Govt rules out resource control

THE Federal Government says that the demand by some Niger Delta indigenes that proceeds from oil and gas should be exclusively reserved for the oil-producing states is not feasible.

To buttress its point, the government cited Section 44 (3) of the Constitution, which stipulates that the proceeds from these natural resources shall be managed in such a manner as may be prescribed by the National Assembly.

The Attorney General of the Federation (AGF) made the submission in a written address in support of preliminary objection to a class suit filed at the Federal High Court, Yenagoa, Bayelsa State, by some indigenes of the Niger Delta area, demanding control of the region's resources.

Those who filed the class suit are: Idaye C. Opi, Owupele Philemon, Ilamina Agada, Samuel Effik, Patrick Ederi and Emeka Dite Ojoko for themselves and on behalf of the peoples of the Niger Delta.

Counsel to the Attorney General of the Federation, Mrs. A. O. Mbamali, noted that the applicants' prayer for a declaration that they were entitled to the exclusive use of the wealth and natural resources as provided by Article 21 of the African Charter on Human and Peoples Rights, was in conflict with the provision of Section 44 (3) of the country's Constitution.

According to the government, reference to 'peoples' in the said Charter is not a reference to a particular locality, hamlet, village, or town but the citizens of Nigeria. It also pointed out that the Niger Delta was not a signatory to the treaty that gave rise to the African Charter, but Nigeria as an entity.

The government counsel further submitted that the respondents, the Attorney General of the Federation, the Senate President and the Speaker, House of Representatives are not bound by the African Charter on Human and Peoples Rights (Ratification and Enforcement) Act, Cap 10 Laws of the Federation of Nigeria 1990 on the wealth and natural resources in the Niger Delta.

Section 162 (1) of the 1999 Constitution, according to the government position, mandatorily requires that the country shall maintain a special account called 'Federation Account' into which shall be paid all revenues collected by the government of the federation.

"We submit that the declaration sought by the applicants is an apparent conflict of fundamental provisions of the constitution and should not be granted therefore nor are they justifiable in any way and we urge your Lordship to so hold," the government counsel submitted.

Responding to the issue of the 13 per cent derivation being inadequate, the government lawyer stated that there was nowhere in the constitution where it was stated that derivation should be adequate, adding that the claim that 13 per cent was inadequate was not an exercise of a legal right.

Government also contended that the compensation for pollution of gas flaring was not its duty but rather that of the oil companies. It pointed out that the constitution has vested jurisdiction in the Federal High Court to try matters arising from mines and mineral, including oil field, oil mining, geological survey and natural gas.

It observed that since the reliefs sought by the applicants bordered on revenue allocation, other states of the Federation, based on the Supreme Court decision in AGF V Abia (2001) 11 NWLR (Page 725), ought to be necessary parties. It insisted that the failure of the applicants to join the states was a major impediment to the just determination of the suit.

"Right to revenue allocation/derivation is not a right to be enforced by an individual but by the various states as beneficiaries of the revenue. Such action can only be instituted at the Supreme Court by the Attorney-General of the respective states against the Attorney General of the Federation," it said.

The matter is slated for hearing on the March 15, 2010.


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This problem cannot be swept under the carpet for ever. It is a political problem, not a legal one. Maybe when they discover oil in the north . The evil days are not over yet.