Subnational Governance and Socio-Economic Development in a Federal Political System: a Case Study of Lagos State, Nigeria

SUBNATIONAL GOVERNANCE AND SOCIO-ECONOMIC DEVELOPMENT IN A FEDERAL POLITICAL SYSTEM: A CASE STUDY OF LAGOS STATE, NIGERIA. SO Oloruntoba University of Lagos ABSTRACT The main objective of any responsible government is the provision of the good life to citizens. In a bid to achieve this important objective, political elites or exter- nal powers (as the case may be) have adopted various political arrangements which suit the structural, historical cultural and functional circumstances of the countries conerned. One of such political arrangements is federalism. Whereas explanatory framework connotes a political arrangement where each of the subordinate units has autonomy over their sphere of influence. Nigeria is one of three countries in Africa, whose federal arrangement has subsisted since it was first structured as such by the Littleton Constitution of 1954. Although the many years of military rule has done incalculable damage to the practice of federalism in the country, Nigeria remains a federal state till today. However, there are concerns over the ability of the state as presently constituted to deliver the common good to the people. Such concerns are connected to the persistent high rate of poverty, unemployment and insecurity. Previous and current scholarly works on socio-economic performance of the country have been focused on the national government. This approach overlooks the possibilities that sub-national governments, especially at the state level holds for socio-economic development in the country. The point of departure of this article is to fill this lacuna by examining the socio-economic development of Lagos state, especially since 1999. The choice of Lagos state as the unit of analysis is informed by its central position as the economic nerve centre of Nigeria, the strides that have been recorded in socio-economic development over the past seventeen years and the nature of politics in the state versus the national government, at least up till 2015. A focus on sub-national unit of the Nigerian federation is particularly critical at this period in the life of the nation when divergences in centripetal and centrifugal forces continue to threaten the corporate existence of the country. The geographical differences in terms of poverty and inequality level between the North and the South also lend credence to a study of this nature, with the hope that lessons on leadership style (exemplified by modes of succession and quality of leadership), civic duty of citizens and resource mobilisation can be learnt by other sub-national units of the federation. Keywords: Federalism, Governance, Protectorates, Political elites 76 Journal of Public Administration and Development Alternatives Vol. 1 No.2 December 2016 1. INTRODUCTION tralised system has been blamed for the variety of problems that confront The amalgamation of Southern and the country today such as insecurity, Northern Protectorates of Nigeria by conflicts, poverty, and intra-group dis- be British colonial power in 1914 creat- unity which pose permanent threat to ed the largest single political entity in its continued corporate existence. For Africa (Adedeji, 2012). The sheer size instance, as Adamolekun (2005 cited of the country both in terms of geo- in Suberu 2010:459) laments, ‘the Nige- graphical spread and population; the rian federalism is at a cross-roads and heterogeneity of its peoples, the dy- has two options: devolution or death’. namism of its centripetal and centrifugal forces and the need for stability There have also been concerns from motivated the nationalist leaders to the international intelligence commu- negotiate a federal political arrange- nity that given the various conflicts ment with the departing colonial lead- and flashpoints such as Jos, Plateau ers (Jinadu, 1985). Although, the Brit- state, insurgency in the Niger-Delta, ish colonial government effected the the Boko Haram campaign of terror amalgamation of the northern and against the Federal Government in the southern protectorates for its admin- Northern part of the country, the ten- istrative convenience, federalism was dency towards destabilisation is very seen as the best appropriate political high in the country (International Crisis framework for sustainable and mutu- Group, 2006). The dysfunctional pub- ally beneficial existence by the various lic institutions, high rate of corruption nationalities that make up the country. and lack of capacity to carry through many ill-thought out development pro- Federalism in Nigeria has passed grammes have combined to ensure through various phases and transfor- that more than half of the country’s mations. Despite the strains and the estimated 160million people still live on stress that are inherent in its adoption, than less one US$ per day (NBS, 2011). it has endured till today (Suberu, 2010). Nigeria’s federalism is a unique one Nigeria operates three tier-level fed- whose existence and sustenance is to eralism, with one central government, a large extent dependent on a single 36 states and 774 local governments resource; oil (Olukoshi, 2003, Obi, 2002). and a federal capital territory. As a mono-cultural and structurally disartic- While early post-colonial leaders at- ulated economy, most of these units tempted and indeed, succeeded in of government can only survive on the applying fiscal federalism, based on allocations that the central govern- the principle of derivation in Nigeria’s ment shares with them. The 1999 con- first republic from 1963-1966, the many stitution upon which the fourth republic years of military rule led to increased is based ensures that ‘revenues in the centralisation of power and exces- Federation Account are distributed sive control of the nation’s resources vertically in the proportions of 48.50%, by the central government. The cen- 26.72%, 20.60% and 4.18% to the fed- SO Oloruntoba 77 eral government, states, localities, and at this period in the life of the nation centrally controlled special funds, re- when divergences in centripetal and spectively’ (Suberu, 2010:467). Despite centrifugal forces continue to threaten the huge resources being allocated the corporate existence of the coun- to all levels of government, Nigeria still try. The geographical differences in occupies one of the lowest levels in the terms of poverty and inequality lev- global charts for measuring socio-eco- el between the North and the South nomic progress (See UNDP, 2013). also lend credence to a study of this nature, with the hope that lessons on Consequently, there are concerns leadership style, vision and citizens and over the ability of the Nigerian state resource mobilisation can be learnt by as presently constituted to deliver the other sub-national units of the federa- common good to the people. Such tion. concerns are connected to the persistent high rate of poverty, unem- What is responsible for the high level ployment and insecurity. Previous and of transformation that is currently go- current scholarly works on socio-eco- ing on in Lagos State in terms of pol- nomic performance of the country itics-policy mix, leadership character- have been focused on the national istics or party ideology? What are the government. This approach overlooks strategies that have been adopted to the possibilities that sub-national gov- achieve such levels of transformation ernments, especially at the state level and what the social costs are in terms holds for socio-economic develop- of dislocations and adjustment to the ment in the country. changes? A theory of multi-level governance and fiscal theories of state The point of departure of this arti- are adopted while secondary data cle is to fill this lacuna by examining was used for analysis. the socio-economic development of Lagos State, especially since 1999, After this introduction, the rest of this when Nigeria returned to democratic article proceeds as follows: present- governance. Lagos State has been ing the extant literature on federalism an exception to the rot in Nigeria as as an ideal form of government for a the state has witnessed massive turn polyglot and heterogeneous country around in the areas of infrastructural like Nigeria. Examining the relationship development, job creation, increased between federalism and sub-national institutional capacity for service deliv- governance is also examined in this ery, security and social re-engineering. section. The choice of Lagos State as the unit of analysis is also informed by its central Analysing, the performance of Nige- position as the economic nerve centre ria’s federalism in terms of socio-eco- of Nigeria. nomic development, interrogating Lagos State as a sub-national unit A focus on sub-national unit of the Ni- within the Nigerian federation and the gerian federation is particularly critical socio-economic development that is 78 Journal of Public Administration and Development Alternatives Vol. 1 No.2 December 2016 taking place in the state, especially the state or local governments. since 1999, its challenges, strategies and outcomes. And conclude by rec- A Federal system of Government is ommending other sub-national units usually adopted by countries with di- within the Nigerian federation. verse nationalities such that the inter- ests of the diverse units are adequate- 2. FEDERALISM ly taken care of. For instance, with the particular case of Nigeria, Jinadu Federalism has been defined by vari- (1985:73) has argued that ‘Federalism ous scholars as political arrangements as a system of concurrent regimes … where the various subunits that make developed in Nigeria in response to up a country are in each of their re- problems of governance created by spective spheres of influence semi-au- this ethnic configuration (and that) it is tonomous (Wheare, 1963). Carl Frie- deliberately structured to provide the drich (1968:6 cited in Gana, 2003)) legal superstructure within which the defines a federation as ‘a union of various ethnic fractions of the politi- group selves, united by one or more cal class seek access to state power, common objectives but retaining their with a view to controlling or influenc- distinctive group being for other pur- ing its exercise’.

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