A proposed law that would shift control of natural resources like oil fields, minerals, and natural gas from the federal government to state governments in Nigeria has passed its second reading in the House of Representatives.
This bill seeks to amend the 1999 Constitution to change how Nigeria manages its resources, giving states more independence in deciding how to explore, manage, and earn money from the natural assets within their borders.
The bill, titled “A Bill for an Act to Alter the Provisions of the Constitution of the Federal Republic of Nigeria, 1999 to Decentralise the Governance of Natural Resources in the Federal Republic of Nigeria to transfer Mines and Minerals, Including Oil Fields, Oil Mining, Geological Surveys and Natural Gas from the Exclusive Legislative List to the Concurrent Legislative List and for Related Matters (HB. 200, 1310, 1446 & 1546)” was sponsored by Abbas Tajudeen, the House speaker and three others.
Certain natural resources, such as mines, minerals, oil fields, oil mining, geological surveys, and natural gas, are solely managed by the federal government.
They are on what’s called the “Exclusive Legislative List,” meaning only the federal government makes laws and decisions about them. Part 1 of the Second Schedule (Exclusive Legislative List) of the 1999 Constitution, Item 39 currently states: “Mines and minerals, including oil fields, oil mining, geological surveys, and natural gas.” This provision gives the federal government exclusive control over these resources, meaning that states have no direct authority to regulate, tax, or manage them.
Therefore, this new bill wants to remove Item 39 from the Exclusive List and put it on the “Concurrent Legislative List.” If it’s on this list, both the federal and state governments would have the power to make laws and regulate how resources are extracted and managed.
