The recent call by Alhaji Aliko Dangote for the sale of the national share holdings in the LNLG and the suggestion by the Senate President that the shares, along with other sovereign assets in the oil and aviation sectors, should be sold as a way of steming the current economic recession are unacceptable to us at the Nigeria Labour Congress. Investments in the LNLG and Joint Venture oil upstream operations are profitable and represent potential sources of revenue into the future.
For example, it was the accrued dividend payments from LNLG shares that provided the resources for the first bail-out to states when many states could not pay salaries under this present regime. It is on record that dividends, in excess of one billion dollars, have accrued annually to the national coffers from the gas company over the past twelve years.
NLC President,Comrade Ayuba Wabba, pointed out that these calls are more worrisome when one considers the history of sovereign assets divestiture in the past. Where are the proceeds from sales of the assets in the power sector for instance? With the benefit of hindsight, it is obvious that these assets were distributed to favoured individuals and surrogates of the ruling elite without any appreciable benefits to Nigerians.
While we recongise that there is need to take urgent steps to stem the dwindling fortunes of the national economy, we are convinced that the proposals in question will further weaken the revenue capacity of government in the future and weaken the economic base of the nation.
There are lessons to be learnt from some other OPEC countries which invested their oil revenues heavily in the acquisition of sovereign assets, both domestically and internationally. Such countries today are deriving a steady stream of earnings from those assets and are, therefore, less vulnerable to the fiscal crisis occasioned by failing oil revenues.
Inter-generational considerations require that we build on these existing investments by identifying other profitable endeavours to invest in. What we need is to leverage on the stream of potential earnings from these investments in seeking to turn around the economy.
We, therefore, call on Nigerians to resist these new schemings by those waiting and wishing to lap up these lucrative national assets. We need to preserve these assets for our children and future generations.
On our part, we are ready, in partnership with other progressive and nationalist forces in our country, to resist the further attempt to plunder our common patrimony.
In the same vien,Femi Falana a Human Rights Lawyer, has categorised any sale of National assets as illegal and against the constitution of the Federal Republic of Nigeria.
The lawyer said this in his latest article titled: “Sale Of National Assets Is Illegal”, citing constitutional and historical references.
Senate President, Bukola Saraki; Business magnate, Aliko Dangote and the Central Bank Governor, Godwin Emefiele have all called for the sales of national assets to revive the ailing economy.
But Falana in the article said: “The sale of national assets is in total conflict with section 16 of the Constitution, which has prohibited the concentration of the nation’s wealth in the hands of a few people or a group.
“It is pertinent to point out that the suggestion is in total conflict with section 16 of the Constitution which has prohibited the concentration of the nation’s wealth in the hands of a few people or a group”.
“Indeed, by section 44 of the Constitution the nation’s natural resources shall be held in trust for the Nigerian people by the federal government. One would have expected senators who swore to protect the Constitution to kick against the suggestion to sell the assets of the nation to a few people.
“But for selfish considerations a few legislators who may be queuing up to participate in the purchase of the nation’s assets are not prepared to defend the Constitution.
“If the Senate is genuinely desirous to contribute meaningfully to the debate on the economy it should, as a matter of urgency, propose a substantial reduction in the jumbo emoluments of federal legislators which are said to be the highest in the world.”
