A Review of the Nigerian Energy Industry

Nigerian governors return to court over excess crude deduction

20 September 2012, Sweetcrude, ABUJA – GOVERNORS of Nigeria’s 36 states said, Thursday, they were returning to court to challenge the Federal Government ‘s deductions from the Excess Crude Account to offset fuel subsidy.

The governors, acting under the auspices of the Nigeria Governors` Forum, NGF, disclosed this in a ommuniqué read by its Chairman, Gov. Chibuike Amaechi of Rivers, at the forum’s meeting held in Abuja.

It stated that the NGF unanimously took the decision after long deliberations to get the court to compel the Federal Government to adhere to the provision of the constitution.

“On the Excess Crude Account, forum unanimously decided to head back to court to enforce the Federal Governments` adherence to the constitution,’’ it stated.

The News Agency of Nigeria recalls that the forum at its meeting of July 12, had threatened to take legal action against the Federal Government for making deductions from the excess crude accounts to offset fuel subsidy.

It criticised the continued deduction of oil subsidy from the excess crude accounts, saying the deduction negated the principle of federalism and budgetary provision.

The meeting was attended by the governors of Rivers, Cross River, Ekiti, Ondo, Anambra, Kogi, Lagos, Niger, Gombe, Adamawa, Yobe, Taraba, Enugu, Jigawa, Delta, Plateau, Ondo, Abia, Ogun and Oyo states.

Others are Kogi, Akwa Ibom, Niger, Kwara and Nasarawa states among others, while Imo was represented by the deputy governor.

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  • The Nigerian federal government is still suffering from a hangover induced by the length of time the military spent in power. Otherwise, how can the federal government make deductions from monies supposedly owned by the three tiers of government with such fiat or do we call what it is – impunity.