In response to public outcry, the House of Representatives has mandated its committee on finance to probe the status of the Excess Crude Account (ECA).
The resolution was sequel to the motion on the need to deduct 13 percent derivation from the $1 billion approved by the National Economic Council (NEC) to fight Boko Haram insurgency, sponsored by Ken Chikere (APC-Rivers), which divided members along party lines.
In his lead debate, Chikere urged the House to compel Federal Ministry of Finance to ensure that 13 percent of the $1 billion was deducted and paid to oil producing states in compliance with Section 162(2) of the 1999 Constitution (as amended).
He recalled that at the 83rd meeting of the National Economic Council held at the Council Chamber of the Presidential Villa, Abuja on December 14, 2017, the 36 state governors approved the deduction of the sum of $1 billion by the Federal Government from the Excess Crude Account (ECA) to fight the Boko Haram insurgency.
The lawmaker, who frowned at the development, argued that “proviso to Section 162(2) of the 1999 Constitution states 13 percent of the proceeds of the oil producing states in Nigeria as derivation fund payable to the benefitting states of Akwa-Ibom, Rivers, Delta, Bayelsa, Cross River, Edo, Abia, Imo, Ondo, Anambra and Lagos.
“The House is also aware that the 13 percent derivation fund payable to oil producing States had not been deducted and paid to them from the $1 billion before or after the approval of the said sum to fight Boko Haram insurgency.”
He argued that it would amount to double contribution from the oil producing states if the 13 percent derivation fund was not deducted from the $1 billion as well as a breach of Section 162(2) of the 1999 Constitution and Section 1 of the Allocation of Revenue (Federation Account, etc.) Act, Cap. A15, Laws of the Federation of Nigeria, 2004.
In his contribution, Shehu Garba faulted the proposal and called for it’s withdrawal saying that as much as there were concerns on the approval of the fund, security of lives and property was critical so.
“I think we must accept that just as you as a person won’t have adequate sleep when you have pain in your eyes or ears, the same analogy can apply to Nigeria and we must accept that Boko Haram is a challenge to us and the entire country.”
Noma also informed that Nigeria is said to have lost over $2 billion in direction foreign investment due to Boko Haram activities and “in this respect, I want to oppose this motion.
Similarly, Ahman Pategi (APC-Kwara) argued that the issue of 13 percent was an accounting and constitutional matter, adding that since the President requested for $1 billion, hence the House could not approve less than that.
In his contribution, Henry Archibong asked whether the National Assembly approved the $1 billion and if the money belonged to the states or the federal government but was however, ruled out of order by Speaker Yakubu Dogara on the basis that was outside the prayers of the motion.
But chairman of the committee on rules and business, Emmanuel Orker-Jev, when called upon to give his position argued that the motion was ‘dilatory’ and by the provisions of the House rules, the speaker ‘shall not’ rule on it.
He said: “Mr. Speaker from what transpired on the floor, this motion is dilatory and it is bereft of information. We cannot debate it based on the provisions of our rules, so I advised the sponsor of the motion to step it down.”
In his remarks, Mohammed Monguno (APC-Borno) backed Orker Jev’ position by noting that the motion was ‘speculative’ and “it entertaining it is tantamount to this House embarking on a voyage.”
In their contributions, Nnenna Elendu-Ukeje and Mohammed Umar Bago and advised that the matter be referred to the relevant committee to probe the Excess Crude Account to ascertained what belongs to the federal and states government.
While ruling, Speaker Yakubu Dogara who noted that similar motion on the $1 billion was stepped down based on the explanation from the Governors Forum that the entire money belongs to the State and as such, the National Assembly could not legislate on it.
The speaker stepped down the motion and directed the house committee on Finance to ascertain the status of the Excess crude account, how much is due to the different parts of the federating units and report back to the House within four week for further legislative action.
