The Senate has approved a funding mechanism for the newly established zonal development commissions, allocating 15 percent from the Consolidated Revenue Fund based on member-states’ statutory allocations.

The decision, reached on Thursday following heated debate, came during the consideration of the Senate Committee on Special Duties’ report on commission establishment bills. The South-South Development Commission Bill 2024 served as the template for other regional commissions.

Initial confusion arose when several senators, including Yahaya Abdullahi (PDP, Kebbi North) and Wasiu Eshinlokun (APC, Lagos East), expressed concerns about potential legal challenges from state governments over the funding structure.

Deputy Senate President Barau Jibrin clarified that the 15 percent would not be deducted directly from state allocations but would instead be calculated based on states’ statutory allocations and sourced from the federal Consolidated Revenue Fund.

“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,” Jibrin explained.

Senate President Godswill Akpabio ultimately settled the debate by citing Section 162(4) of the 1999 Constitution, which empowers the National Assembly to appropriate funds from either the Consolidated Revenue Fund or the Federation Account.

The approved bills include the South-South, North West (Amendment), and South-East Development Commission (Amendment) Bills 2024, joining the previously passed South West and North Central Commission establishment bills. These commissions will fall under the newly created Ministry of Regional Development.

“Anyone who wishes to challenge that in court is free to do so,” Akpabio declared before the provision passed through a voice vote.