Anambra Governor Soludo Signs Bill to Deduct Funds, Citing LG Autonomy Chaos"_

_"Anambra Governor Soludo Signs Bill to Deduct Funds, Citing LG Autonomy Chaos"_

In a move that has sparked intense debate, Anambra State Governor, Prof. Chukwuma Soludo, has signed the Anambra State Local Government Administration Law, titled "Anambra Local Government Administration Law 2024." This law, passed by the State House of Assembly last Thursday, has reignited the conversation on local government autonomy in Nigeria.

Governor Soludo expressed his reservations about granting full autonomy to Nigeria's 774 local government areas, stating that it could lead to "humongous chaos" and hinder sustainable development. He argued that absolute autonomy for local government areas is impossible and would create chaos due to the attendant challenges. Soludo emphasized the importance of state oversight, citing Section 7 of the constitution, which empowers state governments to enact laws for local government administration.

"The absolute autonomy to the 774 local government areas in the country is an impossibility," Soludo said. "In fact, it is a recipe for humongous chaos. The attendant challenges before the issue of local government autonomy are such that would certainly deepen the fate of the system and spell doom for the expected beneficiaries of the process if not well planned."

The new law requires local government areas to remit a portion of their federal allocations into a consolidated account controlled by the state. Specifically, Section 13(1) of the bill stipulates that the state shall maintain a "State Joint Local Government Account" into which all federal allocations to LGAs must be deposited. Sections 14(3) and 14(4) outline the procedures for remitting and deducting funds from the LGAs. Under this arrangement, each LGA must remit a state-determined percentage to the consolidated account within two working days of receiving their allocations. If the state receives the LGA's allocation on their behalf, it must deduct the specified percentage before disbursing the remaining funds to the LGA.

Notably, the Anambra State Local Government Administration Law 2024 comprises several critical provisions. The law signed by Governor Soludo includes the establishment of the Anambra State Local Government Administration Law, which aims to enhance administrative efficiency. Additionally, the legislation outlines financial management guidelines for LGAs, emphasizing transparency and accountability.

Soludo explained that the new laws are consequential to the Supreme Court judgment and not intended to undermine it. "The new laws by Anambra House of Assembly are therefore consequential to give operational life to the Supreme Court judgment and not to undermine it," Soludo stated.

Reactions to the law have been mixed, with some arguing that it is necessary to prevent chaos and ensure accountability, while others see it as an attempt to undermine local government autonomy.

The development has significant implications for local governance in Anambra State and beyond, sparking discussions on the optimal balance between autonomy and oversight.