The chairman of Northern Governors Forum, Governor Mua'zu Babangida Aliyu, is canvassing that if fuel subsidy is restored after negotiations with labour, states should henceforth pay according to consumption levels.

This means Lagos, which consumes an estimated 60 per cent of petrol in Nigeria, would pay most of the N1.3 trillion subsidy, even though its share from deregulation savings is estimated at a mere N10 billion.

Aliyu, who was part of the negotiating team yesterday, was said to have argued that Northern governors were not in favour of the old subsidy payment regime which was usually deducted from the federation account before allocations were shared.

According to sources at the meeting, Aliyu said there were not many cars in Northern Nigeria and it would not be equitable for all the states to contribute to the subsidy fund equally when consumption is mainly in the South.

Aliyu's argument may re-ignite the debate about fiscal federalism, as Lagos State has also been canvassing that the Value-added Tax (VAT), most of which is generated by consumption in Lagos, should not be shared among all the states of the federation

http://www.thisdaylive.com/articles/northern-govs-want-states-to-pay-subsidy-per-consumption/107049/

Progress!

naijaking1:

Progress!

Progress towards fiscal federalism?

@muami, progress will be when you come out of your shell and tell us your previous screen name on NL. olodo

No problem.

Let states also collect 100% of the VAT sourced from their state.

Let states also be able to legislate electricity themselves.

Let states be able to control taxation.

Let us also see resource control.

Let us also see port revenue control.

Let us also go to a 6 zone regime rather than 36 states.

Let us have state police.

Finally, let us have a sovereign national conference.

Thanks to all of you. You see, once there is no cake to share at the federal level, peace and tranquility will return.

Dis muazu of a guy has just shot himself in the foot.

BS.

Then state should be given allocation by population and contributions to GDP.

WTF does the northern state contribute to the GDP?

^^^
Remember, I called it "progress"

Moving in the right direction, I remember suggesting that rich states who chose to subsidize fuel their citizens should be allow this to be done on state level, I'm glad we're moving on. If states can subsidize, states can better allocate consumption and tax citizens based upon their consumption level. Governors will do a better job in the check/balances of the system, and prosecute anyone found wanting of fraud. Besides, due to several states will have different laws governing subsidy, subsidy fraud will be difficult to carry out.

the premise for his argument is stoopid though, but i guess the argument is valid in a sense - the people will be able to monitor more closely their fuel consumption and subsidies, there are chances that smuglin wil also be reduced

toba:

BS.

Then state should be given allocation by population and contributions to GDP.

WTF does the northern state contribute to the GDP?

GBAM!

Way to go Babangida Aliyu. At least this will be a precursor to true federalism. Let every state spend what it is generated in the state and send only a fix % to FG.
Please Babangida Aliyu, No Back Down!!!

Thank God for this.

hey guys stop calling for regional instead let every state control its own, if you are poor peacefully merge with a neighbour

the only thing we should have in common is sports team, flag, military, abuja fct etc

Tomorrow,this guy will almost deny he said that.
Being parasitic is bad. They are comfortable taking revenue from those that generate it but when they find themselves at the wrong end of the host-parasite relationship,they are quick to cry foul. Hypocritical Bastar.ds
His solution is good though.

The core Northern Governors will disagree with him because the have nothing to contribute to Nigeria's economy but will want be parasitic  and lazy as usual
Most Northerners are only interested in free Oil money and will do whatever they can to maintain the status-quo .

if true fedralism comes in then nigeria will live to its pontential

A part have human resources
B part have land resources
c part have natural resources
d part have Knowlegde know how resources
              etc

No place is poor in Nigeria

ndu_chucks:

@muami, progress will be when you come out of your shell and tell us your previous screen name on NL. olodo

What are you blabbing about? Is there something you know that I don't know?

Nice idea, But it can't work because it will be complicated and corruption and stealing of public funds will set in.

@Toba

I am not in support of this plan without other things being in place, but the North contributes up to 40% in GDP via agriculture.

SNC! SNC!! SNC!!!

That sums it all.

Thank God a northerner said this himself,at least he's d one shooting himself on the legs.what do they contribute to the Nigerian economy,they are so comfortable with the oil money,its a pity his co northerners might not agree.

P.s aliyu is a well read and intelligent guy sha,I must give that to him

Every region has more than enough resources. We just need to look inwards and get to work.

ekt_bear:

No problem.

Let states also collect 100% of the VAT sourced from their state.

Let states also be able to legislate electricity themselves.

Let states be able to control taxation.

Let us also see resource control.

Let us also see port revenue control.

Let us also go to a 6 zone regime rather than 36 states.

Let us have state police.

Finally, let us have a sovereign national conference.

Gbam!

And while we're all being good 'Federalists', Lets not forget we also need to have an accurate Census carried out. Now, lets see how it'll be possible for Desert Inhabitants and those from the smallest areas to  claim they have the largest populations just to manipulate Elections.

How will they check inter-state smuggling in a sYstem where state have minimal control of their border?
What happen to every other revenue the states has been contributing to the centre?
How do we reconcile this with our past as a country? Remember the days of cocoa from west, tin from MB, and 40-60 sharing btw region and fed.
We need to sit down and do some soul searching. Governing is not just about running away with ur own resource selfishly, the man needs to visit a mental clinic.

ekt_bear:

No problem.

Let states also collect 100% of the VAT sourced from their state.

Let states also be able to legislate electricity themselves.

Let states be able to control taxation.

Let us also see resource control.

Let us also see port revenue control.

Let us also go to a 6 zone regime rather than 36 states.

Let us have state police.

Finally, let us have a sovereign national conference.

+ 10, and other policies and laws that would favour us.

ekt_bear:

No problem.

Let states also collect 100% of the VAT sourced from their state.

Let states also be able to legislate electricity themselves.

Let states be able to control taxation.

Let us also see resource control.

Let us also see port revenue control.

Let us also go to a 6 zone regime rather than 36 states.

Let us have state police.

Finally, let us have a sovereign national conference.

so, are u saying Niger should also control the kainji dam? Or kaduna should control the refinery in the state? If what Muazu is suggesting is given consideration, it will turn into a long chain of reactions.

ekt_bear:

No problem.

Let states also collect 100% of the VAT sourced from their state.

Let states also be able to legislate electricity themselves.

Let states be able to control taxation.

Let us also see resource control.

Let us also see port revenue control.

Let us also go to a 6 zone regime rather than 36 states.

Let us have state police.

Finally, let us have a sovereign national conference.

so, are u saying Niger should also control the kainji dam? Or kaduna should control the refinery in the state? If what Muazu is suggesting is given consideration, it will turn into a long chain of reactions.

hercules07:

@Toba

I am not in support of this plan without other things being in place, but the North contributes up to 40% in GDP via agriculture.

What?

Where did you hear of the North producing 40% of Nigeria's GDP?

@hercules07: Assuming equal population between north and south, more like 1/3rd: https://www.nairaland.com/nigeria/topic-667836.0.html

All this is "one foot in and the other out".

Its either we continue with the current system where everyone looks to the FG as their savior or we do this:

1) Create 6 autonomous regions with the FCT as the central for us to mingle.
2) Contribute about 10% of our annul revenue (each state, that is) to the FG .
3) Have a quota system in the army, FG appointments etc.
4) The six regions should have their own laws to govern their people as they deem fit. Obviously, there would be a Federal law to govern both the FG and the States/Regions.
5) The sea ports will be free for use to any region that is willing to pay the coastal regions for her services.
6) It must be mandatory for Oil producing states to find another source of revenue because Oil will finish in less than 45 yrs. A total dependence on oil will lead the regions (SW,SS,SE) to the "Nigerian quagmire".
7) If a citizen works in another region that is not his/her region, they will be liable to pay extra tax.
8 ) The FG is liable to NATIONAL PROJECTS ONLY (eg, the a national rail service that connects all regions)
9) An region caught with weapons, possibly to be used for secession, or any region that wants to secede without a unanimous vote from other regions should be dealt with and the leaders executed.
10) Inter Regional/State co-operation should be allowed as both regions deem fit.
11) The regional governors are TOTALLY responsible for their regions.


Suggestion: Regions should be a homogenous as possible. That is, Anioma and any other group where applicable should be added to the SE region. Some NEastern states should be added to the NW. Igalas in Anambra should go to the NC. Igbominas, Okuns and Ofas should go to the SW.

Other states, ethnic groups etc should be allowed to choose where they want to be and/ or be allowed to form an independent state as long as the state is SELF-SUFFICIENT and non-dependent on oil because, again, oil will finish soon and the state might be rendered redundant!

hercules07:

@Toba

I am not in support of this plan without other things being in place, but the North contributes up to 40% in GDP via agriculture.

who told u that sir?

Lagos remains the commercial capital and virtually all indigenes of Nigeria are directly/indirectly represented in Lagos.

If he wants to push that kind of argument then Lagos should get more allocation cos the major port is here and Cotonou boarder.

FG makes more money from Lagos than all northern states put together