Press Releases

Fuel Subsidy Removal: ACN Governors Call For Immediate Review Of Revenue Allocation Formula
• Enjoin Nigerians to show restraint, eschew violence while exercising their constitutional rights

Jan 8, 2012 - As agitations continue across the country over the recent removal of fuel subsidy by the Federal Government, Action Congress of Nigeria (ACN) Governors at the weekend called for the immediate review of the revenue allocation formula as a first step to the implementation of the long-standing demand for fiscal federalism in the country.

In a six-paragraph communiqué read to newsmen by the Governor of Ekiti State, Dr. Kayode Fayemi, after their meeting at the Lagos House, Marina, the Governors who associated themselves with the position of their party on the subsidy removal, described the debate on the issue as lopsided since, according to them, "subsidy is an economic and financial tool and not an end in itself".

The Action Congress of Nigeria, in its reaction to the fuel subsidy removal, had expressed reservation about the recent policy of the Federal Government regarding fuel subsidy particularly its sudden implementation saying the solution to the nation's economic problem lay in the implementation of fiscal federalism in the country.

In the communiqué signed by Governors Babatunde Fashola (SAN) of Lagos State , Dr. Kayode of Ekiti State , Senator Ibikunle Amosun of Ogun State and Ogbeni Rauf Aregbesola of Osun State , the Governors declared, "We are more concerned with the totality of the economy. For this reason, it is imperative to immediately implement the long-standing demand for fiscal federalism".

According to the Governors, while the responsibility of managing the nation's petroleum resources is that of the Federal Government, "the pre-occupation of ACN as a party and its Governors is the welfare and security of our people".

"Our commitment to the welfare of our people remains irrevocable despite the challenges of global and local economic situations. We are also unwavering in our commitment to the deepening of democracy and the enhancement of peace and security in our dear country", the Governors said.

These, according to them, "are the necessary conditions for the successful implementation of life-enhancing economic policies and programmes that enjoy the support of our people and reduce the burden on them".

While acknowledging that Nigerians have the constitutional right to protest any government policy that they do not support, the ACN Governors, however, enjoined them to show restraint and eschew violence even while exercising that right.

Although two of the Governors, Comrade Adams Oshiomhole of Edo State and Senator Abiola Ajimobi of Oyo State , were unavoidably absent, Governor Fayemi said their concurrence to the communiqué was obtained before making it public.

In an interview shortly after, Governor Fashola of Lagos State told newsmen that the Governors stressed the need to reduce the burden on the people and also manage the economy and deepen democracy while also ensuring peace and security in the country as a whole adding that there is so much prospect ahead of the country.