p. 1 Table of Contents S. N Content # Table of Contents List of Tables and Figures 1. Introduction 3 1.2 Statement of Problem 3 1.3 Objectives of Report 3 1.4 Critical Questions 4 1.5 Methodology 4 1.6 Outline of Report 5 2. Decentralization in Nigeria: Evolution and Constitutional Framework 5 2.1 Evolution of Local Government Administration in Nigeria 5 2.1.1 The Rise of Local Governments 6 2.1.2 The Post-Colonial Local Government 7 2.1.3 The Reform Era: Developmental Local Government 8 2.2 Current Powers and Functions of Local Government 10 2.2.1 Administrative and Political Status of Local Government 11 2.2.2 Fiscal Power/Constraints of Local Government 12 2.2.3 Functions of Local Governments 13 2.3 Intergovernmental Relations Management: Invitation to Struggle for Control 15 3 Is A New Political Agenda Based on Local Authorities at Country Level Feasible? 17 3.1 Fiscal Allocation of Resources 19 3.2 Towards Territorialising National Plans and Strategies 19 3.3 Federal Government and Local Authority (SNG) As Development Actors 22 3.4 Recognition of Value Added of Territorial Approach to Local Development 26 3.5 Opportunities and Constraints Arising from Decentralisation Reforms 28 4 A SWOT Analysis of ALGON 30 4.1 Strengths/Weaknesses/Opportunities/Threats of ALGON 30 4.1.1 Strengths 30 4.1.2 Weaknesses 30 4.1.3 Opportunities 31 4.1.4 Threats 31 4.2 Areas for Improvement 32 5 The State of the Art 32 5.1 Territorialisation of Global Programs 32 5.2 Territorialising National Policies and Strategies into Local Programmes 33 5.3 Sustainable Development Goals (SDGs) and Other Global Programs in Nigeria 34 6 Lines and Priorities of Actions for: 36 6.1 Promoting Territorialization of Public Policies 36 6.2 Response to issues Arising from ALGON Quick SWOT Analysis 40 7 Conclusion/Tentative Roadmap 8 Appendices/Bibliography p. 2 1. Introduction The Framework Partnership Agreements (FPAs) between EU Commission and five representatives of international and regional associations of local authorities, including the United Cities and Local Governments of Africa (UCLGA), opened a new window of opportunity for national associations of local authorities to participate in the forthcoming EU programming process with representatives of the national governments in the dialogue with EU delegations. This is a very welcome development, however, the national association of local governments of Nigeria (ALGON) would need to make a convincing case for the EU to “engage much more at the local level and develop a mutually beneficial political partnership.” Thus, the Association of Local Governments of Nigeria (ALGON), is currently planning a national seminar to prepare the ground for the integration of local authorities as state actors in the European Union cooperation, particularly under the new Multi-annual Financial Framework (MFF) 2021/27. The action by ALGON is a follow-up to its activities during the programming process. Consequently, ALGON’s message to the European Union delegation is intended to: Reassure the EU on the feasibility and concrete modalities of a paradigm shift, by considering local authorities as a state actor (and no longer as a non-state actor), in accordance with the new guidelines adopted by the European Union; Place the EU in a position to assess the main challenges and opportunities offered by the integration of local authorities in European cooperation. The expectation is to mainstream local authority participation in EU-supported sector policies and programmes, whether in agriculture, climate change, energy, migration, youth or gender issues. Also driving core public policies at the local level will integrate the diverging realities and needs of different areas in the country. However, the assumption is the existence of a national development-friendly decentralization policy, a placed-based dynamics from the bottom-up; and that a territorial approach to local development will complement the national government by unlocking the potential of territories, creating jobs, income and wealth. ALGON will have to reassure both the federal and state governments of the value this new approach will bring forth. This paper discusses the challenges and prospects. 1.2 Statement of the Problem The concern of the report is therefore to present an analytical report on the feasibility of a new political agenda that incorporates local authorities’ as development actors and essential partners at the country level in national plans, sectoral policies and strategies. 1.3 Objectives of the Report This report will analyze both the feasibility of the political agenda based on local authorities as development actors, and as an essential partner in the implementation of public policies at the territorial level. The purpose is to provide a background document ahead of the national seminar (webinar) planned for the members of the national association of local authorities. The report analyses: p. 3 The political context, in particular the state of relations between local authorities and national governments (challenges and opportunities); The prospects of implementing the national development plan, focusing more specifically on local development, the localization of public policies (including the Sustainable Development Goals (SDGs), and the added value of the Territorial Approach to Development (TALD); and The strategic and priority axes for the integration of local authorities in the cooperation of the European Union. 1.4 Critical Questions The following questions will be addressed: To what extent has there been an evolution observed at the level of the central government with regard to the "territorialisation" of the main national plans and national sectoral policies? If so, why? (In terms of objectives pursued). How strong is the national commitment to integrate the spatial dimension in development management? Is the option of territorialization translated into specific plans and policies and clear implementation processes? To what extent does the Central Government consider Local Authorities as a “development actor” in its own right and an essential partner to be associated in the implementation of public policies at the territorial level (SDGs, Nationally Determined Contributions (NDCs)? Or are they simply implementing agencies? To what extent does central government recognize the added value of Territorial Approaches to Local Development (TALD), spearheaded by the local authorities on the basis of their general mandate (if this general mandate exists in the country)? 1.5 Methodology The study will be based on a desk review, mini focus group discussion and interviews. It will however adopt a political economy approach in order to address the various factors and nuances that affect the decentralization process, viewing it in two key phases: First, we will consider the upstream structural phase to identify what kind of decentralization a developing country wishes or chooses to undertake: a deconcentration, a delegation or devolution (decentralization) The approach and method used must be clear: it is not a matter of defining a theoretical norm for decentralization and forcing the country under study into the straight- jacket of this norm. The analysis addresses the definition and type of decentralization and how it materializes on an institutional level. Are the actions implemented on the ground to promote decentralization consistent with this stated political will? The second phase unfolds downstream and relates to performance. Decentralization purports to fulfil manifold objectives: strengthen local governance, better serve local residents in line with their democratically expressed preferences, reduce local pockets of poverty, and stimulate and drive local development. The challenge is to target those objectives that have been set, not always explicitly, and to identify the explanatory variables that make it possible to quantify and assess the ground already covered. We p. 4 will thus examine the various forms of functional decentralization including the administrative, fiscal and political genres. It is impossible to judge progress in the areas of democracy, the fight against poverty, and local development without first establishing the causal relationship between decentralized functions, explanatory variables, and outcomes 1.6 Outline of Research The study is divided into seven sections. In the next section, the evolution and constitutional framework will be examined, including some of the challenges of decentralization. Section 3 deals with those critical questions that would influence assessment of the feasibility of a new political agenda of local authority at country level. An ALGON SWOT Analysis and areas for improvement will be treated in section 4. State of the Art Concerning the Territorialization of national policies is analyzed in section 5 and Lines, followed with proposal on the lines and priorities of actions in section 6. The following section wraps up the report, concluding with appendices and bibliography. 2. Decentralization in Nigeria: Evolution and Constitutional Framework 2.1. Evolution of Local Government Administration in Nigeria The colonial authority ran a parsimonious, lean administrative structure for maximum economic exploitation. It was not intended for local development so whatever improvements in the wellbeing of the people, particularly rural populations, were accidental. A journey that saw two separate protectorates and Lagos colony mechanically fused together in 1914 had become a tale of one country.