The Senate has approved a funding mechanism that allocates 15 percent of the Consolidated Revenue Fund for the newly created zonal development commissions by member states. This decision was reached on Thursday following a review of the Senate Committee on Special Duties’ report on the bills establishing these commissions.
The approval came amid a heated debate among lawmakers regarding the funding source for the zonal development commissions, particularly during the clause-by-clause examination of the South-South Development Commission Establishment Bill 2024, which serves as a template for the other commissions.
Central to the discussion was the committee’s recommendation that 15 percent of statutory allocations from member states be earmarked for the commissions. Concerns were raised by several senators, including Yahaya Abdullahi (PDP, Kebbi North) and Wasiu Eshinlokun (APC, Lagos East), who warned that the proposed funding model could lead to legal challenges from state governments reluctant to see their allocations reduced.
Abdullahi cautioned, “The 15 percent of statutory allocations of member states recommended for funding their zonal development commissions would be litigated against by some state governments.”
In response, Deputy Senate President Barau Jibrin clarified that the allocation would not entail a direct deduction from state funds. He explained, “What is recommended is that 15 percent of statutory allocation of member states in a zonal development commission would, by way of calculation by the Federal Government, be used to fund the commission from the Consolidated Revenue Fund.”
Despite this clarification, some senators remained skeptical. Senate President Godswill Akpabio emphasized the constitutional validity of the provision, citing Section 162(4) of the 1999 Constitution, which grants the National Assembly the authority to appropriate funds from either the Consolidated Revenue Fund or the Federation Account.
“We don’t need to debate whether 15 percent of statutory allocations from member states in a commission would be deducted,” Akpabio stated, adding that those wishing to challenge the decision in court were free to do so.
Following a voice vote, the majority supported the funding provision. Akpabio expressed gratitude to the senators for their contributions to finalizing the zonal development commissions, which he believes will serve as a foundational element for the newly established Ministry of Regional Development.
The bills passed during the session included the South-South Development Commission Establishment Bill 2024, the North West Development Commission Act (Amendment) Bill 2024, and the South-East Development Commission Act (Amendment) Bill 2024. Earlier, the Senate had also approved the South West Development Commission Establishment Bill 2024 and the North Central Development Commission Establishment Bill 2024.
