 'justice'?

You know very little, Lagos has being prospering long before Nigeria gained independence. As far back as the 1800s

Lagos is partly "responsible" for the underdevelopment of other states just as crude oil is "responsible" for the deterioration of other sectors.

This sef is even wrong/restrained.

If FCT is getting 1%, then Lagos should be getting at least 2%.

More reasonably, 3%!

aikyg:
Lagos is one state in Nigeria that can afford to be a country of its own, without taking any loan from anybody. This statement is entirely true as long as they have access to the oil in the Niger Delta. The economy of Lagos was built by money from other parts of the country. Lagos has no major mineral resources and the indigenes are not one of the best educated in Nigeria. Highly intelligent people from different parts of the country moved Lagos to where it is today and most of them were raised and educated in other states.

Now, the question is should Lagos state alone take all the proceeds of the labour and investment that smart people from other states put in to bring the state to where it is today or should there be a form of reparation in the spirit of brotherhood and 'justice'?

the money is to cater for more people that will be migrating to Lagos according to your thinking...

Keep scrolling if u don't understand how the sharing formula works..state takes 50% LGA takes. 35% and federal takes 15%..

truthstands01:
Nigeria ��is a fraud. What is the FG doing with 52.6%? The States and LG should take bulk of the resources and pay a small fraction to the center. That's the only to move Nigeria forward otherwise its a total fraud.

The government canvassed a special status designation for Lagos State, and proposed that the revenue sharing formula should be 34 per cent for the federal government, one per cent for the Federal Capital Territory, 42 per cent for state governments, 23 per cent for local governments

Nonsense. Anything other than 10% for the federal govt, 50% for the state govt, & then 40% for the local govt should not even be talked about. You people should give it hot to the abōkis. Make them receive the shock of their lives

Such money should be used to develop other states so that people can live anywhere and be successful..or u want everybody to live in Lagos?.

obinoral1179:
the money is to cater for more people that will be migrating to Lagos according to your thinking...

Each state will start demanding till they all agree to resource control, and formation of regional govt; else, Nigeria will split.