As the Revenue Mobilization Allocation and Fiscal Commission prepares to review the county’s intergovernmental fiscal relations,Governor Okezie Ikpeazu of Abia state has called for restoration of true federalism,resource control and fiscal federalism.
Recall that under the current sharing fomular,the Federal Government takes 52.68% of revenue shared,states get 26.72% while Local Governments get 20.60%.
Governor Ikpeazu made the call when he received in audience a delegation of the Federal Commissioner, representing Abia State at the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC), Dr. Chris Akomas at Government Lodge, Aba.
He noted that the restoration of true fiscal federalism will enable different regions control and manage resources within their domains and pay royalties where necessary to the federal government.
Governor Ikpeazu while calling for the abolishment of dichotomy between federal and state roads stressed that states should be empowered to do the Federal government roads in their domains with funds reserved by the federal government for such purposes.
In his words; “Whatever fund that is reserved for federal roads should be earmarked and returned to so that we deal with our problems. Let us abolish this dicotomy between federal and state roads. Let us allow states to deal with roads in their domain so that we can take full responsibility. There are things I think by now,for the purposes of growth,we can do away with.
“We can create atmosphere of true federalism to enable states to begin to grow at their pace, developing things that we have competence and capacity to do because God did not endow everybody equal”.
According to Governor Ikpeazu,it is unacceptable for the federal government to reserve revenue for mineral development pointing out that all minerals endowments belong to states and local governments and as such should be allowed to enjoy the advantages since they also have to contend with attending disadvantages such as environmental degradation.
Governor Ikpeazu noted that the singular action of suggested adjustments in the revenue sharing fomular and clarion call for states to make contributions by RMFAC is capable of dousing tension among the people and giving them a sense of belonging adding that it aligns with the people’s expectations.
The Governor assured that Abia State would cooperate with the RMAFC and come up with a position that would reflect the minds of its people and announced the setting up of a Committee to that effect which would be headed by the Commissioner for Finance, Dr. Aham Uko.
Speaking earlier, the Federal Commissioner, representing Abia State at the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC), and Chairman of the Indices and Disbursement Committee,Dr. Chris Akomas said the team was in the State to sensitize the State Government on the ongoing process of the review of the revenue sharing formula of the Federal Government.
He stated that the process of reviewing the revenue sharing formula is the constitutional responsibility of the Commission adding that response to the review is urgent while the next stage would be the Zonal Public Hearings where States would make their positions known.
Dr. Akomas, a former Deputy Governor in the State commended Governor Ikpeazu and his brother Governors in the South East for their efforts in handling security challenges in the region and thanked him also for all his efforts towards achieving good governance in Abia State.
